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<SEC-DOCUMENT>0000950137-09-001897.txt : 20101108
<SEC-HEADER>0000950137-09-001897.hdr.sgml : 20101108

<ACCEPTANCE-DATETIME>20090316161150

<PRIVATE-TO-PUBLIC>

ACCESSION NUMBER:		0000950137-09-001897

CONFORMED SUBMISSION TYPE:	N-14 8C

PUBLIC DOCUMENT COUNT:		5

FILED AS OF DATE:		20090316

DATE AS OF CHANGE:		20090417


FILER:


	COMPANY DATA:	

		COMPANY CONFORMED NAME:			NUVEEN INSURED TAX FREE ADVANTAGE MUNICIPAL FUND

		CENTRAL INDEX KEY:			0001195737

		IRS NUMBER:				030487030

		STATE OF INCORPORATION:			MA

		FISCAL YEAR END:			1031



	FILING VALUES:

		FORM TYPE:		N-14 8C

		SEC ACT:		1933 Act

		SEC FILE NUMBER:	333-157992

		FILM NUMBER:		09684448



	BUSINESS ADDRESS:	

		STREET 1:		333 WEST WACKER DRIVE

		CITY:			CHICAGO

		STATE:			IL

		ZIP:			60606

		BUSINESS PHONE:		3129178146



</SEC-HEADER>

<DOCUMENT>
<TYPE>N-14 8C
<SEQUENCE>1
<FILENAME>c496858cnv148c.htm
<DESCRIPTION>FORM N-14 8C
<TEXT>
<HTML>
<HEAD>
<TITLE>FORM N-14 8C</TITLE>
</HEAD>
<BODY bgcolor="#FFFFFF">
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<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="80%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="19%">&nbsp;</TD>
</TR>
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<TR valign="bottom">

<TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">As
filed with the Securities and Exchange Commission on March 16, 2009
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">File
No.&nbsp;333-______</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV style="width: 100%; border-bottom: 2pt solid black; font-size: 1pt; margin-top: 3pt">&nbsp;</DIV>
<DIV style="width: 100%; border-bottom: 1pt solid black; font-size: 1pt">&nbsp;</DIV>




<DIV align="center" style="font-size: 14pt; margin-top: 12pt"><B>SECURITIES AND EXCHANGE COMMISSION</B>
</DIV>

<DIV align="center" style="font-size: 12pt"><B>Washington, D.C. 20549</B>
</DIV>

<DIV align="center" style="font-size: 18pt; margin-top: 12pt"><B>FORM N-14</B>
</DIV>


<DIV align="center" style="font-size: 12pt; margin-top: 12pt"><B>REGISTRATION STATEMENT<BR>
UNDER THE<BR>
SECURITIES ACT OF 1933</B>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 12pt"><FONT face="Wingdings">&#111;</FONT>
<B>Pre-Effective Amendment No.&nbsp;__</B></div>

<DIV align="center" style="font-size: 10pt; margin-top: 0pt"><FONT face="Wingdings">&#111;</FONT> <B>Post-Effective Amendment No.&nbsp;__</B></DIV>

<DIV align="center" style="font-size: 24pt; margin-top: 12pt"><B>NUVEEN INSURED TAX-FREE ADVANTAGE<BR>
MUNICIPAL FUND</B>
</DIV>

<DIV align="center" style="font-size: 10pt"><I>(Exact Name of Registrant as Specified in Charter)</I></DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 12pt"><B>333 West Wacker Drive<BR>
Chicago, Illinois 60606</B><BR>
<I>(Address of Principal Executive Offices, Zip Code)</I></DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 12pt">Registrant&#146;s Telephone Number, including Area Code <B>(800)&nbsp;257-8787</B></DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 12pt"><DIV align="center"><DIV style="font-size: 3pt; margin-top: 16pt; width: 26%; border-top: 1px solid #000000">&nbsp;</DIV></DIV></DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 12pt"><B>Kevin J. McCarthy<BR>
Vice President and Secretary<BR>
Nuveen Investments<BR>
333 West Wacker Drive<BR>
Chicago, Illinois 60606</B><BR>
<I>(Name and Address of Agent for Service)</I></DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 12pt">Copy to:</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="47%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="47%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD align="center" valign="top"><B>David A. Sturms <BR>
Vedder Price P.C. <BR>
222 North LaSalle Street <BR>
Chicago, Illinois 60601</B>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><B>Eric F. Fess<BR>
Chapman and Cutler LLP<BR>
111 West Monroe Street<BR>
Chicago, Illinois 60603</B></TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<DIV align="center"><DIV style="font-size: 3pt; margin-top: 16pt; width: 26%; border-top: 1px solid #000000">&nbsp;</DIV></DIV>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Approximate date of proposed public offering: As soon as practicable after the effective date
of this Registration Statement.
</DIV>
<DIV align="center" style="font-size: 10pt; margin-top: 12pt"><B>CALCULATION OF REGISTRATION FEE UNDER THE SECURITIES ACT OF 1933</B></DIV>



<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="1%">&nbsp;</TD>
    <TD width="75%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD><!-- VRule -->
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD><!-- VRule -->
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD><!-- VRule -->
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD><!-- VRule -->
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR><TR style="font-size: 1px" valign="bottom">
    <TD nowrap align="left" colspan="23" style="border-bottom: 3px double #000000">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">    <TD width="1%">&nbsp;</TD>

    <TD nowrap align="left" style="border-bottom: 1px solid #ffffff"><B>Title of Securities Being Registered</B></TD>
    <TD style="border-right: 2px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Amount Being</B></TD>
    <TD>&nbsp;</TD>
    <TD style="border-right: 2px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Proposed</B></TD>
    <TD>&nbsp;</TD>
    <TD style="border-right: 2px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Proposed</B></TD>
    <TD>&nbsp;</TD>
    <TD style="border-right: 2px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Amount of</B></TD>
    <TD>&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">    <TD width="1%">&nbsp;</TD>

    <TD>&nbsp;</TD>
    <TD style="border-right: 2px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #ffffff"><B>Registered (1)</B></TD>
    <TD>&nbsp;</TD>
    <TD style="border-right: 2px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Maximum</B></TD>
    <TD>&nbsp;</TD>
    <TD style="border-right: 2px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Maximum</B></TD>
    <TD>&nbsp;</TD>
    <TD style="border-right: 2px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Registration</B></TD>
    <TD>&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">    <TD width="1%">&nbsp;</TD>

    <TD>&nbsp;</TD>
    <TD style="border-right: 2px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD style="border-right: 2px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Offering</B></TD>
    <TD>&nbsp;</TD>
    <TD style="border-right: 2px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Aggregate</B></TD>
    <TD>&nbsp;</TD>
    <TD style="border-right: 2px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>

<TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #ffffff"><B>Fee
(1)(3)</B></TD>
    <TD>&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">    <TD width="1%">&nbsp;</TD>

    <TD>&nbsp;</TD>
    <TD style="border-right: 2px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD style="border-right: 2px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Price Per</B></TD>
    <TD>&nbsp;</TD>
    <TD style="border-right: 2px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #ffffff"><B>Offering Price(1)</B></TD>
    <TD>&nbsp;</TD>
    <TD style="border-right: 2px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">    <TD width="1%">&nbsp;</TD>

    <TD>&nbsp;</TD>
    <TD style="border-right: 2px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD style="border-right: 2px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Unit(1)(2)</B></TD>
    <TD>&nbsp;</TD>
    <TD style="border-right: 2px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD style="border-right: 2px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD width="1%" style="border-top: 2px solid #000000">&nbsp;</TD>
    <TD style="border-top: 2px solid #000000"><DIV style="margin-left:15px; text-indent:-15px">Common Shares, $.01 Par Value Per Share</DIV></TD>
    <TD style="border-right: 2px solid #000000; border-top: 2px solid #000000">&nbsp;</TD>
    <TD style="border-top: 2px solid #000000">&nbsp;</TD>
    <TD colspan="3" align="right" nowrap style="border-top: 2px solid #000000">60,000&nbsp;shares</TD>
    <TD style="border-right: 2px solid #000000; border-top: 2px solid #000000">&nbsp;</TD>
    <TD style="border-top: 2px solid #000000">&nbsp;</TD>
    <TD align="right" style="border-top: 2px solid #000000">&nbsp;</TD>

<TD align="right" style="border-top: 2px solid #000000">$11.75&nbsp;</TD>
    <TD style="border-top: 2px solid #000000">&nbsp;</TD>
    <TD style="border-right: 2px solid #000000; border-top: 2px solid #000000">&nbsp;</TD>
    <TD style="border-top: 2px solid #000000">&nbsp;</TD>
    <TD nowrap align="right" style="border-top: 2px solid #000000">&nbsp;</TD>

<TD align="right" style="border-top: 2px solid #000000">$705,000.00</TD>
    <TD nowrap style="border-top: 2px solid #000000">(2)&nbsp;</TD>
    <TD style="border-right: 2px solid #000000; border-top: 2px solid #000000">&nbsp;</TD>
    <TD style="border-top: 2px solid #000000">&nbsp;</TD>
    <TD align="right" style="border-top: 2px solid #000000">&nbsp;</TD>
    <TD align="right" style="border-top: 2px solid #000000">$39.34&nbsp;</TD>
    <TD style="border-top: 2px solid #000000">&nbsp;</TD>
    <TD width="1%" style="border-top: 2px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD width="1%" style="border-top: 2px solid #000000">&nbsp;</TD>

<TD style="border-top: 2px solid #000000"><DIV style="margin-left:15px; text-indent:-15px">Municipal Auction Rate Cumulative Preferred Shares, Series&nbsp;W2</DIV></TD>
    <TD style="border-right: 2px solid #000000; border-top: 2px solid #000000">&nbsp;</TD>
    <TD style="border-top: 2px solid #000000">&nbsp;</TD>

<TD nowrap colspan="3" align="right" style="border-top: 2px solid #000000">12 Shares</TD>
    <TD style="border-right: 2px solid #000000; border-top: 2px solid #000000">&nbsp;</TD>
    <TD style="border-top: 2px solid #000000">&nbsp;</TD>
    <TD align="right" style="border-top: 2px solid #000000">&nbsp;</TD>
    <TD align="right" style="border-top: 2px solid #000000">$25,000.00</TD>
    <TD style="border-top: 2px solid #000000">&nbsp;</TD>
    <TD style="border-right: 2px solid #000000; border-top: 2px solid #000000">&nbsp;</TD>
    <TD style="border-top: 2px solid #000000">&nbsp;</TD>
    <TD align="right" style="border-top: 2px solid #000000">&nbsp;</TD>

<TD align="right" style="border-top: 2px solid #000000">$300,000.00</TD>
    <TD style="border-top: 2px solid #000000">&nbsp;</TD>
    <TD style="border-right: 2px solid #000000; border-top: 2px solid #000000">&nbsp;</TD>
    <TD style="border-top: 2px solid #000000">&nbsp;</TD>
    <TD align="right" style="border-top: 2px solid #000000">&nbsp;</TD>
    <TD align="right" style="border-top: 2px solid #000000">$16.74&nbsp;</TD>
    <TD style="border-top: 2px solid #000000">&nbsp;</TD>
    <TD width="1%" style="border-top: 2px solid #000000">&nbsp;</TD>
</TR>
<TR style="font-size: 1px" valign="bottom">
    <TD nowrap align="left" colspan="23" style="border-top: 3px double #000000">&nbsp;</TD>
</TR>

<!-- End Table Body -->
</TABLE>
</DIV>


<DIV style="margin-top: 3pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>
<TR>
<TD>                                                       </TD>
</TR>
<TR valign="top">
    <TD nowrap align="left">(1)</TD>
    <TD>&nbsp;</TD>
    <TD>Estimated solely for the purpose of calculating the
registration fee, pursuant to Rule 457(o) under the Securities Act of
1933.</TD>
</TR>
<TR>
<TD>                                                        </TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR>
<TD>                                                       </TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">(2)</TD>
    <TD>&nbsp;</TD>
    <TD>Closing share price of common shares on
March 12, 2009.</TD>
</TR>
<TR>
<TD>                                                        </TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR>
<TD>                                                       </TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">(3)</TD>
    <TD>&nbsp;</TD>
    <TD>Transmitted prior to filing.</TD>
</TR>
<TR>
<TD>                                                        </TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt">The Registrant hereby amends this registration statement on such date or dates as may be necessary
to delay its effective date until the Registrant shall file a further amendment which specifically
states that his registration statement shall thereafter become effective in accordance with Section
8(a) of the Securities Act of 1933 or until this registration statement shall become effective on
such date as the Securities and Exchange Commission, action pursuant to said Section&nbsp;8(a), may
determine.
</DIV>


<DIV style="width: 100%; border-bottom: 1pt solid black; margin-top: 10pt; font-size: 1pt">&nbsp;</DIV>
<DIV style="width: 100%; border-bottom: 2pt solid black; font-size: 1pt">&nbsp;</DIV>








<P align="center" style="font-size: 10pt"><!-- Folio --><!-- /Folio -->
</DIV>



<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">IMPORTANT NOTICE
    TO</FONT></B>
</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <B>NUVEEN INSURED TAX-FREE ADVANTAGE MUNICIPAL FUND (NEA) AND</B>
</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <B>NUVEEN INSURED FLORIDA TAX-FREE ADVANTAGE MUNICIPAL FUND
    (NWF) SHAREHOLDERS</B>
</DIV>

<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">MARCH&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    2009</FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Although we recommend that you read the complete Proxy
    Statement/Prospectus, for your convenience, we have provided a
    brief overview of the issues to be voted on.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

<TR>
    <TD width="5%"></TD>
    <TD width="1%"></TD>
    <TD width="94%"></TD>
</TR>

<TR>
    <TD valign="top">
    <B>Q. </B></TD>
    <TD></TD>
    <TD valign="bottom">
    <B>Why am I receiving this Proxy Statement/Prospectus?</B></TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
    <B>A. </B></TD>
    <TD></TD>
    <TD valign="bottom">
    The Board of Trustees of the Nuveen Insured Tax-Free Advantage
    Municipal Fund (the &#147;National Fund&#148;) and the Nuveen
    Insured Florida Tax-Free Advantage Municipal Fund (the
    &#147;Florida Fund&#148;) recently voted to recommend a merger
    of the Funds to shareholders. As a Fund shareholder, you are
    being asked to vote to approve this proposed merger at a special
    shareholders meeting to be held
    on&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    2009.</TD>
</TR>

<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
    <B>Q. </B></TD>
    <TD></TD>
    <TD valign="bottom">
    <B>Why has the Board of Trustees recommended merging the Florida
    Fund into the National Fund?</B></TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
    <B>A. </B></TD>
    <TD></TD>
    <TD valign="bottom">
    This recommendation reflects various considerations, among them:
    (i)&#160;the price level at which the Florida Fund&#146;s common
    shares have traded over time in relation to their underlying net
    asset value on an absolute basis as well as relative to other
    closed-end funds; (ii)&#160;prior efforts to enhance, over time,
    the secondary market for the Florida Fund&#146;s common shares,
    including investment strategies aimed at increasing common net
    earnings as well as common share repurchases; and (iii)&#160;the
    repeal of Florida&#146;s intangible personal property tax which
    eliminated the state tax benefit to a Florida resident of owning
    a Florida-specific portfolio of municipal bonds. The Board of
    Trustees believes the proposed merger is in the best interests
    of both the National Fund and the Florida Fund.</TD>
</TR>

<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
    <B>Q. </B></TD>
    <TD></TD>
    <TD valign="bottom">
    <B>What are the proposed merger&#146;s potential benefits to me
    as a Fund shareholder?</B></TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
    <B>A. </B></TD>
    <TD></TD>
    <TD valign="bottom">
    The Board of Trustees believes the proposed merger offers the
    following potential benefits to National Fund and Florida Fund
    shareholders:</TD>
</TR>

</TABLE>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 5%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <B>National Fund</B>:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

<TR>
    <TD width="5%"></TD>
    <TD width="1%"></TD>
    <TD width="94%"></TD>
</TR>

<TR>
    <TD valign="top">
</TD>
    <TD></TD>
    <TD valign="bottom">
<DIV style="text-indent: -11pt; margin-left: 11pt">
    &#149;&#160;<B>Lower fees and expenses</B> per common share from
    greater economies of scale as the combined funds&#146; size
    results in a lower management fee rate and allows fixed
    operating expenses to be spread over a larger asset base.</DIV>
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
</TD>
    <TD></TD>
    <TD valign="bottom">
<DIV style="text-indent: -11pt; margin-left: 11pt">
    &#149;&#160;<B>Enhanced relative investment performance</B> from
    increased common net earnings as well as expanded opportunities
    for enhanced total returns over time from the combined
    funds&#146; larger asset base.</DIV>
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
</TD>
    <TD></TD>
    <TD valign="bottom">
<DIV style="text-indent: -11pt; margin-left: 11pt">
    &#149;&#160;<B>Improved secondary market trading</B> as higher
    common net earnings and enhanced total returns over time may
    lead to higher common share market prices relative to net asset
    value, and the combined funds&#146; greater market liquidity may
    lead to narrower bid-ask spreads and smaller trade-to-trade
    price movements.</DIV>
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
</TD>
    <TD></TD>
    <TD valign="bottom">
<DIV style="text-indent: -11pt; margin-left: 11pt">
    &#149;&#160;<B>Expanded auction rate preferred securities
    (&#147;ARPS&#148;) refinancing opportunities</B> because the
    combined funds&#146; larger asset base may increase its ability
    to refinance ARPS with tender option bonds. Through such
    refinancings the Fund seeks to provide liquidity at par for ARPS
    shareholders and to lower the relative cost of leverage over
    time for common shareholders.</DIV>
</TD>
</TR>

</TABLE>

<P align="left" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

</DIV><!-- END PAGE WIDTH -->
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 5%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <B>Florida Fund:</B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

<TR>
    <TD width="5%"></TD>
    <TD width="1%"></TD>
    <TD width="94%"></TD>
</TR>

<TR>
    <TD valign="top">
</TD>
    <TD></TD>
    <TD valign="bottom">
<DIV style="text-indent: -11pt; margin-left: 11pt">
    &#149;&#160;<B>Lower fees and expenses</B> per common share from
    greater economies of scale as the combined funds&#146; size
    results in a lower management fee rate and allows fixed
    operating expenses to be spread over a larger asset base.</DIV>
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
</TD>
    <TD></TD>
    <TD valign="bottom">
<DIV style="text-indent: -11pt; margin-left: 11pt">
    &#149;&#160;<B>Enhanced relative investment performance</B> from
    increased common net earnings as well as expanded opportunities
    for enhanced total returns over time from a
    nationally-diversified portfolio and the combined funds&#146;
    larger asset base.</DIV>
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
</TD>
    <TD></TD>
    <TD valign="bottom">
<DIV style="text-indent: -11pt; margin-left: 11pt">
    &#149;&#160;<B>Continuity of investment strategy</B> by
    maintaining the Fund&#146;s use of leverage, which offers common
    shareholders the potential for higher monthly tax-exempt
    distributions and enhanced total returns on average over market
    cycles, at a time when the municipal yield spreads are
    particularly wide or attractive.</DIV>
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
</TD>
    <TD></TD>
    <TD valign="bottom">
<DIV style="text-indent: -11pt; margin-left: 11pt">
    &#149;&#160;<B>Improved secondary market trading</B> as a
    national fund instead of a Florida-specific fund potential
    investor base is expected to promote higher common share market
    prices relative to net asset value, and the combined funds&#146;
    greater market liquidity may lead to narrower bid-ask spreads
    and smaller trade-to-trade price movements.</DIV>
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
</TD>
    <TD></TD>
    <TD valign="bottom">
<DIV style="text-indent: -11pt; margin-left: 11pt">
    &#149;&#160;<B>Expanded ARPS refinancing opportunities</B>
    because greater portfolio diversification and the combined
    funds&#146; larger asset base may increase its ability to
    refinance ARPS with tender option bonds. Through such
    refinancings the Fund seeks to provide liquidity at par for ARPS
    shareholders and to lower the relative cost of leverage over
    time for common shareholders.</DIV>
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
    <B>Q. </B></TD>
    <TD></TD>
    <TD valign="bottom">
    <B>Do the Funds have similar investment objectives and
    policies?</B></TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
    <B>A. </B></TD>
    <TD></TD>
    <TD valign="bottom">
    Yes. The Funds have similar investment objectives and policies
    except for (i)&#160;the Florida Fund&#146;s policy of
    concentrating its investment portfolio in Florida state-specific
    municipal securities in comparison to the National Fund&#146;s
    policy of investing in a nationally diversified portfolio of
    municipal securities and (ii)&#160;the Florida Fund is a
    non-diversified management investment company while the National
    Fund is a diversified management investment company.</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
    <B>Q. </B></TD>
    <TD></TD>
    <TD valign="bottom">
    <B>What specific proposals will I be asked to vote on in
    connection with the proposed merger?</B></TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
    <B>A. </B></TD>
    <TD></TD>
    <TD valign="bottom">
    Depending on whether you are a National Fund or Florida Fund
    shareholder, you will be asked to vote on one or both of the
    following proposals:</TD>
</TR>

</TABLE>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">

<TR>
    <TD width="5%"></TD>
    <TD width="5%"></TD>
    <TD width="90%"></TD>
</TR>

<TR valign="top" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <TD>&nbsp;</TD>
    <TD>    (i)&#160;&#160;&#160;
</TD>
    <TD align="left">
    <I>Approve Agreement and Plan of Reorganization (Both
    Funds).</I>&#160;&#160;To approve an Agreement and Plan of
    Reorganization (the &#147;Agreement&#148;), pursuant to which
    the Florida Fund would (i)&#160;transfer all of its assets to
    the National Fund in exchange solely for National Fund common
    shares and Municipal Auction Rate Cumulative Preferred shares
    (&#147;MuniPreferred&#148;), Series&#160;W2, and the National
    Fund&#146;s assumption of all the liabilities of Florida Fund,
    (ii)&#160;distribute such shares of the National Fund to the
    common shareholders and MuniPreferred, Series&#160;W,
    shareholders of the Florida Fund and (iii)&#160;be liquidated,
    dissolved and terminated as a trust in accordance with the
    Florida Fund&#146;s Declaration of Trust (collectively, the
    &#147;Reorganization&#148;).
</TD>
</TR>

<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <TD>&nbsp;</TD>
    <TD>    (ii)&#160;&#160;
</TD>
    <TD align="left">
    <I>Approve Issuance of Common Shares (National
    Fund).</I>&#160;&#160;To approve the issuance of additional
    National Fund common shares in connection with the
    Reorganization.
</TD>
</TR>

</TABLE>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Your Fund&#146;s Board of Trustees, including your Board&#146;s
    independent members, unanimously recommends that you vote <B>FOR
    </B>your Fund&#146;s applicable proposal(s). The Reorganization
    is
</DIV>

<P align="left" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

</DIV><!-- END PAGE WIDTH -->
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    dependent upon shareholder approval of both proposals. If
    shareholder approval of both proposals is not obtained, the
    Reorganization will not occur.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <B>Your vote is very important. We encourage you as a
    shareholder to participate in your Fund&#146;s governance by
    returning your vote as soon as possible. If enough shareholders
    don&#146;t cast their votes, your Fund may not be able to hold
    its meeting or the vote on each issue, and will be required to
    incur additional solicitation costs in order to obtain
    sufficient shareholder participation.</B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

<TR>
    <TD width="5%"></TD>
    <TD width="1%"></TD>
    <TD width="94%"></TD>
</TR>

<TR>
    <TD valign="top">
    <B>Q. </B></TD>
    <TD></TD>
    <TD valign="bottom">
    <B>How does the Board recommend that I vote?</B></TD>
</TR>

<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
    <B>A. </B></TD>
    <TD></TD>
    <TD valign="bottom">
    After careful consideration, the Board agreed unanimously that
    the Reorganization is in the best interests of the Funds and
    <B>recommends that you vote &#147;FOR&#148; your Fund&#146;s
    proposal(s)</B>.</TD>
</TR>

<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
    <B>Q. </B></TD>
    <TD></TD>
    <TD valign="bottom">
    <B>Will Florida Fund shareholders receive new shares in exchange
    for their current shares?</B></TD>
</TR>

<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
    <B>A. </B></TD>
    <TD></TD>
    <TD valign="bottom">
    Yes. Upon approval of the Reorganization, common shareholders of
    the Florida Fund in exchange for their Fund shares will receive
    common shares of the National Fund of equivalent total value.
    Upon approval of the Reorganization, shareholders of the Florida
    Fund&#146;s MuniPreferred, Series W, will receive in exchange
    one share of the National Fund&#146;s MuniPreferred,
    Series&#160;W2, for each share of the Florida Fund&#146;s
    MuniPreferred, Series&#160;W, held.</TD>
</TR>

<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
    <B>Q. </B></TD>
    <TD></TD>
    <TD valign="bottom">
    <B>Is the Reorganization a taxable event for Florida Fund
    shareholders?</B></TD>
</TR>

<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
    <B>A. </B></TD>
    <TD></TD>
    <TD valign="bottom">
    No.&#160;The Reorganization is intended to qualify as a
    reorganization for federal income tax purposes. It is expected
    that you will recognize no gain or loss for federal income tax
    purposes as a result of the Reorganization.</TD>
</TR>

<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
    <B>Q. </B></TD>
    <TD></TD>
    <TD valign="bottom">
    <B>What will happen if shareholders do not approve each
    proposal?</B></TD>
</TR>

<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
    <B>A. </B></TD>
    <TD></TD>
    <TD valign="bottom">
    If both proposals are not approved, the Reorganization will not
    occur. If the Reorganization does not occur, the Board will take
    such actions as it deems to be in the best interests of the
    Florida Fund based upon the Fund&#146;s current circumstances
    and market conditions.</TD>
</TR>

<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
    <B>Q. </B></TD>
    <TD></TD>
    <TD valign="bottom">
    <B>Will I have to pay any direct fees or expenses in connection
    with the Reorganization?</B></TD>
</TR>

<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
    <B>A. </B></TD>
    <TD></TD>
    <TD valign="bottom">
    No.&#160;However, the Funds&#146; expenses associated with the
    Reorganization will be allocated between the Funds and paid out
    of the Funds&#146; net assets. Fund shareholders will indirectly
    bear the costs of the Reorganization.</TD>
</TR>

<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
    <B>Q. </B></TD>
    <TD></TD>
    <TD valign="bottom">
    <B>What is the timetable for the Reorganization?</B></TD>
</TR>

<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
    <B>A. </B></TD>
    <TD></TD>
    <TD valign="bottom">
    If Fund shareholders approve each respective proposal at the
    special shareholders meeting
    on&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    2009, the Reorganization is expected to take effect
    on&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    2009 or as soon as practicable thereafter.</TD>
</TR>

<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
    <B>Q. </B></TD>
    <TD></TD>
    <TD valign="bottom">
    <B>Who do I call if I have questions?</B></TD>
</TR>

<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
    <B>A. </B></TD>
    <TD></TD>
    <TD valign="bottom">
    If you need any assistance, or have any questions regarding the
    proposal or how to vote your shares, please call Georgeson Inc.,
    your proxy solicitor, at
    (&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;)&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;-&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    weekdays during its business hours of 7:00&#160;a.m. to
    7:00&#160;p.m.&#160;Central time. Please have your proxy
    material available when you call.</TD>
</TR>

</TABLE>

<P align="left" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

</DIV><!-- END PAGE WIDTH -->
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<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

<TR>
    <TD width="5%"></TD>
    <TD width="1%"></TD>
    <TD width="94%"></TD>
</TR>

<TR>
    <TD valign="top">
    <B>Q. </B></TD>
    <TD></TD>
    <TD valign="bottom">
    <B>How do I vote my shares?</B></TD>
</TR>

<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
    <B>A. </B></TD>
    <TD></TD>
    <TD valign="bottom">
    You may vote by mail, telephone or over the Internet:</TD>
</TR>

<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
</TD>
    <TD></TD>
    <TD valign="bottom">
<DIV style="text-indent: -11pt; margin-left: 11pt">
    &#149;&#160;<I>To vote by mail</I>, please mark, sign, date and
    mail the enclosed proxy card. No postage is required if mailed
    in the United States.</DIV>
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
</TD>
    <TD></TD>
    <TD valign="bottom">
<DIV style="text-indent: -11pt; margin-left: 11pt">
    &#149;&#160;<I>To vote by telephone</I>, please call the
    toll-free number located on your proxy card and follow the
    recorded instructions, using your proxy card as a guide.</DIV>
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
</TD>
    <TD></TD>
    <TD valign="bottom">
<DIV style="text-indent: -11pt; margin-left: 11pt">
    &#149;&#160;To vote over the Internet, go to the Internet
    address provided on your proxy card and follow the instructions,
    using your proxy card as a guide.</DIV>
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
    <B>Q. </B></TD>
    <TD></TD>
    <TD valign="bottom">
    <B>Will Nuveen contact me?</B></TD>
</TR>

<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
    <B>A. </B></TD>
    <TD></TD>
    <TD valign="bottom">
    You may receive a call to verify that you received your proxy
    materials and to answer any questions you may have about the
    Reorganization.</TD>
</TR>

</TABLE>

<P align="left" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

</DIV><!-- END PAGE WIDTH -->
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<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    2009<BR>
    NUVEEN INSURED TAX-FREE ADVANTAGE MUNICIPAL FUND (NEA)</FONT></B>
</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <B>NUVEEN INSURED FLORIDA TAX-FREE ADVANTAGE MUNICIPAL FUND
    (NWF)</B>
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">NOTICE OF SPECIAL
    MEETING OF SHAREHOLDERS<BR>
    TO BE HELD
    ON&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    2009</FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <B>To the Shareholders</B>:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Notice is hereby given that the Special Meeting of Shareholders
    of Nuveen Insured Tax-Free Advantage Municipal Fund
    (&#147;National Fund&#148; or &#147;Acquiring Fund&#148;) and
    Nuveen Insured Florida Tax-Free Advantage Municipal Fund
    (&#147;Florida Fund&#148; or &#147;Acquired Fund&#148;), will be
    held&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    on&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    2009,
    at&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;:&#160;&#160;&#160;a.m.,
    Central time (the &#147;Special Meeting&#148;), for the
    following purposes:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    1.&#160;For shareholders of each Fund, to approve an Agreement
    and Plan of Reorganization (the &#147;Agreement&#148;), pursuant
    to which Florida Fund would (i)&#160;transfer all of its assets
    to National Fund in exchange solely for common shares and
    Municipal Auction Rate Cumulative Preferred shares
    (&#147;MuniPreferred&#148;), Series&#160;W2, of National Fund
    and the National Fund&#146;s assumption of all the liabilities
    of Florida Fund, (ii)&#160;distribute such shares of the
    National Fund to the common shareholders and MuniPreferred,
    Series&#160;W, shareholders of the Florida Fund and
    (iii)&#160;be liquidated, dissolved and terminated as a trust in
    accordance with the Florida Fund&#146;s Declaration of Trust
    (collectively, the &#147;Reorganization&#148;).
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    2.&#160;For common shareholders of the National Fund, to approve
    the issuance of additional common shares of the National Fund in
    connection with the Reorganization.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Only shareholders of record as of the close of business
    on&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    2009 are entitled to notice of and to vote at the Special
    Meeting or any adjournment thereof.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <B>All shareholders are cordially invited to attend the Special
    Meeting. In order to avoid delay and additional expense for the
    Funds, and to assure that your shares are represented, please
    vote as promptly as possible, whether or not you plan to attend
    the Special Meeting. You may vote by mail, telephone or over the
    Internet.</B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

<TR>
    <TD width="5%"></TD>
    <TD width="1%"></TD>
    <TD width="94%"></TD>
</TR>

<TR>
    <TD valign="top">
</TD>
    <TD></TD>
    <TD valign="bottom">
<DIV style="text-indent: -11pt; margin-left: 11pt">
    &#149;&#160;<B>To vote by mail, please mark, sign, date and mail
    the enclosed proxy card. No postage is required if mailed in the
    United States.</B></DIV>
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
</TD>
    <TD></TD>
    <TD valign="bottom">
<DIV style="text-indent: -11pt; margin-left: 11pt">
    &#149;&#160;<B>To vote by telephone, please call the toll-free
    number located on your proxy card and follow the recorded
    instructions, using your proxy card as a guide.</B></DIV>
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
</TD>
    <TD></TD>
    <TD valign="bottom">
<DIV style="text-indent: -11pt; margin-left: 11pt">
    &#149;&#160;<B>To vote over the Internet, go to the Internet
    address provided on your proxy card and follow the instructions,
    using your proxy card as a guide.</B></DIV>
</TD>
</TR>

</TABLE>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 49%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Kevin J. McCarthy
</DIV>

<DIV align="left" style="margin-left: 49%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Vice President and Secretary
</DIV>

<P align="left" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

</DIV><!-- END PAGE WIDTH -->
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">333 WEST WACKER
    DRIVE<BR>
    CHICAGO, ILLINOIS 60606<BR>
    <FONT style="white-space: nowrap">(800)&#160;257-8787</FONT></FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">PROXY
    STATEMENT/PROSPECTUS</FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">NUVEEN INSURED
    TAX-FREE ADVANTAGE MUNICIPAL FUND (NEA)<BR>
    NUVEEN INSURED FLORIDA TAX-FREE ADVANTAGE MUNICIPAL FUND
    (NWF)</FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    2009</FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    This Proxy Statement/Prospectus is being furnished to the
    shareholders of Nuveen Insured Tax-Free Advantage Municipal Fund
    (&#147;National Fund&#148; or &#147;Acquiring Fund&#148;), a
    closed-end management investment company, and Nuveen Insured
    Florida Tax-Free Advantage Municipal Fund (&#147;Florida
    Fund&#148; or &#147;Acquired Fund&#148; and, together with the
    Acquiring Fund, the &#147;Funds&#148;), a closed-end management
    investment company, in connection with the solicitation of
    proxies by each Fund&#146;s Board of Trustees (each a
    &#147;Board&#148; and each Trustee a &#147;Board Member&#148;)
    for use at the Special Meeting of Shareholders of each Fund to
    be held
    on&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    day,&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    2009,
    at&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;:&#160;&#160;&#160;a.m.,
    Central time, and at any and all adjournments thereof (the
    &#147;Special Meeting&#148;). The enclosed proxy and this Proxy
    Statement/Prospectus are first being sent to shareholders of the
    Funds on or
    about&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    2009. Shareholders of record of the Funds as of the close of
    business
    on&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    2009 are entitled to notice and to vote at the Special Meeting
    and any adjournment thereof. The enclosed proxy and this Proxy
    Statement/Prospectus are first being sent to shareholders of the
    Funds on or
    about&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    2009.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The purposes of the Special Meeting are:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    For each Fund:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    1.&#160;To approve an Agreement and Plan of Reorganization (the
    &#147;Agreement&#148;), pursuant to which the Acquired Fund
    would (i)&#160;transfer all of its assets to the Acquiring Fund
    in exchange solely for common shares and Municipal Auction Rate
    Cumulative Preferred shares (&#147;MuniPreferred&#148;),
    Series&#160;W2, of the Acquiring Fund and the Acquiring
    Fund&#146;s assumption of all the liabilities of the Acquired
    Fund, (ii)&#160;distribute such shares of the Acquiring Fund to
    the common shareholders and MuniPreferred, Series&#160;W,
    shareholders of the Acquired Fund and (iii)&#160;be liquidated,
    dissolved and terminated as a trust in accordance with the
    Acquired Fund&#146;s Declaration of Trust (collectively, the
    &#147;Reorganization&#148;).
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    For common shareholders of the Acquiring Fund:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    2.&#160;To approve the issuance of additional common shares of
    the Acquiring Fund in connection with the Reorganization.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Agreement provides for (i)&#160;the Acquiring Fund&#146;s
    acquisition of all the assets of the Acquired Fund in exchange
    for newly issued common shares of the Acquiring Fund, par value
    $0.01 per share (&#147;Acquiring Fund&#160;Common Shares&#148;),
    and newly issued MuniPreferred, Series&#160;W2, of the Acquiring
    Fund, with a par value of $0.01 per share and liquidation
    preference of $25,000 per share (&#147;Acquiring
    Fund&#160;MuniPreferred Shares&#148;), and the Acquiring
    Fund&#146;s assumption of all the liabilities of the Acquired
    Fund, (ii)&#160;the distribution of the Acquiring
    Fund&#160;Common Shares and Acquiring Fund&#160;MuniPreferred
    Shares held by the Acquired Fund to its common and MuniPreferred
    shareholders, respectively, and (iii)&#160;the liquidation,
    dissolution and termination
</DIV>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <BR>
    i
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    of the Acquired Fund as a Trust in accordance with the Acquired
    Fund&#146;s Declaration of Trust. The number of Acquiring
    Fund&#160;Common Shares to be issued to the Acquired Fund would
    be that number having an aggregate per share net asset value
    equal to the aggregate value of the net assets of the Acquired
    Fund transferred to the Acquiring Fund. The aggregate net asset
    value of Acquiring Fund&#160;Common Shares received in the
    Reorganization will equal the aggregate net asset value of
    Acquired Fund common shares held immediately prior to the
    Reorganization less the costs of the Reorganization borne by the
    Acquired Fund. Shareholders of Acquired Fund&#160;MuniPreferred,
    Series&#160;W, will receive the same number of Acquiring
    Fund&#160;MuniPreferred, Series&#160;W2. The aggregate
    liquidation preference of the Acquiring Fund&#160;MuniPreferred
    Shares received in the Reorganization will equal the aggregate
    liquidation preference of the Acquired Fund&#160;MuniPreferred
    held immediately prior to the Reorganization. The Acquiring Fund
    will continue to operate after the Reorganization as a
    registered closed-end investment company with the investment
    objectives and policies described in this Proxy
    Statement/Prospectus.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    In connection with the Reorganization, common shareholders of
    the Acquiring Fund are being asked to approve the issuance of
    additional Acquiring Fund&#160;Common Shares.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Board of each Fund has determined that including all
    proposals in one Proxy Statement/Prospectus will reduce costs
    and is in the best interests of each Fund.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    In the event that each Fund&#146;s shareholders do not approve
    the Reorganization or that the Acquiring Fund common
    shareholders do not approve the issuance of Acquiring
    Fund&#160;Common Shares, the Acquired Fund will continue to
    exist and the Board of the Acquired Fund will consider what
    additional action to take, if any.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    This Proxy Statement/Prospectus concisely sets forth the
    information shareholders of the Funds should know before voting
    on the proposals and constitutes an offering of common shares
    and MuniPreferred, Series&#160;W2, of the Acquiring Fund only.
    Please read it carefully and retain it for future reference.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The following documents have been filed with the Securities and
    Exchange Commission (&#147;SEC&#148;) and are incorporated into
    this Proxy Statement/Prospectus by reference:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (i)&#160;the Statement of Additional Information relating to the
    proposed Reorganization,
    dated&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    2009 (the &#147;Reorganization SAI&#148;);
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (ii)&#160;the audited financial statements and related
    independent registered public accounting firm&#146;s report for
    the Acquiring Fund and the financial highlights for the
    Acquiring Fund contained in the Fund&#146;s Annual Report for
    the fiscal year ended October&#160;31, 2008;
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (iii)&#160;the audited financial statements and related
    independent registered public accounting firm&#146;s report for
    the Acquired Fund and the financial highlights for the Acquired
    Fund contained in the Fund&#146;s Annual Report for the fiscal
    year ended April&#160;30, 2008;&#160;and
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (iv)&#160;the unaudited financial statements and the financial
    highlights for the Acquired Fund contained in the Fund&#146;s
    Semi-Annual Report for the period ended October&#160;31, 2008.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    No other parts of the Funds&#146; Annual or Semi-Annual Reports
    are incorporated by reference herein.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Copies of the foregoing may be obtained without charge by
    calling or writing the Funds at the telephone number or address
    shown above. If you wish to request the Reorganization SAI,
    please ask for the &#147;Reorganization SAI.&#148; In addition,
    the Acquiring Fund will furnish, without charge, a copy
</DIV>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <BR>
    ii
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    of its most recent annual report and subsequent semiannual
    report to a shareholder upon request. Any such request should be
    directed to the Acquiring Fund by calling
    <FONT style="white-space: nowrap">(800)&#160;257-8787</FONT>
    or by writing the Acquiring Fund at 333&#160;West Wacker Drive,
    Chicago, Illinois 60606.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Funds are both closed-end management investment companies,
    with similar objectives and policies&#160;&#151; primarily to
    provide current income exempt from regular federal income tax
    and the alternative minimum tax applicable to individuals and
    enhance portfolio value relative to the municipal bond market by
    investing in tax-exempt municipal bonds that the Funds&#146;
    investment adviser believes are underrated or undervalued or
    that represent municipal market sectors that are undervalued,
    and in the case of the Acquired Fund, the Fund&#146;s shares to
    be exempt from the Florida intangible personal property tax. The
    Acquiring Fund is a diversified management investment company
    and the Acquired Fund is a non-diversified management investment
    company.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Funds are subject to the informational requirements of the
    Securities Exchange Act of 1934, as amended, and the Investment
    Company Act of 1940, as amended (the &#147;1940 Act&#148;), and
    in accordance therewith file reports and other information with
    the SEC. Reports, proxy statements, registration statements and
    other information filed by the Funds (including the Registration
    Statement relating to the Acquiring Fund on
    <FONT style="white-space: nowrap">Form&#160;N-14</FONT>
    of which this Proxy Statement/Prospectus is a part may be
    inspected without charge and copied (for a duplication fee at
    prescribed rates) at the SEC&#146;s public reference room at
    100&#160;F&#160;Street, N.E., Washington,&#160;D.C. 20549 or at
    the SEC&#146;s Northeast Regional Office (3 World Financial
    Center, New York, New York 10281)&#160;or Midwest Regional
    Office (175&#160;W.&#160;Jackson Boulevard, Suite&#160;900,
    Chicago, Illinois 60604). You may call the SEC at
    <FONT style="white-space: nowrap">(202)&#160;551-5850</FONT>
    for information about the operation of the public reference
    room. You may obtain copies of this information, with payment of
    a duplication fee, by electronic request at the following
    <FONT style="white-space: nowrap">e-mail</FONT>
    address: publicinfo@sec.gov, or by writing the SEC&#146;s Public
    Reference Branch, Office of Consumer Affairs and Information
    Services, Securities and Exchange Commission,
    Washington,&#160;D.C. 20549. You may also access reports and
    other information about the Funds on the EDGAR database on the
    SEC&#146;s Internet site at
    <FONT style="white-space: nowrap">http://www.sec.gov.</FONT>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The shares of the Funds are listed on the NYSE Alternext US
    (&#147;NYSE Alternext&#148;); reports, proxy statements and
    other information concerning the Acquired Fund can be inspected
    at the offices of the NYSE Alternext, 11 Wall Street, New York,
    New York 10005.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    This Proxy Statement/Prospectus serves as a prospectus of the
    Acquiring Fund in connection with the issuance of the Acquiring
    Fund&#160;Common Shares and the Acquiring
    Fund&#160;MuniPreferred Shares in the Reorganization. No person
    has been authorized to give any information or make any
    representation not contained in this Proxy Statement/Prospectus
    and, if so given or made, such information or representation
    must not be relied upon as having been authorized. This Proxy
    Statement/Prospectus does not constitute an offer to sell or a
    solicitation of an offer to buy any securities in any
    jurisdiction in which, or to any person to whom, it is unlawful
    to make such offer or solicitation.
</DIV>

<DIV style="margin-top: 3pt; font-size: 1pt">&nbsp;</DIV>

<DIV style="margin-top: 3pt; font-size: 1pt">&nbsp;</DIV>

<CENTER style="font-size: 1pt; width: 24%; border-bottom: 1pt solid #000000"></CENTER><!-- callerid=999 iwidth=341 length=84 -->

<DIV style="margin-top: 3pt; font-size: 1pt">&nbsp;</DIV>

<DIV style="margin-top: 3pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <B>The Securities and Exchange Commission has not approved or
    disapproved these securities or determined whether the
    information in this Proxy Statement/Prospectus is truthful or
    complete. Any representation to the contrary is a criminal
    offense.</B>
</DIV>

<DIV style="margin-top: 3pt; font-size: 1pt">&nbsp;</DIV>

<DIV style="margin-top: 3pt; font-size: 1pt">&nbsp;</DIV>

<CENTER style="font-size: 1pt; width: 24%; border-bottom: 1pt solid #000000"></CENTER><!-- callerid=999 iwidth=341 length=84 -->

<DIV style="margin-top: 3pt; font-size: 1pt">&nbsp;</DIV>

<DIV style="margin-top: 3pt; font-size: 1pt">&nbsp;</DIV>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <BR>
    iii
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<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">PROXY
    STATEMENT/PROSPECTUS</FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    2009</FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">NUVEEN INSURED
    TAX-FREE ADVANTAGE MUNICIPAL FUND (NEA)<BR>
    NUVEEN INSURED FLORIDA TAX-FREE ADVANTAGE MUNICIPAL FUND
    (NWF)</FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">TABLE OF
    CONTENTS</FONT></B>
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<TABLE border="0" width="100%" align="center" cellpadding="0" cellspacing="0" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
<!-- Table Width Row BEGIN -->
<TR style="font-size: 1pt" valign="bottom">
    <TD width="96%">&nbsp;</TD>	<!-- colindex=01 type=maindata -->
    <TD width="2%">&nbsp;</TD>	<!-- colindex=02 type=gutter -->
    <TD width="2%">&nbsp;</TD>	<!-- colindex=02 type=maindata -->
</TR>
<!-- Table Width Row END -->
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    SUMMARY
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    Proposal 1: The Reorganization
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    &#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;Background
    and Reasons for the Reorganization
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    &#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;Certain
    Federal Income Tax Consequences of the Reorganization
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    4
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    &#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;Comparison
    of the Acquiring Fund and the Acquired Fund
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    4
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    &#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;Capitalization
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    7
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    &#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;Comparative
    Performance Information
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    9
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    Proposal&#160;2: Issuance of Acquiring Fund&#160;Common Shares
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    10
</TD>
</TR>
<TR valign="bottom" style="line-height: 6pt">
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    RISK FACTORS
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    10
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    Differences in Risks
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    11
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    Similarity of Risks
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    14
</TD>
</TR>
<TR valign="bottom" style="line-height: 6pt">
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    THE SPECIAL MEETING
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    23
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    General
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    23
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    Voting; Proxies
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    23
</TD>
</TR>
<TR valign="bottom" style="line-height: 6pt">
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    PROPOSAL&#160;NO.&#160;1&#160;&#151; THE REORGANIZATION
    (SHAREHOLDERS OF EACH FUND)
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    24
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    General
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    24
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    Terms of the Reorganization
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    25
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    Reasons for the Reorganization
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    26
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    Votes Required
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    29
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    Rating Agency Considerations
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    29
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    Description of Common Shares Issued by the Acquiring Fund
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    30
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    Comparison of Rights of Holders of Common Shares of the
    Acquiring Fund and the Acquired Fund
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    32
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    Description of MuniPreferred Issued by the Acquiring Fund
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    32
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    The Auction
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    44
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    Comparison of Rights of Holders of MuniPreferred of the
    Acquiring Fund and the Acquired Fund
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    47
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    Comparison of the Investment Objectives and Policies of the
    Acquiring Fund and the Acquired Fund
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    47
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    How the Funds Manage Risk
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    61
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    Certain Provisions in the Acquiring Fund&#146;s Declaration of
    Trust and By-Laws
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    65
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    Expenses Associated with the Reorganization
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    66
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    Dissenting Shareholders&#146; Rights of Appraisal
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    66
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    Certain Federal Income Tax Consequences of the Reorganization
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    67
</TD>
</TR>
</TABLE>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    iv
</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<TABLE border="0" width="100%" align="center" cellpadding="0" cellspacing="0" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
<!-- Table Width Row BEGIN -->
<TR style="font-size: 1pt" valign="bottom">
    <TD width="96%">&nbsp;</TD>	<!-- colindex=01 type=maindata -->
    <TD width="2%">&nbsp;</TD>	<!-- colindex=02 type=gutter -->
    <TD width="2%">&nbsp;</TD>	<!-- colindex=02 type=maindata -->
</TR>
<!-- Table Width Row END -->
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    PROPOSAL&#160;NO.&#160;2.&#160;&#151; ISSUANCE OF ADDITIONAL
    ACQUIRING FUND&#160;COMMON SHARES (ACQUIRING FUND&#160;COMMON
    SHAREHOLDERS ONLY)
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    68
</TD>
</TR>
<TR valign="bottom" style="line-height: 6pt">
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    MANAGEMENT OF THE FUNDS
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    69
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    Board Members and Officers
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    69
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    Investment Adviser
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    69
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    Portfolio Management
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    71
</TD>
</TR>
<TR valign="bottom" style="line-height: 6pt">
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    ADDITIONAL INFORMATION ABOUT THE FUNDS
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    72
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    General History
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    72
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    Shareholders of the Acquiring Fund and the Acquired Fund
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    74
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    Repurchase of Common Shares; Conversion to Open-End Fund
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    74
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    Custodian, Transfer Agent, Dividend Disbursing Agent and
    Redemption&#160;Agent
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    75
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 30pt">
    Federal Income Tax Matters Associated with Investment in the
    Funds
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    75
</TD>
</TR>
<TR valign="bottom" style="line-height: 6pt">
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    NET ASSET VALUE
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    77
</TD>
</TR>
<TR valign="bottom" style="line-height: 6pt">
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    LEGAL OPINIONS
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    78
</TD>
</TR>
<TR valign="bottom" style="line-height: 6pt">
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    EXPERTS
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    78
</TD>
</TR>
<TR valign="bottom" style="line-height: 6pt">
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    SHAREHOLDER PROPOSALS
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    78
</TD>
</TR>
<TR valign="bottom" style="line-height: 9pt">
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -10pt; margin-left: 10pt">
    GENERAL
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    79
</TD>
</TR>
</TABLE>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

</DIV>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <BR>
    v
</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->
<A name='101'>
<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">SUMMARY</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The following is a summary of certain information contained
    elsewhere in this Proxy Statement/Prospectus and is qualified in
    its entirety by reference to the more complete information
    contained in this Proxy Statement/Prospectus and in the
    Reorganization SAI and the appendices thereto. Shareholders
    should read the entire Proxy Statement/Prospectus carefully.
    Certain capitalized terms used but not defined in this summary
    are defined elsewhere in the text of this Proxy
    Statement/Prospectus or in the Acquiring Fund&#146;s Statement
    Establishing and Fixing the Rights and Preferences of Municipal
    Auction Rate Cumulative Preferred Shares (the &#147;Acquiring
    Fund&#160;Statement&#148;) attached as
    Appendix&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    to the Reorganization SAI.
</DIV>
<A name='102'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Proposal&#160;1:
    The Reorganization</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    If the shareholders of each Fund approve the Reorganization and
    the common shareholders of the Acquiring Fund approve the
    issuance of additional Acquiring Fund&#160;Common Shares (see
    &#147;Proposal&#160;2: Issuance of Additional Acquiring
    Fund&#160;Common Shares&#148;): (i)&#160;the Acquiring Fund will
    acquire all the assets of the Acquired Fund in exchange for
    newly issued Acquiring Fund&#160;Common Shares and newly issued
    Acquiring Fund&#160;MuniPreferred Shares, and the Acquiring
    Fund&#146;s assumption of all the liabilities of the Acquired
    Fund, (ii)&#160;the distribution of the Acquiring
    Fund&#160;Common Shares and Acquiring Fund&#160;MuniPreferred
    Shares held by the Acquired Fund to its common and preferred
    shareholders, respectively and (iii)&#160;the liquidation,
    dissolution and termination of the Acquired Fund as a Trust in
    accordance with the Acquired Fund&#146;s Declaration of Trust.
    The number of Acquiring Fund&#160;Common Shares to be issued to
    the Acquired Fund would be that number having an aggregate per
    share net asset value equal to the aggregate value of the net
    assets of the Acquired Fund transferred to the Acquiring Fund.
    The aggregate net asset value of Acquiring Fund&#160;Common
    Shares received in the Reorganization will equal the aggregate
    net asset value of Acquired Fund common shares held immediately
    prior to the Reorganization less the costs of the Reorganization
    borne by the Acquired Fund. The number of Acquiring
    Fund&#160;MuniPreferred Shares to be issued to the Acquired Fund
    would be that number of shares of Acquiring
    Fund&#160;MuniPreferred Shares as was held of Acquired
    Fund&#160;MuniPreferred Shares, Series&#160;W. The aggregate
    liquidation preference of the Acquiring Fund&#160;MuniPreferred
    Shares received in the Reorganization will equal the aggregate
    liquidation preference of the Acquired Fund&#160;MuniPreferred
    shares held immediately prior to the Reorganization.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Board of each Fund, including the trustees who are not
    &#147;interested persons,&#148; as defined in the 1940 Act, of
    each Fund, has unanimously approved the Reorganization. <B>The
    Board of each Fund recommends that the shareholders vote
    &#147;FOR&#148; the approval of the Reorganization</B>. See
    &#147;Proposal&#160;No.&#160;1&#160;&#151; The
    Reorganization.&#148;
</DIV>
<A name='103'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Background
    and Reasons for the Reorganization</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Boards&#146; recommendation of the Reorganization reflects
    various considerations, among them: (i)&#160;the price level at
    which the Acquired Fund&#146;s common shares have traded over
    time in relation to their underlying net asset value on an
    absolute basis as well as relative to other closed-end funds;
    (ii)&#160;prior efforts to enhance, over time, the secondary
    market for the Acquired Fund&#146;s common shares, including
    investment strategies aimed at increasing common net earnings as
    well as common share repurchases; and (iii)&#160;the repeal of
    Florida&#146;s intangible personal property tax which eliminated
    the state tax benefit to a Florida resident of owning a
    Florida-specific portfolio of municipal bonds. The Board of
    Trustees of the Acquiring Fund and
</DIV>

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<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    the Acquired Fund believes the proposed merger is in the best
    interests of the Acquiring Fund and the Acquired Fund,
    respectively.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    As a result of the Reorganization, the net assets of the
    Acquiring Fund and the Acquired Fund would be combined and the
    shareholders of the Acquired Fund would become shareholders of
    the Acquiring Fund. The investment objectives and policies of
    the Funds are similar except that the Acquired Fund invests in
    municipal bonds that that are exempt from the Florida intangible
    personal property tax and concentrates its assets in municipal
    bonds generally issued by the State of Florida, a municipality
    in Florida, or a political subdivision or agency or
    instrumentality of such State or municipality (&#147;Florida
    municipal bonds&#148;). The Board Members and officers of the
    larger combined entity would be identical to those of the Funds.
    The general portfolio characteristics of the larger combined
    entity would be similar to both Funds.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Board of each Fund believes that the proposed Reorganization
    would be in the best interests of the Funds. In approving the
    Reorganization, the Boards considered information regarding the
    Funds, the proposed Reorganization and a number of factors,
    including, among other things:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">

<TR>
    <TD width="5%"></TD>
    <TD width="4%"></TD>
    <TD width="91%"></TD>
</TR>

<TR valign="top" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <TD>&nbsp;</TD>
    <TD>    &#149;&#160;
</TD>
    <TD align="left">
    the secondary market trading history of the Funds (i.e., the
    price level at which the Funds&#146; shares have traded over
    time in relation to their underlying net asset value on an
    absolute basis and as compared to other closed-end funds) and
    prior efforts to enhance the secondary market for the common
    shares of the Acquired Fund;
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <TD>&nbsp;</TD>
    <TD>    &#149;&#160;
</TD>
    <TD align="left">
    the elimination of the Florida intangibles tax;
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <TD>&nbsp;</TD>
    <TD>    &#149;&#160;
</TD>
    <TD align="left">
    the compatibility of the investment objectives, policies and
    strategies of the Funds;
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <TD>&nbsp;</TD>
    <TD>    &#149;&#160;
</TD>
    <TD align="left">
    the potential opportunities to refinance MuniPreferred;
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <TD>&nbsp;</TD>
    <TD>    &#149;&#160;
</TD>
    <TD align="left">
    the relative fees and expense ratios of the Funds, including
    caps on the Funds&#146; expenses agreed to by each Funds&#146;
    adviser;
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <TD>&nbsp;</TD>
    <TD>    &#149;&#160;
</TD>
    <TD align="left">
    the investment performance of the Funds;
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <TD>&nbsp;</TD>
    <TD>    &#149;&#160;
</TD>
    <TD align="left">
    the anticipated tax-free nature of the Reorganization;
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <TD>&nbsp;</TD>
    <TD>    &#149;&#160;
</TD>
    <TD align="left">
    the expected costs of the Reorganization and the extent to which
    the Funds would bear any such costs;
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <TD>&nbsp;</TD>
    <TD>    &#149;&#160;
</TD>
    <TD align="left">
    the terms of the Reorganization and whether the Reorganization
    would dilute the interests of shareholders of the Funds;&#160;and
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <TD>&nbsp;</TD>
    <TD>    &#149;&#160;
</TD>
    <TD align="left">
    any potential benefits of the Reorganization to the adviser as a
    result of the Reorganization.
</TD>
</TR>

</TABLE>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    In approving the Reorganization, the Boards considered, in
    particular, the following potential benefits:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">

<TR>
    <TD width="5%"></TD>
    <TD width="4%"></TD>
    <TD width="91%"></TD>
</TR>

<TR valign="top" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <TD>&nbsp;</TD>
    <TD>    &#149;&#160;
</TD>
    <TD align="left">
    <I>Expected lower fees and expenses.</I>&#160;&#160;After the
    Reorganization, the combined fund is expected to have lower fees
    and expenses per common share than the Acquiring Fund and
    Acquired Fund from achieving greater economies of scale as the
    larger asset size of the combined fund is expected to result in
    a lower management fee rate and allow for the fixed operating
    costs to be spread over a larger asset base.
</TD>
</TR>

</TABLE>

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    <BR>
    2
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<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">

<TR>
    <TD width="5%"></TD>
    <TD width="4%"></TD>
    <TD width="91%"></TD>
</TR>

<TR valign="top" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <TD>&nbsp;</TD>
    <TD>    &#149;&#160;
</TD>
    <TD align="left">
    <I>Enhanced relative investment performance.</I>&#160;&#160;The
    combined fund is estimated to have an increase in common net
    earnings after the Reorganization compared to that of the
    Acquiring Fund and Acquired Fund and expected to have expanded
    opportunities for enhanced total returns due to the larger asset
    base (and in relation to the Acquired Fund, a
    nationally-diversified portfolio).
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <TD>&nbsp;</TD>
    <TD>    &#149;&#160;
</TD>
    <TD align="left">
    <I>Improved secondary market trading.</I>&#160;&#160;The
    estimated higher common net earnings, expected enhanced total
    returns over time, and the larger asset base of the combined
    fund after the Reorganization may lead to higher common share
    market prices relative to net asset value and the combined
    fund&#146;s greater market liquidity may lead to narrower
    bid-ask spreads and smaller trade-to-trade price movements. In
    addition, with respect to the Acquired Fund, the Board of the
    Acquired Fund also considered that a broader potential investor
    base of a national fund may also promote a higher common share
    price to net asset value.
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <TD>&nbsp;</TD>
    <TD>    &#149;&#160;
</TD>
    <TD align="left">
    <I>Expanded MuniPreferred refinancing
    opportunities.</I>&#160;&#160;After the Reorganization, the
    larger asset size of the combined fund may increase the ability
    to refinance the MuniPreferred with tender option bonds
    (&#147;TOBs&#148;). The greater portfolio diversification of the
    Acquiring Fund compared to the Acquired Fund may also enhance
    the combined fund&#146;s ability to refinance the MuniPreferred
    compared to that of the Acquired Fund. The Boards also
    considered that such refinancings may provide liquidity at par
    for MuniPreferred shareholders and lower the relative costs of
    leverage over time for common shareholders.
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <TD>&nbsp;</TD>
    <TD>    &#149;&#160;
</TD>
    <TD align="left">
    <I>Continuity of investment objectives and
    strategies.</I>&#160;&#160;The Boards considered the
    compatibility of the Funds&#146; investment objectives, policies
    and strategies except in relevant part, the Acquired Fund would
    invest primarily in municipal securities that pay interest
    exempt from an intangible personal property tax assessed by
    Florida on the value of stocks, bonds, other evidences of
    indebtedness and mutual fund shares. Florida repealed the
    intangible personal property tax in 2007 reducing the
    attractiveness of Florida bonds to investors formerly subject to
    the tax. Accordingly, a primary reason for the policy of the
    Acquired Fund to invest primarily in Florida municipal bonds was
    eliminated and the continuation of such policy is no longer
    necessary. With the Reorganization, the Acquired Fund common
    shareholders would be invested in a more diversified portfolio
    and their exposure to Florida obligations would decrease. In
    addition, both Funds have issued MuniPreferred to create
    leverage. Through the use of leverage, the Funds seek to enhance
    potential common share earnings over time by borrowing at
    short-term municipal rates and investing at long-term municipal
    rates which generally are higher. Although there are no
    assurances that the use of leverage will result in a higher
    yield or return to common shareholders, the Boards believe that
    the Acquiring Fund&#146;s use of leverage would continue to
    provide Acquired Fund common shareholders with the potential for
    higher monthly tax-exempt distributions and enhanced total
    returns on average over market cycles at a time when the
    municipal yield spreads are particularly wide or attractive. In
    addition, as discussed in more detail above, the larger asset
    base of the combined fund may increase its ability to refinance
    MuniPreferred with TOBs.
</TD>
</TR>

</TABLE>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    For a fuller discussion of the Boards&#146; considerations
    regarding the approval of the Reorganization, see
    &#147;Proposal&#160;No.&#160;1&#160;&#151; The
    Reorganization&#160;&#151; Reasons for the Reorganization.&#148;
</DIV>

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    <BR>
    3
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<A name='104'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Certain
    Federal Income Tax Consequences of the Reorganization</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Reorganization is intended to qualify as a reorganization
    for federal income tax purposes. If the Reorganization so
    qualifies, neither the Acquired Fund nor its shareholders will
    recognize any gain or loss as a direct result of the transfers
    contemplated by the Reorganization. See
    &#147;Proposal&#160;No.&#160;1&#160;&#151; The
    Reorganization&#160;&#151; Certain Federal Income Tax
    Consequences of the Reorganization.&#148;
</DIV>
<A name='105'>
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<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Comparison
    of the Acquiring Fund and the Acquired Fund</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>General.</I>&#160;&#160;The Acquiring Fund and the Acquired
    Fund are both closed-end management investment companies. The
    Acquiring Fund is a diversified management investment company
    and the Acquired Fund is a non-diversified management investment
    company. The Acquiring Fund common shares are listed and trade
    on the NYSE Alternext under the symbol NEA and the Acquired Fund
    common shares are listed and trade on the NYSE Alternext under
    the symbol NWF. The Acquiring Fund and the Acquired Fund are
    organized as business trusts under the laws of the Commonwealth
    of Massachusetts. The common shares of each Fund have equal
    voting rights and equal rights with respect to the payment of
    dividends and distribution of assets upon liquidation and have
    no preemptive, conversion or exchange rights or rights to
    cumulative voting. All outstanding shares of Acquiring
    Fund&#160;MuniPreferred and Acquired Fund&#160;MuniPreferred are
    rated &#147;AAA&#148; by S&#038;P and &#147;Aaa&#148; by
    Moody&#146;s. The Acquiring Fund&#160;MuniPreferred Shares
    issued to the Acquired Fund pursuant to the Reorganization will
    have rights and preferences, including liquidation preferences,
    that are substantially similar to those of the outstanding
    shares of Acquired Fund&#160;MuniPreferred. See
    &#147;Proposal&#160;No.&#160;1&#160;&#151; The
    Reorganization.&#148;
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Investment Objectives and Policies.</I>&#160;&#160;The
    Acquiring Fund and Acquired Fund have similar investment
    objectives. Both Funds&#146; investment objectives are to
    provide current income exempt from regular federal income tax
    and the alternative minimum tax applicable to individuals and
    enhance portfolio value relative to the municipal bond market by
    investing in tax-exempt municipal bonds that the Funds&#146;
    investment adviser believes are underrated or undervalued or
    that represent municipal market sectors that are undervalued.
    The Acquired Fund&#146;s shares will also be exempt from the
    Florida intangible personal property tax.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Acquiring Fund and Acquired Fund also have similar
    investment policies. The Acquiring Fund, under normal
    circumstances, will invest at least 80% of its net assets,
    including assets attributable to any principal amount of any
    borrowings (including the issuance of commercial paper or notes)
    or preferred shares outstanding (&#147;Acquiring Managed
    Assets&#148;), in a portfolio of securities that pay interest
    exempt from federal income taxes (&#147;municipal
    securities&#148;) and from the federal alternative minimum tax
    applicable to individuals. The Acquired Fund, under normal
    circumstances, will invest at least 80% of its average daily net
    assets, including assets attributable to any MuniPreferred
    shares that may be outstanding (&#147;Acquired Managed
    Assets&#148;) in a portfolio of municipal bonds that pay
    interest that is exempt from regular federal income tax and from
    the federal alternative minimum tax applicable to individuals,
    are exempt from the Florida intangible personal property tax,
    and are covered by insurance guaranteeing the timely payment of
    principal and interest thereon. The primary difference between
    the Fund&#146;s stated policies is that the Acquired Fund
    invests substantially all of its assets in municipal bonds that
    are exempt from the Florida intangible personal property tax and
    therefore concentrates its assets in Florida municipal bonds.
    Effective January&#160;1, 2007, the State of Florida repealed
    the state&#146;s intangible personal property tax, which
    eliminated the
</DIV>

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    <BR>
    4
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<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    state tax benefit to a Florida resident of owning a
    Florida-specific portfolio of municipal bonds. See &#147;Reasons
    for the Reorganization&#160;&#151; Elimination of the Florida
    Intangibles Tax.&#148;
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Board Members and Officers.</I>&#160;&#160;The Acquiring Fund
    and the Acquired Fund have the same Board Members and officers.
    The management of each Fund, including general supervision of
    the duties performed by the Adviser (as defined below) under the
    Investment Management Agreement for each Fund, is the
    responsibility of its Board. There are currently nine
    (9)&#160;trustees of the Funds, one (1)&#160;of whom is an
    &#147;interested person&#148; (as defined in the 1940 Act) and
    eight (8)&#160;of whom are not interested persons (the
    &#147;independent trustees&#148;). The names and business
    addresses of the trustees and officers of the Funds and their
    principal occupations and other affiliations during the past
    five years are set forth under &#147;Management&#148; in the
    Reorganization SAI incorporated herein by reference.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Investment Adviser.</I>&#160;&#160;Nuveen Asset Management
    (the &#147;Adviser&#148; or &#147;NAM&#148;) is responsible for
    investing each Fund&#146;s net assets. NAM oversees the
    management of the Funds&#146; portfolios, manages the
    Funds&#146; business affairs and provides certain clerical,
    bookkeeping and other administrative services. NAM is located at
    333&#160;West Wacker Drive, Chicago, Illinois 60606.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    NAM, a registered investment adviser, is a wholly owned
    subsidiary of Nuveen Investments, Inc. (&#147;Nuveen
    Investments&#148;). Founded in 1898, Nuveen Investments and its
    affiliates had approximately
    $&#160;&#160;&#160;&#160;&#160;&#160;billion of assets under
    management as of December&#160;31, 2008. On November&#160;13,
    2007, Nuveen Investments was acquired by investors led by
    Madison Dearborn Partners, LLC. Madison Dearborn Partners, LLC
    is a private equity investment firm based in Chicago, Illinois.
    See &#147;Management of the Funds-Investment Adviser.&#148;
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The portfolio manager for the Acquiring Fund is Paul Brennan,
    CFA, CPA. Mr.&#160;Brennan manages several national open- and
    closed-end funds. Mr.&#160;Brennan began his career in the
    investment business in 1991 when he was a municipal credit
    analyst, then became a portfolio manager in 1994. He joined
    Nuveen Investments in 1997 while at Flagship Financial which
    Nuveen acquired. He earned his BS in Accountancy and Finance
    from Wright State University. He is a CPA, has earned the
    Chartered Financial Analyst designation, and currently sits on
    the Nuveen Asset Management Investment Management Committee.
    Prior to joining Flagship, Paul was employed at
    Deloitte&#160;&#038; Touche within the audit group which
    participated in auditing mutual funds and investment advisers.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The portfolio manager for the Acquired Fund is Daniel Close,
    CFA. Mr.&#160;Close joined Nuveen Investments in 2000 as a
    member of Nuveen&#146;s product management and development team,
    where he was responsible for the oversight and development of
    Nuveen&#146;s mutual fund product line. He then served as a
    research analyst for Nuveen&#146;s municipal investing team,
    covering corporate-backed, energy, transportation and utility
    credits. He received his BS in Business from Miami University
    and his MBA from Northwestern University&#146;s Kellogg School
    of Management. Mr.&#160;Close has earned the Chartered Financial
    Analyst designation.
</DIV>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <BR>
    5
</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Pursuant to an Investment Management Agreement between the
    Adviser and each Fund, each Fund pays an annual management fee
    for the services and facilities furnished by the Adviser on a
    monthly basis at the following annual rates:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE border="0" width="100%" align="center" cellpadding="0" cellspacing="0" style="font-size: 9pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
<!-- Table Width Row BEGIN -->
<TR style="font-size: 1pt" valign="bottom">
    <TD width="89%">&nbsp;</TD>	<!-- colindex=01 type=maindata -->
    <TD width="3%">&nbsp;</TD>	<!-- colindex=02 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=02 type=lead -->
    <TD width="6%" align="right">&nbsp;</TD>	<!-- colindex=02 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=02 type=hang1 -->
</TR>
<!-- Table Width Row END -->
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD colspan="4" align="center" valign="bottom" style="border-bottom: 1px solid #000000">
    <B>Management Fee Schedule</B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="left" valign="bottom">
    <B>Average Daily Net Assets</B>
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    <B>Rate</B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 1pt" valign="bottom" align="center">
<TD colspan="4" align="center" valign="bottom" style="font-size: 1pt; border-bottom: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="line-height: 3pt; font-size: 1pt">
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Up to $125&#160;million
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.4500
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    $125 to $250&#160;million
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.4375
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    $250 to $500&#160;million
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.4250
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    $500&#160;million to $1&#160;billion
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.4125
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    $1&#160;billion to $2&#160;billion
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.4000
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    $2&#160;billion and over
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.3750
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD colspan="5" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD colspan="5" style="border-top: 1px solid #000000">
&nbsp;
</TD>
</TR>
</TABLE>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    In addition to the fund-level fee, each Fund pays a
    complex-level fee. The complex-level fee is the same for each
    Fund and begins at a maximum rate of 0.20% of each Fund&#146;s
    net assets, based upon complex-level assets of $55&#160;billion,
    with breakpoints for assets above that level. Therefore, the
    maximum management fee rate for each Fund is the fund-level fee
    plus 0.20%. As of December&#160;31, 2008, the effective
    complex-level fee for each Fund was 0.20% of net assets. See
    &#147;Management of the Funds&#160;&#151; Investment
    Adviser.&#148;
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Acquiring Fund paid aggregate management fees of $2,527,989
    for the fiscal year ended October&#160;31, 2008, for an
    effective management fee rate of 0.96% based on net assets
    applicable to common shares (0.62% based on managed assets). The
    Acquired Fund paid aggregate management fees of $534,685 for the
    fiscal year ended April&#160;30, 2008, for an effective
    management fee rate of 0.97% based on net assets applicable to
    common shares (0.63% based on managed assets).
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Dividends and Distributions.</I>&#160;&#160;The Funds have
    identical dividend policies with respect to the payment of
    dividends on their common shares. Each Fund&#146;s present
    policy, which may be changed by its Board, is to make regular
    monthly cash distributions to holders of its common shares at a
    level rate (stated in terms of a fixed cents per common share
    dividend rate) that reflects the past and projected performance
    of the Fund. Distributions can only be made from net investment
    income after paying any accrued dividends to MuniPreferred
    shareholders. Each Fund&#146;s ability to maintain a level
    dividend rate will depend on a number of factors, including
    dividends payable on the MuniPreferred shares. The net income of
    each consists of all interest income accrued on portfolio assets
    less all expenses of the Fund. Over time, all the net investment
    income of each Fund will be distributed. At least annually, each
    Fund also intends to distribute net capital gain and ordinary
    taxable income, if any, after paying any accrued dividends or
    making any liquidation payments to MuniPreferred shareholders.
    Holders of common shares of each Fund may elect to have all
    distributions automatically reinvested in common shares of the
    Fund pursuant to that Fund&#146;s Dividend Reinvestment Plan.
    See &#147;Proposal&#160;No.&#160;1&#160;&#151; The
    Reorganization&#160;&#151; Description of Common Shares Issued
    by the Acquiring Fund&#160;&#151; Distributions&#148; and
    &#147;&#151;&#160;Dividend Reinvestment Plan&#148; and
    &#147;Additional Information About the Funds&#160;&#151; Tax
    Matters Associated with Investment in the Funds.&#148;
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The dividend rates on shares of each Fund&#146;s MuniPreferred,
    including the Acquiring Fund&#160;MuniPreferred Shares issued
    pursuant to the Reorganization, are structured to be determined
    on the basis of auctions, which are scheduled to be held weekly.
    In February 2008, escalating liquidity pressures across
    financial markets led to the systemic failure of the auction
    rate preferred
</DIV>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <BR>
    6
</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    securities (&#147;ARPS&#148;) market and the auction process
    used to set the ARPS&#146; dividend rate. This failure is
    ongoing and affects the Funds&#146; MuniPreferred Shares whose
    dividend rates are currently set by reference to a
    predetermined, index-based formula (the &#147;Maximum
    Rate&#148;). See &#147;Proposal&#160;No.&#160;1&#160;&#151; The
    Reorganization&#160;&#151; Description of MuniPreferred Issued
    by the Acquiring Fund&#148; and &#147;&#151;&#160;The
    Auction&#148; and the Reorganization SAI.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Credit Quality.</I>&#160;&#160;A comparison of the credit
    quality of the respective portfolios of the Acquiring Fund and
    the Acquired Fund, as
    of&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    20&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    is set forth in the table below.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE border="0" width="100%" align="center" cellpadding="0" cellspacing="0" style="font-size: 9pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
<!-- Table Width Row BEGIN -->
<TR style="font-size: 1pt" valign="bottom">
    <TD width="59%">&nbsp;</TD>	<!-- colindex=01 type=maindata -->
    <TD width="2%">&nbsp;</TD>	<!-- colindex=02 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=02 type=lead -->
    <TD width="7%" align="right">&nbsp;</TD>	<!-- colindex=02 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=02 type=hang1 -->
    <TD width="4%">&nbsp;</TD>	<!-- colindex=03 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=03 type=lead -->
    <TD width="6%" align="right">&nbsp;</TD>	<!-- colindex=03 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=03 type=hang1 -->
    <TD width="4%">&nbsp;</TD>	<!-- colindex=04 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=04 type=lead -->
    <TD width="12%" align="right">&nbsp;</TD>	<!-- colindex=04 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=04 type=hang1 -->
</TR>
<!-- Table Width Row END -->
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Acquiring<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Acquired<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Combined Fund<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="left" valign="bottom">
    <B>Credit Rating</B>
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Fund</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Fund</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Pro-Forma(1)</B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 1pt" valign="bottom" align="center">
<TD colspan="12" align="center" valign="bottom" style="font-size: 1pt; border-bottom: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="line-height: 3pt; font-size: 1pt">
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Aaa/AAA*
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    38.5
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    43.8
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    39.0
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Aa/AA
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    32.8
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    36.7
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    34.4
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    A/A
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    20.3
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    15.3
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    19.0
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Baa/BBB
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    7.4
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.8
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    6.3
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Unrated
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.0
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    2.4
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.3
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    TOTAL
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    100.0
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    100.0
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    100.0
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD colspan="13" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD colspan="13" style="border-top: 1px solid #000000">
&nbsp;
</TD>
</TR>
</TABLE>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

</DIV>

<DIV style="margin-top: 3pt; font-size: 1pt">&nbsp;</DIV>



<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

<TR>
    <TD width="2%"></TD>
    <TD width="1%"></TD>
    <TD width="97%"></TD>
</TR>

<TR>
    <TD align="right" valign="top">
    <FONT style="font-size: 8pt">*&#160;
    </FONT></TD>
    <TD></TD>
    <TD valign="bottom">
    <FONT style="font-size: 8pt">Includes securities that are backed
    by an escrow or trust containing sufficient U.S. Government
    Securities to ensure the timely payment of principal and
    interest.
    </FONT></TD>
</TR>


<TR style="line-height: 3pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD align="right" valign="top">
    <FONT style="font-size: 8pt">(1)
    </FONT></TD>
    <TD></TD>
    <TD valign="bottom">
    <FONT style="font-size: 8pt">Reflects the effect of the
    Reorganization.
    </FONT></TD>
</TR>

</TABLE>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Maturity and Duration.</I>&#160;&#160;A comparison of the
    maturity and duration of the respective portfolios of the
    Acquiring Fund and the Acquired Fund, as of January&#160;30,
    2009, is set forth in the table below.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE border="0" width="100%" align="center" cellpadding="0" cellspacing="0" style="font-size: 9pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
<!-- Table Width Row BEGIN -->
<TR style="font-size: 1pt" valign="bottom">
    <TD width="50%">&nbsp;</TD>	<!-- colindex=01 type=maindata -->
    <TD width="2%">&nbsp;</TD>	<!-- colindex=02 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=02 type=lead -->
    <TD width="25%" align="right">&nbsp;</TD>	<!-- colindex=02 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=02 type=hang1 -->
    <TD width="4%">&nbsp;</TD>	<!-- colindex=03 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=03 type=lead -->
    <TD width="15%" align="right">&nbsp;</TD>	<!-- colindex=03 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=03 type=hang1 -->
</TR>
<!-- Table Width Row END -->
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Weighted Average Leverage<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Weighted Average<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="left" valign="bottom">
    <B>Fund</B>
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Adjusted Duration</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Maturity</B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 1pt" valign="bottom" align="center">
<TD colspan="8" align="center" valign="bottom" style="font-size: 1pt; border-bottom: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="line-height: 3pt; font-size: 1pt">
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Acquiring
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    14.09
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    19.35
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Acquired
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    10.44
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    16.15
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Combined Fund&#160;&#151; Pro-Forma(1)
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    13.45
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    18.79
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD colspan="9" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD colspan="9" style="border-top: 1px solid #000000">
&nbsp;
</TD>
</TR>
</TABLE>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

</DIV>

<DIV style="margin-top: 3pt; font-size: 1pt">&nbsp;</DIV>



<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

<TR>
    <TD width="2%"></TD>
    <TD width="1%"></TD>
    <TD width="97%"></TD>
</TR>

<TR>
    <TD align="right" valign="top">
    <FONT style="font-size: 8pt">(1)
    </FONT></TD>
    <TD></TD>
    <TD valign="bottom">
    <FONT style="font-size: 8pt">Reflects the effect of the
    Reorganization.
    </FONT></TD>
</TR>

</TABLE>
<A name='106'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Capitalization</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The following table sets forth the unaudited capitalization of
    the Funds as of October&#160;31, 2008 and the pro-forma combined
    capitalization of the combined Fund as if the Reorganization had
    occurred on that date. The table reflects a pro-forma exchange
    ratio of
    approximately&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    common shares of the Acquiring Fund issued for each common share
    of the
</DIV>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <BR>
    7
</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Acquired Fund. If the Reorganization is consummated, the actual
    exchange ratio may vary from the ratio indicated below.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE border="0" width="100%" align="center" cellpadding="0" cellspacing="0" style="font-size: 9pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
<!-- Table Width Row BEGIN -->
<TR style="font-size: 1pt" valign="bottom">
    <TD width="55%">&nbsp;</TD>	<!-- colindex=01 type=maindata -->
    <TD width="2%">&nbsp;</TD>	<!-- colindex=02 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=02 type=lead -->
    <TD width="10%" align="right">&nbsp;</TD>	<!-- colindex=02 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=02 type=hang1 -->
    <TD width="4%">&nbsp;</TD>	<!-- colindex=03 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=03 type=lead -->
    <TD width="9%" align="right">&nbsp;</TD>	<!-- colindex=03 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=03 type=hang1 -->
    <TD width="4%">&nbsp;</TD>	<!-- colindex=04 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=04 type=lead -->
    <TD width="10%" align="right">&nbsp;</TD>	<!-- colindex=04 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=04 type=hang1 -->
</TR>
<!-- Table Width Row END -->
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Combined<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Acquiring<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Acquired<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Fund<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Fund</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Fund</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Pro
    Forma<SUP style="font-size: 85%; vertical-align: top">(1)</SUP></B>

</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 1pt" valign="bottom" align="center">
<TD colspan="12" align="center" valign="bottom" style="font-size: 1pt; border-bottom: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="line-height: 3pt; font-size: 1pt">
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    <B>Shareholders&#146; Equity:</B>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Common Shares, $.01&#160;par value per share;
    18,525,697&#160;shares outstanding for Acquiring Fund;
    3,882,373&#160;shares outstanding for Acquired Fund;
    22,462,644&#160;shares outstanding for Combined Fund&#160;&#151;
    Pro Forma
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    185,257
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    38,824
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    224,627
</TD>
<TD nowrap align="left" valign="bottom">
    <SUP style="font-size: 85%; vertical-align: top">(2)</SUP>

</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Paid-in surplus
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    261,630,932
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    54,746,905
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    316,117,291
</TD>
<TD nowrap align="left" valign="bottom">
    <SUP style="font-size: 85%; vertical-align: top">(3)</SUP>

</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Undistributed (over-distribution of) net investment income
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (1,056,455
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (167,111
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (1,223,566
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Accumulated net realized gain (loss) from investments and
    derivative transactions
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (5,027,688
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (1,458,697
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (6,486,385
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Net unrealized appreciation (depreciation) of investments and
    derivative transactions
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (26,656,634
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (4,285,162
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (30,941,796
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Net assets applicable to common shares
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    229,075,412
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    48,874,759
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    277,690,171
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD colspan="13" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD colspan="13" style="border-top: 1px solid #000000">
&nbsp;
</TD>
</TR>
</TABLE>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

</DIV>

<DIV style="margin-top: 3pt; font-size: 1pt">&nbsp;</DIV>



<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

<TR>
    <TD width="2%"></TD>
    <TD width="1%"></TD>
    <TD width="97%"></TD>
</TR>

<TR>
    <TD align="right" valign="top">
    <FONT style="font-size: 8pt">(1)
    </FONT></TD>
    <TD></TD>
    <TD valign="bottom">
    <FONT style="font-size: 8pt">The adjusted balances are presented
    as if the Reorganization were effective as of October&#160;31,
    2008 for information purposes only. The actual closing date of
    the Reorganization is expected to
    be&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    2009, at which time the results would be reflective of the
    actual composition of shareholders&#146; equity at that date.
    </FONT></TD>
</TR>


<TR style="line-height: 3pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD align="right" valign="top">
    <FONT style="font-size: 8pt">(2)
    </FONT></TD>
    <TD></TD>
    <TD valign="bottom">
    <FONT style="font-size: 8pt">Assumes the issuance of 3,936,947
    Acquiring Fund&#160;Common Shares in exchange for the net assets
    of the Acquired Fund, which number is based on the net asset
    value of the Acquiring Fund&#160;Common Shares and the net asset
    value of the Acquired Fund&#160;Common Shares, as of
    October&#160;31, 2008, after adjustment for the Reorganization
    costs referred to in (3)&#160;below.
    </FONT></TD>
</TR>


<TR style="line-height: 3pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD align="right" valign="top">
    <FONT style="font-size: 8pt">(3)
    </FONT></TD>
    <TD></TD>
    <TD valign="bottom">
    <FONT style="font-size: 8pt">Includes the impact of estimated
    Reorganization costs of $260,000 which will be borne by the
    shareholders of the acquiring Fund and the Acquired Fund
    ($55,000 and $205,000, respectively).
    </FONT></TD>
</TR>

</TABLE>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <BR>
    8
</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->
<A name='107'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Comparative
    Performance Information</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Comparative total return investment performance for the Funds
    for periods ended December&#160;31, 2008:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE border="0" width="100%" align="center" cellpadding="0" cellspacing="0" style="font-size: 9pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
<!-- Table Width Row BEGIN -->
<TR style="font-size: 1pt" valign="bottom">
    <TD width="26%">&nbsp;</TD>	<!-- colindex=01 type=maindata -->
    <TD width="2%">&nbsp;</TD>	<!-- colindex=02 type=gutter -->
    <TD width="3%" align="right">&nbsp;</TD>	<!-- colindex=02 type=lead -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=02 type=body -->
    <TD width="3%" align="left">&nbsp;</TD>	<!-- colindex=02 type=hang1 -->
    <TD width="4%">&nbsp;</TD>	<!-- colindex=03 type=gutter -->
    <TD width="2%" align="right">&nbsp;</TD>	<!-- colindex=03 type=lead -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=03 type=body -->
    <TD width="2%" align="left">&nbsp;</TD>	<!-- colindex=03 type=hang1 -->
    <TD width="4%">&nbsp;</TD>	<!-- colindex=04 type=gutter -->
    <TD width="2%" align="right">&nbsp;</TD>	<!-- colindex=04 type=lead -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=04 type=body -->
    <TD width="2%" align="left">&nbsp;</TD>	<!-- colindex=04 type=hang1 -->
    <TD width="4%">&nbsp;</TD>	<!-- colindex=05 type=gutter -->
    <TD width="2%" align="right">&nbsp;</TD>	<!-- colindex=05 type=lead -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=05 type=body -->
    <TD width="2%" align="left">&nbsp;</TD>	<!-- colindex=05 type=hang1 -->
    <TD width="4%">&nbsp;</TD>	<!-- colindex=06 type=gutter -->
    <TD width="3%" align="right">&nbsp;</TD>	<!-- colindex=06 type=lead -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=06 type=body -->
    <TD width="3%" align="left">&nbsp;</TD>	<!-- colindex=06 type=hang1 -->
    <TD width="4%">&nbsp;</TD>	<!-- colindex=07 type=gutter -->
    <TD width="2%" align="right">&nbsp;</TD>	<!-- colindex=07 type=lead -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=07 type=body -->
    <TD width="2%" align="left">&nbsp;</TD>	<!-- colindex=07 type=hang1 -->
    <TD width="4%">&nbsp;</TD>	<!-- colindex=08 type=gutter -->
    <TD width="2%" align="right">&nbsp;</TD>	<!-- colindex=08 type=lead -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=08 type=body -->
    <TD width="2%" align="left">&nbsp;</TD>	<!-- colindex=08 type=hang1 -->
    <TD width="4%">&nbsp;</TD>	<!-- colindex=09 type=gutter -->
    <TD width="2%" align="right">&nbsp;</TD>	<!-- colindex=09 type=lead -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=09 type=body -->
    <TD width="2%" align="left">&nbsp;</TD>	<!-- colindex=09 type=hang1 -->
</TR>
<!-- Table Width Row END -->
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="15" nowrap align="right" valign="bottom">
    <B>Average Annual Total Return<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="15" nowrap align="right" valign="bottom">
&nbsp;
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="15" nowrap align="right" valign="bottom" style="border-bottom: 1px solid #000000">
    <B>on Net Asset Value</B>
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="15" nowrap align="right" valign="bottom" style="border-bottom: 1px solid #000000">
    <B>Average Annual Total Return on Market Value</B>
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="3" nowrap align="right" valign="bottom">
    <B>One<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="3" nowrap align="right" valign="bottom">
    <B>Three<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="3" nowrap align="right" valign="bottom">
    <B>Five<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="3" nowrap align="right" valign="bottom">
    <B>Life of<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="3" nowrap align="right" valign="bottom">
    <B>One<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="3" nowrap align="right" valign="bottom">
    <B>Three<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="3" nowrap align="right" valign="bottom">
    <B>Five<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="3" nowrap align="right" valign="bottom">
    <B>Life of<BR>
    </B>
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="3" nowrap align="right" valign="bottom">
    <B>Year</B>
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="3" nowrap align="right" valign="bottom">
    <B>Years</B>
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="3" nowrap align="right" valign="bottom">
    <B>Years</B>
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="3" nowrap align="right" valign="bottom">
    <B>Fund</B>
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="3" nowrap align="right" valign="bottom">
    <B>Year</B>
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="3" nowrap align="right" valign="bottom">
    <B>Years</B>
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="3" nowrap align="right" valign="bottom">
    <B>Years</B>
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="3" nowrap align="right" valign="bottom">
    <B>Fund</B>
</TD>
</TR>
<TR style="font-size: 1pt" valign="bottom" align="center">
<TD colspan="33" nowrap align="center" valign="bottom" style="font-size: 1pt; border-bottom: 1px solid #000000">
&nbsp;
</TD>
</TR>
<TR style="line-height: 3pt; font-size: 1pt">
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Acquiring Fund
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#8722;11.74
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#8722;1.04
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.43
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    2.95
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#8722;23.51
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#8722;3.07
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#8722;2.20
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#8722;0.46
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Acquired Fund
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#8722;6.61
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.48
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    2.41
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    3.22
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#8722;18.93
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    5.12
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#8722;3.91
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#8722;1.83
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD colspan="33" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD colspan="33" style="border-top: 1px solid #000000">
&nbsp;
</TD>
</TR>
</TABLE>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Total Return on Market Value is the average annual return on an
    investment in common shares of each Fund, taking into account
    income and capital gains distributions, if any, as well as
    changes in market price per share. Total Return on Net Asset
    Value is the average annual return on investment in common
    shares of each Fund, taking into account income, capital gains
    distributions, if any, as well as changes in net asset value per
    share. Life of Fund performance is calculated from
    November&#160;21, 2002 for each Fund. Past performance
    information is not necessarily indicative of future results.
</DIV>

<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Comparative
    Fee
    Table<SUP style="font-size: 85%; vertical-align: top">(1)</SUP></FONT></B>

</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE border="0" width="100%" align="center" cellpadding="0" cellspacing="0" style="font-size: 9pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
<!-- Table Width Row BEGIN -->
<TR style="font-size: 1pt" valign="bottom">
    <TD width="49%">&nbsp;</TD>	<!-- colindex=01 type=maindata -->
    <TD width="2%">&nbsp;</TD>	<!-- colindex=02 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=02 type=lead -->
    <TD width="12%" align="right">&nbsp;</TD>	<!-- colindex=02 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=02 type=hang1 -->
    <TD width="4%">&nbsp;</TD>	<!-- colindex=03 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=03 type=lead -->
    <TD width="11%" align="right">&nbsp;</TD>	<!-- colindex=03 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=03 type=hang1 -->
    <TD width="4%">&nbsp;</TD>	<!-- colindex=04 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=04 type=lead -->
    <TD width="12%" align="right">&nbsp;</TD>	<!-- colindex=04 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=04 type=hang1 -->
</TR>
<!-- Table Width Row END -->
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Combined Fund<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Acquiring Fund<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Acquired Fund<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Pro-Forma<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>10/31/08</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>4/30/08</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>10/31/08</B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 1pt" valign="bottom" align="center">
<TD colspan="12" align="center" valign="bottom" style="font-size: 1pt; border-bottom: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="line-height: 3pt; font-size: 1pt">
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    <B>Annual Expenses (as a percentage of net assets applicable to
    common shares)</B>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Management Fees
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.96
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.97
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.96
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Interest Expense
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.06
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.05
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Other Expenses
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.24
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.27
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.23
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Total Annual Expenses&#160;&#151; Gross
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.26
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.24
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.24
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Fee and Expense
    Reimbursement<SUP style="font-size: 85%; vertical-align: top">(2)</SUP>

</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.39
</TD>
<TD nowrap align="left" valign="bottom">
    %)
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.44
</TD>
<TD nowrap align="left" valign="bottom">
    %)
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.38
</TD>
<TD nowrap align="left" valign="bottom">
    %)
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Custodian Fee Credit
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.01
</TD>
<TD nowrap align="left" valign="bottom">
    %)
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.02
</TD>
<TD nowrap align="left" valign="bottom">
    %)
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.01
</TD>
<TD nowrap align="left" valign="bottom">
    %)
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Total Annual Expenses&#160;&#151; Net
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.86
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.78
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.85
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD colspan="13" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD colspan="13" style="border-top: 1px solid #000000">
&nbsp;
</TD>
</TR>
</TABLE>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

</DIV>

<DIV style="margin-top: 3pt; font-size: 1pt">&nbsp;</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

<TR>
    <TD width="2%"></TD>
    <TD width="1%"></TD>
    <TD width="97%"></TD>
</TR>

<TR>
    <TD valign="top">
    <FONT style="font-size: 8pt">(1)
    </FONT></TD>
    <TD></TD>
    <TD valign="bottom">
    <FONT style="font-size: 8pt">The Comparative Fee Table is
    presented as of each Fund&#146;s fiscal year end
    (October&#160;31, 2008 for the Acquiring Fund and April&#160;30,
    2008 for the Acquired Fund). The pro forma combined figures
    assume the consummation of the merger on October&#160;31, 2008
    and reflect average net asset levels for both the Acquiring Fund
    and Acquired Fund for the
    <FONT style="white-space: nowrap">12-month</FONT>
    period ended October&#160;31, 2008. It is important for you to
    understand that a decline in the Fund&#146;s average net assets
    during the current fiscal year due to recent unprecedented
    market volatility or other factors could cause the Fund&#146;s
    expense ratios for the Fund&#146;s current fiscal year to be
    higher than the expense information presented.
    </FONT></TD>
</TR>

<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
    <FONT style="font-size: 8pt">(2)
    </FONT></TD>
    <TD></TD>
    <TD valign="bottom">
    <FONT style="font-size: 8pt">NAM has contractually agreed to
    reimburse the Funds, as a percentage of average daily net assets
    (including net assets attributable to preferred shares), for
    fees and expenses in the following amounts:
    </FONT></TD>
</TR>

</TABLE>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE border="0" width="100%" align="center" cellpadding="0" cellspacing="0" style="font-size: 8pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
<!-- Table Width Row BEGIN -->
<TR style="font-size: 1pt" valign="bottom">
    <TD width="94%">&nbsp;</TD>	<!-- colindex=01 type=maindata -->
    <TD width="3%">&nbsp;</TD>	<!-- colindex=02 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=02 type=lead -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=02 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=02 type=hang1 -->
</TR>
<!-- Table Width Row END -->
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD colspan="5" nowrap align="left" valign="bottom">
    <B>Year ending<BR>
    </B>
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD colspan="5" nowrap align="left" valign="bottom">
    <B>November&#160;30,</B>
</TD>
</TR>
<TR style="line-height: 3pt; font-size: 1pt">
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -8pt; margin-left: 8pt">
    2007
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.32
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -8pt; margin-left: 8pt">
    2008
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.24
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -8pt; margin-left: 8pt">
    2009
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.16
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -8pt; margin-left: 8pt">
    2010
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.08
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
</TABLE>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

</DIV>

<DIV style="margin-top: 3pt; font-size: 1pt">&nbsp;</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

<TR>
    <TD width="1%"></TD>
    <TD width="1%"></TD>
    <TD width="98%"></TD>
</TR>

<TR>
    <TD valign="top">
</TD>
    <TD></TD>
    <TD valign="bottom">
    <FONT style="font-size: 8pt">NAM has not agreed to reimburse the
    Funds for any portion of its fees and expenses beyond
    November&#160;30, 2010.
    </FONT></TD>
</TR>

</TABLE>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <BR>
    9
</DIV><!-- END PAGE WIDTH -->
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<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Example:</I>&#160;&#160;The following table illustrates the
    expenses on a $1,000 investment based upon the Total Annual
    Expenses&#151;Gross shown above and reflects the actual
    management fee reimbursement levels in effect (see
    Footnote&#160;2 above) beginning on April&#160;1, 2009 and
    assumes a 5% annual return.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE border="0" width="100%" align="center" cellpadding="0" cellspacing="0" style="font-size: 9pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
<!-- Table Width Row BEGIN -->
<TR style="font-size: 1pt" valign="bottom">
    <TD width="60%">&nbsp;</TD>	<!-- colindex=01 type=maindata -->
    <TD width="2%">&nbsp;</TD>	<!-- colindex=02 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=02 type=lead -->
    <TD width="3%" align="right">&nbsp;</TD>	<!-- colindex=02 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=02 type=hang1 -->
    <TD width="4%">&nbsp;</TD>	<!-- colindex=03 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=03 type=lead -->
    <TD width="5%" align="right">&nbsp;</TD>	<!-- colindex=03 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=03 type=hang1 -->
    <TD width="4%">&nbsp;</TD>	<!-- colindex=04 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=04 type=lead -->
    <TD width="5%" align="right">&nbsp;</TD>	<!-- colindex=04 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=04 type=hang1 -->
    <TD width="4%">&nbsp;</TD>	<!-- colindex=05 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=05 type=lead -->
    <TD width="5%" align="right">&nbsp;</TD>	<!-- colindex=05 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=05 type=hang1 -->
</TR>
<!-- Table Width Row END -->
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    <B>1&#160;Year</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    <B>3&#160;Years</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    <B>5&#160;Years</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    <B>10&#160;Years</B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 1pt" valign="bottom" align="center">
<TD colspan="16" align="center" valign="bottom" style="font-size: 1pt; border-bottom: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="line-height: 3pt; font-size: 1pt">
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Acquiring Fund
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    11
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    37
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    66
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    150
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Acquired Fund
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    11
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    37
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    65
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    147
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Combined Fund&#160;&#151;&#160;Pro-Forma
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    11
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    36
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    65
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    147
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD colspan="17" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD colspan="17" style="border-top: 1px solid #000000">
&nbsp;
</TD>
</TR>
</TABLE>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The purpose of the comparative fee table is to assist you in
    understanding the various costs and expenses of investing in
    shares of the Funds. The information in the table is based upon
    annualized expenses for the fiscal year ended October&#160;31,
    2008 for the Acquiring Fund and the fiscal year ended
    April&#160;30, 2008 for the Acquired Fund. The figures in the
    Example are not necessarily indicative of past or future
    expenses, and actual expenses may be greater or less than those
    shown. The Funds&#146; actual rate of return may be greater or
    less than the hypothetical 5% annual return shown in the Example.
</DIV>
<A name='108'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Proposal&#160;2:
    Issuance of Acquiring Fund&#160;Common Shares</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    In connection with the proposed Reorganization described under
    &#147;Proposal&#160;1: Reorganization,&#148; the Acquiring Fund
    will issue additional Acquiring Fund&#160;Common Shares and list
    such shares on the NYSE Alternext. The Acquiring Fund will
    acquire all the assets and assume all the liabilities of the
    Acquired Fund in exchange for the newly-issued Acquiring
    Fund&#160;Common Shares and newly-issued Acquiring
    Fund&#160;MuniPreferred Shares. The Reorganization will result
    in no reduction of net asset value of the Acquiring
    Fund&#160;Common Shares, other than the costs of the
    Reorganization. No gain or loss will be recognized by the
    Acquiring Fund or its shareholders in connection with the
    Reorganization. The Acquiring Fund&#160;Board, based upon its
    evaluation of all relevant information, anticipates that the
    Reorganization will benefit holders of Acquiring
    Fund&#160;Common Shares. In particular, the Acquiring
    Fund&#160;Board believes, based on data presented by the
    Adviser, that the Acquiring Fund will experience a reduced
    annual operating expense ratio as a result of the
    Reorganization. See &#147;Proposal&#160;No.&#160;1&#160;&#151;
    Reasons for the Reorganization.&#148;
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <B>The Board of the Acquiring Fund recommends that common
    shareholders of the Acquiring Fund vote &#147;FOR&#148; the
    approval of the issuance of additional Acquiring
    Fund&#160;Common Shares in connection with the Reorganization.
    </B>See &#147;Proposal&#160;No.&#160;2&#160;&#151; Issuance of
    Acquiring Fund&#160;Common Shares.&#148;
</DIV>
<A name='109'>
<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">RISK
    FACTORS</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Investment in either Fund may not be appropriate for all
    investors. The Funds are not intended to be a complete
    investment program and due to the uncertainty inherent in all
    investments, there can be no assurance that a Fund will achieve
    its investment objectives. Investors should consider their
    long-term investment goals and financial needs when making an
    investment decision with respect to the Funds. An investment in
    either Fund is intended to be a long-term investment and should
    not be used as a trading vehicle. Your shares at any point in
    time may be worth less than your original investment, even after
    taking into account the reinvestment of fund dividends and
    distributions, if applicable.
</DIV>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <BR>
    10
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The following risks and special considerations should be
    considered by shareholders of each Fund in their evaluation of
    the Reorganization:
</DIV>
<A name='110'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Differences
    in Risks</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The primary difference between the Funds is that the Acquired
    Fund invests substantially all of its assets in municipal bonds
    that are exempt from the Florida intangible personal property
    tax and therefore concentrates its assets in Florida municipal
    bonds. Also, the Acquiring Fund is a diversified management
    investment company and the Acquired Fund is a non-diversified
    management investment company.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Acquired Fund invests in Florida municipal bonds and is
    non-diversified which gives rise to the following risks:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Special Considerations Relating to Florida Municipal
    Bonds.</I>&#160;&#160;Except to the extent the Acquired Fund
    invests in temporary investments or in U.S.&#160;Territorial
    bonds, the Acquired Fund will invest substantially all of its
    net assets in Florida municipal bonds. The Acquired Fund is
    therefore more susceptible to political, economic or regulatory
    factors affecting issuers of Florida municipal bonds. The
    information set forth below and the related information in the
    Reorganization SAI is derived from sources that are generally
    available to investors. The information is provided as general
    information intended to give a recent historical description and
    is not intended to indicate future or continuing trends in the
    financial or other positions of Florida. It should be noted that
    the creditworthiness of obligations issued by local Florida
    issuers may be unrelated to the creditworthiness of obligations
    issued by the State of Florida, and that there is no obligation
    on the part of the State to make payment on such local
    obligations in the event of default.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Beginning in September 2007, Florida&#146;s job growth began a
    negative trend that has continued to the present. From December
    2007 until December 2008 non-agricultural or nonfarm employment
    decreased 3.1%. The unemployment rate in Florida as of December
    2008 was 8.1%. The national unemployment rate in December 2008
    was 7.2%. Much of the state of Florida&#146;s decrease in
    employment stems from declines in construction jobs, declines in
    manufacturing jobs, declines in jobs in information, and
    declines in jobs in financial activities. However, according to
    the State of Florida Agency for Workforce Innovation, employment
    is expected to grow at a 1.65% annual rate for the period 2008
    until 2016.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Additionally, Florida&#146;s statewide economic activity has
    recently been on a downward trend. Taxable sales have decreased
    by 12.6% for the period November 2007 until November 2008 with
    the largest percentage decrease in autos and accessories and the
    largest absolute decrease in consumer nondurables. Sales tax
    collections for fiscal year
    <FONT style="white-space: nowrap">2007-08</FONT> were
    5.8% below the previous fiscal year&#146;s collections.
    Corporate income tax collections were 9.7% below the previous
    fiscal year&#146;s corporate income tax collections. Finally,
    documentary stamp tax collections in Fiscal Year
    <FONT style="white-space: nowrap">2007-08</FONT>
    decreased 36% from the previous year&#146;s collections.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    In 2007, Florida&#146;s GDP increased by 2.51%, which
    underperformed the nation as a whole&#160;&#151; the
    nation&#146;s GDP increased by 4.75%. Florida had consistently
    outperformed the nation in GDP growth over the previous nine
    years.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    In 2008, per capita personal income increased by 2.5%, which is
    down significantly from the personal income growth rates of
    7.08% in 2005, 6.30% in 2006 and 3.74% rate in 2007. In the
    upcoming fiscal year, personal income growth is expected to
    increase at a rate of 2.0%, which
</DIV>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <BR>
    11
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    is below the expected 3.1% forecast nationally. In 2007, the
    United States annual per capita income was $38,611. During the
    same year Florida annual per capita income was $38,444.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Population growth has slowed from a rate that hovered between
    2.0% and 2.6% since the mid-1990&#146;s. The State is expected
    to add an average of about 209,000 residents a year between 2007
    and 2010, compared with annual increases of 418,000&#160;people
    between 2002 and 2006.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    A voter-approved amendment to Florida&#146;s Constitution that
    became effective in 1996 limits the rate of growth of state
    revenues to the growth rate of personal income. Revenues that
    are pledged to bonds, including new issuance, are exempt from
    the limitation. Another constitutional amendment requires the
    State to maintain a budget stabilization fund. The fund provides
    a counterbalance to the State&#146;s reliance on
    economically-sensitive sales tax revenues. As of
    February&#160;24, 2009, Florida&#146;s general obligation bonds
    carry ratings of AAA by Standard&#160;&#038; Poor&#146;s, Aa1 by
    Moody&#146;s, and AA+ by Fitch. Ratings for Florida municipal
    bonds may differ from the ratings granted to the general
    obligation bonds.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    On January&#160;29, 2008, the voters of Florida approved a
    constitutional amendment for property tax relief which:
    (1)&#160;provides for an additional exemption for $25,000 for
    homes valued over $50,000, except for school levies;
    (2)&#160;provides for transfer of accumulated
    &#146;Save-Our-Homes&#146; benefits, applicable to all tax
    levies; (3)&#160;establishes an exemption from property taxes of
    $25,000 of assessed value of tangible personal property,
    applicable to all tax levies; and (4)&#160;limits the assessment
    increases for specified non-homestead real property to
    10&#160;percent each year, except for school levies. Such
    amendment should have little to no financial impact on the State
    budget; however, such amendment will reduce ad valorem taxes
    received by local governments.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    In addition to the constitutional amendment for property tax
    relief, Florida sales activity for homes is down approximately
    5% from the same period last year and the median sales price is
    down 16% over the same period last year. Furthermore, there
    still remains a large inventory of unsold homes, and access to
    construction and mortgage financing is still tightening. These
    factors in conjunction with slower income growth will suppress
    growth in the housing sector for at least another 12&#160;months.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The economic downturn has also negatively affected
    Florida&#146;s tourism industry. Approximately 2.3% less
    tourists visited Florida in 2008 than in 2007. The growth rate
    for tourism is expected to weakly increase over the next few
    years. Growth rates for fiscal years
    <FONT style="white-space: nowrap">2009-10,</FONT>
    <FONT style="white-space: nowrap">2010-11,</FONT> and
    <FONT style="white-space: nowrap">2011-12</FONT> are
    0.6%, 1.0% and 1.8% respectively.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Citizens Property Insurance Corporation is a
    quasi-governmental company that was created as an insurer of
    last resort in 2002. However, it has become Florida&#146;s top
    underwriter of homeowners&#146; insurance, with more than
    $433&#160;billion of property exposure on its books.
    Furthermore, Florida has taken on $28&#160;billion worth or
    reinsurance risk itself. The reinsurance pool would have to
    issue bonds for anything over $7.8&#160;billion in losses. A
    major hurricane or series of hurricanes has the potential to
    exceed Florida&#146;s reserves to cover the losses.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    On February&#160;17, 2009 President Obama signed into law a
    federal stimulus package. Florida is expected to receive as much
    as $12.2&#160;billion from the stimulus package.
    $3.2&#160;billion is expected to be received in the
    <FONT style="white-space: nowrap">2008-09</FONT>
    fiscal year, $5.2&#160;billion is expected to be received in the
    <FONT style="white-space: nowrap">2009-10</FONT>
    fiscal year, and the final $3.8&#160;billion is expected to be
    received in the
    <FONT style="white-space: nowrap">2010-11</FONT>
    fiscal year. The stimulus payments received are expected to be
    used for health and human services, education, and
    transportation and economic development.
</DIV>

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    <BR>
    12
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<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Furthermore, the validity of a compact that Governor Charlie
    Crist signed with the Seminole Indian Tribe in 2007 is under
    debate. The compact could provide $288&#160;million to the
    <FONT style="white-space: nowrap">2009-10</FONT>
    fiscal year state budget. The compact allowed casino gambling on
    Seminole Indian territory found located in Florida. However, the
    Florida legislature has not ratified the compact and has set the
    money aside until the issue is settled.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    As of December 2008, Florida faced a budget deficit of at least
    $2.3&#160;billion. The Florida constitution requires that the
    Legislature pass a balanced budget. Thus, the legislature will
    be required to decrease certain expenditures or cut certain
    programs to balance the budget.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The foregoing information constitutes only a brief summary of
    some of the general factors which may impact certain issuers of
    municipal bonds and does not purport to be a complete or
    exhaustive description of all adverse conditions to which the
    issuers of municipal bonds held by the Fund are subject.
    Additionally, many factors including national economic, social
    and environmental policies and conditions, which are not within
    the control of the issuers of the municipal bonds, could affect
    or could have an adverse impact on the financial condition of
    the issuers. The Fund is unable to predict whether or to what
    extent such factors or other factors may affect the issuers of
    the municipal bonds, the market value or marketability of the
    municipal bonds or the ability of the respective issuers of the
    municipal bonds acquired by the Fund to pay interest on or
    principal of the municipal bonds. This information has not been
    independently verified. It should also be noted that the
    creditworthiness of obligations issued by local Florida issuers
    may be unrelated to the creditworthiness of obligations issued
    by the State of Florida, and that there is no obligation on the
    part of the State to make payment on such local obligations in
    the event of default.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Economic Sector Risk.</I>&#160;&#160;The Acquired Fund may
    invest 25% or more of its total assets in municipal bonds in the
    same economic sector. Subject to the concentration limits of the
    Acquired Fund&#146;s investment policies and guidelines, the
    Fund may invest a significant portion of its net assets in
    certain sectors of the municipal bond market, such as hospitals
    and other health care facilities, charter schools and other
    private educational facilities, special taxing districts and
    <FONT style="white-space: nowrap">start-up</FONT>
    utility districts, and private activity bonds including
    industrial development bonds on behalf of transportation
    companies such as airline companies, whose credit quality and
    performance may be more susceptible to economic, business,
    political, regulatory and other developments than other sectors
    of municipal issuers. If the Acquired Fund invests a significant
    portion of its net assets in the sectors noted above, the
    Fund&#146;s performance may be subject to additional risk and
    variability. To the extent that the Acquired Fund focuses its
    net assets in the hospital and healthcare facilities sector, for
    example, the Fund will be subject to risks associated with such
    sector, including adverse government regulation and reduction in
    reimbursement rates, as well as government approval of products
    and services and intense competition. Securities issued with
    respect to special taxing districts will be subject to various
    risks, including real-estate development related risks and
    taxpayer concentration risk. Further, the fees, special taxes or
    tax allocations and other revenues established to secure the
    obligations of securities issued with respect to special taxing
    districts are generally limited as to the rate or amount that
    may be levied or assessed and are not subject to increase
    pursuant to rate covenants or municipal or corporate guarantees.
    Charter schools and other private educational facilities are
    subject to various risks, including the reversal of legislation
    authorizing or funding charter schools, the failure to renew or
    secure a charter, the failure of a funding entity to appropriate
    necessary funds and competition from alternatives such as
    voucher programs. Issuers of municipal utility securities can be
    significantly affected by
</DIV>

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    <BR>
    13
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<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    government regulation, financing difficulties, supply and demand
    of services or fuel and natural resource conservation. The
    transportation sector, including airports, airlines, ports and
    other transportation facilities, can be significantly affected
    by changes in the economy, fuel prices, labor relations,
    insurance costs and government regulation.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Non-Diversification.</I>&#160;&#160;Because the Acquired Fund
    is classified as &#147;non-diversified&#148; under the 1940 Act
    it can invest a greater portion of its assets in obligations of
    a single issuer. As a result, the Acquired Fund may be more
    susceptible than a fund classified as a &#147;diversified
    fund&#148; under the 1940 Act to any single corporate, economic,
    political or regulatory occurrence. In addition, the Acquired
    Fund must satisfy certain asset diversification rules in order
    to qualify as a regulated investment company for federal income
    tax purposes.
</DIV>
<A name='111'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Similarity
    of Risks</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Despite the differences noted above, the Funds face more of the
    same type of risks, including the following:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Investment and Market Risk.</I>&#160;&#160;An investment in
    the Funds&#146; shares is subject to investment risk, including
    the possible loss of the entire principal amount that you
    invest. Your investment in common shares represents an indirect
    investment in the municipal securities owned by a Fund, which
    generally trade in the over-the-counter markets. Your shares at
    any point in time may be worth less than your original
    investment, even after taking into account the reinvestment of
    Fund dividends and distributions, if applicable. In addition, if
    the current national economic downturn deteriorates into a
    prolonged recession, the ability of municipalities to collect
    revenue and service their obligations could be materially and
    adversely affected.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Current Economic Conditions&#160;&#151; Credit Crisis
    Liquidity and Volatility Risk.</I>&#160;&#160;The markets for
    credit instruments, including municipal securities, have
    experienced periods of extreme illiquidity and volatility since
    the latter half of 2007. General market uncertainty and
    consequent repricing risk have led to market imbalances of
    sellers and buyers, which in turn have resulted in significant
    valuation uncertainties in a variety of debt securities,
    including municipal securities. These conditions resulted, and
    in many cases continue to result in, greater volatility, less
    liquidity, widening credit spreads and a lack of price
    transparency, with many debt securities remaining illiquid and
    of uncertain value. These market conditions may make valuation
    of some of the Funds&#146; municipal securities uncertain
    <FONT style="white-space: nowrap">and/or</FONT>
    result in sudden and significant valuation increases or declines
    in its holdings. A significant decline in the value of your
    Fund&#146;s portfolio would likely result in a significant
    decline in the value of your investment. In addition,
    illiquidity and volatility in the credit markets may directly
    and adversely affect the setting of dividend rates on the common
    and MuniPreferred shares. This volatility may also impact the
    liquidity of inverse floating rate securities in your
    Fund&#146;s portfolio. See &#147;Risks&#160;&#151; Inverse
    Floating Rate Securities Risk.&#148;
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    In response to the current national economic condition,
    governmental cost burdens may be reallocated among federal,
    state and local governments. In addition, laws enacted in the
    future by Congress or state legislatures or referenda could
    extend the time for payment of principal
    <FONT style="white-space: nowrap">and/or</FONT>
    interest, or impose other constraints on enforcement of such
    obligations, or on the ability of municipalities to levy taxes.
    Issuers of municipal securities might seek protection under the
    bankruptcy laws. See &#147;Risks&#160;&#151; Municipal
    Securities Market Risk.&#148;
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Market Discount from Net Asset Value.</I>&#160;&#160;Shares
    of closed-end investment companies like the Funds have during
    some periods traded at prices higher than net asset value and
    have during
</DIV>

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    <BR>
    14
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<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    other periods traded at prices lower than net asset value. The
    Funds cannot predict whether common shares will trade at, above
    or below net asset value. This characteristic is a risk separate
    and distinct from the risk that a Fund&#146;s net asset value
    could decrease as a result of investment activities. Investors
    bear a risk of loss to the extent that the price at which they
    sell their shares is lower in relation to the Fund&#146;s net
    asset value than at the time of purchase, assuming a stable net
    asset value. The common shares are designed primarily for
    long-term investors, and you should not view the Funds as a
    vehicle for trading purposes.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Credit Risk.</I>&#160;&#160;Credit risk is the risk that one
    or more municipal securities in a Fund&#146;s portfolio will
    decline in price, or the issuer thereof will fail to pay
    interest or principal when due, because the issuer experiences a
    decline in its financial status. In general, lower-rated
    municipal securities carry a greater degree of risk that the
    issuer will lose its ability to make interest and principal
    payments, which could have a negative impact on a Fund&#146;s
    net asset value or dividends. Ratings may not accurately reflect
    the actual credit risk associated with a municipal security.
    Each Fund will not be required to dispose of a security if a
    downgrade occurs after the time of investment. If a downgrade
    occurs, NAM will consider what action, including the sale of the
    security, is in the best interests of a Fund. Also, to the
    extent that the rating assigned to a municipal security in a
    Fund&#146;s portfolio is downgraded by any National Recognized
    Statistical Rating Organization (&#147;NRSRO&#148;), the market
    price and liquidity of such security may be adversely affected.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Interest Rate Risk.</I>&#160;&#160;Generally, when market
    interest rates rise, bond prices fall, and vice versa. Interest
    rate risk is the risk that the municipal securities in a
    Fund&#146;s portfolio will decline in value because of increases
    in market interest rates. In typical market interest rate
    environments, the prices of longer-term municipal securities
    generally fluctuate more than prices of shorter-term municipal
    securities as interest rates change. Because the Funds invest
    primarily in longer-term municipal securities, the common share
    net asset value and market price per share will fluctuate more
    in response to changes in market interest rates than if a Fund
    invested primarily in shorter-term municipal securities. Because
    the values of lower-rated and comparable unrated debt securities
    are affected both by credit risk and interest rate risk, the
    price movements of such lower grade securities are not typically
    highly correlated to the fluctuations of the prices of
    investment grade quality securities in response to changes in
    interest rates. The Fund&#146;s investments in inverse floating
    rate securities, as described herein under &#147;Inverse
    Floating Rate Securities Risk,&#148; will tend to increase
    common share interest rate risk.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Municipal Securities Market Risk.</I>&#160;&#160;Investing in
    the municipal securities market involves certain risks. The
    municipal market is one in which dealer firms make markets in
    bonds on a principal basis using their proprietary capital, and
    during the recent market turmoil these firms&#146; capital was
    severely constrained. As a result, some firms were unwilling to
    commit their capital to purchase and to serve as a dealer for
    municipal bonds. The amount of public information available
    about the municipal securities in each Fund&#146;s portfolio is
    generally less than that for corporate equities or bonds, and
    each Fund&#146;s investment performance may therefore be more
    dependant on NAM&#146;s analytical abilities than if such Fund
    were to invest in stocks or taxable bonds. The secondary market
    for municipal securities also tends to be less well-developed or
    liquid than many other securities markets, which may adversely
    affect each Fund&#146;s ability to sell its municipal securities
    at attractive prices or at prices approximating those at which
    such Fund currently values them.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The ability of municipal issuers to make timely payments of
    interest and principal may be diminished during general economic
    downturns and as governmental cost burdens are
</DIV>

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    <BR>
    15
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<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    reallocated among federal, state and local governments. In
    addition, laws enacted in the future by Congress or state
    legislatures or referenda could extend the time for payment of
    principal
    <FONT style="white-space: nowrap">and/or</FONT>
    interest, or impose other constraints on enforcement of such
    obligations, or on the ability of municipalities to levy taxes.
    Issues of municipal securities might seek protection under the
    bankruptcy laws. In the event of bankruptcy of such an issuer, a
    Fund could experience delays in collecting principal and
    interest and the Fund may not, in all circumstances, be able to
    collect all principal and interest to which it is entitled. To
    enforce its rights in the event of a default in the payment of
    interest or repayment of principal, or both, a Fund may take
    possession of and manage the assets securing the issuer&#146;s
    obligations on such securities, which may increase the
    Fund&#146;s operating expenses. Any income derived from a
    Fund&#146;s ownership or operation of such assets may not be
    tax-exempt.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Revenue bonds issued by state or local agencies to finance the
    development of low-income, multi-family housing involve special
    risks in addition to those associated with municipal securities
    generally, including that the underlying properties may not
    generate sufficient income to pay expenses and interest costs.
    These bonds are generally non-recourse against the property
    owner, may be junior to the rights of others with an interest in
    the properties, may pay interest that changes based in part on
    the financial performance of the property, may be prepayable
    without penalty and may be used to finance the construction of
    housing developments which, until completed and rented, do not
    generate income to pay interest.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Reinvestment Risk.</I>&#160;&#160;Reinvestment risk is the
    risk that income from a Fund&#146;s portfolio will decline if
    and when the Fund invests the proceeds from matured, traded or
    called bonds at market interest rates that are below the
    portfolio&#146;s current earnings rate. A decline in income
    could affect the common shares&#146; market price or your
    overall returns.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Inverse Floating Rate Securities Risk.</I>&#160;&#160;Each
    Fund may invest in inverse floating rate securities. Typically,
    inverse floating rate securities represent beneficial interests
    in a special purpose trust (sometimes called a &#147;tender
    option bond trust&#148;) formed by a third party sponsor for the
    purpose of holding municipal bonds. See &#147;Municipal
    Securities&#160;&#151; Inverse Floating Rate Securities.&#148;
    In general, income on inverse floating rate securities will
    decrease when interest rates increase and increase when interest
    rates decrease. Investments in inverse floating rate securities
    may subject the Fund to the risks of reduced or eliminated
    interest payments and losses of principal.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Inverse floating rate securities may increase or decrease in
    value at a greater rate than the underlying interest rate, which
    effectively leverages a Fund&#146;s investment. As a result, the
    market value of such securities generally will be more volatile
    than that of fixed rate securities.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Any economic effect of leverage through a Fund&#146;s purchase
    of inverse floating rate securities will create an opportunity
    for increased common share net income and returns, but will also
    create the possibility that common share long-term returns will
    be diminished if the cost of leverage exceeds the return on the
    inverse floating rate securities purchased by the Fund.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    There is no assurance that a Fund&#146;s strategy of investing
    in inverse floating rate securities will be successful.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Inverse floating rate securities have varying degrees of
    liquidity based, among other things, upon the liquidity of the
    underlying securities deposited in a tender option bond trust.
    The market price of inverse floating rate securities is more
    volatile than the underlying securities due to leverage. In
    circumstances where Fund has a need for cash and the securities
    in a tender
</DIV>

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    16
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<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    option bond trust are not actively trading, the Fund may be
    required to sell its inverse floating rate securities at less
    than favorable prices, or liquidate other Fund portfolio
    holdings.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Insurance Risk.</I>&#160;&#160;Each Fund may purchase
    municipal securities that are secured by insurance, bank credit
    agreements or escrow accounts. The credit quality of the
    companies that provide such credit enhancements will affect the
    value of those securities. Certain significant providers of
    insurance for municipal securities have recently incurred
    significant losses as a result of exposure to sub-prime
    mortgages and other lower credit quality investments that have
    experienced recent defaults or otherwise suffered extreme credit
    deterioration. As a result, such losses have reduced the
    insurers&#146; capital and called into question their continued
    ability to perform their obligations under such insurance if
    they are called upon to do so in the future. While an insured
    municipal security will typically be deemed to have the rating
    of its insurer, if the insurer of a municipal security suffers a
    downgrade in its credit rating or the market discounts the value
    of the insurance provided by the insurer, the rating of the
    underlying municipal security will be more relevant and the
    value of the municipal security would more closely, if not
    entirely, reflect such rating. In such a case, the value of
    insurance associated with a municipal security would decline and
    may not add any value. The insurance feature of a municipal
    security does not guarantee the full payment of principal and
    interest through the life of an insured obligation, the market
    value of the insured obligation or the net asset value of the
    common shares represented by such insured obligation.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    In addition, a Fund may be subject to certain restrictions on
    investments imposed by guidelines of the insurance companies
    issuing master municipal insurance policy purchased by the Fund
    (&#147;Portfolio Insurance&#148;). Each Fund does not expect
    these guidelines to prevent NAM from managing the Fund&#146;s
    portfolio in accordance with the Fund&#146;s investment
    objectives and policies.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Leverage Risk.</I>&#160;&#160;Leverage risk is the risk
    associated with the use of a Fund&#146;s outstanding
    MuniPreferred shares or the use of tender option bonds to
    leverage the common shares. There can be no assurance that a
    Fund&#146;s leveraging strategy will be successful. Through the
    use of financial leverage, the Funds seek to enhance potential
    common share earnings over time by borrowing at short-term
    municipal rates and investing at long-term municipal rates which
    are typically, though not always, higher. Because the long-term
    municipal securities in which the Funds invest generally pay
    fixed rates of interest while the Funds&#146; costs of leverage
    generally fluctuate with short-term yields, the incremental
    earnings from leverage will vary over time. Accordingly, a Fund
    cannot assure you that the use of leverage will result in a
    higher yield or return to common shareholders. The benefit from
    leverage will be reduced (increase) to the extent that the
    difference narrows (widens) between the net earnings on a
    Fund&#146;s portfolio securities and its cost of leverage. If
    short-term rates rise, a Fund&#146;s cost of leverage could
    exceed the rate of return on longer-term bonds held by the Fund
    that were acquired during periods of lower interest rates,
    reducing returns to common shareholders. A Fund&#146;s cost of
    leverage includes both the interest rate paid on its borrowings
    as well as any on-going fees and expenses associated with those
    borrowings.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    In February 2008, escalating liquidity pressures across
    financial markets led to the systemic failure of the ARPS market
    and the auction process used to set the ARPS&#146; dividend
    rate. This failure is on-going and affects the Funds&#146;
    MuniPreferred shares whose dividend rates are currently set by
    reference to the Maximum Rate. Because the Funds&#146; Maximum
    Rates over time are expected to result in a higher relative cost
    of leverage compared with historical levels, the potential
    incremental earnings from the Funds&#146; use of MuniPreferred
    shares would be expected to be reduced relative to historical
    levels. Each Fund and NAM continue to explore various
</DIV>

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    <BR>
    17
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<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    alternatives for refinancing the Fund&#146;s outstanding
    MuniPreferred shares in order to reduce the Fund&#146;s relative
    cost of leverage over time and to provide liquidity &#147;at
    par&#148; for MuniPreferred shareholders.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    A Fund&#146;s use of financial leverage also creates incremental
    common share net asset value risk because the full impact of
    price changes in the Fund&#146;s investment portfolio, including
    assets attributable to leverage, is borne by common
    shareholders. This can lead to a greater increase in net asset
    values in rising markets than if a Fund were not leveraged, but
    also can result in a greater decrease in net asset values in
    declining markets. A Fund&#146;s use of financial leverage
    similarly can magnify the impact of changing market conditions
    on common share market prices. Each Fund is required to maintain
    certain regulatory and rating agency asset coverage requirements
    in connection with its outstanding MuniPreferred shares, in
    order to be able to maintain the ability to declare and pay
    common share distributions and to maintain the MuniPreferred
    share&#146;s AAA/Aaa rating. In order to maintain required asset
    coverage levels, a Fund may be required to alter the composition
    of its investment portfolio or take other actions, such as
    redeeming MuniPreferred shares with the proceeds from portfolio
    transactions, at what might be an inopportune time in the
    market. Such actions could reduce the net earnings or returns to
    common shareholders over time.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Each Fund may invest in the securities of other investment
    companies, which may themselves be leveraged and therefore
    present similar risks to those described above.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The amount of fees paid to NAM for investment advisory services
    will be higher since each Fund uses financial leverage because
    the fees will be calculated based on the Fund&#146;s Managed
    Assets.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Each Fund seeks to manage the risks associated with its use of
    financial leverage as described below under &#147;Management of
    Investment Portfolio and Capital Structure to Limit Leverage
    Risk.&#148;
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Tax Risk.</I>&#160;&#160;To qualify for the favorable
    U.S.&#160;federal income tax treatment generally accorded to
    regulated investment companies, among other things, a Fund must
    derive in each taxable year at least 90% of its gross income
    from certain prescribed sources. If for any taxable year a Fund
    does not qualify as a regulated investment company, all of its
    taxable income (including its net capital gain) would be subject
    to tax at regular corporate rates without any deduction for
    distributions to shareholders, and such distributions would be
    taxable as ordinary dividends to the extent of the Fund&#146;s
    current and accumulated earnings and profits.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The value of a Fund&#146;s investments and its net asset value
    may be adversely affected by changes in tax rates and policies.
    Because interest income from municipal securities is normally
    not subject to regular federal income taxation, the
    attractiveness of municipal securities in relation to other
    investment alternatives is affected by changes in federal income
    tax rates or changes in the tax-exempt status of interest income
    from municipal securities. Any proposed or actual changes in
    such rates or exempt status, therefore, can significantly affect
    the demand for and supply, liquidity and marketability of
    municipal securities. This could in turn affect a Fund&#146;s
    net asset value and ability to acquire and dispose of municipal
    securities at desirable yield and price levels. Additionally,
    the Funds are not suitable investments for individual retirement
    accounts, for other tax-exempt or tax-deferred accounts or for
    investors who are not sensitive to the federal income tax
    consequences of their investments.
</DIV>

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    <BR>
    18
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<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Each Fund&#146;s policy of generally investing in bonds that are
    exempt from the federal alternative minimum tax applicable to
    individuals may prevent the Fund from investing in certain kinds
    of bonds and thereby limit the Fund&#146;s ability to optimally
    diversify its portfolio.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Taxability Risk.</I>&#160;&#160;Each Fund will invest in
    municipal securities in reliance at the time of purchase on an
    opinion of bond counsel to the issuer that the interest paid on
    those securities will be excludable from gross income for
    federal income tax purposes, and NAM will not independently
    verify that opinion.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Subsequent to a Fund&#146;s acquisition of such a municipal
    security, however, the security may be determined to pay, or to
    have paid, taxable income. As a result, the treatment of
    dividends previously paid or to be paid by the Fund as
    &#147;exempt-interest dividends&#148; could be adversely
    affected, subjecting a Fund&#146;s shareholders to increased
    federal income tax liabilities.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Under highly unusual circumstances, the IRS may determine that a
    municipal bond issued as tax-exempt should in fact be taxable.
    If a Fund holds such a bond, it might have to distribute taxable
    ordinary income dividends or reclassify as taxable income
    previously distributed as exempt-interest dividends.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Distributions of ordinary taxable income (including any net
    short-term capital gain) will be taxable to shareholders as
    ordinary income (and not eligible for favorable taxation as
    &#147;qualified dividend income&#148;), and capital gain
    dividends will be subject to capital gains taxes. See &#147;Tax
    Matters.&#148;
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Borrowing Risks.</I>&#160;&#160;Each Fund may borrow for
    temporary or emergency purposes, including to pay dividends,
    repurchase its shares, or clear portfolio transactions.
    Borrowing may exaggerate changes in the net asset value of a
    Fund&#146;s shares and may affect a Fund&#146;s net income. When
    a Fund borrows money, it must pay interest and other fees, which
    will reduce the Fund&#146;s returns if such costs exceed the
    returns on the portfolio securities purchased or retained with
    such borrowings. Any such borrowings are intended to be
    temporary. However, under certain market conditions, including
    periods of low demand or decreased liquidity in the municipal
    bond market such borrowings might be outstanding for longer
    periods of time.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Inflation Risk.</I>&#160;&#160;Inflation risk is the risk
    that the value of assets or income from investment will be worth
    less in the future as inflation decreases the value of money. As
    inflation increases, the real value of the dividends paid to
    MuniPreferred shareholders can decline.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Special Risks Related to Certain Municipal
    Obligations.</I>&#160;&#160;Each Fund may invest in municipal
    leases and certificates of participation in such leases.
    Municipal leases and certificates of participation involve
    special risks not normally associated with general obligations
    or revenue bonds. Leases and installment purchase or conditional
    sale contracts (which normally provide for title to the leased
    asset to pass eventually to the governmental issuer) have
    evolved as a means for governmental issuers to acquire property
    and equipment without meeting the constitutional and statutory
    requirements for the issuance of debt. The debt issuance
    limitations are deemed to be inapplicable because of the
    inclusion in many leases or contracts of
    &#147;non-appropriation&#148; clauses that relieve the
    governmental issuer of any obligation to make future payments
    under the lease or contract unless money is appropriated for
    such purpose by the appropriate legislative body on a yearly or
    other periodic basis. In addition, such leases or contracts may
    be subject to the temporary abatement of payments in the event
    the governmental issuer is prevented from maintaining occupancy
    of the leased premises or utilizing the leased equipment.
    Although the obligations may be secured by the leased equipment
    or
</DIV>

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    <BR>
    19
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<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    facilities, the disposition of the property in the event of
    non-appropriation or foreclosure might prove difficult, time
    consuming and costly, and may result in a delay in recovering or
    the failure to fully recover a Fund&#146;s original investment.
    In the event of non-appropriation, the issuer would be in
    default and taking ownership of the assets may be a remedy
    available to a Fund, although the Fund does not anticipate that
    such a remedy would normally be pursued. To the extent that a
    Fund invests in unrated municipal leases or participates in such
    leases, the credit quality rating and risk of cancellation of
    such unrated leases will be monitored on an ongoing basis.
    Certificates of participation, which represent interests in
    unmanaged pools of municipal leases or installment contracts,
    involve the same risks as the underlying municipal leases. In
    addition, a Fund may be dependent upon the municipal authority
    issuing the certificates of participation to exercise remedies
    with respect to the underlying securities. Certificates of
    participation also entail a risk of default or bankruptcy, both
    of the issuer of the municipal lease and also the municipal
    agency issuing the certificate of participation.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Derivatives Risk, Including the Risk of
    Swaps.</I>&#160;&#160;Each Fund&#146;s use of derivatives
    involves risks different from, and possibly greater than, the
    risks associated with investing directly in the investments
    underlying the derivatives. Whether a Fund&#146;s use of
    derivatives is successful will depend on, among other things, if
    NAM correctly forecasts market values, interest rates and other
    applicable factors. If NAM incorrectly forecasts these and other
    factors, the investment performance of a Fund will be
    unfavorably affected. In addition, the derivatives market is
    largely unregulated. It is possible that developments in the
    derivatives market could adversely affect the Fund&#146;s
    ability to successfully use derivative instruments.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Each Fund may enter into debt-related derivatives instruments
    including credit default swap contracts and interest rate swaps.
    Like most derivative instruments, the use of swaps is a highly
    specialized activity that involves investment techniques and
    risks different from those associated with ordinary portfolio
    securities transactions. In addition, the use of swaps requires
    an understanding by NAM of not only of the referenced asset,
    rate or index, but also of the swap itself. Because they are
    two-party contracts and because they may have terms of greater
    than seven days, swap agreements may be considered to be
    illiquid. Moreover, a Fund bears the risk of loss of the amount
    expected to be received under a swap agreement in the event of
    the default or bankruptcy of a swap agreement counterparty. It
    is possible that developments in the swaps market, including
    potential government regulation, could adversely affect a
    Fund&#146;s ability to terminate existing swap agreements or to
    realize amounts to be received under such agreements. See
    &#147;&#151;&#160;Counterparty Risk&#148;,
    &#147;&#151;&#160;Hedging Risk&#148; and the Reorganization SAI.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Counterparty Risk.</I>&#160;&#160;Changes in the credit
    quality of the companies that serve as a Fund&#146;s
    counterparties with respect to derivatives, insured municipal
    securities or other transactions supported by another
    party&#146;s credit will affect the value of those instruments.
    Certain entities that have served as counterparties in the
    markets for these transactions have recently incurred
    significant financial hardships including bankruptcy and losses
    as a result of exposure to sub-prime mortgages and other lower
    quality credit investments that have experienced recent defaults
    or otherwise suffered extreme credit deterioration. As a result,
    such hardships have reduced these entities&#146; capital and
    called into question their continued ability to perform their
    obligations under such transactions. By using such derivatives
    or other transactions, a Fund assumes the risk that its
    counterparties could experience similar financial hardships.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Hedging Risk.</I>&#160;&#160;Each Fund&#146;s use of
    derivatives or other transactions to reduce risk involves costs
    and will be subject to NAM&#146;s ability to predict correctly
    changes in the relationships of
</DIV>

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    <BR>
    20
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<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    such hedge instruments to the Fund&#146;s portfolio holdings or
    other factors. No assurance can be given that NAM&#146;s
    judgment in this respect will be correct. In addition, no
    assurance can be given that a Fund will enter into hedging or
    other transactions at times or under circumstances in which it
    may be advisable to do so.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Deflation Risk.</I>&#160;&#160;Deflation risk is the risk
    that prices throughout the economy decline over time, which may
    have an adverse effect on the market valuation of companies,
    their assets and revenues. In addition, deflation may have an
    adverse effect on the creditworthiness of issuers and may make
    issuer default more likely, which may result in a decline in the
    value of a Fund&#146;s portfolio.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Illiquid Securities Risk.</I>&#160;&#160;Each Fund may invest
    in municipal securities and other instruments that, at the time
    of investment, are illiquid. Illiquid securities are securities
    that are not readily marketable and may include some restricted
    securities, which are securities that may not be resold to the
    public without an effective registration statement under the
    Securities Act of 1933, as amended, if they are unregistered,
    may be sold only in a privately negotiated transaction or
    pursuant to an exemption from registration. Illiquid securities
    involve the risk that the securities will not be able to be sold
    at the time desired by a Fund or at prices approximating the
    value at which the Fund is carrying the securities on its books.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Market Disruption Risk.</I>&#160;&#160;Certain events have a
    disruptive effect on the securities markets, such as terrorist
    attacks (including the terrorist attacks in the U.S.&#160;on
    September&#160;11, 2001), war and other geopolitical events. A
    Fund cannot predict the effects of similar events in the future
    on the U.S.&#160;economy.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Call Risk.</I>&#160;&#160;If interest rates fall, it is
    possible that issuers of callable bonds with higher interest
    coupons will &#147;call&#148; (or prepay) their bonds before
    their maturity date. If a call were exercised by the issuer
    during a period of declining interest rates, a Fund is likely to
    replace such called security with a lower yielding security.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Certain Affiliations.</I>&#160;&#160;Certain broker-dealers
    may be considered to be affiliated persons of the Funds, NAM,
    Nuveen Investments
    <FONT style="white-space: nowrap">and/or</FONT>
    Nuveen. Absent an exemption from the SEC or other regulatory
    relief, each Fund is generally precluded from effecting certain
    principal transactions with affiliated brokers, and its ability
    to purchase securities being underwritten by an affiliated
    broker or a syndicate including an affiliated broker, or to
    utilize affiliated brokers for agency transactions, is subject
    to restrictions. This could limit a Fund&#146;s ability to
    engage in securities transactions, purchase certain adjustable
    rate senior loans, if applicable, and take advantage of market
    opportunities.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Anti-Takeover Provisions.</I>&#160;&#160;Each Fund&#146;s
    Declaration and By-laws includes provisions that could limit the
    ability of other entities or persons to acquire control of the
    Fund or convert the Fund to open-end status. These provisions
    could have the effect of depriving common shareholders of
    opportunities to sell their common shares at a premium over the
    then current market price of the Common Shares. For further
    information on the Acquiring Fund, see &#147;Certain Provisions
    in the Acquiring Fund&#160;Declaration of Trust and
    By-Laws.&#148;
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>MuniPreferred Interest Rate Risk.</I>&#160;&#160;The Funds
    issue MuniPreferred shares, which pay dividends based on
    short-term interest rates, and use the proceeds to buy municipal
    bonds, which pay interest based on long-term yields. Long-term
    municipal bond yields are typically, although not always, higher
    than short-term interest rates. Both long-term and short term
    interest rates may fluctuate. If short-term interest rates rise,
    MuniPreferred rates may rise so that the amount
</DIV>

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    <BR>
    21
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    of dividends paid to MuniPreferred shareholders exceeds the
    income from a Fund&#146;s portfolio securities. Because income
    from each Fund&#146;s entire investment portfolio (not just the
    portion of the portfolio purchased with the proceeds of the
    MuniPreferred share offering) is available to pay MuniPreferred
    dividends, however, MuniPreferred dividend rates would need to
    greatly exceed the Fund&#146;s net portfolio income before the
    Fund&#146;s ability to pay MuniPreferred dividends would be
    jeopardized. Due to the systematic failure of the ARPS market
    and the auction process used to set the ARPS&#146; dividend
    rate, the Funds&#146; MuniPreferred dividend rates are currently
    set by reference to the Maximum Rate. Because the Funds&#146;
    Maximum Rates over time are expected to result in a higher
    relative cost of leverage compared with historical levels, the
    potential incremental earnings from the Funds&#146; use of
    MuniPreferred shares would be expected to be reduced relative to
    historical levels.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Auction Risk.</I>&#160;&#160;Since mid-February 2008 the
    functioning of the auction markets for certain types of auction
    rate securities (including MuniPreferred) has been disrupted by
    an imbalance between buy and sell orders. As a result of this
    imbalance, auctions for MuniPreferred have not cleared and
    MuniPreferred generally have become illiquid. There is no
    current expectation that these circumstances will change
    following the Reorganization and it is possible that the
    MuniPreferred markets will never resume normal functioning. The
    dividend rate on MuniPreferred when MuniPreferred auctions do
    not clear is the Maximum Rate. In normally functioning auctions,
    if you place hold orders (orders to retain MuniPreferred shares)
    at an auction only at a specified rate, and that bid rate
    exceeds the rate set at the auction, you will not retain your
    MuniPreferred shares. Finally, if you buy shares or elect to
    retain shares without specifying a rate below which you would
    not wish to continue to hold those shares, and the auction sets
    a below-market rate, you may receive a lower rate of return on
    your shares than the market rate. Description of MuniPreferred
    shares&#148; and &#147;The Auction&#160;&#151; Auction
    Procedures.&#148;
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Secondary Market Risk.</I>&#160;&#160;There is currently no
    established secondary market for MuniPreferred and, if one
    should develop, it may only be possible to sell them for a price
    of less than $25,000 per share plus any accumulated dividends.
    If either Fund has designated a &#147;Special Dividend
    Period&#148; (a dividend period of more than 7&#160;days),
    changes in interest rates could affect the price of
    MuniPreferred sold in the secondary market. Broker-dealers may
    maintain a secondary trading market in the MuniPreferred;
    however, they have no obligation to do so and there can be no
    assurance that a secondary market for the MuniPreferred will
    develop or, if it does develop, that it will provide holders
    with a liquid trading market (i.e., trading will depend on the
    presence of willing buyers and sellers and the trading price is
    subject to variables to be determined at the time of the trade
    by the broker-dealers). MuniPreferred are not be registered on
    any stock exchange or on any automated quotation system. An
    increase in the level of interest rates, particularly during
    dividend periods between one and five years, likely will have an
    adverse effect on the secondary market price of the
    MuniPreferred, and a selling shareholder may sell MuniPreferred
    between auctions at a price per share of less than $25,000.
    Accrued MuniPreferred dividends, however, should at least
    partially compensate for the increased market interest rate.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Ratings and Asset Coverage Risk.</I>&#160;&#160;While
    Moody&#146;s and S&#038;P assign ratings of &#147;Aaa&#148; and
    &#147;AAA,&#148; respectively, to each Fund&#146;s MuniPreferred
    shares, the ratings do not eliminate or necessarily mitigate the
    risks of investing in MuniPreferred shares. A rating agency
    could downgrade MuniPreferred shares, which may negatively
    affect your MuniPreferred Shares. If a rating agency downgrades
    MuniPreferred shares, a Fund will alter its portfolio or redeem
</DIV>

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    <BR>
    22
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    MuniPreferred shares. A Fund may voluntarily redeem
    MuniPreferred shares under certain circumstances.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Income Risk.</I>&#160;&#160;A Fund&#146;s income is based
    primarily on the interest it earns from its investments, which
    can vary widely over the short-term and long-term. If interest
    rates drop, a Fund&#146;s income available over time to make
    dividend payments with respect to the MuniPreferred could drop
    as well if the Fund purchases securities with lower interest
    coupons.
</DIV>
<A name='112'>
<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">THE
    SPECIAL MEETING</FONT></B>
</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>
<A name='113'>
<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">General</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    This Proxy Statement/Prospectus is furnished in connection with
    the solicitation by the Boards of the Funds of proxies to be
    voted at the Special Meeting to be
    held&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    on&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    2009,
    at&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;:&#160;&#160;&#160;a.m.,
    Central time, and at any and all adjournments of such Special
    Meeting. The cost of preparing, printing and mailing the
    enclosed proxy, accompanying notice and Proxy
    Statement/Prospectus, and all other costs in connection with the
    solicitation of proxies will be allocated between the Funds.
    Additional solicitation may be made by officers of the Funds, by
    officers or employees of the Adviser or Nuveen Investments, or
    by dealers and their representatives. The Funds have engaged
    Georgeson Inc. to assist in the solicitation of proxies at an
    estimated cost of $&#160;&#160;&#160;&#160;&#160; plus
    reasonable expenses.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Board of each Fund has fixed the close of business
    on&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    2009 as the record date (the &#147;Record Date&#148;) for
    determining holders of such Fund&#146;s common shares and shares
    of MuniPreferred entitled to notice of and to vote at the
    Special Meeting. Each shareholder will be entitled to one vote
    for each common share or share of MuniPreferred held. At the
    close of business on the Record Date, (a)&#160;the Acquiring
    Fund had
    outstanding&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    common shares and shares of MuniPreferred as follows:
    <FONT style="white-space: nowrap">Series&#160;T-&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;shares;</FONT>
    <FONT style="white-space: nowrap">Series&#160;W-&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;shares,</FONT>
    and (b)&#160;the Acquired Fund had
    outstanding&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    common shares
    and&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;shares
    of MuniPreferred Series&#160;W.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>
<A name='114'>
<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Voting;
    Proxies</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Common shares and MuniPreferred shares of the Funds entitled to
    vote at the Special Meeting that are represented by properly
    executed proxies will, unless such proxies have been revoked, be
    voted in accordance with the shareholder&#146;s instructions
    indicated on such proxies.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    A quorum of shareholders is required to take action at the
    Special Meeting. A majority of the shares entitled to vote at
    the Special Meeting, represented in person or by proxy, will
    constitute a quorum of shareholders at the Special Meeting.
    Votes cast by proxy or in person at the Special Meeting will be
    tabulated by the inspectors of election appointed for Special
    Meeting. The inspectors of election will determine whether or
    not a quorum is present at the Special Meeting. The inspectors
    of election will treat abstentions and &#147;broker
    non-votes&#148; (i.e., shares held by brokers or nominees,
    typically in &#147;street name,&#148; as to which
    (i)&#160;instructions have not been received from the beneficial
    owners or persons entitled to vote and (ii)&#160;the broker or
    nominee does not have discretionary voting power on a particular
    matter) as present for purposes of determining a quorum. For
    purposes of determining the approval of Proposal&#160;1 and
    Proposal&#160;2, abstentions and broker non-votes will have the
    same effect as shares voted against the proposal.
</DIV>

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    <BR>
    23
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    MuniPreferred shares held in &#147;street name&#148; as to which
    voting instructions have not been received from the beneficial
    owners or persons entitled to vote as of one business day before
    the Special Meeting, or, if adjourned, one business day before
    the day to which the Special Meeting is adjourned, and that
    would otherwise be treated as &#147;broker non-votes&#148; may,
    pursuant to Rule&#160;452 of the New York Stock Exchange, be
    voted by the broker on the proposal in the same proportion as
    the votes cast by all holders of MuniPreferred shares as a class
    who have voted on the proposal or in the same proportion as the
    votes cast by all holders of MuniPreferred shares of the Fund
    who have voted on that item. Rule&#160;452 permits proportionate
    voting of MuniPreferred shares with respect to a particular item
    if, among other things, (i)&#160;a minimum of 30% of the
    MuniPreferred shares or shares of a series of MuniPreferred
    shares outstanding has been voted by the holders of such shares
    with respect to such item and (ii)&#160;less than 10% of the
    MuniPreferred shares or shares of a series of MuniPreferred
    shares outstanding has been voted by the holders of such shares
    against such item. For the purpose of meeting the 30% test,
    abstentions will be treated as shares &#147;voted&#148; and, for
    the purpose of meeting the 10% test, abstentions will not be
    treated as shares &#147;voted&#148; against the item.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The details of each proposal to be voted on by the shareholders
    of each Fund and the vote required for approval of each proposal
    are set forth under the description of each proposal below.
    Shareholders of either Fund who execute proxies may revoke them
    at any time before they are voted by filing with their Fund a
    written notice of revocation, by delivering a duly executed
    proxy bearing a later date or by attending the meeting and
    voting in person.
</DIV>
<A name='115'>
<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">PROPOSAL&#160;NO.&#160;1&#160;&#151;
    THE REORGANIZATION<BR>
    (SHAREHOLDERS OF EACH FUND)</FONT></B>
</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The terms and conditions of the Reorganization are set forth in
    the Agreement and Plan of Reorganization. Significant provisions
    of the Agreement are summarized below; however, this summary is
    qualified in its entirety by reference to the Agreement, a copy
    of which is attached as Appendix&#160;A to this Proxy
    Statement/Prospectus.
</DIV>
<A name='116'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">General</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Agreement sets forth the terms of the Reorganization, under
    which (i)&#160;the Acquiring Fund will acquire all the assets of
    the Acquired Fund in exchange for newly issued Acquiring
    Fund&#160;Common Shares and newly issued Acquiring
    Fund&#160;MuniPreferred Shares, and the Acquiring Fund&#146;s
    assumption of all the liabilities of the Acquired Fund,
    (ii)&#160;the distribution of the Acquiring Fund&#160;Common
    Shares and Acquiring Fund&#160;MuniPreferred Shares held by the
    Acquired Fund to its common and preferred shareholders,
    respectively and (iii)&#160;the liquidation, dissolution and
    termination of the Acquired Fund as a Trust in accordance with
    the Acquired Fund&#146;s Declaration of Trust. As a result of
    the Reorganization, the assets of the Acquiring Fund and the
    Acquired Fund would be combined and the shareholders of the
    Acquired Fund would become shareholders of the Acquiring Fund.
    The Board Members and officers of the Acquiring Fund are
    identical to those of the Acquired Fund. The investment
    objectives and policies of the Acquiring Fund are similar to the
    Acquired Fund except that the Acquired Fund invests in municipal
    bonds that are exempt from the Florida intangible personal
    property tax and concentrates its assets in Florida municipal
    bonds. Also, the Acquiring Fund is a diversified management
    investment company and the Acquired Fund is a non-diversified
    management investment company. If all proposals are approved,
    the [closing date] is expected to be the close
</DIV>

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    <BR>
    24
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    of business
    on&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    2009. Following the Reorganization, the Acquired Fund would
    terminate its registration as an investment company under the
    1940 Act.
</DIV>
<A name='117'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Terms of
    the Reorganization</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Valuation of Assets and Liabilities.</I>&#160;&#160;If the
    Reorganization is approved and the other conditions are
    satisfied or waived, the value of the net assets of the Acquired
    Fund shall be the value of its assets, less its liabilities,
    computed as of the close of regular trading on the New York
    Stock Exchange (&#147;NYSE&#148;) on the business day
    immediately prior to the Closing Date (such time and date being
    hereinafter called the &#147;Valuation Date&#148;). The value of
    the Acquired Fund&#146;s assets shall be determined by using the
    valuation procedures set forth in the Acquired Fund&#146;s
    Declaration of Trust and the Funds&#146; Proxy
    Statement/Prospectus to be used in connection with the
    Reorganization or such other valuation procedures as shall be
    mutually agreed upon by the parties. The value of the Acquired
    Fund&#146;s net assets shall be calculated net of the
    liquidation preference (including accumulated and unpaid
    dividends) of all outstanding Acquired Fund&#160;MuniPreferred
    shares.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Dividends will accumulate on shares of Acquired
    Fund&#160;MuniPreferred, Series&#160;W, up to and including the
    day on which the [closing] occurs and will be paid, together
    with the dividends then payable in respect of the shares of
    Acquiring Fund&#160;MuniPreferred Shares to the holders thereof
    on the Dividend Payment Date in respect of the Initial Rate
    Period of such shares. The Initial Rate Period of the shares of
    Acquiring Fund&#160;MuniPreferred Shares will be a period
    consisting of the number of days following the day on which the
    [closing] occurs that would have remained in the rate period of
    the shares of Acquired Fund&#160;MuniPreferred, Series&#160;W,
    in effect immediately prior to the [closing date]. The dividend
    rate for the Acquiring Fund&#160;MuniPreferred Shares for such
    Initial Rate Period thereof will be the dividend rate in effect
    immediately prior to the [closing date] for the shares of
    Acquired Fund&#160;MuniPreferred, Series&#160;W. The initial
    auction for the Acquiring Fund&#160;MuniPreferred Shares issued
    pursuant to the Reorganization will be held on the day on which
    the auction next succeeding the [closing date] would have been
    held for the shares of Acquired Fund&#160;MuniPreferred,
    Series&#160;W, but for the Reorganization.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Following the Reorganization, every common shareholder of the
    Acquired Fund would own common shares of the Acquiring Fund that
    will have an aggregate per share net asset value immediately
    after the [closing date] equal to the aggregate per share net
    asset value of that shareholder&#146;s Acquired Fund common
    shares immediately prior to the [closing date]. See
    &#147;Description of Common Shares Issued by the Acquiring
    Fund&#148; for a description of the rights of such shareholders.
    Since the Acquiring Fund&#160;Common Shares issued to the common
    shareholders of the Acquired Fund would be issued at net asset
    value in exchange for net assets of the Acquired Fund having a
    value equal to the aggregate per share net asset value of those
    Acquiring Fund&#160;Common Shares so issued, the net asset value
    of the Acquiring Fund common shares should remain virtually
    unchanged by the Reorganization, excluding Reorganization
    expenses. However, as a result of the Reorganization, common
    shareholders of both Funds would hold reduced percentages of
    ownership in the larger combined entity than they held in the
    Acquiring Fund or the Acquired Fund, as the case may be.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Following the Reorganization, every preferred shareholder of the
    Acquired Fund would own the same number of shares of Acquiring
    Fund&#160;MuniPreferred Shares as was held of Acquired
    Fund&#160;MuniPreferred, Series&#160;W, and the shares of
    Acquiring Fund&#160;MuniPreferred Shares would have rights and
    preferences substantially similar to those of the shares of
    Acquired
</DIV>

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    <BR>
    25
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Fund&#160;MuniPreferred, Series&#160;W. See
    &#147;&#151;&#160;Description of MuniPreferred Issued by the
    Acquiring Fund&#148; and &#147;&#151;&#160;Comparison of Rights
    of Holders of MuniPreferred of the Acquiring Fund and the
    Acquired Fund.&#148;
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Amendments and Conditions.</I>&#160;&#160;Under the terms of
    the Agreement, See &#147;&#151;&#160;Rating Agency
    Considerations&#148; and &#147;&#151;&#160;Certain Federal
    Income Tax Consequences of the Reorganization.&#148;
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Termination or Postponement.</I>
</DIV>
<A name='118'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Reasons
    for the Reorganization</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Based on the considerations below, the Board of each Fund,
    including the Board Members who are not &#147;interested
    persons&#148; (as defined in the 1940 Act) of the Funds (the
    &#147;Independent Trustees&#148;), has determined that the
    Reorganization would be in the best interests of each Fund and
    that the interests of the existing shareholders of the Funds
    would not be diluted as a result of the Reorganization. The
    Boards approved the Reorganization and recommended that
    shareholders of the respective Funds approve the Reorganization.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    In preparation for a meeting of the Boards held on
    January&#160;13, 2009 (the &#147;Meeting&#148;) at which the
    Reorganization was proposed, NAM provided the Boards with
    information regarding the proposed Reorganization, including the
    rationale therefor and alternatives considered to the
    Reorganization. Prior to approving the Reorganization, the
    Independent Trustees reviewed the foregoing information with
    their independent legal counsel and with management, reviewed
    with independent counsel applicable law and their duties in
    considering such matters, and met with independent legal counsel
    in a private session without management present. The Boards
    considered a number of principal factors in reaching their
    respective determination, including the following:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

<TR>
    <TD width="5%"></TD>
    <TD width="1%"></TD>
    <TD width="94%"></TD>
</TR>

<TR>
    <TD valign="top">
</TD>
    <TD></TD>
    <TD valign="bottom">
<DIV style="text-indent: -11pt; margin-left: 11pt">
    &#149;&#160;the secondary market trading history of the Funds
    (i.e., the price level at which the Funds&#146; shares have
    traded over time in relation to their underlying net asset value
    on an absolute basis and as compared to other closed-end funds)
    and prior efforts to enhance the secondary market for the common
    shares of the Acquired Fund;</DIV>
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
</TD>
    <TD></TD>
    <TD valign="bottom">
<DIV style="text-indent: -11pt; margin-left: 11pt">
    &#149;&#160;the elimination of the Florida intangibles tax;</DIV>
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
</TD>
    <TD></TD>
    <TD valign="bottom">
<DIV style="text-indent: -11pt; margin-left: 11pt">
    &#149;&#160;the compatibility of the investment objectives,
    policies and strategies of the Funds;</DIV>
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
</TD>
    <TD></TD>
    <TD valign="bottom">
<DIV style="text-indent: -11pt; margin-left: 11pt">
    &#149;&#160;the potential opportunities to refinance
    MuniPreferred;</DIV>
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
</TD>
    <TD></TD>
    <TD valign="bottom">
<DIV style="text-indent: -11pt; margin-left: 11pt">
    &#149;&#160;the relative fees and expense ratios of the Funds,
    including caps on the Funds&#146; expenses agreed to by NAM;</DIV>
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
</TD>
    <TD></TD>
    <TD valign="bottom">
<DIV style="text-indent: -11pt; margin-left: 11pt">
    &#149;&#160;the investment performance of the Funds;</DIV>
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
</TD>
    <TD></TD>
    <TD valign="bottom">
<DIV style="text-indent: -11pt; margin-left: 11pt">
    &#149;&#160;the anticipated tax-free nature of the
    Reorganization;</DIV>
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
</TD>
    <TD></TD>
    <TD valign="bottom">
<DIV style="text-indent: -11pt; margin-left: 11pt">
    &#149;&#160;the expected costs of the Reorganization and the
    extent to which the Funds would bear any such costs;</DIV>
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
</TD>
    <TD></TD>
    <TD valign="bottom">
<DIV style="text-indent: -11pt; margin-left: 11pt">
    &#149;&#160;the terms of the Reorganization and whether the
    Reorganization would dilute the interests of shareholders of the
    Funds;&#160;and</DIV>
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
</TD>
    <TD></TD>
    <TD valign="bottom">
<DIV style="text-indent: -11pt; margin-left: 11pt">
    &#149;&#160;any potential benefits of the Reorganization to NAM
    as a result of the Reorganization.</DIV>
</TD>
</TR>

</TABLE>

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    <BR>
    26
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Elimination of Florida Intangibles Tax.</I>&#160;&#160;Prior
    to January&#160;1, 2007, the State of Florida imposed an
    &#147;intangibles tax&#148; on the value of stocks, bonds, other
    evidences of indebtedness and mutual fund shares. Florida
    municipal obligations were exempt from this tax. The repeal of
    the Florida state intangibles tax in 2007 reduced the
    attractiveness of Florida bonds to investors formerly subject to
    the intangibles tax. In light of the Acquired Fund&#146;s
    secondary market trading history over time as well as previous
    efforts to enhance the secondary market for its common shares,
    the Board of the Acquired Fund considered various responses to
    the repeal of the intangibles tax, including merging the
    Acquired Fund into an existing national municipal closed-end
    fund, reorganizing it into a newly created shell fund, and
    amending the Acquired Fund&#146;s investment mandates (e.g.,
    converting from a Florida-specific mandate to a national or
    Florida-preference mandate). After considering the alternatives,
    given the similarities between the Acquiring Fund and the
    Acquired Fund and the expected benefits from combining the
    Funds, the Boards believe the proposed Reorganization would be
    in the best interests of the respective Funds.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Continuity of Objectives and Policies.</I>&#160;&#160;The
    Boards considered the compatibility of the Funds&#146;
    investment objectives, policies and strategies except in
    relevant part, the Acquired Fund would invest primarily in
    municipal securities that pay interest exempt from the Florida
    intangible personal property tax and thus would concentrate its
    assets in Florida municipal bonds. As noted above, Florida
    repealed the intangible personal property tax eliminating a
    primary reason for the policy of the Acquired Fund to invest in
    Florida municipal bonds and making the continuation of this
    policy is no longer necessary. With the Reorganization, the
    Acquired Fund common shareholders would be invested in a more
    diversified portfolio and their exposure to Florida obligations
    would decrease. Each Fund has also issued MuniPreferred to
    create leverage. Through the use of leverage, the Funds seek to
    enhance potential common share earnings over time by borrowing
    at short-term municipal rates and investing at long-term
    municipal rates which generally are higher. Although there are
    no assurances that the use of leverage will result in a higher
    yield or return to common shareholders, the Boards believe that
    the Acquiring Fund&#146;s use of leverage would continue to
    provide common shareholders of the Acquired Fund the potential
    for higher monthly tax-exempt distributions and enhanced total
    returns on average over market cycles at a time when the
    municipal yield spreads are particularly wide or attractive. In
    addition, as discussed in more detail below, the larger asset
    base of the combined fund may increase its ability to refinance
    the MuniPreferred with TOBs.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Expanded MuniPreferred Refinancing
    Opportunities.</I>&#160;&#160;As noted, both Funds have issued
    MuniPreferred to create leverage. The Boards recognize the
    systematic failure of the MuniPreferred market and the auction
    process used to set the MuniPreferreds&#146; dividend rate. This
    failure continues and the Funds&#146; MuniPreferred shares are
    currently set by reference to the Maximum Rate. The larger asset
    base of the combined fund may increase its ability to refinance
    the MuniPreferred with TOBs. In addition, the greater portfolio
    diversification of the Acquiring Fund compared to the Acquired
    Fund may also enhance the combined fund&#146;s ability to
    refinance the MuniPreferred compared to that of the Acquired
    Fund. The use of TOBs to replace MuniPreferred is expected to
    benefit the Funds&#146; common shareholders because it is
    expected to lower the relative cost of leverage over time for
    common shareholders. Further, through such refinancings, the
    Funds seek to provide liquidity at par for MuniPreferred
    shareholders.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Expected Lower Fund&#160;Fees and
    Expenses.</I>&#160;&#160;The combined fund offers economies of
    scale that may lead to lower per share expenses for common
    shareholders of the Funds. The Boards considered the fees and
    expense ratios of their respective Funds, including the
    estimated expenses of the combined fund after the
    Reorganization. As a result of greater economies of
</DIV>

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    <BR>
    27
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    scale from the larger asset size of the combined fund, it is
    expected that the management fees and net expenses of the
    combined fund (after any expense reimbursements) would be lower
    than that of both Funds. In this regard, the Funds are subject
    to the same management fee rate schedule pursuant to their
    respective investment management agreements with NAM.
    Accordingly, after the Reorganization, the greater asset size of
    the combined fund is expected to result in a lower management
    fee rate. Further, the fixed operating expenses of the combined
    fund may be spread over a larger asset base.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Improved Secondary Market Trading.</I>&#160;&#160;While it is
    not possible to predict trading levels at the time the
    Reorganization closes, a reduction in a Fund&#146;s trading
    discount would be in the best interests of the Fund&#146;s
    common shareholders. The Board of the Acquired Fund considered
    that over the past year, the Acquired Fund shares generally have
    traded at a wider discount to net asset value (&#147;NAV&#148;)
    than has been the case for national funds. The potential broader
    investor base of a national fund instead of a Florida-specific
    fund may promote higher common share prices relative to net
    asset value and the combined fund&#146;s greater market
    liquidity may lead to narrower bid-ask spreads and smaller trade
    to trade price movements. Similarly, with respect to the
    Acquiring Fund, the Board of the Acquiring Fund considered that
    the potential for higher common net earnings and enhanced total
    returns over time may also lead to higher common share market
    prices relative to net asset value and the combined funds
    greater market liquidity may lead to narrower bid-ask spreads
    and smaller trade to trade price movements. There can, however,
    be no assurance that after the Reorganization, the common shares
    of the combined fund will trade at a premium to NAV, or at a
    smaller discount to NAV, than is currently the case for the
    common shares of the Acquiring Fund and Acquired Fund.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Investment Performance.</I>&#160;&#160;The Boards considered
    the estimated increase in common net earnings of the combined
    Fund after the Reorganization compared to that of the Acquiring
    Fund and Acquired Fund based on information provided by NAM and
    expected expanded opportunities for enhanced total returns due
    to the larger asset base (and in relation to the Acquired Fund,
    a nationally-diversified portfolio). This information
    supplemented the historic investment performance information of
    the Funds the Boards receive at their meetings during the year.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>No Dilution.</I>&#160;&#160;The terms of the Reorganization
    are intended to avoid dilution of the interests of the
    shareholders of the Funds. In this regard, each shareholder of
    common shares of the Acquired Fund will receive common shares of
    the Acquiring Fund equal to the aggregate per share net asset
    value of that shareholder&#146;s Acquired Fund common shares
    immediately prior to the closing of the Reorganization. With
    respect to preferred shareholders, every preferred shareholder
    of the Acquired Fund will receive the same number of shares of
    Acquiring Fund&#160;MuniPreferred Shares as was held of the
    Acquired Fund&#160;MuniPreferred shares, Series&#160;W, and the
    Acquiring Fund&#160;MuniPreferred Shares would have rights and
    preferences substantially similar to those of the shares of
    Acquired Fund&#160;MuniPreferred shares, Series&#160;W. The
    aggregate liquidation preference of Acquiring
    Fund&#160;MuniPreferred Shares received in the Reorganization
    will equal the aggregate liquidation preference of the Acquired
    Fund&#146;s preferred shares held immediately prior to the
    Reorganization.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Tax-Free Reorganization.</I>&#160;&#160;The Reorganization
    will be structured with the intention that it qualify as a
    tax-free reorganization for federal income tax purposes. The
    Funds will obtain an opinion of counsel (based on certain
    factual representations and certain customary assumptions)
    substantially to the effect that the Reorganization will be
    tax-free for federal income tax purposes.
</DIV>

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    <BR>
    28
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Costs of the Reorganization.</I>&#160;&#160;The Boards
    considered the terms and conditions of the Agreement, including
    the estimated costs associated with the Reorganization and the
    allocation of such costs between the Acquiring Fund and the
    Acquired Fund.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Potential Benefits to NAM.</I>&#160;&#160;The Boards
    recognized that the Reorganization may result in benefits and
    economies for NAM. These may include, for example, a reduction
    in the level of operational expenses incurred for
    administrative, compliance and portfolio management services as
    a result of the elimination of the Acquired Fund as a separate
    Nuveen Fund.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Conclusion.</I>&#160;&#160;The Boards, including the
    Independent Trustees, approved the Reorganization, concluding
    that the Reorganization is in the best interests of both Funds
    and that the interests of existing shareholders of the Funds
    will not be diluted as a result of the Reorganization.
</DIV>
<A name='119'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Votes
    Required</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Reorganization is required to be approved by the affirmative
    vote of the holders of a majority of the outstanding shares of
    the Acquired Fund&#146;s common shares and the MuniPreferred,
    voting together as a single class, and by the affirmative vote
    of a majority of the Fund&#146;s outstanding MuniPreferred,
    voting as a separate class. In addition, the Reorganization is
    required to be approved by the affirmative vote of the holders
    of a majority of the outstanding shares of the Acquiring
    Fund&#146;s common shares and the MuniPreferred, voting together
    as a single class, and by the affirmative vote of a majority of
    the Fund&#146;s outstanding MuniPreferred, voting as a separate
    class.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    MuniPreferred shareholders of each Fund are being asked to
    approve the Agreement as a &#147;plan of reorganization&#148;
    under the 1940 Act. Section&#160;18(a)(2)(D) of the 1940 Act
    provides that the terms of preferred shares issued by a
    registered closed-end management investment company must contain
    provisions requiring approval by the vote of a majority of such
    shares, voting as a class, of any plan of reorganization
    adversely affecting such shares. The 1940 Act makes no
    distinction between a plan of reorganization that has an adverse
    effect as opposed to a materially adverse effect. While the
    respective Boards do not believe that the holders of shares of
    MuniPreferred of either Fund would be materially adversely
    affected by the Reorganization, it is possible that there may be
    insignificant adverse effects (such as where the asset coverage
    with respect to the shares of Acquiring Fund&#160;MuniPreferred
    Shares issued pursuant to the Reorganization is slightly more or
    less than the asset coverage with respect to the shares of
    Acquired Fund&#160;MuniPreferred for which they are exchanged).
    Each Fund is seeking approval of the Agreement by the holders of
    shares of that Fund&#146;s MuniPreferred, each voting separately
    as a class. Such approval requires the affirmative vote of the
    holders of at least a majority of the outstanding shares of that
    Fund&#146;s MuniPreferred entitled to vote on the proposal,
    voting separately as a class.
</DIV>
<A name='120'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Rating
    Agency Considerations</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Under the terms of the Agreement, the Reorganization is
    conditioned upon (a)&#160;approval by the shareholders of the
    Acquiring Fund, as described under &#147;Votes Required&#148;
    above, (b)&#160;the Funds&#146; receipt of written advice from
    Moody&#146;s and S&#038;P (i)&#160;confirming that consummation
    of the Reorganization will not impair the &#147;AAA&#148; and
    &#147;Aaa&#148; ratings assigned to the outstanding shares of
    Acquiring Fund&#160;MuniPreferred shares, Series&#160;T or
    Series&#160;W and (ii)&#160;assigning &#147;AAA&#148; or Aaa
    ratings to the shares of Acquiring Fund&#160;MuniPreferred,
    Series&#160;W2, (c)&#160;the Funds&#146; receipt of an opinion
    to the effect that the Reorganization will qualify as a tax-free
    reorganization under the
</DIV>

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    <BR>
    29
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<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Code, (d)&#160;the absence of legal proceedings challenging the
    Reorganization and (e)&#160;the Funds&#146; receipt of certain
    routine certificates and legal opinions. See
    &#147;&#151;&#160;Certain Federal Income Tax Consequences of the
    Reorganization.&#148;
</DIV>
<A name='121'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Description
    of Common Shares Issued by the Acquiring Fund</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">General</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Declaration of Trust of the Acquiring Fund (the
    &#147;Acquiring Fund&#160;Declaration of Trust&#148;) authorizes
    an unlimited amount of common shares, par value $.01 per share.
    As
    of&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    2009, there were issued and
    outstanding&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    common shares of the Acquiring Fund. If the Reorganization is
    approved, at the [closing date] the Acquiring Fund will issue
    additional common shares. The number of such additional
    Acquiring Fund&#160;Common Shares will be based on the relative
    aggregate per share net asset values of the Acquiring Fund and
    the Acquired Fund, in each case as of the [closing date]. Based
    on the relative per share net asset values as
    of&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    2009, the Acquiring Fund would have issued
    approximately&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    additional common shares if the Reorganization had occurred as
    of that date.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The terms of the Acquiring Fund&#160;Common Shares to be issued
    pursuant to the Reorganization will be identical to the terms of
    the Acquiring Fund common shares that are then outstanding. All
    of the Acquiring Fund common shares have equal rights with
    respect to the payment of dividends and the distribution of
    assets upon liquidation. The Acquiring Fund common shares are,
    when issued, fully paid and non-assessable and have no
    preemptive, conversion or exchange rights or right to cumulative
    voting. The Acquiring Fund will not be permitted to declare, pay
    or set apart for payment any cash dividend or distribution on
    the Acquiring Fund&#160;Common Shares, unless
    (a)&#160;cumulative dividends on all outstanding shares of
    Acquiring Fund&#160;MuniPreferred shares have been paid in full
    and (b)&#160;the Acquiring Fund meets the asset coverage test
    described in the Reorganization SAI under &#147;Description of
    MuniPreferred Issued by the Acquiring Fund&#160;&#151;
    Dividends&#160;&#151; Restrictions on Dividends and Other
    Payments.&#148; This latter limitation on the Acquiring
    Fund&#146;s ability to make distributions on common shares could
    under certain circumstances impair the ability of the Acquiring
    Fund to maintain its qualification for taxation as a regulated
    investment company under the Code. See &#147;Tax Matters
    Associated with Investment in the Funds&#148; under
    &#147;Additional Information About the Funds&#148; below and in
    the Reorganization SAI.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Distributions</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Acquiring Fund&#146;s intent is to pay regular monthly cash
    distributions to common shareholders at a level rate (stated in
    terms of a fixed cents per common share dividend rate) that
    reflects the past and projected performance of the Acquiring
    Fund. Distributions can only be made from net investment income
    after paying any accrued dividends to MuniPreferred shareholders.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Acquiring Fund&#146;s ability to maintain a level dividend
    rate will depend on a number of factors, including the rate at
    which dividends are payable on the MuniPreferred shares. The net
    income of the Acquiring Fund consists of all interest income
    accrued on portfolio assets less all expenses of the Fund.
    Expenses of the Acquiring Fund are accrued each day. Over time,
    all the net investment income of the Acquiring Fund will be
    distributed. At least annually, the Acquiring Fund also intends
    to effectively distribute net capital gain and ordinary taxable
</DIV>

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    <BR>
    30
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    income, if any, after paying any accrued dividends or making any
    liquidation payments to MuniPreferred shareholders. Although it
    does not now intend to do so, the Board may change the Acquiring
    Fund&#146;s dividend policy and the amount or timing of the
    distributions, based on a number of factors, including the
    amount of the Fund&#146;s undistributed net investment income
    and historical and projected investment income and the amount of
    the expenses and dividend rates on the outstanding MuniPreferred
    shares.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    As explained more fully below in &#147;Tax Matters Associated
    with Investments in the Funds,&#148; at least annually, the
    Acquiring Fund may elect to retain rather than distribute all or
    a portion of any net capital gain (which is the excess of net
    long-term capital gain over net short-term capital loss)
    otherwise allocable to common shareholders and pay federal
    income tax on the retained gain. As provided under federal
    income tax law, common shareholders of record as of the end of
    the Acquiring Fund&#146;s taxable year will include their
    attributable share of the retained net capital gain in their
    income for the year as a long-term capital gain (regardless of
    their holding period in the common shares), and will be entitled
    to an income tax credit or refund for the tax deemed paid on
    their behalf by the Acquiring Fund.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Acquiring Fund reserves the right to change its distribution
    policy and the basis for establishing the rate of its monthly
    distributions at any time.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    See &#147;Tax Matters Associated with Investment in the
    Funds&#148; under &#147;Additional Information About the
    Funds&#148; below and in the Reorganization SAI.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Fund management does not expect the level of monthly
    distributions to the common shareholders of the Acquiring Fund
    and the Acquired Fund to be affected by the Reorganization.
    There can be no assurance, however, that a stable level of
    distributions may be maintained over the life of either Fund.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Dividend
    Reinvestment Plan</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Under the Acquiring Fund&#146;s Dividend Reinvestment Plan (the
    &#147;Plan&#148;), you may elect to have all dividends,
    including any capital gain distributions, on your common shares
    automatically reinvested by the State Street Bank and
    Trust&#160;Company (the &#147;Plan Agent&#148;) in additional
    common shares under the Plan. You may elect to participate in
    the Plan by completing the Dividend Reinvestment Plan
    Application Form. If you do not participate, you will receive
    all distributions in cash paid by check mailed directly to you
    by State Street Bank and Trust&#160;Company as dividend paying
    agent.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    If you decide to participate in the Plan of the Acquiring Fund,
    the number of common shares you will receive will be determined
    as follows:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (1)&#160;If common shares are trading at or above net asset
    value at the time of valuation, the Acquiring Fund will issue
    new shares at the then current market price;&#160;or
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (2)&#160;If common shares are trading below net asset value at
    the time of valuation, the Plan Agent will receive the dividend
    or distribution in cash and will purchase common shares in the
    open market, on the NYSE Alternext or elsewhere, for the
    participants&#146; accounts. It is possible that the market
    price for the common shares may increase before the Plan Agent
    has completed its purchases. Therefore, the average purchase
    price per share paid by the Plan Agent may exceed the market
    price at the time of valuation, resulting in the purchase of
    fewer shares than if the dividend or distribution had been paid
    in common shares issued by the Acquiring Fund. The Plan Agent
    will use all dividends and distributions received in cash to
    purchase common shares in
</DIV>

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    <BR>
    31
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    the open market within 30&#160;days of the valuation date.
    Interest will not be paid on any uninvested cash payments.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    If the Plan Agent begins purchasing Acquiring Fund shares on the
    open market while shares are trading below net asset value, but
    the Fund&#146;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&#146; net asset value or 95% of the shares&#146; market
    value.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    You may withdraw from the Plan at any time by giving written
    notice to the Plan Agent. If you withdraw or the Plan is
    terminated, you will receive a cash payment for any fraction of
    a share in your account. If you wish, the Plan Agent will sell
    your shares and send you the proceeds, minus brokerage
    commissions and a $2.50 service fee.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Plan Agent maintains all shareholders&#146; accounts in the
    Plan and gives written confirmation of all transactions in the
    accounts, including information you may need for tax records.
    Common shares in your account will be held by the Plan Agent in
    non-certificated form. Any proxy you receive will include all
    common shares you have received under the Plan.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    There is no brokerage charge for reinvestment of your dividends
    or distributions in common shares. However, all participants
    will pay a pro rata share of brokerage commissions incurred by
    the Plan Agent when it makes open market purchases.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Automatically reinvesting dividends and distributions does not
    mean that you do not have to pay income taxes due upon receiving
    dividends and distributions. The Acquiring Fund reserves the
    right to amend or terminate the Plan if in the judgment of the
    Board of the Acquiring Fund the change is warranted. There is no
    direct service charge to participants in the Plan; however, the
    Acquiring Fund reserves the right to amend the Plan to include a
    service charge payable by the participants. Additional
    information about the Plan may be obtained
    from&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    Attn:&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    (800)&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;-&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;.
</DIV>
<A name='122'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Comparison
    of Rights of Holders of Common Shares of the Acquiring Fund and
    the Acquired Fund</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The common shares of each Fund have equal voting rights with
    respect to that Fund and equal rights with respect to the
    payment of dividends and distribution of assets upon liquidation
    of that Fund and have no preemptive, conversion or exchange
    rights or rights to cumulative voting. The provisions of the
    Acquiring Fund&#160;Declaration of Trust are substantially
    similar to the provisions of the Acquired Fund&#146;s
    Declaration of Trust, and both contain, among other things,
    identical super-majority voting provisions, as described under
    &#147;&#151;&#160;Certain Provisions in the Acquiring
    Fund&#160;Declaration of Trust and By-Laws&#148; below. The full
    text of each Fund&#146;s Declaration of Trust, is on file with
    the SEC and may be obtained as described on page iii. The terms
    of the Acquiring Fund&#146;s Dividend Reinvestment Plan and
    distribution policy are identical to the terms of the Acquired
    Fund&#146;s Dividend Reinvestment Plan and distribution policy.
</DIV>
<A name='123'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Description
    of MuniPreferred Issued by the Acquiring Fund</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The following is a brief description of the terms of the shares
    of the Acquiring Fund&#160;MuniPreferred, including the
    Acquiring Fund&#160;MuniPreferred Shares to be issued pursuant
    to the
</DIV>

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    <BR>
    32
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Agreement. This description assumes that the Reorganization will
    be consummated and that the Acquiring Fund will issue shares of
    its MuniPreferred pursuant to the Agreement. This description
    does not purport to be complete and is subject to and qualified
    in its entirety by reference to the more detailed description of
    the shares of Acquiring Fund&#160;MuniPreferred Shares in the
    Reorganization SAI and in the Acquiring Fund&#160;Statement
    attached as
    Appendix&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    to the Reorganization SAI. Capitalized terms used but not
    defined herein have the meanings given them above or in the
    Acquiring Fund&#160;Statement.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Since February 2008 existing markets for APS have become
    generally illiquid and investors have not been able to sell
    their securities through the regular auction process. There
    currently is no established secondary market for MuniPreferred
    and, in the event a secondary market develops, a MuniPreferred
    holder may receive less than the price paid for MuniPreferred.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">General</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Acquiring Fund&#160;Declaration of Trust authorizes the
    issuance of an unlimited number of preferred shares, par value
    $.01 per share, in one or more classes or series, with rights as
    determined by the Board without the approval of holders of
    common shares. The Acquiring Fund&#160;Statement currently
    authorizes the issuance of 2,880 and 2,880&#160;shares of
    MuniPreferred, Series&#160;T and W, respectively. At the
    [closing], the Acquiring Fund will issue to the Acquired
    Fund&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;shares
    of MuniPreferred, Series&#160;W2, which the Acquired Fund would
    then distribute to the holders of Acquired
    Fund&#160;MuniPreferred, Series&#160;W. All MuniPreferred shares
    have a liquidation preference of $25,000 per share plus an
    amount equal to accumulated but unpaid dividends (whether or not
    earned or declared).
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The MuniPreferred shares of each series rank on parity with
    shares of any other series of MuniPreferred and with shares of
    any other series of preferred shares of the Acquiring Fund as to
    the payment of dividends and the distribution of assets upon
    liquidation. All MuniPreferred shares carry one vote per share
    on all matters on which such shares are entitled to be voted.
    Shares of MuniPreferred are, when issued, fully paid and,
    subject to matters discussed in &#147;Certain Provisions in the
    Acquiring Fund&#160;Declaration of Trust and By-Laws,&#148;
    non-assessable and have no preemptive, conversion or cumulative
    voting rights.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Dividends
    and Dividend Periods</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>General.</I>&#160;&#160;The dividend rate for shares of
    Acquired Fund&#160;MuniPreferred Shares issued in connection
    with the Reorganization for the Initial Rate Period will be
    equal to the dividend rate for shares of the Acquired
    Fund&#146;s MuniPreferred shares, Series&#160;W. The Initial
    Rate Period of the shares of Acquiring Fund&#160;MuniPreferred
    Shares issued pursuant to the Agreement will be a period
    consisting of the number of days following the day on which the
    [closing] occurs that would have remained in the rate period of
    the shares of the Acquired Fund&#160;MuniPreferred,
    Series&#160;W, in effect immediately prior to the [closing]. Due
    to the systematic failure of the ARPS market, the Acquired
    Fund&#160;MuniPreferred Shares dividend rate is set at the
    Maximum Rate.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Dividends on shares of Acquiring Fund&#160;MuniPreferred Shares
    issued pursuant to the Reorganization will be payable, when, as
    and if declared by the Acquiring Fund&#146;s Board out of funds
    legally available therefor in accordance with the Acquiring
    Fund&#160;Declaration of Trust, including the Acquiring
    Fund&#160;Statement, and applicable law. Providing that the
    [closing date]
    is&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    2009, dividends will be payable on
    Thursday,&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    2009, and thereafter on each Thursday. However, (i)&#160;if the
    Wednesday on which
</DIV>

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    <BR>
    33
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    dividends would otherwise be payable as set forth above is not a
    Business Day, then such dividends shall be payable on such
    shares on the first Business Day that falls prior to such
    Wednesday; and (ii)&#160;the Acquiring Fund may specify
    different Dividend Payment Dates in respect of any Special Rate
    Period of more than 28 Rate Period Days.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The amount of dividends per share payable on the Acquiring Fund
    of MuniPreferred Shares on any date on which dividends shall be
    payable on shares of such series shall be computed by
    multiplying the Applicable Rate for shares of such series in
    effect for such Dividend Period or Dividend Periods or part
    thereof for which dividends have not been paid by a fraction,
    the numerator of which shall be the number of days in such
    Dividend Period or Dividend Periods or part thereof and the
    denominator of which shall be 365 if such Dividend Period
    consists of 7 Rate Period Days and 360 for all other Dividend
    Periods, and applying the rate obtained against $25,000.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Dividends will be paid through the Securities Depository on each
    Dividend Payment Date in accordance with its normal procedures,
    which currently provide for it to distribute dividends in
    <FONT style="white-space: nowrap">next-day</FONT>
    funds to Agent Members, who in turn are expected to distribute
    such dividend payments to the persons for whom they are acting
    as agents. Each of the current Broker-Dealers, however, has
    indicated to the Fund that such Broker-Dealer or the Agent
    Member designated by such Broker-Dealer will make such dividend
    payments available in
    <FONT style="white-space: nowrap">same-day</FONT>
    funds on each Dividend Payment Date to customers that use such
    Broker-Dealer or its designee as Agent Member.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Dividends on shares of the Acquiring Fund&#160;MuniPreferred
    Shares will accumulate from the Date of Original Issue thereof.
    The dividend rate for the Acquiring Fund&#160;MuniPreferred
    Shares for the initial Rate Period for such shares shall
    be&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    .&#160;&#160;&#160;&#160;&#160;% per annum, the Maximum Rate.
    For each Subsequent Rate Period of the Acquiring
    Fund&#160;MuniPreferred Shares, the dividend rate for such
    shares will be the Applicable Rate for such shares that the
    Auction Agent advises the Acquiring Fund results from an
    Auction, except as provided below. The Applicable Rate that
    results from an Auction for the Acquiring
    Fund&#160;MuniPreferred Shares will not be greater than the
    Maximum Rate for shares of such series, which is:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (a)&#160;in the case of any Auction Date which is not the
    Auction Date immediately prior to the first day of any proposed
    Special Rate Period, the product of (i)&#160;the Reference Rate
    on such Auction Date for the next Rate Period of shares of such
    series and (ii)&#160;the Rate Multiple on such Auction Date,
    unless shares of such series have or had a Special Rate Period
    (other than a Special Rate Period of 28 Rate Period Days or
    fewer) and an Auction at which Sufficient Clearing Bids existed
    has not yet occurred for a Minimum Rate Period of shares of such
    series after such Special Rate Period, in which case the higher
    of:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (A)&#160;the dividend rate on shares of such series for the
    then-ending Rate Period;&#160;and
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (B)&#160;the product of (x)&#160;the higher of (I)&#160;the
    Reference Rate on such Auction Date for a Rate Period equal in
    length to the then-ending Rate Period of shares of such series,
    if such then-ending Rate Period was 364 Rate Period Days or
    fewer, or the Treasury Note Rate on such Auction Date for a Rate
    Period equal in length to the then-ending Rate Period of shares
    of such series, if such then-ending Rate Period was more than
    364 Rate Period Days, and (II)&#160;the Reference Rate on such
    Auction Date for a Rate Period equal in length to such Special
    Rate Period of shares of such series, if such Special Rate
    Period was 364 Rate Period Days or fewer, or the Treasury Note
    Rate on such Auction Date for a Rate
</DIV>

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    <BR>
    34
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Period equal in length to such Special Rate Period, if such
    Special Rate Period was more than 364 Rate Period Days and
    (y)&#160;the Rate Multiple on such Auction Date;&#160;or
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (b)&#160;in the case of any Auction Date which is the Auction
    Date immediately prior to the first day of any proposed Special
    Rate Period, the product of (i)&#160;the highest of (x)&#160;the
    Reference Rate on such Auction Date for a Rate Period equal in
    length to the then-ending Rate Period of shares of such series,
    if such then-ending Rate Period was 364 Rate Period Days or
    fewer, or the Treasury Note Rate on such Auction Date for a Rate
    Period equal in length to the then-ending Rate Period of shares
    of such series, if such then-ending Rate Period was more than
    364 Rate Period Days, (y)&#160;the Reference Rate on such
    Auction Date for the Special Rate Period for which the Auction
    is being held if such Special Rate Period is 364 Rate Period
    Days or fewer or the Treasury Note Rate on such Auction Date for
    the Special Rate Period for which the Auction is being held if
    such Special Rate Period is more than 364 Rate Period Days, and
    (z)&#160;the Reference Rate on such Auction Date for Minimum
    Rate Periods and (ii)&#160;the Rate Multiple on such Auction
    Date.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    If an Auction for any Subsequent Rate Period of Acquiring
    Fund&#160;MuniPreferred Shares is not held for any reason other
    than as described below, the dividend rate on shares of such
    series for such Subsequent Rate Period will be the Maximum Rate
    for shares of such series on the Auction Date for such
    Subsequent Rate Period.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    If the Acquiring Fund fails to pay in a timely manner to the
    Auction Agent the full amount of any dividend on, or the
    redemption price of, any shares of any series of MuniPreferred
    during any Rate Period thereof (other than any Special Rate
    Period of more than 364 Rate Period Days or any Rate Period
    succeeding any Special Rate Period of more than 364 Rate Period
    Days during which such a failure occurred that has not been
    cured), but, prior to 12:00 noon, New York City time, on the
    third Business Day next succeeding the date such failure
    occurred, such failure shall have been cured and the Acquiring
    Fund shall have paid a late charge, as described more fully in
    the Acquiring Fund&#160;Statement, no Auction will be held in
    respect of shares of such series for the Subsequent Rate Period
    thereafter and the dividend rate for shares of such series for
    such Subsequent Rate Period will be the Maximum Rate for shares
    of such series on the Auction Date for such Subsequent Rate
    Period.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    If the Acquiring Fund fails to pay in a timely manner to the
    Auction Agent the full amount of any dividend on, or the
    redemption price of, any shares of any series of MuniPreferred
    during any Rate Period thereof (other than any Special Rate
    Period of more than 364 Rate Period Days or any Rate Period
    succeeding any Special Rate Period of more than 364 Rate Period
    Days during which such a failure occurred that has not been
    cured), and, prior to 12:00 noon, New York City time, on the
    third Business Day next succeeding the date on which such
    failure occurred, such failure shall not have been cured or the
    Acquiring Fund shall not have paid a late charge, as described
    more fully in the Acquiring Fund&#160;Statement, no Auction will
    be held in respect of shares of such series for the first
    Subsequent Rate Period thereof thereafter (or for any Rate
    Period thereof thereafter to and including the Rate Period
    during which such failure is so cured and such late charge so
    paid) (such late charge to be paid only in the event
    Moody&#146;s is rating such shares at the time the Acquiring
    Fund cures such failure), and the dividend rate for shares of
    such series for each such Subsequent Rate Period shall be a rate
    per annum equal to the Maximum Rate for shares of such series on
    the Auction Date for such Subsequent Rate Period (but with the
    prevailing rating for shares of such series, for purposes of
    determining such Maximum Rate, being deemed to be &#147;Below
    &#146;ba3&#146;/BB2&#148;).
</DIV>

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    <BR>
    35
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    If the Acquiring Fund fails to pay in a timely manner to the
    Auction Agent the full amount of any dividend on, or the
    redemption price of, any shares of any series of MuniPreferred
    during a Special Rate Period thereof of more than 364 Rate
    Period Days, or during any Rate Period thereof succeeding any
    Special Rate Period of more than 364 Rate Period Days during
    which such a failure occurred that has not been cured, and such
    failure shall not have been cured or the Acquiring Fund shall
    not have paid a late charge, as described more fully in the
    Acquiring Fund&#160;Statement, no Auction will be held in
    respect of shares of such series for such Subsequent Rate Period
    thereof (or for any Rate Period thereof thereafter to and
    including the Rate Period during which such failure is so cured
    and such late charge so paid) (such late charge to be paid only
    in the event Moody&#146;s is rating such shares at the time the
    Acquiring Fund cures such failure), and the dividend rate for
    shares of such series for each such Subsequent Rate Period shall
    be a rate per annum equal to the Maximum Rate for shares of such
    series on the Auction Date for each such Subsequent Rate Period
    (but with the prevailing rating for shares of such series, for
    purposes of determining such Maximum Rate, being deemed to be
    &#147;Below &#146;ba3&#146;/BB2&#148;).
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    A failure to pay dividends on, or the redemption price of,
    Acquiring Fund&#160;MuniPreferred Shares shall have been cured
    (if such failure to deposit is not solely due to the willful
    failure of the Acquiring Fund to make the required payment to
    the Auction Agent) with respect to any Rate Period thereof if,
    within the respective time periods described in the Acquiring
    Fund&#160;Statement, the Acquiring Fund shall have paid to the
    Auction Agent (a)&#160;all accumulated and unpaid dividends on
    the shares of such series and (b)&#160;without duplication, the
    redemption price for shares, if any, of such series for which
    notice of redemption has been mailed by the Acquiring Fund;
    provided, however, that the foregoing clause&#160;(b) shall not
    apply to the Acquiring Fund&#146;s failure to pay the redemption
    price in respect of Acquiring Fund&#160;MuniPreferred Shares
    when the related notice of redemption provides that redemption
    of such shares is subject to one or more conditions precedent
    and any such condition precedent shall not have been satisfied
    at the time or times and in the manner specified in such notice
    of redemption.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I><FONT style="white-space: nowrap">Gross-up</FONT>
    Payments.</I>&#160;&#160;Holders of Acquiring
    Fund&#160;MuniPreferred Shares are entitled to receive, when, as
    and if declared by the Acquiring Fund&#146;s Board, out of funds
    legally available therefor in accordance with the Acquiring
    Fund&#160;Declaration of Trust, including the Acquiring
    Fund&#160;Statement and applicable law, dividends in an amount
    equal to the aggregate
    <FONT style="white-space: nowrap">Gross-up</FONT>
    Payments in accordance with the following: If, in the case of
    any Minimum Rate Period or any Special Rate Period of 28 Rate
    Period Days or fewer, the Acquiring Fund allocates any net
    capital gains or other income taxable for federal income tax
    purposes to a dividend paid on Acquiring Fund&#160;MuniPreferred
    Shares without having given advance notice thereof to the
    Auction Agent as described under &#147;&#151;&#160;The
    Auction&#160;&#151; Auction Procedures&#148; (a &#147;Taxable
    Allocation&#148;) below solely by reason of the fact that such
    allocation is made retroactively as a result of the redemption
    of all or a portion of the outstanding shares of Acquiring
    Fund&#160;MuniPreferred Shares or the liquidation of the
    Acquiring Fund, the Acquiring Fund will, prior to the end of the
    calendar year in which such dividend was paid, provide notice
    thereof to the Auction Agent and direct the Acquiring
    Fund&#146;s dividend disbursing agent to send such notice with a
    <FONT style="white-space: nowrap">Gross-up</FONT>
    Payment to each holder of shares
    (&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    as nominee of the Securities Depository) that was entitled to
    such dividend payment during such calendar year at such
    holder&#146;s address as the same appears or last appeared on
    the record books of the Acquiring Fund.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    If, in the case of any Special Rate Period of more than 28 Rate
    Period Days without having given notice thereof to the Auction
    Agent, the Acquiring Fund makes a Taxable Allocation to a
</DIV>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <BR>
    36
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    dividend paid on shares of Acquiring Fund&#160;MuniPreferred,
    the Acquiring Fund shall, prior to the end of the calendar year
    in which such dividend was paid, provide notice thereof to the
    Auction Agent and direct the Acquiring Fund&#146;s dividend
    disbursing agent to send such notice with a
    <FONT style="white-space: nowrap">Gross-up</FONT>
    Payment to each holder of shares that was entitled to such
    dividend payment during such calendar year at such holder&#146;s
    address as the same appears or last appeared on the record books
    of the Acquiring Fund.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    A
    <FONT style="white-space: nowrap">&#147;Gross-up</FONT>
    Payment&#148; means payment to a holder of Acquiring
    Fund&#160;MuniPreferred Shares of an amount which, when taken
    together with the aggregate amount of Taxable Allocations made
    to such holder to which such
    <FONT style="white-space: nowrap">Gross-up</FONT>
    Payment relates, would cause such holder&#146;s dividends in
    dollars (after Federal income tax consequences) from the
    aggregate of such Taxable Allocations and the related
    <FONT style="white-space: nowrap">Gross-up</FONT>
    Payment to be equal to the dollar amount of the dividends which
    would have been received by such holder if the amount of the
    aggregate Taxable Allocations had been excludable from the gross
    income of such holder. Such
    <FONT style="white-space: nowrap">Gross-up</FONT>
    Payment shall be calculated: (a)&#160;without consideration
    being given to the time value of money; (b)&#160;assuming that
    no holder of Acquiring Fund&#160;MuniPreferred Shares is subject
    to the Federal alternative minimum tax with respect to dividends
    received from the Acquiring Fund; and (c)&#160;assuming that
    each Taxable Allocation and each
    <FONT style="white-space: nowrap">Gross-up</FONT>
    Payment (except to the extent such
    <FONT style="white-space: nowrap">Gross-up</FONT>
    Payment is designated as an exempt-interest dividend under
    Section&#160;852(b)(5) of the Code or successor provisions)
    would be taxable in the hands of each holder of Acquiring
    Fund&#160;MuniPreferred Shares at the maximum marginal regular
    Federal income tax rate, if any, applicable to ordinary income
    (taking into account the Federal income tax deductibility of
    state taxes paid or incurred) or net capital gains, as
    applicable, or the maximum marginal regular federal corporate
    income tax rate applicable to ordinary income or net capital
    gains, as applicable, whichever is greater, in effect at the
    time such
    <FONT style="white-space: nowrap">Gross-up</FONT>
    Payment is made.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Restrictions on Dividends and Other
    Distributions.</I>&#160;&#160;Except as otherwise described
    herein, for so long as any Acquiring Fund&#160;MuniPreferred
    Shares are outstanding, the Acquiring Fund may not declare, pay
    or set apart for payment of any dividend or other distribution
    (other than a dividend or distribution paid in shares of, or in
    options, warrants or rights to subscribe for or purchase, its
    common shares or other shares, if any, ranking junior to the
    Acquiring Fund&#160;MuniPreferred Shares as to the payment of
    dividends and the distribution of assets upon dissolution,
    liquidation or winding up) in respect of its common shares or
    any other shares of the Acquiring Fund ranking junior to, or on
    parity with, Acquiring Fund&#160;MuniPreferred Shares as to the
    payments of dividends or the distribution of assets upon
    dissolution, liquidation or winding up, or call for redemption,
    redeem, purchase or otherwise acquire for consideration any
    common shares or any other such junior shares or other such
    parity shares (except by conversion into or exchange for shares
    of the Acquiring Fund ranking junior to the Acquiring
    Fund&#160;MuniPreferred Shares as to the payment of dividends
    and the distribution of assets upon liquidation, dissolution or
    winding up of the affairs of the Acquiring Fund), unless
    (a)&#160;full cumulative dividends on Acquiring
    Fund&#160;MuniPreferred Shares through its most recently ended
    Dividend Period shall have been paid or shall have been declared
    and sufficient funds for the payment thereof deposited with the
    Auction Agent and (b)&#160;the Acquiring Fund shall have
    redeemed the full number of Acquiring Fund&#160;MuniPreferred
    Shares required to be redeemed by any provision for mandatory
    redemption pertaining thereto. Except as otherwise described
    herein, for so long as any Acquiring Fund&#160;MuniPreferred
    Shares are outstanding, the Acquiring Fund may not declare, pay
    or set apart for payment any dividend or other distribution
    (other than a dividend or distribution paid in shares of, or in
    options, warrants or rights to subscribe for or purchase, common
    shares or other shares, if any, ranking junior to Acquiring
</DIV>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <BR>
    37
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Fund&#160;MuniPreferred Shares as to the payment of dividends
    and the distribution of assets upon dissolution, liquidation or
    winding up) in respect of common shares or any other shares of
    the Acquiring Fund ranking junior to Acquiring
    Fund&#160;MuniPreferred Shares as to the payment of dividends or
    the distribution of assets upon dissolution, liquidation or
    winding up, or call for redemption, redeem, purchase or
    otherwise acquire for consideration any common shares or any
    other such junior shares (except by conversion into or exchange
    for shares of the Acquiring Fund ranking junior to Acquiring
    Fund&#160;MuniPreferred Shares as to the payment of dividends
    and the distribution of assets upon dissolution, liquidation or
    winding up), unless immediately after such transaction the
    Discounted Value of the Acquiring Fund&#146;s portfolio would at
    least equal the MuniPreferred Basic Maintenance Amount in
    accordance with guidelines of the rating agency or agencies then
    rating the Acquiring Fund&#160;MuniPreferred Shares.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Except as set forth in the next sentence, no dividends shall be
    declared or paid or set apart for payment on the shares of any
    class or series of Acquiring Fund shares ranking, as to the
    payment of dividends, on a parity with Acquiring
    Fund&#160;MuniPreferred Shares for any period unless full
    cumulative dividends have been or contemporaneously are declared
    and paid on the shares of Acquiring Fund&#160;MuniPreferred
    Shares through its most recent Dividend Payment Date. When
    dividends are not paid in full upon the shares of Acquiring
    Fund&#160;MuniPreferred Shares through its most recent Dividend
    Payment Date or upon the shares of any other class or series of
    shares ranking on a parity as to the payment of dividends with
    Acquiring Fund&#160;MuniPreferred Shares through their most
    recent respective dividend payment dates, all dividends declared
    upon Acquiring Fund&#160;MuniPreferred Shares and any other such
    class or series of shares ranking on a parity as to the payment
    of dividends with Acquiring Fund&#160;MuniPreferred Shares shall
    be declared pro rata so that the amount of dividends declared
    per share on Acquiring Fund&#160;MuniPreferred Shares and such
    other class or series of shares shall in all cases bear to each
    other the same ratio that accumulated dividends per share on the
    Acquiring Fund&#160;MuniPreferred Shares and such other class or
    series of shares bear to each other.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Designation
    of Special Rate Periods</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Acquiring Fund, at its option, may designate any succeeding
    Subsequent Rate Period of Acquiring Fund&#160;MuniPreferred
    Shares as a Special Rate Period consisting of a specified number
    of Rate Period Days evenly divisible by seven and not more than
    1,820 (approximately 5&#160;years), subject to certain
    adjustments. A designation of a Special Rate Period shall be
    effective only if, among other things, (a)&#160;the Acquiring
    Fund shall have given certain notices to the Auction Agent,
    (b)&#160;an Auction for shares of such series shall have been
    held on the Auction Date immediately preceding the first day of
    such proposed Special Rate Period and Sufficient Clearing Bids
    for shares of such series shall have existed in such Auction and
    (c)&#160;if the Acquiring Fund shall have mailed a notice of
    redemption with respect to any shares of such series, the
    redemption price with respect to such shares shall have been
    deposited with the Auction Agent. The Acquiring Fund will give
    MuniPreferred shareholders notice of a special rate period as
    provided in the Acquiring Fund&#160;Statement.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Voting
    Rights</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    In addition to voting rights described under
    &#147;&#151;&#160;Certain Provisions in the Acquiring
    Fund&#160;Declaration of Trust and By-Laws&#148; and in the
    Reorganization SAI under &#147;Investment Objectives and
    Policies&#160;&#151; Investment Restrictions,&#148; holders of
    Acquiring Fund&#160;MuniPreferred Shares will have
</DIV>

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    <BR>
    38
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<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    equal voting rights with holders of common shares and any
    preferred shares (one vote per share) and will vote together
    with holders of common shares and any preferred shares as a
    single class.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    In connection with the election of the Acquiring Fund&#146;s
    trustees, holders of outstanding preferred shares, including
    Acquiring Fund&#160;MuniPreferred Shares, voting as a separate
    class, are entitled to elect two of the Acquiring Fund&#146;s
    trustees, and the remaining trustees are elected by holders of
    common shares and preferred shares, including Acquiring
    Fund&#160;MuniPreferred Shares, voting together as a single
    class. In addition, if at any time dividends (whether or not
    earned or declared) on any outstanding preferred shares,
    including Acquiring Fund&#160;MuniPreferred Shares, shall be due
    and unpaid in an amount equal to at least two full years&#146;
    dividends thereon, and sufficient cash or specified securities
    shall not have been deposited with the Auction Agent for the
    payment of such dividends, then, as the sole remedy of holders
    of outstanding preferred shares, including Acquiring
    Fund&#160;MuniPreferred Shares, the number of trustees
    constituting the Board shall be automatically increased by the
    smallest number that, when added to the two trustees elected
    exclusively by the holders of preferred shares, including
    Acquiring Fund&#160;MuniPreferred Shares, as described above,
    would constitute a majority of the Board as so increased by such
    smallest number, and at a special meeting of shareholders which
    will be called and held as soon as practicable, and at all
    subsequent meetings at which trustees are to be elected, the
    holders of preferred shares, including Acquiring
    Fund&#160;MuniPreferred Shares, voting as a separate class, will
    be entitled to elect the smallest number of additional trustees
    that, together with the two trustees which such holders will be
    in any event entitled to elect, constitutes a majority of the
    total number of trustees of the Acquiring Fund as so increased.
    The terms of office of the persons who are trustees at the time
    of that election will continue. If the Acquiring Fund thereafter
    shall pay, or declare and set apart for payment, in full, all
    dividends payable on all outstanding preferred shares, including
    Acquiring Fund&#160;MuniPreferred Shares, the voting rights
    stated in the second preceding sentence shall cease, and the
    terms of office of all of the additional trustees elected by the
    holders of preferred shares, including Acquiring
    Fund&#160;MuniPreferred Shares (but not of the trustees with
    respect to whose election the holders of common shares were
    entitled to vote or the two trustees the holders of preferred
    shares have the right to elect in any event), will terminate
    automatically.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    So long as any Acquiring Fund&#160;MuniPreferred Shares are
    outstanding, the Acquiring Fund will not, without the
    affirmative vote or consent of the holders of at least a
    majority of the Acquiring Fund&#160;MuniPreferred Shares
    outstanding at the time (voting as a separate class):
    (a)&#160;authorize, create or issue any class or series of
    shares ranking prior to or on a parity with shares of
    MuniPreferred with respect to the payment of dividends or the
    distribution of assets upon liquidation, dissolution or winding
    up of the affairs of the Acquiring Fund or authorize, create or
    issue additional shares of any series of MuniPreferred (except
    that, notwithstanding the foregoing, but subject to certain
    rating agency approvals, the Board, without the vote or consent
    of the holders of MuniPreferred, may from time to time authorize
    and create, and the Acquiring Fund may from time to time issue
    additional shares of, any series of MuniPreferred or classes or
    series of preferred shares ranking on a parity with shares of
    MuniPreferred with respect to the payment of dividends and the
    distribution of assets upon liquidation, dissolution or winding
    up of the affairs of the Acquiring Fund; provided, however, that
    if Moody&#146;s or S&#038;P is not then rating the shares of
    MuniPreferred, the aggregate liquidation preference of all
    preferred shares of the Acquiring Fund outstanding after any
    such issuance, exclusive of accumulated and unpaid dividends,
    may not exceed $144,000,000) or (b)&#160;amend, alter or repeal
</DIV>

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    <BR>
    39
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    the provisions of the Acquiring Fund&#160;Declaration of Trust,
    including the Acquiring Fund&#160;Statement, whether by merger,
    consolidation or otherwise, so as to affect any preference,
    right or power of Acquiring Fund&#160;MuniPreferred Shares or
    the holders thereof; provided, however, that (i)&#160;none of
    the actions permitted by the exception to (a)&#160;above will be
    deemed to affect such preferences, rights or powers, (ii)&#160;a
    division of a share of Acquiring Fund&#160;MuniPreferred Shares
    will be deemed to affect such preferences, rights or powers only
    if the terms of such division adversely affect the holders of
    Acquiring Fund&#160;MuniPreferred Shares and (iii)&#160;the
    authorization, creation and issuance of classes or series of
    shares ranking junior to Acquiring Fund&#160;MuniPreferred
    Shares with respect to the payment of dividends and the
    distribution of assets upon liquidation, dissolution or winding
    up of the affairs of the Acquiring Fund will be deemed to affect
    such preferences, rights or powers only if Moody&#146;s or
    S&#038;P is then rating the Acquiring Fund&#160;MuniPreferred
    Shares and such issuance would, at the time thereof, cause the
    Acquiring Fund not to satisfy the 1940 Act MuniPreferred Asset
    Coverage or the MuniPreferred Basic Maintenance Amount. So long
    as any Acquiring Fund&#160;MuniPreferred Shares are outstanding,
    the Acquiring Fund shall not, without the affirmative vote or
    consent of the holders of at least
    66<FONT style="vertical-align: text-top; font-size: 70%;">2</FONT>/<FONT style="font-size: 70%;">3</FONT>%
    of the MuniPreferred shares outstanding at the time, voting as a
    separate class, file a voluntary application for relief under
    federal bankruptcy law or any similar application under state
    law for so long as the Acquiring Fund is solvent and does not
    foresee becoming insolvent. If any action set forth above would
    adversely affect the rights of one or more series (the
    &#147;Affected Series&#148;) of MuniPreferred shares in a manner
    different from any other series of MuniPreferred shares, the
    Acquiring Fund will not approve any such action without the
    affirmative vote or consent of the holders of at least a
    majority of the shares of each such Affected Series outstanding
    at the time, in person or by proxy, either in writing or at a
    meeting (each such Affected Series voting as a separate class).
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Board may, without shareholder approval, from time to time,
    amend, alter or repeal any or all of the definitions and related
    provisions which have been adopted by the Acquiring Fund
    pursuant to the rating agency guidelines in the event the
    Acquiring Fund receives written confirmation from Moody&#146;s
    or S&#038;P, or both, as appropriate, that any such amendment,
    alteration or repeal would not impair the ratings then assigned
    by Moody&#146;s and S&#038;P to Acquiring
    Fund&#160;MuniPreferred Shares. Unless a higher percentage is
    provided for in the Acquiring Fund&#160;Declaration of Trust
    (see &#147;Certain Provisions in the Acquiring
    Fund&#160;Declaration of Trust and By-Laws&#148;), (A)&#160;the
    affirmative vote of the holders of at least a majority of the
    preferred shares, including Acquiring Fund&#160;MuniPreferred
    Shares, outstanding at the time, voting as a separate class,
    shall be required to approve any conversion of the Acquiring
    Fund from a closed-end to an open-end investment company and
    (B)&#160;the affirmative vote of the holders of a majority of
    the outstanding preferred shares, including Acquiring
    Fund&#160;MuniPreferred Shares, voting as a separate class,
    shall be required to approve any plan of reorganization (as such
    term is used in the 1940 Act) adversely affecting such shares.
    The affirmative vote of the holders of a majority of the
    outstanding preferred shares, including Acquiring
    Fund&#160;MuniPreferred Shares, voting as a separate class,
    shall be required to approve any action not described in the
    preceding sentence requiring a vote of security holders of the
    Acquiring Fund under Section&#160;13(a) of the 1940 Act.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The foregoing voting provisions will not apply with respect to
    Acquiring Fund&#160;MuniPreferred Shares if, at or prior to the
    time when a vote is required, such shares shall have been
    (i)&#160;redeemed or (ii)&#160;called for redemption and
    sufficient funds shall have been deposited in trust to effect
    such redemption.
</DIV>

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    <BR>
    40
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Redemption</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Mandatory Redemption.</I>&#160;&#160;In the event the
    Acquiring Fund does not timely cure a failure to maintain
    (a)&#160;a Discounted Value of its eligible portfolio securities
    equal to the MuniPreferred Basic Maintenance Amount or
    (b)&#160;the 1940 Act MuniPreferred Asset Coverage, in
    accordance with the requirements of the rating agency or
    agencies then rating the Acquiring Fund&#160;MuniPreferred
    Shares, Acquiring Fund&#160;MuniPreferred Shares will be subject
    to mandatory redemption on a date fixed by the Acquiring
    Fund&#146;s Board, out of funds legally available therefor in
    accordance with the Acquiring Fund&#160;Declaration of Trust,
    including the Acquiring Fund&#160;Statement and applicable law,
    at the redemption price of $25,000 per share plus an amount
    equal to accumulated but unpaid dividends thereon (whether or
    not earned or declared) to (but not including) the date fixed
    for redemption. Any such redemption will be limited to the
    lesser of the (i)&#160;minimum number of Acquiring
    Fund&#160;MuniPreferred Shares, together with all other
    preferred shares subject to redemption or retirement, necessary
    to restore the required Discounted Value or the 1940 Act
    MuniPreferred Asset Coverage, as the case may be, and
    (ii)&#160;the maximum number of Acquiring
    Fund&#160;MuniPreferred Shares, together with all other
    preferred shares subject to redemption or retirement, that can
    be redeemed with the funds legally available under the Acquiring
    Fund&#160;Declaration of Trust and applicable law.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Optional Redemption.</I>&#160;&#160;Acquiring
    Fund&#160;MuniPreferred Shares are redeemable, at the option of
    the Acquiring Fund:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (a)&#160;as a whole or from time to time in part, on the second
    Business Day preceding any Dividend Payment Date for Acquiring
    Fund&#160;MuniPreferred Shares, out of funds legally available
    therefor in accordance with the Acquiring Fund&#160;Declaration
    of Trust, including the Acquiring Fund&#160;Statement, and
    applicable law, at the redemption price of $25,000 per share
    plus an amount equal to accumulated but unpaid dividends thereon
    (whether or not earned or declared) to (but not including) the
    date fixed for redemption; provided, however, that
    (i)&#160;shares of such series may not be redeemed in part if
    after such partial redemption fewer than 250&#160;shares of such
    series would remain outstanding; (ii)&#160;Acquiring
    Fund&#160;MuniPreferred Shares are redeemable by the Acquiring
    Fund during the Initial Rate Period thereof only on the second
    Business Day next preceding the last Dividend Payment Date for
    such Initial Rate Period; and (iii)&#160;the notice establishing
    a Special Rate Period of Acquiring Fund&#160;MuniPreferred
    Shares, as delivered to the Auction Agent and filed with the
    Secretary of the Acquiring Fund, may provide that shares of such
    series shall not be redeemable during the whole or any part of
    such Special Rate Period (except as provided in clause&#160;(b)
    below) or shall be redeemable during the whole or any part of
    such Special Rate Period only upon payment of such redemption
    premium or premiums as shall be specified therein;&#160;and
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (b)&#160;as a whole but not in part, out of funds legally
    available therefor in accordance with the Acquiring
    Fund&#160;Declaration of Trust, including the Acquiring
    Fund&#160;Statement, and applicable law, on the first day
    following any Dividend Period thereof included in a Rate Period
    of more than 364 Rate Period Days if, on the date of
    determination of the Applicable Rate for shares of such series
    for such Rate Period, such Applicable Rate equaled or exceeded
    on such date of determination the Treasury Note Rate for such
    Rate Period, at a redemption price of $25,000 per share plus an
    amount equal to accumulated but unpaid dividends thereon
    (whether or not earned or declared) to (but not including) the
    date fixed for redemption.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Notwithstanding the foregoing, if any dividends on Acquiring
    Fund&#160;MuniPreferred Shares (whether or not earned or
    declared) are in arrears, no shares of such series shall be
    redeemed
</DIV>

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    <BR>
    41
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    unless all outstanding shares of such series are simultaneously
    redeemed, and the Acquiring Fund shall not purchase or otherwise
    acquire any shares of such series; provided, however, that the
    foregoing shall not prevent the purchase or acquisition of all
    outstanding shares of such series pursuant to the successful
    completion of an otherwise lawful purchase or exchange offer
    made on the same terms to, and accepted by, holders of all
    outstanding shares of such series.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Liquidation</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Subject to the rights of holders of any series or class or
    classes of shares ranking on a parity with Acquiring
    Fund&#160;MuniPreferred Shares with respect to the distribution
    of assets upon the dissolution, liquidation or winding up of the
    Acquiring Fund, upon a liquidation of the Acquiring Fund,
    whether voluntary or involuntary, the holders of Acquiring
    Fund&#160;MuniPreferred Shares then outstanding will be entitled
    to receive and to be paid out of the assets of the Acquiring
    Fund available for distribution to its shareholders, before any
    payment or distribution shall be made on the common shares or
    any other class of shares of the Acquiring Fund ranking junior
    to the Acquiring Fund&#160;MuniPreferred Shares, an amount equal
    to the liquidation preference with respect to such shares
    ($25,000 per share), plus an amount equal to all dividends
    thereon (whether or not earned or declared) accumulated but
    unpaid to (but not including) the date of final distribution in
    <FONT style="white-space: nowrap">same-day</FONT>
    funds, together with any applicable
    <FONT style="white-space: nowrap">Gross-up</FONT>
    Payments in connection with the liquidation of the Acquiring
    Fund. After the payment to the holders of Acquiring
    Fund&#160;MuniPreferred Shares of the full preferential amounts
    provided for as described in this paragraph, the holders of
    Acquiring Fund&#160;MuniPreferred Shares as such shall have no
    right or claim to any of the remaining assets of the Acquiring
    Fund.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Neither the sale of all or substantially all the property or
    business of the Acquiring Fund, nor the merger or consolidation
    of the Acquiring Fund into or with any Massachusetts business
    trust or corporation nor the merger or consolidation of any
    Massachusetts business trust or corporation into or with the
    Acquiring Fund, shall be a dissolution, liquidation or winding
    up, whether voluntary or involuntary, for the purposes of the
    foregoing paragraph.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Rating
    Agency Guidelines</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Acquired Fund is required under Moody&#146;s and S&#038;P
    guidelines to maintain assets having in the aggregate a
    Discounted Value at least equal to the MuniPreferred Basic
    Maintenance Amount. Moody&#146;s and S&#038;P have each
    established separate guidelines for determining Discounted
    Value. To the extent any particular portfolio holding does not
    satisfy the applicable rating agency&#146;s guidelines, all or a
    portion of such holding&#146;s value will not be included in the
    calculation of Discounted Value (as defined by such rating
    agency). The Moody&#146;s and S&#038;P guidelines do not impose
    any limitations on the percentage of the Acquiring Fund&#146;s
    assets that may be invested in holdings not eligible for
    inclusion in the calculation of the Discounted Value of the
    Acquiring Fund&#146;s portfolio. The amount of such assets
    included in the portfolio at any time may vary depending upon
    the rating, diversification and other characteristics of the
    eligible assets included in the portfolio, although it is not
    anticipated that in the normal course of business the value of
    such assets would exceed 20% of the Acquiring Fund&#146;s total
    assets. The MuniPreferred Basis Maintenance Amount includes the
    sum of (a)&#160;the aggregate liquidation preference of shares
    of MuniPreferred then outstanding and (b)&#160;certain accrued
    and projected payment obligations of the Acquiring Fund.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Acquiring Fund is also required under the 1940 Act and
    rating agency guidelines to maintain, with respect to shares of
    MuniPreferred, as of the last Business Day of each month in
</DIV>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <BR>
    42
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    which any such shares are outstanding, asset coverage of at
    least 200% with respect to all outstanding senior securities
    which are shares of beneficial interest, including MuniPreferred
    (or such other asset coverage as may in the future be specified
    in or under the 1940 Act as the minimum asset coverage for
    senior securities which are shares of a closed-end management
    investment company as a condition of declaring dividends on its
    common shares) (&#147;1940 Act MuniPreferred Asset
    Coverage&#148;). Based on the composition of the portfolio of
    the Acquiring Fund and market conditions as of October&#160;31,
    2008, 1940 Act MuniPreferred Asset Coverage with respect to
    shares of MuniPreferred, assuming the issuance
    of&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    Acquiring Fund&#160;Common Shares in connection with the
    Reorganization and the issuance of Acquiring
    Fund&#160;MuniPreferred Shares in connection with the
    Reorganization, would have been computed as follows:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE border="0" width="100%" align="center" cellpadding="0" cellspacing="0" style="font-size: 9pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
<!-- Table Width Row BEGIN -->
<TR style="font-size: 1pt" valign="bottom">
    <TD width="78%">&nbsp;</TD>	<!-- colindex=01 type=maindata -->
    <TD width="6%">&nbsp;</TD>	<!-- colindex=02 type=gutter -->
    <TD width="1%">&nbsp;</TD>	<!-- colindex=02 type=maindata -->
    <TD width="6%">&nbsp;</TD>	<!-- colindex=03 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=03 type=lead -->
    <TD width="7%" align="right">&nbsp;</TD>	<!-- colindex=03 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=03 type=hang1 -->
</TR>
<!-- Table Width Row END -->
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Value of Fund assets less liabilities not constituting senior
    securities
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    &#160;&#160;&#160;&#160;&#160;&#160;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="center" valign="bottom">
    <FONT style="font-size: 11pt">=
    </FONT>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Senior securities representing indebtedness plus liquidation
    value of the shares of MuniPreferred
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
</TABLE>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    In the event the Acquiring Fund does not timely cure a failure
    to maintain (a)&#160;a Discounted Value of its portfolio equal
    to the MuniPreferred Basic Maintenance Amount or (b)&#160;the
    1940 Act MuniPreferred Asset Coverage, in each case in
    accordance with the requirements of the rating agency or
    agencies then rating the shares of MuniPreferred, the Acquiring
    Fund will be required to redeem Acquiring
    Fund&#160;MuniPreferred Shares as described under
    &#147;Redemption&#160;&#151; Mandatory Redemption&#148; above.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Acquiring Fund may, but is not required to, adopt any
    modifications to the guidelines that may hereafter be
    established by Moody&#146;s or S&#038;P. Failure to adopt any
    such modifications, however, may result in a change in the
    ratings described above or a withdrawal of ratings altogether.
    In addition, any rating agency providing a rating for the
    Acquiring Fund&#160;MuniPreferred Shares may, at any time,
    change or withdraw any such rating. The Board may, without
    shareholder approval, amend, alter or repeal any or all of the
    definitions and related provisions which have been adopted by
    the Acquiring Fund pursuant to the rating agency guidelines in
    the event the Acquiring Fund receives written confirmation from
    Moody&#146;s or S&#038;P, or both, as appropriate, that any such
    amendment, alteration or repeal would not impair the ratings
    then assigned by Moody&#146;s and S&#038;P to Acquiring
    Fund&#160;MuniPreferred Shares.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    As described by Moody&#146;s and S&#038;P, a preferred stock
    rating is an assessment of the capacity and willingness of an
    issuer to pay preferred stock obligations. The ratings on the
    Acquiring Fund&#160;MuniPreferred Shares are not recommendations
    to purchase, hold or sell those shares, inasmuch as the ratings
    do not comment as to market price or suitability for a
    particular investor. The rating agency guidelines described
    above also do not address the likelihood that an owner of
    Acquiring Fund&#160;MuniPreferred Shares will be able to sell
    such shares in an Auction or otherwise. The ratings are based on
    current information furnished to Moody&#146;s and S&#038;P by
    the Acquiring Fund and the Adviser and information obtained from
    other sources. The ratings may be changed, suspended or
    withdrawn as a result of changes in, or the unavailability of,
    such information. The common shares have not been rated by a
    nationally recognized statistical rating organization.
</DIV>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <BR>
    43
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    A rating agency&#146;s guidelines will apply to Acquiring
    Fund&#160;MuniPreferred Shares only so long as such rating
    agency is rating such shares. The Acquiring Fund will pay
    certain fees to Moody&#146;s or S&#038;P, or both, for rating
    the Acquiring Fund&#160;MuniPreferred Shares.
</DIV>
<A name='124'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">The
    Auction</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">General</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Since mid-February 2008 the functioning of the auction markets
    for certain types of auction rate securities (including
    MuniPreferred) has been disrupted by an imbalance between buy
    and sell orders. As a result of this imbalance, auctions for
    MuniPreferred have not cleared and MuniPreferred generally have
    become illiquid. There is no current expectation that these
    circumstances will change following the Reorganization and it is
    possible that the MuniPreferred markets will never resume normal
    functioning. The dividend rate on MuniPreferred when
    MuniPreferred auctions do not clear is the Maximum Rate.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    With respect to normally functioning markets, the Acquiring
    Fund&#160;Statement provides that, except as otherwise described
    therein, the Applicable Rate for the shares of each series of
    MuniPreferred, including Acquiring Fund&#160;MuniPreferred
    Shares, for each Rate Period of shares of such series after the
    initial Rate Period thereof shall be equal to the rate per annum
    that the Auction Agent advises has resulted on the Business Day
    preceding the first day of such Subsequent Rate Period (an
    &#147;Auction Date&#148;) from implementation of the auction
    procedures (the &#147;Auction Procedures&#148;) set forth in the
    Acquiring Fund&#160;Statement and summarized below, in which
    persons determine to hold or offer to sell or, based on dividend
    rates bid by them, offer to purchase or sell shares of such
    series. Each periodic implementation of the Auction Procedures
    is referred to herein as an &#147;Auction.&#148; See the
    Acquiring Fund&#160;Statement for a more complete description of
    the Auction process.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Auction
    Procedures</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Prior to the Submission Deadline on each Auction Date for
    Acquiring Fund&#160;MuniPreferred Shares, each customer of a
    Broker-Dealer who is listed on the records of that Broker-Dealer
    (or, if applicable, the Auction Agent) as a holder of shares of
    such series (a &#147;Beneficial Owner&#148;) may submit orders
    (&#147;Orders&#148;) with respect to shares of such series to
    that Broker-Dealer as follows:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">

<TR>
    <TD width="5%"></TD>
    <TD width="4%"></TD>
    <TD width="91%"></TD>
</TR>

<TR valign="top" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <TD>&nbsp;</TD>
    <TD>    &#149;&#160;
</TD>
    <TD align="left">
    Hold Order&#160;&#151; indicating its desire to hold shares of
    such series without regard to the Applicable Rate for shares of
    such series for the next Rate Period thereof.
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <TD>&nbsp;</TD>
    <TD>    &#149;&#160;
</TD>
    <TD align="left">
    Bid&#160;&#151; indicating its desire to sell shares of such
    series at $25,000 per share if the Applicable Rate for shares of
    such series for the next Rate Period thereof is less than the
    rate specified in such Bid (also known as a
    <FONT style="white-space: nowrap">hold-at-a-rate</FONT>
    order).
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <TD>&nbsp;</TD>
    <TD>    &#149;&#160;
</TD>
    <TD align="left">
    Sell Order&#160;&#151; indicating its desire to sell shares of
    such series at $25,000 per share without regard to the
    Applicable Rate for shares of such series for the next Rate
    Period thereof.
</TD>
</TR>

</TABLE>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    A Beneficial Owner may submit different types of Orders to its
    Broker-Dealer with respect to Acquiring Fund&#160;MuniPreferred
    Shares then held by such Beneficial Owner. A Beneficial Owner of
    shares of such series that submits a Bid with respect to shares
    of such series to its Broker-Dealer having a rate higher than
    the Maximum Rate for shares of such series on the Auction Date
    therefor will be treated as having submitted a Sell Order with
    respect to such shares to its Broker-Dealer. A Beneficial Owner
    of shares of such series that fails to submit an Order with
</DIV>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <BR>
    44
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    respect to such shares to its Broker-Dealer will be deemed to
    have submitted a Hold Order with respect to such shares of such
    series to its Broker-Dealer; provided, however, that if a
    Beneficial Owner of shares of such series fails to submit an
    Order with respect to shares of such series to its Broker-Dealer
    for an Auction relating to a Rate Period of more than Rate
    Period Days, such Beneficial Owner will be deemed to have
    submitted a Sell Order with respect to such shares to its
    Broker-Dealer. A Sell Order shall constitute an irrevocable
    offer to sell the Acquiring Fund&#160;MuniPreferred Shares
    subject thereto. A Beneficial Owner that offers to become the
    Beneficial Owner of additional Acquiring Fund&#160;MuniPreferred
    Shares is, for purposes of such offer, a Potential Beneficial
    Owner as discussed below.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    A customer of a Broker-Dealer that is not a Beneficial Owner of
    shares of a series of MuniPreferred but that wishes to purchase
    shares of such series, or that is a Beneficial Owner of shares
    of such series that wishes to purchase additional shares of such
    series (in each case, a &#147;Potential Beneficial Owner&#148;),
    may submit Bids to its Broker-Dealer in which it offers to
    purchase shares of such series at $25,000 per share if the
    Applicable Rate for shares of such series for the next Rate
    Period thereof is not less than the rate specified in such Bid.
    A Bid placed by a Potential Beneficial Owner of shares of such
    series specifying a rate higher than the Maximum Rate for shares
    of such series on the Auction Date therefor will not be accepted.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Broker-Dealers in turn will submit the Orders of their
    respective customers who are Beneficial Owners and Potential
    Beneficial Owners to the Auction Agent, designating themselves
    (unless otherwise permitted by the Acquiring Fund) as Existing
    Holders in respect of shares subject to Orders submitted or
    deemed submitted to them by Beneficial Owners and as Potential
    Holders in respect of shares subject to Orders submitted to them
    by Potential Beneficial Owners. However, neither the Acquiring
    Fund nor the Auction Agent will be responsible for a
    Broker-Dealer&#146;s failure to comply with the foregoing. Any
    Order placed with the Auction Agent by a Broker-Dealer as or on
    behalf of an Existing Holder or a Potential Holder will be
    treated in the same manner as an Order placed with a
    Broker-Dealer by a Beneficial Owner or Potential Beneficial
    Owner. Similarly, any failure by a Broker-Dealer to submit to
    the Auction Agent an Order in respect of any Acquiring
    Fund&#160;MuniPreferred Shares held by it or customers who are
    Beneficial Owners will be treated in the same manner as a
    Beneficial Owner&#146;s failure to submit to its Broker-Dealer
    an Order in respect of Acquiring Fund&#160;MuniPreferred Shares
    held by it. A Broker-Dealer may also submit Orders to the
    Auction Agent for its own account as an Existing Holder or
    Potential Holder, provided it is not an affiliate of the
    Acquiring Fund.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    If Sufficient Clearing Bids for shares of a series of
    MuniPreferred exist (that is, the number of shares of such
    series subject to Bids submitted or deemed submitted to the
    Auction Agent by Broker-Dealers as or on behalf of Potential
    Holders with rates equal to or lower than the Maximum Rate for
    shares of such series is at least equal to the number of shares
    of such series subject to Sell Orders submitted or deemed
    submitted to the Auction Agent by Broker-Dealers as or on behalf
    of Existing Holders), the Applicable Rate for shares of such
    series for the next succeeding Rate Period thereof will be the
    lowest rate specified in the Submitted Bids which, taking into
    account such rate and all lower rates bid by Broker-Dealers as
    or on behalf of Existing Holders and Potential Holders, would
    result in Existing Holders and Potential Holders owning the
    shares of such series available for purchase in the Auction. If
    Sufficient Clearing Bids for shares of a series of MuniPreferred
    do not exist, the Applicable Rate for shares of such series for
    the next succeeding Rate Period thereof will be the Maximum Rate
    for shares of such series on the Auction Date therefor. In such
    event, Beneficial Owners of shares of such series
</DIV>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <BR>
    45
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    that have submitted or are deemed to have submitted Sell Orders
    may not be able to sell in such Auction all shares of such
    series subject to such Sell Orders. If Broker-Dealers submit or
    are deemed to have submitted to the Auction Agent Hold Orders
    with respect to all Existing Holders of shares of a series of
    MuniPreferred, the Applicable Rate for shares of such series for
    the next succeeding Rate Period thereof will be the All Hold
    Order Rate.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Auction Procedures include a pro rata allocation of shares
    for purchase and sale, which may result in an Existing Holder
    continuing to hold or selling, or a Potential Holder purchasing,
    a number of shares of a series of MuniPreferred that is fewer
    than the number of shares of such series specified in its Order.
    To the extent the allocation procedures have that result,
    Broker-Dealers that have designated themselves as Existing
    Holders or Potential Holders in respect of customer Orders will
    be required to make appropriate pro rata allocations among their
    respective customers.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Settlement of purchases and sales will be made on the next
    Business Day (also a Dividend Payment Date) after the Auction
    Date through the Securities Depository. Purchasers will make
    payment through their Agent Members in
    <FONT style="white-space: nowrap">same-day</FONT>
    funds to the Securities Depository against delivery to their
    respective Agent Members. The Securities Depository will make
    payment to the sellers&#146; Agent Members in accordance with
    the Securities Depository&#146;s normal procedures, which now
    provide for payment against delivery by their Agent Members in
    <FONT style="white-space: nowrap">same-day</FONT>
    funds.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Auctions for shares of MuniPreferred, Series&#160;W2, will
    normally be held every Wednesday and each Subsequent Rate Period
    of shares of such series will normally begin on the following
    Thursday.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Whenever the Acquiring Fund intends to include any net capital
    gain or other income taxable for regular federal income tax
    purposes in any dividend on Acquiring Fund&#160;MuniPreferred
    Shares, the Acquiring Fund shall, in the case of Minimum Rate
    Periods or Special Rate Periods of 28 Rate Period Days or fewer,
    and may, in the case of any other Special Rate Period, notify
    the Auction Agent of the amount to be so included not later than
    the Dividend Payment Date next preceding the Auction Date on
    which the Applicable Rate for such dividend is to be
    established. Whenever the Auction Agent receives such notice
    from the Acquiring Fund, it will be required in turn to notify
    each Broker-Dealer, who, on or prior to such Auction Date, in
    accordance with its Broker-Dealer Agreement, will be required to
    notify its customers who are Beneficial Owners and Potential
    Beneficial Owners believed by it to be interested in submitting
    an Order in the Auction to be held on such Auction Date.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Secondary
    Market Trading and Transfer of Acquiring
    Fund&#160;MuniPreferred</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    There is currently no established secondary market for
    MuniPreferred and, if one should develop, it may only be
    possible to sell them for a price of less than $25,000 per share
    plus any accumulated dividends. The Broker-Dealers are not
    obligated to maintain a secondary trading market in Acquiring
    Fund&#160;MuniPreferred Shares outside of Auctions, and may
    discontinue such activity at any time. There can be no assurance
    that any secondary trading market in Acquiring
    Fund&#160;MuniPreferred Shares will provide owners with
    liquidity of investment. The Acquiring Fund&#160;MuniPreferred
    Shares are not registered on any stock exchange or on the Nasdaq
    Stock Market. Investors who purchase shares in an Auction for a
    Special Rate Period should note that because the dividend rate
    on such shares will be fixed for the length of such Rate Period,
    the value of the shares may fluctuate in response to changes in
    interest rates, and may be more or
</DIV>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <BR>
    46
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    less than their original cost if sold on the open market in
    advance of the next Auction therefor, depending upon market
    conditions.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    A Beneficial Owner or an Existing Holder may sell, transfer or
    otherwise dispose of Acquiring Fund&#160;MuniPreferred Shares
    only in whole shares and only (1)&#160;pursuant to a Bid or Sell
    Order placed with the Auction Agent in accordance with the
    Auction Procedures, (2)&#160;to a Broker-Dealer or (3)&#160;to
    such other persons as may be permitted by the Acquiring Fund;
    provided, however, that (a)&#160;a sale, transfer or other
    disposition of Acquiring Fund&#160;MuniPreferred Shares from a
    customer of a Broker-Dealer who is listed on the records of that
    Broker-Dealer as the holder of such shares to that Broker-Dealer
    or another customer of that Broker-Dealer shall not be deemed to
    be a sale, transfer or other disposition for purposes of the
    foregoing if such Broker-Dealer remains the Existing Holder of
    the shares so sold, transferred or disposed of immediately after
    such sale, transfer or disposition and (b)&#160;in the case of
    all transfers other than pursuant to Auctions, the Broker-Dealer
    (or other person, if permitted by the Acquiring Fund) to whom
    such transfer is made shall advise the Auction Agent of such
    transfer.
</DIV>
<A name='125'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Comparison
    of Rights of Holders of MuniPreferred of the Acquiring Fund and
    the Acquired Fund</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The terms of the shares of Acquiring Fund&#160;MuniPreferred
    Shares issued pursuant to the Reorganization will be
    substantially similar to the outstanding shares of Acquired
    Fund&#160;MuniPreferred, Series&#160;W.
</DIV>
<A name='126'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Comparison
    of the Investment Objectives and Policies of the Acquiring Fund
    and the Acquired Fund</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">General</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Acquiring Fund and the Acquired Fund have similar investment
    objectives. Both Funds&#146; investment objectives are to
    provide current income exempt from regular federal income tax
    and the alternative minimum tax applicable to individuals and
    enhance portfolio value relative to the municipal bond market by
    investing in tax-exempt municipal bonds that the Funds&#146;
    investment adviser believes are underrated or undervalued or
    that represent municipal market sectors that are undervalued.
    The Acquired Fund&#146;s shares will also be exempt from other
    Florida intangible personal property tax. Each Fund&#146;s
    investment objectives are fundamental policies of the Fund, and
    may not be changed, without the approval of the holders of a
    majority of the outstanding common shares and MuniPreferred
    shares (as hereinafter defined) voting together as a single
    class, and of the holders of a majority of the outstanding
    MuniPreferred shares voting as a separate class. In addition,
    the Acquiring Fund is a diversified management investment
    company and the Acquired Fund is a non-diversified management
    investment company.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Underrated municipal bonds are those whose ratings do not, in
    NAM&#146;s opinion, reflect their true creditworthiness.
    Undervalued municipal bonds are bonds that, in NAM&#146;s
    opinion, are worth more than the value assigned to them in the
    marketplace. NAM may at times believe that bonds associated with
    a particular municipal market sector (for example, electric
    utilities), or issued by a particular municipal issuer, are
    undervalued. NAM may purchase such a bond for a Fund&#146;s
    portfolio because it represents a market sector or issuer that
    NAM considers undervalued, even if the value of the particular
    bond appears to be consistent with the value of similar bonds.
    Municipal bonds of particular types (e.g., hospital bonds,
    industrial revenue
</DIV>

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<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    bonds or bonds issued by a particular municipal issuer) may be
    undervalued because there is a temporary excess of supply in
    that market sector, or because of a general decline in the
    market price of municipal bonds of the market sector for reasons
    that do not apply to the particular municipal bonds that are
    considered undervalued. Each Fund&#146;s investment in
    underrated or undervalued municipal bonds will be based on
    NAM&#146;s belief that their yield is higher than that available
    on bonds bearing equivalent levels of interest rate risk, credit
    risk and other forms of risk, and that their prices will
    ultimately rise (relative to the market) to reflect their true
    value. Each Fund attempts to increase its portfolio value
    relative to the municipal bond market by prudent selection of
    municipal bonds regardless of the direction the market may move.
    There can be no assurance that a Fund&#146;s attempt to increase
    its portfolio value relative to the municipal bond market will
    succeed. To the extent that it does succeed, however, such
    success would increase the amount of net capital gains or reduce
    the amount of net capital losses that a Fund would otherwise
    have realized. While this incremental increase in net realized
    gains due to successful value investing, if any, is expected to
    be modest over time, it would tend to result in the
    distribution, over time, of a modestly greater amount of taxable
    capital gains to common shareholders and MuniPreferred
    shareholders. See &#147;&#151;&#160;Tax Matters Associated with
    Investment in the Funds&#148; and &#147;&#151;&#160;The
    Auction&#160;&#151; Auction Procedures.&#148;
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Portfolio
    Investments</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Acquiring Fund and the Acquired Fund have similar investment
    policies. The Acquiring Fund, under normal circumstances, will
    invest at least 80% of its net assets, including assets
    attributable to any principal amount of any borrowings
    (including the issuance of commercial paper or notes) or
    preferred shares outstanding (&#147;Acquiring Managed
    Assets&#148;), in a portfolio of securities that pay interest
    exempt from federal income taxes (&#147;municipal
    securities&#148;) and from the federal alternative minimum tax
    applicable to individuals. The Acquired Fund, under normal
    circumstances, will invest at least 80% of its average daily net
    assets, including assets attributable to any MuniPreferred
    shares that may be outstanding (&#147;Acquired Managed
    Assets&#148;), in a portfolio of municipal bonds that pay
    interest that is exempt from regular federal income tax and from
    the federal alternative minimum tax applicable to individuals,
    are exempt from the Florida intangible personal property tax,
    and are covered by insurance guaranteeing the timely payment of
    principal and interest thereon. For purposes of this
    Prospectus/Proxy Statement Acquiring Management Assets and
    Acquired Managed Assets are referred to herein as Managed Assets.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    For the purposes of the Acquiring Fund&#146;s investment policy
    to invest at least 80% of its net assets in a portfolio of
    securities that are covered by insurance guaranteeing the timely
    payment of principal and interest thereon, inverse floaters
    whose underlying bonds are covered by insurance guaranteeing the
    timely payment of principal and interest thereon are included,
    and insurers must have a claims-paying ability rated at least A
    by an NRSRO at the time of purchase or at the time the bond is
    insured while in the portfolio.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    For the purposes of the Acquired Fund&#146;s investment policy
    to invest at least 80% of its net assets in a portfolio of bonds
    that are covered by insurance guaranteeing the timely payment of
    principal and interest thereon, insurers must have a
    claims-paying ability rated at least A by an NRSRO at the time
    of purchase or at the time the bond is insured while in the
    portfolio.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Under normal circumstances, each Fund (i)&#160;expects to be
    fully invested (at least 95% of its assets) in municipal bonds
    that pay interest that is exempt from regular federal income
    tax,
</DIV>

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<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (ii)&#160;the federal alternative minimum tax applicable to
    individuals, and (iii)&#160;for the Acquired Fund, the Florida
    intangible personal property tax.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Under normal circumstances, each Fund will invest at least 80%
    of its Managed Assets in municipal securities covered by
    insurance from insurers with a claims-paying ability rated Aa/AA
    or better by an NRSRO at the time of purchase; municipal
    securities rated Aa/AA or better by an NRSRO, or that are
    unrated but judged to be of comparable quality by NAM, at the
    time of purchase; or municipal bonds backed by an escrow or
    trust account containing sufficient U.S.&#160;government or
    U.S.&#160;Government agency securities to ensure timely payment
    of principal and interest. Under normal circumstances, each Fund
    may invest up to 20% of its Managed Assets in municipal
    securities covered by insurance from insurers with a
    claims-paying ability rated Baa/BBB or better by an NRSRO; or
    municipal securities rated at least Baa/BBB or better by an
    NRSRO, or that are unrated but judged to be of comparable
    quality by the Fund&#146;s investment adviser, at the time of
    purchase.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The foregoing credit quality policy applies only at the time a
    security is purchased, and a Fund is not required to dispose of
    a security in the event that a rating agency downgrades its
    assessment of the credit characteristics of a particular issue.
    In determining whether to retain or sell such a security, NAM
    may consider such factors as NAM&#146;s assessment of the credit
    quality of the issuer of such security, the price at which such
    security could be sold and the rating, if any, assigned to such
    security by other rating agencies. See
    &#147;&#151;&#160;Municipal Securities&#148; below for a general
    description of the economic and credit characteristics of
    municipal securities. Each Fund may also invest in securities of
    other open- or closed-end investment companies that invest
    primarily in municipal bonds of the types in which the Fund may
    invest directly. See &#147;&#151;&#160;Other Investment
    Companies.&#148;
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The credit quality of companies that provide insurance on bonds
    will affect the value of those bonds. Although the insurance
    feature reduces certain financial risks, the premiums for
    insurance and the higher market price paid for insured
    obligations may reduce a Fund&#146;s income. The insurance
    feature does not guarantee the market value of the insured
    obligations or the net asset value of the common shares or
    MuniPreferred shares.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Each Fund may invest in uninsured municipal bonds that are
    entitled to the benefit of an escrow or trust account that
    contains securities issued or guaranteed by the
    U.S.&#160;Government or U.S.&#160;Government agencies backed by
    the full faith and credit of the United States, and sufficient
    in amount to ensure the payment of interest and principal on the
    original interest payment and maturity dates
    (&#147;collateralized obligations&#148;). These collateralized
    obligations generally will not be insured and will include, but
    are not limited to, municipal bonds that have been
    (1)&#160;advance refunded where the proceeds of the refunding
    have been used to buy U.S.&#160;Government or
    U.S.&#160;Government agency securities that are placed in escrow
    and whose interest or maturing principal payments, or both, are
    sufficient to cover the remaining scheduled debt service on that
    municipal bond; or (2)&#160;issued under state or local housing
    finance programs that use the issuance proceeds to fund
    mortgages that are then exchanged for U.S.&#160;Government or
    U.S.&#160;Government agency securities and deposited with a
    trustee as security for those municipal bonds. These
    collateralized obligations are normally regarded as having the
    credit characteristics of the underlying U.S.&#160;Government or
    U.S.&#160;Government agency securities.
</DIV>

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<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Each Fund will primarily invest in municipal securities with
    long-term maturities in order to maintain a weighted average
    maturity of
    <FONT style="white-space: nowrap">15-30&#160;years,</FONT>
    but the weighted average maturity of obligations held by a Fund
    may be shortened, depending on market conditions.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Upon NAM&#146;s recommendation, during temporary defensive
    periods and in order to keep each Fund&#146;s cash fully
    invested, the Fund may deviate from its investment objectives
    and policies and invest up to 100% of its net assets in
    short-term investments including high quality, short-term
    securities that may be either tax-exempt or taxable. Each Fund
    intends to invest in taxable short-term investments only in the
    event that suitable tax-exempt short-term investments are not
    available at reasonable prices and yields. Investment in such
    short-term investments would result in a portion of your
    dividends being subject to regular federal income tax and the
    federal alternative minimum applicable to individuals.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Municipal
    Securities</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>General.</I>&#160;&#160;Municipal Securities are often issued
    by state and local governmental entities to finance or refinance
    public projects such as roads, schools, and water supply
    systems. Municipal securities may also be issued on behalf of
    private entities or for private activities, such as housing,
    medical and educational facility construction, or for privately
    owned transportation, electric utility and pollution control
    projects. Municipal securities may be issued on a long term
    basis to provide permanent financing. The repayment of such debt
    may be secured generally by a pledge of the full faith and
    credit taxing power of the issuer, a limited or special tax, or
    any other revenue source, including project revenues, which may
    include tolls, fees and other user charges, lease payments and
    mortgage payments. Municipal securities may also be issued to
    finance projects on a short-term interim basis, anticipating
    repayment with the proceeds of the later issuance of long-term
    debt. The Funds may purchase municipal securities in the form of
    bonds, notes, leases or certificates of participation;
    structured as callable or non-callable; with payment forms
    including fixed coupon, variable rate, zero coupon, capital
    appreciation bonds, tender option bonds, and residual interest
    bonds or inverse floating rate securities; or acquired through
    investments in pooled vehicles, partnerships or other investment
    companies. Inverse floating rate securities are securities that
    pay interest at rates that vary inversely with changes in
    prevailing short-term tax-exempt interest rates and represent a
    leveraged investment in an underlying municipal security, which
    could have the economic effect of financial leverage.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Municipal securities are either general obligation or revenue
    bonds and typically are issued to finance public projects (such
    as roads or public buildings), to pay general operating
    expenses, or to refinance outstanding debt.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Municipal securities may also be issued on behalf of private
    entities or for private activities, such as housing, medical and
    educational facility construction, or for privately owned
    industrial development and pollution control projects. General
    obligation bonds are backed by the full faith and credit, or
    taxing authority, of the issuer and may be repaid from any
    revenue source; revenue bonds may be repaid only from the
    revenues of a specific facility or source. The Funds may also
    purchase municipal securities that represent lease obligations,
    municipal notes, pre-refunded municipal securities, private
    activity bonds, tender option bonds and other related securities
    and derivative instruments that create exposure to municipal
    bonds, notes and securities and that provide for the payment of
    interest income that is exempt from regular federal income tax.
</DIV>

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<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The municipal securities in which the Acquiring Fund will invest
    are generally issued by states, cities and local authorities and
    certain possessions and territories of the United States (such
    as Puerto Rico and Guam), and pay interest that, in the opinion
    of bond counsel to the issuer (or on the basis of other
    authority believed by NAM to be reliable), is exempt from
    regular federal income tax and the federal alternative minimum
    tax.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The municipal securities in which the Acquired Fund will invest
    are Florida municipal obligations and pay interest that, in the
    opinion of bond counsel to the issuer (or on the basis of other
    authority believed by NAM to be reliable), is exempt from
    regular federal income tax, the federal alternative minimum tax,
    and the Florida intangible personal property tax.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The yields on municipal securities depend on a variety of
    factors, including prevailing interest rates and the condition
    of the general money market and the municipal bond market, the
    size of a particular offering, the maturity of the obligation
    and the rating of the issue. The market value of municipal
    securities will vary with changes in interest rate levels and as
    a result of changing evaluations of the ability of their issuers
    to meet interest and principal payments.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    A municipal security&#146;s market value generally will depend
    upon its form, maturity, call features, and interest rate, as
    well as the credit quality of the issuer, all such factors
    examined in the context of the municipal securities market and
    interest rate levels and trends.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Each Fund will primarily invest in municipal securities with
    long-term maturities in order to maintain a weighted average
    maturity of 15 to 30&#160;years, but the weighted average
    maturity of obligations held by the Fund may be shorter,
    depending on market conditions. In comparison to maturity (which
    is the date on which a debt instrument ceases and the issuer is
    obligated to repay the principal amount), duration is a measure
    of the price volatility of a debt instrument as a result of
    changes in market rates of interest, based on the weighted
    average timing of the instrument&#146;s expected principal and
    interest payments. Duration differs from maturity in that it
    considers a security&#146;s yield, coupon payments, principal
    payments and call features in addition to the amount of time
    until the security finally matures. As the value of a security
    changes over time, so will its duration. Prices of securities
    with longer durations tend to be more sensitive to interest rate
    changes than securities with shorter durations. In general, a
    portfolio of securities with a longer duration can be expected
    to be more sensitive to interest rate changes than a portfolio
    with a shorter duration.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Municipal
    Bond Insurance</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Each insured municipal bond a Fund acquires will be covered by
    covered by an insurance policy applicable to a specific security
    and obtained by the issuer of the security or a third party at
    the time of original issuance (&#147;Original Issue
    Insurance&#148;), covered by an insurance policy applicable to a
    specific security and obtained by a Fund
    <FONT style="white-space: nowrap">and/or</FONT> a
    third party subsequent to the time of original issuance
    (&#147;Secondary Market Insurance&#148;) or Portfolio Insurance.
    Each Fund expects to emphasize investments in municipal bonds
    insured under bond-specific insurance policies (i.e., Original
    Issue or Secondary Market Insurance). Each Fund, as a
    non-fundamental policy that can be changed by its Board, will
    only obtain policies of Portfolio Insurance issued by insurers
    whose claims-paying ability is rated at least A by an NRSRO at
    the time of purchase. There is no limit on the percentage of a
    Fund&#146;s assets that may be invested in municipal bonds
    insured by any one insurer.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    A municipal bond covered by Original Issue Insurance or
    Secondary Market Insurance is itself typically assigned the same
    rating as that of the insurer. For example, if the insurer has a
    rating
</DIV>

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<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    of &#147;Aaa&#148; or &#147;AAA,&#148; a bond covered by an
    Original Issue Insurance or Secondary Market Insurance policy
    would also typically be assigned the same rating. Such a
    municipal bond would generally be assigned a lower rating if the
    ratings were based instead upon the credit characteristics of
    the issuer without regard to the insurance feature. By way of
    contrast, the rating, if any, assigned to a municipal bond
    insured under Portfolio Insurance will be based primarily upon
    the credit characteristics of the issuer, without regard to the
    insurance feature, and therefore will generally carry a rating
    that is below &#147;Aaa&#148; or &#147;AAA.&#148; While in the
    portfolio of a Fund, however, a municipal bond backed by
    Portfolio Insurance from a particular insurer will effectively
    be of the same credit quality as a municipal bond issued by an
    issuer of comparable credit characteristics that is backed by
    Original Issue Insurance or Secondary Market Insurance from that
    insurer.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Each Fund&#146;s policy of investing primarily in municipal
    bonds insured by insurers whose claims-paying ability is rated
    at least A by an NRSRO applies only at the time of purchase of a
    security, and a Fund will not be required to dispose of the
    securities in the event an NRSRO downgrades its assessment of
    the claims-paying ability of a particular insurer or the credit
    characteristics of a particular issuer. In the event an NRSRO
    (or all of them) should downgrade its (or their) rating of a
    particular insurer, it (or they) could also be expected to
    downgrade the ratings assigned to municipal bonds insured under
    Original Issue Insurance or Secondary Market Insurance policies
    by such insurer, and municipal bonds insured under Portfolio
    Insurance issued by such insurer also would be of reduced
    quality in the portfolio of a Fund. NRSROs continually assess
    the claims-paying ability of insurers and the credit
    characteristics of issuers, and there can be no assurance that
    they will not downgrade their assessments subsequent to the time
    a Fund purchases securities.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The value of municipal bonds covered by Portfolio Insurance that
    are in default or in significant risk of default will be
    determined by separately establishing a value for the municipal
    bond and a value for the Portfolio Insurance.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Original Issue Insurance.</I>&#160;&#160;Original Issue
    Insurance is purchased with respect to a particular issue of
    municipal bonds by the issuer thereof or a third party in
    conjunction with the original issuance of such municipal bonds.
    Under this insurance, the insurer unconditionally guarantees to
    the holder of the municipal bond the timely payment of principal
    and interest on such obligations when and as these payments
    become due but not paid by the issuer, except that in the event
    of the acceleration of the due date of the principal by reason
    of mandatory or optional redemption (other than acceleration by
    reason of a mandatory sinking fund payment), default or
    otherwise, the payments guaranteed may be made in the amounts
    and at the times as payment of principal would have been due had
    there not been any acceleration. The insurer is responsible for
    these payments less any amounts received by the holder from any
    trustee for the municipal bond issuer or from any other source.
    Original Issue Insurance does not guarantee payment on an
    accelerated basis, the payment of any redemption premium (except
    with respect to certain premium payments in the case of certain
    small issue industrial development and pollution control
    municipal bonds), the value of a Fund&#146;s shares, the market
    value of municipal bonds, or payments of any tender purchase
    price upon the tender of the municipal bonds. Original Issue
    Insurance also does not insure against nonpayment of principal
    or interest on municipal bonds resulting from the insolvency,
    negligence or any other act or omission of the trustee or other
    paying agent for these bonds.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Original Issue Insurance remains in effect as long as the
    municipal bonds it covers remain outstanding and the insurer
    remains in business, regardless of whether a Fund ultimately
</DIV>

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<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    disposes of these municipal bonds. Consequently, Original Issue
    Insurance may be considered to represent an element of market
    value with respect to the municipal bonds so insured, but the
    exact effect, if any, of this insurance on the market value
    cannot be estimated.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Secondary Market Insurance.</I>&#160;&#160;Subsequent to the
    time of original issuance of a municipal bond, a Fund or a third
    party may, upon the payment of a single premium, purchase
    insurance on that security. Secondary Market Insurance generally
    provides the same type of coverage as Original Issue Insurance
    and, as with Original Issue Insurance, Secondary Market
    Insurance remains in effect as long as the municipal bonds it
    covers remain outstanding and the insurer remains in business,
    regardless of whether a Fund ultimately disposes of these
    municipal bonds.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    One of the purposes of acquiring Secondary Market Insurance with
    respect to a particular municipal bond would be to enable a Fund
    to enhance the value of the security. A Fund, for example, might
    seek to purchase a particular municipal bond and obtain
    Secondary Market Insurance, for it if, in NAM&#146;s opinion,
    the market value of the security, as insured, less the cost of
    the Secondary Market Insurance would exceed the current value of
    the security without insurance. Similarly, if a Fund owns but
    wishes to sell a municipal bond that is then covered by
    Portfolio Insurance, the Fund might seek to obtain Secondary
    Market Insurance for it if, in NAM&#146;s opinion, the net
    proceeds of the Fund&#146;s sale of the security, as insured,
    less the cost of the Secondary Market Insurance would exceed the
    current value of the security. In determining whether to insure
    municipal bonds a Fund owns, an insurer will apply its own
    standards, which correspond generally to the standards it has
    established for determining the insurability of new issues of
    municipal bonds. See &#147;&#151;&#160;Original Issue
    Insurance&#148; above.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <I>Portfolio Insurance.</I>&#160;&#160;Portfolio Insurance
    guarantees the payment of principal and interest on specified
    eligible municipal bonds purchased by a Fund. Except as
    described below, Portfolio Insurance generally provides the same
    type of coverage as is provided by Original Issue Insurance or
    Secondary Market Insurance. Municipal bonds insured under a
    Portfolio Insurance policy would generally not be insured under
    any other policy. A municipal bond is eligible for coverage
    under a policy if it meets certain requirements of the insurer.
    Portfolio Insurance is intended to reduce financial risk, but
    the cost thereof and compliance with investment restrictions
    imposed under the policy will reduce the yield to shareholders
    of a Fund.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    If a municipal bond is already covered by Original Issue
    Insurance or Secondary Market Insurance, then the security is
    not required to be additionally insured under any Portfolio
    Insurance that a Fund may purchase. All premiums respecting
    municipal bonds covered by Original Issue Insurance or Secondary
    Market Insurance are paid in advance by the issuer or other
    party obtaining the insurance.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Portfolio Insurance policies are effective only as to municipal
    bonds owned by and held by a Fund, and do not cover municipal
    bonds for which the contract for purchase fails. A
    &#147;when-issued&#148; municipal obligation will be covered
    under a Portfolio Insurance policy upon the settlement date of
    the issue of such &#147;when-issued&#148; municipal bond.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    In determining whether to insure municipal bonds held by a Fund,
    an insurer will apply its own standards, which correspond
    generally to the standards it has established for determining
    the insurability of new issues of municipal bonds. See
    &#147;&#151;&#160;Original Issue Insurance&#148; above.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Each Portfolio Insurance policy will be noncancellable and will
    remain in effect so long as a Fund is in existence, the
    municipal bonds covered by the policy continue to be held by the
    Fund,
</DIV>

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<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    and the Fund pays the premiums for the policy. Each insurer will
    generally reserve the right at any time upon 90&#160;days&#146;
    written notice to a Fund to refuse to insure any additional
    bonds purchased by the Fund after the effective date of such
    notice. A Fund generally will reserve the right to terminate
    each policy upon seven days&#146; written notice to an insurer
    if it determines that the cost of such policy is not reasonable
    in relation to the value of the insurance to a Fund.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Each Portfolio Insurance policy will terminate as to any
    municipal bond that has been redeemed from or sold by a Fund on
    the date of redemption or the settlement date of sale, and an
    insurer will not have any liability thereafter under a policy
    for any municipal bond, except that if the redemption date or
    settlement date occurs after a record date and before the
    related payment date for any municipal bond, the policy will
    terminate for that municipal bond on the business day
    immediately following the payment date. Each policy will
    terminate as to all municipal bonds covered thereby on the date
    on which the last of the covered municipal bonds mature, are
    redeemed or are sold by a Fund.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    One or more Portfolio Insurance policies may provide a Fund,
    pursuant to an irrevocable commitment of the insurer, with the
    option to exercise the right to obtain permanent insurance
    (&#147;Permanent Insurance&#148;) for a municipal bond that is
    sold by a Fund. A Fund would exercise the right to obtain
    Permanent Insurance upon payment of a single, predetermined
    insurance premium payable from the sale proceeds of the
    municipal bond. Each Fund expects to exercise the right to
    obtain Permanent Insurance for a municipal bond only if, in
    NAM&#146;s opinion, upon the exercise the net proceeds from the
    sale of the municipal bond, as insured, would exceed the
    proceeds from the sale of the security without insurance.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Permanent Insurance premium for each municipal bond is
    determined based upon the insurability of each security as of
    the date of purchase and will not be increased or decreased for
    any change in the security&#146;s creditworthiness unless the
    security is in default as to payment of principal or interest,
    or both. If such event occurs, the Permanent Insurance premium
    will be subject to an increase predetermined at the date of a
    Fund&#146;s purchase.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Each Fund generally intends to retain any insured bonds covered
    by Portfolio Insurance that are in default or in significant
    risk of default and to place a value on the insurance, which
    ordinarily will be the difference between the market value of
    the defaulted bond and the market value of similar bonds of
    minimum investment grade (that is, rated &#147;Baa&#148; or
    &#147;BBB&#148;) that are not in default. In certain
    circumstances, however, NAM may determine that an alternative
    value for the insurance, such as the difference between the
    market value of the defaulted bond and either its par value or
    the market value of similar bonds that are not in default or in
    significant risk of default, is more appropriate. Except as
    described above for bonds covered by Portfolio Insurance that
    are in default or subject to significant risk of default, a Fund
    will not place any value on the Portfolio Insurance in valuing
    the municipal bonds it holds.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Because each Portfolio Insurance policy will terminate for
    municipal bonds sold by a Fund on the date of sale, in which
    event the insurer will be liable only for those payments of
    principal and interest that are then due and owing (unless
    Permanent Insurance is obtained by a Fund), the provision for
    this insurance will not enhance the marketability of the
    Fund&#146;s bonds, whether or not the bonds are in default or in
    significant risk of default. On the other hand, because Original
    Issue Insurance and Secondary Market Insurance generally will
    remain in effect as long as the municipal bonds they cover are
    outstanding, these insurance policies may enhance the
    marketability of these bonds even when they are in default or in
    significant risk of default, but the exact effect, if any, on
    marketability, cannot be estimated. Accordingly, a Fund may
</DIV>

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<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    determine to retain or, alternatively, to sell municipal bonds
    covered by Original Issue Insurance or Secondary Market
    Insurance that are in default or in significant risk of default.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Premiums for a Portfolio Insurance policy are paid monthly, and
    are adjusted for purchases and sales of municipal bonds covered
    by the policy during the month. The yield on a Fund is reduced
    to the extent of the insurance premiums it pays.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Municipal
    Leases and Certificates of Participation</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Each Fund also may purchase municipal securities that represent
    lease obligations and certificates of participation in such
    leases. These carry special risks because the issuer of the
    securities may not be obligated to appropriate money annually to
    make payments under the lease. A municipal lease is an
    obligation in the form of a lease or installment purchase which
    is issued by a state or local government to acquire equipment
    and facilities. Income from such obligations is generally exempt
    from state and local taxes in the state of issuance. Leases and
    installment purchase or conditional sale contracts (which
    normally provide for title to the leased asset to pass
    eventually to the governmental issuer) have evolved as a means
    for governmental issuers to acquire property and equipment
    without meeting the constitutional and statutory requirements
    for the issuance of debt. The debt issuance limitations are
    deemed to be inapplicable because of the inclusion in many
    leases or contracts of &#147;non-appropriation&#148; clauses
    that relieve the governmental issuer of any obligation to make
    future payments under the lease or contract unless money is
    appropriated for such purpose by the appropriate legislative
    body on a yearly or other periodic basis. In addition, such
    leases or contracts may be subject to the temporary abatement of
    payments in the event the issuer is prevented from maintaining
    occupancy of the leased premises or utilizing the leased
    equipment or facilities. Although the obligations may be secured
    by the leased equipment or facilities, the disposition of the
    property in the event of non-appropriation or foreclosure might
    prove difficult, time consuming and costly, and result in a
    delay in recovering, or the failure to recover fully, a
    Fund&#146;s original investment. To the extent that a Fund
    invests in unrated municipal leases or participates in such
    leases, the credit quality rating and risk of cancellation of
    such unrated leases will be monitored on an ongoing basis. In
    order to reduce this risk, a Fund will only purchase municipal
    securities representing lease obligations where NAM believes the
    issuer has a strong incentive to continue making appropriations
    until maturity.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    A certificate of participation represents an undivided interest
    in an unmanaged pool of municipal leases, an installment
    purchase agreement or other instruments. The certificates are
    typically issued by a municipal agency, a trust or other entity
    that has received an assignment of the payments to be made by
    the state or political subdivision under such leases or
    installment purchase agreements. Such certificates provide a
    Fund with the right to a pro rata undivided interest in the
    underlying municipal securities. In addition, such
    participations generally provide a Fund with the right to demand
    payment, on not more than seven days&#146; notice, of all or any
    part of the Fund&#146;s participation interest in the underlying
    municipal securities, plus accrued interest.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Municipal
    Notes</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Municipal securities in the form of notes generally are used to
    provide for short-term capital needs, in anticipation of an
    issuer&#146;s receipt of other revenues or financing, and
    typically have maturities of up to three years. Such instruments
    may include tax anticipation notes, revenue anticipation notes,
    bond anticipation notes, tax and revenue anticipation notes and
    construction loan notes. Tax anticipation notes are issued to
    finance the working capital needs of
</DIV>

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    55
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<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    governments. Generally, they are issued in anticipation of
    various tax revenues, such as income, sales, property, use and
    business taxes, and are payable from these specific future
    taxes. Revenue anticipation notes are issued in expectation of
    receipt of other kinds of revenue, such as federal revenues
    available under federal revenue sharing programs. Bond
    anticipation notes are issued to provide interim financing until
    long-term bond financing can be arranged. In most cases, the
    long-term bonds then provide the funds needed for repayment of
    the bond anticipation notes. Tax and revenue anticipation notes
    combine the funding sources of both tax anticipation notes and
    revenue anticipation notes. Construction loan notes are sold to
    provide construction financing. Mortgage notes insured by the
    Federal Housing Authority secure these notes; however, the
    proceeds from the insurance may be less than the economic
    equivalent of the payment of principal and interest on the
    mortgage note if there has been a default. The anticipated
    revenues from taxes, grants or bond financing generally secure
    the obligations of an issuer of municipal notes. An investment
    in such instruments, however, presents a risk that the
    anticipated revenues will not be received or that such revenues
    will be insufficient to satisfy the issuer&#146;s payment
    obligations under the notes or that refinancing will be
    otherwise unavailable.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Pre-Refunded
    Municipal Securities</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The principal of and interest on pre-refunded municipal
    securities are no longer paid from the original revenue source
    for the securities. Instead, the source of such payments is
    typically an escrow fund consisting of U.S.&#160;government
    securities. The assets in the escrow fund are derived from the
    proceeds of refunding bonds issued by the same issuer as the
    pre-refunded municipal securities. Issuers of municipal
    securities use this advance refunding technique to obtain more
    favorable terms with respect to securities that are not yet
    subject to call or redemption by the issuer. For example,
    advance refunding enables an issuer to refinance debt at lower
    market interest rates, restructure debt to improve cash flow or
    eliminate restrictive covenants in the indenture or other
    governing instrument for the pre-refunded municipal securities.
    However, except for a change in the revenue source from which
    principal and interest payments are made, the pre-refunded
    municipal securities remain outstanding on their original terms
    until they mature or are redeemed by the issuer.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Private
    Activity Bonds</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Private activity bonds, formerly referred to as industrial
    development bonds, are issued by or on behalf of public
    authorities to obtain funds to provide privately operated
    housing facilities, airport, mass transit or port facilities,
    sewage disposal, solid waste disposal or hazardous waste
    treatment or disposal facilities and certain local facilities
    for water supply, gas or electricity. Other types of private
    activity bonds, the proceeds of which are used for the
    construction, equipment, repair or improvement of privately
    operated industrial or commercial facilities, may constitute
    municipal securities, although the current federal tax laws
    place substantial limitations on the size of such issues. A
    Fund&#146;s distributions of its interest income from private
    activity bonds may subject certain investors to the federal
    alternative minimum tax.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Inverse
    Floating Rate Securities</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    A Fund may invest up to 15% of its Managed Assets in inverse
    floating rate securities. Inverse floating rate securities
    (sometimes referred to as &#147;inverse floaters&#148; or
    residual interests of a
</DIV>

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<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    tender option bond) are securities whose interest rates bear an
    inverse relationship to the interest rate on another security or
    the value of an index. Generally, inverse floating rate
    securities represent beneficial interests in a special purpose
    trust formed by a third party sponsor for the purpose of holding
    municipal bonds. The special purpose trust typically sells two
    classes of beneficial interests or securities: short-term
    floating rate municipal securities (sometimes referred to as
    short-term floaters or tender option bonds), which are sold to
    third party investors, and inverse floating rate municipal
    securities, which the Fund would purchase. The short-term
    floating rate securities have first priority on the cash flow
    from the municipal bonds held by the special purpose trust.
    Typically, a third party, such as a bank, broker-dealer or other
    financial institution, grants the floating rate security holders
    the option, at periodic intervals, to tender their securities to
    the institution and receive the face value thereof. As
    consideration for providing the option, the financial
    institution receives periodic fees. The holder of the short-term
    floater effectively holds a demand obligation that bears
    interest at the prevailing short-term, tax-exempt rate. However,
    an institution will not be obligated to accept tendered
    short-term floaters in the event of certain defaults or a
    significant downgrade in the credit rating assigned to the bond
    issuer. For its inverse floating rate investment, a Fund
    receives the residual cash flow from the special purpose trust.
    Because the holder of the short-term floater is generally
    assured liquidity at the face value of the security, a Fund as
    the holder of the inverse floater assumes the interest rate cash
    flow risk and the market value risk associated with the
    municipal security deposited into the special purpose trust. The
    volatility of the interest cash flow and the residual market
    value will vary with the degree to which the trust is leveraged.
    This is expressed in the ratio of the face value of the
    short-term floaters in relation to the residual inverse floaters
    that are issued by the special purpose trust. Each Fund expects
    to make limited investments in inverse floaters, with leverage
    ratios that may vary between one and three times. In addition,
    all voting rights and decisions to be made with respect to any
    other rights relating to the municipal bonds held in the special
    purpose trust are passed through to a Fund, as the holder of the
    residual inverse floating rate securities.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Because increases in either the interest rate on the securities
    or the value of indexes (with which inverse floaters maintain
    their inverse relationship) reduce the residual interest paid on
    inverse floaters, an inverse floater&#146;s value is generally
    more volatile than that of fixed rate bonds. Inverse floaters
    have varying degrees of liquidity based upon the liquidity of
    the underlying securities deposited in a tender option bond
    trust. The market price of inverse floating rate securities is
    more volatile than the underlying securities due to leverage.
    These securities generally will underperform the market of fixed
    rate bonds in a rising interest rate environment, but tend to
    outperform the market of fixed rate bonds when interest rates
    decline or remain relatively stable. Although volatile, inverse
    floaters typically offer the potential for yields exceeding the
    yields available on fixed rate bonds with comparable credit
    quality, coupon, call provisions and maturity.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Tender
    Option Bonds</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    A tender option bond is a municipal security (generally held
    pursuant to a custodial arrangement) having a relatively long
    maturity and bearing interest at a fixed rate substantially
    higher than prevailing short-term, tax-exempt rates. The bond is
    typically issued with the agreement of a third party, such as a
    bank, broker-dealer or other financial institution, which grants
    the security holders the option, at periodic intervals, to
    tender their securities to the institution and receive the face
    value thereof. As consideration for providing the option, the
    financial institution receives periodic fees equal to the
    difference between the bond&#146;s fixed coupon
</DIV>

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    <BR>
    57
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    rate and the rate, as determined by a remarketing or similar
    agent at or near the commencement of such period, that would
    cause the securities, coupled with the tender option, to trade
    at par on the date of such determination. Thus, after payment of
    this fee, the security holder effectively holds a demand
    obligation that bears interest at the prevailing short-term,
    tax-exempt rate. However, an institution will not be obligated
    to accept tendered bonds in the event of certain defaults or a
    significant downgrade in the credit rating assigned to the
    issuer of the bond. Each Fund intends to invest in tender option
    bonds the interest on which will, in the opinion of bond
    counsel, counsel for the issuer of interests therein or counsel
    selected by NAM, be exempt from regular federal income tax and
    from the Federal alternative minimum tax applicable to
    individuals. However, because there can be no assurance that the
    Internal Revenue Service (the &#147;IRS&#148;) will agree with
    such counsel&#146;s opinion in any particular case, there is a
    risk that a Fund will not be considered the owner of such tender
    option bonds and thus will not be entitled to treat such
    interest as exempt from such tax. Additionally, the federal
    income tax treatment of certain other aspects of these
    investments, including the proper tax treatment of tender option
    bonds and the associated fees in relation to various regulated
    investment company tax provisions, is unclear. Each Fund intends
    to manage its portfolio in a manner designed to eliminate or
    minimize any adverse impact from the tax rules applicable to
    these investments.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Special
    Taxing Districts</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Special taxing districts are organized to plan and finance
    infrastructure developments to induce residential, commercial
    and industrial growth and redevelopment. The bond financing
    methods such as tax increment finance, tax assessment, special
    services district and Mello-Roos bonds, are generally payable
    solely from taxes or other revenues attributable to the specific
    projects financed by the bonds without recourse to the credit or
    taxing power of related or overlapping municipalities. They
    often are exposed to real estate development-related risks and
    can have more taxpayer concentration risk than general
    tax-supported bonds, such as general obligation bonds. Further,
    the fees, special taxes, or tax allocations and other revenues
    that are established to secure such financings are generally
    limited as to the rate or amount that may be levied or assessed
    and are not subject to increase pursuant to rate covenants or
    municipal or corporate guarantees. The bonds could default if
    development failed to progress as anticipated or if larger
    taxpayers failed to pay the assessments, fees and taxes as
    provided in the financing plans of the districts.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">When-Issued
    and Delayed Delivery Transactions</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Each Fund may buy and sell municipal securities on a when-issued
    or delayed delivery basis, making payment or taking delivery at
    a later date, normally within 15 to 45&#160;days of the trade
    date. This type of transaction may involve an element of risk
    because no interest accrues on the bonds prior to settlement
    and, because bonds are subject to market fluctuations, the value
    of the bonds at time of delivery may be less (or more) than
    cost. A separate account of each Fund will be established with
    its custodian consisting of cash, cash equivalents, or liquid
    securities having a market value at all times at least equal to
    the amount of the commitment.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Zero
    Coupon Bonds</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    A zero coupon bond is a bond that does not pay interest either
    for the entire life of the obligation or for an initial period
    after the issuance of the obligation. When held to its maturity,
</DIV>

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    <BR>
    58
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    its return comes from the difference between the purchase price
    and its maturity value. A zero coupon bond is normally issued
    and traded at a deep discount from face value. Zero coupon bonds
    allow an issuer to avoid or delay the need to generate cash to
    meet current interest payments and, as a result, may involve
    greater credit risk than bonds that pay interest currently or in
    cash. A Fund would be required to distribute the income on any
    of these instruments as it accrues, even though the Fund will
    not receive all of the income on a current basis or in cash.
    Thus, a Fund may have to sell other investments, including when
    it may not be advisable to do so, to make income distributions
    to its shareholders.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Structured
    Notes</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Each Fund may utilize structured notes and similar instruments
    for investment purposes and also for hedging purposes.
    Structured notes are privately negotiated debt obligations where
    the principal
    <FONT style="white-space: nowrap">and/or</FONT>
    interest is determined by reference to the performance of a
    benchmark asset, market or interest rate (an &#147;embedded
    index&#148;), such as selected securities, an index of
    securities or specified interest rates, or the differential
    performance of two assets or markets. The terms of such
    structured instruments normally provide that their principal
    <FONT style="white-space: nowrap">and/or</FONT>
    interest payments are to be adjusted upwards or downwards (but
    not ordinarily below zero) to reflect changes in the embedded
    index while the structured instruments are outstanding. As a
    result, the interest
    <FONT style="white-space: nowrap">and/or</FONT>
    principal payments that may be made on a structured product may
    vary widely, depending upon a variety of factors, including the
    volatility of the embedded index and the effect of changes in
    the embedded index on principal
    <FONT style="white-space: nowrap">and/or</FONT>
    interest payments. The rate of return on structured notes may be
    determined by applying a multiplier to the performance or
    differential performance of the referenced index or indices or
    other assets. Application of a multiplier involves leverage that
    will serve to magnify the potential for gain and the risk of
    loss. These types of investments may generate taxable income.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Derivatives</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Each Fund may invest in certain derivative instruments in
    pursuit of its investment objectives. Such instruments include
    financial futures contracts, swap contracts (including interest
    rate and credit default swaps), options on financial futures,
    options on swap contracts or other derivative instruments. In
    particular, a Fund may use credit default swaps and interest
    rate swaps. Credit default swaps may require initial premium
    (discount) payments as well as periodic payments (receipts)
    related to the interest leg of the swap or to the default of a
    reference obligation. If a Fund is a seller of a contract, the
    Fund would be required to pay the par (or other agreed upon)
    value of a referenced debt obligation to the counterparty in the
    event of a default or other credit event by the reference
    issuer, such as a U.S.&#160;or foreign corporate issuer, with
    respect to such debt obligations. In return, such Fund would
    receive from the counterparty a periodic stream of payments over
    the term of the contract provided that no event of default has
    occurred. If no default occurs, such Fund would keep the stream
    of payments and would have no payment obligations. As the
    seller, a Fund would be subject to investment exposure on the
    notional amount of the swap. If a Fund is a buyer of a contract,
    the Fund would have the right to deliver a referenced debt
    obligation and receive the par (or other
    <FONT style="white-space: nowrap">agreed-upon)</FONT>
    value of such debt obligation from the counterparty in the event
    of a default or other credit event (such as a credit downgrade)
    by the reference issuer, such as a U.S.&#160;or foreign
    corporation, with respect to its debt obligations. In return,
    such Fund would pay the counterparty a periodic stream of
    payments over the term of the contract provided that no event of
    default has occurred. If no default occurs, the counterparty
    would keep the stream of payments
</DIV>

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    <BR>
    59
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    and would have no further obligations to such Fund. Interest
    rate swaps involve the exchange by a Fund with a counterparty of
    their respective commitments to pay or receive interest, such as
    an exchange of fixed-rate payments for floating rate payments. A
    Fund will usually enter into interest rate swaps on a net basis;
    that is, the two payment streams will be netted out in a cash
    settlement on the payment date or dates specified in the
    instrument, with the Fund receiving or paying, as the case may
    be, only the net amount of the two payments.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    NAM may use derivative instruments to seek to enhance return, to
    hedge some of the risk of each Fund&#146;s investments in
    municipal securities or as a substitute for a position in the
    underlying asset. These types of strategies may generate taxable
    income.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    There is no assurance that these derivative strategies will be
    available at any time or that NAM will determine to use them for
    a Fund or, if used, that the strategies will be successful.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Other
    Investment Companies</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Each Fund may invest up to 10% of its Managed Assets in
    securities of other open- or closed-end investment companies
    (including exchange-traded funds (&#147;ETFs&#148;)) that invest
    primarily in municipal securities of the types in which the Fund
    may invest directly. In addition, each Fund may invest a portion
    of its Managed Assets in pooled investment vehicles (other than
    investment companies) that invest primarily in municipal
    securities of the types in which the Fund may invest directly.
    Each Fund generally expects that it may invest in other
    investment companies
    <FONT style="white-space: nowrap">and/or</FONT> other
    pooled investment vehicles either during periods when it has
    large amounts of uninvested cash or during periods when there is
    a shortage of attractive, high-yielding municipal securities
    available in the market. Each Fund may invest in investment
    companies that are advised by the NAM or its affiliates to the
    extent permitted by applicable law
    <FONT style="white-space: nowrap">and/or</FONT>
    pursuant to exemptive relief from the Securities and Exchange
    Commission. As a shareholder in an investment company, a Fund
    will bear its ratable share of that investment company&#146;s
    expenses, and would remain subject to payment of the Fund&#146;s
    advisory and administrative fees with respect to assets so
    invested. Common shareholders would therefore be subject to
    duplicative expenses to the extent a Fund invests in other
    investment companies.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    NAM will take expenses into account when evaluating the
    investment merits of an investment in an investment company
    relative to available municipal security investments. In
    addition, the securities of other investment companies may also
    be leveraged and will therefore be subject to the same leverage
    risks described herein. As described in the section entitled
    &#147;Risk Factors,&#148; the net asset value and market value
    of leveraged shares will be more volatile and the yield to
    common shareholders will tend to fluctuate more than the yield
    generated by unleveraged shares.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Miscellaneous
    Investments</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Each Fund may invest up to 5% of its net assets in tax-exempt or
    taxable fixed-income or equity securities, for the purpose of
    acquiring control of an issuer whose municipal bonds
    (a)&#160;the Fund already owns and (b)&#160;have deteriorated or
    are expected shortly to deteriorate significantly in credit
    quality; provided NAM determines that such investment should
    enable the Fund to better maximize its existing investment in
    such issuer. Investment in such securities would result in a
    portion of your dividend being subject to regular federal income
    tax or the federal alternative minimum tax applicable to
    individuals.
</DIV>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <BR>
    60
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<A name='127'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">How the
    Funds Manage Risk</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Investment
    Restrictions</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Except as described below, neither Fund, as a fundamental
    policy, may, without the approval of the holders of a
    &#147;majority of the outstanding&#148; common shares and
    preferred shares of such Fund, including shares of its
    MuniPreferred, voting together as a single class, and of the
    holders of a &#147;majority of the outstanding&#148; preferred
    shares of such Fund, including shares of its MuniPreferred,
    voting as a separate class:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    For the Acquiring Fund:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 11%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (1)&#160;Under normal circumstances, invest less than 80% of the
    Fund&#146;s net assets (plus any borrowings for investment
    purposes) in a portfolio of securities the income from which is
    exempt from both regular federal income tax and the federal
    alternative minimum tax applicable to individuals;
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    For the Acquired Fund:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 11%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (1)&#160;Under normal circumstances, invest less than 80% of the
    Fund&#146;s net assets (plus any borrowings for investment
    purposes) in investments that pay interest that is exempt from
    regular federal income tax and the federal alternative minimum
    tax applicable to individuals, and that are exempt from the
    Florida intangible personal property tax;
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    For Both Funds:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 11%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (2)&#160;Issue senior securities, as defined in the Investment
    Company Act of 1940, other than MuniPreferred shares, except to
    the extent permitted under the Investment Company Act of 1940
    and except as otherwise described in the [the Fund&#146;s]
    Prospectus;
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 11%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (3)&#160;Borrow money, except from banks for temporary or
    emergency purposes or for repurchase of its shares, and then
    only in an amount not exceeding one-third of the value of the
    Fund&#146;s total assets (including the amount borrowed) less
    the Fund&#146;s liabilities (other than borrowings);
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 11%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (4)&#160;Act as underwriter of another issuer&#146;s securities,
    except to the extent that the Fund may be deemed to be an
    underwriter within the meaning of the Securities Act of 1933 in
    connection with the purchase and sale of portfolio securities;
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 11%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (5)&#160;Invest more than 25% of its total assets in securities
    of issuers in any one industry; provided, however, that such
    limitation shall not apply to municipal bonds other than those
    municipal bonds backed only by the assets and revenues of
    non-governmental users;
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 11%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (6)&#160;Purchase or sell real estate, but this shall not
    prevent the Fund from investing in municipal bonds secured by
    real estate or interests therein or foreclosing upon and selling
    such security;
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 11%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (7)&#160;Purchase or sell physical commodities unless acquired
    as a result of ownership of securities or other instruments (but
    this shall not prevent the Fund from purchasing or selling
    options, futures contracts, derivative instruments or from
    investing in securities or other instruments backed by physical
    commodities);
</DIV>

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    61
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<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 11%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (8)&#160;Make loans, other than by entering into repurchase
    agreements and through the purchase of municipal bonds or
    short-term investments in accordance with its investment
    objectives, policies and limitations; and
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    For the Acquiring Fund:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 11%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (9)&#160;Purchase any securities (other than obligations issued
    or guaranteed by the United States Government or by its agencies
    or instrumentalities), if as a result more than 5% of the
    Fund&#146;s total assets would then be invested in securities of
    a single issuer or if as a result would then be invested in
    securities of a single issuer or if as a result the Fund would
    hold more than 10% of the outstanding voting securities of any
    single issuer; provided that, with respect to 50% of the
    Fund&#146;s assets, the Fund may invest up to 25% of its assets
    in the securities if any are issued.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    For the Acquired Fund:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 11%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (9)&#160;Purchase any securities (other than obligations issued
    or guaranteed by the United States Government or by its agencies
    or instrumentalities), if as a result more than 5% of the
    Fund&#146;s total assets would then be invested in securities of
    a single issuer or if as a result would then be invested in
    securities of a single issuer or if as a result the Fund would
    hold more than 10% of the outstanding voting securities of any
    single issuer; provided that, with respect to 50% of the
    Fund&#146;s assets, the Fund may invest up to 25% of its assets
    in the securities of any one issuer.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    For purposes of the foregoing, &#147;majority of the
    outstanding,&#148; when used with respect to particular shares
    of a Fund, means (i)&#160;67% or more of the shares present at a
    meeting, if the holders of more than 50% of the shares are
    present or represented by proxy, or (ii)&#160;more than 50% of
    the shares, whichever is less.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    For the purpose of applying the limitation set forth in
    subparagraph (9)&#160;above with respect to each Fund, an issuer
    shall be deemed the sole issuer of a security when its assets
    and revenues are separate from other governmental entities and
    its securities are backed only by its assets and revenues.
    Similarly, in the case of a non-governmental issuer, such as an
    industrial corporation or a privately owned or operated
    hospital, if the security is backed only by the assets and
    revenues of the non-governmental issuer, then such
    non-governmental issuer would be deemed to be the sole issuer.
    Where a security is also backed by the enforceable obligation of
    a superior or unrelated governmental or other entity (other than
    a bond insurer), it shall also be included in the computation of
    securities owned that are issued by such governmental or other
    entity. Where a security is guaranteed by a governmental entity
    or some other facility, such as a bank guarantee or letter of
    credit, such a guarantee or letter of credit would be considered
    a separate security and would be treated as an issue of such
    government, other entity or bank. When a municipal bond is
    insured by bond insurance, it shall not be considered a security
    that is issued or guaranteed by the insurer; instead, the issuer
    of such municipal bond will be determined in accordance with the
    principles set forth above. The foregoing restrictions do not
    limit the percentage of a Fund&#146;s assets that may be
    invested in municipal bonds insured by any given insurer.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Under the 1940 Act, a Fund may invest only up to 10% of its
    Managed Assets in the aggregate in shares of other investment
    companies and only up to 5% of its Managed Assets in any one
    investment company, provided the investment does not represent
    more than 3% of the voting stock of the acquired investment
    company at the time such shares are purchased. As a
</DIV>

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    <BR>
    62
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<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    stockholder in any investment company, a Fund will bear its
    ratable share of that investment company&#146;s expenses, and
    will remain subject to payment of the Fund&#146;s management,
    advisory and administrative fees with respect to assets so
    invested. Holders of common shares would therefore be subject to
    duplicative expenses to the extent a Fund invests in other
    investment companies. In addition, the securities of other
    investment companies may also be leveraged and will therefore be
    subject to the same leverage risks described herein. As
    described herein, the net asset value and market value of
    leveraged shares will be more volatile and the yield to
    shareholders will tend to fluctuate more than the yield
    generated by unleveraged shares.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    In addition to the foregoing fundamental investment policies,
    each Fund is also subject to the following non-fundamental
    restrictions and policies, which may be changed by the
    Fund&#146;s Board of Trustees. Each Fund may not:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 11%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (1)&#160;Sell securities short, unless the Fund owns or has the
    right to obtain securities equivalent in kind and amount to the
    securities sold at no added cost, and provided that transactions
    in options, futures contracts, options on futures contracts, or
    other derivative instruments are not deemed to constitute
    selling securities short;
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 11%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (2)&#160;Purchase securities of open-end or closed-end
    investment companies except in compliance with the Investment
    Company Act of 1940 or any exemptive relief obtained thereunder;
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 11%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (3)&#160;Enter into futures contracts or related options or
    forward contracts, if more than 30% of the Fund&#146;s net
    assets would be represented by futures contracts or more than 5%
    of the Fund&#146;s net assets would be committed to initial
    margin deposits and premiums on futures contracts and related
    options;
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 11%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (4)&#160;Purchase securities when borrowings exceed 5% of its
    total assets if and so long as MuniPreferred shares are
    outstanding; and
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 11%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (5)&#160;Purchase securities of companies for the purpose of
    exercising control, except that the Fund may invest up to 5% of
    its net assets in tax-exempt or taxable fixed-income or equity
    securities, for the purpose of acquiring control of an issuer
    whose municipal bonds (a)&#160;the Fund already owns and
    (b)&#160;have deteriorated or are expected shortly to
    deteriorate significantly in credit quality, provided NAM
    determines that such investment should enable the Fund to better
    maximize the value of its existing investment in such issuer.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The restrictions and other limitations set forth above will
    apply only at the time of purchase of securities and will not be
    considered violated unless an excess or deficiency occurs or
    exists immediately after and as a result of an acquisition of
    securities.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Limited
    Issuance of MuniPreferred Shares</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Under the 1940 Act, each Fund could issue MuniPreferred shares
    having a total liquidation value (original purchase price of the
    shares being liquidated plus any accrued and unpaid dividends)
    of up to one-half of the value of the asset coverage of the
    Fund. If the total liquidation value of the MuniPreferred shares
    was ever more than one-half of the value of a Fund&#146;s asset
    coverage, the Fund would not be able to declare dividends on the
    common shares until the liquidation value, as a percentage of
    the Fund&#146;s assets, was reduced. As of December&#160;31,
    2008, the MuniPreferred shares represented
    approximately&#160;&#160;&#160;&#160;&#160;%
    and&#160;&#160;&#160;&#160;&#160;% of the Acquiring Fund&#146;s
    and Acquired Fund&#146;s total capital, respectively. This
    higher
</DIV>

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    <BR>
    63
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<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    than required margin of net asset value provides a cushion
    against later fluctuations in the value of a Fund&#146;s
    portfolio and will subject common shareholders to less income
    and net asset value volatility than if the Fund were more
    leveraged. Each Fund intends to purchase or redeem MuniPreferred
    shares, if necessary, to keep the liquidation value of the
    MuniPreferred shares below one-half of the value of the
    Fund&#146;s asset coverage.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Investment
    Portfolio and Capital Structure Strategies to Manage Leverage
    Risk</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Common shareholders of each Fund are subject to the risks of
    leverage primarily in the form of additional common share
    earnings and net asset value risk, associated with a Fund&#146;s
    use of financial leverage in the form of MuniPreferred shares or
    tender option bonds. See &#147;Risk Factors&#160;&#151; Leverage
    Risk.&#148;
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    In an effort to mitigate these risks, each Fund and NAM seek to
    maintain the Fund&#146;s financial leverage within an
    established range, and to rebalance leverage levels if the
    Fund&#146;s leverage ratio moves outside this range to a
    meaningful degree for a persistent period of time. A Fund may
    rebalance leverage levels in one or more ways, including by
    increasing/reducing the amount of leverage outstanding and
    issuing/repurchasing common shares. [Each Fund currently expects
    that it would increase leverage levels through the use of tender
    option bonds.] Reducing leverage may require a Fund to raise
    cash through the sale of portfolio securities at times
    <FONT style="white-space: nowrap">and/or</FONT> at
    prices that would otherwise be unattractive for the Fund. Each
    Fund may also seek to diversify its capital structure and the
    risks associated with leverage by employing multiple forms of
    leverage. Each Fund and NAM will weigh the relative potential
    benefits and risks as well as the costs associated with a
    particular action, and will take such action only if it
    determines that on balance the likely potential benefits
    outweigh the associated risks and costs.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Because the long-term municipal securities in which a Fund
    invests generally pay fixed rates of interest while the
    Fund&#146;s costs of leverage generally fluctuate with
    short-term yields, common shareholders bear incremental earnings
    risk from leverage. Each Fund believes this risk increased as a
    result of the systemic failure of the ARPS market in February
    2008 which caused dividend rates on the Fund&#146;s
    MuniPreferred shares to be set at the Maximum Rate according to
    a pre-determined, index-based formula rather than through a
    weekly auction process. In seeking to manage the earnings risk
    from leverage, each Fund may from time to time refinance
    MuniPreferred shares with alternative forms of leverage that
    offer the potential for a lower relative cost of leverage over
    time <FONT style="white-space: nowrap">and/or</FONT>
    that extend the rate reset period on its leverage.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Common shareholders also bear incremental net asset value risk
    from leverage because they bear the full impact of price changes
    in their Fund&#146;s investment portfolio, including assets
    attributable to leverage. In seeking to manage the net asset
    value risk from leverage, a Fund may alter the composition of
    its investment portfolio in one or more ways, including
    increasing portfolio credit quality, reducing portfolio duration
    and increasing the level of short-term cash equivalents.
    Depending on subsequent market conditions, any such action may
    increase or reduce common share net earnings
    <FONT style="white-space: nowrap">and/or</FONT>
    returns compared to if such Fund had taken no action.
</DIV>

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    <BR>
    64
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<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Hedging
    Strategies</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Each Fund may use various investment strategies designed to
    limit the risk of bond price fluctuations and to preserve
    capital. These hedging strategies include using credit default
    swaps, interest-rate swaps on taxable tax-exempt indices,
    forward starting rate swaps and options on interest rate swaps,
    financial futures contracts, options on financial futures or
    options based on either an index of long-term municipal
    securities or on taxable debt securities whose prices, in the
    opinion of NAM, correlate with the prices of a Fund&#146;s
    investments. These hedging strategies may generate taxable
    income.
</DIV>
<A name='128'>
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<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Certain
    Provisions in the Acquiring Fund&#146;s Declaration of Trust and
    By-Laws</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Under Massachusetts law, shareholders could, under certain
    circumstances, be held personally liable for the obligations of
    the Acquiring Fund. However, the Acquiring Fund&#160;Declaration
    of Trust contains an express disclaimer of shareholder liability
    for debts or obligations of the Fund and requires that notice of
    such limited liability be given in each agreement, obligation or
    instrument entered into or executed by the Fund or the trustees.
    The Acquiring Fund&#160;Declaration of Trust further provides
    for indemnification out of the assets and property of the Fund
    for all loss and expense of any shareholder held personally
    liable for the obligations of the Fund. Thus, the risk of a
    shareholder incurring financial loss on account of shareholder
    liability is limited to circumstances in which the Acquiring
    Fund would be unable to meet its obligations. The Acquiring Fund
    believes that the likelihood of such circumstances is remote.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Acquiring Fund&#160;Declaration of Trust includes provisions
    that could limit the ability of other entities or persons to
    acquire control of the Fund or to convert the Fund to open-end
    status. Specifically, the Acquiring Fund&#160;Declaration of
    Trust requires a vote by holders of at least two-thirds of the
    common shares and MuniPreferred shares, voting together as a
    single class, except as described below, to authorize (1)&#160;a
    conversion of the Fund from a closed-end to an open-end
    investment company, (2)&#160;a merger or consolidation of the
    Fund, or a series or class of the Fund, with any corporation,
    association, trust or other organization or a reorganization or
    recapitalization of the Fund, or a series or class of the Fund,
    (3)&#160;a sale, lease or transfer of all or substantially all
    of the Fund&#146;s assets (other than in the regular course of
    the Fund&#146;s investment activities), (4)&#160;in certain
    circumstances, a termination of the Fund, or a series or class
    of the Fund, or (5)&#160;a removal of trustees by shareholders,
    and then only for cause, unless, with respect to
    (1)&#160;through (4), such transaction has already been
    authorized by the affirmative vote of two-thirds of the total
    number of trustees fixed in accordance with the Acquiring
    Fund&#160;Declaration of Trust or the Acquiring Fund&#146;s
    By-laws, in which case the affirmative vote of the holders of at
    least a majority of the Fund&#146;s common shares and
    MuniPreferred shares outstanding at the time, voting together as
    a single class, is required, provided, however, that where only
    a particular class or series is affected (or, in the case of
    removing a trustee, when the trustee has been elected by only
    one class), only the required vote by the applicable class or
    series will be required. Approval of shareholders is not
    required pursuant to the Acquiring Fund&#160;Declaration of
    Trust, however, for any transaction, whether deemed a merger,
    consolidation, reorganization or otherwise whereby the Acquiring
    Fund issues shares in connection with the acquisition of assets
    (including those subject to liabilities) from any other
    investment company or similar entity. In the case of the
    conversion of the Acquiring Fund to an open-end investment
    company, or in the case of any of the foregoing transactions
    constituting a plan of reorganization which adversely affects
    the holders of MuniPreferred shares, the action in question will
    also require
</DIV>

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    <BR>
    65
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<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    the affirmative vote of the holders of at least two-thirds of
    the Acquiring Fund&#146;s MuniPreferred shares outstanding at
    the time, voting as a separate class, or, if such action has
    been authorized by the affirmative vote of two-thirds of the
    total number of trustees fixed in accordance with the Acquiring
    Fund&#160;Declaration of Trust or the Acquiring Fund&#146;s
    By-Laws, the affirmative vote of the holders of at least a
    majority of the Acquiring Fund&#146;s MuniPreferred shares
    outstanding at the time, voting as a separate class. None of the
    foregoing provisions may be amended except by the vote of at
    least two-thirds of the common shares and MuniPreferred shares,
    voting together as a single class. The votes required to approve
    the conversion of the Acquiring Fund from a closed-end to an
    open-end investment company or to approve transactions
    constituting a plan of reorganization which adversely affects
    the holders of MuniPreferred shares are higher than those
    required by the 1940 Act. The Acquiring Fund&#146;s Board
    believes that the provisions of the Acquiring
    Fund&#160;Declaration of Trust relating to such higher votes are
    in the best interest of the Acquiring Fund. See the
    Reorganization SAI under &#147;Certain Provisions in the
    Declaration of Trust and By-Laws.&#148;
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    In addition, the By-Laws require the Board of Trustees be
    divided into three classes with staggered terms. See the
    Reorganization SAI under &#147;Management of the Fund.&#148;
    This provision of the By-Laws could delay for up to two years
    the replacement of a majority of the Board of Trustees. Holders
    of preferred shares, voting as a separate class, are entitled to
    elect two of the Fund&#146;s trustees.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Reference should be made to the Acquiring Fund&#160;Declaration
    of Trust on file with the SEC for the full text of these
    provisions.
</DIV>
<A name='129'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Expenses
    Associated with the Reorganization</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    In evaluating the Reorganization, management of the Funds
    estimated the amount of expenses the Funds would incur to be
    approximately $260,000, which includes additional stock exchange
    listing fees, Commission registration fees, legal and accounting
    fees, proxy solicitation and distribution costs. These estimated
    expenses will be borne by the Acquiring Fund and Acquired Fund
    in the amounts of $55,000 and $205,000, respectively.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Additional solicitation may be made by letter or telephone by
    officers or employees of Nuveen Investments or the Adviser, or
    by dealers and their representatives. The Funds have engaged
    Computershare Fund Services to assist in the solicitation of
    proxies at an estimated cost of $18,000 per Fund plus reasonable
    expenses, which is included in the estimate above.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Reorganization expenses have been or will be expensed prior to
    the [closing date]. Management of the Funds expects that
    increased common net earnings resulting from one or more of the
    following: (i) reduced operating expenses resulting from
    economies of scale, (ii) changes in the embedded yield, and
    (iii) lower leverage costs from the use of tender option bond
    financing, should allow the recovery of the projected costs of
    the Reorganization within approximately ten months after the
    [closing date] with respect to each Fund.
</DIV>
<A name='130'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Dissenting
    Shareholders&#146; Rights of Appraisal</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Under Massachusetts law and the Funds&#146; charter documents,
    shareholders of the Acquired Fund and Acquiring Fund do not have
    dissenters&#146; rights of appraisal with respect to the
    Reorganization.
</DIV>

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    <BR>
    66
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<A name='131'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Certain
    Federal Income Tax Consequences of the Reorganization</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    As a condition to each Fund&#146;s obligation to consummate the
    Reorganization, each Fund will receive a tax opinion from Vedder
    Price P.C. (which opinion will be based on certain factual
    representations and certain customary assumptions) substantially
    to the effect that, on the basis of the existing provisions of
    the Internal Revenue Code of 1986, as amended (the
    &#147;Code&#148;), current administrative rules and court
    decisions, for federal income tax purposes:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">

<TR>
    <TD width="5%"></TD>
    <TD width="4%"></TD>
    <TD width="91%"></TD>
</TR>

<TR valign="top" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <TD>&nbsp;</TD>
    <TD>    1.&#160;
</TD>
    <TD align="left">
    The transfer of all the assets of the Acquired Fund to the
    Acquiring Fund in exchange solely for Acquiring Fund shares and
    the assumption by the Acquiring Fund of all the liabilities of
    the Acquired Fund, followed by the pro rata distribution to the
    Acquired Fund shareholders of all the Acquiring Fund shares
    received by the Acquired Fund in complete liquidation of the
    Acquired Fund will constitute a &#147;reorganization&#148;
    within the meaning of Section&#160;368(a) of the Code and the
    Acquiring Fund and the Acquired Fund will each be a &#147;party
    to a reorganization,&#148; within the meaning of
    Section&#160;368(b) of the Code, with respect to the
    Reorganization.
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <TD>&nbsp;</TD>
    <TD>    2.&#160;
</TD>
    <TD align="left">
    No gain or loss will be recognized by the Acquiring Fund upon
    the receipt of all the assets of the Acquired Fund solely in
    exchange for Acquiring Fund shares and the assumption by the
    Acquiring Fund of all the liabilities of the Acquired Fund.
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <TD>&nbsp;</TD>
    <TD>    3.&#160;
</TD>
    <TD align="left">
    No gain or loss will be recognized by the Acquired Fund upon the
    transfer of all the Acquired Fund&#146;s assets to the Acquiring
    Fund solely in exchange for Acquiring Fund shares and the
    assumption by the Acquiring Fund of all the liabilities of the
    Acquired Fund or upon the distribution (whether actual or
    constructive) of all such Acquiring Fund shares to the Acquired
    Fund shareholders solely in exchange for such shareholders&#146;
    shares of the Acquired Fund in complete liquidation of the
    Acquired Fund.
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <TD>&nbsp;</TD>
    <TD>    4.&#160;
</TD>
    <TD align="left">
    No gain or loss will be recognized by the Acquired Fund
    shareholders upon the exchange of their Acquired Fund shares
    solely for Acquiring Fund shares in the Reorganization.
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <TD>&nbsp;</TD>
    <TD>    5.&#160;
</TD>
    <TD align="left">
    The aggregate basis of the Acquiring Fund shares received by
    each Acquired Fund shareholder pursuant to the Reorganization
    will be the same as the aggregate basis of the Acquired Fund
    shares exchanged therefor by such shareholder. The holding
    period of the Acquiring Fund shares received by each Acquired
    Fund shareholder will include the period during which the
    Acquired Fund shares exchanged therefor were held by such
    shareholder, provided such Acquired Fund shares are held as
    capital assets at the time of the Reorganization.
</TD>
</TR>


<TR style="line-height: 6pt; font-size: 1pt"><TD>&nbsp;</TD></TR>


<TR valign="top" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <TD>&nbsp;</TD>
    <TD>    6.&#160;
</TD>
    <TD align="left">
    The tax basis of the Acquired Fund&#146;s assets acquired by the
    Acquiring Fund will be the same as the tax basis of such assets
    to the Acquired Fund immediately before the Reorganization. The
    holding period of the assets of the Acquired Fund in the hands
    of the Acquiring Fund will include the period during which those
    assets were held by the Acquired Fund.
</TD>
</TR>

</TABLE>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Prior to the date of the Reorganization, the Acquired Fund will
    declare a distribution to its shareholders, which together with
    all previous distributions, will have the effect of distributing
    to shareholders all its net investment income and realized net
    capital gains (after reduction by any capital loss
    carryforwards), if any, through the date of the Reorganization.
    This distribution will be taxable to shareholders for federal
    income tax purposes and will include any net capital gains
    resulting from the sale of portfolio assets discussed below.
    Additional distributions may
</DIV>

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    <BR>
    67
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    be made if necessary. All dividends and distributions will be
    reinvested in additional shares of the Acquired Fund unless a
    shareholder has made an election to receive dividends and
    distributions in cash. Dividends and distributions are treated
    the same for federal income tax purposes whether received in
    cash or additional shares.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    After the Reorganization, the combined fund&#146;s ability to
    use the Acquired Fund&#146;s or the Acquiring Fund&#146;s
    pre-Reorganization capital losses may be limited under certain
    federal income tax rules applicable to reorganizations of this
    type. Therefore, in certain circumstances, former shareholders
    of the Acquired Fund may pay federal income taxes sooner, or pay
    more federal income taxes, than they would have had had the
    Reorganization not occurred. The effect of these potential
    limitations, however, will depend on a number of factors
    including the amount of the losses, the amount of gains to be
    offset, the exact timing of the Reorganization and the amount of
    unrealized capital gains in the Funds at the time of the
    Reorganization.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    In addition, the shareholders of the Acquired Fund will receive
    a proportionate share of any taxable income and gains realized
    by the Acquiring Fund and not distributed to its shareholders
    prior to the Reorganization when such income and gains are
    eventually distributed by the Acquiring Fund. As a result,
    shareholders of the Acquired Fund may receive a greater amount
    of taxable distributions than they would have had the
    Reorganization not occurred.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    This description of the federal income tax consequences of the
    Reorganization is made without regard to the particular facts
    and circumstances of any shareholder. Shareholders are urged to
    consult their own tax advisors as to the specific consequences
    to them of the Reorganization, including the applicability and
    effect of state, local,
    <FONT style="white-space: nowrap">non-U.S.&#160;and</FONT>
    other tax laws.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 3%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><I><FONT style="font-family: 'Times New Roman', Times">Exchange
    of Acquired Fund&#160;Shares Solely for Acquiring
    Fund&#160;Shares</FONT></I></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <B>The foregoing is intended to be only a summary of the
    principal federal income tax consequences of the Reorganization
    and should not be considered to be tax advice. There can be no
    assurance that the IRS will concur on all or any of the issues
    discussed above. Acquired Fund shareholders are urged to consult
    their own tax advisers regarding the federal, state and local
    tax consequences with respect to the foregoing matters and any
    other considerations which may be applicable to them.</B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <B>The Board of each Fund recommends that the shareholders vote
    &#147;FOR&#148; the approval of the Reorganization.</B>
</DIV>
<A name='132'>
<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">PROPOSAL&#160;NO.&#160;2.&#160;&#151;
    ISSUANCE OF ADDITIONAL ACQUIRING FUND&#160;COMMON SHARES<BR>
    (ACQUIRING FUND&#160;COMMON SHAREHOLDERS ONLY)</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    In connection with the proposed Reorganization, the Acquiring
    Fund will issue additional Acquiring Fund&#160;Common Shares and
    list such shares on the NYSE Alternext. The Acquiring Fund will
    acquire all the assets and assume all the liabilities of the
    Acquired Fund in exchange for newly-issued Acquiring
    Fund&#160;Common Shares and newly-issued Acquiring
    Fund&#160;MuniPreferred Shares. The Acquired Fund will
    distribute Acquiring Fund&#160;Common Shares to its common
    shareholders and Acquiring Fund&#160;MuniPreferred Shares to its
    preferred shareholders and will then terminate its registration
    under the 1940 Act and dissolve under applicable state law. The
    Acquiring Fund&#146;s Board, based upon its evaluation of all
    relevant information, anticipates that the Reorganization will
    benefit holders of Acquiring Fund common shares.
</DIV>

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    <BR>
    68
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The aggregate net asset value of Acquiring Fund&#160;Common
    Shares received in the Reorganization will equal the aggregate
    net asset value of the Acquired Fund&#146;s common shares held
    immediately prior to the Reorganization, less the costs of the
    Reorganization (though common shareholders may receive cash for
    their fractional shares). The aggregate liquidation preference
    of Acquiring Fund&#160;MuniPreferred Shares received in the
    Reorganization will equal the aggregate liquidation preference
    of the Acquired Fund&#146;s preferred shares held immediately
    prior to the Reorganization. The Reorganization will result in
    no dilution of net asset value of the Acquiring Fund&#146;s
    current common shares, other than to reflect the costs of the
    Reorganization. No gain or loss will be recognized by the
    Acquiring Fund or its shareholders in connection with the
    Reorganization. The Acquiring Fund will continue to operate as a
    registered closed-end management investment company with the
    investment objectives and policies described in this Proxy
    Statement/Prospectus.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    While applicable state and federal law does not require the
    common shareholders of the Acquiring Fund to approve the
    Reorganization, applicable NYSE Alternext rules require the
    common shareholders of the Acquiring Fund to approve the
    issuance of additional Acquiring Fund&#160;Common Shares to be
    issued in connection with the Reorganization.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Shareholder approval of the issuance of additional Acquiring
    Fund&#160;Common Shares requires the affirmative vote of a
    majority of the votes cast on the proposal, provided that the
    total votes cast on the proposal represent over 50% in interest
    of all securities entitled to vote on the matter. Subject to the
    requisite approval of each proposal described herein, it is
    expected that the closing date of the Acquired Fund will be on
    the relevant dividend payment date immediately following the
    Special Meeting.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <B>The Board of the Acquiring Fund recommends that common
    shareholders of the Acquiring Fund vote &#147;FOR&#148; the
    approval of the issuance of additional Acquiring
    Fund&#160;Common Shares in connection with the
    Reorganization.</B>
</DIV>

<DIV style="margin-top: 15pt; font-size: 1pt">&nbsp;</DIV>
<A name='133'>
<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">MANAGEMENT
    OF THE FUNDS</FONT></B>
</DIV>
</A>
<A name='134'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Board
    Members and Officers</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The same individuals constitute the Boards of both Funds, and
    the Funds have the same officers.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The management of each Fund, including general supervision of
    the duties performed by the Adviser under the Investment
    Management Agreement for each Fund, is the responsibility of its
    Board. There are currently nine (9)&#160;trustees of the Trust,
    one (1)&#160;of whom is an &#147;interested person&#148; (as
    defined in the 1940 Act) and eight (8)&#160;of whom are not
    interested persons (the &#147;independent trustees&#148;). The
    names and business addresses of the trustees and officers of the
    Funds and their principal occupations and other affiliations
    during the past five years are set forth under
    &#147;Management&#148; in the Reorganization SAI incorporated
    herein by reference.
</DIV>
<A name='135'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Investment
    Adviser</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Nuveen Asset Management acts as the investment adviser for each
    Fund. NAM offers advisory and investment management services to
    a broad range of mutual fund and closed-end fund clients. NAM is
    responsible for the selection and on-going monitoring of the
    securities in the Funds&#146; investment portfolios, managing
    the Funds&#146; business affairs and providing certain
</DIV>

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    <BR>
    69
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    clerical, bookkeeping and other administrative services. NAM is
    located at 333&#160;West Wacker Drive, Chicago, Illinois 60606.
    NAM is a wholly-owned subsidiary of Nuveen Investments.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    On November&#160;13, 2007, Nuveen Investments was acquired by
    Investors led by Madison Dearborn Partners, LLC (the &#147;MDP
    Acquisition&#148;). The investor group led by Madison Dearborn
    Partners, LLC, a private equity firm based in Chicago, Illinois,
    includes affiliates of Merrill Lynch, Pierce, Fenner&#160;&#038;
    Smith Incorporated (&#147;Merrill Lynch&#148;). Merrill Lynch
    has since been acquired by Bank of America Corporation. NAM has
    adopted policies and procedures that address arrangements
    involving NAM and Bank of America Corporation (including Merrill
    Lynch) that may give rise to certain conflicts of interest.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Each Fund is dependent upon services and resources provided by
    its investment adviser, NAM, and therefore the investment
    adviser&#146;s parent, Nuveen Investments. Nuveen Investments
    significantly increased its level of debt in connection with the
    MDP Acquisition. While Nuveen Investments believes that monies
    generated from operations and cash on hand will be adequate to
    fund debt service requirements, capital expenditures and working
    capital requirements for the foreseeable future, there can be no
    assurance that Nuveen Investments&#146; business will generate
    sufficient cash flow from operations or that future borrowings
    will be available in an amount sufficient to enable Nuveen
    Investments to pay its indebtedness (with scheduled maturities
    beginning in 2014)&#160;or to fund its other liquidity needs.
    Nuveen Investments believes that potential adverse changes to
    its overall financial position and business operations would not
    adversely affect NAM&#146;s portfolio management operations and
    would not otherwise adversely affect NAM&#146;s ability to
    fulfill its obligations to the Funds under their investment
    management agreements.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Pursuant to an Investment Management Agreement between the
    Adviser and each Fund, each Fund&#146;s management fee is
    separated into two components&#160;&#151; a complex-level
    component, based on the aggregate amount of all fund assets
    managed by NAM, and a fund-level component, based only on the
    amount of assets within such Fund. The pricing structure enables
    the Funds shareholders to benefit from growth in assets within
    each individual fund as well as from growth of complex-wide
    assets managed by NAM.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The annual fund-level fee for each Fund is based upon the
    average daily net assets (including assets attributable to
    MuniPreferred Shares) of each Fund as follows:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE border="0" width="100%" align="center" cellpadding="0" cellspacing="0" style="font-size: 9pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
<!-- Table Width Row BEGIN -->
<TR style="font-size: 1pt" valign="bottom">
    <TD width="89%">&nbsp;</TD>	<!-- colindex=01 type=maindata -->
    <TD width="3%">&nbsp;</TD>	<!-- colindex=02 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=02 type=lead -->
    <TD width="6%" align="right">&nbsp;</TD>	<!-- colindex=02 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=02 type=hang1 -->
</TR>
<!-- Table Width Row END -->
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD colspan="4" align="center" valign="bottom" style="border-bottom: 1px solid #000000">
    <B>Management Fee Schedule</B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="left" valign="bottom">
    <B>Average Daily Net Assets</B>
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Rate</B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 1pt" valign="bottom" align="center">
<TD colspan="4" align="center" valign="bottom" style="font-size: 1pt; border-bottom: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="line-height: 3pt; font-size: 1pt">
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Up to $125&#160;million
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.4500
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    $125 to $250&#160;million
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.4375
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    $250 to $500&#160;million
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.4250
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    $500&#160;million to $1&#160;billion
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.4125
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    $1&#160;billion to $2&#160;billion
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.4000
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    $2&#160;billion to $5&#160;billion
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.3875
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    $5&#160;billion and over
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.3750
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD colspan="5" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD colspan="5" style="border-top: 1px solid #000000">
&nbsp;
</TD>
</TR>
</TABLE>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The management fee compensates NAM for overall investment
    advisory and administrative services and general office
    facilities. Each Fund pays all of its other costs and expenses
    of its operations, including compensation of its trustees (other
    than those affiliated with NAM), custodian, transfer agency and
    dividend disbursing expenses, legal fees, expenses of
</DIV>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <BR>
    70
</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    independent auditors, expenses of repurchasing shares, expenses
    of issuing any MuniPreferred shares, expenses of preparing,
    printing and distributing shareholder reports, notices, proxy
    statements and reports to governmental agencies, and taxes, if
    any.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Each Fund also pays a complex-level fee to NAM, which is payable
    monthly and is in addition to the fund-level fee. The
    complex-level fee is based on the aggregate daily amount of
    total Managed Assets for all Nuveen sponsored funds in the U.S.,
    as stated in the table below. As of December&#160;31, 2008, the
    complex-level fee rate was 0.20%.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The complex-level fee rate is as follows:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE border="0" width="100%" align="center" cellpadding="0" cellspacing="0" style="font-size: 9pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
<!-- Table Width Row BEGIN -->
<TR style="font-size: 1pt" valign="bottom">
    <TD width="77%">&nbsp;</TD>	<!-- colindex=01 type=maindata -->
    <TD width="3%">&nbsp;</TD>	<!-- colindex=02 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=02 type=lead -->
    <TD width="18%" align="right">&nbsp;</TD>	<!-- colindex=02 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=02 type=hang1 -->
</TR>
<!-- Table Width Row END -->
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD colspan="4" align="center" valign="bottom" style="border-bottom: 1px solid #000000">
    <B>Complex-Level Fee Rates</B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Effective Rate at<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="left" valign="bottom">
    <B>Complex-Level Asset Breakpoint
    Level<SUP style="font-size: 85%; vertical-align: top">(1)</SUP></B>

</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Breakpoint Level</B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 1pt" valign="bottom" align="center">
<TD colspan="4" align="right" valign="bottom" style="font-size: 1pt; border-bottom: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="line-height: 3pt; font-size: 1pt">
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    $55&#160;billion
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.2000
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    $56&#160;billion
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.1996
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    $57&#160;billion
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.1989
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    $60&#160;billion
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.1961
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    $63&#160;billion
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.1931
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    $66&#160;billion
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.1900
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    $71&#160;billion
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.1851
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    $76&#160;billion
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.1806
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    $80&#160;billion
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.1773
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    $91&#160;billion
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.1691
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    $125&#160;billion
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.1599
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    $200&#160;billion
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.1505
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    $250&#160;billion
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.1469
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    $300&#160;billion
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.1445
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD colspan="5" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD colspan="5" style="border-top: 1px solid #000000">
&nbsp;
</TD>
</TR>
</TABLE>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

</DIV>

<DIV style="margin-top: 3pt; font-size: 1pt">&nbsp;</DIV>



<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

<TR>
    <TD width="2%"></TD>
    <TD width="1%"></TD>
    <TD width="97%"></TD>
</TR>

<TR>
    <TD align="right" valign="top">
    <FONT style="font-size: 8pt">(1)
    </FONT></TD>
    <TD></TD>
    <TD valign="bottom">
    <FONT style="font-size: 8pt">The complex-level fee component of
    the management fee for the funds is calculated based upon the
    aggregate Managed Assets (&#147;Managed Assets&#148; 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. Complex
    Managed Assets were approximately $53.6&#160;billion as of
    December&#160;31, 2008.
    </FONT></TD>
</TR>

</TABLE>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Acquiring Fund paid aggregate management fees of $2,527,989
    for the fiscal year ended October&#160;31, 2008, for an
    effective management fee rate of 0.96% based on net assets
    applicable to common shares (0.62% based on managed assets). The
    Acquired Fund paid aggregate management fees of $534,685 for the
    fiscal year ended April&#160;30, 2008, for an effective
    management fee rate of 0.97% based on net assets applicable to
    common shares (0.63% based on managed assets). A discussion of
    each Board&#146;s basis for approving the Investment Advisory
    Agreement with respect to a Fund, is available in the
    Fund&#146;s annual report to shareholders each year.
</DIV>
<A name='136'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Portfolio
    Management</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    NAM is responsible for execution of specific investment
    strategies and day-to-day investment operations. NAM manages the
    Funds using a team of analysts and portfolio managers that focus
    on a specific group of funds. Paul Brennan is the portfolio
    manager of the Acquiring Fund
</DIV>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <BR>
    71
</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    and Daniel Close is the portfolio manager of the Acquired Fund.
    Each provide daily oversight for, and execution of, the
    respective Fund&#146;s investment activities.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Paul Brennan, CFA, CPA manages several national open- and
    closed-end funds. Mr.&#160;Brennan began his career in the
    investment business in 1991 when he was a municipal credit
    analyst, then became a portfolio manager in 1994. He joined
    Nuveen Investments in 1997 while at Flagship Financial which
    Nuveen acquired. He earned his BS in Accountancy and Finance
    from Wright State University. He is a CPA, has earned the
    Chartered Financial Analyst designation, and currently sits on
    the Nuveen Asset Management Investment Committee. Prior to
    joining Flagship, Paul was employed at Deloitte&#160;&#038;
    Touche within the audit group which participated in auditing
    mutual funds and investment advisors.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Daniel J. Close, CFA joined Nuveen Investments in 2000 as a
    member of Nuveen&#146;s product management and development team,
    where he was responsible for the oversight and development of
    Nuveen&#146;s mutual fund product line. He then served as a
    research analyst for Nuveen&#146;s municipal investing team,
    covering corporate-backed, energy, transportation and utility
    credits. He received his BS in Business from Miami University
    and his MBA from Northwestern University&#146;s Kellogg School
    of Management.
</DIV>
<A name='135'>
<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">ADDITIONAL
    INFORMATION ABOUT THE FUNDS</FONT></B>
</DIV>
</A>
<A name='135'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">General
    History</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The following table sets forth the number of outstanding common
    shares and shares of MuniPreferred and certain other share
    information, of each Fund as
    of&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE border="0" width="100%" align="center" cellpadding="0" cellspacing="0" style="font-size: 9pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
<!-- Table Width Row BEGIN -->
<TR style="font-size: 1pt" valign="bottom">
    <TD width="33%">&nbsp;</TD>	<!-- colindex=01 type=maindata -->
    <TD width="2%">&nbsp;</TD>	<!-- colindex=02 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=02 type=lead -->
    <TD width="16%" align="right">&nbsp;</TD>	<!-- colindex=02 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=02 type=hang1 -->
    <TD width="4%">&nbsp;</TD>	<!-- colindex=03 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=03 type=lead -->
    <TD width="18%" align="right">&nbsp;</TD>	<!-- colindex=03 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=03 type=hang1 -->
    <TD width="4%">&nbsp;</TD>	<!-- colindex=04 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=04 type=lead -->
    <TD width="17%" align="right">&nbsp;</TD>	<!-- colindex=04 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=04 type=hang1 -->
</TR>
<!-- Table Width Row END -->
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>(4)<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>(3)<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Amount Outstanding<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="left" valign="bottom">
    <B>(1)<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>(2)<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Amount Held by Fund<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Exclusive of Amount<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="left" valign="bottom">
    <B>Title of Class</B>
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Amount Authorized</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>for its Own Account</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Shown Under(3)</B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 1pt" valign="bottom" align="center">
<TD colspan="12" align="right" valign="bottom" style="font-size: 1pt; border-bottom: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="line-height: 3pt; font-size: 1pt">
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Acquiring Fund
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Common shares
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Preferred shares
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Acquired Fund
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Common shares
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    Preferred shares
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD colspan="13" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD colspan="13" style="border-top: 1px solid #000000">
&nbsp;
</TD>
</TR>
</TABLE>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Acquiring Fund common shares are listed and trade on the
    NYSE Alternext under the symbol NEA. The Acquired Fund common
    shares are listed and trade on the NYSE Alternext under the
    symbol NWF.
</DIV>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <BR>
    72
</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The following table sets forth the high and low sales prices for
    each Fund&#146;s common shares as reported on the consolidated
    transaction reporting system for the periods indicated.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE border="0" width="100%" align="center" cellpadding="0" cellspacing="0" style="font-size: 9pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
<!-- Table Width Row BEGIN -->
<TR style="font-size: 1pt" valign="bottom">
    <TD width="39%">&nbsp;</TD>	<!-- colindex=01 type=maindata -->
    <TD width="5%">&nbsp;</TD>	<!-- colindex=02 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=02 type=lead -->
    <TD width="3%" align="right">&nbsp;</TD>	<!-- colindex=02 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=02 type=hang1 -->
    <TD width="5%">&nbsp;</TD>	<!-- colindex=03 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=03 type=lead -->
    <TD width="3%" align="right">&nbsp;</TD>	<!-- colindex=03 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=03 type=hang1 -->
    <TD width="5%">&nbsp;</TD>	<!-- colindex=04 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=04 type=lead -->
    <TD width="3%" align="right">&nbsp;</TD>	<!-- colindex=04 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=04 type=hang1 -->
    <TD width="6%">&nbsp;</TD>	<!-- colindex=05 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=05 type=lead -->
    <TD width="3%" align="right">&nbsp;</TD>	<!-- colindex=05 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=05 type=hang1 -->
    <TD width="5%">&nbsp;</TD>	<!-- colindex=06 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=06 type=lead -->
    <TD width="3%" align="right">&nbsp;</TD>	<!-- colindex=06 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=06 type=hang1 -->
    <TD width="5%">&nbsp;</TD>	<!-- colindex=07 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=07 type=lead -->
    <TD width="3%" align="right">&nbsp;</TD>	<!-- colindex=07 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=07 type=hang1 -->
</TR>
<!-- Table Width Row END -->
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="22" nowrap align="center" valign="bottom" style="border-bottom: 1px solid #000000">
    <B>Acquiring Fund</B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="6" nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="6" nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="6" nowrap align="right" valign="bottom">
    <B>Premium/<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="6" nowrap align="right" valign="bottom" style="border-bottom: 1px solid #000000">
    <B>Market Price</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="6" nowrap align="right" valign="bottom" style="border-bottom: 1px solid #000000">
    <B>Net Asset Value</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="6" nowrap align="right" valign="bottom" style="border-bottom: 1px solid #000000">
    <B>Discount</B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="left" valign="bottom">
    <B>Quarter Ended</B>
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>High</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Low</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>High</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Low</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>High</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Low</B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 1pt" valign="bottom" align="center">
<TD colspan="24" nowrap align="right" valign="bottom" style="font-size: 1pt; border-bottom: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="line-height: 3pt; font-size: 1pt">
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    January 2009
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    12.10
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    8.75
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    13.54
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    11.13
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#150;0.07
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#150;0.21
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    October 2008
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    13.67
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    8.18
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    14.39
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    11.13
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#150;0.04
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#150;0.31
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    July 2008
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    14.50
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    12.82
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    14.60
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    13.91
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.00
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#150;0.11
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    April 2008
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    15.17
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    13.40
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    14.92
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    13.59
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.04
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#150;0.06
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    January 2008
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    15.00
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    13.24
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    15.09
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    14.48
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.01
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#150;0.10
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    October 2007
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    15.04
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    13.49
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    14.84
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    14.20
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.04
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#150;0.06
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    July 2007
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    15.09
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    14.33
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    14.91
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    14.37
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.03
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#150;0.02
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    April 2007
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    15.78
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    14.45
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    15.07
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    14.76
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.06
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#150;0.03
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    January 2007
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    15.05
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    14.28
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    15.12
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    14.77
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.00
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#150;0.05
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD colspan="25" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD colspan="25" style="border-top: 1px solid #000000">
&nbsp;
</TD>
</TR>
</TABLE>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<TABLE border="0" width="100%" align="center" cellpadding="0" cellspacing="0" style="font-size: 9pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
<!-- Table Width Row BEGIN -->
<TR style="font-size: 1pt" valign="bottom">
    <TD width="39%">&nbsp;</TD>	<!-- colindex=01 type=maindata -->
    <TD width="5%">&nbsp;</TD>	<!-- colindex=02 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=02 type=lead -->
    <TD width="3%" align="right">&nbsp;</TD>	<!-- colindex=02 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=02 type=hang1 -->
    <TD width="5%">&nbsp;</TD>	<!-- colindex=03 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=03 type=lead -->
    <TD width="3%" align="right">&nbsp;</TD>	<!-- colindex=03 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=03 type=hang1 -->
    <TD width="5%">&nbsp;</TD>	<!-- colindex=04 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=04 type=lead -->
    <TD width="3%" align="right">&nbsp;</TD>	<!-- colindex=04 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=04 type=hang1 -->
    <TD width="6%">&nbsp;</TD>	<!-- colindex=05 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=05 type=lead -->
    <TD width="3%" align="right">&nbsp;</TD>	<!-- colindex=05 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=05 type=hang1 -->
    <TD width="5%">&nbsp;</TD>	<!-- colindex=06 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=06 type=lead -->
    <TD width="3%" align="right">&nbsp;</TD>	<!-- colindex=06 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=06 type=hang1 -->
    <TD width="5%">&nbsp;</TD>	<!-- colindex=07 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=07 type=lead -->
    <TD width="3%" align="right">&nbsp;</TD>	<!-- colindex=07 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=07 type=hang1 -->
</TR>
<!-- Table Width Row END -->
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="22" nowrap align="center" valign="bottom" style="border-bottom: 1px solid #000000">
    <B>Acquired Fund</B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="6" nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="6" nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="6" nowrap align="right" valign="bottom">
    <B>Premium/<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="6" nowrap align="right" valign="bottom" style="border-bottom: 1px solid #000000">
    <B>Market Price</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="6" nowrap align="right" valign="bottom" style="border-bottom: 1px solid #000000">
    <B>Net Asset Value</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="6" nowrap align="right" valign="bottom" style="border-bottom: 1px solid #000000">
    <B>Discount</B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="left" valign="bottom">
    <B>Quarter Ended</B>
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>High</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Low</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>High</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Low</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>High</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Low</B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 1pt" valign="bottom" align="center">
<TD colspan="24" nowrap align="right" valign="bottom" style="font-size: 1pt; border-bottom: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="line-height: 3pt; font-size: 1pt">
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    January 2009
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    11.36
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    8.20
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    13.80
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    11.90
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#150;0.15
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#150;0.31
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    October 2008
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    12.13
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    8.10
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    14.08
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    11.53
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#150;0.12
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#150;0.35
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    July 2008
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    12.86
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    11.97
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    14.30
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    13.68
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#150;0.09
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#150;0.15
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    April 2008
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    13.20
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    12.14
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    14.61
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    13.42
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#150;0.08
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#150;0.13
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    January 2008
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    13.31
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    12.21
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    14.75
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    14.05
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#150;0.09
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#150;0.15
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    October 2007
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    13.55
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    12.76
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    14.41
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    13.79
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#150;0.05
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#150;0.11
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    July 2007
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    13.78
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    13.13
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    14.59
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    14.02
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#150;0.03
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#150;0.07
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    April 2007
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    14.45
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    13.49
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    14.73
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    14.44
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#150;0.02
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#150;0.08
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -9pt; margin-left: 9pt">
    January 2007
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    13.58
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    13.31
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    14.82
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    14.46
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#150;0.07
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#150;0.10
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD colspan="25" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD colspan="25" style="border-top: 1px solid #000000">
&nbsp;
</TD>
</TR>
</TABLE>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    On [latest date
    practical]&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    the closing sale prices of the Acquiring Fund and Acquired Fund
    common shares were $&#160;&#160;&#160;&#160;&#160; and
    $&#160;&#160;&#160;&#160;&#160;, respectively. These prices
    represent a discount to net asset value of the Acquiring Fund
    of&#160;&#160;&#160;&#160;&#160;% and a discount to net asset
    value of the Acquired Fund of&#160;&#160;&#160;&#160;&#160;%.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Common shares of each Fund have generally traded at prices close
    to net asset value, with varying premiums or discounts to net
    asset value being reflected in the market value of the common
    shares from time to time. Prices for Acquiring Fund common
    shares have fluctuated between a maximum premium
    of&#160;&#160;&#160;&#160;&#160;% and a maximum discount
    of&#160;&#160;&#160;&#160;&#160;% and for the Acquired Fund have
    fluctuated between a maximum premium
    of&#160;&#160;&#160;&#160;&#160;% and a maximum discount
    of&#160;&#160;&#160;&#160;&#160;%. It is not possible to state
    whether Acquiring Fund common shares will trade at a premium or
    discount to net asset value following the Reorganization, or
    what the extent of any such premium or discount might be.
</DIV>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <BR>
    73
</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->
<A name='139'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Shareholders
    of the Acquiring Fund and the Acquired Fund</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    As
    of&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    2009, the trustees and officers of the Acquiring Fund as a group
    owned [less than 1% of the total outstanding shares common
    shares and less than 1% of the total outstanding MuniPreferred
    shares of the Acquiring Fund] [&#160;&#160;&#160;&#160;&#160;%
    and&#160;&#160;&#160;&#160;&#160;% of the common shares and
    MuniPreferred shares of the Acquiring Fund, respectively]. The
    following table sets forth the percentage of each person who, as
    of&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    2009, owns of record, or is known by the Acquiring Fund to own
    of record or beneficially, 5% or more of common shares or
    MuniPreferred shares of the Acquiring Fund.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE border="0" width="100%" align="center" cellpadding="0" cellspacing="0" style="font-size: 9pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
<!-- Table Width Row BEGIN -->
<TR style="font-size: 1pt" valign="bottom">
    <TD width="63%">&nbsp;</TD>	<!-- colindex=01 type=maindata -->
    <TD width="2%">&nbsp;</TD>	<!-- colindex=02 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=02 type=lead -->
    <TD width="16%" align="right">&nbsp;</TD>	<!-- colindex=02 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=02 type=hang1 -->
    <TD width="4%">&nbsp;</TD>	<!-- colindex=03 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=03 type=lead -->
    <TD width="11%" align="right">&nbsp;</TD>	<!-- colindex=03 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=03 type=hang1 -->
</TR>
<!-- Table Width Row END -->
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Name and Address<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Percentage of<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="left" valign="bottom">
    <B>Class</B>
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>of Owner</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Ownership</B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 1pt" valign="bottom" align="center">
<TD colspan="8" align="right" valign="bottom" style="font-size: 1pt; border-bottom: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="line-height: 3pt; font-size: 1pt">
<TD>&nbsp;
</TD>
</TR>
</TABLE>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    As
    of&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    2009, the trustees and officers of the Acquired Fund as a group
    owned [less than 1% of the total outstanding shares common
    shares and less than 1% of the total outstanding shares of
    MuniPreferred shares of the Acquired Fund]
    [&#160;&#160;&#160;&#160;&#160;%
    and&#160;&#160;&#160;&#160;&#160;% of the common shares and
    MuniPreferred shares of the Acquired Fund, respectively]. The
    following table sets forth the percentage of each person who, as
    of&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    2009, owns of record, or is known by the Acquired Fund to own of
    record or beneficially, 5% or more of common shares or
    MuniPreferred shares of the Acquired Fund. The table also sets
    forth the pro forma percentages of the Acquiring Fund common
    shares and MuniPreferred shares that would have been owned by
    such parties if the Reorganization had occurred
    on&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    200&#160;. These amounts may differ on the [closing date].
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE border="0" width="100%" align="center" cellpadding="0" cellspacing="0" style="font-size: 9pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
<!-- Table Width Row BEGIN -->
<TR style="font-size: 1pt" valign="bottom">
    <TD width="46%">&nbsp;</TD>	<!-- colindex=01 type=maindata -->
    <TD width="2%">&nbsp;</TD>	<!-- colindex=02 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=02 type=lead -->
    <TD width="8%" align="right">&nbsp;</TD>	<!-- colindex=02 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=02 type=hang1 -->
    <TD width="4%">&nbsp;</TD>	<!-- colindex=03 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=03 type=lead -->
    <TD width="15%" align="right">&nbsp;</TD>	<!-- colindex=03 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=03 type=hang1 -->
    <TD width="4%">&nbsp;</TD>	<!-- colindex=04 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=04 type=lead -->
    <TD width="15%" align="right">&nbsp;</TD>	<!-- colindex=04 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=04 type=hang1 -->
</TR>
<!-- Table Width Row END -->
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Estimated<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Pro Forma<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Ownership of<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Percentage of<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Each Class of<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Name and<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Ownership of<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>the Acquiring<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Address of<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Each Class of the<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Fund Shares After<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom" align="center">
<TD nowrap align="left" valign="bottom">
    <B>Class</B>
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Owner</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Acquired Fund</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="right" valign="bottom">
    <B>Reorganization</B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 1pt" valign="bottom" align="center">
<TD colspan="12" align="right" valign="bottom" style="font-size: 1pt; border-bottom: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="line-height: 3pt; font-size: 1pt">
<TD>&nbsp;
</TD>
</TR>
</TABLE>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

</DIV>
<A name='140'>
<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Repurchase
    of Common Shares; Conversion to Open-End Fund</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Each Fund is a closed-end management investment company and as
    such its shareholders will not have the right to cause the Fund
    to redeem their shares. Instead, the common shares of each Fund
    trade in the open market at a price that is a function of
    several factors, including dividend levels (which are in turn
    affected by expenses), net asset value, call protection,
    dividend stability, portfolio credit quality, relative demand
    for and supply of such shares in the market, general market and
    economic conditions and other factors. Because shares of
    closed-end management investment companies may frequently trade
    at prices lower than net asset value, each Fund&#146;s Board has
    currently determined that, at least annually, it will consider
    action that might be taken to reduce or eliminate any material
    discount from net asset value in respect of common shares, which
    may include the repurchase of such shares in the open market or
    in private transactions, the making of a tender offer for such
    shares at net asset value, or the conversion of the Fund to an
    open-end investment company. Neither Fund can assure you that
    its Board will decide to take any of these actions, or that
    share repurchases or tender offers will actually reduce market
    discount.
</DIV>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <BR>
    74
</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    If a Fund converted to an open-end investment company, it would
    be required to redeem all MuniPreferred shares then outstanding
    (requiring in turn that it liquidate a portion of its investment
    portfolio), and the common shares would no longer be listed on
    the NYSE Alternext. In contrast to a closed-end management
    investment company, shareholders of an open-end management
    investment company may require the company to redeem their
    shares at any time (except in certain circumstances as
    authorized by or under the 1940 Act) at their net asset value,
    less any redemption charge that is in effect at the time of
    redemption. See the Reorganization SAI under &#147;Certain
    Provisions in the Declaration of Trust&#148; for a discussion of
    the voting requirements applicable to the conversion of a Fund
    to an open-end management investment company.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Before deciding whether to take any action if the common shares
    trade below net asset value, the Board would consider all
    relevant factors, including the extent and duration of the
    discount, the liquidity of a Fund&#146;s portfolio, the impact
    of any action that might be taken on the Fund or its
    shareholders, and market considerations. Based on these
    considerations, even if a Fund&#146;s shares should trade at a
    discount, the Board may determine that, in the interest of the
    Fund, no action should be taken. See the Reorganization SAI
    under &#147;Repurchase of Common Shares; Conversion to Open-End
    Fund&#148; for a further discussion of possible action to reduce
    or eliminate such discount to net asset value.
</DIV>
<A name='141'>
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<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Custodian,
    Transfer Agent, Dividend Disbursing Agent and
    Redemption&#160;Agent</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The custodian of the assets of and transfer, shareholder
    services and dividend paying agent for the Funds is [State
    Street Bank Corp., 225 Franklin Street, Boston, Massachusetts
    02110]. The custodian performs custodial, fund accounting and
    portfolio accounting services. [Deutsche Bank Trust&#160;Company
    Americas, 100 Plaza One, 6th&#160;Floor, Jersey City, NJ 07311,
    a banking corporation organized under the laws of New York], is
    the Auction Agent with respect to shares of MuniPreferred and
    acts as transfer agent, registrar, dividend disbursing agent and
    redemption agent with respect to such shares.
</DIV>
<A name='142'>
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<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">Federal
    Income Tax Matters Associated with Investment in the
    Funds</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The following information is meant as a general summary for
    U.S.&#160;shareholders. Please see the Reorganization SAI for
    additional information. Investors should rely on their own tax
    adviser for advice about the particular federal, state and local
    tax consequences to them of investing in the Funds. The Funds
    intend to elect to be treated and to qualify each year as a
    regulated investment company (&#147;RIC&#148;) under Subchapter
    M of the Code. In order to qualify as a RIC, each Fund must
    satisfy certain requirements regarding the sources of its
    income, the diversification of its assets and the distribution
    of its income. As a RIC, each Fund is not expected to be subject
    to federal income tax. The Acquiring Fund primarily invests in
    municipal securities issued by states, cities and local
    authorities and certain possessions and territories of the
    United States (such as Puerto Rico or Guam) or municipal
    securities whose income is otherwise exempt from regular federal
    income taxes. The Acquired Fund primarily invests in municipal
    securities issued by Florida, its cities and local authorities.
    Thus, substantially all of a Fund&#146;s dividends paid to you
    should qualify as &#147;exempt-interest dividends.&#148; A
    shareholder treats an exempt-interest dividend as interest on
    state and local bonds exempt from regular federal income tax.
    Federal income tax law imposes an alternative minimum tax with
    respect to corporations, individuals,
</DIV>

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    <BR>
    75
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<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    trust and estates. Interest on certain municipal obligations,
    such as certain private activity bonds is included as an item of
    tax preference in determining the amount of a taxpayer&#146;s
    alternative minimum taxable income. To the extent that a Fund
    receives income from such municipal obligations, a portion of
    the dividends paid by the Fund, although exempt from regular
    federal income tax, will be taxable to shareholders to the
    extent that their tax liability is determined under the federal
    alternative minimum tax. Each Fund will annually provide a
    report indicating the percentage of the Fund&#146;s income
    attributable to municipal obligations subject to the federal
    alternative minimum tax. Corporations are subject to special
    rules in calculating their federal alternative minimum taxable
    income with respect to interest from such municipal obligations.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    In addition to exempt-interest dividends, a Fund may also
    distribute to its shareholders amounts that are treated as
    long-term capital gain or ordinary income (which may include
    short-term capital gains). These distributions may be subject to
    federal, state and local taxation, depending on a
    shareholder&#146;s situation. If so, they are taxable whether or
    not such distributions are reinvested. Capital gain
    distributions are generally taxable at rates applicable to
    long-term capital gains regardless of how long a shareholder has
    held its shares. Long-term capital gains are currently taxable
    at a maximum rate of 15%. Absent further legislation, the
    maximum 15% rate on long-term capital gains will cease to apply
    to taxable years beginning after December&#160;31, 2010. Each
    Fund does not expect that any part of its distributions to
    shareholders from its investments will qualify for the
    dividends-received deduction available to corporate shareholders
    or as &#147;qualified dividend income&#148; available to
    noncorporate shareholders.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    As a regulated investment company, each Fund will not be subject
    to federal income tax in any taxable year provided that it meets
    certain distribution requirements. Each Fund may retain for
    investment some (or all) of its net capital gain. If a Fund
    retains any net capital gain or investment company taxable
    income, it will be subject to tax at regular corporate rates on
    the amount retained. If a Fund retains any net capital gain, it
    may designate the retained amount as undistributed capital gains
    in a notice to its shareholders who, if subject to federal
    income tax on long-term capital gains, (i)&#160;will be required
    to include in income for federal income tax purposes, as
    long-term capital gain, their share of such undistributed
    amount; (ii)&#160;will be entitled to credit their proportionate
    shares of the tax paid by the Fund on such undistributed amount
    against their federal income tax liabilities, if any; and
    (iii)&#160;to claim refunds to the extent the credit exceeds
    such liabilities. For federal income tax purposes, the tax basis
    of shares owned by a shareholder of the Fund will be increased
    by an amount equal to the difference between the amount of
    undistributed capital gains included in the shareholder&#146;s
    gross income and the tax deemed paid by the shareholder under
    clause&#160;(ii) of the preceding sentence.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Dividends declared by a Fund in October, November or December
    and paid during the following January may be treated as having
    been received by shareholders in the year the distributions were
    declared.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Each shareholder will receive an annual statement summarizing
    the shareholder&#146;s dividend and capital gains distributions.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The redemption, sale or exchange of common shares normally will
    result in capital gain or loss to holders of common shares who
    hold their shares as capital assets. Generally a
    shareholder&#146;s gain or loss will be long-term capital gain
    or loss if the shares have been held for more than one year even
    though the increase in value in such common shares is
    attributable to tax-exempt interest income. Present law taxes
    both long-term and short-term capital gains of corporations
</DIV>

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    <BR>
    76
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<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    at the same rates applicable to ordinary income. For
    non-corporate taxpayers, however, long-term capital gains are
    currently taxed at a maximum rate of 15%, while short-term
    capital gains and other ordinary income are currently taxes at
    ordinary income rates. As noted above, absent further
    legislation, the maximum rates applicable to long-term capital
    gains will cease to apply to taxable years beginning after
    December&#160;31, 2010. Any loss on the sale of common shares
    that have been held for six months or less will be disallowed to
    the extent of any distribution of exempt-interest dividends
    received with respect to such common shares. If a shareholder
    sells or otherwise disposes of common shares before holding them
    for six months, any loss on the sale or disposition will be
    treated as a long-term capital loss to the extent of any capital
    gain dividends received by the common shareholder. Any loss
    realized on a sale or exchange of shares of a Fund will be
    disallowed to the extent those shares of the Fund are replaced
    by other substantially identical shares of the Fund within a
    period of 61&#160;days beginning 30&#160;days before and ending
    30&#160;days after the date of disposition of the original
    shares. In that event, the basis of the replacement shares of
    the Fund will be adjusted to reflect the disallowed loss.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Any interest on indebtedness incurred or continued to purchase
    or carry a Fund&#146;s shares to which exempt interest dividends
    are allocated is not deductible. Under certain applicable rules,
    the purchase or ownership of shares may be considered to have
    been made with borrowed funds even though such funds are not
    directly used for the purchase or ownership of the shares. In
    addition, if you receive social security or certain railroad
    retirement benefits, you may be subject to U.S.&#160;federal
    income tax on a portion of such benefits as a result of
    receiving investment income, including exempt-interest dividends
    and other distributions paid by a Fund.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    As with all investment companies, each Fund may be required to
    withhold U.S.&#160;federal income tax at the current rate of 28%
    of all taxable distributions payable to a shareholder if the
    shareholder fails to provide the Fund with his or her correct
    taxpayer identification number or to make required
    certifications, or if the shareholder has been notified by the
    IRS that he or she is subject to backup withholding. Backup
    withholding is not an additional tax; rather, it is a way in
    which the IRS ensures it will collect taxes otherwise due. Any
    amounts withheld may be credited against a shareholder&#146;s
    U.S.&#160;federal income tax liability.
</DIV>
<A name='143'>
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<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">NET ASSET
    VALUE</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Each Fund&#146;s net asset value per share is determined as of
    the close of regular session trading (normally 4:00&#160;p.m.
    eastern time) on each day the New York Stock Exchange is open
    for business. Net asset value is calculated by taking the market
    value of a Fund&#146;s total assets, including interest or
    dividends accrued but not yet collected, less all liabilities,
    and dividing by the total number of shares outstanding. The
    result, rounded to the nearest cent, is the net asset value per
    share. All valuations are subject to review by such Fund&#146;s
    Board or its delegate.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    In determining net asset value, expenses are accrued and applied
    daily and securities and other assets for which market
    quotations are available are valued at market value. The prices
    of municipal bonds are provided by a pricing service approved by
    such Fund&#146;s Board. When market price quotes are not readily
    available (which is usually the case for municipal securities),
    the pricing service, or, in the absence of a pricing service for
    a particular security, the Board of such Fund, or its designee,
    may establish fair market value using a wide variety of market
    data including yields or prices of municipal bonds of comparable
    quality, type of issue, coupon, maturity and rating, market
    quotes or indications of value from securities dealers,
    evaluations of anticipated cash flows or collateral, general
    market conditions and other information and
</DIV>

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    <BR>
    77
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<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    analysis, including the obligor&#146;s credit characteristics
    considered relevant by the pricing service or the Board&#146;s
    designee. Exchange-listed securities are generally valued at the
    last sales price on the securities exchange on which such
    securities are primarily traded. Securities traded on a
    securities exchange for which there are no transactions on a
    given day or securities not listed on a securities exchange are
    valued at the mean of the closing bid and asked prices.
    Securities traded on Nasdaq are valued at the Nasdaq Official
    Closing Price. 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. See &#147;Net Asset Value&#148; in the SAI for
    more information.
</DIV>
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<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">LEGAL
    OPINIONS</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Certain legal matters in connection with the common shares and
    shares of MuniPreferred of the Acquiring Fund to be issued
    pursuant to the Reorganization will be passed upon by Vedder
    Price P.C., Chicago, Illinois. [Vedder Price P.C. will rely as
    to certain matters of Massachusetts law on the opinion
    of&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    LLP, Boston, Massachusetts.]
</DIV>
<A name='145'>
<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">EXPERTS</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The financial highlights of the Acquiring Fund and the Acquired
    Fund as of October&#160;31, 2008 and as of April&#160;30, 2008,
    respectively, attached to this Proxy Statement/Prospectus as
    Appendix&#160;B, and the financial statements of the Acquiring
    Fund and the Acquired Fund as of October&#160;31, 2008 and as of
    April&#160;30, 2008, respectively, appearing in the
    Reorganization SAI, have been audited
    by&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    LLP, independent auditors, as set forth in their reports thereon
    appearing elsewhere herein, and are included in reliance upon
    such reports given upon the authority of such firm as experts in
    accounting and
    auditing.&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    LLP audits and reports on the Funds&#146; annual financial
    statements, reviews certain regulatory reports and the
    Funds&#146; federal income tax returns, and performs other
    professional accounting, auditing, tax and advisory services
    when engaged to do so by the Funds.
</DIV>
<A name='146'>
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<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">SHAREHOLDER
    PROPOSALS</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    To be considered for presentation at the annual meeting of
    shareholders of the Acquiring Fund to be held in 2009,
    shareholder proposals submitted pursuant to
    <FONT style="white-space: nowrap">Rule&#160;14a-8</FONT>
    under the 1934&#160;Act must have been received at the offices
    of the Fund, 333&#160;West Wacker Drive, Chicago, Illinois
    60606, not later than January&#160;19, 2009. A shareholder
    wishing to provide notice in the manner prescribed by
    <FONT style="white-space: nowrap">Rule&#160;14a-4(c)(1)</FONT>
    of a proposal submitted outside of the process of
    <FONT style="white-space: nowrap">Rule&#160;14a-8</FONT>
    for the annual meeting must, pursuant to the Acquiring
    Fund&#146;s By-Laws, submit such written notice to the Acquiring
    Fund not later than April&#160;4, 2009 or prior to
    March&#160;20, 2009. Timely submission of a proposal does not
    mean that such proposal will be included in a proxy statement.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    If all proposals are approved and the Reorganization is
    consummated, the Acquired Fund will cease to exist and will not
    hold its 2009 Annual Meeting. If the Reorganization is not
    approved or is not consummated, the Acquired Fund will hold its
    2009 annual meeting of shareholders, expected to be held in
    November 2009. Based upon last year&#146;s proxy statement for
    the Acquired Fund, a shareholder proposal submitted pursuant to
    <FONT style="white-space: nowrap">Rule&#160;14a-8</FONT>
    under the 1934&#160;Act must be received at the offices of the
    Fund, 333&#160;West Wacker Drive, Chicago, Illinois 60606, not
    later than June&#160;8, 2009. A shareholder wishing to provide
    notice in the manner prescribed by
</DIV>

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    <BR>
    78
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<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <FONT style="white-space: nowrap">Rule&#160;14a-4(c)(1)</FONT>
    of a proposal submitted outside of the process of
    <FONT style="white-space: nowrap">Rule&#160;14a-8</FONT>
    must, pursuant to the Acquired Fund&#146;s By-Laws, submit such
    written notice to the Acquired Fund not later than
    August&#160;21, 2009 or prior to August&#160;6, 2009. Timely
    submission of a proposal does not mean that such proposal will
    be included in a proxy statement.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The anticipated date of the next special shareholders&#146;
    meeting, if any, of either Fund cannot be provided. Shareholders
    wishing to submit proposals for inclusion in a proxy statement
    for a subsequent shareholders&#146; meeting of a Fund should
    send their written proposal to the Fund at 333&#160;West Wacker
    Drive, Chicago, Illinois 60606. Proposals must be received a
    reasonable time before a Fund begins to print and mail its proxy
    materials for the meeting.
</DIV>
<A name='147'>
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<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">GENERAL</FONT></B>
</DIV>
</A>
<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Management of the Funds does not intend to present and does not
    have reason to believe that others will present any items of
    business at the Special Meeting, except as described in this
    Proxy Statement/Prospectus. However, if other matters are
    properly presented at the meetings for a vote, the proxies will
    be voted upon such matters in accordance with the judgment of
    the persons acting under the proxies.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    A list of shareholders of each Fund entitled to be present and
    to vote at the Special Meeting will be available at the offices
    of the Funds, 333&#160;West Wacker Drive, Chicago, Illinois, for
    inspection by any shareholder of the Funds during regular
    business hours for ten days prior to the date of the Special
    Meeting.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Failure of a quorum of either Fund to be present at the Special
    Meeting will necessitate adjournment and will subject the Funds
    to additional expense. The persons named in the enclosed proxy
    may also move for an adjournment of the meeting to permit
    further solicitation of proxies with respect to any of the
    proposals if they determine that adjournment and further
    solicitation is reasonable and in the best interests of the
    shareholders. Under each Fund&#146;s By-Laws, an adjournment of
    a meeting requires the affirmative vote of a majority of the
    shares present in person or represented by proxy at such meeting.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <B>IF YOU CANNOT BE PRESENT AT THE MEETING, YOU ARE REQUESTED TO
    FILL IN, SIGN AND RETURN THE ENCLOSED PROXY PROMPTLY. NO POSTAGE
    IS REQUIRED IF MAILED IN THE UNITED STATES.</B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 49%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Kevin J. McCarthy
</DIV>

<DIV align="left" style="margin-left: 49%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Vice President and Secretary
</DIV>

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    <BR>
    79
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->
<DIV style="margin-top: 0pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">APPENDIX&#160;A<BR>
    </FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">AGREEMENT
    AND PLAN OF REORGANIZATION</FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    THIS AGREEMENT AND PLAN OF REORGANIZATION (the
    &#147;Agreement&#148;) is made as of
    this&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    th day
    of&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    2009 by Nuveen Insured Tax-Free Municipal Advantage Fund, a
    Massachusetts business trust (the &#147;Acquiring Fund&#148;),
    and Nuveen Insured Florida Tax-Free Municipal Advantage Fund, a
    Massachusetts business trust (the &#147;Acquired Fund&#148; and,
    together with the Acquiring Fund, the &#147;Funds&#148;).
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    This Agreement is intended to be, and is adopted as, a plan of
    reorganization within the meaning of Section&#160;368 of the
    United States Internal Revenue Code of 1986, as amended (the
    &#147;Code&#148;), and the Treasury Regulations promulgated
    thereunder. The reorganization will consist of: (i)&#160;the
    transfer of all the assets of the Acquired Fund to the Acquiring
    Fund in exchange solely for common shares, par value $0.01 per
    share, of the Acquiring Fund (&#147;Acquiring Fund&#160;Common
    Shares&#148;), Municipal Action Rate Cumulative Preferred
    (&#147;MuniPreferred&#148;) Shares, Series&#160;W2, par value
    $0.01 per share, of the Acquiring Fund (&#147;Acquiring
    Fund&#160;MuniPreferred Shares&#148; and, collectively with the
    Acquiring Fund&#160;Common Shares, &#147;Acquiring
    Fund&#160;Shares&#148;) and the assumption by the Acquiring Fund
    of all the liabilities of the Acquired Fund; and (ii)&#160;the
    pro rata distribution of all the Acquiring Fund&#160;Common
    Shares and Acquiring Fund&#160;MuniPreferred Shares,
    respectively, to the common and MuniPreferred shareholders of
    the Acquired Fund, respectively, as part of the termination,
    dissolution and complete liquidation of the Acquired Fund as
    provided herein, all upon the terms and conditions set forth in
    this Agreement (the &#147;Reorganization&#148;).
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    WHEREAS, each Fund is a closed-end, management investment
    company registered under the Investment Company Act of 1940, as
    amended (the &#147;1940 Act&#148;), and the Acquired Fund owns
    securities that generally are assets of the character in which
    the Acquiring Fund is permitted to invest;
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    WHEREAS, the Acquiring Fund is authorized to issue its shares of
    beneficial interests;&#160;and
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    WHEREAS, the Board of Trustees of the Acquiring Fund (the
    &#147;Acquiring Board&#148;) has determined that the
    Reorganization is in the best interests of the Acquiring Fund
    and that the interests of the existing shareholders of the
    Acquiring Fund will not be diluted as a result of the
    Reorganization, and the Board of Trustees of the Acquired Fund
    (the &#147;Acquired Board&#148;) has determined that the
    Reorganization is in the best interests of the Acquired Fund and
    that the interests of the existing shareholders of the Acquired
    Fund will not be diluted as a result of the Reorganization.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    NOW, THEREFORE, in consideration of the premises and of the
    covenants and agreements hereinafter set forth, the parties
    hereto covenant and agree as follows:
</DIV>

<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">ARTICLE&#160;I</FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <B>TRANSFER OF ASSETS OF THE ACQUIRED FUND&#160;IN EXCHANGE FOR
    ACQUIRING FUND&#160;SHARES AND THE ASSUMPTION OF THE ACQUIRED
    FUND&#160;LIABILITIES AND TERMINATION AND LIQUIDATION OF THE
    ACQUIRED FUND</B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    1.1&#160;THE EXCHANGE. Subject to the terms and conditions
    contained herein and on the basis of the representations and
    warranties contained herein, the Acquired Fund agrees to
    transfer all of its assets, as set forth in Section&#160;1.2, to
    the Acquiring Fund. In exchange, the Acquiring Fund agrees:
    (i)&#160;to issue and deliver to the Acquired Fund the number of
    Acquiring Fund&#160;Common
</DIV>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <BR>
    A-1
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->
<DIV style="margin-top: 0pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Shares, computed in the manner set forth in Section&#160;2.3
    and&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    Acquiring Fund&#160;MuniPreferred Shares; and (ii)&#160;to
    assume all the liabilities of the Acquired Fund, as set forth in
    Section&#160;1.3. The preferences, voting powers, restrictions,
    limitations as to dividends, qualifications and terms and
    conditions of redemption of the Acquiring
    Fund&#160;MuniPreferred Shares shall be identical in all
    material respects to those of the Acquiring Fund&#146;s existing
    series of MuniPreferred shares. Dividends on shares of Acquired
    Fund&#160;MuniPreferred shares, Series&#160;W, shall accumulate
    to and including the day before the Closing Date, as such term
    is defined in Section&#160;3.1, and then cease to accumulate,
    and dividends on shares of Acquiring Fund&#160;MuniPreferred
    Shares, issued pursuant to the Reorganization shall accumulate
    in respect of their &#147;Initial Rate Period&#148; from and
    including the Closing Date at the same rate borne on the day
    before the Closing Date by the Acquired Fund&#160;MuniPreferred
    shares, Series&#160;W. The &#147;Subsequent Rate Periods,&#148;
    &#147;Dividend Payment Dates&#148; in respect of such
    &#147;Subsequent Rate Periods&#148; and initial and subsequent
    &#147;Auctions&#148; for the shares of Acquiring
    Fund&#160;MuniPreferred Shares, issued pursuant to this
    paragraph&#160;1.1 shall be fixed to be identical to the
    dividend and auction provisions applicable to the outstanding
    Acquired Fund&#160;MuniPreferred shares, Series&#160;W, as of
    immediately prior to the Closing Date. The &#147;Initial Rate
    Period&#148; and &#147;Dividend Payment Rate&#148; in respect of
    such Initial Rate Period, for shares of Acquiring
    Fund&#160;MuniPreferred Shares, issued pursuant to the
    Reorganization, shall be as set forth in the Proxy
    Statement/Prospectus, as hereinafter defined. Such transactions
    shall take place at the closing provided for in Section&#160;3.1
    (the &#147;Closing&#148;).
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    1.2&#160;ASSETS TO BE TRANSFERRED. The Acquired Fund shall
    transfer all of its assets to the Acquiring Fund, including,
    without limitation, all cash, securities, commodities, interests
    in futures and dividends or interest receivables owned by the
    Acquired Fund and any deferred or prepaid expenses shown as an
    asset on the books of the Acquired Fund on the Closing Date.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The Acquired Fund will, within a reasonable period of time
    before the Closing Date, furnish the Acquiring Fund with a list
    of the Acquired Fund&#146;s portfolio securities and other
    investments. The Acquiring Fund will, within a reasonable period
    of time before the Closing Date, furnish the Acquired Fund with
    a list of the securities, if any, on the Acquired Fund&#146;s
    list referred to above that do not conform to the Acquiring
    Fund&#146;s investment objectives, policies, and restrictions.
    The Acquired Fund, if requested by the Acquiring Fund, will
    dispose of securities on the Acquiring Fund&#146;s list before
    the Closing Date. In addition, if it is determined that the
    portfolios of the Acquired Fund and the Acquiring Fund, when
    aggregated, would contain investments exceeding certain
    percentage limitations imposed upon the Acquiring Fund with
    respect to such investments, the Acquired Fund, if requested by
    the Acquiring Fund, will dispose of a sufficient amount of such
    investments as may be necessary to avoid violating such
    limitations as of the Closing Date. Notwithstanding the
    foregoing, nothing herein will require the Acquired Fund to
    dispose of any investments or securities if, in the reasonable
    judgment of the Acquired Fund&#160;Board or Nuveen Asset
    Management (the &#147;Adviser&#148;), such disposition would
    adversely affect the tax-free nature of the Reorganization for
    federal income tax purposes or would otherwise not be in the
    best interests of the Acquired Fund.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    1.3&#160;LIABILITIES TO BE ASSUMED. The Acquired Fund will
    endeavor to discharge all of its known liabilities and
    obligations to the extent possible before the Closing Date.
    Notwithstanding the foregoing, any liabilities not so discharged
    shall be assumed by the Acquiring Fund, which assumed
    liabilities shall include all of the Acquired Fund&#146;s
    liabilities, debts, obligations, and duties of whatever kind or
    nature, whether absolute, accrued, contingent, or
</DIV>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <BR>
    A-2
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->
<DIV style="margin-top: 0pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    otherwise, whether or not arising in the ordinary course of
    business, whether or not determinable at the Closing Date, and
    whether or not specifically referred to in this Agreement.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    1.4&#160;DECLARATION OF PREFERRED DIVIDENDS. At or prior to the
    Closing Date, the Acquired Fund (a)&#160;will declare all
    accumulated but unpaid dividends on the Acquired
    Fund&#160;MuniPreferred shares, Series&#160;W, up to and
    including the day before which the Closing Date occurs, such
    dividends to be paid to the holders thereof on the Dividend
    Payment Date in respect of the Initial Rate Period of Acquiring
    Fund&#160;MuniPreferred Shares, for which such Acquired
    Fund&#160;MuniPreferred shares, Series&#160;W, were exchanged.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    1.5&#160;LIQUIDATION AND DISTRIBUTION. On or as soon after the
    Closing Date as is conveniently practicable but in no event
    later than 12&#160;months after the Closing Date (the
    &#147;Liquidation Date&#148;): (a)&#160;the Acquired Fund will
    distribute in complete liquidation of the Acquired Fund, pro
    rata to its common shareholders of record, determined as of the
    close of business on the Valuation Date, as such term is defined
    in Section&#160;2.1 (the &#147;Acquired Fund&#160;Common
    Shareholders&#148;), all of the Acquiring Fund&#160;Common
    Shares received by the Acquired Fund pursuant to
    Section&#160;1.1 (together with any dividends declared with
    respect thereto to holders of record as of a time after the
    Valuation Date and prior to the Liquidation Date (&#147;Interim
    Dividends&#148;)) and to its preferred shareholders of record,
    determined as of the Valuation Date (&#147;Acquired
    Fund&#160;Preferred Shareholders&#148; and, collectively, with
    the Acquired Fund&#160;Common Shareholders, the &#147;Acquired
    Fund&#160;Shareholders&#148;), one share of Acquiring
    Fund&#160;MuniPreferred Shares (together with any Interim
    Dividends), in exchange for each Acquired
    Fund&#160;MuniPreferred share, Series&#160;W, held by the
    Acquired Fund&#160;Preferred Shareholders; and (b)&#160;the
    Acquired Fund will thereupon proceed to dissolve and terminate
    as set forth in Section&#160;1.9 below. Such distribution will
    be accomplished by the transfer of Acquiring Fund&#160;Shares
    credited to the account of the Acquired Fund on the books of the
    Acquiring Fund to open accounts on the share records of the
    Acquiring Fund in the name of the Acquired
    Fund&#160;Shareholders and representing, in the case of an
    Acquired Fund&#160;Common Shareholder, such shareholder&#146;s
    pro rata share of the Acquiring Fund&#160;Common Shares received
    by the Acquired Fund and in the case of an Acquired
    Fund&#160;Preferred Shareholder, a number of Acquiring
    Fund&#160;MuniPreferred Shares received by the Acquired Fund
    equal to the number of Acquired Fund&#160;MuniPreferred shares,
    Series&#160;W, held by such shareholder, and by paying to the
    shareholders of the Acquired Fund any Interim Dividends on such
    transferred shares. All issued and outstanding common and
    MuniPreferred shares of the Acquired Fund will simultaneously be
    canceled on the books of the Acquired Fund. The Acquiring Fund
    shall not issue certificates representing Acquiring
    Fund&#160;Shares in connection with such transfer.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    1.6&#160;OWNERSHIP OF SHARES. Ownership of Acquiring
    Fund&#160;Shares will be shown on the books of the Acquiring
    Fund&#146;s transfer agent. Acquiring Fund&#160;Shares will be
    issued simultaneously to the Acquired Fund, in an amount
    computed in the manner set forth in Section&#160;2.3, to be
    distributed to Acquired Fund&#160;Shareholders.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    1.7&#160;TRANSFER TAXES. Any transfer taxes payable upon the
    issuance of Acquiring Fund&#160;Shares in a name other than the
    registered holder of the Acquired Fund common or MuniPreferred
    shares on the books of the Acquired Fund as of that time shall,
    as a condition of such issuance and transfer, be paid by the
    person to whom such Acquiring Fund&#160;Shares are to be issued
    and transferred.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    1.8&#160;REPORTING. Any reporting responsibility of the Acquired
    Fund with the Securities and Exchange Commission (the
    &#147;SEC&#148;), the NYSE Alternext US (the &#147;NYSE
    Alternext&#148;), or any state
</DIV>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <BR>
    A-3
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->
<DIV style="margin-top: 0pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    securities commission is and shall remain the responsibility of
    the Acquired Fund up to and including the Liquidation Date.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    1.9&#160;TERMINATION. The Acquired Fund shall completely
    liquidate and be dissolved, terminated and have its affairs
    wound up in accordance with Massachusetts state law, promptly
    following the Closing Date and the making of all distributions
    pursuant to Section&#160;1.5.
</DIV>

<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">ARTICLE&#160;II<BR>
    </FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">VALUATION</FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    2.1&#160;VALUATION OF ASSETS. The value of the net assets of the
    Acquired Fund shall be the value of its assets, less its
    liabilities, computed as of the close of regular trading on the
    New York Stock Exchange (&#147;NYSE&#148;) on the business day
    immediately prior to the Closing Date (such time and date being
    hereinafter called the &#147;Valuation Date&#148;). The value of
    the Acquired Fund&#146;s assets shall be determined by using the
    valuation procedures set forth in the Acquired Fund&#146;s
    Declaration of Trust and the Funds&#146; Proxy
    Statement/Prospectus to be used in connection with the
    Reorganization or such other valuation procedures as shall be
    mutually agreed upon by the parties. The value of the Acquired
    Fund&#146;s net assets shall be calculated net of the
    liquidation preference (including accumulated and unpaid
    dividends) of all outstanding Acquired Fund&#160;MuniPreferred
    shares.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    2.2&#160;VALUATION OF SHARES. The net asset value per Acquiring
    Fund common share shall be the net asset value per share
    computed on the Valuation Date, using the valuation procedures
    set forth in the Acquiring Fund&#146;s Declaration of Trust and
    the Funds&#146; Proxy Statement/Prospectus to be used in
    connection with the Reorganization or such other valuation
    procedures as shall be mutually agreed upon by the parties. The
    value of the Acquiring Fund&#146;s net assets shall be
    calculated net of the liquidation preference (including
    accumulated and unpaid dividends) of all outstanding Acquiring
    Fund&#160;MuniPreferred shares.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    2.3&#160;SHARES TO BE ISSUED. The number of Acquiring
    Fund&#160;Common Shares to be issued (including fractional
    shares, if any) in exchange for the Acquired Fund&#146;s net
    assets, shall be determined by dividing the value of the
    Acquired Fund&#146;s net assets determined in accordance with
    Section&#160;2.1 by the net asset value per Acquiring
    Fund&#160;Common Share determined in accordance with
    Section&#160;2.2.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    2.4&#160;EFFECT OF SUSPENSION IN TRADING. In the event that on
    the Valuation Date, either: (a)&#160;the NYSE or another primary
    exchange on which the portfolio securities of the Acquiring Fund
    or the Acquired Fund are purchased or sold shall be closed to
    trading or trading on such exchange shall be restricted; or
    (b)&#160;trading or the reporting of trading on the NYSE or
    elsewhere shall be disrupted so that accurate appraisal of the
    value of the net assets of the Acquiring Fund or the Acquired
    Fund is impracticable, the Valuation Date shall be postponed
    until the first business day after the day when trading is fully
    resumed and reporting is restored provided that such day is not
    a day on which an Auction would normally occur with respect to
    the Acquired Fund&#160;MuniPreferred shares, Series&#160;W.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    2.5&#160;COMPUTATIONS OF NET ASSETS. All computations of net
    asset value shall be made by or under the direction
    of&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    (&#147;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#148;)
    in accordance with its regular practice as custodian of the
    Funds.
</DIV>

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    <BR>
    A-4
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<DIV style="margin-top: 0pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">ARTICLE&#160;III<BR>
    </FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">CLOSING AND
    CLOSING DATE</FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    3.1&#160;CLOSING DATE. The Closing shall occur
    on&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    2009 or such other date as the parties may agree (the
    &#147;Closing Date&#148;) provided that the Closing Date shall
    not be a date on which an &#147;Auction&#148; would ordinarily
    occur with respect to Acquired Fund&#160;MuniPreferred shares,
    Series&#160;W. All acts taking place at the Closing shall be
    deemed to take place as of immediately after the close of
    regular trading on the NYSE on the Valuation Date. The Closing
    shall be held as of [8:00&#160;a.m.] Central time (the
    &#147;Effective Time&#148;) at the offices of Vedder Price P.C.
    in Chicago, Illinois or at such other time
    <FONT style="white-space: nowrap">and/or</FONT> place
    as the parties may agree.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    3.2&#160;CUSTODIAN&#146;S CERTIFICATE. The Acquired Fund shall
    cause&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    as custodian for the Acquired Fund (the &#147;Custodian&#148;),
    to deliver to the Acquiring Fund at the Closing a certificate of
    an authorized officer stating that: (a)&#160;the Acquired
    Fund&#146;s portfolio securities, cash, and any other assets
    shall have been delivered in proper form to the Acquiring Fund
    on the Closing Date; and (b)&#160;all necessary taxes, including
    all applicable federal and state stock transfer stamps, if any,
    shall have been paid, or provision for payment shall have been
    made, in conjunction with the delivery of portfolio securities
    by the Acquired Fund.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    3.3&#160;TRANSFER AGENT&#146;S CERTIFICATE. The Acquired Fund
    shall
    cause&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    as transfer agent for the Acquired Fund, to deliver to the
    Acquiring Fund at the Closing a certificate of an authorized
    officer stating that its records contain the names and addresses
    of all the Acquired Fund&#160;Shareholders, and the number and
    percentage ownership of outstanding common and MuniPreferred
    shares owned by each such shareholder immediately prior to the
    Closing. The Acquiring Fund shall issue and deliver or
    cause&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    its transfer agent, to issue and deliver to the Acquired Fund a
    confirmation evidencing the Acquiring Fund&#160;Shares to be
    credited on the Closing Date to the Secretary of the Trust or
    provide evidence satisfactory to the Acquired Fund that such
    Acquiring Fund&#160;Shares have been credited to the Acquired
    Fund&#146;s account on the books of the Acquiring Fund.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    3.4&#160;DELIVERY OF ADDITIONAL ITEMS. At the Closing, each
    party shall deliver to the other such bills of sale, checks,
    assignments, share certificates, receipts and other documents,
    if any, as such other party or its counsel may reasonably
    request to effect the transactions contemplated by this
    Agreement.
</DIV>

<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">ARTICLE&#160;IV<BR>
    </FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">REPRESENTATIONS
    AND WARRANTIES</FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    4.1&#160;REPRESENTATIONS OF THE ACQUIRED FUND. The Acquired Fund
    represents and warrants as follows:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (a)&#160;The Acquired Fund is a business trust duly organized,
    validly existing and in good standing under the laws of the
    Commonwealth of Massachusetts.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (b)&#160;The Acquired Fund is registered as a closed-end
    non-diversified management investment company under the 1940
    Act, and such registration is in full force and effect.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (c)&#160;The Acquired Fund is not, and the execution, delivery,
    and performance of this Agreement (subject to shareholder
    approval) will not result, in the violation of any provision of
    the Acquired Fund&#146;s Declaration of Trust or By-Laws or of
    any material
</DIV>

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    <BR>
    A-5
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<DIV style="margin-top: 0pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    agreement, indenture, instrument, contract, lease, or other
    undertaking to which the Acquired Fund is a party or by which it
    is bound.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (d)&#160;Except as otherwise disclosed in writing to and
    accepted by the Acquiring Fund, the Acquired Fund has no
    material contracts or other commitments (other than this
    Agreement and the obligations to pay the dividends
    <FONT style="white-space: nowrap">and/or</FONT>
    distributions contemplated by Section&#160;1.4) that will be
    terminated with liability to it before the Closing Date.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (e)&#160;No litigation, administrative proceeding, or
    investigation of or before any court or governmental body is
    presently pending or to its knowledge threatened against the
    Acquired Fund or any of its properties or assets, which, if
    adversely determined, would materially and adversely affect its
    financial condition, the conduct of its business, or the ability
    of the Acquired Fund to carry out the transactions contemplated
    by this Agreement. The Acquired Fund knows of no facts that
    might form the basis for the institution of such proceedings and
    is not a party to or subject to the provisions of any order,
    decree, or judgment of any court or governmental body that
    materially and adversely affects its business or its ability to
    consummate the transactions contemplated herein.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (f)&#160;The audited financial statements of the Acquired Fund
    as of April&#160;30, 2008, and for the year then ended have been
    prepared in accordance with generally accepted accounting
    principles, and such statements (copies of which have been
    furnished to the Acquiring Fund) fairly reflect the financial
    condition of the Acquired Fund as of April&#160;30, 2008, and
    there are no known contingent liabilities of the Acquired Fund
    as of such date that are not disclosed in such statements. The
    unaudited financial statements of the Acquired Fund as of
    October&#160;31, 2008, and for the semi-annual period then
    ended, will be prepared in accordance with generally accepted
    accounting principles, and such statements (copies of which will
    be furnished to the Acquiring Fund) will fairly reflect the
    financial condition of the Acquired Fund as of October&#160;31,
    2008, and there will not by any known contingent liabilities of
    the Acquired Fund as of such date that are not disclosed in such
    statements. [The audited financial statements of the Acquired
    Fund as of April&#160;30, 2009, and for the year then will have
    been prepared in accordance with generally accepted accounting
    principles, and such statements (copies of which will be
    furnished to the Acquiring Fund) will fairly reflect the
    financial condition of the Acquired Fund as of April&#160;30,
    2009, and there will be no known contingent liabilities of the
    Acquired Fund as of such date that are not disclosed in such
    statements.]
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (g)&#160;Since the date of the financial statements referred to
    in subsection&#160;(f) above, there have been no material
    adverse changes in the Acquired Fund&#146;s financial condition,
    assets, liabilities or business (other than changes occurring in
    the ordinary course of business) and there are no known
    contingent liabilities of the Acquired Fund arising after such
    date. For the purposes of this subsection (g), a decline in the
    net asset value of the Acquired Fund shall not constitute a
    material adverse change.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (h)&#160;All federal, state, local and other tax returns and
    reports of the Acquired Fund required by law to be filed by it
    (taking into account permitted extensions for filing) have been
    timely filed and are correct in all material respects. All
    federal, state, local and other taxes of the Acquired Fund
    required to be paid (whether or not shown on any such return or
    report) have been paid, or provision shall have been made for
    the payment thereof and any such unpaid taxes are properly
    reflected on the financial statements referred to in
    subsection&#160;(f) above. To the best of the Acquired
    Fund&#146;s knowledge, no tax authority is
</DIV>

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    <BR>
    A-6
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->
<DIV style="margin-top: 0pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    currently auditing or preparing to audit the Acquired Fund, and
    no assessment for taxes, interest, additions to tax, or
    penalties has been asserted against the Acquired Fund.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (i)&#160;The authorized capital of the Acquired Fund consists of
    an unlimited number of common and preferred shares, par value
    $.01 per share. All issued and outstanding shares of the
    Acquired Fund are duly and validly issued and outstanding, fully
    paid and non-assessable by the Acquired Fund. All of the issued
    and outstanding shares of the Acquired Fund will, at the time of
    the Closing Date, be held by the persons and in the amounts set
    forth in the records of the Acquired Fund&#146;s transfer agent
    as provided in Section&#160;3.3. The Acquired Fund has no
    outstanding options, warrants, or other rights to subscribe for
    or purchase any shares of the Acquired Fund, and has no
    outstanding securities convertible into shares of the Acquired
    Fund.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (j)&#160;At the Closing Date, the Acquired Fund will have good
    and marketable title to the Acquired Fund&#146;s assets to be
    transferred to the Acquiring Fund pursuant to Section&#160;1.2,
    and full right, power, and authority to sell, assign, transfer,
    and deliver such assets, and the Acquiring Fund will acquire
    good and marketable title thereto.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (k)&#160;The execution, delivery and performance of this
    Agreement have been duly authorized by all necessary action on
    the part of the Acquired Fund. Subject to approval by
    shareholders, this Agreement constitutes a valid and binding
    obligation of the Acquired Fund, enforceable in accordance with
    its terms, subject as to enforcement, to bankruptcy, insolvency,
    reorganization, moratorium, and other laws relating to or
    affecting creditors&#146; rights and to general equity
    principles.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (l)&#160;The information to be furnished by the Acquired Fund
    for use in no-action letters, applications for orders,
    registration statements, proxy materials, and other documents
    that may be necessary in connection with the transactions
    contemplated herein shall be accurate and complete in all
    material respects and shall comply in all material respects with
    federal securities and other laws and regulations.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (m)&#160;From the effective date of the Registration Statement
    (as defined in Section&#160;5.7), through the time of the
    meeting of the shareholders and on the Closing Date, any written
    information furnished by the Acquired Fund with respect to the
    Acquired Fund for use in the Proxy Materials (as defined in
    Section&#160;5.7), or any other materials provided in connection
    with the Reorganization, does not and will not contain any
    untrue statement of a material fact or omit to state a material
    fact required to be stated or necessary to make the statements,
    in light of the circumstances under which such statements were
    made, not misleading.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (n)&#160;For each taxable year of its operations, including the
    short taxable year ending with the Closing Date, the Acquired
    Fund (i)&#160;has elected to qualify, and has qualified or will
    qualify (in the case of the short taxable year ending with the
    Closing Date), as a &#147;regulated investment company&#148;
    under the Code (a &#147;RIC&#148;), (ii)&#160;has been eligible
    to and has computed its federal income tax under
    Section&#160;852 of the Code, and will do so for the short
    taxable year ending with the Closing Date and (iii)&#160;has
    been, and will be (in the case of the short taxable year ending
    with the Closing Date), treated as a separate corporation for
    federal income tax purposes pursuant to Section&#160;851(g) of
    the Code.
</DIV>

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    <BR>
    A-7
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->
<DIV style="margin-top: 0pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    4.2&#160;REPRESENTATIONS OF THE ACQUIRING FUND. The Acquiring
    Fund represents and warrants as follows:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (a)&#160;The Acquiring Fund is a business trust, duly organized,
    validly existing and in good standing under the laws of the
    Commonwealth of Massachusetts.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (b)&#160;The Acquiring Fund is registered as a closed-end
    diversified management investment company under the 1940 Act,
    and such registration is in full force and effect.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (c)&#160;The Acquiring Fund is not, and the execution, delivery
    and performance of this Agreement will not result, in a
    violation of the Acquiring Fund&#146;s Declaration of Trust or
    By-Laws or of any material agreement, indenture, instrument,
    contract, lease, or other undertaking to which the Acquiring
    Fund is a party or by which it is bound.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (d)&#160;No litigation, administrative proceeding or
    investigation of or before any court or governmental body is
    presently pending or to its knowledge threatened against the
    Acquiring Fund or any of its properties or assets, which, if
    adversely determined, would materially and adversely affect its
    financial condition, the conduct of its business or the ability
    of the Acquiring Fund to carry out the transactions contemplated
    by this Agreement. The Acquiring Fund knows of no facts that
    might form the basis for the institution of such proceedings and
    it is not a party to or subject to the provisions of any order,
    decree, or judgment of any court or governmental body that
    materially and adversely affects its business or its ability to
    consummate the transaction contemplated herein.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (e)&#160;The audited financial statements of the Acquiring Fund
    as of October&#160;31, 2008 and for the fiscal year then ended
    have been prepared in accordance with generally accepted
    accounting principles and have been audited by independent
    auditors, and such statements (copies of which have been
    furnished to the Acquired Fund) fairly reflect the financial
    condition of the Acquiring Fund as of October&#160;31, 2008, and
    there are no known contingent liabilities of the Acquiring Fund
    as of such date that are not disclosed in such statements. [The
    unaudited financial statements of the Acquiring Fund as of
    April&#160;30, 2009, and for the semi-annual period then ended,
    will be prepared in accordance with generally accepted
    accounting principles, and such statements (copies of which will
    be furnished to the Acquired Fund) will fairly reflect the
    financial condition of the Acquiring Fund as of April&#160;30,
    2009, and there will not be any known contingent liabilities of
    the Acquiring Fund as of such date that are not disclosed in
    such statement.]
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (f)&#160;Since the date of the financial statements referred to
    in subsection&#160;(e) above, there have been no material
    adverse changes in the Acquiring Fund&#146;s financial
    condition, assets, liabilities or business (other than changes
    occurring in the ordinary course of business) and there are no
    known contingent liabilities of the Acquiring Fund arising after
    such date. For the purposes of this subsection (f), a decline in
    the net asset value of the Acquiring Fund shall not constitute a
    material adverse change.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (g)&#160;All federal, state, local and other tax returns and
    reports of the Acquiring Fund required by law to be filed by it
    (taking into account permitted extensions for filing) have been
    timely filed and are correct in all material respects. All
    federal, state, local and other taxes of the Acquiring Fund
    required to be paid (whether or not shown on any such return or
    report) have been paid or provision shall have been made for
    their payment and any such unpaid taxes are properly reflected
    on the financial statements referred to in subsection&#160;(e)
    above. To the best of the Acquiring Fund&#146;s knowledge, no
    tax authority is
</DIV>

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    <BR>
    A-8
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->
<DIV style="margin-top: 0pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    currently auditing or preparing to audit the Acquiring Fund, and
    no assessment for taxes, interest, additions to tax or penalties
    has been asserted against the Acquiring Fund.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (h)&#160;The authorized capital of the Acquiring Fund consists
    of an unlimited number of common and preferred shares, par value
    $0.01 per share. All issued and outstanding Acquiring
    Fund&#160;Shares are duly and validly issued and outstanding,
    fully paid and non-assessable by the Acquiring Fund. The
    Acquiring Fund has no outstanding options, warrants, or other
    rights to subscribe for or purchase shares of the Acquiring
    Fund, and there are no outstanding securities convertible into
    shares of the Acquiring Fund.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (i)&#160;The execution, delivery and performance of this
    Agreement have been duly authorized by all necessary action on
    the part of the Acquiring Fund. Subject to approval by
    shareholders of the Acquiring Fund, this Agreement constitutes a
    valid and binding obligation of the Acquiring Fund, enforceable
    in accordance with its terms, subject as to enforcement, to
    bankruptcy, insolvency, reorganization, moratorium, and other
    laws relating to or affecting creditors&#146; rights and to
    general equity principles.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (j)&#160;The Acquiring Fund&#160;Shares to be issued and
    delivered to the Acquired Fund for the account of the Acquired
    Fund&#160;Shareholders pursuant to the terms of this Agreement
    will, at the Closing Date, have been duly authorized. When so
    issued and delivered, such shares will be duly and validly
    issued shares of the Acquiring Fund, and will be fully paid and
    non-assessable.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (k)&#160;The information to be furnished by the Acquiring Fund
    for use in no-action letters, applications for orders,
    registration statements, proxy materials, and other documents
    that may be necessary in connection with the transactions
    contemplated herein shall be accurate and complete in all
    material respects and shall comply in all material respects with
    federal securities and other laws and regulations.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (l)&#160;From the effective date of the Registration Statement
    (as defined in Section&#160;5.7), through the time of the
    meeting of the shareholders and on the Closing Date, any written
    information furnished by the Acquiring Fund with respect to the
    Acquiring Fund for use in the Proxy Materials (as defined in
    Section&#160;5.7), or any other materials provided in connection
    with the Reorganization, does not and will not contain any
    untrue statement of a material fact or omit to state a material
    fact required to be stated or necessary to make the statements,
    in light of the circumstances under which such statements were
    made, not misleading.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (m)&#160;For each taxable year of its operations, including the
    taxable year that includes the Closing Date, the Acquiring Fund
    (i)&#160;has elected to qualify, has qualified or will qualify
    (in the case of the year that includes the Closing Date) and
    intends to continue to qualify as a RIC under the Code,
    (ii)&#160;has been eligible to and has computed its federal
    income tax under Section&#160;852 of the Code, and will do so
    for the taxable year that includes the Closing Date and
    (iii)&#160;has been, and will be (in the case of the taxable
    year that includes the Closing Date), treated as a separate
    corporation for federal income tax purposes pursuant to
    Section&#160;851(g) of the Code.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (n)&#160;The Acquiring Fund agrees to use all reasonable efforts
    to obtain the approvals and authorizations required by the
    Securities Act of 1933, as amended (the
    &#147;1933&#160;Act&#148;), the 1940 Act, and any state
    securities laws as it may deem appropriate in order to continue
    its operations after the Closing Date.
</DIV>

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    <BR>
    A-9
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->
<DIV style="margin-top: 0pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">ARTICLE&#160;V<BR>
    </FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">COVENANTS OF THE
    FUNDS</FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    5.1&#160;OPERATION IN ORDINARY COURSE. Subject to
    Sections&#160;1.2, 1.4 and 8.5, the Acquiring Fund and the
    Acquired Fund will operate its respective business in the
    ordinary course between the date of this Agreement and the
    Closing Date, it being understood that such ordinary course of
    business will include customary dividends and distributions, any
    other distribution necessary or desirable to avoid federal
    income or excise taxes, and shareholder purchases and
    redemptions.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    5.2&#160;APPROVAL OF SHAREHOLDERS. The Acquiring Fund and
    Acquired Fund will call a special meeting of their respective
    shareholders to consider and act upon this Agreement (or
    transactions contemplated thereby) and to take all other
    appropriate action necessary to obtain approval of the
    transactions contemplated herein.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    5.3&#160;INVESTMENT REPRESENTATION. The Acquired Fund covenants
    that the Acquiring Fund&#160;Shares to be issued pursuant to
    this Agreement are not being acquired for the purpose of making
    any distribution, other than in connection with the
    Reorganization and in accordance with the terms of this
    Agreement.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    5.4&#160;ADDITIONAL INFORMATION. The Acquired Fund will assist
    the Acquiring Fund in obtaining such information as the
    Acquiring Fund reasonably requests concerning the beneficial
    ownership of the Acquired Fund&#146;s shares.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    5.5&#160;FURTHER ACTION. Subject to the provisions of this
    Agreement, each Fund will take or cause to be taken, all action,
    and do or cause to be done, all things reasonably necessary,
    proper or advisable to consummate and make effective the
    transactions contemplated by this Agreement, including any
    actions required to be taken after the Closing Date.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    5.6&#160;STATEMENT OF EARNINGS AND PROFITS. As promptly as
    practicable, but in any case within 60&#160;days after the
    Closing Date, the Acquired Fund shall furnish the Acquiring
    Fund, in such form as is reasonably satisfactory to the
    Acquiring Fund and which shall be certified by the Acquired
    Fund&#146;s Controller, a statement of the earnings and profits
    of the Acquired Fund for federal income tax purposes, as well as
    any net operating loss carryovers and capital loss carryovers,
    that will be carried over to the Acquiring Fund as a result of
    Section&#160;381 of the Code.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    5.7&#160;PREPARATION OF REGISTRATION STATEMENT AND PROXY
    MATERIALS. The Funds will prepare and file with the Securities
    and Exchange Commission (the &#147;Commission&#148;) a
    registration statement on
    <FONT style="white-space: nowrap">Form&#160;N-14</FONT>
    relating to the Acquiring Fund&#160;Shares to be issued to the
    Acquired Fund&#160;Shareholders (the &#147;Registration
    Statement&#148;). The Registration Statement shall include a
    proxy statement of the Acquired Fund and a prospectus of the
    Acquiring Fund relating to the transaction contemplated by this
    Agreement. The Registration Statement shall be in compliance
    with the 1933&#160;Act, the Securities Exchange Act of 1934, as
    amended (the &#147;1934&#160;Act&#148;), and the 1940 Act, as
    applicable. Each party will provide the other party with the
    materials and information necessary to prepare the proxy
    statement and related materials (the &#147;Proxy
    Materials&#148;), for inclusion therein, in connection with the
    meetings of the Funds&#146; shareholders to consider the
    approval of this Agreement and the transactions contemplated
    herein.
</DIV>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <BR>
    A-10
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->
<DIV style="margin-top: 0pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">ARTICLE&#160;VI<BR>
    </FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">CONDITION
    PRECEDENT TO OBLIGATIONS OF THE ACQUIRED FUND</FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The obligations of the Acquired Fund to consummate the
    transactions provided for herein shall be subject to the
    following condition:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    6.1&#160;All representations, covenants, and warranties of the
    Acquiring Fund contained in this Agreement shall be true and
    correct in all material respects as of the date hereof and as of
    the Closing Date, with the same force and effect as if made on
    and as of the Closing Date. The Acquiring Fund shall have
    delivered to the Acquired Fund a certificate executed in the
    Acquiring Fund&#146;s name by the Acquiring Fund&#146;s
    President or Vice President and its Controller, in form and
    substance satisfactory to the Acquired Fund and dated as of the
    Closing Date, to such effect and as to such other matters as the
    Acquired Fund shall reasonably request.
</DIV>

<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">ARTICLE&#160;VII<BR>
    </FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">CONDITIONS
    PRECEDENT TO OBLIGATIONS OF THE ACQUIRING FUND</FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The obligations of the Acquiring Fund to consummate the
    transactions provided for herein shall be subject to the
    following conditions:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    7.1&#160;All representations, covenants, and warranties of the
    Acquired Fund contained in this Agreement shall be true and
    correct in all material respects as of the date hereof and as of
    the Closing Date, with the same force and effect as if made on
    and as of the Closing Date. The Acquired Fund shall have
    delivered to the Acquiring Fund on the Closing Date a
    certificate executed in the Acquired Fund&#146;s name by the
    Acquired Fund&#146;s President or Vice President and the
    Controller, in form and substance satisfactory to the Acquiring
    Fund and dated as of the Closing Date, to such effect and as to
    such other matters as the Acquiring Fund shall reasonably
    request.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    7.2&#160;The Acquired Fund shall have delivered to the Acquiring
    Fund a statement of the Acquired Fund&#146;s assets and
    liabilities, together with a list of the Acquired Fund&#146;s
    portfolio securities showing the tax basis of such securities by
    lot and the holding periods of such securities, as of the
    Closing Date, certified by the Controller of the Trust.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    7.3&#160;On or immediately prior to the Closing Date, the
    Acquired Fund shall have declared the dividends
    <FONT style="white-space: nowrap">and/or</FONT>
    distributions contemplated by Section&#160;1.4.
</DIV>

<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">ARTICLE&#160;VIII<BR>
    </FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">FURTHER
    CONDITIONS PRECEDENT</FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The obligations of the Acquired Fund or the Acquiring Fund
    hereunder shall also be subject to the following:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    8.1&#160;This Agreement and the transactions contemplated
    herein, with respect to the Acquired Fund, shall have been
    approved by the requisite vote of the holders of the outstanding
    shares of the Acquired Fund in accordance with applicable law
    and the provisions of the Acquired Fund&#146;s Declaration of
    Trust and By-Laws. In addition, this Agreement, the issuance of
    common shares and the transactions contemplated herein, with
    respect to the Acquiring Fund, shall have been approved by the
    requisite vote of the holders of the outstanding shares of the
    Acquiring Fund in
</DIV>

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    <BR>
    A-11
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->
<DIV style="margin-top: 0pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    accordance with applicable law, the requirements of the NYSE
    Alternext and the provisions of the Acquiring Fund&#146;s
    Declaration of Trust and By-Laws. Notwithstanding anything
    herein to the contrary, neither the Acquiring Fund nor the
    Acquired Fund may waive the conditions set forth in this
    Section&#160;8.1.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    8.2&#160;On the Closing Date, the Commission shall not have
    issued an unfavorable report under Section&#160;25(b) of the
    1940 Act, or instituted any proceeding seeking to enjoin the
    consummation of the transactions contemplated by this Agreement
    under Section&#160;25(c) of the 1940 Act. Furthermore, no
    action, suit or other proceeding shall be threatened or pending
    before any court or governmental agency in which it is sought to
    restrain or prohibit, or obtain damages or other relief in
    connection with this Agreement or the transactions contemplated
    herein.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    8.3&#160;All required consents of other parties and all other
    consents, orders, and permits of federal, state and local
    regulatory authorities (including those of the Commission and of
    state securities authorities, including any necessary
    &#147;no-action&#148; positions and exemptive orders from such
    federal and state authorities) to permit consummation of the
    transactions contemplated herein shall have been obtained.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    8.4&#160;The Registration Statement shall have become effective
    under the 1933&#160;Act, and no stop orders suspending the
    effectiveness thereof shall have been issued. To the best
    knowledge of the parties to this Agreement, no investigation or
    proceeding for that purpose shall have been instituted or be
    pending, threatened or contemplated under the 1933&#160;Act.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    8.5&#160;The Acquired Fund shall have declared and paid a
    dividend or dividends which, together with all previous such
    dividends, shall have the effect of distributing to its
    shareholders all of the Acquired Fund&#146;s investment company
    taxable income for all taxable periods ending on or before the
    Closing Date (computed without regard to any deduction for
    dividends paid), if any, plus the excess of its interest income
    excludible from gross income under Section&#160;103(a) of the
    Code, if any, over its deductions disallowed under
    Sections&#160;265 and 171(a)(2) of the Code for all taxable
    periods ending on or before the Closing Date and all of its net
    capital gains realized in all taxable periods ending on or
    before the Closing Date (after reduction for any capital loss
    carry forward).
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    8.6&#160;The Funds shall have received on the Closing Date an
    opinion from Vedder Price P.C., dated as of the Closing Date,
    substantially to the effect that:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (a)&#160;Each Fund is a business trust, duly organized and
    validly existing under the laws of the Commonwealth of
    Massachusetts, which, to such counsel&#146;s knowledge, has the
    power to own all of its properties and assets and to carry on
    its business as presently conducted.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (b)&#160;Each Fund is registered as a closed-end management
    investment company under the 1940 Act, and, to such
    counsel&#146;s knowledge, such registration under the 1940 Act
    is in full force and effect.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (c)&#160;Assuming that consideration of not less than the net
    asset value of the Acquired Fund common shares has been paid,
    and assuming that such shares were issued in accordance with the
    terms of the Acquired Fund&#146;s registration statement, or any
    amendment thereto, in effect at the time of such issuance, all
    issued and outstanding shares of the Acquired Fund are legally
    issued and fully paid and non-assessable, and no shareholder of
    the Acquired Fund has any preemptive rights with respect to the
    Acquired Fund&#146;s shares.
</DIV>

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    <BR>
    A-12
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->
<DIV style="margin-top: 0pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (d)&#160;Assuming that the Acquiring Fund&#160;Shares have been
    issued in accordance with the terms of this Agreement, the
    Acquiring Fund&#160;Shares to be issued and delivered to the
    Acquired Fund on behalf of the Acquired Fund&#160;Shareholders
    as provided by this Agreement are duly authorized and upon such
    delivery will be legally issued and outstanding and fully paid
    and non-assessable, and no shareholder of the Acquiring Fund has
    any preemptive rights with respect to Acquiring Fund&#160;Shares.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (e)&#160;The Registration Statement is effective and, to such
    counsel&#146;s knowledge, no stop order under the 1933&#160;Act
    pertaining thereto has been issued, and to the knowledge of such
    counsel, no consent, approval, authorization or order of any
    court or governmental authority of the United States or the
    Commonwealth of Massachusetts is required for consummation by
    the Funds of the transactions contemplated herein, except as
    have been obtained.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (f)&#160;The execution and delivery of this Agreement did not,
    and the consummation of the transactions contemplated herein
    will not, result in a violation of the Trust&#146;s Declaration
    of Trust (assuming approval of shareholders of the Funds has
    been obtained) or By-Laws.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Insofar as the opinion expressed above relates to or is
    dependent upon matters governed by the Commonwealth of
    Massachusetts, Vedder Price P.C. may rely on the opinion of .
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    8.7&#160;The Funds shall have received an opinion of Vedder
    Price P.C. addressed to the Acquiring Fund and the Acquired Fund
    substantially to the effect that for federal income tax purposes:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (a)&#160;The transfer of all the Acquired Fund&#146;s assets to
    the Acquiring Fund in exchange solely for Acquiring
    Fund&#160;Shares and the assumption by the Acquiring Fund of all
    the liabilities of the Acquired Fund followed by the pro rata
    distribution to the Acquired Fund shareholders of all the
    Acquiring Fund&#160;Shares received by the Acquired Fund in
    complete liquidation of the Acquired Fund will constitute a
    &#147;reorganization&#148; within the meaning of
    Section&#160;368(a) of the Code and the Acquiring Fund and the
    Acquired Fund will each be a &#147;party to a
    reorganization,&#148; within the meaning of Section&#160;368(b)
    of the Code, with respect to the Reorganization.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (b)&#160;No gain or loss will be recognized by the Acquiring
    Fund upon the receipt of all the assets of the Acquired Fund
    solely in exchange for Acquiring Fund&#160;Shares and the
    assumption by the Acquiring Fund of all the liabilities of the
    Acquired Fund.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (c)&#160;No gain or loss will be recognized by the Acquired Fund
    upon the transfer of all the Acquired Fund&#146;s assets to the
    Acquiring Fund solely in exchange for Acquiring Fund&#160;Shares
    and the assumption by the Acquiring Fund of all the liabilities
    of the Acquired Fund or upon the distribution (whether actual or
    constructive) of the Acquiring Fund&#160;Shares, respectively,
    to the Acquired Fund&#160;Shareholders solely in exchange for
    such shareholder&#146;s common and MuniPreferred shares,
    respectively, of the Acquired Fund in complete liquidation of
    the Acquired Fund.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (d)&#160;No gain or loss will be recognized by the Acquired
    Fund&#160;Shareholders upon the exchange of their Acquired Fund
    shares solely for Acquiring Fund&#160;Shares, respectively, in
    the Reorganization.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (e)&#160;The aggregate basis of the Acquiring Fund&#160;Shares
    received by each Acquired Fund&#160;Shareholder, respectively,
    pursuant to the Reorganization will be the same as the aggregate
    basis of the Acquired Fund shares exchanged therefor by such
    shareholder.
</DIV>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <BR>
    A-13
</DIV><!-- END PAGE WIDTH -->
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->
<DIV style="margin-top: 0pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The holding period of the Acquiring Fund&#160;Shares received by
    each Acquired Fund&#160;Shareholder will include the period
    during which the Acquired Fund shares exchanged therefor were
    held by such shareholder, provided such Acquired Fund shares are
    held as capital assets at the time of the Reorganization.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (f)&#160;The basis of the Acquired Fund&#146;s assets
    transferred to the Acquiring Fund will be the same as the basis
    of such assets to the Acquired Fund immediately before the
    Reorganization. The holding period of the assets of the Acquired
    Fund in the hands of the Acquiring Fund will include the period
    during which those assets were held by the Acquired Fund.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Such opinion shall be based on customary assumptions and such
    representations as Vedder Price P.C. may reasonably request of
    the Funds, and the Acquired Fund and the Acquiring Fund will
    cooperate to make and certify the accuracy of such
    representations. Notwithstanding anything herein to the
    contrary, neither the Acquiring Fund nor the Acquired Fund may
    waive the conditions set forth in this Section&#160;8.7.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    8.8&#160;The Acquiring Fund shall have obtained written
    confirmation from both Moody&#146;s Investors Service, Inc. and
    Standard&#160;&#038; Poor&#146;s Corporation that
    (a)&#160;consummation of the transactions contemplated by this
    Agreement will not impair the &#147;Aaa&#148; and AAA ratings,
    respectively, assigned by such rating agencies to the existing
    shares of Acquiring Fund&#160;MuniPreferred shares,
    Series&#160;T and Series&#160;W, and (b)&#160;the shares of
    Acquiring Fund&#160;MuniPreferred Shares to be issued pursuant
    to Section&#160;1.1 will be rated &#147;Aaa&#148; or AAA,
    respectively, by such rating agencies.
</DIV>

<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">ARTICLE&#160;IX<BR>
    </FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">EXPENSES</FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    9.1&#160;The expenses incurred in connection with the
    Reorganization will be allocated between the Funds according to
    the following percentages: Acquired
    Fund,&#160;&#160;&#160;&#160;&#160;% and Acquiring
    Fund,&#160;&#160;&#160;&#160;&#160;%. Reorganization expenses
    include, without limitation: (a)&#160;expenses associated with
    the preparation and filing of the Registration Statement and
    other Proxy Materials; (b)&#160;postage; (c)&#160;printing;
    (d)&#160;accounting fees; (e)&#160;legal fees incurred by each
    Fund; (f)&#160;solicitation costs; and (g)&#160;other related
    administrative or operational costs.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    9.2&#160;Each party represents and warrants to the other that
    there is no person or entity entitled to receive any
    broker&#146;s fees or similar fees or commission payments in
    connection with the transactions provided for herein.
</DIV>

<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">ARTICLE&#160;X<BR>
    </FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">ENTIRE AGREEMENT;
    SURVIVAL OF WARRANTIES</FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    10.1&#160;The parties agree that no party has made to the other
    parties any representation, warranty
    <FONT style="white-space: nowrap">and/or</FONT>
    covenant not set forth herein, and that this Agreement
    constitutes the entire agreement between and among the parties.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    10.2&#160;The representations, warranties, and covenants
    contained in this Agreement or in any document delivered
    pursuant to or in connection with this Agreement shall not
    survive the consummation of the transactions contemplated
    hereunder.
</DIV>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <BR>
    A-14
</DIV><!-- END PAGE WIDTH -->
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->
<DIV style="margin-top: 0pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">ARTICLE&#160;XI<BR>
    </FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">TERMINATION</FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    11.1&#160;This Agreement may be terminated by the mutual
    agreement of the parties and such termination may be effected by
    the Trust&#146;s President or the Vice President without further
    action by the Board. In addition, either Fund may at its option
    terminate this Agreement at or before the Closing Date due to:
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (a)&#160;a breach by any other party of any representation,
    warranty, or agreement contained herein to be performed at or
    before the Closing Date, if not cured within 30&#160;days;
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (b)&#160;a condition precedent to the obligations of the
    terminating party that has not been met and it reasonably
    appears that it will not or cannot be met;&#160;or
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 5%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    (c)&#160;a determination by the Board that the consummation of
    the transactions contemplated herein is not in the best
    interests of the Fund.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    11.2&#160;In the event of any such termination, in the absence
    of willful default, there shall be no liability for damages on
    the part of the Board of Trustees of either Fund, the Acquiring
    Fund, the Acquired Fund, Nuveen Asset Management (the
    &#147;Adviser&#148;), or the Funds&#146; or Adviser&#146;s
    officers.
</DIV>

<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">ARTICLE&#160;XII<BR>
    </FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">AMENDMENTS</FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    12.1&#160;This Agreement may be amended, modified, or
    supplemented in such manner as may be mutually agreed upon in
    writing by the officers of each Fund as specifically authorized
    by each of the Fund&#146;s Board; provided, however, that
    following the meeting of the shareholders of the Funds called by
    each Fund pursuant to Section&#160;5.2 of this Agreement, no
    such amendment may have the effect of changing the provisions
    for determining the number of Acquiring Fund&#160;Shares to be
    issued to the Acquired Fund&#160;Shareholders under this
    Agreement to the detriment of such shareholders without their
    further approval.
</DIV>

<DIV style="margin-top: 18pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">ARTICLE&#160;XIII<BR>
    </FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">HEADINGS;
    COUNTERPARTS; GOVERNING LAW; ASSIGNMENT;<BR>
    </FONT></B>
</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">LIMITATION OF
    LIABILITY</FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    13.1&#160;The article and section headings contained in this
    Agreement are for reference purposes only and shall not affect
    in any way the meaning or interpretation of this Agreement.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    13.2&#160;This Agreement may be executed in any number of
    counterparts, each of which shall be deemed an original.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    13.3&#160;This Agreement shall be governed by and construed in
    accordance with the laws of the Commonwealth of Massachusetts.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    13.4&#160;This Agreement shall bind and inure to the benefit of
    the parties hereto and their respective successors and assigns,
    but, except as provided in this section, no assignment or
    transfer hereof or of any rights or obligations hereunder shall
    be made by any party without the written consent of the other
    parties. Nothing herein expressed or implied is intended or
    shall be construed to confer upon or give any person, firm, or
    corporation, other than the parties hereto
</DIV>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <BR>
    A-15
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->
<DIV style="margin-top: 0pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    and their respective successors and assigns, any rights or
    remedies under or by reason of this Agreement.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    13.5&#160;It is expressly agreed that the obligations of each
    Fund hereunder shall not be binding upon any of the Trustees of
    either Fund, shareholders, nominees, officers, agents, or
    employees of either Fund personally, but shall bind only the
    fund property of the respective Fund, as provided in each
    Fund&#146;s Declaration of Trust. The execution and delivery of
    this Agreement have been authorized by the Board of Trustees of
    each Fund and signed by authorized officers of each Fund, acting
    as such. Neither the authorization by such Trustees nor the
    execution and delivery by such officers shall be deemed to have
    been made by any of them individually or to impose any liability
    on any of them personally, but shall bind only the fund property
    of the respective Fund as provided in such Fund&#146;s
    Declaration of Trust.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    IN WITNESS WHEREOF, the parties have duly executed this
    Agreement, all as of the date first written above.
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE border="0" width="100%" align="center" cellpadding="0" cellspacing="0" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
<!-- Table Width Row BEGIN -->
<TR style="font-size: 1pt" valign="bottom">
    <TD width="50%">&nbsp;</TD>	<!-- colindex=01 type=maindata -->
    <TD width="2%">&nbsp;</TD>	<!-- colindex=02 type=gutter -->
    <TD width="48%">&nbsp;</TD>	<!-- colindex=02 type=maindata -->
</TR>
<!-- Table Width Row END -->
<TR valign="bottom">
<TD nowrap align="left" valign="top">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD align="left" valign="top">
    <B>NUVEEN INSURED TAX-FREE<BR>
    MUNICIPAL ADVANTAGE FUND<BR>
    </B>By:&#160;<BR>
    <DIV style="font-size: 3pt; margin-left: 0%; width: 100%; border-bottom: 1pt solid #000000"></DIV><!-- callerid=2083 iwidth=165 length=877 -->Name:&#160;Gifford
    R. Zimmerman<BR>
    Title:&#160;Chief Administrative Officer
</TD>
</TR>
<TR valign="bottom" style="line-height: 12pt">
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="top">
    ACKNOWLEDGED:<BR>
    <BR>
    By:&#160;<BR>
    <DIV style="font-size: 3pt; margin-left: 0%; width: 100%; border-bottom: 1pt solid #000000"></DIV><!-- callerid=2083 iwidth=165 length=877 -->Name:&#160;Mark
    L. Winget<BR>
    Title:&#160;Vice President and Assistant Secretary
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="top">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="line-height: 12pt">
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="top">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD align="left" valign="top">
    <B>NUVEEN INSURED FLORIDA TAX-FREE<BR>
    MUNICIPAL ADVANTAGE FUND<BR>
    </B>By:&#160;<BR>
    <DIV style="font-size: 3pt; margin-left: 0%; width: 100%; border-bottom: 1pt solid #000000"></DIV><!-- callerid=2083 iwidth=165 length=877 -->Name:&#160;Gifford
    R. Zimmerman<BR>
    Title:&#160;Chief Administrative Officer
</TD>
</TR>
<TR valign="bottom" style="line-height: 12pt">
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="top">
    ACKNOWLEDGED:<BR>
    <BR>
    By:&#160;<BR>
    <DIV style="font-size: 3pt; margin-left: 0%; width: 100%; border-bottom: 1pt solid #000000"></DIV><!-- callerid=2083 iwidth=165 length=877 -->Name:&#160;Mark
    L. Winget<BR>
    Title:&#160;Vice President and Assistant Secretary
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="top">
&nbsp;
</TD>
</TR>
</TABLE>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

</DIV>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <BR>
    A-16
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<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->
<DIV style="margin-top: 0pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; font-size: 11pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: 'Times New Roman', Times">APPENDIX&#160;B<BR>
    FINANCIAL HIGHLIGHTS</FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    Information contained in the tables below under the headings
    &#147;Per Share Operating Performance&#148; and
    &#147;Ratios/Supplemental Data&#148; shows the operating
    performance for the life of the Fund.
</DIV>

<DIV style="margin-top: 12pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">Acquiring
    Fund</FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The following financial highlights table is intended to help you
    understand the Fund&#146;s financial performance. Certain
    information reflects financial results from a single Fund common
    share outstanding throughout each period. The information in the
    financial highlights is derived from the Fund&#146;s financial
    statements audited
    by&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    independent registered public accounting firm, whose report on
    such financial statements appears in the Fund&#146;s Annual
    Report to shareholders. The Annual and Semi-Annual Reports may
    be obtained without charge by calling
    <FONT style="white-space: nowrap">(800)&#160;257-8787.</FONT>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE border="0" width="100%" align="center" cellpadding="0" cellspacing="0" style="font-size: 6pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
<!-- Table Width Row BEGIN -->
<TR style="font-size: 1pt" valign="bottom">
    <TD width="50%">&nbsp;</TD>	<!-- colindex=01 type=maindata -->
    <TD width="1%">&nbsp;</TD>	<!-- colindex=02 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=02 type=lead -->
    <TD width="2%" align="right">&nbsp;</TD>	<!-- colindex=02 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=02 type=hang1 -->
    <TD width="5%">&nbsp;</TD>	<!-- colindex=03 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=03 type=lead -->
    <TD width="2%" align="right">&nbsp;</TD>	<!-- colindex=03 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=03 type=hang1 -->
    <TD width="5%">&nbsp;</TD>	<!-- colindex=04 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=04 type=lead -->
    <TD width="2%" align="right">&nbsp;</TD>	<!-- colindex=04 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=04 type=hang1 -->
    <TD width="5%">&nbsp;</TD>	<!-- colindex=05 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=05 type=lead -->
    <TD width="2%" align="right">&nbsp;</TD>	<!-- colindex=05 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=05 type=hang1 -->
    <TD width="5%">&nbsp;</TD>	<!-- colindex=06 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=06 type=lead -->
    <TD width="2%" align="right">&nbsp;</TD>	<!-- colindex=06 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=06 type=hang1 -->
    <TD width="5%">&nbsp;</TD>	<!-- colindex=07 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=07 type=lead -->
    <TD width="2%" align="right">&nbsp;</TD>	<!-- colindex=07 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=07 type=hang1 -->
</TR>
<!-- Table Width Row END -->
<TR style="font-size: 6pt" valign="bottom" align="center">
<TD nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="22" align="center" valign="bottom" style="border-bottom: 1px solid #000000">
    <B>Year Ended October&#160;31,</B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 6pt" valign="bottom" align="center">
<TD nowrap align="left" valign="bottom">
    <B>Per Share Operating Performance</B>
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    <B>2008</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    <B>2007</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    <B>2006</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    <B>2005</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    <B>2004</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    <B>2003(a)</B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 1pt" valign="bottom" align="center">
<TD colspan="24" align="center" valign="bottom" style="font-size: 1pt; border-bottom: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="line-height: 3pt; font-size: 1pt">
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -6pt; margin-left: 6pt">
    Beginning Common Share Net Asset Value
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    14.71
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    14.93
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    14.56
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    14.75
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    14.54
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    14.33
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -6pt; margin-left: 6pt">
    Investment Operations:
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Net Investment Income
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.95
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.97
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.97
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.97
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.99
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.82
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Net Realized/Unrealized Gain (Loss)
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (2.31
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.21
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.38
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.19
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.21
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.42
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Distributions from Net Investment Income to Preferred
    Shareholders&#134;
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.27
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.27
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.24
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.15
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.07
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.05
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Distributions from Capital Gains to Preferred Shareholders&#134;
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Total
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (1.63
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.49
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.11
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.63
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.13
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.19
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -6pt; margin-left: 6pt">
    Less Distributions:
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Net Investment Income to Common Shareholders
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.71
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.71
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.74
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.81
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.92
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.78
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Capital Gains to Common Shareholders
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.01
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.01
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Total
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.71
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.71
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.74
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.82
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.93
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.78
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -6pt; margin-left: 6pt">
    Offering Costs and Preferred Share Underwriting Discounts
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.01
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.20
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -6pt; margin-left: 6pt">
    Ending Common Share Net Asset Value
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    12.37
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    14.71
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    14.93
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    14.56
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    14.75
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    14.54
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 3px double #000000">
&nbsp;
</TD>
<TD style="border-top: 3px double #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 3px double #000000">
&nbsp;
</TD>
<TD style="border-top: 3px double #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 3px double #000000">
&nbsp;
</TD>
<TD style="border-top: 3px double #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 3px double #000000">
&nbsp;
</TD>
<TD style="border-top: 3px double #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 3px double #000000">
&nbsp;
</TD>
<TD style="border-top: 3px double #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 3px double #000000">
&nbsp;
</TD>
<TD style="border-top: 3px double #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -6pt; margin-left: 6pt">
    Ending Market Value
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    11.40
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    14.30
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    14.35
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    13.41
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    14.91
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    14.79
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -6pt; margin-left: 6pt">
    Total Returns:
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Based on Market Value*
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (15.97
</TD>
<TD nowrap align="left" valign="bottom">
    )%
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    4.59
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    12.82
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (4.68
</TD>
<TD nowrap align="left" valign="bottom">
    )%
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    7.41
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    3.87
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Based on Common Share Net Asset Value*
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (11.56
</TD>
<TD nowrap align="left" valign="bottom">
    )%
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    3.35
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    7.82
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    4.33
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    8.07
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    6.98
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
</TABLE>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <BR>
    B-1
</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->
<DIV style="margin-top: 0pt; font-size: 1pt">&nbsp;</DIV>

<TABLE border="0" width="100%" align="center" cellpadding="0" cellspacing="0" style="font-size: 6pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
<!-- Table Width Row BEGIN -->
<TR style="font-size: 1pt" valign="bottom">
    <TD width="50%">&nbsp;</TD>	<!-- colindex=01 type=maindata -->
    <TD width="1%">&nbsp;</TD>	<!-- colindex=02 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=02 type=lead -->
    <TD width="2%" align="right">&nbsp;</TD>	<!-- colindex=02 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=02 type=hang1 -->
    <TD width="5%">&nbsp;</TD>	<!-- colindex=03 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=03 type=lead -->
    <TD width="2%" align="right">&nbsp;</TD>	<!-- colindex=03 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=03 type=hang1 -->
    <TD width="5%">&nbsp;</TD>	<!-- colindex=04 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=04 type=lead -->
    <TD width="2%" align="right">&nbsp;</TD>	<!-- colindex=04 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=04 type=hang1 -->
    <TD width="5%">&nbsp;</TD>	<!-- colindex=05 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=05 type=lead -->
    <TD width="2%" align="right">&nbsp;</TD>	<!-- colindex=05 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=05 type=hang1 -->
    <TD width="5%">&nbsp;</TD>	<!-- colindex=06 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=06 type=lead -->
    <TD width="2%" align="right">&nbsp;</TD>	<!-- colindex=06 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=06 type=hang1 -->
    <TD width="5%">&nbsp;</TD>	<!-- colindex=07 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=07 type=lead -->
    <TD width="2%" align="right">&nbsp;</TD>	<!-- colindex=07 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=07 type=hang1 -->
</TR>
<!-- Table Width Row END -->
<TR style="font-size: 6pt" valign="bottom" align="center">
<TD nowrap align="center" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="22" align="center" valign="bottom" style="border-bottom: 1px solid #000000">
    <B>Year Ended October&#160;31,</B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 6pt" valign="bottom" align="center">
<TD nowrap align="left" valign="bottom">
    <B>Per Share Operating Performance</B>
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    <B>2008</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    <B>2007</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    <B>2006</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    <B>2005</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    <B>2004</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    <B>2003(a) </B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 1pt" valign="bottom" align="center">
<TD colspan="24" align="center" valign="bottom" style="font-size: 1pt; border-bottom: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="line-height: 3pt; font-size: 1pt">
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom" style="line-height: 6pt">
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -6pt; margin-left: 6pt">
    <B>Ratios/Supplemental Data</B>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -6pt; margin-left: 6pt">
    Ending Net Assets Applicable to Common Shares (000)
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    229,075
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    272,391
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    276,506
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    269,614
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    273,112
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    269,112
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -6pt; margin-left: 6pt">
    Ratios to Average Net Assets Applicable to Common Shares
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -6pt; margin-left: 6pt">
    Before Credit/Reimbursement&#134;&#134;:
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Expenses Including Interest(b)
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.26
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.19
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.19
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.19
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.20
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.12
</TD>
<TD nowrap align="left" valign="bottom">
    %***
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Expenses Excluding Interest(b)
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.19
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.17
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.19
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.19
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.20
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.12
</TD>
<TD nowrap align="left" valign="bottom">
    %***
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Net Investment Income
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    6.27
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    6.04
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    6.12
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    6.06
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    6.24
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    5.52
</TD>
<TD nowrap align="left" valign="bottom">
    %***
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -6pt; margin-left: 6pt">
    Ratios to Average Net Assets Applicable to Common Shares
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -6pt; margin-left: 6pt">
    After Credit/Reimbursement&#134;&#134;**:
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Expenses Including Interest(b)
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.86
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.69
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.69
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.70
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.71
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.65
</TD>
<TD nowrap align="left" valign="bottom">
    %***
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Expenses Excluding Interest(b)
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.80
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.67
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.69
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.70
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.71
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.65
</TD>
<TD nowrap align="left" valign="bottom">
    %***
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Net Investment Income
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    6.67
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    6.54
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    6.61
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    6.55
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    6.73
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    6.00
</TD>
<TD nowrap align="left" valign="bottom">
    %***
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -6pt; margin-left: 6pt">
    Portfolio Turnover Rate
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    8
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    6
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    13
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    72
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -6pt; margin-left: 6pt">
    Preferred Shares at End of Period:
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Aggregate Amount Outstanding (000)
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    132,800
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    144,000
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    144,000
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    144,000
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    144,000
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    144,000
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Liquidation and Market Value Per Share
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    25,000
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    25,000
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    25,000
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    25,000
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    25,000
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    25,000
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Asset Coverage Per Share
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    68,124
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    72,290
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    73,005
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    71,808
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    72,415
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    71,721
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD colspan="25" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD colspan="25" style="border-top: 1px solid #000000">
&nbsp;
</TD>
</TR>
</TABLE>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

</DIV>

<DIV style="margin-top: 3pt; font-size: 1pt">&nbsp;</DIV>



<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

<TR>
    <TD width="2%"></TD>
    <TD width="1%"></TD>
    <TD width="97%"></TD>
</TR>

<TR>
    <TD align="right" valign="top">
    <FONT style="font-size: 8pt">*
    </FONT></TD>
    <TD></TD>
    <TD valign="bottom">
    <FONT style="font-size: 8pt">Total Return Based on Market Value
    is the combination of changes in the market price per share and
    the effect of reinvested dividend income and reinvested capital
    gains distributions, if any, at the average price paid per share
    at the time of reinvestment. The last dividend declared in the
    period, which is typically paid on the first business day of the
    following month, is assumed to be reinvested at the ending
    market price. The actual reinvestment for the last dividend
    declared in the period may take place over several days, and in
    some instances may not be based on the market price, so the
    actual reinvestment price may be different from the price used
    in the calculation. Total returns are not annualized.
    </FONT></TD>
</TR>


<TR style="line-height: 3pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
</TD>
    <TD></TD>
    <TD valign="bottom">
    <FONT style="font-size: 8pt">Total Return Based on Common Share
    Net Asset Value is the combination of changes in common share
    net asset value, reinvested dividend income at net asset value
    and reinvested capital gains distributions at net asset value,
    if any. The last dividend declared in the period, which is
    typically paid on the first business day of the following month,
    is assumed to be reinvested at the ending net asset value. The
    actual reinvest price for the last dividend declared in the
    period may often be based on the Fund&#146;s market price (and
    not its net asset value), and therefore may be different from
    the price used in the calculation. Total returns are not
    annualized.
    </FONT></TD>
</TR>


<TR style="line-height: 3pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD align="right" valign="top">
    <FONT style="font-size: 8pt">**
    </FONT></TD>
    <TD></TD>
    <TD valign="bottom">
    <FONT style="font-size: 8pt">After custodian fee credit and
    expense reimbursement, where applicable.
    </FONT></TD>
</TR>


<TR style="line-height: 3pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD align="right" valign="top">
    <FONT style="font-size: 8pt">***
    </FONT></TD>
    <TD></TD>
    <TD valign="bottom">
    <FONT style="font-size: 8pt">Annualized.
    </FONT></TD>
</TR>


<TR style="line-height: 3pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD align="right" valign="top">
    <FONT style="font-size: 8pt">&#134;
    </FONT></TD>
    <TD></TD>
    <TD valign="bottom">
    <FONT style="font-size: 8pt">The amounts shown are based on
    common share equivalents.
    </FONT></TD>
</TR>


<TR style="line-height: 3pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD align="right" valign="top">
    <FONT style="font-size: 8pt">&#134;&#134;
    </FONT></TD>
    <TD></TD>
    <TD valign="bottom">
    <FONT style="font-size: 8pt">Ratios do not reflect the effect of
    dividend payments to preferred shareholders; income ratios
    reflect income earned on assets attributable to preferred shares.
    </FONT></TD>
</TR>


<TR style="line-height: 3pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD align="right" valign="top">
    <FONT style="font-size: 8pt">(a)
    </FONT></TD>
    <TD></TD>
    <TD valign="bottom">
    <FONT style="font-size: 8pt">For the period November&#160;21,
    2002 (commencement of operations) through October&#160;31, 2003.
    </FONT></TD>
</TR>


<TR style="line-height: 3pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD align="right" valign="top">
    <FONT style="font-size: 8pt">(b)
    </FONT></TD>
    <TD></TD>
    <TD valign="bottom">
    <FONT style="font-size: 8pt">Interest expense arises from the
    application of SFAS&#160;No.&#160;140 to certain inverse
    floating rate transactions entered into by the Fund as more
    fully described in Footnote 1&#160;&#150; Inverse Floating Rate
    Securities, in the Fund&#146;s annual report.
    </FONT></TD>
</TR>

</TABLE>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    B-2
</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->
<DIV style="margin-top: 0pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

    <B><FONT style="font-family: Arial, Helvetica">Acquiring
    Fund</FONT></B>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    The following financial highlights table is intended to help you
    understand the Fund&#146;s financial performance. Certain
    information reflects financial results from a single Fund common
    share outstanding throughout each period. Except where noted,
    the information in the financial highlights is derived from the
    Fund&#146;s financial statements audited
    by&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;,
    independent registered public accounting firm, whose report on
    such financial statements appears in the Fund&#146;s Annual
    Report to shareholders. The information as of October&#160;31,
    2008 appears in the Fund&#146;s unaudited interim financial
    statements as filed with the SEC in the Fund&#146;s Semi-Annual
    Report to shareholders. The Annual and Semi-Annual Reports may
    be obtained without charge by calling
    <FONT style="white-space: nowrap">(800)&#160;257-8787.</FONT>
</DIV>

<DIV style="margin-top: 6pt; font-size: 1pt">&nbsp;</DIV>

<TABLE border="0" width="100%" align="center" cellpadding="0" cellspacing="0" style="font-size: 6pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
<!-- Table Width Row BEGIN -->
<TR style="font-size: 1pt" valign="bottom">
    <TD width="47%">&nbsp;</TD>	<!-- colindex=01 type=maindata -->
    <TD width="1%">&nbsp;</TD>	<!-- colindex=02 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=02 type=lead -->
    <TD width="2%" align="right">&nbsp;</TD>	<!-- colindex=02 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=02 type=hang1 -->
    <TD width="5%">&nbsp;</TD>	<!-- colindex=03 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=03 type=lead -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=03 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=03 type=hang1 -->
    <TD width="5%">&nbsp;</TD>	<!-- colindex=04 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=04 type=lead -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=04 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=04 type=hang1 -->
    <TD width="5%">&nbsp;</TD>	<!-- colindex=05 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=05 type=lead -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=05 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=05 type=hang1 -->
    <TD width="5%">&nbsp;</TD>	<!-- colindex=06 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=06 type=lead -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=06 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=06 type=hang1 -->
    <TD width="5%">&nbsp;</TD>	<!-- colindex=07 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=07 type=lead -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=07 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=07 type=hang1 -->
    <TD width="5%">&nbsp;</TD>	<!-- colindex=08 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=08 type=lead -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=08 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=08 type=hang1 -->
</TR>
<!-- Table Width Row END -->
<TR style="font-size: 7pt" valign="bottom" align="center">
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    <B>2009(a)<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="6" align="center" valign="bottom" style="border-bottom: 1px solid #000000">
    <B>Year Ended April&#160;30,</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="14" align="center" valign="bottom" style="border-bottom: 1px solid #000000">
    <B>Year Ended June&#160;30,</B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 7pt" valign="bottom" align="center">
<TD nowrap align="left" valign="bottom">
    <B>Per Share Operating Performance</B>
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    <B>(unaudited)</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    <B>2008</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    <B>2007(b)</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    <B>2006</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    <B>2005</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    <B>2004</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    <B>2003(c)</B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 1pt" valign="bottom" align="center">
<TD colspan="28" align="center" valign="bottom" style="font-size: 1pt; border-bottom: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="line-height: 3pt; font-size: 1pt">
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -6pt; margin-left: 6pt">
    Beginning Common Share Net Asset Value
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    14.15
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    14.56
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    14.07
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    14.76
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    13.78
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    14.75
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    14.33
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -6pt; margin-left: 6pt">
    Investment Operations:
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Net Investment Income
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.44
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.90
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.75
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.90
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.90
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.93
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.40
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Net Realized/Unrealized Gain (Loss)
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (1.55
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.41
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.50
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.71
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.98
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.99
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.70
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Distributions from Net Investment Income to Preferred
    Shareholders&#134;
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.14
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.27
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.21
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.19
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.10
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.05
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.03
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Distributions from Capital Gains to Preferred Shareholders&#134;
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Total
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (1.25
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.22
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.04
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.78
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.11
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.07
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -6pt; margin-left: 6pt">
    Less Distributions:
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Net Investment Income to Common Shareholders
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.31
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.63
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.55
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.69
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.80
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.86
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.43
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Capital Gains to Common Shareholders
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Total
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.31
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.63
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.55
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.69
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.80
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.86
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.43
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -6pt; margin-left: 6pt">
    Offering Costs and Preferred Share Underwriting Discounts
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    &#151;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.22
</TD>
<TD nowrap align="left" valign="bottom">
    )
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD style="border-top: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -6pt; margin-left: 6pt">
    Ending Common Share Net Asset Value
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    12.59
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    14.15
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    14.56
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    14.07
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    14.76
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    13.78
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    14.75
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 3px double #000000">
&nbsp;
</TD>
<TD style="border-top: 3px double #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 3px double #000000">
&nbsp;
</TD>
<TD style="border-top: 3px double #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 3px double #000000">
&nbsp;
</TD>
<TD style="border-top: 3px double #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 3px double #000000">
&nbsp;
</TD>
<TD style="border-top: 3px double #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 3px double #000000">
&nbsp;
</TD>
<TD style="border-top: 3px double #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 3px double #000000">
&nbsp;
</TD>
<TD style="border-top: 3px double #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD style="border-top: 3px double #000000">
&nbsp;
</TD>
<TD style="border-top: 3px double #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -6pt; margin-left: 6pt">
    Ending Market Value
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    10.25
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    12.59
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    13.69
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    13.37
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    14.26
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    12.94
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    15.87
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -6pt; margin-left: 6pt">
    Total Returns:
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Based on Market Value*
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (16.37
</TD>
<TD nowrap align="left" valign="bottom">
    )%
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (3.45
</TD>
<TD nowrap align="left" valign="bottom">
    )%
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    6.65
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (1.43
</TD>
<TD nowrap align="left" valign="bottom">
    )%
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    16.62
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (13.56
</TD>
<TD nowrap align="left" valign="bottom">
    )%
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    8.82
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Based on Common Share Net Asset Value*
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (8.95
</TD>
<TD nowrap align="left" valign="bottom">
    )%
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.61
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    7.46
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.03
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    13.18
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    (0.79
</TD>
<TD nowrap align="left" valign="bottom">
    )%
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    6.08
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
</TABLE>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <BR>
    B-3
</DIV><!-- END PAGE WIDTH -->
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="width: 78%; margin-left: 11%"><!-- BEGIN PAGE WIDTH -->
<DIV style="margin-top: 0pt; font-size: 1pt">&nbsp;</DIV>

<TABLE border="0" width="100%" align="center" cellpadding="0" cellspacing="0" style="font-size: 6pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF"><!-- TABLE 01 -->
<!-- Table Width Row BEGIN -->
<TR style="font-size: 1pt" valign="bottom">
    <TD width="47%">&nbsp;</TD>	<!-- colindex=01 type=maindata -->
    <TD width="1%">&nbsp;</TD>	<!-- colindex=02 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=02 type=lead -->
    <TD width="2%" align="right">&nbsp;</TD>	<!-- colindex=02 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=02 type=hang1 -->
    <TD width="5%">&nbsp;</TD>	<!-- colindex=03 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=03 type=lead -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=03 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=03 type=hang1 -->
    <TD width="5%">&nbsp;</TD>	<!-- colindex=04 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=04 type=lead -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=04 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=04 type=hang1 -->
    <TD width="5%">&nbsp;</TD>	<!-- colindex=05 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=05 type=lead -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=05 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=05 type=hang1 -->
    <TD width="5%">&nbsp;</TD>	<!-- colindex=06 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=06 type=lead -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=06 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=06 type=hang1 -->
    <TD width="5%">&nbsp;</TD>	<!-- colindex=07 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=07 type=lead -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=07 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=07 type=hang1 -->
    <TD width="5%">&nbsp;</TD>	<!-- colindex=08 type=gutter -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=08 type=lead -->
    <TD width="1%" align="right">&nbsp;</TD>	<!-- colindex=08 type=body -->
    <TD width="1%" align="left">&nbsp;</TD>	<!-- colindex=08 type=hang1 -->
</TR>
<!-- Table Width Row END -->
<TR style="font-size: 7pt" valign="bottom" align="center">
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    <B>2009(a)<BR>
    </B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="6" align="center" valign="bottom" style="border-bottom: 1px solid #000000">
    <B>Year Ended April&#160;30,</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="14" align="center" valign="bottom" style="border-bottom: 1px solid #000000">
    <B>Year Ended June&#160;30,</B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 7pt" valign="bottom" align="center">
<TD nowrap align="left" valign="bottom">
    <B>Per Share Operating Performance</B>
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    <B>(unaudited)</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    <B>2008</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    <B>2007(b)</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    <B>2006</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    <B>2005</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    <B>2004</B>
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD colspan="2" nowrap align="center" valign="bottom">
    <B>2003(c) </B>
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="font-size: 1pt" valign="bottom" align="center">
<TD colspan="28" align="center" valign="bottom" style="font-size: 1pt; border-bottom: 1px solid #000000">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR style="line-height: 3pt; font-size: 1pt">
<TD>&nbsp;
</TD>
</TR>
<TR valign="bottom" style="line-height: 6pt">
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -6pt; margin-left: 6pt">
    <B>Ratios/Supplemental Data</B>
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -6pt; margin-left: 6pt">
    Ending Net Assets Applicable to Common Shares (000)
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    48,875
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    54,926
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    56,546
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    54,625
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    57,296
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    53,504
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    57,223
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -6pt; margin-left: 6pt">
    Ratios to Average Net Assets Applicable to Common Shares
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD nowrap align="left" valign="bottom">
<DIV style="text-indent: -6pt; margin-left: 6pt">
    Before Credit/Reimbursement&#134;&#134;:
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Expenses Including Interest(d)
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.29
</TD>
<TD nowrap align="left" valign="bottom">
    %***
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.24
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.25
</TD>
<TD nowrap align="left" valign="bottom">
    %***
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.26
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.24
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.25
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.15
</TD>
<TD nowrap align="left" valign="bottom">
    %***
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Expenses Excluding Interest(d)
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.29
</TD>
<TD nowrap align="left" valign="bottom">
    %***
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.24
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.25
</TD>
<TD nowrap align="left" valign="bottom">
    %***
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.26
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.24
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.25
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1.15
</TD>
<TD nowrap align="left" valign="bottom">
    %***
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Net Investment Income
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    6.03
</TD>
<TD nowrap align="left" valign="bottom">
    %***
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    5.89
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    5.73
</TD>
<TD nowrap align="left" valign="bottom">
    %***
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    5.77
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    5.77
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    6.04
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    4.18
</TD>
<TD nowrap align="left" valign="bottom">
    %***
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
    Ratios to Average Net Assets Applicable to Common Shares <BR>
    After Credit/Reimbursement&#134;&#134;**:
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Expenses Including Interest(d)
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.90
</TD>
<TD nowrap align="left" valign="bottom">
    %***
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.78
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.76
</TD>
<TD nowrap align="left" valign="bottom">
    %***
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.76
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.75
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.74
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.67
</TD>
<TD nowrap align="left" valign="bottom">
    %***
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Expenses Excluding Interest(d)
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.90
</TD>
<TD nowrap align="left" valign="bottom">
    %***
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.78
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.76
</TD>
<TD nowrap align="left" valign="bottom">
    %***
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.76
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.75
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.74
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    0.67
</TD>
<TD nowrap align="left" valign="bottom">
    %***
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Net Investment Income
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    6.42
</TD>
<TD nowrap align="left" valign="bottom">
    %***
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    6.35
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    6.23
</TD>
<TD nowrap align="left" valign="bottom">
    %***
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    6.27
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    6.26
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    6.56
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    4.66
</TD>
<TD nowrap align="left" valign="bottom">
    %***
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -6pt; margin-left: 6pt">
    Portfolio Turnover Rate
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    1
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    29
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    2
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    5
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    7
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    130
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
    46
</TD>
<TD nowrap align="left" valign="bottom">
    %
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -6pt; margin-left: 6pt">
    Preferred Shares at End of Period:
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="right" valign="bottom">
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Aggregate Amount Outstanding (000)
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    29,000
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    29,000
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    29,000
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    29,000
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    29,000
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    29,000
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    29,000
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="background: #CCEEFF">
<TD align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Liquidation and Market Value Per Share
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    25,000
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    25,000
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    25,000
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    25,000
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    25,000
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    25,000
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    25,000
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom">
<TD align="left" valign="bottom">
<DIV style="text-indent: -7pt; margin-left: 13pt">
    Asset Coverage Per Share
</DIV>
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    67,133
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    72,350
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    73,746
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    72,090
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    74,393
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    71,124
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
<TD>
&nbsp;
</TD>
<TD nowrap align="left" valign="bottom">
    $
</TD>
<TD nowrap align="right" valign="bottom">
    74,330
</TD>
<TD nowrap align="left" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD colspan="29" valign="bottom">
&nbsp;
</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
<TD colspan="29" style="border-top: 1px solid #000000">
&nbsp;
</TD>
</TR>
</TABLE>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

</DIV>

<DIV style="margin-top: 3pt; font-size: 1pt">&nbsp;</DIV>



<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF"><!-- TABLE 06 -->

<TR>
    <TD width="2%"></TD>
    <TD width="1%"></TD>
    <TD width="97%"></TD>
</TR>

<TR>
    <TD align="right" valign="top">
    <FONT style="font-size: 8pt">*
    </FONT></TD>
    <TD></TD>
    <TD valign="bottom">
    <FONT style="font-size: 8pt">Total Return Based on Market Value
    is the combination of changes in the market price per share and
    the effect of reinvested dividend income and reinvested capital
    gains distributions, if any, at the average price paid per share
    at the time of reinvestment. The last dividend declared in the
    period, which is typically paid on the first business day of the
    following month, is assumed to be reinvested at the ending
    market price. The actual reinvestment for the last dividend
    declared in the period may take place over several days, and in
    some instances may not be based on the market price, so the
    actual reinvestment price may be different from the price used
    in the calculation. Total returns are not annualized.
    </FONT></TD>
</TR>


<TR style="line-height: 3pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD valign="top">
</TD>
    <TD></TD>
    <TD valign="bottom">
    <FONT style="font-size: 8pt">Total Return Based on Common Share
    Net Asset Value is the combination of changes in common share
    net asset value, reinvested dividend income at net asset value
    and reinvested capital gains distributions at net asset value,
    if any. The last dividend declared in the period, which is
    typically paid on the first business day of the following month,
    is assumed to be reinvested at the ending net asset value. The
    actual reinvest price for the last dividend declared in the
    period may often be based on the Fund&#146;s market price (and
    not its net asset value), and therefore may be different from
    the price used in the calculation. Total returns are not
    annualized.
    </FONT></TD>
</TR>


<TR style="line-height: 3pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD align="right" valign="top">
    <FONT style="font-size: 8pt">**
    </FONT></TD>
    <TD></TD>
    <TD valign="bottom">
    <FONT style="font-size: 8pt">After custodian fee credit and
    expense reimbursement, where applicable.
    </FONT></TD>
</TR>


<TR style="line-height: 3pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD align="right" valign="top">
    <FONT style="font-size: 8pt">***
    </FONT></TD>
    <TD></TD>
    <TD valign="bottom">
    <FONT style="font-size: 8pt">Annualized.
    </FONT></TD>
</TR>


<TR style="line-height: 3pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD align="right" valign="top">
    <FONT style="font-size: 8pt">&#134;
    </FONT></TD>
    <TD></TD>
    <TD valign="bottom">
    <FONT style="font-size: 8pt">The amounts shown are based on
    common share equivalents.
    </FONT></TD>
</TR>


<TR style="line-height: 3pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD align="right" valign="top">
    <FONT style="font-size: 8pt">&#134;&#134;
    </FONT></TD>
    <TD></TD>
    <TD valign="bottom">
    <FONT style="font-size: 8pt">Ratios do not reflect the effect of
    dividend payments to preferred shareholders; income ratios
    reflect income earned on assets attributable to preferred shares.
    </FONT></TD>
</TR>


<TR style="line-height: 3pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD align="right" valign="top">
    <FONT style="font-size: 8pt">(a)
    </FONT></TD>
    <TD></TD>
    <TD valign="bottom">
    <FONT style="font-size: 8pt">For the six months ended
    October&#160;31, 2008.
    </FONT></TD>
</TR>


<TR style="line-height: 3pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD align="right" valign="top">
    <FONT style="font-size: 8pt">(b)
    </FONT></TD>
    <TD></TD>
    <TD valign="bottom">
    <FONT style="font-size: 8pt">For the ten months ended
    April&#160;30, 2007.
    </FONT></TD>
</TR>


<TR style="line-height: 3pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD align="right" valign="top">
    <FONT style="font-size: 8pt">(c)
    </FONT></TD>
    <TD></TD>
    <TD valign="bottom">
    <FONT style="font-size: 8pt">For the period November&#160;21,
    2002 (commencement of operations) through June&#160;30, 2003.
    </FONT></TD>
</TR>


<TR style="line-height: 3pt; font-size: 1pt"><TD>&nbsp;</TD></TR>

<TR>
    <TD align="right" valign="top">
    <FONT style="font-size: 8pt">(d)
    </FONT></TD>
    <TD></TD>
    <TD valign="bottom">
    <FONT style="font-size: 8pt">Interest expense arises from the
    application of SFAS&#160;No.&#160;140 to certain inverse
    floating rate transactions entered into by the Fund as more
    fully described in Footnote 1&#160;&#150; Inverse Floating Rate
    Securities, in the Fund&#146;s annual report.
    </FONT></TD>
</TR>

</TABLE>

<P align="center" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    B-4
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<DIV style="margin-top: 3pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="center" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <IMG src="c496858cc4968502.gif" alt="[NUVEEN INVESTMENTS LOGO]"><FONT style="font-size: 8pt">
    </FONT>
</DIV>

<DIV style="margin-top: 3pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <FONT style="font-size: 9pt; font-family: 'Times New Roman', Times">Nuveen
    Investments
    </FONT>
</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <FONT style="font-size: 9pt; font-family: 'Times New Roman', Times">333
    West Wacker Drive
    </FONT>
</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <FONT style="font-size: 9pt; font-family: 'Times New Roman', Times">Chicago,
    IL 60606-1286
    </FONT>
</DIV>

<DIV style="margin-top: 9pt; font-size: 1pt">&nbsp;</DIV>

<DIV align="left" style="margin-left: 0%; margin-right: 0%; text-indent: 0%; font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">
    <FONT style="font-size: 9pt; font-family: 'Times New Roman', Times">(800)&#160;257-8787
    </FONT>
</DIV>

<DIV style="margin-top: 9pt; font-size: 1pt">&nbsp;</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; font-family: Arial, Helvetica; color: #000000; background: #FFFFFF">

<TR>
    <TD width="50%"></TD>
    <TD width="50%"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">    <FONT style="font-size: 9pt; font-family: 'Times New Roman', Times">www.nuveen.com
    </FONT></TD>
    <TD nowrap align="right">    <FONT style="font-size: 9pt; font-family: 'Times New Roman', Times">
    </FONT><FONT style="font-size: 8pt; font-family: 'Times New Roman', Times">XXX0609
    </FONT></TD>
</TR>

</TABLE>

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<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>STATEMENT OF ADDITIONAL INFORMATION</B>
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 0pt"><B>RELATING TO THE ACQUISITION OF THE ASSETS AND LIABILITIES OF</B>

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>NUVEEN INSURED FLORIDA TAX-FREE ADVANTAGE MUNICIPAL FUND<BR>
(the &#147;Florida Fund&#148; or the &#147;Acquired Fund&#148;)</B>

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>BY AND IN EXCHANGE FOR SHARES OF</B>

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>NUVEEN INSURED TAX-FREE ADVANTAGE MUNICIPAL FUND<BR>
(the &#147;National Fund&#148; or the &#147;Acquiring Fund&#148; and, together with the Florida Fund, the &#147;Funds&#148; and<BR>
each a &#147;Fund&#148;)</B>

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This Statement of Additional Information is available to shareholders of the Nuveen Insured
Florida Tax-Free Advantage Municipal Fund in connection with the proposed reorganization whereby
the National Fund would (i)&nbsp;acquire all of the assets and assume all of the liabilities of the
Florida Fund in exchange solely for common shares and Municipal Auction Rate Cumulative Preferred
Shares (&#147;MuniPreferred&#148;), Series&nbsp;W2, of the National Fund, (ii)&nbsp;distribute such shares of the
National Fund to the common shareholders and MuniPreferred, Series&nbsp;W, shareholders of the Florida
Fund and (iii)&nbsp;be liquidated, dissolved and terminated as a trust in accordance with the Florida
Fund&#146;s Declaration of Trust (collectively, the &#147;Reorganization&#148;).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>This Statement of Additional Information is not a prospectus and should be read in conjunction
with the Proxy Statement/Prospectus dated &#95;&#95;&#95;, 2009 relating to the proposed Reorganization
of the Florida Fund into the National Fund (the &#147;Proxy Statement/Prospectus&#148;)</B>. A copy of the Proxy
Statement/Prospectus and other information may be obtained without charge by calling
(800)&nbsp;257-8787, by writing to the Funds or from the Funds&#146; website (http://www.nuveen.com). The
information contained in, or that can be accessed through, the Funds&#146; website is not part of the
Proxy Statement/Prospectus or this Statement of Additional Information. You may also obtain a copy
of the Proxy Statement/Prospectus on the Securities and Exchange Commission&#146;s website
(http://www.sec.gov). Capitalized terms used but not defined in this Statement of Additional
Information have the meanings ascribed to them in the Proxy Statement/Prospectus.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

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<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left">
<!-- TOC -->
</DIV>
<DIV align="left">
<A name="tocpage"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>TABLE OF CONTENTS</B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="92%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Page</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#101">Investment Objectives and Policies</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#102">Additional Information on Municipal Bond Insurance</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#103">Investment Restrictions</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#104">Portfolio Composition</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#105">Management of the Funds</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#106">Investment Adviser</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">36</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#107">Portfolio Managers</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">36</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#108">Portfolio Transactions and Brokerage</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">39</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#109">Repurchase of Fund Shares; Conversion to Open-End Fund</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">40</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#110">Tax Matters</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">42</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#111">Experts</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">46</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#112">Custodian and Transfer Agent</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">46</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#113">Additional Information</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">47</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#114">Financial Statements</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">48</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#115">APPENDIX A Statement Establishing and Fixing the Rights and
Preferences of Municipal Auction Rate Cumulative Preferred
Shares</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">A-1</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#116">APPENDIX B Ratings of Investments</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">B-1</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#117">APPENDIX C Taxable Equivalent Yield Table</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">C-1</TD>
    <TD>&nbsp;</TD>
</TR>
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<DIV align="left">
<A name="101"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>INVESTMENT OBJECTIVES AND POLICIES</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Funds have similar investment objectives. Both Funds&#146; investment objectives are to
provide current income exempt from regular federal income tax and the alternative minimum tax
applicable to individuals and enhance portfolio value relative to the municipal bond market by
investing in tax-exempt municipal bonds that the Funds&#146; investment adviser believes are underrated
or undervalued or that represent municipal market sectors that are undervalued. The Acquired
Fund&#146;s shares will also be exempt from other Florida intangible personal property tax. Each Fund&#146;s
investment objectives are fundamental policies of the Fund, and may not be changed, without the
approval of the holders of a majority of the outstanding common shares and MuniPreferred shares
voting together as a single class, and of the holders of a majority of the outstanding
MuniPreferred shares voting as a separate class. In addition, the Acquiring Fund is a diversified
management investment company and the Acquired Fund is a non-diversified management investment
company.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Each Fund seeks to achieve its investment objectives by investing in a portfolio of municipal
securities (defined below), a significant portion of which NAM believes are underrated and
undervalued, based upon its bottom-up, research-driven investment strategy. Underrated municipal
securities are those whose ratings do not, in NAM&#146;s opinion, reflect their true creditworthiness.
Undervalued municipal securities are securities that, in NAM&#146;s opinion, are worth more than the
value assigned to them in the marketplace. NAM believes its value oriented strategy offers the
opportunity to construct a well diversified portfolio of municipal securities that has the
potential to outperform major municipal market benchmarks over the longer term. A municipal
security&#146;s market value generally will depend upon its form, maturity, call features, and interest
rate, as well as the issuer&#146;s credit quality or credit rating, all such factors examined in the
context of the municipal securities market and interest rate levels and trends. NAM may at times
believe that securities associated with a particular municipal market sector (for example, electric
utilities), or issued by a particular municipal issuer, are undervalued. NAM may purchase such a
security for each Fund&#146;s portfolio because it represents a market sector or issuer that NAM
considers undervalued, even if the value of the particular security appears to be consistent with
the value of similar securities. Municipal securities of particular types (e.g., hospital bonds,
industrial revenue bonds or securities issued by a particular municipal issuer) may be undervalued
because there is a temporary excess of supply in that market sector, or because of a general
decline in the market price of municipal securities of the market sector for reasons that do not
apply to the particular municipal securities that are considered undervalued. Each Fund&#146;s
investment in underrated or undervalued municipal securities will be based on NAM&#146;s belief that
their yield is higher than that available on securities bearing equivalent levels of interest rate
risk, credit risk and other forms of risk, and that their prices will ultimately rise (relative to
the market) to reflect their true value. Each Fund attempts to increase its portfolio value
relative to the municipal bond market by prudent selection of municipal securities regardless of
the direction the market may move. Any capital appreciation realized by the Funds will generally
result in the distribution of taxable capital gains to common shareholders.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Each Fund may invest in various municipal securities, including municipal bonds and notes,
other securities issued to finance and refinance public projects, and other related securities and
derivative instruments creating exposure to municipal securities that provide for the payment of
interest income that is exempt from regular federal income tax (collectively, &#147;municipal
securities&#148;). Municipal securities are often issued by state and local governmental entities to
finance or refinance public projects, such as roads, schools, and water supply systems. Municipal
securities also may be issued on behalf of private entities or for private activities, such as
housing, medical and educational facility construction, or for privately owned transportation,
electric utility and pollution control projects. Municipal securities may be issued on a long-term
basis to provide long-term financing. The repayment of such debt may be secured generally by a
pledge of the full faith and credit taxing power of the issuer, a limited or special tax, or any
other revenue source, including project revenues, which may include tolls, fees and other user
charges,
</DIV>

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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">lease payments, and mortgage payments. Municipal securities also may be issued to finance
projects on a short-term interim basis, anticipating repayment with the proceeds of the later
issuance of long-term debt. Each Fund may purchase municipal securities in the form of bonds,
notes, leases or certificates of participation; structured as callable or non-callable; with
payment forms that include fixed coupon, variable rate, zero coupon, capital appreciation bonds,
tender-option bonds, and residual interest bonds or inverse floating rate securities. Such
municipal securities may also be acquired through investments in pooled vehicles, partnerships, or
other investment companies.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Funds also may invest in certain derivative instruments in pursuit of their investment
objectives. Such instruments include financial futures contracts, swap contracts (including
interest rate and credit default swaps), options on financial futures, options on swap contracts,
or other derivative instruments. NAM may use derivative instruments to seek to enhance return, to
hedge some of the risk of the Funds&#146; investments in municipal securities or as a substitute for a
position in the underlying asset. These types of strategies may generate taxable income.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Acquiring Fund and the Acquired Fund have similar investment policies. The Acquiring
Fund, under normal circumstances, will invest at least 80% of its net assets, including assets
attributable to any principal amount of any borrowings (including the issuance of commercial paper
or notes) or preferred shares outstanding (&#147;Acquiring Managed Assets&#148;), in a portfolio of
securities that pays interest exempt from federal income taxes (&#147;municipal securities&#148;) and from
the federal alternative minimum tax applicable to individuals. The Acquired Fund, under normal
circumstances, will invest at least 80% of its average daily net assets, including assets
attributable to any MuniPreferred shares that may be outstanding (&#147;Acquired Managed Assets&#148;), in a
portfolio of municipal bonds that pays interest that is exempt from regular federal income tax and
from the federal alternative minimum tax applicable to individuals, are exempt from the Florida
intangible personal property tax, and are covered by insurance guaranteeing the timely payment of
principal and interest thereon. For purposes of this Prospectus/Proxy Statement, Acquiring
Management Assets and Acquired Managed Assets are referred to herein as Managed Assets.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;For the purposes of the Acquiring Fund&#146;s investment policy to invest at least 80% of its net
assets in a portfolio of securities that are covered by insurance guaranteeing the timely payment
of principal and interest thereon, inverse floaters whose underlying bonds are covered by insurance
guaranteeing the timely payment of principal and interest thereon are included, and insurers must
have a claims-paying ability rated at least A by an NRSRO at the time of purchase or at the time
the bond is insured while in the portfolio.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;For the purposes of the Acquired Fund&#146;s investment policy to invest at least 80% of its net
assets in a portfolio of bonds that are covered by insurance guaranteeing the timely payment of
principal and interest thereon, insurers must have a claims-paying ability rated at least A by an
NRSRO at the time of purchase or at the time the bond is insured while in the portfolio.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Under normal circumstances, a Fund (i)&nbsp;expects to be fully invested (at least 95% of its
assets) in municipal bonds that pay interest that is exempt from regular federal income tax, (ii)
the federal alternative minimum tax applicable to individuals, and (iii)&nbsp;for the Acquired Fund, the
Florida intangible personal property tax.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Under normal circumstances, each Fund will invest at least 80% of its Managed Assets in
municipal securities covered by insurance from insurers with a claims-paying ability rated Aa/AA or
better by an NRSRO at the time of purchase; municipal securities rated Aa/AA or better by an NRSRO,
or that are unrated but judged to be of comparable quality by NAM, at the time of purchase; or
municipal bonds backed by an escrow or trust account containing sufficient U.S. Government or U.S.
Government agency securities to ensure timely payment of principal and interest. Under normal
circumstances, each Fund may invest up to 20% of its Managed Assets in municipal securities covered
by insurance from
</DIV>

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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">insurers with a claims-paying ability rated Baa/BBB or better by an NRSRO; or municipal
securities rated at least Baa/BBB or better by an NRSRO, or that are unrated but judged to be of
comparable quality by the Fund&#146;s investment adviser, at the time of purchase.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The foregoing credit quality policy applies only at the time a security is purchased, and a
Fund is not required to dispose of a security in the event that a rating agency downgrades its
assessment of the credit characteristics of a particular issue. In determining whether to retain
or sell such a security, NAM may consider such factors as NAM&#146;s assessment of the credit quality of
the issuer of such security, the price at which such security could be sold and the rating, if any,
assigned to such security by other rating agencies. Each Fund may also invest in securities of
other open- or closed-end investment companies that invest primarily in municipal bonds of the
types in which the Fund may invest directly.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The credit quality of companies that provide insurance on bonds will affect the value of those
bonds. Although the insurance feature reduces certain financial risks, the premiums for insurance
and the higher market price paid for insured obligations may reduce the Fund&#146;s income. The
insurance feature does not guarantee the market value of the insured obligations or the net asset
value of the common shares or MuniPreferred shares.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Each Fund may invest in uninsured municipal bonds that are entitled to the benefit of an
escrow or trust account that contains securities issued or guaranteed by the U.S. Government or
U.S. Government agencies backed by the full faith and credit of the United States, and sufficient
in amount to ensure the payment of interest and principal on the original interest payment and
maturity dates (&#147;collateralized obligations&#148;). These collateralized obligations generally will not
be insured and will include, but are not limited to, municipal bonds that have been (1)&nbsp;advance
refunded where the proceeds of the refunding have been used to buy U.S. Government or U.S.
Government agency securities that are placed in escrow and whose interest or maturing principal
payments, or both, are sufficient to cover the remaining scheduled debt service on that municipal
bond; or (2)&nbsp;issued under state or local housing finance programs that use the issuance proceeds to
fund mortgages that are then exchanged for U.S. Government or U.S. Government agency securities and
deposited with a trustee as security for those municipal bonds. These collateralized obligations
are normally regarded as having the credit characteristics of the underlying U.S. Government or
U.S. Government agency securities.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Each Fund will primarily invest in municipal securities with long-term maturities in order to
maintain a weighted average maturity of 15 to 30&nbsp;years, but the weighted average maturity of
obligations held by the Fund may be shortened, depending on market conditions.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Upon NAM&#146;s recommendation, during temporary defensive periods and in order to keep the Fund&#146;s
cash fully invested, each Fund may deviate from its investment objectives and policies and invest
up to 100% of its net assets in short-term investments including high quality, short-term
securities that may be either tax-exempt or taxable. The Funds intend to invest in taxable
short-term investments only in the event that suitable tax-exempt short-term investments are not
available at reasonable prices and yields. Investment in such short-term investments would result
in a portion of your dividends being subject to regular federal income tax and the federal
alternative minimum applicable to individuals.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The credit quality policies noted above apply only at the time a security is purchased, and
the Funds are not required to dispose of a security in the event that a rating agency downgrades
its assessment of the credit characteristics of a particular issue. In determining whether to
retain or sell such a security, NAM may consider such factors as NAM&#146;s assessment of the credit
quality of the issuer of such security, the price at which such security could be sold and the
rating, if any, assigned to such security by other rating agencies. A general description of the
ratings of S&#038;P, Moody&#146;s and Fitch of municipal securities is set forth in Appendix&nbsp;B to this
Statement of Additional Information.
</DIV>

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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A more complete description of each Fund&#146;s investment objectives and policies is set forth in
the Proxy Statement/Prospectus.
</DIV>
<DIV align="left">
<A name="102"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>ADDITIONAL INFORMATION ON MUNICIPAL BOND INSURANCE</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Original Issue Insurance</B>. If interest or principal on a municipal bond is due, but the issuer
fails to pay it, the insurer will make payments in the amount due to the fiscal agent no later than
one business day after the insurer has been notified of the issuer&#146;s nonpayment. The fiscal agent
will pay the amount due to a Fund after the fiscal agent receives evidence of the Fund&#146;s right to
receive payment of the principal and/or interest, and evidence that all of the rights of payment
due shall thereupon vest in the insurer. When the insurer pays a Fund the payment due from the
issuer, the insurer will succeed to the Fund&#146;s rights to that payment.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Portfolio Insurance</B>. Each portfolio insurance policy will be noncancellable and will remain
in effect so long as a Fund is in existence, the Fund continues to own the municipal bonds covered
by the policy, and the Fund pays the premiums for the policy. Each insurer generally will reserve
the right at any time upon 90&nbsp;days&#146; written notice to a Fund to refuse to insure any additional
bonds the Fund buys after the effective date of the notice. Each Fund&#146;s Board of Trustees will
generally reserve the right to terminate each policy upon seven days&#146; written notice to an insurer
if it determines that the cost of the policy is not reasonable in relation to the value of the
insurance to the Fund.
</DIV>
<DIV align="left">
<A name="103"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>INVESTMENT RESTRICTIONS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Except as described below, neither Fund, as a fundamental policy, may, without the approval of
the holders of a &#147;majority of the outstanding&#148; common shares and preferred shares of such Fund,
including shares of its MuniPreferred, voting together as a single class, and of the holders of a
&#147;majority of the outstanding&#148; preferred shares of such Fund, including shares of its MuniPreferred,
voting as a separate class:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;For the Acquiring Fund:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(1)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Under normal circumstances, invest less than 80% of the Fund&#146;s net assets (plus
any borrowings for investment purposes) in a portfolio of securities the income from
which is exempt from both regular federal income tax and the federal alternative
minimum tax applicable to individuals;</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;For the Acquired Fund:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" nowrap align="right">(1)&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Under normal circumstances, invest less than 80% of the Fund&#146;s net assets (plus
any borrowings for investment purposes) in investments that pay interest that is exempt
from regular federal income tax and the federal alternative minimum tax applicable to
individuals, and that are exempt from the Florida intangible personal property tax;</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;For Both Funds:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(2)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Issue senior securities, as defined in the Investment Company Act of 1940,
other than MuniPreferred shares, except to the extent permitted under the Investment
Company Act of 1940 and except as otherwise described in the &#091;the Fund&#146;s&#093; Prospectus;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(3)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Borrow money, except from banks for temporary or emergency purposes or for
repurchase of its shares, and then only in an amount not exceeding one-third of the
value</TD>
</TR>

</TABLE>
</DIV>
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<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">



</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>of the Fund&#146;s total assets (including the amount borrowed) less the Fund&#146;s
liabilities (other than borrowings);</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(4)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Act as underwriter of another issuer&#146;s securities, except to the extent that
the Fund may be deemed to be an underwriter within the meaning of the Securities Act of
1933 in connection with the purchase and sale of portfolio securities;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(5)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Invest more than 25% of its total assets in securities of issuers in any one
industry; provided, however, that such limitation shall not apply to municipal bonds
other than those municipal bonds backed only by the assets and revenues of
non-governmental users;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(6)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Purchase or sell real estate, but this shall not prevent the Fund from
investing in municipal bonds secured by real estate or interests therein or foreclosing
upon and selling such security;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(7)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Purchase or sell physical commodities unless acquired as a result of ownership
of securities or other instruments (but this shall not prevent the Fund from purchasing
or selling options, futures contracts, derivative instruments or from investing in
securities or other instruments backed by physical commodities);</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(8)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Make loans, other than by entering into repurchase agreements and through the
purchase of municipal bonds or short-term investments in accordance with its investment
objectives, policies and limitations; and</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;For the Acquiring Fund:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(9)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Purchase any securities (other than obligations issued or guaranteed by the
United States Government or by its agencies or instrumentalities), if as a result more
than 5% of the Fund&#146;s total assets would then be invested in securities of a single
issuer or if as a result would then be invested in securities of a single issuer or if
as a result the Fund would hold more than 10% of the outstanding voting securities of
any single issuer; provided that, with respect to 50% of the Fund&#146;s assets, the Fund
may invest up to 25% of its assets in the securities if any are issued.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;For the Acquired Fund:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(9)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Purchase any securities (other than obligations issued or guaranteed by the
United States Government or by its agencies or instrumentalities), if as a result more
than 5% of the Fund&#146;s total assets would then be invested in securities of a single
issuer or if as a result would then be invested in securities of a single issuer or if
as a result the Fund would hold more than 10% of the outstanding voting securities of
any single issuer; provided that, with respect to 50% of the Fund&#146;s assets, the Fund
may invest up to 25% of its assets in the securities of any one issuer.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;For purposes of the foregoing, &#147;majority of the outstanding,&#148; when used with respect to
particular shares of a Fund, means (i)&nbsp;67% or more of the shares present at a meeting, if the
holders of more than 50% of the shares are present or represented by proxy, or (ii)&nbsp;more than 50%
of the shares, whichever is less.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;For the purpose of applying the limitation set forth in subparagraph (9)&nbsp;above with respect to
each Fund, an issuer shall be deemed the sole issuer of a security when its assets and revenues are
separate
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">from other governmental entities and its securities are backed only by its assets and
revenues. Similarly, in the case of a non-governmental issuer, such as an industrial corporation
or a privately owned or operated hospital, if the security is backed only by the assets and
revenues of the non-governmental issuer, then such non-governmental issuer would be deemed to be
the sole issuer. Where a security is also backed by the enforceable obligation of a superior or
unrelated governmental or other entity (other than a bond insurer), it shall also be included in
the computation of securities owned that are issued by such governmental or other entity. Where a
security is guaranteed by a governmental entity or some other facility, such as a bank guarantee or
letter of credit, such a guarantee or letter of credit would be considered a separate security and
would be treated as an issue of such government, other entity or bank. When a municipal bond is
insured by bond insurance, it shall not be considered a security that is issued or guaranteed by
the insurer; instead, the issuer of such municipal bond will be determined in accordance with the
principles set forth above. The foregoing restrictions do not limit the percentage of a Fund&#146;s
assets that may be invested in municipal bonds insured by any given insurer.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Under the 1940 Act, a Fund may invest only up to 10% of its Managed Assets in the aggregate in
shares of other investment companies and only up to 5% of its Managed Assets in any one investment
company, provided the investment does not represent more than 3% of the voting stock of the
acquired investment company at the time such shares are purchased. As a stockholder in any
investment company, a Fund will bear its ratable share of that investment company&#146;s expenses, and
will remain subject to payment of the Fund&#146;s management, advisory and administrative fees with
respect to assets so invested. Holders of common shares would therefore be subject to duplicative
expenses to the extent a Fund invests in other investment companies.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In addition to the foregoing fundamental investment policies, each Fund is also subject to the
following non-fundamental restrictions and policies, which may be changed by the Board of Trustees.
Each Fund may not:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1)&nbsp;sell securities short, unless the Fund owns or has the right to obtain securities
equivalent in kind and amount to the securities sold at no added cost, and provided that
transactions in options, futures contracts, options on futures contracts, or other derivative
instruments are not deemed to constitute selling securities short;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2)&nbsp;purchase securities of open-end or closed-end investment companies except in compliance
with the 1940 Act or any exemptive relief obtained thereunder;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3)&nbsp;enter into futures contracts or related options or forward contracts, if more than 30% of
the Fund&#146;s net assets would be represented by futures contracts or more than 5% of the Fund&#146;s net
assets would be committed to initial margin deposits and premiums on futures contracts and related
options;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4)&nbsp;purchase securities of companies for the purpose of exercising control, except as
otherwise permitted in the Proxy Statement/Prospectus and Statement of Additional Information; and
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(5)&nbsp;Purchase securities of companies for the purpose of exercising control, except that the
Fund may invest up to 5% of its net assets in tax-exempt or taxable fixed-income or equity
securities, for the purpose of acquiring control of an issuer whose municipal bonds (a)&nbsp;the Fund
already owns and (b)&nbsp;have deteriorated or are expected shortly to deteriorate significantly in
credit quality, provided NAM determines that such investment should enable the Fund to better
maximize the value of its existing investment in such issuer.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The restrictions and other limitations set forth above will apply only at the time of purchase
of securities and will not be considered violated unless an excess or deficiency occurs or exists
immediately after and as a result of an acquisition of securities.
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Funds may be subject to certain restrictions imposed by either guidelines of one or more
NRSROs that may issue ratings for commercial paper or notes, or, if the Funds borrow from a lender,
by the lender. These guidelines may impose asset coverage or portfolio composition requirements
that are more stringent than those imposed on the Funds by the 1940 Act. If these restrictions
were to apply, it is not anticipated that these covenants or guidelines would impede NAM from
managing the Funds&#146; portfolios in accordance with the Funds&#146; investment objectives and policies.
</DIV>
<DIV align="left">
<A name="104"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>PORTFOLIO COMPOSITION</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In addition to and supplementing the Proxy Statement/Prospectus section, &#147;Comparison of the
Investment Objectives and Policies of the Acquiring Fund and the Acquired Fund,&#148; the Funds&#146;
portfolios will be composed principally of the investments described below.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Municipal Securities</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Municipal securities are either general obligation or revenue bonds and typically are issued
to finance public projects (such as roads or public buildings), to pay general operating expenses
or to refinance outstanding debt.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Municipal securities may also be issued on behalf of private entities or for private
activities, such as housing, medical and educational facility construction, or for privately owned
industrial development and pollution control projects. General obligation bonds are backed by the
full faith and credit, or taxing authority, of the issuer and may be repaid from any revenue
source; revenue bonds may be repaid only from the revenues of a specific facility or source. Each
Fund may also purchase municipal securities that represent lease obligations, municipal notes,
pre-refunded municipal bonds, private activity bonds, tender option bonds and other forms of
municipal bonds and securities.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Municipal securities of below investment grade quality (Ba/BB or below) are commonly referred
to as junk bonds. Issuers of securities rated Ba/BB or B are regarded as having current capacity
to make principal and interest payments but are subject to business, financial or economic
conditions which could adversely affect such payment capacity. Municipal securities rated Baa or
BBB or above are considered &#147;investment grade&#148; securities; municipal securities rated Baa are
considered medium grade obligations that lack outstanding investment characteristics and have
speculative characteristics, while municipal securities rated BBB are regarded as having adequate
capacity to pay principal and interest. Municipal securities rated Aaa or AAA in which the Funds
may invest may have been so rated on the basis of the existence of insurance guaranteeing the
timely payment, when due, of all principal and interest. Municipal securities rated below
investment grade quality are obligations of issuers that are considered predominately speculative
with respect to the issuer&#146;s capacity to pay interest and repay principal according to the terms of
the obligation and, therefore, carry greater investment risk, including the possibility of issuer
default and bankruptcy and increased market price volatility. Municipal securities rated below
investment grade tend to be less marketable than higher-quality securities because the market for
them is less broad. The market for municipal securities unrated by any NRSRO is even narrower.
During periods of thin trading in these markets, the spread between bid and asked prices is likely
to increase significantly and the Funds may have greater difficulty selling its portfolio
securities. The Funds will be more dependent on NAM&#146;s research and analysis when investing in
these securities.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A general description of Moody&#146;s, S&#038;P&#146;s and Fitch&#146;s ratings of municipal securities is set
forth in Appendix&nbsp;B hereto. The ratings of Moody&#146;s, S&#038;P and Fitch represent their opinions as to
the quality of the municipal securities they rate. It should be emphasized, however, that ratings
are general and are not absolute standards of quality. Consequently, municipal securities with the
same maturity, coupon and
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">rating may have different yields while obligations of the same maturity and coupon with
different ratings may have the same yield.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Fund will generally invest in municipal securities with long-term maturities in order to
maintain a weighted average maturity of 15 to 30&nbsp;years. The weighted average maturity of
securities held by the Funds may be shortened or lengthened, depending on market conditions and on
an assessment by the Funds&#146; portfolio manager of which segments of the municipal securities market
offer the most favorable relative investment values and opportunities for tax-exempt income and
total return. During temporary defensive periods (e.g., times when, in NAM&#146;s opinion, temporary
imbalances of supply and demand or other temporary dislocations in the tax-exempt securities market
adversely affect the price at which long-term or intermediate-term municipal securities are
available), and in order to keep the Funds&#146; cash fully invested, including the period during which
the net proceeds of an offering are being invested, the Funds may invest any percentage of their
net assets in short-term investments including high quality, short-term securities that may be
either tax-exempt or taxable and up to 10% of their net assets in securities of other open or
closed-end investment companies that invest primarily in municipal securities of the type in which
the Funds may invest directly. The Funds intend to invest in taxable short-term investments only
in the event that suitable tax-exempt short-term investments are not available at reasonable prices
and yields, as determined by NAM, and in amounts limited to ensure that the Funds are eligible to
pay exempt-interest dividends (as described in &#147;Tax Matters&#148; below). Tax-exempt short-term
investments include various obligations issued by state and local governmental issuers, such as
tax-exempt notes (bond anticipation notes, tax anticipation notes and revenue anticipation notes or
other such municipal bonds maturing in three years or less from the date of issuance) and municipal
commercial paper. The Funds will invest only in taxable short-term investments which are U.S.
government securities or securities rated within the highest grade by Moody&#146;s, S&#038;P or Fitch, and
which mature within one year from the date of purchase or carry a variable or floating rate of
interest. See Appendix&nbsp;B for a general description of Moody&#146;s, S&#038;P&#146;s and Fitch&#146;s ratings of
securities in such categories. Taxable short-term investments of the Funds may include
certificates of deposit issued by U.S. banks with assets of at least $1&nbsp;billion, or commercial
paper or corporate notes, bonds or debentures with a remaining maturity of one year or less, or
repurchase agreements. To the extent a Fund invests in taxable investments, the Fund will not at
such times be in a position to achieve its investment objective of tax-exempt income.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The foregoing policies as to ratings of portfolio investments will apply only at the time of
the purchase of a security, and the Funds will not be required to dispose of securities in the
event Moody&#146;s, S&#038;P or Fitch downgrades its assessment of the credit characteristics of a particular
issuer.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Obligations of issuers of municipal securities are subject to the provisions of bankruptcy,
insolvency and other laws affecting the rights and remedies of creditors. In addition, the
obligations of such issuers may become subject to the laws enacted in the future by Congress, state
legislatures or referenda extending the time for payment of principal or interest, or both, or
imposing other constraints upon enforcement of such obligations or upon municipalities to levy
taxes. There is also the possibility that, as a result of legislation or other conditions, the
power or ability of any issuer to pay, when due, the principal of, and interest on, its municipal
securities may be materially affected.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Municipal Leases and Certificates of Participation</I>. Included within the general category of
municipal securities described in the Proxy Statement/Prospectus are municipal leases, certificates
of participation in such lease obligations or installment purchase contract obligations
(hereinafter collectively called &#147;Municipal Lease Obligations&#148;) of municipal authorities or
entities. Although a Municipal Lease Obligation does not constitute a general obligation of the
municipality for which the municipality&#146;s taxing power is pledged, a Municipal Lease Obligation is
ordinarily backed by the municipality&#146;s covenant to budget for, appropriate and make the payments
due under the Municipal Lease Obligation. However, certain Municipal Lease Obligations contain
&#147;nonappropriation&#148; clauses which
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">provide that the municipality has no obligation to make lease or installment purchase payments
in future years unless money is appropriated for such purpose on a yearly basis. In the case of a
&#147;non-appropriation&#148; lease, the Funds&#146; ability to recover under the lease in the event of
non-appropriation or default will be limited solely to the repossession of the leased property,
without recourse to the general credit of the lessee, and disposition or releasing of the property
might prove difficult. To the extent that the Funds invest in unrated municipal leases or
participates in such leases, the credit quality rating and risk of cancellation of such unrated
leases will be monitored on an ongoing basis. In order to reduce this risk, the Funds will only
purchase Municipal Lease Obligations where NAM believes the issuer has a strong incentive to
continue making appropriations until maturity.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Hedging Strategies and Other Uses of Derivatives</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Funds may periodically engage in hedging transactions, and otherwise use various types of
derivative instruments, described below, to reduce risk, to effectively gain particular market
exposures, to seek to enhance returns, and to reduce transaction costs, among other reasons.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;Hedging&#148; is a term used for various methods of seeking to preserve portfolio capital value by
offsetting price changes in one investment through making another investment whose price should
tend to move in the opposite direction.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A &#147;derivative&#148; is a financial contract whose value is based on (or &#147;derived&#148; from) a
traditional security (such as a stock or a bond), an asset (such as a commodity like gold), or a
market index (such as the Barclays Capital Municipal Bond Index). Some forms of derivatives may
trade on exchanges, while non-standardized derivatives, which tend to be more specialized and
complex, trade in &#147;over-the-counter&#148; markets or on a one-on-one basis. It may be desirable and
possible in various market environments to partially hedge the portfolio against fluctuations in
market value due to market interest rate or credit quality fluctuations, or instead to gain a
desired investment exposure, by entering into various types of derivative transactions, including
financial futures and index futures as well as related put and call options on such instruments,
structured notes, or interest rate swaps on taxable or tax-exempt securities or indexes (which may
be &#147;forward-starting&#148;), credit default swaps, and options on interest rate swaps, among others.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;These transactions present certain risks. In particular, the imperfect correlation between
price movements in the futures contract and price movements in the securities being hedged creates
the possibility that losses on the hedge by the Funds may be greater than gains in the value of the
securities in the Funds&#146; portfolios. In addition, futures and options markets may not be liquid in
all circumstances. As a result, in volatile markets, the Funds may not be able to close out the
transaction without incurring losses substantially greater than the initial deposit. Losses due to
hedging transactions will reduce each Fund&#146;s net asset value which in turn could reduce yield. Net
gains, if any, from hedging and other portfolio transactions will be distributed as taxable
distributions to shareholders. A Fund will not make any investment (whether an initial premium or
deposit or a subsequent deposit) other than as necessary to close a prior investment if,
immediately after such investment, the sum of the amount of its premiums and deposits would exceed
15% of the Fund&#146;s net assets. The Funds will invest in these instruments only in markets believed
by NAM to be active and sufficiently liquid. Successful implementation of most hedging strategies
would generate taxable income.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Both parties entering into a financial futures contract are required to post an initial
deposit, typically equal to from 1% to 5% of the total contract price. Typically, option holders
enter into offsetting closing transactions to enable settlement in cash rather than take delivery
of the position in the future of the underlying security. Interest rate swap and credit default
swap transactions are typically entered on a net basis, meaning that the two payment streams are
netted out with the Funds receiving or
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">paying, as the case may be, only the net amount of the two payments. The Funds will only sell
covered futures contracts, which means that the Funds segregate assets equal to the amount of the
obligations.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Bond Futures and Forward Contracts</I>. Bond futures contracts are agreements in which one party
agrees to deliver to the other an amount of cash equal to a specific dollar amount times the
difference between the value of a specific bond at the close of the last trading day of the
contract and the price at which the agreement is made. No physical delivery of securities is made.
Forward contracts are agreements to purchase or sell a specified security or currency at a
specified future date (or within a specified time period) and price set at the time of the
contract. Forward contracts are usually entered into with banks, foreign exchange dealers or
broker-dealers and are usually for less than one year, but may be renewed. Forward contracts are
generally purchased or sold in over-the-counter (&#147;OTC&#148;) transactions.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Under regulations of the Commodity Futures Trading Commission (the &#147;CFTC&#148;) currently in
effect, which may change from time to time, with respect to futures contracts purchased by the
Funds, the Funds will set aside in a segregated account liquid securities with a value at least
equal to the value of instruments underlying such futures contracts less the amount of initial
margin on deposit for such contracts. The current view of the staff of the Securities and Exchange
Commission is that the Funds&#146; long and short positions in futures contracts must be collateralized
with cash or certain liquid assets held in a segregated account or &#147;covered&#148; in order to counter
the impact of any potential leveraging.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Parties to a futures contract must make &#147;initial margin&#148; deposits to secure performance of the
contract. There are also requirements to make &#147;variation margin&#148; deposits from time to time as the
value of the futures contract fluctuates.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Options on Currency Futures Contracts</I>. Currency futures contracts are standardized agreements
between two parties to buy and sell a specific amount of a currency at a set price on a future
date. While similar to currency forward contracts, currency futures contracts are traded on
commodities exchanges and are standardized as to contract size and delivery date. An option on a
currency futures contract gives the holder of the option the right to buy or sell a position in a
currency futures contract, at a set price and on or before a specified expiration date. Trading
options on international (non-U.S.) currency futures contracts is relatively new. The ability to
establish and close out positions on such options is subject to the maintenance of a liquid
secondary market.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Each of the Funds and NAM have claimed, respectively, an exclusion from registration as a
commodity pool operator and as a commodity trading advisor under the Commodity Exchange Act (the
&#147;CEA&#148;) and, therefore, neither Fund, NAM, nor their officers and directors, are subject to the
registration requirements of the CEA or regulation as a commodity pool operator or a commodity
trading adviser under the CEA. The Funds reserve the right to engage in transactions involving
futures and options thereon to the extent allowed by CFTC regulations in effect from time to time
and in accordance with the Funds&#146; policies. In addition, certain provisions of the Code (as
defined under &#147;Tax Matters&#151;Federal Income Tax Matters&#148;) may limit the extent to which the Fund may
enter into futures contracts or engage in options transactions. See &#147;Tax Matters.&#148;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Index Futures</I>. An index future is a bilateral agreement pursuant to which two parties agree
to take or make delivery of an amount of cash&#151;rather than any security&#151;equal to a specified dollar
amount times the difference between the index value at the close of the last trading day of the
contract and the price at which the index future was originally written. Thus, an index future is
similar to traditional financial futures except that settlement is made in cash. The Funds may
invest in index futures or similar contracts if available in a form, with market liquidity and
settlement and payment features, acceptable to the Funds.
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Index Options</I>. The Funds may also purchase put or call options on U.S. Government or
tax-exempt bond index futures and enter into closing transactions with respect to such options to
terminate an existing position. Options on index futures are similar to options on debt
instruments except that an option on an index future gives the purchaser the right, in return for
the premium paid, to assume a position in an index contract rather than an underlying security at a
specified exercise price at any time during the period of the option. Upon exercise of the option,
the delivery of the futures position by the writer of the option to the holder of the option will
be accompanied by delivery of the accumulated balance of the writer&#146;s futures margin account which
represents the amount by which the market price of the index futures contract, at exercise, is less
than the exercise price of the option on the index future.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Bond index futures and options transactions would be subject to risks similar to transactions
in financial futures and options thereon as described above.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In addition to the general risks associated with hedging strategies and the use of derivatives
set forth above, there are several risks associated with the use of futures contracts and futures
options as hedging techniques.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Futures contracts on U.S. Government securities historically have reacted to an increase or
decrease in interest rates in a manner similar to that in which the underlying U.S. Government
securities reacted. To the extent, however, that the Funds enter into such futures contracts, the
value of such futures will not vary in direct proportion to the value of the Funds&#146; holdings of
municipal securities. Thus, the anticipated spread between the price of the futures contract and
the hedged security may be distorted due to differences in the nature of the markets. The spread
also may be distorted by differences in initial and variation margin requirements, the liquidity of
such markets and the participation of speculators in such markets.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Futures exchanges may limit the amount of fluctuation permitted in certain futures contract
prices during a single trading day. The daily limit establishes the maximum amount that the price
of a futures contract may vary either up or down from the previous day&#146;s settlement price at the
end of the current trading session. Once the daily limit has been reached in a futures contract
subject to the limit, no more trades may be made on that day at a price beyond that limit. The
daily limit governs only price movements during a particular trading day and therefore does not
limit potential losses because the limit may work to prevent the liquidation of unfavorable
positions. For example, futures prices have occasionally moved to the daily limit for several
consecutive trading days with little or no trading, thereby preventing prompt liquidation of
positions and subjecting some holders of futures contracts to substantial losses.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Interest Rate Transactions and Total Return Swaps</I>. The Funds may enter into various interest
rate transactions, such as interest rate swaps and the purchase or sale of interest rate caps and
floors, as well as total return swaps and other debt related derivative instruments. The Funds may
enter into these transactions in order to seek to hedge the value of the Funds&#146; portfolios to seek
to increase its return, to preserve a return or spread on a particular investment or portion of its
portfolio, or to seek to protect against any increase in the price of securities the Funds
anticipate purchasing at a later date.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest rate swaps involve the exchange by each Fund with a counterparty of their respective
commitments to pay or receive interest, such as an exchange of fixed-rate payments for floating
rate payments. In a total return swap, the Funds exchange with another party their respective
commitments to pay or receive the total return of an underlying asset and a floating local
short-term interest rate.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Funds may use an interest rate cap, which would require it to pay a premium to the cap
counterparty and would entitle it, to the extent that a specified variable rate index exceeds a
predetermined fixed rate, to receive from the counterparty payment of the difference based on the
notional
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">amount. The Funds would use interest rate swaps or caps only with the intent to reduce or
eliminate the risk that an increase in short-term interest rates could have on Common Share net
earnings as a result of leverage.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Funds will usually enter into swaps or caps on a net basis; that is, the two payment
streams will be netted out in a cash settlement on the payment date or dates specified in the
instrument, with the Funds receiving or paying, as the case may be, only the net amount of the two
payments. The Funds intend to maintain in a segregated account with its custodian cash or liquid
securities having a value at least equal to the Funds&#146; net payment obligations under any swap
transaction, marked-to-market daily. If the interest rate swap transaction is entered into on
other than a net basis, the full amount of the Funds&#146; obligations will be accrued on a daily basis,
and the full amount of the Funds&#146; obligations will be segregated by the Funds.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The use of swaps and caps is a highly specialized activity that involves investment techniques
and risks different from those associated with ordinary portfolio security transactions, including
the risk that the counterparty may be unable to fulfill the transaction. If there is a default by
the other party to such a transaction, the Funds will have contractual remedies pursuant to the
agreements related to the transaction. If NAM is incorrect in its forecasts of market values,
interest rates and other applicable factors, the investment performance of the Funds will be
unfavorably affected. Depending on the state of interest rates in general, the Funds&#146; use of
interest rate swaps or caps could enhance or harm the overall performance on the Common Shares. To
the extent there is a decline in interest rates, the value of the interest rate swap or cap could
decline, and could result in a decline in the net asset value of the Common Shares. In addition,
if short-term interest rates are lower than the Funds&#146; fixed rate of payment on the interest rate
swap, the swap will reduce Common Share net earnings. If, on the other hand, short-term interest
rates are higher than the fixed rate of payment on the interest rate swap, the swap will enhance
Common Share net earnings. Buying interest rate caps could enhance the performance of the Common
Shares by providing a maximum leverage expense. Buying interest rate caps could also decrease the
net earnings of the Common Shares in the event that the premiums paid by the Funds to the
counterparty exceed the additional amount the Funds would have been required to pay had they not
entered into the cap agreement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Swaps and caps do not involve the delivery of securities or other underlying assets or
principal. Accordingly, the risk of loss with respect to swaps is limited to the net amount of
payments that the Funds are contractually obligated to make. If the counterparty defaults, the
Funds would not be able to use the anticipated net receipts under the swap or cap to offset
payments. Depending on whether the Funds would be entitled to receive net payments from the
counterparty on the swap or cap, such a default could negatively impact the performance of the
Common Shares. In addition, because they are two-party contracts and because they may have terms
of greater than seven days, swaps and caps may be considered to be illiquid. It is possible that
developments in the swaps and caps markets, including potential government regulation, could
adversely affect the Funds&#146; ability to terminate existing agreements or to realize amounts to be
received under such agreements.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Although this will not guarantee that the counterparty does not default, the Funds will not
enter into a swap or cap transaction with any counter-party that NAM believes does not have the
financial resources to honor its obligation under the swap or cap transaction. Further, NAM will
continually monitor the financial stability of a counterparty to a swap or cap transaction in an
effort to proactively protect the Funds&#146; investments.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In addition, at the time the swap or cap transaction reaches its scheduled termination date,
there is a risk that the Funds would not be able to obtain a replacement transaction or that the
terms of the
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">replacement would not be as favorable as on the expiring transaction. If this occurs, it
could have a negative impact on the performance of the Funds&#146; Common Shares.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Repurchase Agreements</I>. The Funds may enter into repurchase agreements (the purchase of a
security coupled with an agreement to resell that security at a higher price) with respect to their
permitted investments. The Funds&#146; repurchase agreements will provide that the value of the
collateral underlying the repurchase agreement will always be at least equal to the repurchase
price, including any accrued interest earned on the agreement, and will be marked-to-market daily.
The agreed-upon repurchase price determines the yield during the Funds&#146; holding period.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Repurchase agreements are considered to be loans collateralized by the underlying security
that is the subject of the repurchase contract. The Funds will only enter into repurchase
agreements with registered securities dealers or domestic banks that, in NAM&#146;s opinion, present
minimal credit risk. The risk to the Funds is limited to the ability of the issuer to pay the
agreed-upon repurchase price on the delivery date; however, although the value of the underlying
collateral at the time the transaction is entered into always equals or exceeds the agreed-upon
repurchase price, if the value of the collateral declines there is a risk of loss of both principal
and interest. In the event of default, the collateral may be sold but the Funds might incur a loss
if the value of the collateral declines, and might incur disposition costs or experience delays in
connection with liquidating the collateral. In addition, if bankruptcy proceedings are commenced
with respect to the seller of the security, realization upon the collateral by the Funds may be
delayed or limited. NAM will monitor the value of the collateral at the time the transaction is
entered into and at all times subsequent during the term of the repurchase agreement in an effort
to determine that such value always equals or exceeds the agreed-upon repurchase price. In the
event the value of the collateral declines below the repurchase price, NAM will demand additional
collateral from the issuer to increase the value of the collateral to at least that of the
repurchase price, including interest.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Segregation of Assets</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As closed-end investment companies registered with the Securities and Exchange Commission, the
Funds are subject to the federal securities laws, including the 1940 Act, the rules thereunder, and
various interpretive provisions of the Securities and Exchange Commission and its staff. In
accordance with these laws, rules and positions, the Funds must &#147;set aside&#148; (often referred to as
&#147;asset segregation&#148;) liquid assets, or engage in other Securities and Exchange Commission or
staff-approved measures, to &#147;cover&#148; open positions with respect to certain kinds of derivatives
instruments. In the case of forward currency contracts that are not contractually required to cash
settle, for example, the Funds must set aside liquid assets equal to such contracts&#146; full notional
value while the positions are open. With respect to forward currency contracts that are
contractually required to cash settle, however, the Funds are permitted to set aside liquid assets
in an amount equal to the Funds&#146; daily marked-to-market net obligations (i.e., the Funds&#146; daily net
liability) under the contracts, if any, rather than such contracts&#146; full notional value. The Funds
reserve the right to modify their asset segregation policies in the future to comply with any
changes in the positions from time to time articulated by the Securities and Exchange Commission or
its staff regarding asset segregation.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Funds generally will use their assets to cover their obligations as required by the 1940
Act, the rules thereunder, and applicable positions of the Securities and Exchange Commission and
its staff. As a result of their segregation, such assets may not be used for other operational
purposes. NAM will monitor the Funds&#146; use of derivatives and will take action as necessary for the
purpose of complying with the asset segregation policy stated above. Such actions may include the
sale of the Funds&#146; portfolio investments.
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Short-Term Investments</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Short-Term Taxable Fixed Income Securities</I>. For temporary defensive purposes or to keep cash
on hand fully invested, the Funds may invest up to 100% of their net assets in cash equivalents and
short-term taxable fixed-income securities, although the Funds intend to invest in taxable
short-term investments only in the event that suitable tax-exempt short-term investments are not
available at reasonable prices and yields. Short-term taxable fixed income investments are defined
to include, without limitation, the following:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1)&nbsp;U.S. government securities, including bills, notes and bonds differing as to maturity and
rates of interest that are either issued or guaranteed by the U.S. Treasury or by U.S. government
agencies or instrumentalities. U.S. government agency securities include securities issued by
(a)&nbsp;the Federal Housing Administration, Farmers Home Administration, Export-Import Bank of the
United States, Small Business Administration, and the Government National Mortgage Association,
whose securities are supported by the full faith and credit of the United States; (b)&nbsp;the Federal
Home Loan Banks, Federal Intermediate Credit Banks, and the Tennessee Valley Authority, whose
securities are supported by the right of the agency to borrow from the U.S. Treasury; (c)&nbsp;the
Federal National Mortgage Association, whose securities are supported by the discretionary
authority of the U.S. government to purchase certain obligations of the agency or instrumentality;
and (d)&nbsp;the Student Loan Marketing Association, whose securities are supported only by its credit.
While the U.S. government provides financial support to such U.S. government-sponsored agencies or
instrumentalities, no assurance can be given that it always will do so since it is not so obligated
by law. The U.S. government, its agencies, and instrumentalities do not guarantee the market value
of their securities. Consequently, the value of such securities may fluctuate.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2)&nbsp;Certificates of Deposit issued against funds deposited in a bank or a savings and loan
association. Such certificates are for a definite period of time, earn a specified rate of return,
and are normally negotiable. The issuer of a certificate of deposit agrees to pay the amount
deposited plus interest to the bearer of the certificate on the date specified thereon. Under
current Federal Deposit Insurance Company regulations, the maximum insurance payable as to any one
certificate of deposit is $250,000; therefore, certificates of deposit purchased by the Fund may
not be fully insured.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3)&nbsp;Repurchase agreements, which involve purchases of debt securities. At the time the Fund
purchases securities pursuant to a repurchase agreement, it simultaneously agrees to resell and
redeliver such securities to the seller, who also simultaneously agrees to buy back the securities
at a fixed price and time. This assures a predetermined yield for the Fund during its holding
period, since the resale price is always greater than the purchase price and reflects an
agreed-upon market rate. Such actions afford an opportunity for the Fund to invest temporarily
available cash. The Fund may enter into repurchase agreements only with respect to obligations of
the U.S. government, its agencies or instrumentalities; certificates of deposit; or bankers&#146;
acceptances in which the Fund may invest. Repurchase agreements may be considered loans to the
seller, collateralized by the underlying securities. The risk to the Fund is limited to the
ability of the seller to pay the agreed-upon sum on the repurchase date; in the event of default,
the repurchase agreement provides that the Fund is entitled to sell the underlying collateral. If
the value of the collateral declines after the agreement is entered into, and if the seller
defaults under a repurchase agreement when the value of the underlying collateral is less than the
repurchase price, the Fund could incur a loss of both principal and interest. The investment
adviser monitors the value of the collateral at the time the action is entered into and at all
times during the term of the repurchase agreement. The investment adviser does so in an effort to
determine that the value of the collateral always equals or exceeds the agreed-upon repurchase
price to be paid to the Fund. If the seller were to be subject to a federal bankruptcy proceeding,
the ability of the Fund to liquidate the collateral could be delayed or impaired because of certain
provisions of the bankruptcy laws.
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4)&nbsp;Commercial paper, which consists of short-term unsecured promissory notes, including
variable rate master demand notes issued by corporations to finance their current operations.
Master demand notes are direct lending arrangements between the Fund and a corporation. There is
no secondary market for such notes. However, they are redeemable by the Fund at any time. NAM
will consider the financial condition of the corporation (e.g., earning power, cash flow, and other
liquidity measures) and will continuously monitor the corporation&#146;s ability to meet all of its
financial obligations, because the Fund&#146;s liquidity might be impaired if the corporation were
unable to pay principal and interest on demand. Investments in commercial paper will be limited to
commercial paper rated in the highest categories by a major rating agency and which mature within
one year of the date of purchase or carry a variable or floating rate of interest.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Short-Term Tax-Exempt Municipal Securities</I>. Short-term tax-exempt municipal securities are
securities that are exempt from regular federal income tax and mature within three years or less
from the date of issuance. Short-term tax-exempt municipal income securities are defined to
include, without limitation, the following:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Bond Anticipation Notes (&#147;BANs&#148;) are usually general obligations of state and local
governmental issuers which are sold to obtain interim financing for projects that will eventually
be funded through the sale of long-term debt obligations or bonds. The ability of an issuer to
meet its obligations on its BANs is primarily dependent on the issuer&#146;s access to the long-term
municipal bond market and the likelihood that the proceeds of such bond sales will be used to pay
the principal and interest on the BANs.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tax Anticipation Notes (&#147;TANs&#148;) are issued by state and local governments to finance the
current operations of such governments. Repayment is generally to be derived from specific future
tax revenues. TANs are usually general obligations of the issuer. A weakness in an issuer&#146;s
capacity to raise taxes due to, among other things, a decline in its tax base or a rise in
delinquencies, could adversely affect the issuer&#146;s ability to meet its obligations on outstanding
TANs.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Revenue Anticipation Notes (&#147;RANs&#148;) are issued by governments or governmental bodies with the
expectation that future revenues from a designated source will be used to repay the notes. In
general, they also constitute general obligations of the issuer. A decline in the receipt of
projected revenues, such as anticipated revenues from another level of government, could adversely
affect an issuer&#146;s ability to meet its obligations on outstanding RANs. In addition, the
possibility that the revenues would, when received, be used to meet other obligations could affect
the ability of the issuer to pay the principal and interest on RANs.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Construction Loan Notes are issued to provide construction financing for specific projects.
Frequently, these notes are redeemed with funds obtained from the Federal Housing Administration.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Bank Notes are notes issued by local government bodies and agencies, such as those described
above to commercial banks as evidence of borrowings. The purposes for which the notes are issued
are varied but they are frequently issued to meet short-term working capital or capital-project
needs. These notes may have risks similar to the risks associated with TANs and RANs.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tax-Exempt Commercial Paper (&#147;Municipal Paper&#148;) represent very short-term unsecured,
negotiable promissory notes issued by states, municipalities and their agencies. Payment of
principal and interest on issues of municipal paper may be made from various sources, to the extent
the funds are available therefrom. Maturities of municipal paper generally will be shorter than
the maturities of TANs, BANs or RANs. There is a limited secondary market for issues of Municipal
Paper.
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Certain municipal securities may carry variable or floating rates of interest whereby the rate
of interest is not fixed but varies with changes in specified market rates or indices, such as a
bank prime rate or a tax-exempt money market index.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;While the various types of notes described above as a group represent the major portion of the
short-term tax-exempt note market, other types of notes are available in the marketplace and the
Fund may invest in such other types of notes to the extent permitted under its investment
objectives, policies and limitations. Such notes may be issued for different purposes and may be
secured differently from those mentioned above.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Illiquid Securities</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Funds may invest in municipal securities and other instruments that, at the time of
investment, are illiquid (i.e., securities that are not readily marketable). For this purpose,
illiquid securities may include, but are not limited to, restricted securities (securities the
disposition of which is restricted under the federal securities laws), securities that may only be
resold pursuant to Rule&nbsp;144A under the Securities Act, that are deemed to be illiquid, and certain
repurchase agreements. The Board of Trustees or its delegate has the ultimate authority to
determine which securities are liquid or illiquid. The Board of Trustees has delegated to NAM the
day-to-day determination of the illiquidity of any security held by the Funds, although it has
retained oversight and ultimate responsibility for such determinations. No definitive liquidity
criteria are used. The Board of Trustees has directed NAM when making liquidity determinations to
look for such factors as (i)&nbsp;the nature of the market for a security (including the institutional
private resale market; the frequency of trades and quotes for the security; the number of dealers
willing to purchase or sell the security; the amount of time normally needed to dispose of the
security; and the method of soliciting offers and the mechanics of transfer), (ii)&nbsp;the terms of
certain securities or other instruments allowing for the disposition to a third party or the issuer
thereof (e.g., certain repurchase obligations and demand instruments), and (iii)&nbsp;other relevant
factors. The assets used to cover OTC derivatives used by the Funds will be considered illiquid
until the OTC derivatives are sold to qualified dealers who agree that the Funds may repurchase
them at a maximum price to be calculated by a formula set forth in an agreement. The &#147;cover&#148; for
an OTC derivative subject to this procedure would be considered illiquid only to the extent that
the maximum repurchase price under the formula exceeds the intrinsic value of the derivative.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Restricted securities may be sold only in privately negotiated transactions or in a public
offering with respect to which a registration statement is in effect under the Securities Act.
Where registration is required, the Funds may be obligated to pay all or part of the registration
expenses and a considerable period may elapse between the time of the decision to sell and the time
the Funds may be permitted to sell a security under an effective registration statement. If,
during such a period, adverse market conditions were to develop, the Funds might obtain a less
favorable price than that which prevailed when they decided to sell. Illiquid securities will be
priced at fair value as determined in good faith by the Board of Trustees or its delegatee. If,
through the appreciation of illiquid securities or the depreciation of liquid securities, the Funds
should be in a position where more than 50% of the value of their net assets is invested in
illiquid securities, including restricted securities that are not readily marketable, the Funds
will take such steps as are deemed advisable by NAM, if any, to protect liquidity.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Inverse Floating Rate Securities and Tender Option Bonds</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Inverse Floating Rate Securities</I>. Inverse floating rate securities (sometimes referred to as
&#147;inverse floaters&#148;) are securities whose interest rates bear an inverse relationship to the
interest rate on another security or the value of an index. Generally, inverse floating rate
securities represent beneficial interests in a special purpose trust formed by a third party
sponsor for the purpose of holding municipal bonds. The special purpose trust typically sells two
classes of beneficial interests or securities: short-
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">term floating rate municipal securities (sometimes referred to as short-term floaters or
tender option bonds), which are sold to third party investors, and inverse floating rate municipal
securities, which the Funds would purchase. The short-term floating rate securities have first
priority on the cash flow from the municipal bonds held by the special purpose trust. Typically, a
third party, such as a bank, broker-dealer or other financial institution, grants the floating rate
security holders the option, at periodic intervals, to tender their securities to the institution
and receive the face value thereof. As consideration for providing the option, the financial
institution receives periodic fees. The holder of the short-term floater effectively holds a
demand obligation that bears interest at the prevailing short-term, tax-exempt rate. However, an
institution will not be obligated to accept tendered short-term floaters in the event of certain
defaults or a significant downgrade in the credit rating assigned to the bond issuer. For its
inverse floating rate investment, the Funds receive the residual cash flow from the special purpose
trust. Because the holder of the short-term floater is generally assured liquidity at the face
value of the security, a Fund as the holder of the inverse floater assumes the interest rate cash
flow risk and the market value risk associated with the municipal security deposited into the
special purpose trust. The volatility of the interest cash flow and the residual market value will
vary with the degree to which the trust is leveraged. This is expressed in the ratio of the face
value of the short-term floaters in relation to the residual inverse floaters that are issued by
the special purpose trust. The Funds expect to make limited investments in inverse floaters, with
leverage ratios that may vary between one and three times. In addition, all voting rights and
decisions to be made with respect to any other rights relating to the municipal bonds held in the
special purpose trust are passed through to the Funds, as the holder of the residual inverse
floating rate securities.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Because increases in either the interest rate on the securities or the value of indexes (with
which inverse floaters maintain their inverse relationship) reduce the residual interest paid on
inverse floaters, inverse floaters&#146; value is generally more volatile than that of fixed rate bonds.
Inverse floaters have varying degrees of liquidity based upon, among other things, the liquidity
of the underlying securities deposited in a tender option bond trust. The market price of inverse
floating rate securities is more volatile than the underlying securities due to leverage. These
securities generally will underperform the market of fixed rate bonds in a rising interest rate
environment, but tend to outperform the market of fixed rate bonds when interest rates decline or
remain relatively stable. Although volatile, inverse floaters typically offer the potential for
yields exceeding the yields available on fixed rate bonds with comparable credit quality, coupon,
call provisions and maturity.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Tender Option Bonds</I>. The Funds may also invest in tender option bonds, as described above,
issued by special purpose trusts. Tender option bonds may take the form of short-term floating
rate securities or the option period may be substantially longer. Generally, the interest rate
earned will be based upon the market rates for municipal securities with maturities or remarketing
provisions that are comparable in duration to the periodic interval of the tender option, which may
vary from weekly, to monthly, to extended periods of one year or multiple years. Since the option
feature has a shorter term than the final maturity or first call date of the underlying bond
deposited in the trust, a Fund as the holder of the tender option bond relies upon the terms of the
agreement with the financial institution furnishing the option as well as the credit strength of
that institution. As further assurance of liquidity, the terms of the trust provide for a
liquidation of the municipal security deposited in the trust and the application of the proceeds to
pay off the tender option bond. The trusts that are organized to issue both short-term floating
rate securities and inverse floaters generally include liquidation triggers to protect the investor
in the tender option bond. Generally, the trusts do not have recourse to the investors in the
residual inverse floating rate securities.
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Auction Rate Securities</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Municipal securities also include auction rate municipal securities and auction rate preferred
securities issued by closed-end investment companies that invest primarily in municipal securities
(collectively, &#147;auction rate securities&#148;). In certain recent market environments, auction failures
have been widespread, which may adversely affect the liquidity and price of auction rate
securities. Provided that the auction mechanism is successful, auction rate securities usually
permit the holder to sell the securities in an auction at par value at specified intervals. The
dividend is reset by &#147;Dutch&#148; auction in which bids are made by broker-dealers and other
institutions for a certain amount of securities at a specified minimum yield. The dividend rate
set by the auction is the lowest interest or dividend rate that covers all securities offered for
sale. While this process is designed to permit auction rate securities to be traded at par value,
there is a risk that an auction will fail due to insufficient demand for the securities. Moreover,
between auctions, there may be no secondary market for these securities, and sales conducted on a
secondary market may not be on terms favorable to the seller. Thus, with respect to liquidity and
price stability, auction rate securities may differ substantially from cash equivalents,
notwithstanding the frequency of auctions and the credit quality of the security. The Funds&#146;
investments in auction rate securities of closed-end funds are subject to the limitations
prescribed by the 1940 Act. The Funds will indirectly bear their proportionate shares of any
management and other fees paid by such closed-end funds in addition to the advisory fees payable
directly by the Funds.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>When-Issued and Delayed Delivery Transactions</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Funds may buy and sell municipal securities on a when-issued or delayed delivery basis,
making payment or taking delivery at a later date, normally within 15 to 45&nbsp;days of the trade date.
On such transactions, the payment obligation and the interest rate are fixed at the time the
purchaser enters into the commitment. Beginning on the date a Fund enters into a commitment to
purchase securities on a when-issued or delayed delivery basis, the Fund is required under the
rules of the Securities and Exchange Commission to maintain in a separate account liquid assets,
consisting of cash, cash equivalents or liquid securities having a market value at all times of at
least equal to the amount of any delayed payment commitment. Income generated by any such assets
which provide taxable income for federal income tax purposes is includable in the taxable income of
a Fund and, to the extent distributed, will be taxable distributions to shareholders. The Funds
may enter into contracts to purchase securities on a forward basis (i.e., where settlement will
occur more than 60&nbsp;days from the date of the transaction) only to the extent that the Funds
specifically collateralize such obligations with a security that is expected to be called or mature
within 60&nbsp;days before or after the settlement date of the forward transaction. The commitment to
purchase securities on a when-issued, delayed delivery or forward basis may involve an element of
risk because no interest accrues on the bonds prior to settlement and at the time of delivery the
market value may be less than their cost.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Other Investments</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Zero Coupon Securities</I>. Each Fund&#146;s investments in debt securities may be in the form of a
zero coupon bond. Zero coupon bonds are debt obligations that do not entitle the holder to any
periodic payments of interest for the entire life of the obligation. When held to its maturity,
its return comes from the difference between the purchase price and its maturity value. These
instruments are typically issued and traded at a deep discount from their face amounts. The amount
of the discount varies depending on such factors as the time remaining until maturity of the
securities, prevailing interest rates, the liquidity of the security and the perceived credit
quality of the issuer. The market prices of zero coupon bonds generally are more volatile than the
market prices of debt instruments that pay interest currently and in cash and are likely to respond
to changes in interest rates to a greater degree than do other types of securities having similar
maturities and credit quality. In order to satisfy a requirement for qualification
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->18<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">to be taxed as a &#147;regulated investment company&#148; under the Code (as defined under &#147;Tax
Matters&#151;Federal Income Tax Matters&#148;), an investment company, such as the Fund, must distribute each
year at least 90% of its investment company taxable income (as described under &#147;Tax Matters&#151;Federal
Income Tax Matters&#148;), including the original issue discount accrued on zero coupon bonds. Because
the Funds will not on a current basis receive cash payments from the issuer of these securities in
respect of any accrued original issue discount, in some years each Fund may have to distribute cash
obtained from selling other portfolio holdings of the Fund in order to avoid unfavorable tax
consequences. In some circumstances, such sales might be necessary in order to satisfy cash
distribution requirements to its Common Shareholders even though investment considerations might
otherwise make it undesirable for the Fund to sell securities at such time. Under many market
conditions, investments in zero coupon bonds may be illiquid, making it difficult for the Funds to
dispose of them or determine their current value.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Structured Notes</I>. The Funds may utilize structured notes and similar instruments for
investment purposes and also for hedging purposes. Structured notes are privately negotiated debt
obligations where the principal and/or interest is determined by reference to the performance of a
benchmark asset, market or interest rate (an &#147;embedded index&#148;), such as selected securities, an
index of securities or specified interest rates, or the differential performance of two assets or
markets. The terms of such structured instruments normally provide that their principal and/or
interest payments are to be adjusted upwards or downwards (but not ordinarily below zero) to
reflect changes in the embedded index while the structured instruments are outstanding. As a
result, the interest and/or principal payments that may be made on a structured product may vary
widely, depending upon a variety of factors, including the volatility of the embedded index and the
effect of changes in the embedded index on principal and/or interest payments. The rate of return
on structured notes may be determined by applying a multiplier to the performance or differential
performance of the referenced index or indices or other assets. Application of a multiplier
involves leverage that will serve to magnify the potential for gain and the risk of loss. These
types of investments may generate taxable income.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Defensive Position</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;During temporary defensive periods or in order to keep the Fund&#146;s cash fully invested, each
Fund may deviate from its investment policies and objectives and may not be able to achieve its
investment objectives. Moreover, during temporary defensive periods (e.g., times when, in NAM&#146;s
opinion, temporary imbalances of supply and demand or other temporary dislocations in the
tax-exempt securities market adversely affect the price at which long-term or intermediate-term
municipal securities are available), and in order to keep each Fund&#146;s cash fully invested, each
Fund may invest any percentage of its net assets in short-term investments including high quality,
short-term debt securities that may be either tax-exempt or taxable and up to 10% of its net assets
in securities of other open-or closed-end investment companies (including exchange-traded funds
(often referred to as &#147;ETFs&#148;)) that invest primarily in municipal securities of the types in which
the Fund may invest directly. Each Fund intends to invest in taxable short-term investments only
in the event that suitable tax-exempt short-term investments are not available at reasonable prices
and yields. Tax-exempt short-term investments include various obligations issued by state and
local governmental issuers, such as tax-exempt notes (bond anticipation notes, tax anticipation
notes and revenue anticipation notes or other such municipal securities maturing in three years or
less from the date of issuance) and municipal commercial paper. Each Fund will invest only in
taxable short-term investments which are U.S. government securities or securities rated within the
highest grade by Fitch, Moody&#146;s or S&#038;P, and which mature within one year from the date of purchase
or carry a variable or floating rate of interest. Taxable short-term investments of the Funds may
include certificates of deposit issued by U.S. banks with assets of at least $1&nbsp;billion, or
commercial paper or corporate notes, bonds or debentures with a remaining maturity of one year or
less, or repurchase
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->19<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">agreements. To the extent the Funds invest in taxable investments, the Funds will not at such
times be in a position to achieve their investment objective of providing tax-exempt income.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Other Investment Companies</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Each Fund may invest up to 10% of its Managed Assets in securities of other open- or
closed-end investment companies (including ETFs) that invest primarily in municipal securities of
the types in which the Fund may invest directly. The Funds generally expect that they may invest
in other investment companies either during periods when they have large amounts of uninvested cash
or during periods when there is a shortage of attractive municipal securities available in the
market. Each Fund may invest in investment companies that are advised by the NAM or its affiliates
to the extent permitted by applicable law and/or pursuant to exemptive relief from the Securities
and Exchange Commission. As a shareholder in an investment company, each Fund will bear its
ratable share of that investment company&#146;s expenses, and would remain subject to payment of the
Fund&#146;s advisory and administrative fees with respect to assets so invested. Common Shareholders
would therefore be subject to duplicative expenses to the extent the Funds invest in other
investment companies.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;NAM will take expenses into account when evaluating the investment merits of an investment in
the investment company relative to available municipal security instruments. In addition, because
the securities of other investment companies may be leveraged and subject to the same leverage
risk, each Fund may indirectly be subject to those risks described in the Proxy
Statement/Prospectus. Market value will tend to fluctuate more than the yield generated by
unleveraged shares.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Portfolio Trading and Turnover Rate</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Portfolio trading may be undertaken to accomplish the Funds&#146; investment objectives. In
addition, a security may be sold and another of comparable quality purchased at approximately the
same time to take advantage of what NAM believes to be a temporary price disparity between the two
securities. Temporary price disparities between two comparable securities may result from supply
and demand imbalances where, for example, a temporary oversupply of certain securities may cause a
temporarily low price for such securities, as compared with other securities of like quality and
characteristics. The Funds may also engage to a limited extent in short-term trading consistent
with their investment objectives. Securities may be sold in anticipation of a market decline (a
rise in interest rates) or purchased in anticipation of a market rise (a decline in interest rates)
and later sold, but the Funds will not engage in trading solely to recognize a gain.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Each Fund may engage in portfolio trading when considered appropriate, but short-term trading
will not be used as the primary means of achieving the Fund&#146;s investment objectives. Although the
Funds cannot accurately predict their annual portfolio turnover rate, it is generally not expected
to exceed 100% under normal circumstances. However, there are no limits on the Fund&#146;s rate of
portfolio turnover, and investments may be sold without regard to length of time held when, in
NAM&#146;s opinion, investment considerations warrant such action. A higher portfolio turnover rate
would result in correspondingly greater brokerage commissions and other transactional expenses that
are borne by the Fund. In addition, high portfolio turnover may result in the realization of net
short-term capital gains by the Fund which, when distributed to shareholders, will be taxable as
ordinary income. See &#147;Tax Matters.&#148;
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->20<!-- /Folio -->
</DIV>

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<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left">
<A name="105"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>MANAGEMENT OF THE FUNDS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Trustees and Officers</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt">The management of the Funds, including general supervision of the duties performed for each Fund
under its investment management agreement with NAM (&#147;the management agreement&#146;), is the
responsibility of the Board of Trustees of the Funds. (The same Board of Trustees and officers
oversee both Funds.) The number of trustees of the Funds is nine, one of whom is an &#147;interested
person&#148; (as the term &#147;interested person&#148; is defined in the 1940 Act) and eight of whom are not
interested persons (referred to herein as &#147;independent trustees&#148;). None of the independent
trustees has ever been a trustee, director or employee of, or consultant to, Nuveen, NAM or their
affiliates. The trustees are classified as Class&nbsp;I, Class&nbsp;II
and Class&nbsp;III trustees and are elected by the holders of the Fund&#146;s outstanding Common Shares and
MuniPreferred Shares, voting together as a single class. Trustees are elected for a three-year
term, the Class&nbsp;II trustees serving until the 2011 annual meeting, the Class&nbsp;III trustees serving
until the 2009 annual meeting and the Class&nbsp;I trustees serving until the 2010 annual meeting, in
each case until their respective successors are elected and qualified. Two trustees are elected
solely by the holders of the Fund&#146;s outstanding MuniPreferred Shares (the &#147;MuniPreferred
Trustees&#148;). The MuniPreferred Trustees are elected by holders of MuniPreferred Shares on an annual
basis. The officers of the Funds serve annual terms and are elected on an annual basis. The
names, business addresses and birthdates of the trustees and officers of the Funds, their principal
occupations and other affiliations during the past five years, the number of portfolios each
oversees and other directorships they hold are set forth below. The trustees of the Funds are
directors or trustees, as the case may be, of 72&nbsp;Nuveen-sponsored open-end funds (the &#147;Nuveen
Mutual Funds&#148;) and 121&nbsp;Nuveen-sponsored closed-end funds (collectively with the Nuveen Mutual
Funds, the &#147;Nuveen Funds&#148;).
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="22%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="13%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="16%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="21%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="10%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Number of</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Portfolios</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Term of Office</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>in Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Other</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center"><B>Name, Business</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Position(s)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>and Length of</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Principal</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Complex</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Directorships</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center"><B>Address and</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Held with</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Time Served</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Occupation(s) During</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Overseen</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Held by</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Birthdate</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Funds</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>with Funds</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Past Five Years</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>by Trustee</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Trustee</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Independent Trustees:</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Robert P. Bremner<br>
333 West Wacker Drive
Chicago, IL 60606<BR>
(8/22/40)
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">Chairman of the
Board and Trustee
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Class&nbsp;III
Length of
service-Since 1996;
Chairman of the
Board since 2008;
Lead Independent
Director
(2005-2008)
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Private Investor and
Management Consultant.
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">193</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">N/A</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->21<!-- /Folio -->
</DIV>

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<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="22%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="13%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="16%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="21%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="10%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Number of</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Portfolios</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Term of Office</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>in Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Other</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center"><B>Name, Business</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Position(s)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>and Length of</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Principal</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Complex</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Directorships</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center"><B>Address and</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Held with</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Time Served</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Occupation(s) During</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Overseen</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Held by</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Birthdate</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Funds</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>with Funds</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Past Five Years</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>by Trustee</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Trustee</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Jack B. Evans<br>
333 West Wacker Drive
Chicago, IL 60606<BR>
(10/22/48)
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">Trustee
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Class&nbsp;III <BR>
Length of service-
Since 1999
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">President, The
Hall-Perrine Foundation,
a private philanthropic
corporation (since
1996); Director and Vice
Chairman, United Fire
Group, a publicly held
company; Member of the
Board of Regents for the
State of Iowa University
System; Director,
Gazettte Companies; Life
Trustee of Coe College
and Iowa College
Foundation; Member of
the Advisory Council of
the Department of
Finance in the Tippie
College of Business,
University of Iowa;
formerly, Director,
Alliant Energy;
formerly, Director,
Federal Reserve Bank of
Chicago; formerly,
President and Chief
Operating Officer, SCI
Financial Group, Inc., a
regional financial
services firm.
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">193</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">See Principal<BR>
Occupation<BR>
description</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->22<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="22%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="13%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="16%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="21%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="10%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Number of</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Portfolios</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Term of Office</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>in Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Other</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center"><B>Name, Business</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Position(s)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>and Length of</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Principal</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Complex</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Directorships</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center"><B>Address and</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Held with</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Time Served</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Occupation(s) During</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Overseen</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Held by</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Birthdate</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Funds</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>with Funds</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Past Five Years</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>by Trustee</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Trustee</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">William C. Hunter<br>
333 West Wacker Drive
Chicago, IL 60606<BR>
(3/6/48)
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">Trustee
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Annual <BR>
Length of
service-Since 2004
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Dean, Tippie College of
Business, University of
Iowa (since July&nbsp;2006);
Director (since 1997),
Credit Research Center
at Georgetown
University; Director
(since 2004) of Xerox
Corporation; Director
(since 2005), Beta Gamma
Sigma International
Honor Society; formerly
Director, SS&#038;C
Technologies, Inc.
(May&nbsp;2005-October&nbsp;2005);
formerly, Dean and
Distinguished Professor
of Finance, School of
Business at the
University of
Connecticut (2003-2006);
previously, Senior Vice
President and Director
of Research at the
Federal Reserve Bank of
Chicago (1995-2003).
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">193</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">See Principal<BR>
Occupation<BR>
description</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->23<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="22%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="13%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="16%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="21%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="10%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Number of</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Portfolios</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Term of Office</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>in Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Other</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center"><B>Name, Business</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Position(s)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>and Length of</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Principal</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Complex</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Directorships</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center"><B>Address and</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Held with</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Time Served</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Occupation(s) During</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Overseen</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Held by</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Birthdate</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Funds</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>with Funds</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Past Five Years</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>by Trustee</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Trustee</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">David&nbsp;J. Kundert<br>
333 West Wacker Drive
Chicago, IL 60606<BR>
(10/28/42)
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">Trustee
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Class&nbsp;II <BR>
Length of
service-Since 2005
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Director, Northwestern
Mutual Wealth Management
Company, retired (since
2004) as Chairman,
JPMorgan Fleming Asset
Management, President
and CEO, Banc One
Investment Advisors
Corporation, and
President, One Group
Mutual Funds; prior
thereto, Executive Vice
President, Bank One
Corporation and Chairman
and CEO, Banc One
Investment Management
Group; Member of the
Board of Regents, Luther
College; member of the
Wisconsin Bar
Association; member of
Board of Directors,
Friends of Boerner
Botanical Gardens;
Member of Investment
Committee, Greater
Milwaukee Foundation.
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">193</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">See Principal<BR>
Occupation<BR>
description</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">William&nbsp;J. Schneider<br>
333 West Wacker Drive
Chicago, IL 60606<BR>
(9/24/44)
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">Trustee
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Annual <BR>
Length of
service-Since 1996
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Chairman, formerly,
Senior Partner and Chief
Operating Officer
(retired 2004) of
Miller-Valentine
Partners Ltd., a real
estate investment
company; Director,
Dayton Development
Coalition; formerly,
Member, Business
Advisory Council,
Cleveland Federal
Reserve Bank.
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">193</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">See Principal<BR>
Occupation<BR>
description</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Judith M. Stockdale<br>
333 West Wacker Drive
Chicago, IL 60606<BR>
(12/29/47)
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">Trustee
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Class&nbsp;I <BR>
Length of service
Since 1997
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Executive Director,
Gaylord and Dorothy
Donnelley Foundation
(since 1994); prior
thereto, Executive
Director, Great Lakes
Protection Fund
(1990-1994).
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">193</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">N/A</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->24<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="22%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="13%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="16%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="21%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="10%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Number of</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Portfolios</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Term of Office</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>in Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Other</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center"><B>Name, Business</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Position(s)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>and Length of</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Principal</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Complex</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Directorships</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center"><B>Address and</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Held with</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Time Served</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Occupation(s) During</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Overseen</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Held by</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Birthdate</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Funds</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>with Funds</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Past Five Years</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>by Trustee</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Trustee</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Carole E. Stone<br>
333 West Wacker Drive
Chicago, IL 60606<BR>
(6/28/47)
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">Trustee
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Class&nbsp;I <BR>
Length of service
Since 2007
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Director, Chicago Board
Options Exchange (since
2006); Commissioner, New
York State Commission on
Public Authority Reform
(since 2005); formerly,
Director, New York State
Division of the Budget
(2000-2004), Chair,
Public Authorities
Control Board
(2000-2004), Director,
Local Government
Assistance Corporation
(2000-2004), formerly
Chair, New York Racing
Association Oversight
Board (2005-2007).
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">193</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">See Principal<BR>
Occupation<BR>
description</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->25<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="22%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="13%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="16%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="21%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="10%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Number of</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Portfolios</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Term of Office</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>in Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Other</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center"><B>Name, Business</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Position(s)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>and Length of</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Principal</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Complex</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Directorships</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center"><B>Address and</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Held with</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Time Served</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Occupation(s) During</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Overseen</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Held by</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Birthdate</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Funds</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>with Funds</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Past Five Years</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>by Trustee</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Trustee</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Terence&nbsp;J. Toth<br>
333 West Wacker Drive
Chicago, IL 60606<BR>
(9/29/59)
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">Trustee
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Class&nbsp;II <BR>
Length of
service-Since 2008
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Director, Legal&nbsp;&#038;
General Investment
Management (since 2008);
Private Investor (since
2007); CEO and
President, Northern
Trust Investments
(2004-2007); Executive
Vice President,
Quantitative
Management&nbsp;&#038; Securities
Lending (2000-2004);
prior thereto, various
positions with Northern
Trust Company (since
1994); Member: Goodman
Theatre Board (since
2004); Chicago
Fellowship Board (since
2005), University of
Illinois Leadership
Council Board (since
2007) and Catalyst
Schools of Chicago Board
(since 2008); formerly
Member: Northern Trust
Mutual Funds Board
(2005-2007), Northern
Trust Japan Board
(2004-2007), Northern
Trust Securities Inc.
Board (2003-2007) and
Northern Trust Hong Kong
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">193</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">N/A</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Board (1997-2004).</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->26<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="22%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="13%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="16%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="21%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="10%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Number of</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Portfolios</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Term of Office</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>in Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Other</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center"><B>Name, Business</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Position(s)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>and Length of</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Principal</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Complex</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Directorships</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center"><B>Address and</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Held with</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Time Served</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Occupation(s) During</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Overseen</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Held by</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Birthdate</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Funds</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>with Funds</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Past Five Years</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>by Trustee</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Trustee</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Interested Trustee:</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">John P. Amboian*<br>
333 West Wacker Drive
Chicago, IL 60606<BR>
(6/14/61)
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">Trustee
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Class&nbsp;II <BR>
Length of
service-Since 2008
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Chief Executive Officer
(since July&nbsp;2007) and
Director (since 1999) of
Nuveen Investments,
Inc.; Chief Executive
Officer (since 2007) of
Nuveen Asset Management,
Rittenhouse Asset
Management, Nuveen
Investments Advisors,
Inc.; formerly,
President (1999-2004) of
Nuveen Advisory Corp.
and Nuveen Institutional
Advisory Corp.**
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">193</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">See Principal<BR>
Occupation<BR>
description</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">*</TD>
    <TD>&nbsp;</TD>
    <TD>Mr.&nbsp;Amboian is an &#147;interested person&#148; of the Trust, as defined in the 1940 Act, by reason of
his positions with Nuveen Investments, Inc. (&#147;Nuveen Investments&#148;) and certain of its
subsidiaries.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">**</TD>
    <TD>&nbsp;</TD>
    <TD>Nuveen Advisory Corp. and Nuveen Institutional Advisory Corp. were reorganized into NAM,
effective January&nbsp;1, 2005.</TD>
</TR>

</TABLE>


<P align="center" style="font-size: 10pt"><!-- Folio -->27<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">





<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="24%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="20%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="19%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="22%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Number of</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Portfolios</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>in Fund</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Position(s)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Term of Office and</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Complex</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center"><B>Name, Business</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Held with</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Length of Time</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Principal Occupation(s)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Overseen</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Address and Birthdate</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Funds</B></TD>
    <TD>&nbsp;</TD>

<TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Served with Funds</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>During Past Five Years</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>by Trustee</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Officers of the
Funds:</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Gifford R. Zimmerman<br>
333 West Wacker Drive <BR>
Chicago, IL 60606<BR>
(9/9/56)
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Chief
Administrative<BR>
Officer
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Term-Until July
2009-Length of
Service-Since 1988
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Managing Director
(since 2002),
Assistant Secretary
and Associate General
Counsel of Nuveen
Investments, LLC;
Managing Director
(since 2002) and
Assistant Secretary
and Associate General
Counsel of Nuveen
Asset Management;
Managing Director
(since 2004) and
Assistant Secretary
(since 1994) of Nuveen
Investments, Inc.;
Vice President and
Assistant Secretary of
NWQ Investment
Management Company,
LLC (since 2002); Vice
President and
Assistant Secretary of
Nuveen Investments
Advisers Inc. (since
2002); Managing
Director, Associate
General Counsel and
Assistant Secretary of
Rittenhouse Asset
Management, Inc. and
Symphony Asset
Management LLC (since
2003); Vice President
and Assistant
Secretary of
Tradewinds Global
Investors, LLC and
Santa Barbara Asset
Management, LLC (since
2006), and Nuveen
HydePark Group, LLC
and Nuveen Investment
Solutions, Inc. (since
2007); formerly,
Managing Director
(2002-2004), General
Counsel (1998-2004)
and Assistant
Secretary of Nuveen
Advisory Corp. and
Nuveen Institutional
Advisory Corp.*;
Chartered Financial
Analyst.
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">193</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Williams Adams IV<br>
333 West Wacker Drive <BR>
Chicago, IL 60606<BR>
(6/9/55)
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Vice President
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Term-Until July
2009-Length of
Service-Since 2007
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Executive Vice
President, U.S.
Structured Products of
Nuveen Investments,
LLC (since 1999),
prior thereto,
Managing Director of
Structured
Investments.
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">121</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->28<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="24%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="20%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="19%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="22%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Number of</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Portfolios</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>in Fund</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Position(s)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Term of Office and</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Complex</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center"><B>Name, Business</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Held with</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Length of Time</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Principal Occupation(s)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Overseen</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Address and Birthdate</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Funds</B></TD>
    <TD>&nbsp;</TD>

<TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Served with Funds</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>During Past Five Years</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>by Trustee</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Cedric H. Antosiewicz<br>
333 West Wacker Drive <BR>
Chicago, IL 60606<BR>
(1/11/62)
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Vice President
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Term-Until July
2009-Length of
Service-Since 2007
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Managing Director
(since 2004),
previously, Vice
President (1993-2004)
of Nuveen Investments
LLC.
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">121</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Michael T. Atkinson<br>
333 West Wacker Drive<BR>
Chicago, IL 60606<BR>
(2/3/66)
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Vice President
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Term-Until July
2009-Length of
Service-Since
inception
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Vice President of
Nuveen Investments,
LLC (since 2002) and
Nuveen Asset
Management (since
2005).
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">193</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Lorna C. Ferguson<br>
333 West Wacker Drive <BR>
Chicago, IL 60606<BR>
(10/24/45)
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Vice President
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Term-Until July
2009-Length of
Service-Since 1998
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Managing Director
(since 2004),
formerly, Vice
President of Nuveen
Investments, LLC;
Managing Director
(since 2005) of Nuveen
Asset Management;
Managing Director
(2004-2005), formerly,
Vice President
(1998-2004) of Nuveen
Advisory Corp. and
Nuveen Institutional
Advisory Corp.*
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">193</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Stephen D. Foy<br>
333 West Wacker Drive <BR>
Chicago, IL 60606<BR>
(5/31/54)
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Vice President and
Controller
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Term-Until July
2009-Length of
Service-Since 1993
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Vice President (since
1993) and Funds
Controller (since
1998) of Nuveen
Investments, LLC; Vice
President (since 2005)
of Nuveen Asset
Management; formerly,
Vice President and
Funds Controller of
Nuveen Investments,
Inc. (1998-2004);
Certified Public
Accountant.
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">193</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Walter M. Kelly<br>
333 West Wacker Drive<BR>
Chicago, IL 60606<BR>
(2/24/70)
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Chief Compliance
Officer and Vice
President
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Term-Until July
2009-Length of
Service-Since 2003
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Senior Vice President
(since 2008),
formerly, Vice
President, formerly,
Assistant Vice
President and
Assistant General
Counsel (2003-2006) of
Nuveen Investments,
LLC; Senior Vice
President (since 2008)
and Assistant
Secretary (since
2003), formerly, Vice
President (2006-2008)
of Nuveen Asset
Management;
previously, Assistant
Vice President and
Assistant Secretary of
the Nuveen Funds
(2003-2006).
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">193</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->29<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="24%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="20%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="19%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="22%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Number of</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Portfolios</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>in Fund</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Position(s)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Term of Office and</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Complex</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center"><B>Name, Business</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Held with</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Length of Time</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Principal Occupation(s)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Overseen</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Address and Birthdate</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Funds</B></TD>
    <TD>&nbsp;</TD>

<TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Served with Funds</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>During Past Five Years</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>by Trustee</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">David J. Lamb<br>
333 West Wacker Drive <BR>
Chicago, IL 60606<BR>
(3/22/63)
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Vice President
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Term-Until July
2009- Length of
Service-Since 2000
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Vice President of
Nuveen Investments,
LLC (since 2000) and
Nuveen Asset
Management (since
2005); Certified
Public Accountant.
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">193</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Tina M. Lazar<br>
333 West Wacker Drive <BR>
Chicago, IL 60606<BR>
(8/27/61)
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Vice President
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Term-Until July
2009-Length of
Service-Since 2002
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Vice President of
Nuveen Investments,
LLC (since 1999) and
Nuveen Asset
Management (since
2005).
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">193</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Larry W. Martin<br>
333 West Wacker Drive <BR>
Chicago, IL 60606<BR>
(7/27/51)
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Vice President and
Assistant Secretary
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Term-Until July
2009-Length of
Service-Since 1988
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Vice President,
Assistant Secretary
and Assistant General
Counsel of Nuveen
Investments, LLC; Vice
President (since 2005)
and Assistant
Secretary of Nuveen
Investments, Inc.;
Vice President (since
2005) and Assistant
Secretary (since 1997)
of Nuveen Asset
Management; Vice
President (since
2000), Assistant
Secretary and
Assistant General
Counsel (since 1998)
of Rittenhouse Asset
Management, Inc.; Vice
President and
Assistant Secretary of
Nuveen Investments
Advisers Inc. (since
2002), NWQ Investment
Management Company,
LLC (since 2002),
Symphony Asset
Management LLC (since
2003), Tradewinds
Global Investors, LLC
and Santa Barbara
Asset Management LLC
(since 2006) and of
Nuveen HydePark Group,
LLC and Nuveen
Investment Solutions,
Inc. (since 2007);
formerly, Vice
President and
Assistant Secretary of
Nuveen Advisory Corp.
and Nuveen
Institutional Advisory
Corp.*
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">193</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->30<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="24%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="20%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="19%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="22%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Number of</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Portfolios</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>in Fund</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Position(s)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Term of Office and</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Complex</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center"><B>Name, Business</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Held with</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Length of Time</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Principal Occupation(s)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Overseen</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Address and Birthdate</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Funds</B></TD>
    <TD>&nbsp;</TD>

<TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Served with Funds</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>During Past Five Years</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>by Trustee</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Kevin J. McCarthy<br>
333 West Wacker Drive <BR>
Chicago, IL 60606<BR>
(3/26/66)
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Vice President and
Secretary
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Term-Until July
2009- Length of
Service-Since 2007
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Managing Director
(since 2008),
formerly, Vice
President (2007-2008)
of Nuveen Investments,
LLC; Managing Director
(since 2008), Vice
President and
Assistant Secretary
(since 2007) of Nuveen
Asset Management and
Rittenhouse Asset
Management, Inc.; Vice
President and
Assistant Secretary
(since 2007) of Nuveen
Investment Advisers
Inc., Nuveen
Investment
Institutional Services
Group LLC, NWQ
Investment Management
Company, LLC,
Tradewinds Global
Investors, LLC, NWQ
Holdings, LLC,
Symphony Asset
Management LLC, Santa
Barbara Asset
Management, LLC,
Nuveen HydePark Group,
LLC and Nuveen
Investment Solutions,
Inc.; prior thereto,
Partner, Bell, Boyd &#038;
Lloyd LLP (1997-2007).
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">193</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">John V. Miller<br>
333 West Wacker Drive <BR>

Chicago, IL 60606<BR>

(4/10/67)
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Vice President
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Term-Until July
2009-Length of
Service-Since 2007
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Managing Director
(since 2007),
formerly, Vice
President (2002-2007)
of Nuveen Asset
Management and Nuveen
Investments, LLC;
Chartered Financial
Analyst.
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">193</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Christopher M.
Rohrbacher <br>
333 West Wacker Drive <BR>

Chicago, IL 60606<BR>

(8/1/71)
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Vice President and
Assistant Secretary
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Term-Until July
2009-Length of
Service-Since 2008
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Vice President and
Assistant Secretary of
Nuveen Investments,
LLC (since 2008); Vice
President and
Assistant Secretary of
Nuveen Asset
Management (since
2008); prior thereto,
Associate, Skadden,
Arps, Slate Meagher &#038;
Flom LLP (2002-2008)
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">193</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->31<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="24%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="20%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="19%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="22%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Number of</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Portfolios</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>in Fund</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Position(s)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Term of Office and</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Complex</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center"><B>Name, Business</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Held with</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Length of Time</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Principal Occupation(s)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Overseen</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Address and Birthdate</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Funds</B></TD>
    <TD>&nbsp;</TD>

<TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Served with Funds</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>During Past Five Years</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>by Trustee</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">James F. Ruane<br>
333 West Wacker Drive <BR>
Chicago, IL 60606<BR>
(7/3/62)
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Vice President and
Assistant Secretary
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Term-Until July
2009-Length of
Service-Since 2007
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Vice President of
Nuveen Investments,
LLC (since 2007);
prior thereto,
Partner, Deloitte &#038;
Touche USA LLP
(2005-2007), formerly,
senior tax manager
(2002-2005); Certified
Public Accountant.
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">193</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Mark L. Winget<br>
333 West Wacker Drive <BR>
Chicago, IL 60606<BR>
(12/21/68)
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Vice President and
Assistant Secretary
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Term-Until July
2009-Length of
Service-Since 2008
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Vice President and
Assistant Secretary of
Nuveen Investments,
LLC (since 2008); Vice
President and
Assistant Secretary of
Nuveen Asset
Management (since
2008); prior thereto,
Counsel, Vedder Price
P.C. (1997-2007).
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">193</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">*</TD>
    <TD>&nbsp;</TD>
    <TD>Nuveen Advisory Corp. and Nuveen Institutional Advisory Corp. were reorganized into NAM,
effective January&nbsp;1, 2005.</TD>
</TR>

</TABLE>



<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Board Committees</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Board of Trustees has five standing committees: the Executive Committee, the Audit
Committee, the Nominating and Governance Committee, the Dividend Committee and the Compliance, Risk
Management and Regulatory Oversight Committee.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Robert&nbsp;P. Bremner, Chair, Judith&nbsp;M. Stockdale and John&nbsp;P. Amboian, serve as members of the
Executive Committee of the Board of Trustees of the Funds. The Executive Committee, which meets
between regular meetings of the Board of Trustees, is authorized to exercise all of the powers of
the Board of Trustees. The Executive Committee held &#95;&#95;&#95; meetings during the last fiscal year.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Audit Committee monitors the accounting and reporting policies and practices of the Funds,
the quality and integrity of the financial statements of the Funds, compliance by the Funds with
legal and regulatory requirements and the independence and performance of the external and internal
auditors. The members of the Audit Committee are Robert&nbsp;P. Bremner, Jack&nbsp;B. Evans, David&nbsp;J.
Kundert, Chair, William&nbsp;J. Schneider and Terence&nbsp;J. Toth. The Audit Committee held &#95;&#95;&#95;
meetings during the last fiscal year.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Nominating and Governance Committee is composed of the independent trustees of the Funds.
The Nominating and Governance Committee operates under a written charter adopted and approved by
the Board of Trustees. The Nominating and Governance Committee is responsible for trustee
selection and tenure; selection and review of committees; and Board education and operations. In
addition, the Nominating and Governance Committee monitors performance of legal counsel and other
service providers; periodically reviews and makes recommendations about any appropriate changes to
trustee compensation; and has the resources and authority to discharge its responsibilities,
including retaining special counsel and other experts or consultants at the expense of the Funds.
In the event of a vacancy on the Board, the Nominating and Governance Committee receives
suggestions from various sources as to suitable candidates. Suggestions should be sent in writing
to Lorna Ferguson, Manager of
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->32<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Board Relations, Nuveen Investments, 333 West Wacker Drive, Chicago, IL 60606. The Nominating
and Governance Committee sets appropriate standards and requirements for nominations for new
trustees and reserves the right to interview all candidates and to make the final selection of any
new trustees. The members of the Nominating and Governance Committee are Robert&nbsp;P. Bremner, Chair,
Jack&nbsp;B. Evans, William&nbsp;C. Hunter, David&nbsp;J. Kundert, William&nbsp;J. Schneider, Judith&nbsp;M. Stockdale,
Carole&nbsp;E. Stone and Terence&nbsp;J. Toth. The Nominating and
Governance Committee held <u>&nbsp;&nbsp;&nbsp;&nbsp;</u> meetings
during the last fiscal year.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Dividend Committee is authorized to declare distributions on the Funds&#146; shares including,
but not limited to, regular and special dividends, capital gains and ordinary income distributions.
The members of the Dividend Committee are Jack&nbsp;B. Evans, Judith&nbsp;M. Stockdale and Terence&nbsp;J. Toth.
The Dividend Committee held &#95;&#95;&#95; meetings during the last fiscal year.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Compliance, Risk Management and Regulatory Oversight Committee is responsible for the
oversight of compliance issues, risk management, and other regulatory matters affecting the Funds
that are not otherwise the jurisdiction of the other committees. As part of its duties regarding
compliance matters, the Committee is responsible for the oversight of the Pricing Procedures of the
Funds and the Valuation Group. The members of the Compliance, Risk Management and Regulatory
Oversight Committee are William&nbsp;J. Schneider, Chair, William&nbsp;C. Hunter, Judith&nbsp;M. Stockdale and
Carole&nbsp;E. Stone. The Committee has adopted a written charter. The Compliance, Risk Management and
Regulatory Oversight Committee held &#95;&#95;&#95; meetings during the last fiscal year.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Independent Chairman</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The trustees have elected Robert P. Bremner as the independent Chairman of the Board of
Trustees. Specific responsibilities of the Chairman include (a)&nbsp;presiding at all meetings of the
Board of Trustees and of the shareholders; (b)&nbsp;seeing that all orders and resolutions of the
trustees are carried into effect; and (c)&nbsp;maintaining records of and, whenever necessary,
certifying all proceedings of the trustees and the shareholders.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Class&nbsp;I trustees will serve until the annual meeting of shareholders in 2010; Class&nbsp;II
trustees will serve until the annual meeting of shareholders in 2011; and Class&nbsp;III trustees will
serve until the annual meeting of shareholders in 2012. As each trustee&#146;s term expires,
shareholders will be asked to elect trustees and such trustees shall be elected for a term expiring
at the time of the third succeeding annual meeting subsequent to their election or thereafter in
each case when their respective successors are duly elected and qualified. These provisions could
delay for up to two years the replacement of a majority of the Board of Trustees. See the Proxy
Statement/Prospectus under &#147;Certain Provisions in the Acquiring Fund&#146;s Declaration of Trust and
By-Laws.&#148;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#091;The Board held four regular quarterly meetings and seven special meetings during the last
fiscal year. During the last fiscal year, each Board Member attended 75% or more of the Fund&#146;s
Board meetings and the committee meetings (if a member thereof) held during the period for which
such Board Member was a Board Member.&#093; The policy of the Board relating to attendance by Board
Members at annual meetings of the Fund and the number of Board Members who attended the last annual
meeting of shareholders of the Fund is posted on the Funds&#146; website at
www.nuveen.com/etf/products/fundgovernance.aspx.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->33<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Share Ownership</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following table sets forth the dollar range of equity securities beneficially owned by
each trustee as of October&nbsp;31, 2008:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="64%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Aggregate Dollar Range</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>of Equity Securities in</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Dollar Range</B></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center"><B>Dollar Range</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>All Registered</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>of Equity</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>of Equity</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Investment Companies</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Securities in</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Securities in</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Overseen by Trustee in</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>the Acquiring</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>the Acquired Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Family of Investment</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Name of Trustee</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B> Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Companies</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">John M. Amboian</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">None</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">None</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Over $100,000</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Robert P. Bremner</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">None</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">None</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Over $100,000</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Jack B. Evans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">None</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">None</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Over $100,000</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">William C. Hunter</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">None</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">None</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Over $100,000</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">David&nbsp;J. Kundert</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">None</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">None</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Over $100,000</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">William S. Schneider</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">None</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">None</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Over $100,000</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Judith M. Stockdale</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">None</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">None</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Over $100,000</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Carole E. Stone</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">None</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">None</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD nowrap align="right">10,001 - $50,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Terence&nbsp;J. Toth</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">None</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">None</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD nowrap align="right">10,001 - $50,000</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;No trustee who is not an interested person of the Funds or his immediate family member owns
beneficially or of record, any security of NAM, Nuveen or any person (other than a registered
investment company) directly or indirectly controlling, controlled by or under common control with
NAM or Nuveen.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Compensation</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following table sets forth the compensation paid by the Funds during the fiscal year ended
October&nbsp;31, 2008. The Funds do not have a retirement or pension plan. The officers and trustees
affiliated with Nuveen serve without any compensation from the Funds. The Funds have a deferred
compensation plan (the &#147;Plan&#148;) that permits any trustee who is not an &#147;interested person&#148; of the
Funds to elect to defer receipt of all or a portion of his or her compensation as a trustee. The
deferred compensation of a participating trustee is credited to a book reserve account of the Funds
when the compensation would otherwise have been paid to the trustee. The value of the trustee&#146;s
deferral account at any time is equal to the value that the account would have had if contributions
to the account had been invested and reinvested in shares of one or more of the eligible Nuveen
funds. At the time for commencing distributions from a trustee&#146;s deferral account, the trustee may
elect to receive distributions in a lump sum or over a period of five years. The Funds will not be
liable for any other fund&#146;s obligations to make distributions under the Plan.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->34<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="64%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Amount of Total</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Aggregate</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Compensation</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Total Compensation</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Compensation</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>That Has</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>from Funds and</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>from Funds</B><SUP style="font-size: 85%; vertical-align: text-top"><B>(1)</B></SUP></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Been Deferred</B><SUP style="font-size: 85%; vertical-align: text-top"><B>(2)</B></SUP></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Fund Complex</B><SUP style="font-size: 85%; vertical-align: text-top"><B>(3)</B></SUP></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Robert P. Bremner</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Jack B. Evans</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">William C. Hunter</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">David&nbsp;J. Kundert</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">William&nbsp;J. Schneider</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Judith M. Stockdale</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Carole E. Stone</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Terence&nbsp;J. Toth<SUP style="font-size: 85%; vertical-align: text-top">(4)</SUP></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">(1)</TD>
    <TD>&nbsp;</TD>
    <TD>&#091;Describe compensation from each Fund.&#093;</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(2)</TD>
    <TD>&nbsp;</TD>
    <TD>Pursuant to a deferred compensation agreement with certain of the Nuveen Funds, deferred
amounts are treated as though an equivalent dollar amount has been invested in shares of one
or more eligible Nuveen funds. Total deferred fees for the Funds (including the return from
the assumed investment in the eligible Nuveen Funds) payable are stated above.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(3)</TD>
    <TD>&nbsp;</TD>
    <TD>Based on the compensation paid (including any amounts deferred) for the one year period
ending <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U> for services to the Nuveen open-end and closed-end funds.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(4)</TD>
    <TD>&nbsp;</TD>
    <TD>Mr.&nbsp;Toth was appointed to the Board of Trustees of the Nuveen Funds, effective July&nbsp;1, 2008.</TD>
</TR>

</TABLE>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Independent trustees receive a $100,000 annual retainer plus (a)&nbsp;a fee of $3,250 per day for
attendance in person or by telephone at a regularly scheduled meeting of the Board of Trustees;
(b)&nbsp;a fee of $2,500 per meeting for attendance in person where such in-person attendance is
required and $1,500 per meeting for attendance by telephone or in person where in-person attendance
is not required at a special, non-regularly scheduled board meeting; (c)&nbsp;a fee of $2,000 per
meeting for attendance in person or by telephone at an Audit Committee meeting; (d)&nbsp;a fee of $2,000
per meeting for attendance in person at a Compliance, Risk Management and Regulatory Oversight
Committee meeting where in-person attendance is required and $1,000 per meeting for attendance by
telephone where in-person attendance is not required; (e)&nbsp;a fee of $1,000 per meeting for
attendance in person or by telephone for a meeting of the Dividend Committee; and (f)&nbsp;a fee of $500
per meeting for attendance in person at all other committee meetings ($1,000 for shareholder
meetings) on a day on which no regularly scheduled board meeting is held in which in-person
attendance is required and $250 per meeting for attendance by telephone or in person at such
committee meetings (excluding shareholder meetings) where in-person attendance is not required and
$100 per meeting when the Executive Committee acts as pricing committee for IPOs, plus, in each
case, expenses incurred in attending such meetings. In addition to the payments described above,
the independent Chairman of the Board of Trustees receives $50,000, the chairpersons of the Audit
Committee, the Dividend Committee and the Compliance, Risk Management and Regulatory Oversight
Committee receive $7,500 and the chairperson of the Nominating and Governance Committee receives
$5,000 as additional retainers. Independent trustees also receive a fee of $2,500 per day for site
visits to entities that provide services to the Nuveen Funds on days on which no regularly
scheduled board meeting is held. When ad hoc committees are organized, the Nominating and
Governance Committee will at the time of formation determine compensation to be paid to the members
of such committee; however, in general, such fees will be $1,000 per meeting for attendance in
person at any ad hoc committee meeting where in-person attendance is required and $500 per meeting
for attendance by telephone or in person at such meetings where in-person attendance is not
required. The annual retainer, fees and expenses are allocated among the Nuveen Funds on the basis
of relative net asset sizes, although fund management may, in its discretion, establish a minimum
amount to be allocated to each fund.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Funds have no employees. Their officers are compensated by Nuveen Investments or its
affiliates.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->35<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left">
<A name="106"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>INVESTMENT ADVISER</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;NAM, the Funds&#146; investment adviser, is responsible for determining each Fund&#146;s overall
investment strategy and its implementation. NAM also is responsible for managing operations and
each Fund&#146;s business affairs and providing certain clerical, bookkeeping and other administrative
services to the Fund. For additional information regarding the management services performed by
NAM, including biographies of each of the Funds&#146; portfolio managers and further information about
the investment management agreement between the Fund and NAM, see &#147;Management of the Fund&#148; in the
Proxy Statement/Prospectus.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;NAM, 333 West Wacker Drive, Chicago, Illinois 60606, a registered investment adviser, is a
wholly-owned subsidiary of Nuveen Investments. Founded in 1898, Nuveen Investments and its
affiliates had approximately $134&nbsp;billion of assets under management as of September&nbsp;30, 2008,.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On November&nbsp;13, 2007, Nuveen Investments was acquired by an investor group led by Madison Dearborn
Partners, LLC, a private equity firm based in Chicago, Illinois (previously defined as the &#147;MDP
Acquisition&#148;). The investor group led by Madison Dearborn Partners, LLC includes affiliates of
Merrill Lynch &#038; Co. (&#147;Merrill Lynch&#148;). Merrill Lynch has since been acquired by Bank of America
Corporation. NAM has adopted policies and procedures that address arrangements involving NAM and
Bank of America Corporation and its affiliates that may give rise to certain conflicts of interest.
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
Funds are dependent upon services and resources provided by the adviser, NAM, and therefore the
investment adviser&#146;s parent Nuveen Investments. Nuveen Investments significantly increased its
level of debt in connection with the MDP Acquisition. While Nuveen Investments believes that monies
generated from operations and cash on hand will be adequate to fund debt service requirements,
capital expenditures and working capital requirements for the foreseeable future, there can be no
assurance that Nuveen Investments&#146; business will generate sufficient cash flow from operations or
that future borrowings will be available in an amount sufficient to enable Nuveen Investments to
pay its indebtedness (with scheduled maturities beginning in 2014) or to fund its other liquidity
needs. Nuveen Investments believes that potential adverse changes to the overall financial position
and business operations of Nuveen Investments would not adversely affect NAM&#146;s credit research and
portfolio management operations and would not otherwise adversely affect NAM&#146;s ability to fulfill
its obligations to the Fund under the Fund&#146;s investment management agreement. There was no change
in the portfolio management of the Fund or in the Fund&#146;s investment objective or policies as a
result of these transactions.
</DIV>

<DIV align="left">
<A name="107"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>PORTFOLIO MANAGERS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Unless otherwise indicated, the information below is provided as of the date of this Statement
of Additional Information.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Portfolio Management Team</I>. Paul Brennan, CFA, CPA is the Acquiring Fund&#146;s portfolio manager
at NAM and has primary responsibility for providing daily oversight for, and execution of, the
Acquiring Fund&#146;s investment activities.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In addition to managing the Funds, Mr.&nbsp;Brennan is also primarily responsible for the
day-to-day portfolio management of the following accounts. Information is provided as of
October&nbsp;31, 2008 unless otherwise indicated:
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->36<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="76%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Number of</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Type of Account Managed</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Accounts</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Assets*</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Registered Investment Company</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">15</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">$12.61 billion</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Other Pooled Investment Vehicles</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center">$</TD>
    <TD align="right">0&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Other Accounts</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">$.859  million</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">*</TD>
    <TD>&nbsp;</TD>
    <TD>None of the assets in these accounts are subject to an advisory fee based on performance.</TD>
</TR>

</TABLE>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Daniel J. Close, CFA is the Acquired Fund&#146;s portfolio manager at NAM and has primary
responsibility for providing daily oversight for, and execution of, the Acquired Fund&#146;s investment
activities.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In addition to managing the Funds, Mr.&nbsp;Close is also primarily responsible for the day-to-day
portfolio management of the following accounts. Information is provided as of October&nbsp;31, 2008
unless otherwise indicated:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="76%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Number of</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Type of Account Managed</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Accounts</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Assets*</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Registered Investment Company</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">$5.81billion</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Other Pooled Investment Vehicles</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$&nbsp;</TD>
    <TD align="right">0&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Other Accounts</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">$.17 million</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">*</TD>
    <TD>&nbsp;</TD>
    <TD>None of the assets in these accounts are subject to an advisory fee based on performance.</TD>
</TR>

</TABLE>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Compensation</I>. Each Fund&#146;s portfolio manager&#146;s compensation consists of three basic
elements&#151;base salary, cash bonus and long-term incentive compensation. The compensation strategy
is to annually compare overall compensation, to the market in order to create a compensation
structure that is competitive and consistent with similar financial services companies. As
discussed below, several factors are considered in determining each portfolio manager&#146;s total
compensation. In any year these factors may include, among others, the effectiveness of the
investment strategies recommended by the portfolio manager&#146;s investment team, the investment
performance of the accounts managed by the portfolio manager, and the overall performance of Nuveen
Investments (the parent company of NAM). Although investment performance is a factor in
determining the portfolio manager&#146;s compensation, it is not necessarily a decisive factor. The
portfolio manager&#146;s performance is evaluated in part by comparing the portfolio manager&#146;s
performance against a specified investment benchmark. This fund-specific benchmark is a customized
subset (limited to bonds in each Fund&#146;s specific state and with certain maturity parameters) of the
S&#038;P/Investortools Municipal Bond index, an index comprised of bonds held by managed municipal bond
fund customers of Standard&nbsp;&#038; Poor&#146;s Securities Pricing, Inc. that are priced daily and whose fund
holdings aggregate at least $2&nbsp;million. As of October&nbsp;31, 2008, the S&#038;P/Investortools Municipal
Bond index was comprised of 52,959 securities with an aggregate current market value of $1,009
billion.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Base salary</I>. Each Fund&#146;s portfolio manager is paid a base salary that is set at a level
determined by NAM in accordance with its overall compensation strategy discussed above. NAM is not
under any current contractual obligation to increase a portfolio manager&#146;s base salary.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Cash bonus</I>. Each Fund&#146;s portfolio manager is also eligible to receive an annual cash bonus.
The level of this bonus is based upon evaluations and determinations made by each portfolio
manager&#146;s supervisors, along with reviews submitted by his peers. These reviews and evaluations
often take into account a number of factors, including the effectiveness of the investment
strategies recommended to the NAM&#146;s investment team, the performance of the accounts for which he
serves as portfolio manager
relative to any benchmarks established for those accounts, his effectiveness in communicating
investment
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->37<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">performance to stockholders and their representatives, and his contribution to the NAM&#146;s
investment process and to the execution of investment strategies. The cash bonus component is also
impacted by the overall performance of Nuveen Investments in achieving its business objectives.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Long-term incentive compensation</I>. In connection with the acquisition of Nuveen Investments,
by a group of investors lead by Madison Dearborn Partners LLC in November&nbsp;2007, certain employees,
including portfolio managers, received profit interests in Nuveen Investments. These profit
interests entitle the holders to participate in the appreciation in the value of Nuveen Investments
beyond the issue date and vest over five to seven years, or earlier in the case of a liquidity
event.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Conflicts of Interest</I>. Each portfolio manager&#146;s simultaneous management of the Funds and the
other accounts noted above may present actual or apparent conflicts of interest with respect to the
allocation and aggregation of securities orders placed on behalf of each Fund and the other
account. NAM, however, believes that such potential conflicts are mitigated by the fact that the
NAM has adopted several policies that address potential conflicts of interest, including best
execution and trade allocation policies that are designed to ensure (1)&nbsp;that portfolio management
is seeking the best price for portfolio securities under the circumstances, (2)&nbsp;fair and equitable
allocation of investment opportunities among accounts over time and (3)&nbsp;compliance with applicable
regulatory requirements. All accounts are to be treated in a non-preferential manner, such that
allocations are not based upon account performance, fee structure or preference of the portfolio
manager. In addition, NAM has adopted a Code of Conduct that sets forth policies regarding
conflicts of interest.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>Beneficial Ownership of Securities</I>. As of the date of this Statement of Additional
Information, <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U> does not beneficially own any stock issued by the Funds.


</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#091;Unless earlier terminated as described below, each Fund&#146;s management agreement with NAM will
remain in effect until August&nbsp;1,2009.&#093; Each Fund&#146;s management agreement continues in effect from
year to year so long as such continuation is approved at least annually by (1)&nbsp;the Board of
Trustees or the vote of a majority of the outstanding voting securities of each Fund and (2)&nbsp;a
majority of the trustees who are not interested persons of any party to the management agreement,
cast in person at a meeting called for the purpose of voting on such approval. The management
agreements may be terminated at any time, without penalty, by either the Funds or NAM upon 60&nbsp;days&#146;
written notice, and are automatically terminated in the event of its assignment as defined in the
1940 Act.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Funds, NAM, Nuveen and other related entities have adopted codes of ethics that
essentially prohibit certain of their personnel, including the Funds&#146; portfolio managers, from
engaging in personal investments that compete or interfere with, or attempt to take advantage of a
client&#146;s, including the Funds&#146;, anticipated or actual portfolio transactions, and are designed to
assure that the interests of clients, including Fund shareholders, are placed before the interests
of personnel in connection with personal investment transactions. Text-only versions of the codes
of ethics of the Funds, NAM and Nuveen can be viewed online or downloaded from the EDGAR Database
on the Securities and Exchange Commission&#146;s internet web site at www.sec.gov. You may also review
and copy those documents by visiting the Securities and Exchange Commission&#146;s Public Reference Room
in Washington, DC. Information on the operation of the Public Reference Room may be obtained by
calling the Securities and Exchange Commission at 202-942-8090. In addition, copies of those codes
of ethics may be obtained, after mailing the appropriate duplicating fee, by writing to the
Securities and Exchange Commission&#146;s Public Reference Section, 100&nbsp;F Street, N.E., Washington, DC
20549 or by e-mail request at publicinfo@sec.gov.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Each Fund invests its assets generally in municipal securities. On rare occasions the Funds
may acquire, directly or through a special purpose vehicle, equity securities of certain issuers
whose securities
the Funds already own when such securities have deteriorated or are expected shortly to
deteriorate
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->38<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">significantly in credit quality. The purpose of acquiring equity securities generally
will be to acquire control of the issuer and to seek to prevent the credit deterioration or
facilitate the liquidation or other workout of the distressed issuer&#146;s credit problem. In the
course of exercising control of a distressed issuer, NAM may pursue the Funds&#146; interests in a
variety of ways, which may entail negotiating and executing consents, agreements and other
arrangements, and otherwise influencing the management of the issuer. NAM does not consider such
activities proxy voting for purposes of Rule&nbsp;206(4)-6 under the Investment Advisers Act of 1940, as
amended (the &#147;Advisers Act&#148;), but nevertheless provides reports to the Fund&#146;s Board of Trustees on
its control activities on a quarterly basis.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In the rare event that an issuer were to issue a proxy or that the Funds were to receive a
proxy issued by a cash management security, NAM would either engage an independent third party to
determine how the proxy should be voted or vote the proxy with the consent, or based on the
instructions, of the Funds&#146; Board of Trustees or its representative. A member of NAM&#146;s legal
department would oversee the administration of the voting and ensure that records maintained in
accordance with Rule&nbsp;206(4)-6 of the Advisers Act were filed with the Securities and Exchange
Commission on Form N-PX, provided to the Funds&#146; Board of Trustees and made available to
shareholders as required by applicable rules.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In the event of a conflict of interest that might arise when voting proxies for the Funds, NAM
will defer to the recommendation of an independent third party engaged to determine how the proxy
should be voted, or, alternatively, members of NAM&#146;s legal and compliance departments, in
consultation with the Board of Trustees, will examine the conflict of interest and seek to resolve
such conflict in the best interest of each Fund. If a member of NAM&#146;s legal or compliance
department or the Board of Trustees has a personal conflict of interest, that member will refrain
from participating in the consultation.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Information regarding how each Fund voted proxies relating to portfolio securities during the
most recent twelve-month period ended June&nbsp;30 will be available without charge by calling
(800)&nbsp;257-8787 or by accessing the Securities and Exchange Commission&#146;s website at
http://www.sec.gov.
</DIV>
<DIV align="left">
<A name="108"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>PORTFOLIO TRANSACTIONS AND BROKERAGE</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Subject to the supervision of the Board of Trustees, NAM is responsible for decisions to
purchase and sell securities for the Funds, the negotiation of the prices to be paid and the
allocation of transactions among various dealer firms. Transactions on stock exchanges involve the
payment by the Funds of brokerage commissions. There generally is no stated commission in the case
of securities traded in the OTC market but the prices paid by the Funds usually include an
undisclosed dealer commission or mark-up. Transactions in the OTC market can also be placed with
broker-dealers who act as agents and charge brokerage commissions for effecting OTC transactions.
Each Fund may place its OTC transactions either directly with principal market makers, or with
broker-dealers if that is consistent with NAM&#146;s obligation to obtain best qualitative execution.
In certain instances, the Funds may make purchases of underwritten issues at prices that include
underwriting fees.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Portfolio securities may be purchased directly from an underwriter or in the OTC market from
the principal dealers in such securities, unless it appears that a better price or execution may be
obtained through other means. Portfolio securities will not be purchased from Nuveen or its
affiliates or affiliates of NAM except in compliance with the 1940 Act.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;It is NAM&#146;s policy to seek the best execution under the circumstances of each trade. NAM will
evaluate price as the primary consideration, with the financial condition, reputation and
responsiveness of the dealer considered secondary in determining best execution. Given the best
execution obtainable, it will be NAM&#146;s practice to select dealers that, in addition, furnish
research information (primarily credit
analyses of issuers and general economic reports) and statistical and other services to NAM.
It is not
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">possible to place a dollar value on information and statistical and other services
received from dealers. Since it is only supplementary to NAM&#146;s own research efforts, the receipt
of research information is not expected to reduce significantly NAM&#146;s expenses.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;While NAM will be primarily responsible for the placement of the business of the Funds, NAM&#146;s
policies and practices in this regard must be consistent with the foregoing and will, at all times,
be subject to review by the Board of Trustees of the Funds.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;NAM may manage other investment accounts and investment companies for other clients that may
invest in the same types of securities as the Funds and that may have investment objectives similar
to those of the Funds. NAM seeks to allocate portfolio transactions equitably whenever concurrent
decisions are made to purchase or sell assets or securities by each Fund and another advisory
account. If an aggregated order cannot be filled completely, allocations will generally be made on
a pro rata basis. An order may not be allocated on a pro rata basis where, for example
(i)&nbsp;consideration is given to portfolio managers who have been instrumental in developing or
negotiating a particular investment; (ii)&nbsp;consideration is given to an account with specialized
investment policies that coincide with the particulars of a specific investment; (iii)&nbsp;pro rata
allocation would result in odd-lot or de minimis amounts being allocated to a portfolio or other
client; or (iv)&nbsp;where NAM reasonably determines that departure from a pro rata allocation is
advisable. There may also be instances where a Fund will not participate at all in a transaction
that is allocated among other accounts. While these allocation procedures could have a detrimental
effect on the price or amount of the securities available to the Fund from time to time, it is the
opinion of the Board of Trustees that the benefits available from NAM&#146;s management outweigh any
disadvantage that may arise from NAM&#146;s larger management activities and its need to allocate
securities.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
National Fund paid $&#95;&#95;&#95;, $&#95;&#95;&#95;, and $&#95;&#95;&#95; in aggregate brokerage commissions for the fiscal
years ended October&nbsp;31, 2006, October&nbsp;31, 2007, and October&nbsp;31, 2008, including $&#95;&#95;&#95;, $&#95;&#95;&#95;, and
$&#95;&#95;&#95; to <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U>,
which represented &#95;&#95;&#95;%, &#95;&#95;&#95;% and &#95;&#95;&#95;% of the Fund&#146;s aggregate brokerage fees paid
for the respective fiscal year, and &#95;&#95;&#95;%, &#95;&#95;&#95;%, and &#95;&#95;&#95;% of the Fund&#146;s aggregate dollar amount of
transactions involving brokerage commissions for the respective fiscal year.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
Florida Fund paid $&#95;&#95;&#95;, $&#95;&#95;&#95;, and $&#95;&#95;&#95; in aggregate brokerage commissions for the fiscal
years ended October&nbsp;31, 2006, October&nbsp;31, 2007, and October&nbsp;31, 2008, including $&#95;&#95;&#95;, $&#95;&#95;&#95;, and
$&#95;&#95;&#95; to <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U>,
which represented &#95;&#95;&#95;%, &#95;&#95;&#95;% and &#95;&#95;&#95;% of the Fund&#146;s aggregate brokerage fees paid
for the respective fiscal year, and &#95;&#95;&#95;%, &#95;&#95;&#95;%, and &#95;&#95;&#95;% of the Fund&#146;s aggregate dollar amount of
transactions involving brokerage commissions for the respective fiscal year.
</DIV>
<DIV align="left">
<A name="109"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>REPURCHASE OF FUND SHARES; CONVERSION TO OPEN-END FUND</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The National Fund is a closed-end investment company and as such its shareholders will not
have the right to cause the Fund to redeem their shares. Instead, the Fund&#146;s Common Shares will
trade in the open market at a price that will be a function of several factors, including dividend
levels (which are in turn affected by expenses), net asset value, dividend stability, relative
demand for and supply of such shares in the market, general market and economic conditions and
other factors. Because shares of a closed-end investment company may frequently trade at prices
lower than net asset value, the National Fund&#146;s Board of Trustees has currently determined that, at
least annually, it will consider action that might be taken to reduce or eliminate any material
discount from net asset value in respect of Common Shares, which may include the repurchase of such
shares in the open market or in private transactions, the making of a tender offer for such shares
at net asset value, or the conversion of the Fund to an open-end investment company. There can be
no assurance, however, that the Board of Trustees will decide to take any of these actions, or that
share repurchases or tender offers, if undertaken, will reduce market discount.
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The staff of the Securities and Exchange Commission currently requires that any tender offer
made by a closed-end investment company for its shares must be at a price equal to the net asset
value of such shares on the close of business on the last day of the tender offer. Any service
fees incurred in connection with any tender offer made by the Fund will be borne by the National
Fund and will not reduce the stated consideration to be paid to tendering shareholders.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Subject to its investment limitations, the National Fund may borrow to finance the repurchase
of shares or to make a tender offer. Interest on any borrowings to finance share repurchase
transactions or the accumulation of cash by the Fund in anticipation of share repurchases or
tenders will reduce the Fund&#146;s net income. Any share repurchase, tender offer or borrowing that
might be approved by the Board of Trustees would have to comply with the Securities Exchange Act of
1934, as amended, and the 1940 Act and the rules and regulations thereunder.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Although the decision to take action in response to a discount from net asset value will be
made by the Board of Trustees at the time it considers such issue, it is the Board&#146;s present
policy, which may be changed by the Board, not to authorize repurchases of Common Shares or a
tender offer for such shares if (1)&nbsp;such transactions, if consummated, would (a)&nbsp;result in the
delisting of the Common Shares from the NYSE Alternext or elsewhere, or (b)&nbsp;impair the Fund&#146;s
status as a regulated investment company under the Code (which would make the Fund a taxable
entity, causing the Fund&#146;s income to be taxed at the corporate level in addition to the taxation of
shareholders who receive dividends from the Fund) or as a registered closed-end investment company
under the 1940 Act; (2)&nbsp;the Fund would not be able to liquidate portfolio securities in an orderly
manner and consistent with the Fund&#146;s investment objectives and policies in order to repurchase
shares; or (3)&nbsp;there is, in the Board&#146;s judgment, any (a)&nbsp;material legal action or proceeding
instituted or threatened challenging such transactions or otherwise materially adversely affecting
the Fund, (b)&nbsp;general suspension of or limitation on prices for trading securities on the NYSE
Alternext or elsewhere, (c)&nbsp;declaration of a banking moratorium by Federal or state authorities or
any suspension of payment by United States or state banks in which the Fund invests, (d)&nbsp;material
limitation affecting the Fund or the issuers of its portfolio securities by Federal or state
authorities on the extension of credit by lending institutions or on the exchange of non-U.S.
currency, (e)&nbsp;commencement of war, armed hostilities or other international or national calamity
directly or indirectly involving the United States, or (f)&nbsp;other event or condition that would have
a material adverse effect (including any adverse tax effect) on the Fund or its shareholders if
shares were repurchased. The Board of Trustees of the National Fund may in the future modify these
conditions in light of experience.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Conversion to an open-end company would require the approval of the holders of at least
two-thirds of the National Fund&#146;s Common Shares and Muni Preferred shares outstanding at the time,
voting together as a single class, unless such conversion has already been authorized by the
affirmative vote of two-thirds of the total number of trustees fixed in accordance with the
National Fund&#146;s Declaration of Trust or By-laws, in which case a lower voting requirement applies.
See the Proxy Statement/Prospectus under &#147;Certain Provisions in the Acquiring Fund&#146;s Declaration of
Trust and By-Laws&#148; for a discussion of voting requirements applicable to conversion of the Fund to
an open-end investment company. If the Fund converted to an open-end investment company, the
Fund&#146;s Common Shares would no longer be listed on the NYSE Alternext or elsewhere. In contrast to
a closed-end investment company, shareholders of an open-end investment company may require the
company to redeem their shares on any business day (except in certain circumstances as authorized
by or under the 1940 Act or rules thereunder) at their net asset value, less such redemption
charge, if any, as might be in effect at the time of redemption. In order to avoid maintaining
large cash positions or liquidating favorable investments to meet redemptions, open-end investment
companies typically engage in a continuous offering of their shares. Open-end investment companies
are thus subject to periodic asset in-flows and out-flows that can complicate portfolio management.
The Board of Trustees of the Fund may at any time propose conversion of the Fund to an
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">open-end investment company depending upon their judgment as to the advisability of such
action in light of circumstances then prevailing.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The repurchase by the National Fund of its shares at prices below net asset value will result
in an increase in the net asset value of those shares that remain outstanding. However, there can
be no assurance that share repurchases or tenders at or below net asset value will result in the
Fund&#146;s shares trading at a price equal to their net asset value. Nevertheless, the fact that the
Fund&#146;s shares may be the subject of repurchase or tender offers at net asset value from time to
time, or that the Fund may be converted to an open-end investment company, may reduce any spread
between market price and net asset value that might otherwise exist.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In addition, a purchase by the Fund of its Common Shares will decrease the Fund&#146;s total
assets, which would likely have the effect of increasing the Fund&#146;s expense ratio.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Before deciding whether to take any action if the National Fund&#146;s Common Shares trade below
net asset value, the Board of Trustees would consider all relevant factors, including the extent
and duration of the discount, the liquidity of the Fund&#146;s portfolio, the impact of any action that
might be taken on the Fund or its shareholders, and market considerations. Based on these
considerations, even if the Fund&#146;s shares should trade at a discount, the Board of Trustees may
determine that, in the interest of the Fund and its shareholders, no action should be taken.
</DIV>
<DIV align="left">
<A name="110"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>TAX MATTERS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Federal Income Tax Matters</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following discussion of U.S. federal income tax matters is based on the advice of Vedder
Price P.C., special counsel to the Fund.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following is intended to be a general summary of certain U.S. federal income tax
consequences of investing, holding and disposing of Common Shares of the Funds. It is not intended
to be a complete discussion of all such federal income tax consequences, nor does it purport to
deal with all categories of investors (including Common Shareholders with large positions in the
Funds). Investors are advised to consult with their own tax advisors before investing in the
Funds.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Each Fund has elected to be treated, and intends to continue to qualify each year, as a
regulated investment company, under Subchapter M of the Internal Revenue Code of 1986, as amended
(the &#147;Code&#148;), and to satisfy conditions which enable dividends on Common Shares which are
attributable to interest on municipal securities to be exempt from federal income tax in the hands
of owners of such stock, subject to the possible application of the federal alternative minimum
tax.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;To qualify for the favorable U.S. federal income tax treatment generally accorded to regulated
investment companies, each Fund must, among other things, (a)&nbsp;derive in each taxable year at least
90% of its gross income from dividends, interest, payments with respect to securities loans and
gains from the sale or other disposition of stock, securities or non-U.S. currencies, or other
income derived with respect to its business of investing in such stock, securities or currencies,
or net income derived from interests in &#147;qualified publicly traded partnerships,&#148; as defined in the
Code; (b)&nbsp;diversify its holdings so that, at the end of each quarter of each taxable year, (i)&nbsp;at
least 50% of the value of the Fund&#146;s assets is represented by cash and cash items (including
receivables), U.S. Government securities, the securities of other regulated investment companies
and other securities, with such other securities of any one issuer limited for the purposes of this
calculation to an amount not greater than 5% of the value of the Fund&#146;s total assets and not
greater than 10% of the outstanding voting securities of such issuer, and (ii)&nbsp;not more than
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 10pt">25% of the value of its total assets is invested in the securities (other than U.S. Government
securities or the securities of other regulated investment companies) of a single issuer, or two or
more issuers that the Fund controls and are engaged in the same, similar or related trades or
businesses, or the securities of one or more qualified publicly traded partnerships; and
(c)&nbsp;distribute each year an amount equal to or greater than the sum of 90% of its investment
company taxable income (as that term is defined in the Code, but without regard to the deduction
for dividends paid) and 90% of its net tax-exempt interest.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As a regulated investment company, each Fund generally will not be subject to U.S. federal
income tax on its investment company taxable income and net capital gain (the excess of net
long-term capital gain over net short-term capital loss), if any, that it distributes to
shareholders. Each Fund may retain for investment its net capital gain. However, if the Fund
retains any net capital gain or any investment company taxable income, it will be subject to tax at
regular corporate rates on the amount retained. If a Fund retains any net capital gain, it may
designate the retained amount as undistributed capital gains in a notice to its shareholders who,
if subject to U.S. federal income tax on long-term capital gains, (i)&nbsp;will be required to include
in income for U.S. federal income tax purposes, as long-term capital gain, their share of such
undistributed amount, and (ii)&nbsp;will be entitled to credit their proportionate shares of the tax
paid by the Fund on such undistributed amount against their U.S. federal income tax liabilities, if
any, and to claim refunds to the extent the credit exceeds such liabilities. For U.S. federal
income tax purposes, the tax basis of shares owned by a shareholder of a Fund will be increased by
an amount equal to the difference between the amount of undistributed capital gains included in the
shareholder&#146;s gross income and the tax deemed paid by the shareholder under clause&nbsp;(ii) of the
preceding sentence. Each Fund intends to distribute to its shareholders, at least annually,
substantially all of its investment company taxable income and the net capital gain not otherwise
retained by the Fund.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amounts not distributed on a timely basis in accordance with a calendar year distribution
requirement are subject to a nondeductible 4% excise tax. To prevent imposition of the excise tax,
the Fund must distribute during each calendar year an amount at least equal to the sum of (1)&nbsp;98%
of its ordinary taxable income (not taking into account any capital gains or losses) for the
calendar year, (2)&nbsp;98% of its capital gains in excess of its capital losses (adjusted for certain
ordinary losses) for the one-year period ending October&nbsp;31 of the calendar year, and (3)&nbsp;any
ordinary taxable income and capital gains for previous years that were not distributed during those
years and on which the Fund paid no U.S. federal income tax. To prevent application of the excise
tax, each Fund intends to make its distributions in accordance with the calendar year distribution
requirement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If a Fund failed to qualify as a regulated investment company or failed to satisfy the 90%
distribution requirement in any taxable year, the Fund would be taxed in the same manner as an
ordinary corporation on its taxable income (even if such income were distributed to its
shareholders) and distributions to shareholders would not be deductible by the Fund in computing
its taxable income. Additionally, all distributions out of earnings and profits would be taxed to
shareholders as ordinary dividend income. Such distributions generally would be eligible (i)&nbsp;to be
treated as &#147;qualified dividend income,&#148; as discussed below in the case of noncorporate shareholders
and (ii)&nbsp;for the dividends received deduction under Section&nbsp;243 of the Code (the &#147;Dividends
Received Deduction&#148;) in the case of corporate shareholders.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Each Fund intends to continue to qualify to pay &#147;exempt-interest&#148; dividends, as defined in the
Code, on its Common Shares by satisfying the requirement that, at the close of each quarter of its
taxable year, at least 50% of the value of its total assets consist of tax-exempt municipal bonds.
Exempt-interest dividends are dividends or any part thereof (other than a capital gain dividend)
paid by the Fund which are attributable to interest on municipal bonds and are so designated by the
Fund. Exempt-interest dividends will be exempt from U.S. federal income tax, subject to the
possible application of the federal
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">alternative minimum tax. Gains of a Fund that are attributable to market discount on certain
municipal securities are treated as ordinary income to the extent of accrued market discount on the
bond.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A portion of each Fund&#146;s expenditures that would otherwise be deductible may not be allowed as
deductions by reason of the Fund&#146;s investment in municipal securities (with such disallowed
portion, in general, being the same percentage of the Fund&#146;s aggregate expenses as the percentage
of the Fund&#146;s aggregate income (other than capital gain income) that constitutes exempt-interest
income from municipal securities). A similar disallowance rule also applies to interest expense
paid or incurred by the Fund, if any. Such disallowed deductions, if any, will reduce the amount
that the Fund can designate as exempt-interest dividends by the disallowed amount. As a result,
income distributions by a Fund in excess of the amount of the Fund&#146;s exempt-interest dividends may
be taxable as ordinary income.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Each Fund&#146;s investment in zero coupon bonds will cause it to realize income prior to the
receipt of cash payments with respect to these bonds. Such income will be accrued daily by the
Fund and, in order to avoid a tax payable by the Fund, the Fund may be required to liquidate
securities that it might otherwise continue to hold in order to generate cash so that the Fund may
make required distributions to its shareholders.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Distributions to shareholders of net investment income received by a Fund from taxable
temporary investments, if any, and of net short-term capital gains realized by the Fund, if any,
will be taxable to its shareholders as ordinary income. Distributions by the Fund of net capital
gain (i.e., the excess of net long-term capital gain over net short-term capital loss), if any, are
taxable as long-term capital gain, regardless of the length of time the shareholder has owned the
shares with respect to which such distributions are made. The amount of taxable income allocable
to a Fund&#146;s shares will depend upon the amount of such income realized by the Fund, but is not
generally expected to be significant. Distributions, if any, in excess of a Fund&#146;s earnings and
profits will first reduce the adjusted tax basis of a shareholder&#146;s shares and, after that basis
has been reduced to zero, will constitute capital gain to the shareholder (assuming the shares are
held as a capital asset). For taxable years beginning before January&nbsp;1, 2011, &#147;qualified dividend
income&#148; received by noncorporate shareholders is taxed at rates equivalent to long-term capital
gain tax rates, which reach a maximum of 15%. Qualified dividend income generally includes
dividends from domestic corporations and dividends from non-U.S. corporations that meet certain
specified criteria. For taxable years beginning on or after January&nbsp;1, 2011, qualified dividend
income will no longer be taxed at the rates applicable to long-term capital gains, and the maximum
individual tax rate on long-term capital gains will increase to 20%, unless Congress enacts
legislation providing otherwise. As long as the Fund qualifies as a regulated investment company
under the Code, it is not expected that any part of its distributions to shareholders from its
investments will qualify for the dividends-received deduction available to corporate shareholders
or as qualified dividend income in the case of noncorporate shareholders.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Internal Revenue Service (the &#147;IRS&#148;) indicates that each Fund is required to designate
distributions paid with respect to its Common Shares and its preferred shares as consisting of a
portion of each type of income distributed by the Fund. The portion of each type of income deemed
received by the holders of each class of shares will be equal to the portion of total Fund
dividends received by such class. Thus, each Fund will designate dividends paid as exempt-interest
dividends in a manner that allocates such dividends between the holders of the Common Shares and
the preferred shares in proportion to the total dividends paid to each such class during or with
respect to the taxable year, or otherwise as required by applicable law. Capital gain dividends
and ordinary income dividends will similarly be allocated between the two classes.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Code provides that interest on indebtedness incurred or continued to purchase or carry the
Fund&#146;s shares to which exempt-interest dividends are allocated is not deductible. Under rules used
by the
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->44<!-- /Folio -->
</DIV>

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<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">IRS for determining when borrowed funds are considered used for the purpose of purchasing or
carrying particular assets, the purchase or ownership of shares may be considered to have been made
with borrowed funds even though such funds are not directly used for the purchase or ownership of
such shares.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The interest on private activity bonds in most instances is not federally tax-exempt to a
person who is a &#147;substantial user&#148; of a facility financed by such bonds or a &#147;related person&#148; of
such &#147;substantial user.&#148; As a result, the Fund may not be an appropriate investment for a
shareholder who is considered either a &#147;substantial user&#148; or a &#147;related person&#148; within the meaning
of the Code. In general, a &#147;substantial user&#148; of a facility includes a &#147;nonexempt person who
regularly uses a part of such facility in his trade or business.&#148; &#147;Related persons&#148; are in general
defined to include persons among whom there exists a relationship, either by family or business,
which would result in a disallowance of losses in transactions among them under various provisions
of the Code (or if they are members of the same controlled group of corporations under the Code),
including a partnership and each of its partners (and certain members of their families), an
S&nbsp;corporation and each of its shareholders (and certain members of their families) and various
combinations of these and other relationships. The foregoing is not a complete description of all
of the provisions of the Code covering the definitions of &#147;substantial user&#148; and &#147;related person.&#148;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Although dividends generally will be treated as distributed when paid, dividends declared in
October, November or December, payable to shareholders of record on a specified date in one of
those months and paid during the following January, will be treated as having been distributed by a
Fund (and received by the shareholders) on December&nbsp;31 of the year declared.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Certain of each Fund&#146;s investment practices are subject to special provisions of the Code
that, among other things, may defer the use of certain deductions or losses of the Fund, affect the
holding period of securities held by the Fund and alter the character of the gains or losses
realized by the Fund. These provisions may also require each Fund to recognize income or gain
without receiving cash with which to make distributions in the amounts necessary to satisfy the
requirements for maintaining regulated investment company status and for avoiding income and excise
taxes. Each Fund will monitor its transactions and may make certain tax elections in order to
mitigate the effect of these rules and prevent disqualification of the Fund as a regulated
investment company.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The redemption, sale or exchange of Common Shares normally will result in capital gain or loss
to holders of Common Shares who hold their shares as capital assets. Generally, a shareholder&#146;s
gain or loss will be long-term capital gain or loss if the shares have been held for more than one
year even though the increase in value in such Common Shares is attributable to tax-exempt interest
income. Present law taxes both long-term and short-term capital gains of corporations at the same
rates applicable to ordinary income. For non-corporate taxpayers, however, long-term capital gains
are currently taxed at a maximum rate of 15%, while short-term capital gains and other ordinary
income are currently taxed at ordinary income rates. Absent further legislation, the 15% maximum
rate applicable to long-term capital gains will increase to 20% for taxable years beginning after
December&nbsp;31, 2010. Any loss on the sale of Common Shares that have been held for six months or
less will be disallowed to the extent of any distribution of exempt-interest dividends received
with respect to such Common Shares. If a shareholder sells or otherwise disposes of Common Shares
before holding them for six months, any loss on the sale or disposition will be treated as a
long-term capital loss to the extent of any capital gain dividends received by the Common
Shareholder. Any loss realized on a sale or exchange of shares of a Fund will be disallowed to the
extent those shares of the Fund are replaced by other substantially identical shares of the Fund
within a period of 61&nbsp;days beginning 30&nbsp;days before and ending 30&nbsp;days after the date of
disposition of the original shares. In that event, the basis of the replacement shares of the Fund
will be adjusted to reflect the disallowed loss.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->45<!-- /Folio -->
</DIV>

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<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Federal income tax law imposes an alternative minimum tax with respect to corporations,
individuals, trusts and estates. Interest on certain &#147;private activity&#148; bonds is included as an
item of tax preference in determining the amount of a taxpayer&#146;s alternative minimum taxable
income. The Funds will not invest in AMT Bonds. To the extent that a Fund received income from
municipal securities subject to the federal alternative minimum tax, a portion of the dividends
paid by the Fund, although otherwise exempt from U.S. federal income tax, would be taxable to its
shareholders to the extent that their tax liability is determined under the federal alternative
minimum tax. Each Fund will annually provide a report indicating the percentage of the Fund&#146;s
income attributable to municipal securities subject to the federal alternative minimum tax. In
addition, for certain corporations, federal alternative minimum taxable income is increased by 75%
of the difference between an alternative measure of income (&#147;adjusted current earnings&#148;) and the
amount otherwise determined to be the alternative minimum taxable income. Interest on all
municipal securities, and therefore a distribution by the Fund that would otherwise be tax-exempt,
is included in calculating a corporation&#146;s adjusted current earnings. Certain small corporations
are not subject to the federal alternative minimum tax.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Tax-exempt income, including exempt-interest dividends paid by a Fund, is taken into account
in calculating the amount of social security and railroad retirement benefits that may be subject
to federal income tax.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Each Fund may be required to withhold U.S. federal income tax from all taxable distributions
and redemption proceeds payable to shareholders who fail to provide the Fund with their correct
taxpayer identification number or to make required certifications, or who have been notified by the
IRS that they are subject to backup withholding. The backup withholding percentage is 28% for
amounts paid through 2010, after which time the rate will increase to 31% absent legislative
change. Corporate shareholders and certain other shareholders specified in the Code generally are
exempt from such backup withholding. This withholding is not an additional tax. Any amounts
withheld may be credited against the shareholder&#146;s federal income tax liability, provided the
required information is furnished to the IRS.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Code provides that every shareholder required to file a tax return must include for
information purposes on such return the amount of tax-exempt interest received during the taxable
year, including any exempt-interest dividends received from the Fund.
</DIV>
<DIV align="left">
<A name="111"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>EXPERTS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Financial Statements of the Fund as of <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U>, 2009 appearing in this Statement of
Additional Information have been <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U> by <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U>, an independent registered public
accounting firm <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U> provides auditing services to the Fund. The principal
business address of <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U> is <U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U> .
</DIV>
<DIV align="left">
<A name="112"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>CUSTODIAN AND TRANSFER AGENT</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The custodian of the assets of the Fund is State Street Bank and Trust Company, One Federal
Street, Boston, Massachusetts 02110. The custodian performs custodial, fund accounting and
portfolio accounting services. The Fund&#146;s transfer, shareholder services and dividend paying agent
is also State Street Bank and Trust Company, 250 Royall Street, Canton, Massachusetts 02021.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->46<!-- /Folio -->
</DIV>

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<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left">
<A name="113"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>ADDITIONAL INFORMATION</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A Registration Statement on Form N-14, including amendments thereto, relating to the shares of
the Acquiring Fund offered hereby, has been filed by the Acquiring Fund with the Securities and
Exchange Commission, Washington, D.C. The Proxy Statement/Prospectus and this Statement of
Additional Information do not contain all of the information set forth in the Registration
Statement, including any exhibits and schedules thereto. For further information with respect to
the Acquiring Fund and the shares offered hereby, reference is made to the Acquiring Fund&#146;s
Registration Statement. Statements contained in the Proxy Statement/Prospectus and this Statement
of Additional Information as to the contents of any contract or other document referred to are not
necessarily complete and in each instance reference is made to the copy of such contract or other
document filed as an exhibit to the Registration Statement, each such statement being qualified in
all respects by such reference. Copies of the Registration Statement may be inspected without
charge at the Securities and Exchange Commission&#146;s principal office in Washington, D.C., and copies
of all or any part thereof may be obtained from the Securities and Exchange Commission upon the
payment of certain fees prescribed by the Securities and Exchange Commission.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->47<!-- /Folio -->
</DIV>




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<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">
<A name="114"></A>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>FINANCIAL STATEMENTS</B></DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<!-- LANDSCAPE --></DIV>
<DIV align="left" style="font-size: 10pt; margin-left: 9%; margin-top: 6pt">Pro Forma Financial Statements for the Reorganization of Nuveen Insured Florida Tax-Free Advantage (NWF)<BR>
Municipal Fund into Nuveen Insured Tax-Free Advantage Municipal Fund (NEA)<BR>
<B>Pro Forma Portfolio of Investments </B>(Unaudited)<BR>
<I>October&nbsp;31, 2008</I></DIV>

<DIV align="center">
<TABLE style="font-size: 8pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="top">
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="20%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="top">
    <TD nowrap align="center" colspan="11" style="border-bottom: 1px solid #000000"><B>Principal Amount (000)</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="15" style="border-bottom: 1px solid #000000"><B>Value</B></TD>
</TR>

<TR style="font-size: 8pt" valign="top">
    <TD nowrap align="center" colspan="3"><B>National</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Florida</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Combined</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Combined</B></TD>
</TR>
<TR style="font-size: 8pt" valign="top">
    <TD nowrap align="center" colspan="3"><B>Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Fund (Pro</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Optional Call</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>National Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Florida Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Pro Forma</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Fund (Pro</B></TD>
</TR>
<TR style="font-size: 8pt" valign="top">
    <TD nowrap align="center" colspan="3"><B>(Actual)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>(Actual)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Forma)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left"><B>Description (1)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Provisions (2)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Ratings (3)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>(Actual)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>(Actual)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Adjustments</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Forma)</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Alabama &#151; 7.8% (4.9% of Total Investments)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">$</TD>
    <TD valign="top" align="right">1,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">$</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">$</TD>
    <TD valign="top" align="right">1,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Alabama Special Care Facilities Financing Authority, Revenue Bonds, Ascension Health, Series&nbsp;2006C-2, 5.000%, 11/15/36 (UB)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center" NOWRAP>11/16 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Aa1</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">826,500</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">826,500</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">5,655</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">5,655</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Colbert County-Northwest Health Care Authority, Alabama, Revenue Bonds, Helen Keller Hospital, Series&nbsp;2003, 5.750%, 6/01/27</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">6/13 at 101.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Baa3</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,670,973</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,670,973</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">3,100</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">3,100</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Huntsville Healthcare Authority, Alabama, Revenue Bonds, Series&nbsp;1998A, 5.400%, 6/01/22 (Pre-refunded 5/14/12) &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">5/12 at 102.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA (4)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,343,815</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,343,815</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">6,280</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">6,280</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Jefferson County, Alabama, Sewer Revenue Capital Improvement Warrants, Series&nbsp;2002D, 5.000%, 2/01/32 (Pre-refunded 8/01/12) &#151; FGIC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">8/12 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,707,794</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,707,794</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,750</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,750</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Montgomery, Alabama, General Obligation Warrants, Series&nbsp;2003, 5.000%, 5/01/21 &#151; AMBAC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">5/12 at 101.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,750,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,750,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">4,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">4,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Sheffield, Alabama, Electric Revenue Bonds, Series&nbsp;2003, 5.500%, 7/01/29 &#151; AMBAC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">7/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Aa3</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,412,565</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,412,565</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">22,285</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">22,285</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total Alabama</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21,711,647</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21,711,647</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Arizona &#151;  4.6% (2.9% of Total Investments)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">10,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">10,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Maricopa
County Pollution Control Corporation, Arizona, Revenue Bonds, Arizona Public Service Company &#151; Palo Verde Project, Series&nbsp;2002A, 5.050%, 5/01/29 &#151; AMBAC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">11/12 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,305,200</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,305,200</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">6,545</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">6,545</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Phoenix, Arizona, Civic Improvement Revenue Bonds, Civic Plaza, Series&nbsp;2005B, 0.000%, 7/01/37 &#151; FGIC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">No Opt. Call</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,372,060</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,372,060</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">16,545</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">16,545</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total Arizona</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12,677,260</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12,677,260</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>

<TD><DIV style="margin-left:15px; text-indent:-15px"><B>California &#151;  20.5% (12.9% of Total Investments)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">250</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">250</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">California State, General Obligation Bonds, Series&nbsp;2002, 5.250%, 4/01/30 &#151; SYNCORA GTY Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">4/12 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD align="center" colspan="3">A1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">236,765</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">236,765</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">5</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">5</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">California State, General Obligation Bonds, Series&nbsp;2004, 5.000%, 4/01/31 &#151; AMBAC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">4/14 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,625</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,625</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">7,495</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">7,495</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">California State, General Obligation Bonds, Series&nbsp;2004, 5.000%, 4/01/31 (Pre-refunded 4/01/14) &#151; AMBAC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">4/14 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,120,158</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,120,158</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">26,300</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">26,300</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">California State Public Works Board, Lease Revenue Bonds, Department of General Services, Capital East End Project, Series&nbsp;2002A, 5.000%, 12/01/27 &#151; AMBAC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">12/12 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23,721,021</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23,721,021</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,910</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,910</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Cathedral
City Public Financing Authority, California, Tax Allocation Bonds, Housing Set-Aside, Series&nbsp;2002D, 5.000%, 8/01/26 &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">8/12 at 102.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,730,511</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,730,511</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">250</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">250</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Golden State Tobacco Securitization Corporation, California, Enhanced Tobacco Settlement Asset-Backed Bonds, Series&nbsp;2007A-1, 5.125%, 6/01/47</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">6/17 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">BBB</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">147,625</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">147,625</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,685</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,685</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Golden State
Tobacco Securitization Corporation, California, Enhanced Tobacco Settlement Asset-Backed Bonds, Series&nbsp;2007A-2, 0.000%, 6/01/37</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">6/22 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">BBB</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">685,795</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">685,795</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Golden State Tobacco Securitization Corporation, California, Tobacco Settlement Asset-Backed Revenue Bonds, Series&nbsp;2005A, Trust 2448, 0.891%, 6/01/35 &#151; FGIC Insured (IF)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">6/15 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD align="center" colspan="3">A</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">88,840</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">88,840</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Irvine Public Facilities and Infrastructure Authority, California, Assessment Revenue Bonds, Series&nbsp;2003C, 5.000%, 9/02/23 &#151; AMBAC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">9/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,297,950</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,297,950</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">4,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">4,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Montara Sanitation District, California, General Obligation Bonds, Series&nbsp;2003, 5.000%, 8/01/28 &#151; FGIC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">8/11 at 101.00</TD>
    <TD>&nbsp;</TD>
    <TD align="center" colspan="3">A&#043;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,683,640</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,683,640</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Plumas County, California, Certificates of Participation, Capital Improvement Program, Series&nbsp;2003A:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,130</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,130</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">5.250%, 6/01/19 &#151; AMBAC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">6/13 at 101.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,127,311</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,127,311</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,255</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,255</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">5.250%, 6/01/21 &#151; AMBAC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">6/13 at 101.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,219,283</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,219,283</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,210</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,210</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Redding
Joint Powers Financing Authority, California, Lease Revenue Bonds, Capital Improvement Projects, Series&nbsp;2003A, 5.000%, 3/01/23 &#151; AMBAC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">3/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,167,892</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,167,892</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">3,750</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">3,750</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Sacramento Municipal Utility District, California, Electric Revenue Bonds, Series&nbsp;2003R, 5.000%, 8/15/28 &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">8/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,423,975</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,423,975</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">San Diego Community College District, California, General Obligation Bonds, Series&nbsp;2003A, 5.000%, 5/01/28 &#151; FSA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">5/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,447,470</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,447,470</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,055</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,055</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Turlock Irrigation District, California, Certificates of Participation, Series&nbsp;2003A, 5.000%, 1/01/28 &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">1/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">994,105</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">994,105</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">6,300</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">6,300</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">University of California, Revenue Bonds, Multi-Purpose Projects, Series&nbsp;2003A, 5.000%, 5/15/33 &#151; AMBAC Insured (UB)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">5/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Aa1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,713,407</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,713,407</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE></DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->48<!-- /Folio --></DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<!-- LANDSCAPE --></DIV>


<DIV align="center">
<TABLE style="font-size: 8pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="top">
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="20%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="top">
    <TD nowrap align="center" colspan="11" style="border-bottom: 1px solid #000000"><B>Principal Amount (000)</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="15" style="border-bottom: 1px solid #000000"><B>Value</B></TD>
</TR>
<TR style="font-size: 8pt" valign="top">
    <TD nowrap align="center" colspan="3"><B>National</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Florida</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Combined</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Combined</B></TD>
</TR>
<TR style="font-size: 8pt" valign="top">
    <TD nowrap align="center" colspan="3"><B>Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Fund (Pro</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Optional Call</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>National Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Florida Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Pro Forma</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Fund (Pro</B></TD>
</TR>
<TR style="font-size: 8pt" valign="top">
    <TD nowrap align="center" colspan="3"><B>(Actual)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>(Actual)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Forma)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left"><B>Description (1)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Provisions (2)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Ratings (3)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>(Actual)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>(Actual)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Adjustments</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Forma)</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">61,910</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,685</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">63,595</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total California</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">56,124,578</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">685,795</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">56,810,373</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Colorado &#151; 6.2% (3.9% of Total Investments)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Bowles Metropolitan District, Colorado, General Obligation Bonds, Series&nbsp;2003:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">4,300</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">4,300</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:30px; text-indent:-15px">5.500%, 12/01/23 &#151; FSA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center" NOWRAP>12/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,356,760</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,356,760</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">3,750</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">3,750</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:30px; text-indent:-15px">5.500%, 12/01/28 &#151; FSA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">12/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,751,463</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,751,463</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,450</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,450</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Colorado Educational and Cultural Facilities Authority, Charter School Revenue Bonds, Peak-to-Peak Charter School, Series&nbsp;2004, 5.250%, 8/15/24 &#151; SYNCORA GTY Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">8/14 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">A</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,382,532</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,382,532</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">8,250</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">8,250</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Colorado Health Facilities Authority, Colorado, Revenue Bonds, Catholic Health Initiatives, Series&nbsp;2006C-1, Trust 1090, 6.761%, 10/01/41 &#151; FSA Insured (IF)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">4/18 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,593,400</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,593,400</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">3,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">3,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">E-470 Public Highway Authority, Colorado, Senior Revenue Bonds, Series&nbsp;2000B, 0.000%, 9/01/30 &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">No Opt. Call</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">655,350</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">655,350</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,900</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,900</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">E-470 Public Highway Authority, Colorado, Toll Revenue Bonds, Series&nbsp;2004A, 0.000%, 9/01/34 &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">No Opt. Call</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">471,134</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">471,134</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">23,650</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">23,650</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total Colorado</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17,210,639</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17,210,639</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>District
of Columbia &#151; 0.2% (0.1% of Total Investments)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">665</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">665</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Washington
Convention Center Authority, District of Columbia, Senior Lien Dedicated Tax Revenue Bonds, Series&nbsp;2007, Residuals 1606, 1.947%, 10/01/30 &#151; AMBAC Insured (IF)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">10/16 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">312,623</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">312,623</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Florida &#151; 28.2% (17.8% of Total Investments)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Bay County, Florida, Water System Revenue Bonds, Series&nbsp;2005, 5.000%, 9/01/25 &#151; AMBAC Insured </DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Clay County, Florida, Utility System Revenue Bonds, Series&nbsp;2007:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">9/15 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Aa3</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">915,680</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">915,680</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:30px; text-indent:-15px">5.000%, 11/01/27 &#151; SYNCORA GTY Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">11/17 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,419,030</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,419,030</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">3,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">3,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:30px; text-indent:-15px">5.000%, 11/01/32 &#151; SYNCORA GTY Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">11/17 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,707,980</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,707,980</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">400</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">400</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Collier County, Florida, Capital Improvement Revenue Bonds, Series&nbsp;2005, 5.000%, 10/01/23 &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">10/14 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">387,316</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">387,316</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Escambia County, Florida, Sales Tax Revenue Refunding Bonds, Series&nbsp;2002, 5.250%, 10/01/17 &#151; AMBAC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">10/12 at 101.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,028,580</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,028,580</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Greater Orlando Aviation Authority, Florida, Airport Facilities Revenue Bonds, Series&nbsp;2002A, 5.125%, 10/01/32 &#151; FSA Insured (5)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">10/12 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,853,460</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,853,460</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,105</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,105</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Greater Orlando Aviation Authority, Florida, Airport Facilities Revenue Refunding Bonds, Series&nbsp;2003A, 5.000%, 10/01/17 &#151; FSA Insured (5)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center" NOWRAP>10/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,148,089</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,148,089</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,525</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,525</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Fernandina Beach, Florida, Utility Acquisition and Improvement Revenue Bonds, Series&nbsp;2003, 5.000%, 9/01/23 &#151; FGIC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">9/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,396,092</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,396,092</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Flagler County, Florida, Capital Improvement Revenue Bonds, Series&nbsp;2005, 5.000%, 10/01/30 &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">10/15 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">441,115</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">441,115</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">480</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">480</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Florida Housing Finance Agency, GNMA Collateralized Home Ownership Revenue Refunding Bonds, Series&nbsp;1987G-1, 8.595%, 11/01/17</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">No Opt. Call</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">510,610</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">510,610</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Florida State Board of Education, Public Education Capital Outlay Bonds, Series&nbsp;2008, Trust 2929, 0.054%, 6/01/38 &#151; AGC Insured (IF)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">6/18 at 101.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,530,900</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,530,900</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,240</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,240</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">FSU Financial Assistance Inc., Florida, General Revenue Bonds, Educational and Athletic Facilities Improvements, Series&nbsp;2004, 5.000%, 10/01/14 &#151; AMBAC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">No Opt. Call</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,350,298</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,350,298</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Halifax Hospital Medical Center, Florida, Revenue Bonds, Series&nbsp;2006:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:30px; text-indent:-15px">5.250%, 6/01/26</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">6/16 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">BBB&#043;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">795,360</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">795,360</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">350</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">350</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:30px; text-indent:-15px">5.500%, 6/01/38 &#151; FSA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">6/18 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">307,143</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">307,143</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Highlands County Health Facilities Authority, Florida, Hospital Revenue Bonds, Adventist Health System, Series&nbsp;2005D:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">180</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">180</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:30px; text-indent:-15px">5.000%, 11/15/35 (Pre-refunded 11/15/15) &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">11/15 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">A1 </TD>
    <TD nowrap>(4)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">192,861</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">192,861</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,300</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,300</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:30px; text-indent:-15px">5.000%, 11/15/35 &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">11/15 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,111,708</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,111,708</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">3,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">3,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Highlands
County Health Facilities Authority, Florida, Hospital Revenue Bonds, Adventist Health System/Sunbelt Obligated Group, Series&nbsp;2003D, 5.875%, 11/15/29 (Pre-refunded 11/15/13)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">11/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">N/R </TD>
    <TD nowrap>(4)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,826,791</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,826,791</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Hillsborough County School Board, Florida, Certificates of Participation, Series&nbsp;2003, 5.000%, 7/01/29 &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">7/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,400,940</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,400,940</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,270</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,270</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Jacksonville, Florida, Local Government Sales Tax Revenue Refunding and Improvement Bonds, Series&nbsp;2002, 5.375%, 10/01/18 &#151; FGIC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">10/12 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA&#043;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,283,325</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,283,325</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,265</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,265</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Lakeland, Florida, Utility Tax Revenue Bonds, Series&nbsp;2003B, 5.000%, 10/01/20 &#151; AMBAC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">10/12 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,207,378</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,207,378</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,730</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,730</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Lee County, Florida, Transportation Facilities Revenue Bonds, Series&nbsp;2004B, 5.000%, 10/01/22 &#151; AMBAC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">10/14 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,685,920</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,685,920</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Lee Memorial Health System, Florida, Hospital Revenue Bonds, Series&nbsp;2007A, 5.000%, 4/01/32 &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">4/17 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">416,565</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">416,565</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE></DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->49<!-- /Folio --></DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<!-- LANDSCAPE --></DIV>
<DIV align="center">
<TABLE style="font-size: 8pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="top">
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="20%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="top">
    <TD nowrap align="center" colspan="11" style="border-bottom: 1px solid #000000"><B>Principal Amount (000)</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="15" style="border-bottom: 1px solid #000000"><B>Value</B></TD>
</TR>
<TR style="font-size: 8pt" valign="top">
    <TD nowrap align="center" colspan="3"><B>National</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Florida</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Combined</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Combined</B></TD>
</TR>
<TR style="font-size: 8pt" valign="top">
    <TD nowrap align="center" colspan="3"><B>Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Fund (Pro</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Optional Call</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>National Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Florida Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Pro Forma</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Fund (Pro</B></TD>
</TR>
<TR style="font-size: 8pt" valign="top">
    <TD nowrap align="center" colspan="3"><B>(Actual)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>(Actual)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Forma)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left"><B>Description (1)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Provisions (2)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Ratings (3)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>(Actual)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>(Actual)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Adjustments</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Forma)</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">100</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">100</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Miami-Dade County, Florida, Transit System Sales Surtax Revenue Bonds, Series&nbsp;2008, 5.000%, 7/01/35 &#151; FSA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">7/18 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">88,095</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">88,095</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">3,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">3,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Marco Island, Florida, Water Utility System Revenue Bonds, Series&nbsp;2003, 5.000%, 10/01/27 &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center" NOWRAP>10/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,834,970</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,834,970</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Miami-Dade County, Florida, Water and Sewer System Revenue Bonds, Series&nbsp;1999A, 5.000%, 10/01/29 &#151; FGIC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">10/09 at 101.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">A&#043;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,853,120</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,853,120</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Miami-Dade County, Florida, Water and Sewer System Revenue Bonds, Series&nbsp;2008B, 5.250%, 10/01/22 &#151; FSA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">No Opt. Call</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">497,535</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">497,535</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,985</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,985</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">North Miami, Florida, Educational Facilities Revenue Refunding Bonds, Johnson and Wales University, Series&nbsp;2003A, 5.000%, 4/01/19 &#151; SYNCORA GTY Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">4/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">BBB-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,853,633</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,853,633</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">North Port, Florida, Utility System Revenue Bonds, Series&nbsp;2000, 5.000%, 10/01/25 (Pre-refunded 10/01/10) &#151; FSA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">10/10 at 101.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Aaa</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">528,640</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">528,640</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Orange County, Florida, Sales Tax Revenue Bonds, Series&nbsp;2002A, 5.125%, 1/01/17 &#151; FGIC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">1/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,030,940</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,030,940</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Orange County, Florida, Sales Tax Revenue Bonds, Series&nbsp;2002B, 5.125%, 1/01/32 &#151; FGIC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">1/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,355,820</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,355,820</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">3,370</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">3,370</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Osceola County School Board, Florida, Certificates of Participation, Series&nbsp;2002A, 5.125%, 6/01/20 (Pre-refunded 6/01/12) &#151; AMBAC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">6/12 at 101.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Aa3 (4)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,597,273</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,597,273</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">3,335</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">3,335</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Palm Bay, Florida, Local Optional Gas Tax Revenue Bonds, Series&nbsp;2004, 5.250%, 10/01/20 &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">10/14 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,371,985</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,371,985</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,095</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,095</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Palm Bay, Florida, Utility System Revenue Bonds, Series&nbsp;2004, 5.250%, 10/01/20 &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">10/14 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,107,144</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,107,144</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Palm Beach County School Board, Florida, Certificates of Participation, Series&nbsp;2002D:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,670</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,670</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:30px; text-indent:-15px">5.000%, 8/01/28 &#151; FSA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">8/12 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,452,902</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,452,902</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,950</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,950</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:30px; text-indent:-15px">5.250%, 8/01/20 (Pre-refunded 8/01/12) &#151; FSA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">8/12 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,099,975</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,099,975</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Palm Beach Gardens, Florida, Special Obligation Revenue Bonds, Series&nbsp;2004, 5.000%, 5/01/20 &#151; AMBAC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">2/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,994,800</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,994,800</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Pinellas County Health Facilities Authority, Florida, Revenue Bonds, Baycare Health System, Series&nbsp;2003:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">3,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">3,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:30px; text-indent:-15px">5.500%, 11/15/27 (Pre-refunded 5/15/13)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">5/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Aa3 (4)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,284,010</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,284,010</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,800</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,800</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:30px; text-indent:-15px">5.750%, 11/15/27 (Pre-refunded 5/15/13)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">5/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Aa3 (4)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,094,392</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,094,392</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,115</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,115</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Port St. Lucie, Florida, Sales Tax Revenue Bonds, Series&nbsp;2003, 5.000%, 9/01/23 &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">9/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,048,124</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,048,124</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Port Saint Lucie. Florida, Special Assessment Revenue Bonds, Southwest Annexation District 1B, Series&nbsp;2007, 5.000%, 7/01/33 &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">7/17 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">840,440</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">840,440</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Port St. Lucie, Florida, Stormwater Utility System Revenue Refunding Bonds, Series&nbsp;2002, 5.000%, 5/01/23 &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">5/12 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,424,295</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,424,295</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">School Board of Duval County, Florida, Certificates of Participation, Master Lease Program, Series&nbsp;2008, 5.000%, 7/01/33 &#151; FSA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">7/17 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Aaa</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">438,925</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">438,925</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">South Miami Health Facilities Authority, Florida, Hospital Revenue Bonds, Baptist Health Systems of South Florida, Series&nbsp;2003, 5.200%, 11/15/28 (Pre-refunded 2/01/13)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">2/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Aaa</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,615,470</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,615,470</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,730</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,730</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">St. John&#146;s County, Florida, Sales Tax Revenue Bonds, Series&nbsp;2004A, 5.000%, 10/01/24 &#151; AMBAC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">10/14 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,616,322</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,616,322</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">4,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">4,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">St. Lucie County School Board, Florida, Certificates of Participation, Master Lease Program, Series&nbsp;2004A, 5.000%, 7/01/24 &#151; FSA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">7/14 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,771,440</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,771,440</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Vista Lakes Community Development District, Florida, Capital Improvement Revenue Bonds, Series&nbsp;2007A2, 5.000%, 5/01/34 &#151; RAAI Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">5/17 at 100.00</TD>
    <TD>&nbsp;</TD>
<TD colspan="3" align="center">A3</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">760,830</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">760,830</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Volusia County Educational Facilities Authority, Florida, Revenue Refunding Bonds, Embry-Riddle Aeronautical University, Series&nbsp;2003:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:30px; text-indent:-15px">5.200%, 10/15/26 &#151; RAAI Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">10/13 at 100.00</TD>
    <TD>&nbsp;</TD>
<TD colspan="3" align="center">A3</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">834,580</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">834,580</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,250</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,250</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:30px; text-indent:-15px">5.200%, 10/15/33 &#151; RAAI Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">10/13 at 100.00</TD>
    <TD>&nbsp;</TD>
<TD colspan="3" align="center">A3</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">982,588</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">982,588</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Volusia County Educational Facilities Authority, Florida, Revenue Bonds, Embry-Riddle Aeronautical University, Series&nbsp;2005, 5.000%, 10/15/35 &#151; RAAI Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">10/15 at 100.00</TD>
    <TD>&nbsp;</TD>
<TD colspan="3" align="center">A3</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,122,510</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,122,510</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">5,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">76,245</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">81,745</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total Florida</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,814,910</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">73,602,989</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">78,417,899</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Georgia &#151; 1.9% (1.2% of Total Investments)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,410</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,410</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">DeKalb County, Georgia, Water and Sewer Revenue Bonds, Series&nbsp;2006A, 5.000%, 10/01/35 &#151; FSA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">10/16 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,317,123</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,317,123</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">3,825</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">3,825</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Metropolitan Atlanta Rapid Transit Authority, Georgia, Sales Tax Revenue Bonds, Second Indenture Series&nbsp;2002, 5.000%, 7/01/32 (Pre-refunded 1/01/13) &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">1/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA&#043; (4)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,096,805</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,096,805</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">5,235</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">5,235</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total Georgia</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,413,928</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,413,928</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Illinois &#151; 3.0% (1.9% of Total Investments)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Cook County School District 145, Arbor Park, Illinois, General Obligation Bonds, Series&nbsp;2004:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">3,285</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">3,285</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:30px; text-indent:-15px">5.125%, 12/01/20 &#151; FSA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center" NOWRAP>12/14 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Aaa</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,327,114</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,327,114</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE></DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->50<!-- /Folio --></DIV>
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<!-- LANDSCAPE --></DIV>

<DIV align="center">
<TABLE style="font-size: 8pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="top">
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="20%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="top">
    <TD nowrap align="center" colspan="11" style="border-bottom: 1px solid #000000"><B>Principal Amount (000)</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="15" style="border-bottom: 1px solid #000000"><B>Value</B></TD>
</TR>
<TR style="font-size: 8pt" valign="top">
    <TD nowrap align="center" colspan="3"><B>National</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Florida</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Combined</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Combined</B></TD>
</TR>
<TR style="font-size: 8pt" valign="top">
    <TD nowrap align="center" colspan="3"><B>Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Fund (Pro</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Optional Call</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>National Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Florida Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Pro Forma</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Fund (Pro</B></TD>
</TR>
<TR style="font-size: 8pt" valign="top">
    <TD nowrap align="center" colspan="3"><B>(Actual)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>(Actual)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Forma)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left"><B>Description (1)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Provisions (2)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Ratings (3)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>(Actual)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>(Actual)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Adjustments</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Forma)</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,940</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,940</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:30px; text-indent:-15px">5.125%, 12/01/23 &#151; FSA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center" NOWRAP>12/14 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Aaa</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,945,204</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,945,204</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Illinois Health Facilities Authority, Revenue Bonds, Lake Forest Hospital, Series&nbsp;2003, 5.250%, 7/01/23</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">7/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">A-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,159,275</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,159,275</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">8,725</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">8,725</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total Illinois</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,431,593</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,431,593</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Indiana &#151; 9.1% (5.7% of Total Investments)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Evansville, Indiana, Sewerage Works Revenue Refunding Bonds, Series&nbsp;2003A, 5.000%, 7/01/23 &#151; AMBAC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">7/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,372,675</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,372,675</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,190</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,190</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Indiana Bond Bank, Advance Purchase Funding Bonds, Common School Fund, Series&nbsp;2003B, 5.000%, 8/01/19 &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">8/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,110,262</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,110,262</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,860</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,860</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Indiana Municipal Power Agency, Power Supply Revenue Bonds, Series&nbsp;2007A, 5.000%, 1/01/42 &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">1/17 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,519,601</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,519,601</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Indiana
University, Student Fee Revenue Bonds, Series&nbsp;2003O, 5.000%, 8/01/22 &#151; FGIC Insured IPS Multi-School Building Corporation, Indiana, First Mortgage Revenue Bonds, Series 2003:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">8/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Aa1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">995,010</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">995,010</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">11,020</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">11,020</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:30px; text-indent:-15px">5.000%, 7/15/19 (Pre-refunded 7/15/13) &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">7/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA (4)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11,830,740</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11,830,740</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">6,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">6,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:30px; text-indent:-15px">5.000%, 7/15/20 (Pre-refunded 7/15/13) &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">7/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA (4)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,441,420</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,441,420</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">24,570</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">24,570</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total Indiana</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25,269,708</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25,269,708</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Kansas &#151; 1.8% (1.1% of Total Investments)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">5,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">5,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Kansas Development Finance Authority, Board of Regents, Revenue Bonds, Scientific Research and Development Facilities Projects, Series&nbsp;2003C, 5.000%, 10/01/22 &#151; AMBAC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">4/13 at 102.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,975,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,975,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Kentucky
&#151; 0.5% (0.2% of Total Investments)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">985</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">985</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Kentucky State Property and Buildings Commission, Revenue Refunding Bonds, Project 77, Series&nbsp;2003, 5.000%, 8/01/23 (Pre-refunded 8/01/13) &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">8/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA (4)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,061,072</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,061,072</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Louisiana &#151; 1.9% (1.2% of Total Investments)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">5,785</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">5,785</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">New Orleans, Louisiana, General Obligation Refunding Bonds, Series&nbsp;2002, 5.300%, 12/01/27 &#151; FGIC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">12/12 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Baa3</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,267,011</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,267,011</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>

<TD><DIV style="margin-left:15px; text-indent:-15px"><B>Massachusetts &#151; 0.5% (0.2% of Total Investments)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,125</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,125</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Massachusetts Development Finance Authority, Revenue Bonds, Middlesex School, Series&nbsp;2003, 5.125%, 9/01/23</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">9/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">A1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,086,930</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,086,930</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Michigan &#151; 10.3% (6.5% of Total Investments)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">6,130</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">6,130</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Detroit, Michigan, Senior Lien Water Supply System Revenue Bonds, Series&nbsp;2003A, 5.000%, 7/01/23 (Pre-refunded 7/01/13) &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">7/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA (4)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,597,658</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,597,658</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">4,465</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">4,465</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Detroit, Michigan, Senior Lien Water Supply System Revenue Refunding Bonds, Series&nbsp;2003C, 5.000%, 7/01/22 &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">7/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,198,975</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,198,975</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Michigan State Hospital Finance Authority, Revenue Bonds, Trinity Health Care Group, Series&nbsp;2006A, 5.000%, 12/01/31 (UB)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">12/16 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">856,950</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">856,950</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">10,800</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">10,800</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Michigan Strategic Fund, Limited Obligation Resource Recovery Revenue Refunding Bonds, Detroit Edison Company, Series&nbsp;2002D, 5.250%, 12/15/32 &#151; SYNCORA GTY Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">12/12 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Baa1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,827,920</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,827,920</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,250</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,250</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Romulus Community Schools, Wayne County, Michigan, General Obligation Refunding Bonds, Series&nbsp;2001, 5.250%, 5/01/25</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">5/11 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,230,403</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,230,403</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">6,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">6,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Wayne County, Michigan, Limited Tax General Obligation Airport Hotel Revenue Bonds, Detroit Metropolitan Wayne County Airport, Series&nbsp;2001A, 5.000%, 12/01/30 &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">12/11 at 101.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,016,660</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,016,660</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">31,145</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">31,145</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total Michigan</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">28,728,566</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">28,728,566</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Missouri &#151; 1.1% (0.7% of Total Investments)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">240</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">240</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Clay County Public School District 53, Liberty, Missouri, General Obligation Bonds, Series&nbsp;2004, 5.250%, 3/01/24 &#151; FSA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">3/14 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">241,090</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">241,090</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">215</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">215</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Clay County Public School District 53, Liberty, Missouri, General Obligation Bonds, Series&nbsp;2004, 5.250%, 3/01/23 &#151; FSA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">3/14 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">216,473</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">216,473</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Clay County Public School District 53, Liberty, Missouri, General Obligation Bonds, Series&nbsp;2004:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,110</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,110</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:30px; text-indent:-15px">5.250%, 3/01/23 (Pre-refunded 3/01/14) &#151; FSA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">3/14 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,204,716</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,204,716</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,260</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,260</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:30px; text-indent:-15px">5.250%, 3/01/24 (Pre-refunded 3/01/14) &#151; FSA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">3/14 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,367,516</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,367,516</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,825</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,825</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total Missouri</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,029,795</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,029,795</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Nebraska &#151; 1.7% (1.1% of Total Investments)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">5,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">5,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Lincoln, Nebraska, Sanitary Sewerage System Revenue Refunding Bonds, Series&nbsp;2003, 5.000%, 6/15/28 &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">6/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA&#043;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,753,700</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,753,700</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>New Mexico &#151; 0.7% (0.5% of Total Investments)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,975</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,975</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">New Mexico State University, Revenue Bonds, Series&nbsp;2004, 5.000%, 4/01/19 &#151; AMBAC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">4/14 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,003,914</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,003,914</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>New York &#151; 9.1% (5.7% of Total Investments)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">20</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">20</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Hudson Yards Infrastructure Corporation, New York, Revenue Bonds, Driver Trust 1649, 2006, 4.745%, 2/15/47 &#151; MBIA Insured (IF)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">2/17 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,238</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,238</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE></DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->51<!-- /Folio --></DIV>
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<!-- LANDSCAPE --></DIV>

<DIV align="center">
<TABLE style="font-size: 8pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="top">
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="20%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="top">
    <TD nowrap align="center" colspan="11" style="border-bottom: 1px solid #000000"><B>Principal Amount (000)</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="15" style="border-bottom: 1px solid #000000"><B>Value</B></TD>
</TR>
<TR style="font-size: 8pt" valign="top">
    <TD nowrap align="center" colspan="3"><B>National</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Florida</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Combined</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Combined</B></TD>
</TR>
<TR style="font-size: 8pt" valign="top">
    <TD nowrap align="center" colspan="3"><B>Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Fund (Pro</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Optional Call</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>National Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Florida Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Pro Forma</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Fund (Pro</B></TD>
</TR>
<TR style="font-size: 8pt" valign="top">
    <TD nowrap align="center" colspan="3"><B>(Actual)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>(Actual)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Forma)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left"><B>Description (1)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Provisions (2)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Ratings (3)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>(Actual)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>(Actual)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Adjustments</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Forma)</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,960</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,960</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Hudson Yards Infrastructure Corporation, New York, Revenue Bonds, Series&nbsp;2006A, 4.500%, 2/15/47 &#151; MBIA Insured (UB)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">2/17 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,394,873</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,394,873</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">25,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">25,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Metropolitan Transportation Authority, New York, Transportation Revenue Refunding Bonds, Series&nbsp;2002F, 5.000%, 11/15/31 &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center" NOWRAP>11/12 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21,956,499</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21,956,499</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,850</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,850</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">New York State Urban Development Corporation, State Personal Income Tax Revenue Bonds, Series&nbsp;2005B, 5.000%, 3/15/25 &#151; FSA Insured (UB)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">3/15 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,817,459</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,817,459</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">28,830</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">28,830</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total New York</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25,177,069</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25,177,069</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>North Carolina &#151; 2.3% (1.5% of Total Investments)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">8,700</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">8,700</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">North Carolina Medical Care Commission, Revenue Bonds, Maria Parham Medical Center, Series&nbsp;2003, 5.375%, 10/01/33 &#151; RAAI Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">10/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">BBB&#043;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,434,172</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,434,172</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Ohio &#151; 0.9% (0.5% of Total Investments)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Buckeye Tobacco Settlement Financing Authority, Ohio, Tobacco Settlement Asset-Backed Revenue Bonds, Senior Lien, Series&nbsp;2007A-2:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">70</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">70</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:30px; text-indent:-15px">5.125%, 6/01/24</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">6/17 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">BBB</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">54,866</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">54,866</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">710</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">710</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:30px; text-indent:-15px">5.875%, 6/01/30</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">6/17 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">BBB</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">497,717</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">497,717</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">685</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">685</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:30px; text-indent:-15px">5.750%, 6/01/34</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">6/17 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">BBB</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">456,210</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">456,210</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,570</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,570</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:30px; text-indent:-15px">5.875%, 6/01/47</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">6/17 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">BBB</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">982,208</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">982,208</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">3,035</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">3,035</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total Ohio</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,991,001</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,991,001</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Oklahoma
&#151; 0.4% (0.2% of Total Investments)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">
Oklahoma Capitol Improvement Authority, State Facilities Revenue Bonds, Series&nbsp;2005F, 5.000%, 7/01/24 &#151; AMBAC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">7/15 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">967,230</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">967,230</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Oregon &#151; 2.5% (1.6% of Total Investments)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">8,350</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">8,350</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Oregon Health Sciences University, Revenue Bonds, Series&nbsp;2002A, 5.000%, 7/01/32 &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">1/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,045,814</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,045,814</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Pennsylvania &#151; 7.1% (4.5% of Total Investments)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">3,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">3,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Lehigh County General Purpose Authority, Pennsylvania, Hospital Revenue Bonds, St. Luke&#146;s Hospital of Bethlehem, Series&nbsp;2003, 5.375%, 8/15/33 (Pre-refunded 8/15/13)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">8/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,282,540</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,282,540</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Philadelphia Gas Works, Pennsylvania, Revenue Bonds, General Ordinance, Fourth Series&nbsp;1998, 5.000%, 8/01/32 &#151; FSA Insured (UB)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">8/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,736,980</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,736,980</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">925</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">925</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Philadelphia, Pennsylvania, Water and Wastewater Revenue Bonds, Series&nbsp;1997A, 5.125%, 8/01/27 &#151; AMBAC Insured (ETM)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">12/08 at 101.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">945,239</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">945,239</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">13,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">13,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">State Public School Building Authority, Pennsylvania, Lease Revenue Bonds, Philadelphia School District, Series&nbsp;2003, 5.000%, 6/01/33 (Pre-refunded 6/01/13) &#151; FSA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">6/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13,872,689</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13,872,689</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">18,925</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">18,925</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total Pennsylvania</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19,837,448</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19,837,448</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Puerto Rico &#151; 0.7% (0.5% of Total Investments)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Puerto Rico Electric Power Authority, Power Revenue Bonds, Series&nbsp;2002II, 5.125%, 7/01/26 (Pre-refunded 7/01/12) &#151; FSA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">7/12 at 101.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,089,660</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,089,660</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">10,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">10,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Puerto Rico Sales Tax Financing Corporation, Sales Tax Revenue Bonds, Series&nbsp;2007A, 0.000%, 8/01/43 &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">No Opt. Call</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">944,200</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">944,200</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">10,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">11,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total Puerto Rico</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">944,200</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,089,660</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,033,860</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>South Carolina &#151; 4.7% (2.9% of Total Investments)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">5,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">5,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Florence County, South Carolina, Hospital Revenue Bonds, McLeod Regional Medical Center, Series&nbsp;2004A, 5.250%, 11/01/23 &#151; FSA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">11/14 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,943,800</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,943,800</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Greenville County School District, South Carolina, Installment Purchase Revenue Bonds, Series&nbsp;2008, Trust 3219:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">750</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">750</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:30px; text-indent:-15px">13.014%, 12/01/22 (IF)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">12/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">618,360</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">618,360</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">585</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">585</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:30px; text-indent:-15px">10.468%, 12/01/23 (IF)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">12/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">497,812</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">497,812</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">8,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">8,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">South Carolina Transportation Infrastructure Bank, Revenue Bonds, Series&nbsp;2002A, 5.000%, 10/01/33 &#151; AMBAC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">10/12 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Aa3</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,925,600</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,925,600</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">14,335</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">14,335</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total South Carolina</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12,985,572</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12,985,572</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Texas &#151; 11.2% (7.1% of Total Investments)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">7,975</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">7,975</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Fort Bend Independent School District, Fort Bend County, Texas, General Obligation Bonds, Series&nbsp;2000, 5.000%, 8/15/25</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">8/10 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,920,690</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,920,690</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Grand Prairie Independent School District, Dallas County, Texas, General Obligation Bonds, Series&nbsp;2003:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">2/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13,466,999</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13,466,999</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">12,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">12,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:30px; text-indent:-15px">5.125%, 2/15/31 (Pre-refunded 2/15/13) &#151; FSA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,660</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,660</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:30px; text-indent:-15px">5.375%, 2/15/26 (Pre-refunded 2/15/13) &#151; FSA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">2/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,804,935</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,804,935</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Houston, Texas, First Lien Combined Utility System Revenue Bonds, Series&nbsp;2004A, 5.250%, 5/15/25 &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">5/14 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,946,100</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,946,100</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">5,515</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">5,515</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Houston, Texas, General Obligation Refunding Bonds, Series&nbsp;2002, 5.250%, 3/01/20 &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">3/12 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,551,399</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,551,399</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">465</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">465</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Katy Independent School District, Harris, Fort Bend and Waller Counties, Texas, General Obligation Bonds, Series&nbsp;2002A, 5.125%, 2/15/18</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">2/12 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">475,086</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">475,086</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE></DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->52<!-- /Folio --></DIV>
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<!-- LANDSCAPE --></DIV>

<DIV align="center">
<TABLE style="font-size: 8pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="top">
    <TD width="3%">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="20%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="top">
    <TD nowrap align="center" colspan="11" style="border-bottom: 1px solid #000000"><B>Principal Amount (000)</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="15" style="border-bottom: 1px solid #000000"><B>Value</B></TD>
</TR>
<TR style="font-size: 8pt" valign="top">
    <TD nowrap align="center" colspan="3"><B>National</B></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" nowrap align="center" ><B>Florida</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Combined</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Combined</B></TD>
</TR>
<TR style="font-size: 8pt" valign="top">
    <TD nowrap align="center" colspan="3"><B>Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Fund (Pro</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Optional Call</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>National Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Florida Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Pro Forma</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Fund (Pro</B></TD>
</TR>
<TR style="font-size: 8pt" valign="top">
    <TD nowrap align="center" colspan="3"><B>(Actual)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>(Actual)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Forma)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left"><B>Description (1)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Provisions (2)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Ratings (3)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>(Actual)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>(Actual)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Adjustments</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Forma)</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">28,455</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,660</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">30,115</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total Texas</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29,360,274</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,804,935</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">31,165,209</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Virginia &#151; 0.5% (0.3% of Total Investments)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Hampton, Virginia, Revenue Bonds, Convention Center Project, Series&nbsp;2002, 5.125%, 1/15/28 &#151; AMBAC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">1/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,437,105</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,437,105</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Washington &#151; 10.5% (6.6% of Total Investments)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">4,945</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">4,945</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Broadway Office Properties, King County, Washington, Lease Revenue Bonds, Washington Project, Series&nbsp;2002, 5.000%, 12/01/31 &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center" nowrap>12/12 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,544,999</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,544,999</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">5,250</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">5,250</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Chelan County Public Utility District 1, Washington, Hydro Consolidated System Revenue Bonds, Series&nbsp;2002C, 5.125%, 7/01/33 &#151; AMBAC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">7/12 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,858,928</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,858,928</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">7,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">7,500</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">King County, Washington, Sewer Revenue Bonds, Series&nbsp;2006-2, 6.563%, 1/01/31 &#151; FSA Insured (IF)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">1/17 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AAA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,151,875</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,151,875</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,135</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,135</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Kitsap County Consolidated Housing Authority, Washington, Revenue Bonds, Bremerton Government Center, Series&nbsp;2003, 5.000%, 7/01/23 &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">7/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">A1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,991,635</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,991,635</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,935</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,935</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Pierce County School District 343, Dieringer, Washington, General Obligation Refunding Bonds, Series&nbsp;2003, 5.250%, 12/01/17 &#151; FGIC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">6/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Aa1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,992,818</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,992,818</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">9,670</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">9,670</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Washington State, General Obligation Bonds, Series&nbsp;2003D, 5.000%, 12/01/21 &#151; MBIA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">6/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA&#043;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,709,647</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,709,647</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">31,435</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">31,435</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total Washington</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29,249,902</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29,249,902</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>West Virginia &#151; 1.0% (0.7% of Total Investments)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">3,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">3,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">West Virginia State Building Commission, Lease Revenue Refunding Bonds, Regional Jail and
Corrections Facility, Series&nbsp;1998A, 5.375%, 7/01/21 &#151; AMBAC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">No Opt. Call</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,910,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,910,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Wisconsin &#151; 5.8% (3.7% of Total Investments)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,190</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">1,190</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Sun Prairie Area School District, Dane County, Wisconsin, General Obligation Bonds, Series&nbsp;2004C, 5.250%, 3/01/24 &#151; FSA Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">3/14 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Aaa</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,277,108</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,277,108</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">4,605</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">4,605</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Wisconsin
Health and Educational Facilities Authority, Revenue Bonds, Franciscan Sisters of Christian Charity Healthcare Ministry, Series&nbsp;2003A, 5.875%, 9/01/33 (Pre-refunded 9/01/13)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">9/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">BBB&#043; (4)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,120,069</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,120,069</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">3,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">3,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Wisconsin Health and Educational Facilities Authority, Revenue Bonds, Meriter Hospital Inc., Series&nbsp;1992A, 6.000%, 12/01/22 &#151; FGIC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">No Opt. Call</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">A1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,044,310</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,044,310</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">3,600</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">3,600</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Wisconsin Health and Educational Facilities Authority, Revenue Bonds, Wheaton Franciscan Services Inc., Series&nbsp;2003A, 5.125%, 8/15/33</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">8/13 at 100.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">A-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,217,024</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,217,024</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">4,750</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">4,750</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Wisconsin Health and Educational Facilities Authority, Revenue Refunding Bonds, Wausau Hospital Inc., Series&nbsp;1998A, 5.125%, 8/15/20 &#151; AMBAC Insured</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">2/09 at 102.00</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">AA</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,557,957</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,557,957</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">17,145</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">17,145</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total Wisconsin</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16,216,468</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16,216,468</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right"><b>$</b></TD>
    <TD valign="top" align="right">397,635</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right"><b>$</b></TD>
    <TD valign="top" align="right">80,590</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right"><b>$</b></TD>
    <TD valign="top" align="right">478,225</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total
Long-Term Investments (cost $384,085,763, $81,468,541 and $465,554,304, respectively) &#151; 156.5%</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right"></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">357,429,129</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">77,183,379</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">434,612,508</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
<TD colspan="11" align="left" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD colspan="26" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Short-Term Investments &#151; 2.2% (1.4% of Total Investments)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Florida Board of Education, Lottery Revenue Bonds, Series&nbsp;2001B, Trust 570, Variable Rate Demand Obligations, 3.000%, 7/01/14 &#151; FGIC Insured (6)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">A-1</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,000,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,000,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Maryland Health and Higher Educational Facilities Authority, Goucher College, Series&nbsp;2007, Variable Rate Demand Obligations, 1.450%, 7/01/37 (6)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">A-1&#043;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,000,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,000,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">2,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Port of Tacoma, Washington, General Obligation Bonds, Tender Option Bond, Trust 2006-86, Variable Rate Demand Obligations, 3.320%, 6/01/25 &#151; MBIA Insured (6)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Aa3</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,000,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,000,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="37" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right"><b>$</b></TD>
    <TD valign="top" align="right">6,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right"><b>$</b></TD>
    <TD valign="top" align="right">&#151;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right"><b>$</b></TD>
    <TD valign="top" align="right">6,000</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total Short-Term Investments (cost $6,000,000, $0 and $6,000,000, respectively)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,000,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,000,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
<TD colspan="11" align="left" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD colspan="26" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total
Investments (cost $390,085,763, $81,468,541 and $471,554,304, respectively) &#151; 158.7%</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">363,429,129</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">77,183,379</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">440,612,508</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="25" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Floating Rate Obligations &#151; (3.5)%</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(9,600,000</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(9,600,000</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="25" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Other Assets Less Liabilities &#151; 3.1%</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,046,283</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">691,380</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" colspan=3>(260,000)&nbsp;(8)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,477,663</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="25" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">
Preferred Shares, at Liquidation Value &#151; (58.3)% (7)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(132,800,000</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(29,000,000</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(161,800,000</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="25" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net Assets Applicable to Common Shares &#151; 100.0%</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">229,075,412</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">48,874,759</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="center" colspan=3>(260,000)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">277,690,171</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="25" align="left" style="border-top: 3px double #000000">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>At least 80% of the Combined Fund&#146;s net assets (including
net assets attributable to Preferred shares) are invested in municipal securities that are covered by insurance or backed by
an escrow or trust account containing sufficient U.S. Government or U.S. Treasury-issued State
and Local Government Series securities to ensure the timely payment of principal and interest.</TD>
</TR>
<TR style="font-size:3pt">
<TD>&nbsp;</TD>
</TR>
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>See Notes to Financial Statements, Footnote 2 &#151; Insurance, for more information.</TD>
</TR>
<TR style="font-size:3pt">
<TD>&nbsp;</TD>
</TR>
<TR style="font-size:1pt">
<TD colspan="3"><DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV></TD>
</TR>
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" nowrap align="left">(1)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>All percentages shown in the Portfolio of Investments are based on net assets applicable
to Common shares of the Combined Fund unless otherwise noted.</TD>
</TR>
<TR style="font-size:3pt">
<TD>&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" nowrap align="left">(2)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>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.</TD>
</TR>
<TR style="font-size:3pt">
<TD>&nbsp;</TD>
</TR>
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" nowrap align="left">(3)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Ratings: Using the higher of Standard &#038; Poor&#146;s Group (&#147;Standard &#038; Poor&#146;s&#148;) or Moody&#146;s
Investor Service, Inc. (&#147;Moody&#146;s&#148;) rating. Ratings below BBB by Standard &#038; Poor&#146;s
or Baa by Moody&#146;s are considered investment grade.</TD>
</TR>
</TABLE>
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->53<!-- /Folio -->

</DIV>
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" nowrap>&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The Portfolio of Investments may reflect the ratings on certain bonds insured by AGC, AMBAC,
CIFG, FGIC, FSA, MBIA, RAAI and SYNCORA as of October&nbsp;31, 2008.</TD>
</TR>
<TR valign="bottom" style="font-size:3pt"><TD>&nbsp;</TD></TR>
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" nowrap>(4)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>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.</TD>
</TR>

<TR valign="bottom" style="font-size:3pt"><TD>&nbsp;</TD></TR>
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" nowrap>(5)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Portion of investment has been pledged to collateralize the net payment obligations under
futures contracts entered into by the Florida Fund during the period.</TD>
</TR>

<TR valign="bottom" style="font-size:3pt"><TD>&nbsp;</TD></TR>
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" nowrap>(6)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Investment has a maturity of more than one year, but has variable rate and demand features
which qualify it as a short-term investment. The rate disclosed is that in effect at the end of the
reporting period. This rate changes periodically based on market
conditions or a specified market index.</TD>
</TR>

<TR valign="bottom" style="font-size:3pt"><TD>&nbsp;</TD></TR>
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" nowrap>(7)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Preferred Shares, at Liquidation Value as a percentage of
Total Investments of the Combined Fund is 36.7%.</TD>
</TR>
<TR style="font-size:3pt">
<TD>&nbsp;</TD>
</TR>

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" nowrap align="left">(8)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Non-recurring cost associated with the proposed Reorganization
(estimated to be $260,000) which will be borne by
the shareholders of the National Fund and the Florida Fund ($55,000
and $205,000, respectively).</TD>
</TR>

<TR valign="bottom" style="font-size:3pt"><TD>&nbsp;</TD></TR>
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD colspan="3">N/R Not rated.</TD>
</TR>

<TR valign="bottom" style="font-size:3pt"><TD>&nbsp;</TD></TR>
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" nowrap>(ETM)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Escrowed to maturity.</TD>
</TR>

<TR valign="bottom" style="font-size:3pt"><TD>&nbsp;</TD></TR>
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" nowrap>(IF)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Inverse floating rate investment.</TD>
</TR>

<TR valign="bottom" style="font-size:3pt"><TD>&nbsp;</TD></TR>
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" nowrap>(UB)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Underlying bond of an inverse floating rate trust reflected as a financing transaction
pursuant to the provisions of SFAS No.&nbsp;140.</TD>
</TR>

<TR valign="bottom" style="font-size:3pt"><TD>&nbsp;</TD></TR>
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" nowrap>&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>See accompanying notes to financial statements.</TD>
</TR>
</TABLE></DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->54<!-- /Folio -->

</DIV>
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Pro Forma Statement of Assets and Liabilities </B><I>(Unaudited)</I></DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>October&nbsp;31, 2008</I></DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="52%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>National Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Florida Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Pro Forma</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Combined Fund</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>(Actual)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>(Actual)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>(Adjustments)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>(As Adjusted)</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Assets</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:0px; text-indent:-0px">Investments, at value (cost $390,085,763, $81,468,541 and $471,554,304, respectively)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">363,429,129</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">77,183,379</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">440,612,508</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Cash</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,896,158</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,896,158</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Receivables from dividends and interest</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,445,289</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,007,663</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,452,952</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Other assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">27,274</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,482</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29,756</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Total assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">372,797,850</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">78,193,524</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">450,991,374</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Liabilities</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Floating rate obligations</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,600,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,600,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Cash overdraft</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">68,052</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">68,052</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Payables:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Common shares dividends</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,058,838</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">197,205</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,256,043</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Preferred share dividends</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">27,732</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,749</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">32,481</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Accrued expenses:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Management fees</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">120,660</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26,678</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">147,338</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Other</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">115,208</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">22,081</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">137,289</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Reorganization costs</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">260,000</TD>
    <TD nowrap>(a)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">260,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Total liabilities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,922,438</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">318,765</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">260,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11,501,203</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Preferred shares, at liquidation value</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">132,800,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29,000,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">161,800,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net assets applicable to Common shares</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">229,075,412</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">48,874,759</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">$</TD>
    <TD align="right">(260,000</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">277,690,171</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 3px double #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Common shares outstanding</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18,525,697</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,882,373</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">54,574</TD>
    <TD>(b)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">       22,462,644</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 3px double #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net asset value per Common share outstanding (net assets applicable to Common
shares, divided by Common shares outstanding)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">12.37</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">12.59</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">12.36</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 3px double #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Net assets applicable to Common shares consist of:</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Common shares, $.01 par value per share</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">185,257</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">38,824</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">546</TD>
    <TD>(a)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">          $224,627</TD>
    <TD></TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Paid-in surplus</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">261,630,932</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">54,746,905</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(260,546</TD>
    <TD nowrap>)(a)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">       316,117,291</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Undistributed (Over-distribution of) net investment income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(1,056,455</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(167,111</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(1,223,566</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Accumulated net realized gain (loss)&nbsp;from investments and derivative transactions</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(5,027,688</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(1,458,697</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(6,486,385</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net unrealized appreciation (depreciation)&nbsp;of investments and dervative transactions</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(26,656,634</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(4,285,162</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(30,941,796</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net assets applicable to Common shares</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">229,075,412</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">48,874,759</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">$</TD>
    <TD align="right">(260,000</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">277,690,171</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 3px double #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Authorized shares:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Common</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Unlimited</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Unlimited</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Unlimited</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Preferred</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Unlimited</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Unlimited</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">Unlimited</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 3px double #000000">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR style="font-size: 3pt">
    <TD width="3%">&nbsp;</TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">(a)</TD>
    <TD>&nbsp;</TD>
    <TD>Non-recurring cost associated with the proposed Reorganization (estimated
to be $260,000) which will be borne by the shareholders of the National Fund and the Florida Fund
($55,000 and $205,000, respectively).</TD>
</TR>
<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(b)</TD>
    <TD>&nbsp;</TD>
    <TD>The pro forma statements presume the issuance by the National Fund
of approximately 3,936,947
Common shares in exchange for the assets and liabilities
of the Florida Fund after the reduction for the costs associated with the proposed
reorganization.</TD>
</TR>
</TABLE>


<P align="center" style="font-size: 10pt"><!-- Folio -->55<!-- /Folio -->
</DIV>
<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Pro Forma Statement of Operations </B><I>(Unaudited)</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>Year Ended October&nbsp;31, 2008</I>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="52%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>National Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Florida Fund</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Pro Forma</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Combined Fund</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>(Actual)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>(Actual)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>(Adjustments)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>(As Adjusted)</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Investment Income</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">19,814,712</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">3,929,266</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">23,743,978</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Expenses</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Management fees</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,527,989</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">530,581</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(21,660</TD>
    <TD nowrap>)(a)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,036,910</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Auction fees</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">355,258</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">72,600</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">427,858</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Dividend disbursing agent fees</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20,009</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(10,000)      </TD>
    <TD nowrap>(b)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20,009</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Shareholders&#146; servicing agent fees and expenses</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,839</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">752</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,591</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Interest expense</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">166,661</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">166,661</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Custodian&#146;s fees and expenses</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">66,157</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21,154</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(1,890)      </TD>
    <TD nowrap>(b)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">85,421</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Trustees&#146; fees and expenses</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,134</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,645</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,779</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Professional fees</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">32,284</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13,691</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(8,650)      </TD>
    <TD nowrap>(b)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">37,325</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Shareholders&#146; reports &#151; printing and mailing expenses</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">51,802</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14,211</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">66,013</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Stock exchange listing fees</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,447</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">513</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,960</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Investor relations expense</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">50,680</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,562</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">59,242</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Other expenses</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">22,103</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,757</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(11,200)      </TD>
    <TD nowrap>(b)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17,660</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total expenses before custodian fee credit and expense reimbursement</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,307,363</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">680,466</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(53,400</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,934,429</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Custodian fee credit</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(33,990</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(7,811</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(41,801</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Expense reimbursement</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(1,000,082</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(205,471</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(1,205,553</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net expenses</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,273,291</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">467,184</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(53,400</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,687,075</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net investment income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17,541,421</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,462,082</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">53,400</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21,056,903</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Realized and Unrealized Gain (Loss)</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net realized gain (loss)&nbsp;from:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Investments</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,751,437</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(238,920</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,512,517</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Forward swaps</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">97,716</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">97,716</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Futures</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">84,406</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">84,406</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Change in net unrealized appreciation (depreciation)&nbsp;of:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Investments</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(44,503,698</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(6,308,430</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(50,812,128</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Forward swaps</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(44,143</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(44,143</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net realized and unrealized gain (loss)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(42,752,261</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(6,409,371</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(49,161,632</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Distributions to Preferred Shareholders</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">From net investment income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(5,024,148</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(1,087,087</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(6,111,235</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Decrease in net assets applicable to common shares from
distributions to  Preferred shareholders</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(5,024,148</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(1,087,087</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(6,111,235</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net increase (decrease)&nbsp;in net assets applicable to common shares from operations</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">$</TD>
    <TD align="right">(30,234,988</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">$</TD>
    <TD align="right">(4,034,376</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">53,400</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">$</TD>
    <TD align="right">(34,215,964</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="17" align="left" style="border-top: 3px double #000000">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>




<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR style="font-size: 3pt">
    <TD width="3%">&nbsp;</TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">(a)</TD>
    <TD>&nbsp;</TD>
    <TD>Reflects the impact of applying the Combined Fund&#146;s fund-level management fee schedule to
the Combined Fund&#146;s average net assets.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(b)</TD>
    <TD>&nbsp;</TD>
    <TD>Reflects the anticipated reduction of certain duplicative expenses eliminated as a result
of the Reorganization.</TD>
</TR>
</TABLE>

<P align="center" style="font-size: 10pt"><!-- Folio -->56<!-- /Folio -->

</DIV>
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<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>1. Basis of Combination</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The accompanying unaudited pro forma financial statements are presented to show the effect of the
proposed Reorganization of Nuveen Insured Florida Tax-Free Advantage Municipal Fund (&#147;Florida
Fund&#148;) into Nuveen Insured Tax-Free Advantage Municipal Fund (&#147;National Fund&#148;) as if such
Reorganization had taken place as of October&nbsp;31, 2008.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Under the terms of the Agreement and Plan of Reorganization, the combination of the Florida Fund
and the National Fund (the &#147;Combined Fund&#148;) will be accounted for by the method of accounting for
tax-free mergers of investment companies. The Reorganization would be accomplished by an
acquisition of the net assets of the Florida Fund in exchange for shares of the National Fund at
net asset value. The statement of assets and liabilities and the related statement of operations of
the Florida Fund and the National Fund have been combined as of and for the twelve months ended
October&nbsp;31, 2008. Following the acquisition, the National Fund will be the accounting survivor. In
accordance with accounting principles generally accepted in the United States of America, the
historical cost of investment securities will be carried forward to the surviving fund and the
results of operations for pre-combination periods of the surviving fund will not be restated.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The accompanying pro forma financial statements and notes to financial statements should be read in
conjunction with the financial statements of the Florida Fund included in its annual report dated
April&nbsp;30, 2008 and semi-annual report dated October&nbsp;31, 2008 and the financial statements of the
National Fund included in its annual report dated October&nbsp;31, 2008.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>2. General Information and Significant Accounting Policies</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Combined Fund&#146;s Common shares are traded on the American Stock Exchange under the symbol NEA.
The Combined Fund is registered under the Investment Company Act of 1940, as amended, as a
closed-end, diversified management investment company.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Combined Fund seeks to provide current income exempt from regular federal income tax and the
alternative minimum tax applicable to individuals by investing primarily in a diversified portfolio
of municipal obligations issued by state and local government authorities or certain U.S.
territories.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The following is a summary of significant accounting policies followed by the Combined Fund in the
preparation of its financial statements in accordance with U.S. generally accepted accounting
principles.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><I>Investment Valuation</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The prices of municipal bonds in the Combined Fund&#146;s investment portfolio are provided by a pricing
service approved by the Combined Fund&#146;s Board of Directors. 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
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->57<!-- /Folio -->

</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 6pt">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 the Combined Fund&#146;s Board of Directors. Future contracts are valued using the closing settlement price, or in the absence of such a price,
at the mean of the bid and asked prices. If the pricing service is unable to supply a
price for an investment or derivative instrument, the Combined Fund may use market quotes provided
by major broker/dealers in such investments.
If it is determined that the market price for an
investment or derivative instrument is unavailable or inappropriate, the Board of Trustees of the
Combined Fund, or its designee, may establish fair value in accordance with procedures established
in good faith by the Board of Directors. Temporary investments in securities that have variable
rate and demand features qualifying them as short-term investments are valued at amortized cost,
which approximates value.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><I>Investment Transactions</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">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 Combined Fund has instructed
the custodian to segregate assets with a current value at least equal to the amount of the
when-issued/delayed delivery purchase commitments.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><I>Investment Income</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">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. Dividend income, if any, is recorded on the ex-dividend date.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><I>Income Taxes</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Combined Fund intends to distribute substantially all of its net investment income and net
capital gains to shareholders and to otherwise comply with the requirements of Subchapter M of the
Internal Revenue Code applicable to regulated investment companies. Therefore, no federal income
tax provision is required. Furthermore, the Combined Fund intends to satisfy conditions which will
enable interest from municipal securities, which is exempt from regular federal and applicable
state income taxes, if any, and the alternative minimum tax applicable to individuals, to retain
such tax-exempt status when distributed to shareholders of the Combined Fund. Net realized
capital gains and ordinary income distributions paid by the Combined Fund are subject to federal
taxation.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Effective April&nbsp;30, 2008, the Combined Fund adopted Financial Accounting Standards Board (FASB)
Interpretation No.&nbsp;48 &#147;Accounting for Uncertainty in Income Taxes&#148; (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 affirmative evaluation of tax positions taken or
expected to be taken in the course of preparing the Combined Fund&#146;s tax returns to determine whether it is &#147;more-likely-than-not&#148; (i.e.,
a greater than 50-percent likelihood)</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->58<!-- /Folio -->
</DIV>
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<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 6pt">of being sustained by the applicable tax authority. Tax
positions not deemed to meet the more-likely-than-not threshold may result in a tax expense in the
current year.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Implementation of FIN 48 required management of the Combined Fund to analyze all open tax years, as
defined by the statute of limitations, for all major jurisdictions, which includes federal and
certain states. Open tax years are those that are open for examination by taxing authorities (i.e.,
generally the last four tax year ends and the interim tax period since then). The Combined Fund has
no examinations in progress.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">For all open tax years and all major taxing jurisdictions through the end of the reporting period,
management of the Combined Fund has reviewed all tax positions taken or expected to be taken in the
preparation of the Combined Fund&#146;s tax returns and concluded the adoption of FIN 48 resulted in no
impact to the Funds&#146; net assets or results of operations as of and during the fiscal year ended
October&nbsp;31, 2008.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Combined Fund is also not aware of any tax positions for which it is reasonably possible that
the total amounts of unrecognized tax benefits will significantly change in the next twelve months.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><I>Dividends and Distributions to Common Shareholders</I>
</div>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Dividends from tax-exempt net investment income are declared monthly. Net realized capital gains
and/or market discount from investment transactions, if any, are distributed to shareholders at
least annually. Furthermore, capital gains are distributed only to the extent they exceed available
capital loss carryforwards.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">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.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><I>Preferred Shares</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Combined Fund has issued and outstanding Preferred shares, $25,000 stated value
per share, as a means of effecting financial leverage. The Combined Fund&#146;s Preferred
shares are issued in more than one Series. The dividend rate paid by the Combined Fund 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. As of October&nbsp;31, 2008, the number of Preferred shares outstanding, by Series and in total, for the Combined Fund is as follows:
</DIV>


<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="76%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">Number of Shares:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:30px; text-indent:-15px">Series&nbsp;T</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,656</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:30px; text-indent:-15px">Series&nbsp;W</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,816</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="9" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top" align="right">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,472</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="9" align="left" style="border-top: 3px double #000000">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Beginning in February&nbsp;2008, more shares for sale were submitted in the regularly scheduled auctions
for the Preferred shares issued by the Combined Fund than there were offers to buy.
This meant that these auctions &#147;failed to clear,&#146;&#146; and
that many Preferred shareholders
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->59<!-- /Folio -->

</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 6pt">who wanted to sell their shares in these auctions were
unable to do so. Preferred shareholders unable to sell their shares received
distributions at the &#147;maximum rate&#146;&#146; applicable to failed auctions as calculated in accordance with
the pre-established terms of the Preferred shares.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">These developments generally do not affect the management or investment policies of the Combined
Fund. However, one implication of these auction failures for Common shareholders is that the
Combined Fund&#146;s cost of leverage will likely be higher, at least temporarily, than it otherwise
would have been had the auctions continued to be successful. As a result, the Combined Fund&#146;s
future Common share earnings may be lower than they otherwise would have been.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">On June&nbsp;11, 2008, Nuveen Investments, Inc. (&#147;Nuveen&#148;) announced the Combined Fund Board&#146;s approval
of plans to use tender option bonds (TOBs), also known as &#147;floaters&#148; or floating rate obligations,
to refinance a portion of the municipal funds&#146; outstanding Preferred shares, whose
auctions have been failing for several months. The plan included an initial phase of approximately
$1&nbsp;billion in forty-one funds.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><I>Insurance</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Under normal circumstances, the Combined Fund will invest at least 80% of its net assets (including
net assets attributable to Preferred shares) in municipal securities that are covered
by insurance guaranteeing the timely payment of principal and interest. For purposes of this 80%
test, insurers must have a claims paying ability rated at least &#147;A&#148; at the time of purchase by at
least one independent rating agency. In addition, the Combined Fund will invest at least 80% of its
net assets (including net assets attributable to Preferred shares) in municipal
securities that are rated at least &#147;AA&#148; at the time of purchase (based on the higher of the rating
of the insurer, if any, or the underlying security) by at least one independent rating agency, or
are unrated but judged to be of similar credit quality by Nuveen Asset Management (the &#147;Adviser&#148;),
a wholly-owned subsidiary of Nuveen, or municipal bonds backed by an escrow or trust account
containing sufficient U.S. government or U.S. government agency securities or U.S. Treasury-issued
State and Local Government Series securities to ensure timely payment of principal and interest.
The Combined Fund may also invest up to 20% of its net assets (including net assets attributable to
Preferred shares) in municipal securities rated below &#147;AA&#148; (based on the higher rating
of the insurer, if any, or the underlying bond) or are unrated but judged to be of comparable
quality by the Adviser.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Each insured municipal security is covered by Original Issue Insurance, Secondary Market Insurance
or Portfolio Insurance. Such insurance does not guarantee the market value of the municipal
securities or the value of the Combined Fund&#146;s Common shares. Original Issue Insurance and
Secondary Market Insurance remain in effect as long as the municipal securities covered thereby
remain outstanding and the insurer remains in business, regardless of whether the Combined Fund ultimately disposes of such municipal securities.
Consequently, the market</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->60<!-- /Folio -->

</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 6pt">value of the municipal securities covered by Original Issue Insurance or
Secondary Market Insurance may reflect value attributable to the insurance. Portfolio Insurance, in
contrast, is effective only while the municipal securities are held by the Combined Fund.
Accordingly, neither the prices used in determining the market value of the underlying municipal
securities nor the Common share net asset value of the Combined Fund includes value, if any,
attributable to the Portfolio Insurance. Each policy of the Portfolio Insurance does, however, give
the Combined Fund the right to obtain permanent insurance with respect to the municipal security
covered by the Portfolio Insurance policy at the time of its sale.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><I>Inverse Floating Rate Securities</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Combined Fund is authorized to invest in inverse floating rate securities. An inverse floating
rate security is created by depositing a municipal bond, typically with a fixed interest rate, into
a special purpose trust created by a broker-dealer. In turn, this trust (a)&nbsp;issues floating rate
certificates, in face amounts equal to some fraction of the deposited bond&#146;s par amount or market
value, that typically pay short-term tax-exempt interest rates to third parties, and (b)&nbsp;issues to
a long-term investor (such as the Combined Fund) an inverse floating rate certificate (sometimes
referred to as an &#147;inverse floater&#148;) 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&#146; holders, and in most circumstances the inverse floater
holder bears substantially all of the underlying bond&#146;s downside investment risk and also benefits
disproportionately from any potential appreciation of the underlying bond&#146;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.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Combined Fund may purchase an inverse floating rate security in a secondary market transaction
without first owning the underlying bond (referred to as an &#147;externally-deposited inverse
floater&#148;), 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
&#147;self-deposited inverse floater&#148;). The inverse floater held by the Combined Fund gives the Combined
Fund the right (a)&nbsp;to cause the holders of the floating rate certificates to tender their notes at
par, and (b)&nbsp;to have the broker transfer the fixed-rate bond held by the trust to the Combined
Fund, thereby collapsing the trust. An investment in an externally-deposited inverse floater is
identified in the Portfolio of Investments as an &#147;Inverse floating rate investment&#148;. An investment
in a self-deposited inverse floater is accounted for as a financing transaction in accordance with
Statement of Financial Accounting Standards No.&nbsp;140 (SFAS No.&nbsp;140) &#147;Accounting for Transfers and
Servicing of Financial Assets and Extinguishment of Liabilities&#148;. In such instances, a fixed-rate
bond deposited into a special purpose trust is identified in the Portfolio of Investments as an
&#147;Underlying bond of an inverse floating rate trust&#148;, with the Combined Fund accounting for the
short-term floating rate certificates issued by the trust as &#147;Floating rate obligations&#148;</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->61<!-- /Folio -->

</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">on the Statement of Assets and Liabilities. In addition, the Combined
Fund reflects in Investment Income the entire earnings of the underlying bond and the related
interest paid to the holders of the short-term floating rate certificates is included as a
component of &#147;Interest expense&#148; on the Statement of Operations.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Combined Fund may also enter into shortfall and forbearance agreements (sometimes referred to
as a &#147;recourse trust&#148; or &#147;credit recovery swap&#148;) (such agreements referred to herein as &#147;Recourse
Trusts&#148;) with a broker-dealer by which the Combined Fund agrees to reimburse the broker-dealer, in
certain circumstances, for the difference between the liquidation value of the fixed-rate bond held
by the trust and the liquidation value of the floating rate certificates issued by the trust plus
any shortfalls in interest cash flows. Under these agreements, the Combined Fund&#146;s potential
exposure to losses related to or on inverse floaters may increase beyond the value of the Combined
Fund&#146;s inverse floater investments as the Combined Fund may potentially be liable to fulfill all
amounts owed to holders of the floating rate certificates. At period end, any such shortfall is
included as &#147;Unrealized depreciation on Recourse Trusts&#148; on the Statement of Assets and
Liabilities.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">During the fiscal year ended October&nbsp;31, 2008, the Combined Fund invested in externally deposited
inverse floaters and/or self deposited inverse floaters.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>Forward Swap Transactions</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Combined Fund is authorized to invest in forward interest rate swap transactions. The Combined
Fund&#146;s use of forward interest rate swap transactions is intended to help the Combined Fund manage
its overall interest rate sensitivity, either shorter or longer, generally to more closely align
the Combined Fund&#146;s interest rate sensitivity with that of the broader municipal market. Forward
interest rate swap transactions involve the Combined Fund&#146;s agreement with a counterparty to pay,
in the future, a fixed or variable rate payment in exchange for the counterparty paying the
Combined Fund a variable or fixed rate payment, the accruals for which would begin at a specified
date in the future (the &#147;effective date&#148;). 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&#146;s maturity). The value of the Combined Fund&#146;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&#146;s termination date increases or decreases. The
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->62<!-- /Folio -->

</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Combined Fund 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. The Combined 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 Combined 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 the Combined Fund with a value approximately equal to the amount of any
unrealized gain above a pre-determined threshold. Reciprocally, when the Combined Fund has an
unrealized loss on a swap contract, the Combined Fund has instructed the custodian to pledge assets
of the Combined Fund 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 pre-determined
threshold amount. During the fiscal year ended October 31, 2008, the
Combined Fund invested in forward interest rate swap transactions.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>Futures Contracts</I>

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Combined Fund is authorized to invest in futures contracts. Upon entering into a futures
contract, the Combined Fund is required to deposit with the broker an amount of cash or liquid
securities equal to a specified percentage of the contract amount. This is known as the &#147;initial
margin&#148;. Subsequent payments (&#147;variation margin&#148;) are made or received by the Combined Fund each
day, depending on the daily fluctuation of the value of the contract.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">During the period the futures contract is open, changes in the value of the contract are recognized
as an unrealized gain or loss by &#147;marking-to-market&#148; on a daily basis to reflect the changes in
market value of the contract. When the contract is closed or expired, the Combined Fund records a
realized gain or loss equal to the difference between the value of the contract on the closing date
and the value of the contract when originally entered into. Cash held by the broker to cover
initial margin requirements on open future contracts, if any, is recognized on the Statement of
Assets and Liabilities. Additionally, the Statement of Assets and Liabilities reflects a
receivable or payable to the variation margin, when applicable. During the fiscal year ended
October&nbsp;31, 2008 the Combined Fund invested in futures contracts.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Risks of investments in futures contracts include the possible adverse movement of the securities
or indices underlying the contracts, the possibility that there may not be a liquid secondary
market for the contracts and/or that a change in the value of the contract may not correlate with a
change in the value of the underlying securities or indices.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><I>Zero Coupon Securities</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Combined Fund is authorized to invest in zero coupon securities. A zero coupon security does
not pay a regular interest coupon to its holders during the life of the security. Tax-exempt income
to the holder of the security comes from accretion of the difference between the original purchase
price of the security at issuance and the par value of the security at maturity and is effectively
paid at maturity. Such securities are included in the Portfolios of Investments with a 0.000%
coupon rate in their description. The market prices of zero coupon securities generally are more
volatile than the market prices of securities that pay interest periodically.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><I>Custodian Fee Credit</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Combined Fund has an arrangement with the custodian bank whereby certain custodian fees and
expenses are reduced by net credits earned on the Combined Fund&#146;s cash on deposit with the bank.
Such deposit arrangements are an alternative to overnight investments. Credits for cash balances
may be offset by charges for any days on which the Combined Fund overdraws its account at the
custodian bank.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><I>Indemnifications</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Under the Combined Fund&#146;s organizational documents, its Officers and Trustees are indemnified
against certain liabilities arising out of the performance of their duties to the Combined Fund. In
addition, in the normal course of business, the Combined Fund enters into contracts that provide
general indemnifications to other parties. The Combined Fund&#146;s maximum exposure under these
arrangements is unknown as this would involve future claims that may be made against the Combined
Fund that have not yet occurred. However, the Combined Fund has not had prior claims or losses
pursuant to these contracts and expects the risk of loss to be remote.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>Use of Estimates</I>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->63<!-- /Folio -->

</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 6pt">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.
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>3. Income Tax Information</B>

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The following information is presented on an income tax basis. Differences between amounts for
financial statement and federal income tax purposes are primarily due to timing differences in
recognizing taxable market discount, timing differences in recognizing certain gains and losses on
investment transactions and the treatment of investments in inverse floating rate transactions
subject to SFAS No.&nbsp;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 Combined Fund.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">At
October&nbsp;31, 2008, the cost of investments was $461,823,765.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Gross unrealized appreciation and gross unrealized depreciation of investments at October&nbsp;31, 2008,
were as follows:
</DIV>



<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Gross Unrealized</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Appreciation</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,290,110</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Depreciation</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(39,104,263</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="5" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net unrealized appreciation
(depreciation)&nbsp;of investments</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">$</TD>
    <TD align="right">(30,814,153</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="5" align="left" style="border-top: 3px double #000000">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->64<!-- /Folio -->

</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 6pt">At October&nbsp;31, 2008, the Combined Fund&#146;s tax year end, the Combined Fund 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:
</DIV>


<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Expiration:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">October&nbsp;31, 2011</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">791,760</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">October&nbsp;31, 2012</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">97,429</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">October&nbsp;31, 2013</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,912,308</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">October&nbsp;31, 2014</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">194,032</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">October&nbsp;31, 2015</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">35,274</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">October&nbsp;31, 2016</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">378,957</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="5" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">6,409,760</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD colspan="5" align="left" style="border-top: 3px double #000000">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>4. Management Fees and Other Transactions with Affiliates</B>

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Combined Fund&#146;s management fee is separated into two components &#150; a complex-level component,
based on the aggregate amount of all fund assets managed by the Adviser, and a specific fund-level
component, based only on the amount of assets within the Combined 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.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The annual fund-level fee, payable monthly, for the Combined Fund is based upon the average daily
net assets (including net assets attributable to Preferred shares) as follows:
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="left"><B>Average Daily Net Assets (including net assets attributable to Preferred shares)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Fund-Level Fee Rate</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR style="font-size: 1px">
    <TD colspan="5" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">For the first $125&nbsp;million</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.4500</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">For the next $125&nbsp;million</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.4375</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">For the next $250&nbsp;million</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.4250</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">For the next $500&nbsp;million</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.4125</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">For the next $1&nbsp;billion</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.4000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">For the next $3&nbsp;billion</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.3875</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">For net assets over $5&nbsp;billion</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.3750</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">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 following table. As of December&nbsp;31, 2008, the
complex-level fee rate was .2000%.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The complex-level fee schedule is as follows:
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left" colspan="3"><B>Effective Rate</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left" colspan="3"><B>at Breakpoint</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="left"><B>Complex-Level Asset Breakpoint Level<SUP style="font-size: 85%; vertical-align: text-top"> (1)</SUP></B>
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left" colspan="3"><B>Level</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR style="font-size: 1px">
    <TD colspan="5" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">$55&nbsp;billion</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.2000</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">$56&nbsp;billion</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.1996</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">$57&nbsp;billion</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.1989</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">$60&nbsp;billion</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.1961</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">$63&nbsp;billion</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.1931</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">$66&nbsp;billion</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.1900</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">$71&nbsp;billion</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.1851</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">$76&nbsp;billion</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.1806</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">$80&nbsp;billion</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.1773</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">$91&nbsp;billion</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.1691</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">$125&nbsp;billion</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.1599</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">$200&nbsp;billion</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.1505</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">$250&nbsp;billion</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.1469</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">$300&nbsp;billion</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">0.1445</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 3pt; margin-left: 25px; text-indent:-25px"><sup>(1)</sup>&nbsp;&nbsp;  The complex-level component of the management fee for the funds is calculated based upon the aggregate daily net assets of all Nuveen funds,
with such daily net assets to include assets attributable to preferred stock issued by or borrowings by such funds but to exclude assets
attributable to investments in other Nuveen funds.
 </div>



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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The management fee compensates the Adviser for overall investment advisory and administrative
services and general office facilities. The Combined Fund pays no compensation directly to those of
its Trustees who are affiliated with the Adviser or to its Officers, all of whom receive
remuneration for their services to the Combined Fund from the Adviser or its affiliates. The Board
of Trustees has adopted a deferred compensation plan for independent Trustees that enables 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.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">For the first eight years of the Combined Fund&#146;s operations, the Adviser has agreed to reimburse
the Combined 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:
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Year Ending November&nbsp;30,</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2002*</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">.32</TD>
    <TD nowrap>%</td>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2003</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">.32</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2004</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">.32</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2005</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">.32</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2006</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">.32</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2007</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">.32</TD>
    <TD nowrap>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2008</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">.24</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2009</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">.16</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2010</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">.08</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 3pt">* From the commencement of  operations.</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Adviser has not agreed to reimburse the Combined Fund for any portion of its fees and expenses
beyond November&nbsp;30, 2010.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>5. New Accounting Pronouncements</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>Financial Accounting Standards Board Statement of Financial Accounting Standards No.&nbsp;157 (SFAS No.
157)</I>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">In September&nbsp;2006, the FASB issued SFAS No.&nbsp;157, &#147;Fair Value Measurements.&#148; 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.&nbsp;157 applies
to fair value measurements already required or permitted by existing standards. SFAS No.&nbsp;157 is
effective for financial statements issued for fiscal years beginning after November&nbsp;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 October&nbsp;31, 2008, management does not believe the adoption of SFAS No.&nbsp;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. The Combined Fund first adopted SFAS No.&nbsp;157 with respect to its report filed on Form N-Q for the
quarterly period ended January&nbsp;31, 2009.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>Financial Accounting Standards Board Statement of Financial Accounting Standards No.&nbsp;161 (SFAS No.
161)</I>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">In March&nbsp;2008, the FASB issued SFAS No.&nbsp;161, &#147;Disclosures about Derivative Instruments and Hedging
Activities.&#148; This standard is intended to enhance financial statement disclosures for derivative
instruments and hedging activities and enable investors to understand: a) how and why a fund uses
derivative instruments, b) how derivative instruments and related hedge items are accounted for,
and c) how derivative instruments and related hedge items affect a fund&#146;s financial position,
results of operations and cash flows. SFAS No.&nbsp;161 is effective
for financial statements issued for fiscal years and interim periods beginning after November&nbsp;15, 2008. As of October&nbsp;31, 2008,
management does not</DIV>


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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 6pt"> believe the adoption of SFAS No.&nbsp;161 will impact the financial statement
amounts; however, additional footnote disclosures may be required about the use of derivative
instruments and hedging items.
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->67<!-- /Folio -->

</DIV>



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<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left">
<A name="115"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>APPENDIX A</B>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>NUVEEN INSURED TAX-FREE ADVANTAGE MUNICIPAL FUND</B>
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>AMENDMENT AND RESTATEMENT OF<BR>
STATEMENT ESTABLISHING AND FIXING THE RIGHTS<BR>
AND PREFERENCES OF<BR>
MUNICIPAL AUCTION RATE<BR>
CUMULATIVE PREFERRED SHARES (&#147;MUNIPREFERRED&#148;)</B>

</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>NUVEEN INSURED TAX-FREE ADVANTAGE MUNICIPAL FUND</B>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>TABLE OF CONTENTS</B>
</DIV>


<DIV align="right" style="font-size: 10pt; margin-top: 12pt"><U><B>Page</B></U>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">DEFINITIONS</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">&#147;AA&#148; Composite Commercial Paper Rate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Accountant&#146;s Confirmation</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Affiliate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Agent Member</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">All Hold Order</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Anticipation Notes</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Applicable Rate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Auction</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Auction Agency Agreement</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Auction Agent</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Auction Date</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Auction Procedures</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Available MuniPreferred</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Benchmark Rate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Beneficial Owner</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Bid and Bids</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Bidder and Bidders</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Board of Trustees</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Broker-Dealer</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Broker-Dealer Agreement</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Business Day</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Code</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Commercial Paper Dealers</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Common Shares</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Cure Date</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Date of Original Issue</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Declaration</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Deposit Securities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Discounted Value</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Dividend Payment Date</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Dividend Period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Existing Holder</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Failure to Deposit</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Federal Tax Rate Increase</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Fund</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Gross-Up Payment</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Hold Order and Hold Orders</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Holder</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Independent Accountant</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Initial Rate Period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Interest Equivalent</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Issue Type Category</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->i<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>TABLE OF CONTENTS</B>
</DIV>


<DIV align="right" style="font-size: 10pt; margin-top: 12pt"><U><B>Page</B></U>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Kenny Index</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Late Charge</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Liquidation Preference</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Market Value</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Maximum Potential Gross-Up Payment Liability</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Maximum Rate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Minimum Rate Period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Moody&#146;s</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Moody&#146;s Discount Factor</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Moody&#146;s Eligible Asset</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Moody&#146;s Exposure Period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Moody&#146;s Volatility Factor</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Municipal Obligations</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">MuniPreferred</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">MuniPreferred Basic Maintenance Amount</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">MuniPreferred Basic Maintenance Cure Date</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">MuniPreferred Basic Maintenance Report</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">1940 Act</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">1940 Act Cure Date</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">1940 Act MuniPreferred Asset Coverage</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Notice Of Redemption</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Notice Of Special Rate Period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Order and Orders</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Original Issue Insurance</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Other Issues</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Outstanding</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Permanent Insurance</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Person</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Portfolio Insurance</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Potential Beneficial Owner</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Potential Holder</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Preferred Shares</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Quarterly Valuation Date</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Rate Multiple</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Rate Period Days</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Receivables For Municipal Obligations Sold</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Redemption Price</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Reference Rate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Registration Statement</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">S&#038;P</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">S&#038;P Discount Factor</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">S&#038;P Eligible Asset</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">S&#038;P Exposure Period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">S&#038;P Volatility Factor</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Secondary Market Insurance</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Securities Depository</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->ii<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>TABLE OF CONTENTS</B>
</DIV>
<DIV align="center" style="font-size: 10pt; margin-top: 0pt">(continued)</div>

<DIV align="right" style="font-size: 10pt; margin-top: 12pt"><U><B>Page</B></U>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Sell Order and Sell Orders</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Special Rate Period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Special Redemption Provisions</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Submission Deadline</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Submitted Bid and Submitted Bids</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Submitted Hold Order and Submitted Hold Orders</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Submitted Order and Submitted Orders</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Submitted Sell Order And Submitted Sell Orders</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Subsequent Rate Period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Substitute Commercial Paper Dealer</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Substitute U.S. Government Securities Dealer</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Sufficient Clearing Bids</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Taxable Allocation</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Taxable Equivalent of the Short-Term Municipal Bond Rate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Taxable Income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Treasury Bill</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Treasury Bill Rate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Treasury Note</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Treasury Note Rate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">U.S. Government Securities Dealer</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">11</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Valuation Date</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Volatility Factor</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Voting Period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Winning Bid Rate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">PART I</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">1. Number Of Authorized Shares</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">2. Dividends</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(a)&nbsp;Ranking</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(b)&nbsp;Cumulative Cash Dividends</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(c)&nbsp;Dividends Cumulative from Date of Original Issue</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(d)&nbsp;Dividend Payment Dates And Adjustment Thereof</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(e)&nbsp;Dividend Rates and Calculation of Dividends</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">14</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(f)&nbsp;Curing a Failure to Deposit</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(g)&nbsp;Dividend Payments by Fund to Auction Agent</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(h)&nbsp;Auction Agent as Trustee of Dividend Payments by Fund</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(i)&nbsp;Dividends Paid to Holders</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(j)&nbsp;Dividends Credited Against Earliest Accumulated but Unpaid Dividends</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(k)&nbsp;Dividends Designated As Exempt-Interest Dividends</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">3. Gross-Up Payments</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(a)&nbsp;Minimum Rate Periods and Special Rate Periods of 28
Rate Period Days or Fewer</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(b)&nbsp;Special Rate Periods of More Than 28 Rate Period Days</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(c)&nbsp;No Gross-Up Payments in the Event of a Reallocation</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">4. Designation of Special Rate Periods</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(a)&nbsp;Length of and Preconditions for Special Rate Period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->iii<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>TABLE OF CONTENTS</B>
</DIV>
<DIV align="center" style="font-size: 10pt; margin-top: 0pt">(continued)</div>

<DIV align="right" style="font-size: 10pt; margin-top: 12pt"><U><B>Page</B></U>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(b) Adjustment Of Length Of Special Rate Period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(c) Notice of Proposed Special Rate Period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(d) Notice of Special Rate Period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(e) Failure to Deliver Notice of Special Rate Period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">5. Voting Rights</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(a) One Vote Per Share of MuniPreferred</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(b) Voting for Additional Trustees</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">19</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(c) Holders of MuniPreferred to Vote on Certain other Matters</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">21</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(d) Board may Take Certain Actions Without Shareholder Approval</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">22</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(e) Voting Rights Set Forth Herein Are Sole Voting Rights</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">22</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(f) No Preemptive Rights Or Cumulative Voting</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">22</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(g) Voting For Trustees Sole Remedy For Fund&#146;s Failure To Pay Dividends</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(h) Holders Entitled to Vote</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">6. 1940 Act MuniPreferred Asset Coverage</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">7. MuniPreferred Basic Maintenance Amount</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">23</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">8. &#091;Reserved&#093;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">9. Restrictions on Dividends and Other Distributions</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(a) Dividends on Preferred Shares Other Than MuniPreferred</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(b) Dividends and Other Distributions with Respect to
Common Shares Under the 1940 Act</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(c) Other Restrictions on Dividends and Other Distributions</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">25</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">10. Rating Agency Restrictions</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">11. Redemption</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">27</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(a) Optional Redemption</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">27</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(b) Mandatory Redemption</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">28</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(c) Notice of Redemption</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(d) No Redemption Under Certain Circumstances</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(e) Absence of Funds Available for Redemption</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(f) Auction Agent as Trustee of Redemption Payments by Fund</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(g)&nbsp;Shares for Which Notice of Redemption Has Been Given
are No Longer Outstanding</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(h) Compliance with Applicable Law</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(i) Only Whole Shares of MuniPreferred May Be Redeemed</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">12. Liquidation Rights</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(a) Ranking</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(b) Distributions Upon Liquidation</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(c) Pro Rata Distributions</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">31</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(d) Rights of Junior Shares</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">31</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(e) Certain Events Not Constituting Liquidation</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">31</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">13. Miscellaneous</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">31</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(a) Amendment of Appendix&nbsp;A to Add Additional Series</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">31</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(b) Appendix&nbsp;A Incorporated by Reference</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">31</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(c) No Fractional Shares</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">31</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(d)&nbsp;Status of Shares of MuniPreferred Redeemed, Exchanged
or Otherwise Acquired by the Fund</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">32</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(e) Board May Resolve Ambiguities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">32</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->iv<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>TABLE OF CONTENTS</B>
</DIV>
<DIV align="center" style="font-size: 10pt; margin-top: 0pt">(continued)</div>

<DIV align="right" style="font-size: 10pt; margin-top: 12pt"><U><B>Page</B></U>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(f) Headings Not Determinative</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">32</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:75px; text-indent:-15px">(g) Notices</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">32</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">PART II</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">33</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">1. Orders</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">33</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">2. Submission of Orders By Broker-Dealers to Auction Agent</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">34</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">3. Determination of Sufficient Clearing Bids, Winning Bid Rate and Applicable Rate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">36</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">4. Acceptance and Rejection of Submitted Bids and Submitted Sell Orders
and Allocation of Shares</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">38</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">5. Notification of Allocations</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">40</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">6. Auction Agent</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">40</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">7. Transfer of Shares of MuniPreferred</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">41</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">8. Global Certificate</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">41</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Appendix&nbsp;A</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">A-1</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">Section&nbsp;1. Designation as to Series</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">A-2</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">Section&nbsp;2. Number of Authorized Shares Per Series</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">A-2</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">Section&nbsp;3. Exceptions to Certain Definitions</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">A-2</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">Section&nbsp;4. Certain Definitions</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">A-2</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">Section&nbsp;5. Initial Rate Periods</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">A-4</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">Section&nbsp;6. Date for Purposes of Paragraph (zzz)&nbsp;Contained Under the Heading
&#147;Definitions&#148; in this Statement</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">A-4</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">Section&nbsp;7. Party Named for Purposes of the Definition of &#147;Rate Multiple&#148; in this Statement</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">A-4</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">Section&nbsp;8. Additional Definitions</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">A-4</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">Section&nbsp;9. Dividend Payment Dates</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">A-4</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">Section&nbsp;10. Amount for Purposes of Subparagraph (c)(i) of Section&nbsp;5 of Part I of
this Statement</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">A-4</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">Section&nbsp;11. Redemption Provisions Applicable to Initial Rate Periods</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">A-4</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">Section&nbsp;12. Applicable Rate for Purposes of Subparagraph (B)(Iii) of Section&nbsp;3 of
Part II of this Statement</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">A-4</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">Section&nbsp;13. Certain Other Restrictions and Requirements</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">A-5</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->v<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Nuveen Insured Tax-Free Advantage Municipal Fund</B>, a Massachusetts business trust (the &#147;Fund&#148;),
certifies that:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;First: Pursuant to authority expressly vested in the Board of Trustees of the Fund by
Article&nbsp;IV of the Fund&#146;s Declaration of Trust (which, as hereafter restated or amended from time to
time is, together with this Statement, herein called the &#147;Declaration&#148;), the Board of Trustees has,
by resolution, authorized the issuance of shares of the Fund&#146;s authorized Preferred Shares
liquidation preference $25,000 per share, having such designation or designations as to series as
is set forth in Section&nbsp;1 of Appendix&nbsp;A hereto and such number of shares per such series as is set
forth in Section&nbsp;2 of Appendix&nbsp;A hereto.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Second: The preferences, voting powers, restrictions, limitations as to dividends,
qualifications, and terms and conditions of redemption, of the shares of each series of
MuniPreferred described in Section&nbsp;1 of Appendix&nbsp;A hereto are as follows (each such series being
referred to herein as a series of MuniPreferred, and shares of all such series being referred to
herein individually as a share of MuniPreferred and collectively as shares of MuniPreferred):
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>DEFINITIONS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Except as otherwise specifically provided in Section&nbsp;3 of Appendix&nbsp;A hereto, as used in Parts
I and II of this Statement, the following terms shall have the following meanings (with terms
defined in the singular having comparable meanings when used in the plural and vice versa), unless
the context otherwise requires:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) &#147;<B>AA&#148; Composite Commercial Paper Rate</B>,&#148; on any date for any Rate Period of shares of a
series of MuniPreferred, shall mean (i) (A)&nbsp;in the case of any Minimum Rate Period or any Special
Rate Period of fewer than 49 Rate Period Days, the interest equivalent of the 30-day rate;
<I>provided</I>, <I>however</I>, that if such Rate Period is a Minimum Rate Period and the &#147;AA&#148; Composite
Commercial Paper Rate is being used to determine the Applicable Rate for shares of such series when
all of the Outstanding shares of such series are subject to Submitted Hold Orders, then the
interest equivalent of the seven-day rate, and (B)&nbsp;in the case of any Special Rate Period of (1)&nbsp;49
or more but fewer than 70 Rate Period Days, the interest equivalent of the 60-day rate; (2)&nbsp;70 or
more but fewer than 85 Rate Period Days, the arithmetic average of the interest equivalent of the
60-day and 90-day rates; (3)&nbsp;85 or more but fewer than 99 Rate Period Days, the interest equivalent
of the 90-day rate; (4)&nbsp;99 or more but fewer than 120 Rate Period Days, the arithmetic average of
the interest equivalent of the 90-day and 120-day rates; (5)&nbsp;120 or more but fewer than 141 Rate
Period Days, the interest equivalent of the 120-day rate; (6)&nbsp;141 or more but fewer than 162 Rate
Period Days, the arithmetic average of the 120-day and 180-day rates; and (7)&nbsp;162 or more but fewer
than 183 Rate Period Days, the interest equivalent of the 180-day rate, in each case on commercial
paper placed on behalf of issuers whose corporate bonds are rated &#147;AA&#148; by S&#038;P or the equivalent of
such rating by S&#038;P or another rating agency, as made available on a discount basis or otherwise by
the Federal Reserve Bank of for the Business Day next preceding such date; or (ii)&nbsp;in the event
that the Federal Reserve Bank of does not make available any such rate, then the arithmetic average
of such rates, as quoted on a discount basis or otherwise, by the Commercial Paper Dealers to the
Auction Agent for the close of business on the Business Day next preceding such date. If any
Commercial Paper Dealer does not quote a rate required to determine the &#147;AA&#148; Composite Commercial
Paper Rate, the &#147;AA&#148; Composite Commercial Paper Rate shall be determined on the basis of the
quotation or quotations furnished by the remaining Commercial Paper Dealer or Commercial Paper
Dealers and any Substitute Commercial Paper Dealer or Substitute Commercial Paper Dealers selected
by the Fund to provide such rate or rates not being supplied by any Commercial Paper Dealer or
Commercial Paper Dealers, as the case may be, or, if the Fund does not select any such Substitute
Commercial Paper Dealer or Substitute Commercial Paper Dealers, by the remaining Commercial Paper
Dealer or Commercial Paper Dealers. For purposes of this
definition, the &#147;interest equivalent&#148; of a rate stated on a
</DIV>


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<DIV align="left" style="font-size: 10pt; margin-top: 10pt">discount basis (a &#147;discount rate&#148;)
for commercial paper of a given days&#146; maturity shall be equal to the quotient (rounded upwards to
the next higher one-thousandth (.001) of 1%) of (A)&nbsp;the discount rate divided by (B)&nbsp;the difference
between (x)&nbsp;1.00 and (y)&nbsp;a fraction, the numerator of which shall be the product of the discount
rate times the number of days in which such commercial paper matures and the denominator of which
shall be 360.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) &#147;<B>Accountant&#146;s Confirmation</B>&#148; shall have the meaning specified in paragraph (c)&nbsp;of Section&nbsp;7
of Part&nbsp;I of this Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) &#147;<B>Affiliate</B>&#148; shall mean, for purposes of the definition of &#147;Outstanding,&#148; any Person known
to the Auction Agent to be controlled by, in control of or under common control with the Fund;
<I>provided</I>, <I>however</I>, that no Broker-Dealer controlled by, in control of or under common control with
the Fund shall be deemed to be an Affiliate nor shall any corporation or any Person controlled by,
in control of or under common control with such corporation one of the trustees, directors, or
executive officers of which is a trustee of the Fund be deemed to be an Affiliate solely because
such trustee, director or executive officer is also a trustee of the Fund.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) &#147;<B>Agent Member</B>&#148; shall mean a member of or participant in the Securities Depository that
will act on behalf of a Bidder.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) &#147;<B>All Hold Order</B>&#148; shall have the meaning specified in Section&nbsp;12 of Appendix&nbsp;A of this
Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) &#147;<B>Anticipation Notes</B>&#148; shall mean Tax Anticipation Notes (TANs), Revenue Anticipation Notes
(RANs), Tax and Revenue Anticipation Notes (TRANs), Grant Anticipation Notes (GANs) that are rated
by S&#038;P and Bond Anticipation Notes (BANs) that are rated by S&#038;P.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) &#147;<B>Applicable Rate</B>&#148; shall have the meaning specified in subparagraph (e)(i) of Section&nbsp;2 of
Part&nbsp;I of this Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) &#147;<B>Auction</B>&#148; shall mean each periodic implementation of the Auction Procedures.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) &#147;<B>Auction Agency Agreement</B>&#148; shall mean the agreement between the Fund and the Auction Agent
which provides, among other things, that the Auction Agent will follow the Auction Procedures for
purposes of determining the Applicable Rate for shares of a series of MuniPreferred so long as the
Applicable Rate for shares of such series is to be based on the results of an Auction.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) &#147;<B>Auction Agent</B>&#148; shall mean the entity appointed as such by a resolution of the Board of
Trustees in accordance with Section&nbsp;6 of Part&nbsp;II of this Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) &#147;<B>Auction Date</B>&#148; with respect to any Rate Period, shall mean the Business Day next preceding
the first day of such Rate Period.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) &#147;<B>Auction Procedures</B>&#148; shall mean the procedures for conducting Auctions set forth in
Part&nbsp;II of this Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) &#147;<B>Available MuniPreferred</B>&#148; shall have the meaning specified in paragraph (a)&nbsp;of Section&nbsp;3
of Part&nbsp;II of this Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) &#147;<B>Benchmark Rate</B>&#148; shall have the meaning specified in Section&nbsp;12 of Appendix&nbsp;A hereto.
</DIV>



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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) &#147;<B>Beneficial Owner</B>&#148; with respect to shares of a series of MuniPreferred, means a customer
of a Broker-Dealer who is listed on the records of that Broker-Dealer (or, if applicable, the
Auction Agent) as a holder of shares of such series.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p) &#147;<B>Bid&#148; and &#147;Bids</B>&#148; shall have the respective meanings specified in paragraph (a)&nbsp;of
Section&nbsp;1 of Part&nbsp;II of this Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q) &#147;<B>Bidder&#148; and &#147;Bidders</B>&#148; shall have the respective meanings specified in paragraph (a)&nbsp;of
Section&nbsp;1 of Part&nbsp;II of this Statement; <I>provided</I>, <I>however</I>, that neither the Fund nor any affiliate
thereof shall be permitted to be a Bidder in an Auction, except that any Broker-Dealer that is an
affiliate of the Fund may be a Bidder in an Auction, but only if the Orders placed by such
Broker-Dealer are not for its own account.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(r) &#147;<B>Board of Trustees</B>&#148; shall mean the Board of Trustees of the Fund or any duly authorized
committee thereof.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(s) &#147;<B>Broker-Dealer</B>&#148; shall mean any broker-dealer, commercial bank or other entity permitted by
law to perform the functions required of a Broker-Dealer in Part&nbsp;II of this Statement, that is a
member of, or a participant in, the Securities Depository or is an affiliate of such member or
participant, has been selected by the Fund and has entered into a Broker-Dealer Agreement that
remains effective.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(t) &#147;<B>Broker-Dealer Agreement</B>&#148; shall mean an agreement among the Fund, the Auction Agent and a
Broker-Dealer pursuant to which such Broker-Dealer agrees to follow the procedures specified in
Part&nbsp;II of this Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(u) &#147;<B>Business Day</B>&#148; shall mean a day on which the New York Stock Exchange is open for trading
and which is neither a Saturday, Sunday nor any other day on which banks in The City of New York,
New York, are authorized by law to close.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) &#147;<B>Code</B>&#148; means the Internal Revenue Code of 1986, as amended.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(w) &#147;<B>Commercial Paper Dealers</B>&#148; shall mean Lehman Commercial Paper Incorporated, Goldman,
Sachs &#038; Co. and Merrill Lynch, Pierce, Fenner &#038; Smith Incorporated or, in lieu of any thereof,
their respective affiliates or successors, if such entity is a commercial paper dealer.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) &#147;<B>Common Shares</B>&#148; shall mean the common shares of beneficial interest, par value $.01 per
share, of the Fund.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(y) &#147;<B>Cure Date</B>&#148; shall mean the MuniPreferred Basic Maintenance Cure Date or the 1940 Act Cure
Date, as the case may be.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) &#147;<B>Date of Original Issue</B>&#148; with respect to shares of a series of MuniPreferred, shall mean
the date on which the Fund initially issued such shares.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(aa) &#147;<B>Declaration</B>&#148; shall have the meaning specified on the first page of this Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(bb) &#147;<B>Deposit Securities</B>&#148; shall have the meaning specified in guidelines provided by a rating
agency, as may be amended from time to time by a rating agency, in connection with that rating
agency&#146;s ratings of shares of MuniPreferred.
</DIV>


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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(cc) &#147;<B>Discounted Value</B>,&#148; as of any Valuation Date, shall have the meaning specified in
guidelines provided by a rating agency, as may be amended from time to time by a rating agency, in
connection with that rating agency&#146;s ratings of shares of MuniPreferred.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(dd) &#091;Reserved&#093;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ee) &#091;Reserved&#093;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ff) &#147;<B>Dividend Payment Date</B>,&#148; with respect to shares of a series of MuniPreferred, shall mean
any date on which dividends are payable on shares of such series pursuant to the provisions of
paragraph (d)&nbsp;of Section&nbsp;2 of Part&nbsp;I of this Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(gg) &#147;<B>Dividend Period</B>,&#148; with respect to shares of a series of MuniPreferred, shall mean the
period from and including the Date of Original Issue of shares of such series to but excluding the
initial Dividend Payment Date for shares of such series and any period thereafter from and
including one Dividend Payment Date for shares of such series to but excluding the next succeeding
Dividend Payment Date for shares of such series.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(hh) &#147;<B>Existing Holder</B>,&#148; with respect to shares of a series of MuniPreferred, shall mean a
Broker-Dealer (or any such other Person as may be permitted by the Fund) that is listed on the
records of the Auction Agent as a holder of shares of such series.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) &#147;<B>Failure to Deposit</B>,&#148; with respect to shares of a series of MuniPreferred, shall mean a
failure by the Fund to pay to the Auction Agent, not later than 12:00 noon, New York City time,
(A)&nbsp;on the Business Day next preceding any Dividend Payment Date for shares of such series, in
funds available on such Dividend Payment Date in The City of New York, New York, the full amount of
any dividend (whether or not earned or declared) to be paid on such Dividend Payment Date on any
share of such series or (B)&nbsp;on the Business Day next preceding any redemption date in funds
available on such redemption date for shares of such series in The City of New York, New York, the
Redemption Price to be paid on such redemption date for any share of such series after notice of
redemption is mailed pursuant to paragraph (c)&nbsp;of Section&nbsp;11 of Part&nbsp;I of this Statement; <I>provided</I>,
<I>however</I>, that the foregoing clause (B)&nbsp;shall not apply to the Fund&#146;s failure to pay the Redemption
Price in respect of shares of MuniPreferred when the related Notice of Redemption provides that
redemption of such shares is subject to one or more conditions precedent and any such condition
precedent shall not have been satisfied at the time or times and in the manner specified in such
Notice of Redemption.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(jj) &#147;<B>Federal Tax Rate Increase</B>&#148; shall have the meaning specified in the definition of
&#147;Moody&#146;s Volatility Factor.&#148;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(kk) &#147;<B>Fund</B>&#148; shall mean the entity named on the first page of this Statement, which is the
issuer of the shares of MuniPreferred.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ll) &#147;<B>Gross-Up Payment</B>&#148; shall have the meaning specified in Section&nbsp;4 of Appendix&nbsp;A hereto.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(mm) &#147;<B>Hold Order&#148; and &#147;Hold Orders</B>&#148; shall have the respective meanings specified in
paragraph (a)&nbsp;of Section&nbsp;1 of Part&nbsp;II of this Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(nn) &#147;<B>Holder</B>,&#148; with respect to shares of a series of MuniPreferred, shall mean the registered
holder of such shares as the same appears on the record books of the Fund.
</DIV>



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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(oo) &#147;<B>Independent Accountant</B>&#148; shall mean a nationally recognized accountant, or firm of
accountants, that is with respect to the Fund an independent public accountant or firm of
independent public accountants under the Securities Act of 1933, as amended from time to time.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(pp) &#147;<B>Initial Rate Period</B>,&#148; with respect to shares of a series of MuniPreferred, shall have
the meaning specified with respect to shares of such series in Section&nbsp;5 of Appendix&nbsp;A hereto.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(qq) &#147;<B>Interest Equivalent</B>&#148; means a yield on a 360-day basis of a discount basis security which
is equal to the yield on an equivalent interest-bearing security.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(rr) &#147;<B>Issue Type Category</B>,&#148; if defined in Section&nbsp;4 of Appendix&nbsp;A hereto, shall have the
meaning specified in that section.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ss) &#147;<B>Kenny Index</B>&#148; shall have the meaning specified in the definition of &#147;Taxable Equivalent
of the Short-Term Municipal Bond Rate.&#148;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(tt) &#147;<B>Late Charge</B>&#148; shall have the meaning specified in subparagraph (e)(1)(B) of Section&nbsp;2 of
Part&nbsp;I of this Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(uu) &#147;<B>Liquidation Preference</B>,&#148; with respect to a given number of shares of MuniPreferred,
means $25,000 times that number.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vv) &#147;<B>Market Value</B>&#148; of any asset of the Fund shall mean the market value thereof determined by
the pricing service designated from time to time by the Board of Trustees. Market Value of any
asset shall include any interest accrued thereon. The pricing service values portfolio securities
at the mean between the quoted bid and asked price or the yield equivalent when quotations are
readily available. Securities for which quotations are not readily available are valued at fair
value as determined by the pricing service using methods which include consideration of: yields or
prices of municipal bonds of comparable quality, type of issue, coupon, maturity and rating;
indications as to value from dealers; and general market conditions. The pricing service may
employ electronic data processing techniques or a matrix system, or both, to determine valuations.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ww) &#147;<B>Maximum Potential Gross-Up Payment Liability</B>,&#148; as of any Valuation Date, shall mean the
aggregate amount of Gross-up Payments that would be due if the Fund were to make Taxable
Allocations, with respect to any taxable year, estimated based upon dividends paid and the amount
of undistributed realized net capital gains and other taxable income earned by the Fund, as of the
end of the calendar month immediately preceding such Valuation Date, and assuming such Gross-up
Payments are fully taxable.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xx) &#147;<B>Maximum Rate</B>,&#148; for shares of a series of MuniPreferred on any Auction Date for shares of
such series, shall mean:
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) in the case of any Auction Date which is not the Auction Date immediately prior to
the first day of any proposed Special Rate Period designated by the Fund pursuant to
Section&nbsp;4 of Part&nbsp;I of this Statement, the product of (A)&nbsp;the Reference Rate on such Auction
Date for the next Rate Period of shares of such series and (B)&nbsp;the Rate Multiple on such
Auction Date, unless shares of such series have or had a Special Rate Period (other than a
Special Rate Period of 28 Rate Period Days or fewer) and an Auction at which Sufficient
Clearing Bids existed has not yet occurred for a Minimum Rate Period of shares of such
series after such Special Rate Period, in which case the higher of:
</DIV>

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<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the dividend rate on shares of such series for the then-ending Rate
Period; and
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) the product of (1)&nbsp;the higher of (x)&nbsp;the Reference Rate on such Auction
Date for a Rate Period equal in length to the then-ending Rate Period of shares of
such series, if such then-ending Rate Period was 364 Rate Period Days or fewer, or
the Treasury Note Rate on such Auction Date for a Rate Period equal in length to the
then-ending Rate Period of shares of such series, if such then-ending Rate Period
was more than 364 Rate Period Days, and (y)&nbsp;the Reference Rate on such Auction Date
for a Rate Period equal in length to such Special Rate Period of shares of such
series, if such Special Rate Period was 364 Rate Period Days or fewer, or the
Treasury Note Rate on such Auction Date for a Rate Period equal in length to such
Special Rate Period, if such Special Rate Period was more than 364 Rate Period Days
and (2)&nbsp;the Rate Multiple on such Auction Date; or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) in the case of any Auction Date which is the Auction Date immediately prior to the
first day of any proposed Special Rate Period designated by the Fund pursuant to Section&nbsp;4
of Part&nbsp;I of this Statement, the product of (A)&nbsp;the highest of (1)&nbsp;the Reference Rate on
such Auction Date for a Rate Period equal in length to the then-ending Rate Period of shares
of such series, if such then-ending Rate Period was 364 Rate Period Days or fewer, or the
Treasury Note Rate on such Auction Date for a Rate Period equal in length to the then-ending
Rate Period of shares of such series, if such then-ending Rate Period was more than 364 Rate
Period Days, (2)&nbsp;the Reference Rate on such Auction Date for the Special Rate Period for
which the Auction is being held if such Special Rate Period is 364 Rate Period Days or fewer
or the Treasury Note Rate on such Auction Date for the Special Rate Period for which the
Auction is being held if such Special Rate Period is more than 364 Rate Period Days, and
(3)&nbsp;the Reference Rate on such Auction Date for Minimum Rate Periods and (B)&nbsp;the Rate
Multiple on such Auction Date.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(yy) &#091;Reserved&#093;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(zz) &#147;<B>Minimum Rate Period</B>&#148; shall mean any Rate Period consisting of 7 Rate Period Days.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(aaa) &#147;<B>Moody&#146;s</B>&#148; shall mean Moody&#146;s Investors Service, Inc., a Delaware corporation, and its
successors.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(bbb) &#147;<B>Moody&#146;s Discount Factor</B>&#148; shall have the meaning specified in Section&nbsp;4 of Appendix&nbsp;A
hereto.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ccc) &#147;<B>Moody&#146;s Eligible Asset</B>&#148; shall have the meaning specified in Section&nbsp;4 of Appendix&nbsp;A
hereto.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ddd) &#147;<B>Moody&#146;s Exposure Period</B>&#148; shall have the meaning specified in guidelines provided by
Moody&#146;s, as may be amended from time to time by Moody&#146;s, in connection with Moody&#146;s ratings of
shares of MuniPreferred.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(eee) &#147;<B>Moody&#146;s Volatility Factor</B>&#148; shall have the meaning specified in guidelines provided by
Moody&#146;s, as may be amended from time to time by Moody&#146;s, in connection with Moody&#146;s ratings of
shares of MuniPreferred.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(fff) &#147;<B>Municipal Obligations</B>&#148; shall mean debt obligations issued by states, cities and local
authorities, and certain possessions and territories of the United States, to finance public
</DIV>


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<DIV align="left" style="font-size: 10pt; margin-top: 10pt">projects (such as roads or public buildings), to pay general operating expenses, or to refinance
outstanding debt and may also be used for private activities, such as housing, medical and
educational facility construction, or for privately owned industrial development and pollution
control projects. The two principal diversifications of Municipal Obligations are &#147;general
obligation&#148; or &#147;revenue&#148; bonds. General obligation bonds are backed by the full faith and credit,
or taxing authority, of the issuer and may be repaid from any revenue source; revenue bonds may be
repaid only from the revenues of a specific facility or source. Also included are municipal bonds
that represent lease obligations. The Fund will invest its net assets in a diversified portfolio
of municipal bonds that pay interest that is exempt from regular Federal income tax, and the
alternative minimum tax applicable to individuals. As a fundamental policy of the Fund, such
municipal bonds will, under normal circumstances, comprise at least 80% of the Fund&#146;s managed
assets.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ggg) &#147;<B>MuniPreferred</B>&#148; shall have the meaning set forth on the first page of this Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(hhh) &#147;<B>MuniPreferred Basic Maintenance Amount</B>,&#148; as of any Valuation Date, shall have the
meaning specified in guidelines provided by a rating agency, as may be amended from time to time by
a rating agency, in connection with that rating agency&#146;s ratings of shares of MuniPreferred.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) &#147;<B>MuniPreferred Basic Maintenance Cure Date</B>,&#148; with respect to the failure by the Fund to
satisfy the MuniPreferred Basic Maintenance Amount (as required by paragraph (a)&nbsp;of Section&nbsp;7 of
Part&nbsp;I of this Statement) as of a given Valuation Date, shall have the meaning specified in
guidelines provided by a rating agency, as may be amended from time to time by a rating agency, in
connection with that rating agency&#146;s ratings of shares of MuniPreferred.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(jjj) &#147;<B>MuniPreferred Basic Maintenance Report</B>&#148; shall have the meaning specified in guidelines
provided by a rating agency, as may be amended from time to time by a rating agency, in connection
with that rating agency&#146;s ratings of shares of MuniPreferred.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(kkk) &#147;<B>1940 Act</B>&#148; shall mean the Investment Company Act of 1940, as amended from time to time.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(lll) &#147;<B>1940 Act Cure Date</B>,&#148; with respect to the failure by the Fund to maintain the 1940 Act
MuniPreferred Asset Coverage (as required by Section&nbsp;6 of Part&nbsp;I of this Statement) as of the last
Business Day of each month, shall mean the last Business Day of the following month.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(mmm) &#147;<B>1940 Act MuniPreferred Asset Coverage</B>&#148; shall mean asset coverage, as defined in
Section 18(h) of the 1940 Act, of at least 200% with respect to all outstanding senior securities
of the Fund which are shares of beneficial interest, including all outstanding shares of
MuniPreferred (or such other asset coverage as may in the future be specified in or under the 1940
Act as the minimum asset coverage for senior securities which are shares or stock of a closed-end
investment company as a condition of declaring dividends on its common shares or stock).
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(nnn) &#147;<B>Notice of Redemption</B>&#148; shall mean any notice with respect to the redemption of shares of
MuniPreferred pursuant to paragraph (c)&nbsp;of Section&nbsp;11 of Part&nbsp;I of this Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ooo) &#147;<B>Notice Of Special Rate Period</B>&#148; shall mean any notice with respect to a Special Rate
Period of shares of MuniPreferred pursuant to subparagraph (d)(i) of Section&nbsp;4 of Part&nbsp;I of this
Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ppp) &#147;<B>Order&#148; and &#147;Orders</B>&#148; shall have the respective meanings specified in paragraph (a)&nbsp;of
Section&nbsp;1 of Part&nbsp;II of this Statement.
</DIV>


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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(qqq) &#147;<B>Original Issue Insurance</B>,&#148; if defined in Section&nbsp;4 of Appendix&nbsp;A hereto, shall have the
meaning specified in that section.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(rrr) &#147;<B>Other Issues</B>,&#148; if defined in Section&nbsp;4 of Appendix&nbsp;A hereto, shall have the meaning
specified in that section.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(sss) &#147;<B>Outstanding</B>&#148; shall mean, as of any Auction Date with respect to shares of a series of
MuniPreferred, the number of shares of such series theretofore issued by the Fund except, without
duplication, (i)&nbsp;any shares of such series theretofore cancelled or delivered to the Auction Agent
for cancellation or redeemed by the Fund, (ii)&nbsp;any shares of such series as to which the Fund or
any Affiliate thereof shall be an Existing Holder and (iii)&nbsp;any shares of such series represented
by any certificate in lieu of which a new certificate has been executed and delivered by the Fund.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ttt) &#147;<B>Permanent Insurance</B>,&#148; if defined in Section&nbsp;4 of Appendix&nbsp;A hereto, shall have the
meaning specified in that section.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(uuu) &#147;<B>Person</B>&#148; shall mean and include an individual, a partnership, a corporation, a trust, an
unincorporated association, a joint venture or other entity or a government or any agency or
political subdivision thereof.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vvv) &#147;<B>Portfolio Insurance</B>,&#148; if defined in Section&nbsp;4 of Appendix&nbsp;A hereto, shall have the
meaning specified in that section.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(www) &#147;<B>Potential Beneficial Owner</B>,&#148; with respect to shares of a series of MuniPreferred, shall
mean a customer of a Broker-Dealer that is not a Beneficial Owner of shares of such series but that
wishes to purchase shares of such series, or that is a Beneficial Owner of shares of such series
that wishes to purchase additional shares of such series.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxx) &#147;<B>Potential Holder</B>,&#148; with respect to shares of a series of MuniPreferred, shall mean a
Broker-Dealer (or any such other person as may be permitted by the Fund) that is not an Existing
Holder of shares of such series or that is an Existing Holder of shares of such series that wishes
to become the Existing Holder of additional shares of such series.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(yyy) &#147;<B>Preferred Shares</B>&#148; shall mean the preferred shares of the Fund, and includes the shares
of MuniPreferred.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(zzz) &#147;<B>Quarterly Valuation Date</B>&#148; shall have the meaning specified in guidelines provided by a
rating agency, as may be amended from time to time by a rating agency, in connection with that
rating agency&#146;s ratings of shares of MuniPreferred.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(aaaa) &#147;<B>Rate Multiple</B>&#148; shall have the meaning specified in Section&nbsp;4 of Appendix&nbsp;A hereto.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(bbbb) &#147;<B>Rate Period</B>,&#148; with respect to shares of a series of MuniPreferred, shall mean the
Initial Rate Period, and any transitional Rate Period, of shares of such series and any Subsequent
Rate Period, including any Special Rate Period, of shares of such series.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(cccc) &#147;<B>Rate Period Days</B>,&#148; for any Rate Period or Dividend Period, means the number of days
that would constitute such Rate Period or Dividend Period but for the application of paragraph (d)
of Section&nbsp;2 of Part&nbsp;I of this Statement or paragraph (b)&nbsp;of Section&nbsp;4 of Part&nbsp;I of this Statement.
</DIV>


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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(dddd) &#147;<B>Receivables For Municipal Obligations Sold</B>&#148; shall have the meaning specified in
guidelines provided by a rating agency, as may be amended from time to time by a rating agency, in
connection with that rating agency&#146;s ratings of shares of MuniPreferred.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(eeee) &#147;<B>Redemption Price</B>&#148; shall mean the applicable redemption price specified in
paragraph (a)&nbsp;or (b)&nbsp;of Section&nbsp;11 of Part&nbsp;I of this Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ffff) &#147;<B>Reference Rate</B>&#148; shall mean (i)&nbsp;the higher of the Taxable Equivalent of the Short-Term
Municipal Bond Rate and the &#147;AA&#148; Composite Commercial Paper Rate in the case of Minimum Rate
Periods and Special Rate Periods of 28 Rate Period Days or fewer, (ii)&nbsp;the &#147;AA&#148; Composite
Commercial Paper Rate in the case of Special Rate Periods of more than 28 Rate Period Days but
fewer than 183 Rate Period Days; and (iii)&nbsp;the Treasury Bill Rate in the case of Special Rate
Periods of more than 182 Rate Period Days but fewer than 365 Rate Period Days.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(gggg) &#147;<B>Registration Statement</B>&#148; has the meaning specified in the definition of &#147;Municipal
Obligations.&#148;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(hhhh) &#147;<B>S&#038;P</B>&#148; shall mean Standard &#038; Poor&#146;s Corporation, a New York corporation, and its
successors.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iiii) &#147;<B>S&#038;P Discount Factor</B>&#148; shall have the meaning specified in Section&nbsp;4 of Appendix&nbsp;A
hereto.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(jjjj) &#147;<B>S&#038;P Eligible Asset</B>&#148; shall have the meaning specified in Section&nbsp;4 of Appendix&nbsp;A
hereto.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(kkkk) &#147;<B>S&#038;P Exposure Period</B>&#148; shall have the meaning specified in guidelines provided by S&#038;P,
as may be amended from time to time by S&#038;P, in connection with S&#038;P&#146;s ratings of shares of
MuniPreferred.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(llll) &#147;<B>S&#038;P Volatility Factor</B>&#148; shall have the meaning specified in guidelines provided by S&#038;P,
as may be amended from time to time by S&#038;P, in connection with S&#038;P&#146;s ratings of shares of
MuniPreferred.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(mmmm) &#147;<B>Secondary Market Insurance</B>,&#148; if defined in Section&nbsp;4 of Appendix&nbsp;A hereto, shall have
the meaning specified in that section.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(nnnn) &#147;<B>Securities Depository</B>&#148; shall mean The Depository Trust Company and its successors and
assigns or any other securities depository selected by the Fund which agrees to follow the
procedures required to be followed by such securities depository in connection with shares of
MuniPreferred.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(oooo) &#147;<B>Sell Order&#148; and &#147;Sell Orders</B>&#148; shall have the respective meanings specified in
paragraph (a)&nbsp;of Section&nbsp;1 of Part&nbsp;II of this Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(pppp) &#147;<B>Special Rate Period</B>,&#148; with respect to shares of a series of MuniPreferred, shall have
the meaning specified in paragraph (a)&nbsp;of Section&nbsp;4 of Part&nbsp;I of this Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(qqqq) &#147;<B>Special Redemption Provisions</B>&#148; shall have the meaning specified in subparagraph (a)(i)
of Section&nbsp;11 of Part&nbsp;I of this Statement.
</DIV>


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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(rrrr) &#147;<B>Submission Deadline</B>&#148; shall mean 1:30 P.M., New York City time, on any Auction Date or
such other time on any Auction Date by which Broker-Dealers are required to submit Orders to the
Auction Agent as specified by the Auction Agent from time to time.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ssss) &#147;<B>Submitted Bid&#148; and &#147;Submitted Bids</B>&#148; shall have the respective meanings specified in
paragraph (a)&nbsp;of Section&nbsp;3 of Part&nbsp;II of this Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(tttt) &#147;<B>Submitted Hold Order&#148; and &#147;Submitted Hold Orders</B>&#148; shall have the respective meanings
specified in paragraph (a)&nbsp;of Section&nbsp;3 of Part&nbsp;II of this Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(uuuu) &#147;<B>Submitted Order&#148; and &#147;Submitted Orders</B>&#148; shall have the respective meanings specified
in paragraph (a)&nbsp;of Section&nbsp;3 of Part&nbsp;II of this Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vvvv) &#147;<B>Submitted Sell Order&#148; and &#147;Submitted Sell Orders</B>&#148; shall have the respective meanings
specified in paragraph (a)&nbsp;of Section&nbsp;3 of Part&nbsp;II of this Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(wwww) &#147;<B>Subsequent Rate Period</B>,&#148; with respect to shares of a series of MuniPreferred, shall
mean the period from and including the first day following the Initial Rate Period of shares of
such series to but excluding the next Dividend Payment Date for shares of such series and any
period thereafter from and including one Dividend Payment Date for shares of such series to but
excluding the next succeeding Dividend Payment Date for shares of such series; <I>provided</I>, <I>however</I>,
that if any Subsequent Rate Period is also a Special Rate Period, such term shall mean the period
commencing on the first day of such Special Rate Period and ending on the last day of the last
Dividend Period thereof.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxxx) &#147;<B>Substitute Commercial Paper Dealer</B>&#148; shall mean The First Boston Company or Morgan
Stanley &#038; Co. Incorporated or their respective affiliates or successors, if such entity is a
commercial paper dealer; <I>provided</I>, <I>however</I>, that none of such entities shall be a Commercial Paper
Dealer.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(yyyy) &#147;<B>Substitute U.S. Government Securities Dealer</B>&#148; shall mean The First Boston Company and
Merrill Lynch, Pierce, Fenner &#038; Smith Incorporated or their respective affiliates or successors, if
such entity is a U.S. Government securities dealer; <I>provided</I>, <I>however</I>, that none of such entities
shall be a U.S. Government Securities Dealer.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(zzzz) &#147;<B>Sufficient Clearing Bids</B>&#148; shall have the meaning specified in paragraph (a)&nbsp;of
Section&nbsp;3 of Part&nbsp;II of this Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(aaaaa) &#147;<B>Taxable Allocation</B>&#148; shall have the meaning specified in Section&nbsp;3 of Part&nbsp;I of this
Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(bbbbb) &#147;<B>Taxable Equivalent of the Short-Term Municipal Bond Rate</B>,&#148; on any date for any
Minimum Rate Period or Special Rate Period of 28 Rate Period Days or fewer, shall mean 90% of the
quotient of (A)&nbsp;the per annum rate expressed on an interest equivalent basis equal to the Kenny S&#038;P
30&nbsp;day High Grade Index or any successor index (the &#147;Kenny Index&#148;) (<I>provided</I>, <I>however</I>, that any
such successor index must be approved by Moody&#146;s (if Moody&#146;s is then rating the shares of
MuniPreferred) and S&#038;P (if S&#038;P is then rating the shares of MuniPreferred)), made available for the
Business Day immediately preceding such date but in any event not later than 8:30 A.M., New York
City time, on such date by Kenny S&#038;P Evaluation Services or any successor thereto, based upon
30-day yield evaluations at par of short-term bonds the interest on which is excludable for regular
Federal income tax purposes under the Code of &#147;high grade&#148; component issuers selected by Kenny S&#038;P
Evaluation Services or any such successor from time to time in its discretion, which component
issuers shall include, without limitation, issuers of general obligation bonds, but shall exclude
any bonds the interest on which constitutes an item
</DIV>


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<DIV align="left" style="font-size: 10pt; margin-top: 10pt">of tax preference under Section&nbsp;57 (a)(5) of
the Code, or successor provisions, for purposes of the &#147;alternative minimum tax,&#148; divided by
(B)&nbsp;1.00 minus the maximum marginal regular Federal individual income tax rate applicable to
ordinary income or the maximum marginal regular Federal corporate income tax rate applicable to
ordinary income (in each case expressed as a decimal), whichever is greater; <I>provided</I>, <I>however</I>,
that if the Kenny Index is not made so available by 8:30 A.M., New York City time, on such date by
Kenny S&#038;P Evaluation Services or any successor, the Taxable Equivalent of the Short-Term Municipal
Bond Rate shall mean the quotient of (A)&nbsp;the per annum rate expressed on an interest equivalent
basis equal to the most recent Kenny Index so made available for any preceding Business Day,
divided by (B)&nbsp;1.00 minus the maximum marginal regular Federal individual income tax rate
applicable to
ordinary income or the maximum marginal regular Federal corporate income tax rate applicable
to ordinary income (in each case expressed as a decimal), whichever is greater.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ccccc) &#147;<B>Taxable Income</B>&#148; shall have the meaning specified in Section&nbsp;12 of Appendix&nbsp;A hereto.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ddddd) &#147;<B>Treasury Bill</B>&#148; shall mean a direct obligation of the U.S. Government having a
maturity at the time of issuance of 364&nbsp;days or less.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(eeeee) &#147;<B>Treasury Bill Rate</B>,&#148; on any date for any Rate Period, shall mean (i)&nbsp;the bond
equivalent yield, calculated in accordance with prevailing industry convention, of the rate on the
most recently auctioned Treasury Bill with a remaining maturity closest to the length of such Rate
Period, as quoted in The Wall Street Journal on such date for the Business Day next preceding such
date; or (ii)&nbsp;in the event that any such rate is not published in The Wall Street Journal, then the
bond equivalent yield, calculated in accordance with prevailing industry convention, as calculated
by reference to the arithmetic average of the bid price quotations of the most recently auctioned
Treasury Bill with a remaining maturity closest to the length of such Rate Period, as determined by
bid price quotations as of the close of business on the Business Day immediately preceding such
date obtained from the U.S. Government Securities Dealers to the Auction Agent.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(fffff) &#147;<B>Treasury Note</B>&#148; shall mean a direct obligation of the U.S. Government having a
maturity at the time of issuance of five years or less but more than 364&nbsp;days.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ggggg) &#147;<B>Treasury Note Rate</B>,&#148; on any date for any Rate Period, shall mean (i)&nbsp;the yield on the
most recently auctioned Treasury Note with a remaining maturity closest to the length of such Rate
Period, as quoted in The Wall Street Journal on such date for the Business Day next preceding such
date; or (ii)&nbsp;in the event that any such rate is not published in The Wall Street Journal, then the
yield as calculated by reference to the arithmetic average of the bid price quotations of the most
recently auctioned Treasury Note with a remaining maturity closest to the length of such Rate
Period, as determined by bid price quotations as of the close of business on the Business Day
immediately preceding such date obtained from the U.S. Government Securities Dealers to the Auction
Agent. If any U.S. Government Securities Dealer does not quote a rate required to determine the
Treasury Bill Rate or the Treasury Note Rate, the Treasury Bill Rate or the Treasury Note Rate
shall be determined on the basis of the quotation or quotations furnished by the remaining U.S.
Government Securities Dealer or U.S. Government Securities Dealers and any Substitute U.S.
Government Securities Dealers selected by the Fund to provide such rate or rates not being supplied
by any U.S. Government Securities Dealer or U.S. Government Securities Dealers, as the case may be,
or, if the Fund does not select any such Substitute U.S. Government Securities Dealer or Substitute
U.S. Government Securities Dealers, by the remaining U.S. Government Securities Dealer or U.S.
Government Securities Dealers.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(hhhhh) &#147;<B>U.S. Government Securities Dealer</B>&#148; shall mean Lehman Government Securities
Incorporated, Goldman, Sachs &#038; Co., Salomon Brothers Inc and Morgan Guaranty Trust
</DIV>


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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 10pt">Company of New
York or their respective affiliates or successors, if such entity is a U.S. Government securities
dealer.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iiiii) &#147;<B>Valuation Date</B>&#148; shall have the meaning specified in guidelines provided by a rating
agency, as may be amended from time to time by a rating agency, in connection with that rating
agency&#146;s ratings of shares of MuniPreferred.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(jjjjj) &#147;<B>Volatility Factor</B>&#148; shall have the meaning specified in guidelines provided by a
rating agency, as may be amended from time to time by a rating agency, in connection with that
rating agency&#146;s ratings of shares of MuniPreferred.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(kkkkk) &#147;<B>Voting Period</B>&#148; shall have the meaning specified in paragraph (b)&nbsp;of Section&nbsp;5 of Part
I of this Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(lllll) &#147;<B>Winning Bid Rate</B>&#148; shall have the meaning specified in paragraph (a)&nbsp;of Section&nbsp;3 of
Part&nbsp;II of this Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Any additional definitions specifically set forth in Section&nbsp;8 of Appendix&nbsp;A hereto shall be
incorporated herein and made part hereof by reference thereto.
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>PART I</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>1.&nbsp;Number Of Authorized Shares</B>. The number of authorized shares constituting a series of
MuniPreferred shall be as set forth with respect to such series in Section&nbsp;2 of Appendix&nbsp;A hereto.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>2.&nbsp;Dividends</B>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <B>Ranking</B>. The shares of a series of MuniPreferred shall rank on a parity with each other,
with shares of any other series of MuniPreferred and with shares of any other series of Preferred
Shares as to the payment of dividends by the Fund.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <B>Cumulative Cash Dividends</B>. The Holders of shares of MuniPreferred of any series shall be
entitled to receive, when, as and if declared by the Board of Trustees, out of funds legally
available therefor in accordance with the Declaration and applicable law, cumulative cash dividends
at the Applicable Rate for shares of such series, determined as set forth in paragraph (e)&nbsp;of this
Section&nbsp;2, and no more (except to the extent set forth in Section&nbsp;3 of this Part&nbsp;I), payable on the
Dividend Payment Dates with respect to shares of such series determined pursuant to paragraph (d)
of this Section&nbsp;2. Holders of shares of MuniPreferred shall not be entitled to any dividend,
whether payable in cash, property or shares, in excess of full cumulative dividends, as herein
provided, on shares of MuniPreferred. No interest, or sum of money in lieu of interest, shall be
payable in respect of any dividend payment or payments on shares of MuniPreferred which may be in
arrears, and, except to the extent set forth in subparagraph (e)(i) of this Section&nbsp;2, no
additional sum of money shall be payable in respect of any such arrearage.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <B>Dividends Cumulative from Date of Original Issue</B>. Dividends on shares of MuniPreferred of
any series shall accumulate at the Applicable Rate for shares of such series from the Date of
Original Issue thereof.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <B>Dividend Payment Dates And Adjustment Thereof</B>. The Dividend Payment Dates with respect to
shares of a series of MuniPreferred shall be as set forth with respect to shares of such series in
Section&nbsp;9 of Appendix&nbsp;A hereto; <I>provided</I>, <I>however</I>, that:
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) (A)&nbsp;in the case of a series of MuniPreferred designated as &#147;Series&nbsp;F MuniPreferred&#148;
or &#147;Series&nbsp;M MuniPreferred&#148; in Section&nbsp;1 of Appendix&nbsp;A hereto, if the Monday or Tuesday, as
the case may be, on which dividends would otherwise be payable on shares of such series is
not a Business Day, then such dividends shall be payable on such shares on the first
Business Day that falls after such Monday or Tuesday, as the case may be, and (B)&nbsp;in the
case of a series of MuniPreferred designated as &#147;Series&nbsp;T MuniPreferred,&#148; &#147;Series&nbsp;W
MuniPreferred&#148; or &#147;Series&nbsp;TH MuniPreferred&#148; in Section&nbsp;1 of Appendix&nbsp;A hereto, if the
Wednesday, Thursday or Friday, as the case may be, on which dividends would otherwise be
payable on shares of such series is not a Business Day, then such dividends shall be payable
on such shares on the first Business Day that falls prior to such Wednesday, Thursday or
Friday, as the case may be; and
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) notwithstanding Section&nbsp;9 of Appendix&nbsp;A hereto, the Fund in its discretion may
establish the Dividend Payment Dates in respect of any Special Rate Period of shares of a
series of MuniPreferred consisting of more than 28 Rate Period Days; <I>provided</I>, <I>however</I>, that
such dates shall be set forth in the Notice of Special Rate Period relating to such Special
Rate Period, as delivered to the Auction Agent, which Notice of Special Rate Period shall be
filed with the Secretary of the Fund; and further provided that (1)&nbsp;any such Dividend
Payment Date shall be a Business Day and (2)&nbsp;the last Dividend Payment Date in respect of
such Special Rate Period shall be the Business Day immediately following the last day
thereof, as such last day is determined in accordance with paragraph (b)&nbsp;of Section&nbsp;4 of
this Part&nbsp;I.
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;<B>Dividend Rates and Calculation of Dividends</B>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) <B>Dividend Rates</B>. The dividend rate on shares of MuniPreferred of any series during
the period from and after the Date of Original Issue of shares of such series to and
including the last day of the Initial Rate Period of shares of such series shall be equal to
the rate per annum set forth with respect to shares of such series under &#147;Designation&#148; in
Section&nbsp;1 of Appendix&nbsp;A hereto. For each Subsequent Rate Period of shares of such series
thereafter, the dividend rate on shares of such series shall be equal to the rate per annum
that results from an Auction for shares of such series on the Auction Date next preceding
such Subsequent Rate Period; <I>provided</I>, <I>however</I>, that if:
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) an Auction for any such Subsequent Rate Period is not held for any reason
other than as described below, the dividend rate on shares of such series for such
Subsequent Rate Period will be the Maximum Rate for shares of such series on the
Auction Date therefor;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) any Failure to Deposit shall have occurred with respect to shares of such
series during any Rate Period thereof (other than any Special Rate Period consisting
of more than 364 Rate Period Days or any Rate Period succeeding any Special Rate
Period consisting of more than 364 Rate Period Days during which a Failure to
Deposit occurred that has not been cured), but, prior to 12:00 Noon, New York City
time, on the third Business Day next succeeding the date on which such Failure to
Deposit occurred, such Failure to Deposit shall have been cured in accordance with
paragraph (f)&nbsp;of this Section&nbsp;2 and the Fund shall have paid to the Auction Agent a
late charge (&#147;Late Charge&#148;) equal to the sum of (1)&nbsp;if such Failure to Deposit
consisted of the failure timely to pay to the Auction Agent the full amount of
dividends with respect to any Dividend Period of the shares of such series, an
amount computed by multiplying (x)&nbsp;200% of the Reference Rate for the Rate Period
during which such Failure to Deposit occurs on the Dividend Payment Date for such
Dividend Period by (y)&nbsp;a fraction, the numerator of which shall be the number of
days for which such Failure to Deposit has not been cured in accordance with
paragraph (f)&nbsp;of this Section&nbsp;2 (including the day such Failure to Deposit occurs
and excluding the day such Failure to Deposit is cured) and the denominator of which
shall be 360, and applying the rate obtained against the aggregate Liquidation
Preference of the outstanding shares of such series and (2)&nbsp;if such Failure to
Deposit consisted of the failure timely to pay to the Auction Agent the Redemption
Price of the shares, if any, of such series for which Notice of Redemption has been
mailed by the Fund pursuant to paragraph (c)&nbsp;of Section&nbsp;11 of this Part&nbsp;I, an amount
computed by multiplying (x)&nbsp;200% of the Reference Rate for the Rate Period during
which such Failure to Deposit occurs on the redemption date by (y)&nbsp;a fraction, the
numerator of which shall be the number of days for which such Failure to Deposit is
not cured in accordance with paragraph (f)&nbsp;of this Section&nbsp;2 (including the day such
Failure to Deposit occurs and excluding the day such Failure to Deposit is cured)
and the denominator of which shall be 360, and applying the rate obtained against
the aggregate Liquidation Preference of the outstanding shares of such series to be
redeemed, no Auction will be held in respect of shares of such series for the
Subsequent Rate Period thereof and the dividend rate for shares of such series for
such Subsequent Rate Period will be the Maximum Rate for shares of such series on
the Auction Date for such Subsequent Rate Period;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) any Failure to Deposit shall have occurred with respect to shares of such
series during any Rate Period thereof (other than any Special Rate Period
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">consisting of more than 364 Rate Period Days or any Rate Period succeeding any
Special Rate Period consisting of more than 364 Rate Period Days during which a
Failure to Deposit occurred that has not been cured), and, prior to 12:00 Noon, New
York City time, on the third Business Day next succeeding the date on which such
Failure to Deposit occurred, such Failure to Deposit shall not have been cured in
accordance with paragraph (f)&nbsp;of this Section&nbsp;2 or the Fund shall not have paid the
applicable Late Charge to the Auction Agent, no Auction will be held in respect of
shares of such series for the first Subsequent Rate Period thereof thereafter (or
for any Rate Period thereof thereafter to and including the Rate Period during which
(1)&nbsp;such Failure to Deposit is cured in accordance with paragraph (f)&nbsp;of this
Section&nbsp;2 and (2)&nbsp;the Fund pays the applicable Late Charge to the Auction Agent (the
condition set forth in this clause (2)&nbsp;to apply only in the event Moody&#146;s is rating
such shares at the time the Fund cures such Failure to Deposit), in each case no
later than 12:00 Noon, New York City time, on the fourth Business Day prior to the
end of such Rate Period), and the dividend rate for shares of such series for each
such Subsequent Rate Period shall be a rate per annum equal to the Maximum Rate for
shares of such series on the Auction Date for such Subsequent Rate Period (but with
the prevailing rating for shares of such series, for purposes of determining such
Maximum Rate, being deemed to be &#147;Below &#147;ba3"/BB2&#148;); or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) any Failure to Deposit shall have occurred with respect to shares of such
series during a Special Rate Period thereof consisting of more than 364 Rate Period
Days, or during any Rate Period thereof succeeding any Special Rate Period
consisting of more than 364 Rate Period Days during which a Failure to Deposit
occurred that has not been cured, and, prior to 12:00 Noon, New York City time, on
the fourth Business Day preceding the Auction Date for the Rate Period subsequent to
such Rate Period, such Failure to Deposit shall not have been cured in accordance
with paragraph (f)&nbsp;of this Section&nbsp;2 or, in the event Moody&#146;s is then rating such
shares, the Fund shall not have paid the applicable Late Charge to the Auction Agent
(such Late Charge, for purposes of this subparagraph (D), to be calculated by using,
as the Reference Rate, the Reference Rate applicable to a Rate Period (x)&nbsp;consisting
of more than 182 Rate Period Days but fewer than 365 Rate Period Days and
(y)&nbsp;commencing on the date on which the Rate Period during which Failure to Deposit
occurs commenced), no Auction will be held in respect of shares of such series for
such Subsequent Rate Period (or for any Rate Period thereof thereafter to and
including the Rate Period during which (1)&nbsp;such Failure to Deposit is cured in
accordance with paragraph (f)&nbsp;of this Section&nbsp;2 and (2)&nbsp;the Fund pays the applicable
Late Charge to the Auction Agent (the condition set forth in this clause (2)&nbsp;to
apply only in the event Moody&#146;s is rating such shares at the time the Fund cures
such Failure to Deposit), in each case no later than 12:00 Noon, New York City time,
on the fourth Business Day prior to the end of such Rate Period), and the dividend
rate for shares of such series for each such Subsequent Rate Period shall be a rate
per annum equal to the Maximum Rate for shares of such series on the Auction Date
for such Subsequent Rate Period (but with the prevailing rating for shares of such
series, for purposes of determining such Maximum Rate, being deemed to be &#147;Below
&#147;ba3"/BB2&#148;) (the rate per annum at which dividends are payable on shares of a series
of MuniPreferred for any Rate Period thereof being herein referred to as the
&#147;Applicable Rate&#148; for shares of such series).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) <B>Calculation of Dividends</B>. The amount of dividends per share payable on shares of
a series of MuniPreferred on any date on which dividends shall be payable on shares of such
series shall be computed by multiplying the Applicable Rate for shares of such series in
effect for such Dividend Period or Dividend Periods or part thereof for which dividends have
not
</DIV>


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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 10pt">been paid by a fraction, the numerator of which shall be the number of days in such
Dividend Period or Dividend Periods or part thereof and the denominator of which shall be
365 if such Dividend Period consists of 7 Rate Period Days and 360 for all other Dividend
Periods, and applying the rate obtained against $25,000.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) <B>Curing a Failure to Deposit</B>. A Failure to Deposit with respect to shares of a series of
MuniPreferred shall have been cured (if such Failure to Deposit is not solely due to the willful
failure of the Fund to make the required payment to the Auction Agent) with respect to any Rate
Period of shares of such series if, within the respective time periods described in
subparagraph (e)(i) of this Section&nbsp;2, the Fund shall have paid to the Auction Agent (A)&nbsp;all
accumulated and unpaid dividends on shares of such series and (B)&nbsp;without duplication, the
Redemption Price for shares, if any, of such series for which Notice of Redemption has been mailed
by the Fund pursuant to paragraph (c)&nbsp;of Section&nbsp;11 of Part&nbsp;I of this Statement; <I>provided</I>, <I>however</I>,
that the foregoing clause (B)&nbsp;shall not apply to the Fund&#146;s failure to pay the Redemption Price in
respect of shares of MuniPreferred when the related Redemption Notice provides that redemption of
such shares is subject to one or more conditions precedent and any such condition precedent shall
not have been satisfied at the time or times and in the manner specified in such Notice of
Redemption.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) <B>Dividend Payments by Fund to Auction Agent</B>. The Fund shall pay to the Auction Agent, not
later than 12:00 Noon, New York City time, on the Business Day next preceding each Dividend Payment
Date for shares of a series of MuniPreferred, an aggregate amount of funds available on the next
Business Day in The City of New York, New York, equal to the dividends to be paid to all Holders of
shares of such series on such Dividend Payment Date.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) <B>Auction Agent as Trustee of Dividend Payments by Fund</B>. All moneys paid to the Auction
Agent for the payment of dividends (or for the payment of any Late Charge) shall be held in trust
for the payment of such dividends (and any such Late Charge) by the Auction Agent for the benefit
of the Holders specified in paragraph (i)&nbsp;of this Section&nbsp;2. Any moneys paid to the Auction Agent
in accordance with the foregoing but not applied by the Auction Agent to the payment of dividends
(and any such Late Charge) will, to the extent permitted by law, be repaid to the Fund at the end
of 90&nbsp;days from the date on which such moneys were so to have been applied.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) <B>Dividends Paid to Holders</B>. Each dividend on shares of MuniPreferred shall be paid on the
Dividend Payment Date therefor to the Holders thereof as their names appear on the record books of
the Fund on the Business Day next preceding such Dividend Payment Date.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) <B>Dividends Credited Against Earliest Accumulated but Unpaid Dividends</B>. Any dividend
payment made on shares of MuniPreferred shall first be credited against the earliest accumulated
but unpaid dividends due with respect to such shares. Dividends in arrears for any past Dividend
Period may be declared and paid at any time, without reference to any regular Dividend Payment
Date, to the Holders as their names appear on the record books of the Fund on such date, not
exceeding 15&nbsp;days preceding the payment date thereof, as may be fixed by the Board of Trustees.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) <B>Dividends Designated As Exempt-Interest Dividends</B>. Dividends on shares of MuniPreferred
shall be designated as exempt-interest dividends up to the amount of tax-exempt income of the Fund,
to the extent permitted by, and for purposes of, Section&nbsp;852 of the Code.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>3.&nbsp;Gross-Up Payments</B>. Holders of shares of MuniPreferred shall be entitled to receive, when,
as and if declared by the Board of Trustees, out of funds legally available therefor, dividends in
an amount equal to the aggregate Gross-up Payments as follows:
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <B>Minimum Rate Periods and Special Rate Periods of 28 Rate Period Days or Fewer</B>. If, in the
case of any Minimum Rate Period or any Special Rate Period of 28 Rate Period Days or fewer, the
Fund allocates any net capital gains or other income taxable for Federal income tax purposes to a
dividend paid on shares of MuniPreferred without having given advance notice thereof to the Auction
Agent as provided in Section&nbsp;5 of Part&nbsp;II of this Statement (such allocation being referred to
herein as a &#147;Taxable Allocation&#148;) solely by reason of the fact that such allocation is made
retroactively as a result of the redemption of all or a portion of the outstanding shares of
MuniPreferred or the liquidation of the Fund, the Fund shall, prior to the end of the calendar year
in which such dividend was paid, provide notice thereof to the Auction Agent and direct the Fund&#146;s
dividend disbursing agent to send such notice with a Gross-up Payment to each Holder of such shares
that was entitled to such dividend payment during such calendar year at such Holder&#146;s address as
the same appears or last appeared on the record books of the Fund.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <B>Special Rate Periods of More Than 28 Rate Period Days</B>. If, in the case of any Special
Rate Period of more than 28 Rate Period Days, the Fund makes a Taxable Allocation to a dividend
paid on shares of MuniPreferred, the Fund shall, prior to the end of the calendar year in which
such dividend was paid, provide notice thereof to the Auction Agent and direct the Fund&#146;s dividend
disbursing agent to send such notice with a Gross-up Payment to each Holder of shares that was
entitled to such dividend payment during such calendar year at such Holder&#146;s address as the same
appears or last appeared on the record books of the Fund.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <B>No Gross-Up Payments in the Event of a Reallocation</B>. The Fund shall not be required to
make Gross-up Payments with respect to any net capital gains or other taxable income determined by
the Internal Revenue Service to be allocable in a manner different from that allocated by the Fund.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>4.&nbsp;Designation of Special Rate Periods</B>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <B>Length of and Preconditions for Special Rate Period</B>. The Fund, at its option, may
designate any succeeding Subsequent Rate Period of shares of a series of MuniPreferred as a Special
Rate Period consisting of a specified number of Rate Period Days evenly divisible by seven and not
more than 1,820, subject to adjustment as provided in paragraph (b)&nbsp;of this Section&nbsp;4. A
designation of a Special Rate Period shall be effective only if (A)&nbsp;notice thereof shall have been
given in accordance with paragraph (c)&nbsp;and subparagraph (d)(i) of this Section&nbsp;4, (B)&nbsp;an Auction
for shares of such series shall have been held on the Auction Date immediately preceding the first
day of such proposed Special Rate Period and Sufficient Clearing Bids for shares of such series
shall have existed in such Auction, and (C)&nbsp;if any Notice of Redemption shall have been mailed by
the Fund pursuant to paragraph (c)&nbsp;of Section&nbsp;11 of this Part&nbsp;I with respect to any shares of such
series, the Redemption Price with respect to such shares shall have been deposited with the Auction
Agent. In the event the Fund wishes to designate any succeeding Subsequent Rate Period for shares
of a series of MuniPreferred as a Special Rate Period consisting of more than 28 Rate Period Days,
the Fund shall notify S&#038;P (if S&#038;P is then rating such series) and Moody&#146;s (if Moody&#146;s is then
rating such series) in advance of the commencement of such Subsequent Rate Period that the Fund
wishes to designate such Subsequent Rate Period as a Special Rate Period and shall provide S&#038;P (if
S&#038;P is then rating such series) and Moody&#146;s (if Moody&#146;s is then rating such series) with such
documents as either may request.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <B>Adjustment Of Length Of Special Rate Period</B>. In the event the Fund wishes to designate a
Subsequent Rate Period as a Special Rate Period, but the day following what would otherwise be the
last day of such Special Rate Period is not (a)&nbsp;a Tuesday that is a Business Day in the case of a
series of MuniPreferred designated as &#147;Series&nbsp;M MuniPreferred&#148; in Section&nbsp;1 of Appendix&nbsp;A hereto,
(b)&nbsp;a Wednesday that is a Business Day in the case of a series of MuniPreferred designated as
</DIV>


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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 10pt">&#147;Series&nbsp;T MuniPreferred&#148; in Section&nbsp;1 of Appendix&nbsp;A hereto, (c)&nbsp;a Thursday that is a Business
Day in the case of a series of MuniPreferred designated as &#147;Series&nbsp;W MuniPreferred&#148; in Section&nbsp;1 of
Appendix&nbsp;A hereto, (d)&nbsp;a Friday that is a Business Day in the case of a series of MuniPreferred
designated as &#147;Series&nbsp;TH MuniPreferred&#148; in Section&nbsp;1 of Appendix&nbsp;A hereto, or (e)&nbsp;a Monday that is
a Business Day in the case of a series of MuniPreferred designated as &#147;Series&nbsp;F MuniPreferred&#148; in
Section&nbsp;1 of Appendix&nbsp;A hereto, then the Fund shall designate such Subsequent Rate Period as a
Special Rate Period consisting of the period commencing on the first day following the end of the
immediately preceding Rate Period and ending (a)&nbsp;on the first Monday that is followed by a Tuesday
that is a Business Day preceding what would otherwise be such last day, in the case of Series&nbsp;M
MuniPreferred, (b)&nbsp;on the first Tuesday that is followed by a Wednesday that is a Business Day
preceding what would otherwise be such last day, in the case of Series&nbsp;T MuniPreferred, (c)&nbsp;on the
first Wednesday that is followed by a Thursday that is a Business Day preceding what would
otherwise be such last day, in the case of Series&nbsp;W MuniPreferred, (d)&nbsp;on the first Thursday that
is followed by a Friday that is a Business Day preceding what would otherwise be such last day, in
the case of Series&nbsp;TH MuniPreferred, and (e)&nbsp;on the first Sunday that is followed by a Monday that
is a Business Day preceding what would otherwise be such last day, in the case of Series&nbsp;F
MuniPreferred.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <B>Notice of Proposed Special Rate Period</B>. If the Fund proposes to designate any succeeding
Subsequent Rate Period of shares of a series of MuniPreferred as a Special Rate Period pursuant to
paragraph (a)&nbsp;of this Section&nbsp;4, not less than 20 (or such lesser number of days as may be agreed
to from time to time by the Auction Agent) nor more than 30&nbsp;days prior to the date the Fund
proposes to designate as the first day of such Special Rate Period (which shall be such day that
would otherwise be the first day of a Minimum Rate Period), notice shall be (i)&nbsp;published or caused
to be published by the Fund in a newspaper of general circulation to the financial community in The
City of New York, New York, which carries financial news, and (ii)&nbsp;mailed by the Fund by
first-class mail, postage prepaid, to the Holders of shares of such series. Each such notice shall
state (A)&nbsp;that the Fund may exercise its option to designate a succeeding Subsequent Rate Period of
shares of such series as a Special Rate Period, specifying the first day thereof and (B)&nbsp;that the
Fund will, by 11:00&nbsp;A.M., New York City time, on the second Business Day next preceding such date
(or by such later time or date, or both, as may be agreed to by the Auction Agent) notify the
Auction Agent of either (x)&nbsp;its determination, subject to certain conditions, to exercise such
option, in which case the Fund shall specify the Special Rate Period designated, or (y)&nbsp;its
determination not to exercise such option.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <B>Notice of Special Rate Period</B>. No later than 11:00&nbsp;A.M., New York City time, on the
second Business Day next preceding the first day of any proposed Special Rate Period of shares of a
series of MuniPreferred as to which notice has been given as set forth in paragraph (c)&nbsp;of this
Section&nbsp;4 (or such later time or date, or both, as may be agreed to by the Auction Agent), the Fund
shall deliver to the Auction Agent either:
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) a notice (&#147;Notice of Special Rate Period&#148;) stating (A)&nbsp;that the Fund has determined
to designate the next succeeding Rate Period of shares of such series as a Special Rate
Period, specifying the same and the first day thereof, (B)&nbsp;the Auction Date immediately
prior to the first day of such Special Rate Period, (C)&nbsp;that such Special Rate Period shall
not commence if (1)&nbsp;an Auction for shares of such series shall not be held on such Auction
Date for any reason or (2)&nbsp;an Auction for shares of such series shall be held on such
Auction Date but Sufficient Clearing Bids for shares of such series shall not exist in such
Auction, (D)&nbsp;the scheduled Dividend Payment Dates for shares of such series during such
Special Rate Period and (E)&nbsp;the Special Redemption Provisions, if any, applicable to shares
of such series in respect of such Special Rate Period, such notice to be accompanied by a
MuniPreferred Basic Maintenance Report showing that, as of the third Business Day next
preceding such proposed Special Rate Period, Moody&#146;s Eligible Assets (if Moody&#146;s is then
rating such series) and S&#038;P Eligible Assets
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">(if S&#038;P is then rating such series) each have an aggregate Discounted Value at least
equal to the MuniPreferred Basic Maintenance Amount as of such Business Day (assuming for
purposes of the foregoing calculation that (a)&nbsp;the Maximum Rate is the Maximum Rate on such
Business Day as if such Business Day were the Auction Date for the proposed Special Rate
Period, and (b)&nbsp;the Moody&#146;s Discount Factors applicable to Moody&#146;s Eligible Assets are
determined by reference to the first Exposure Period longer than the Exposure Period then
applicable to the Fund, as described in the definition of Moody&#146;s Discount Factor herein);
or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) a notice stating that the Fund has determined not to exercise its option to
designate a Special Rate Period of shares of such series and that the next succeeding Rate
Period of shares of such series shall be a Minimum Rate Period.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <B>Failure to Deliver Notice of Special Rate Period</B>. If the Fund fails to deliver either of
the notices described in subparagraphs (d)(i) or (d)(ii) of this Section&nbsp;4 (and, in the case of the
notice described in subparagraph (d)(i) of this Section&nbsp;4, a MuniPreferred Basic Maintenance Report
to the effect set forth in such subparagraph (if either Moody&#146;s or S&#038;P is then rating the series in
question)) with respect to any designation of any proposed Special Rate Period to the Auction Agent
by 11:00&nbsp;A.M., New York City time, on the second Business Day next preceding the first day of such
proposed Special Rate Period (or by such later time or date, or both, as may be agreed to by the
Auction Agent), the Fund shall be deemed to have delivered a notice to the Auction Agent with
respect to such Special Rate Period to the effect set forth in subparagraph (d)(ii) of this
Section&nbsp;4. In the event the Fund delivers to the Auction Agent a notice described in
subparagraph (d)(i) of this Section&nbsp;4, it shall file a copy of such notice with the Secretary of
the Fund, and the contents of such notice shall be binding on the Fund. In the event the Fund
delivers to the Auction Agent a notice described in subparagraph (d)(ii) of this Section&nbsp;4, the
Fund will provide Moody&#146;s (if Moody&#146;s is then rating the series in question) and S&#038;P (if S&#038;P is
then rating the series in question) a copy of such notice.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>5.&nbsp;Voting Rights</B>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <B>One Vote Per Share of MuniPreferred</B>. Except as otherwise provided in the Declaration of
Trust or as otherwise required by law, (i)&nbsp;each Holder of shares of MuniPreferred shall be entitled
to one vote for each share of MuniPreferred held by such Holder on each matter submitted to a vote
of shareholders of the Fund, and (ii)&nbsp;the holders of outstanding Preferred Shares, including each
share of MuniPreferred, and of Common Shares shall vote together as a single class; <I>provided</I>,
<I>however</I>, that, at any meeting of the shareholders of the Fund held for the election of trustees,
the holders of outstanding Preferred Shares, including MuniPreferred, represented in person or by
proxy at said meeting, shall be entitled, as a class, to the exclusion of the holders of all other
securities and classes of shares of beneficial interest of the Fund, to elect two trustees of the
Fund, each Preferred Share, including each share of MuniPreferred, entitling the holder thereof to
one vote. Subject to paragraph (b)&nbsp;of this Section&nbsp;5, the holders of outstanding Common Shares and
Preferred Shares, including MuniPreferred, voting together as a single class, shall elect the
balance of the trustees.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <B>Voting for Additional Trustees</B>.
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) <B>Voting Period</B>. During any period in which any one or more of the conditions
described in subparagraphs (A)&nbsp;or (B)&nbsp;of this subparagraph (b)(i) shall exist (such period
being referred to herein as a &#147;Voting Period&#148;), the number of trustees constituting the
Board of Trustees shall be automatically increased by the smallest number that, when added
to the two trustees elected exclusively by the holders of Preferred Shares, including shares
of MuniPreferred, would constitute a majority of the Board of Trustees as so increased by
such smallest number; and the holders of Preferred Shares, including MuniPreferred, shall be
entitled, voting as a class on a one-vote-per-share basis (to the exclusion of the holders
of all other
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">securities and classes of shares of beneficial interest of the Fund), to elect such
smallest number of additional trustees, together with the two trustees that such holders are
in any event entitled to elect. A Voting Period shall commence:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) if at the close of business on any dividend payment date accumulated
dividends (whether or not earned or declared) on any outstanding Preferred Share,
including MuniPreferred, equal to at least two full years&#146; dividends shall be due
and unpaid and sufficient cash or specified securities shall not have been deposited
with the Auction Agent for the payment of such accumulated dividends; or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) if at any time holders of Preferred Shares are entitled under the 1940 Act
to elect a majority of the trustees of the Fund.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Upon the termination of a Voting Period, the voting rights described in this
subparagraph (b)(i) shall cease, subject always, however, to the revesting of such voting
rights in the Holders upon the further occurrence of any of the events described in this
subparagraph (b)(i).
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) <B>Notice of Special Meeting</B>. As soon as practicable after the accrual of any right
of the holders of Preferred Shares to elect additional trustees as described in
subparagraph (b)(i) of this Section&nbsp;5, the Fund shall notify the Auction Agent and the
Auction Agent shall call a special meeting of such holders, by mailing a notice of such
special meeting to such holders, such meeting to be held not less than 10 nor more than 20
days after the date of mailing of such notice. If the Fund fails to send such notice to the
Auction Agent or if the Auction Agent does not call such a special meeting, it may be called
by any such holder on like notice. The record date for determining the holders entitled to
notice of and to vote at such special meeting shall be the close of business on the fifth
Business Day preceding the day on which such notice is mailed. At any such special meeting
and at each meeting of holders of Preferred Shares held during a Voting Period at which
trustees are to be elected, such holders, voting together as a class (to the exclusion of
the holders of all other securities and classes of shares of beneficial interest of the
Fund), shall be entitled to elect the number of trustees prescribed in subparagraph (b)(i)
of this Section&nbsp;5 on a one-vote-per-share basis.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) <B>Terms of Office of Existing Trustees</B>. The terms of office of all persons who are
trustees of the Fund at the time of a special meeting of Holders and holders of other
Preferred Shares to elect trustees shall continue, notwithstanding the election at such
meeting by the Holders and such other holders of the number of trustees that they are
entitled to elect, and the persons so elected by the Holders and such other holders,
together with the two incumbent trustees elected by the Holders and such other holders of
Preferred Shares and the remaining incumbent trustees elected by the holders of the Common
Shares and Preferred Shares, shall constitute the duly elected trustees of the Fund.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) <B>Terms of Office of Certain Trustees to Terminate Upon Termination of Voting
Period</B>. Simultaneously with the termination of a Voting Period, the terms of office of the
additional trustees elected by the Holders and holders of other Preferred Shares pursuant to
subparagraph (b)(i) of this Section&nbsp;5 shall terminate, the remaining trustees shall
constitute the trustees of the Fund and the voting rights of the Holders and such other
holders to elect additional trustees pursuant to subparagraph (b)(i) of this Section&nbsp;5 shall
cease, subject to the provisions of the last sentence of subparagraph (b)(i) of this
Section&nbsp;5.
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;<B>Holders of MuniPreferred to Vote on Certain other Matters</B>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) <B>Increases in Capitalization</B>. So long as any shares of MuniPreferred are
outstanding, the Fund shall not, without the affirmative vote or consent of the Holders of
at least a majority of the shares of MuniPreferred outstanding at the time, in person or by
proxy, either in writing or at a meeting, voting as a separate class: (a)&nbsp;authorize, create
or issue any class or series of shares ranking prior to or on a parity with shares of
MuniPreferred with respect to the payment of dividends or the distribution of assets upon
dissolution, liquidation or winding up of the affairs of the Fund, or authorize, create or
issue additional shares of any series of MuniPreferred (except that, notwithstanding the
foregoing, but subject to the provisions of paragraph (c)&nbsp;of Section&nbsp;10 of this Part&nbsp;I, the
Board of Trustees, without the vote or consent of the Holders of MuniPreferred, may from
time to time authorize and create, and the Fund may from time to time issue additional
shares of, any series of MuniPreferred, or classes or series of Preferred Shares ranking on
a parity with shares of MuniPreferred with respect to the payment of dividends and the
distribution of assets upon dissolution, liquidation or winding up of the affairs of the
Fund; <I>provided</I>, <I>however</I>, that if Moody&#146;s or S&#038;P is not then rating the shares of
MuniPreferred, the aggregate liquidation preference of all Preferred Shares of the Fund
outstanding after any such issuance, exclusive of accumulated and unpaid dividends, may not
exceed the amount set forth in Section&nbsp;10 of Appendix&nbsp;A hereto) or (b)&nbsp;amend, alter or
repeal the provisions of the Declaration, or this Statement, whether by merger,
consolidation or otherwise, so as to affect any preference, right or power of such shares of
MuniPreferred or the Holders thereof; <I>provided</I>, <I>however</I>, that (i)&nbsp;none of the actions
permitted by the exception to (a)&nbsp;above will be deemed to affect such preferences, rights or
powers, (ii)&nbsp;a division of a share of MuniPreferred will be deemed to affect such
preferences, rights or powers only if the terms of such division adversely affect the
Holders of shares of MuniPreferred and (iii)&nbsp;the authorization, creation and issuance of
classes or series of shares ranking junior to shares of MuniPreferred with respect to the
payment of dividends and the distribution of assets upon dissolution, liquidation or winding
up of the affairs of the Fund, will be deemed to affect such preferences, rights or powers
only if Moody&#146;s or S&#038;P is then rating shares of MuniPreferred and such issuance would, at
the time thereof, cause the Fund not to satisfy the 1940 Act MuniPreferred Asset Coverage or
the MuniPreferred Basic Maintenance Amount. So long as any shares of MuniPreferred are
outstanding, the Fund shall not, without the affirmative vote or consent of the Holders of
at least 66 2/3% of the shares of MuniPreferred outstanding at the time, in person or by
proxy, either in writing or at a meeting, voting as a separate class, file a voluntary
application for relief under Federal bankruptcy law or any similar application under state
law for so long as the Fund is solvent and does not foresee becoming insolvent. If any
action set forth above would adversely affect the rights of one or more series (the
&#147;Affected Series&#148;) of MuniPreferred in a manner different from any other series of
MuniPreferred, the Fund will not approve any such action without the affirmative vote or
consent of the Holders of at least a majority of the shares of each such Affected Series
outstanding at the time, in person or by proxy, either in writing or at a meeting (each such
Affected Series voting as a separate class).
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) <B>1940 Act Matters</B>. Unless a higher percentage is provided for in the Declaration,
(A)&nbsp;the affirmative vote of the Holders of at least a majority of the Preferred Shares,
including MuniPreferred, outstanding at the time, voting as a separate class, shall be
required to approve any conversion of the Fund from a closed-end to an open-end investment
company and (B)&nbsp;the affirmative vote of the Holders of a &#147;majority of the outstanding
Preferred Shares,&#148; including MuniPreferred, voting as a separate class, shall be required to
approve any plan of reorganization (as such term is used in the 1940 Act) adversely
affecting such shares. The affirmative vote of the Holders of a &#147;majority of the
outstanding Preferred Shares,&#148; including MuniPreferred, voting as a separate class, shall be
required to approve any action not described in
</DIV>


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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">the first sentence of this Section&nbsp;5(c)(ii) requiring a vote of security holders of the
Fund under Section 13(a) of the 1940 Act. For purposes of the foregoing, &#147;majority of the
outstanding Preferred Shares&#148; means (i)&nbsp;67% or more of such shares present at a meeting, if
the Holders of more than 50% of such shares are present or represented by proxy, or
(ii)&nbsp;more than 50% of such shares, whichever is less. In the event a vote of Holders of
MuniPreferred is required pursuant to the provisions of Section 13(a) of the 1940 Act, the
Fund shall, not later than ten Business Days prior to the date on which such vote is to be
taken, notify Moody&#146;s (if Moody&#146;s is then rating the shares of MuniPreferred) and S&#038;P (if
S&#038;P is then rating the shares of MuniPreferred) that such vote is to be taken and the nature
of the action with respect to which such vote is to be taken. The Fund shall, not later
than ten Business Days after the date on which such vote is taken, notify Moody&#146;s (if
Moody&#146;s is then rating the shares of MuniPreferred) of the results of such vote.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <B>Board may Take Certain Actions Without Shareholder Approval</B>. The Board of Trustees,
without the vote or consent of the shareholders of the Fund, may from time to time amend, alter or
repeal any or all of the definitions of the terms listed below, or any provision of this Statement
viewed by Moody&#146;s or S&#038;P as a predicate for any such definition, and any such amendment, alteration
or repeal will not be deemed to affect the preferences, rights or powers of shares of MuniPreferred
or the Holders thereof; <I>provided</I>, <I>however</I>, that the Board of Trustees receives written confirmation
from Moody&#146;s (such confirmation being required to be obtained only in the event Moody&#146;s is rating
the shares of MuniPreferred and in no event being required to be obtained in the case of the
definitions of (x)&nbsp;Deposit Securities, Discounted Value, Receivables for Municipal Obligations
Sold, Issue Type Category and Other Issues as such terms apply to S&#038;P Eligible Assets and (y)&nbsp;S&#038;P
Discount Factor, S&#038;P Eligible Asset, S&#038;P Exposure Period and S&#038;P Volatility Factor) and S&#038;P (such
confirmation being required to be obtained only in the event S&#038;P is rating the shares of
MuniPreferred and in no event being required to be obtained in the case of the definitions of
(x)&nbsp;Discounted Value, Receivables for Municipal Obligations Sold, Issue Type Category and Other
Issues as such terms apply to Moody&#146;s Eligible Assets, and (y)&nbsp;Moody&#146;s Discount Factor, Moody&#146;s
Eligible Asset, Moody&#146;s Exposure Period and Moody&#146;s Volatility Factor) that any such amendment,
alteration or repeal would not impair the ratings then assigned by Moody&#146;s or S&#038;P, as the case may
be, to shares of MuniPreferred:
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="45%">&nbsp;</TD>
    <TD width="10%">&nbsp;</TD>
    <TD width="45%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:30px; text-indent:-15px">Deposit Securities
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Moody&#146;s Volatility Factor</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:30px; text-indent:-15px">Discounted Value
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">1940 Act Cure Date</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:30px; text-indent:-15px">Escrowed Bonds
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">1940 Act MuniPreferred Asset Coverage</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:30px; text-indent:-15px">Issue Type Category
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Other Issues</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:30px; text-indent:-15px">Market Value
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Quarterly Valuation Date</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:30px; text-indent:-15px">Maximum Potential Gross-up Payment Liability
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Receivables for Municipal Obligations Sold</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:30px; text-indent:-15px">MuniPreferred Basic Maintenance Amount
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">S&#038;P Discount Factor</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:30px; text-indent:-15px">MuniPreferred Basic Maintenance Cure Date
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">S&#038;P Eligible Asset</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:30px; text-indent:-15px">MuniPreferred Basic Maintenance Report
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">S&#038;P Exposure Period</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:30px; text-indent:-15px">Moody&#146;s Discount Factor
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">S&#038;P Volatility Factor</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:30px; text-indent:-15px">Moody&#146;s Eligible Asset
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Valuation Date</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:30px; text-indent:-15px">Moody&#146;s Exposure Period
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Volatility Factor</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:30px; text-indent:-15px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Section&nbsp;13 of Appendix&nbsp;A hereto</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <B>Voting Rights Set Forth Herein Are Sole Voting Rights</B>. Unless otherwise required by law,
the Holders of shares of MuniPreferred shall not have any relative rights or preferences or other
special rights other than those specifically set forth herein.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) <B>No Preemptive Rights Or Cumulative Voting</B>. The Holders of shares of MuniPreferred shall
have no preemptive rights or rights to cumulative voting.
</DIV>


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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) <B>Voting For Trustees Sole Remedy For Fund&#146;s Failure To Pay Dividends</B>. In the event that
the Fund fails to pay any dividends on the shares of MuniPreferred, the exclusive remedy of the
Holders shall be the right to vote for trustees pursuant to the provisions of this Section&nbsp;5.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) <B>Holders Entitled to Vote</B>. For purposes of determining any rights of the Holders to vote
on any matter, whether such right is created by this Statement, by the other provisions of the
Declaration, by statute or otherwise, no Holder shall be entitled to vote any share of
MuniPreferred and no share of MuniPreferred shall be deemed to be &#147;outstanding&#148; for the purpose of
voting or determining the number of shares required to constitute a quorum if, prior to or
concurrently with the time of determination of shares entitled to vote or shares deemed outstanding
for quorum purposes, as the case may be, the requisite Notice of Redemption with respect to such
shares shall have been mailed as provided in paragraph (c)&nbsp;of Section&nbsp;11 of this Part&nbsp;I and the
Redemption Price for the redemption of such shares shall have been deposited in trust with the
Auction Agent for that purpose. No share of MuniPreferred held by the Fund or any affiliate of the
Fund (except for shares held by a Broker-Dealer that is an affiliate of the Fund for the account of
its customers) shall have any voting rights or be deemed to be outstanding for voting or other
purposes.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>6.&nbsp;1940 Act MuniPreferred Asset Coverage</B>. The Fund shall maintain, as of the last Business
Day of each month in which any share of MuniPreferred is outstanding, the 1940 Act MuniPreferred
Asset Coverage.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>7.&nbsp;MuniPreferred Basic Maintenance Amount</B>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;So long as shares of MuniPreferred are outstanding, the Fund shall maintain, on each
Valuation Date, and shall verify to its satisfaction that it is maintaining on such Valuation Date,
(i)&nbsp;S&#038;P Eligible Assets having an aggregate Discounted Value equal to or greater than the
MuniPreferred Basic Maintenance Amount (if S&#038;P is then rating the shares of MuniPreferred) and
(ii)&nbsp;Moody&#146;s Eligible Assets having an aggregate Discounted Value equal to or greater than the
MuniPreferred Basic Maintenance Amount (if Moody&#146;s is then rating the shares of MuniPreferred).
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;On or before 5:00 P.M., New York City time, on the third Business Day after a Valuation
Date on which the Fund fails to satisfy the MuniPreferred Basic Maintenance Amount, and on the
third Business Day after the MuniPreferred Basic Maintenance Cure Date with respect to such
Valuation Date, the Fund shall complete and deliver to S&#038;P (if S&#038;P is then rating the shares of
MuniPreferred), Moody&#146;s (if Moody&#146;s is then rating the shares of MuniPreferred) and the Auction
Agent (if either S&#038;P or Moody&#146;s is then rating the shares of MuniPreferred) a MuniPreferred Basic
Maintenance Report as of the date of such failure or such MuniPreferred Basic Maintenance Cure
Date, as the case may be, which will be deemed to have been delivered to the Auction Agent if the
Auction Agent receives a copy or telecopy, telex or other electronic transcription thereof and on
the same day the Fund mails to the Auction Agent for delivery on the next Business Day the full
MuniPreferred Basic Maintenance Report. The Fund shall also deliver a MuniPreferred Basic
Maintenance Report to (i)&nbsp;the Auction Agent (if either Moody&#146;s or S&#038;P is then rating the shares of
MuniPreferred) as of (A)&nbsp;the fifteenth day of each month (or, if such day is not a Business Day,
the next succeeding Business Day) and (B)&nbsp;the last Business Day of each month, (ii)&nbsp;Moody&#146;s (if
Moody&#146;s is then rating the shares of MuniPreferred) and S&#038;P (if S&#038;P is then rating the shares of
MuniPreferred) as of any Quarterly Valuation Date, in each case on or before the third Business Day
after such day, and (iii)&nbsp;S&#038;P, if and when requested for any Valuation Date, on or before the third
Business Day after such request. A failure by the Fund to deliver a MuniPreferred Basic
Maintenance Report pursuant to the preceding sentence shall be deemed to be delivery of a
MuniPreferred Basic Maintenance Report indicating the Discounted Value for all assets of the Fund
is less than the MuniPreferred Basic Maintenance Amount, as of the relevant Valuation Date.
</DIV>


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<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;Within ten Business Days after the date of delivery of a MuniPreferred Basic Maintenance
Report in accordance with paragraph (b)&nbsp;of this Section&nbsp;7 relating to a Quarterly Valuation Date,
the Fund shall cause the Independent Accountant to confirm in writing to S&#038;P (if S&#038;P is then rating
the shares of MuniPreferred), Moody&#146;s (if Moody&#146;s is then rating the shares of MuniPreferred) and
the Auction Agent (if either S&#038;P or Moody&#146;s is then rating the shares of MuniPreferred) (i)&nbsp;the
mathematical accuracy of the calculations reflected in such Report (and in any other MuniPreferred
Basic Maintenance Report, randomly selected by the Independent Accountant, that was delivered by
the Fund during the quarter ending on such Quarterly Valuation Date), (ii)&nbsp;that, in such Report
(and in such randomly selected Report), the Fund determined in accordance with this Statement
whether the Fund had, at such Quarterly Valuation Date (and at the Valuation Date addressed in such
randomly-selected Report), S&#038;P Eligible Assets (if S&#038;P is then rating the shares of MuniPreferred)
of an aggregate Discounted Value at least equal to the MuniPreferred Basic Maintenance Amount and
Moody&#146;s Eligible Assets (if Moody&#146;s is then rating the shares of MuniPreferred) of an aggregate
Discounted Value at least equal to the MuniPreferred Basic Maintenance Amount, (iii)&nbsp;with respect
to the S&#038;P ratings on Municipal Obligations, the issuer name, issue size and coupon rate listed in
such Report, that the Independent Accountant has requested that S&#038;P verify such information and the
Independent Accountant shall provide a listing in its letter of any differences, (iv)&nbsp;with respect
to the Moody&#146;s ratings on Municipal Obligations, the issuer name, issue size and coupon rate listed
in such Report, that such information has been verified by Moody&#146;s (in the event such information
is not verified by Moody&#146;s, the Independent Accountant will inquire of Moody&#146;s what such
information is, and provide a listing in its letter of any differences), (v)&nbsp;with respect to the
bid or mean price (or such alternative permissible factor used in calculating the Market Value)
provided by the custodian of the Fund&#146;s assets to the Fund for purposes of valuing securities in
the Fund&#146;s portfolio, the Independent Accountant has traced the price used in such Report to the
bid or mean price listed in such Report as provided to the Fund and verified that such information
agrees (in the event such information does not agree, the Independent Accountant will provide a
listing in its letter of such differences) and (vi)&nbsp;with respect to such confirmation to Moody&#146;s
and S&#038;P, that the Fund has satisfied the requirements of Section&nbsp;13 of this Statement (such
confirmation is herein called the &#147;Accountant&#146;s Confirmation&#148;).
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;Within ten Business Days after the date of delivery of a MuniPreferred Basic Maintenance
Report in accordance with paragraph (b)&nbsp;of this Section&nbsp;7 relating to any Valuation Date on which
the Fund failed to satisfy the MuniPreferred Basic Maintenance Amount, and relating to the
MuniPreferred Basic Maintenance Cure Date with respect to such failure to satisfy the MuniPreferred
Basic Maintenance Amount, the Fund shall cause the Independent Accountant to provide to S&#038;P (if S&#038;P
is then rating the shares of MuniPreferred), Moody&#146;s (if Moody&#146;s is then rating the shares of
MuniPreferred) and the Auction Agent (if either S&#038;P or Moody&#146;s is then rating the shares of
MuniPreferred) an Accountant&#146;s Confirmation as to such MuniPreferred Basic Maintenance Report.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;If any Accountant&#146;s Confirmation delivered pursuant to paragraph (c)&nbsp;or (d)&nbsp;of this
Section&nbsp;7 shows that an error was made in the MuniPreferred Basic Maintenance Report for a
particular Valuation Date for which such Accountant&#146;s Confirmation was required to be delivered, or
shows that a lower aggregate Discounted Value for the aggregate of all S&#038;P Eligible Assets (if S&#038;P
is then rating the shares of MuniPreferred) or Moody&#146;s Eligible Assets (if Moody&#146;s is then rating
the shares of MuniPreferred), as the case may be, of the Fund was determined by the Independent
Accountant, the calculation or determination made by such Independent Accountant shall be final and
conclusive and shall be binding on the Fund, and the Fund shall accordingly amend and deliver the
MuniPreferred Basic Maintenance Report to S&#038;P (if S&#038;P is then rating the shares of MuniPreferred),
Moody&#146;s (if Moody&#146;s is then rating the shares of MuniPreferred) and the Auction Agent (if either
S&#038;P or Moody&#146;s is then rating the shares of MuniPreferred) promptly following receipt by the Fund
of such Accountant&#146;s Confirmation.
</DIV>


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<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)&nbsp;On or before 5:00 p.m., New York City time, on the first Business Day after the Date of
Original Issue of any shares of MuniPreferred, the Fund shall complete and deliver to S&#038;P (if S&#038;P
is then rating the shares of MuniPreferred) and Moody&#146;s (if Moody&#146;s is then rating the shares of
MuniPreferred) a MuniPreferred Basic Maintenance Report as of the close of business on such Date of
Original Issue. Within five Business Days of such Date of Original Issue, the Fund shall cause the
Independent Accountant to confirm in writing to S&#038;P (if S&#038;P is then rating the shares of
MuniPreferred) (i)&nbsp;the mathematical accuracy of the calculations reflected in such Report and
(ii)&nbsp;that the Discounted Value of S&#038;P Eligible Assets reflected thereon equals or exceeds the
MuniPreferred Basic Maintenance Amount reflected thereon.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)&nbsp;On or before 5:00 p.m., New York City time, on the third Business Day after either (i)&nbsp;the
Fund shall have redeemed Common Shares or (ii)&nbsp;the ratio of the Discounted Value of S&#038;P Eligible
Assets or the Discounted Value of Moody&#146;s Eligible Assets to the MuniPreferred Basic Maintenance
Amount is less than or equal to 105% or (iii)&nbsp;whenever requested by Moody&#146;s and S&#038;P, the Fund shall
complete and deliver to S&#038;P (if S&#038;P is then rating the shares of MuniPreferred) or Moody&#146;s (if
Moody&#146;s is then rating the shares of MuniPreferred), as the case may be, a MuniPreferred Basic
Maintenance Report as of the date of either such event.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>8.&nbsp;&#091;Reserved&#093;</B>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>9.&nbsp;Restrictions on Dividends and Other Distributions</B>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <B>Dividends on Preferred Shares Other Than MuniPreferred</B>. Except as set forth in the next
sentence, no dividends shall be declared or paid or set apart for payment on the shares of any
class or series of shares of beneficial interest of the Fund ranking, as to the payment of
dividends, on a parity with shares of MuniPreferred for any period unless full cumulative dividends
have been or contemporaneously are declared and paid on the shares of each series of MuniPreferred
through its most recent Dividend Payment Date. When dividends are not paid in full upon the shares
of each series of MuniPreferred through its most recent Dividend Payment Date or upon the shares of
any other class or series of shares of beneficial interest of the Fund ranking on a parity as to
the payment of dividends with shares of MuniPreferred through their most recent respective dividend
payment dates, all dividends declared upon shares of MuniPreferred and any other such class or
series of shares of beneficial interest ranking on a parity as to the payment of dividends with
shares of MuniPreferred shall be declared pro rata so that the amount of dividends declared per
share on shares of MuniPreferred and such other class or series of shares of beneficial interest
shall in all cases bear to each other the same ratio that accumulated dividends per share on the
shares of MuniPreferred and such other class or series of shares of beneficial interest bear to
each other (for purposes of this sentence, the amount of dividends declared per share of
MuniPreferred shall be based on the Applicable Rate for such share for the Dividend Periods during
which dividends were not paid in full).
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <B>Dividends and Other Distributions with Respect to Common Shares Under the 1940 Act</B>. The
Board of Trustees shall not declare any dividend (except a dividend payable in Common Shares), or
declare any other distribution, upon the Common Shares, or purchase Common Shares, unless in every
such case the Preferred Shares have, at the time of any such declaration or purchase, an asset
coverage (as defined in and determined pursuant to the 1940 Act) of at least 200% (or such other
asset coverage as may in the future be specified in or under the 1940 Act as the minimum asset
coverage for senior securities which are shares or stock of a closed-end investment company as a
condition of declaring dividends on its common shares or stock) after deducting the amount of such
dividend, distribution or purchase price, as the case may be.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <B>Other Restrictions on Dividends and Other Distributions</B>. For so long as any share of
MuniPreferred is outstanding, and except as set forth in paragraph (a)&nbsp;of this Section&nbsp;9 and
</DIV>


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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 10pt">paragraph (c)&nbsp;of Section&nbsp;12 of this Part&nbsp;I, (A)&nbsp;the Fund shall not declare, pay or set apart
for payment any dividend or other distribution (other than a dividend or distribution paid in
shares of, or in options, warrants or rights to subscribe for or purchase, Common Shares or other
shares, if any, ranking junior to the shares of MuniPreferred as to the payment of dividends and
the distribution of assets upon dissolution, liquidation or winding up) in respect of the Common
Shares or any other shares of the Fund ranking junior to or on a parity with the shares of
MuniPreferred as to the payment of dividends or the distribution of assets upon dissolution,
liquidation or winding up, or call for redemption, redeem, purchase or otherwise acquire for
consideration any Common Shares or any other such junior shares (except by conversion into or
exchange for shares of the Fund ranking junior to the shares of MuniPreferred as to the payment of
dividends and the distribution of assets upon dissolution, liquidation or winding up), or any such
parity shares (except by conversion into or exchange for shares of the Fund ranking junior to or on
a parity with MuniPreferred as to the payment of dividends and the distribution of assets upon
dissolution, liquidation or winding up), unless (i)&nbsp;full cumulative dividends on shares of each
series of MuniPreferred through its most recently ended Dividend Period shall have been paid or
shall have been declared and sufficient funds for the payment thereof deposited with the Auction
Agent and (ii)&nbsp;the Fund has redeemed the full number of shares of MuniPreferred required to be
redeemed by any provision for mandatory redemption pertaining thereto, and (B)&nbsp;the Fund shall not
declare, pay or set apart for payment any dividend or other distribution (other than a dividend or
distribution paid in shares of, or in options, warrants or rights to subscribe for or purchase,
Common Shares or other shares, if any, ranking junior to shares of MuniPreferred as to the payment
of dividends and the distribution of assets upon dissolution, liquidation or winding up) in respect
of Common Shares or any other shares of the Fund ranking junior to shares of MuniPreferred as to
the payment of dividends or the distribution of assets upon dissolution, liquidation or winding up,
or call for redemption, redeem, purchase or otherwise acquire for consideration any Common Shares
or any other such junior shares (except by conversion into or exchange for shares of the Fund
ranking junior to shares of MuniPreferred as to the payment of dividends and the distribution of
assets upon dissolution, liquidation or winding up), unless immediately after such transaction the
Discounted Value of Moody&#146;s Eligible Assets (if Moody&#146;s is then rating the shares of MuniPreferred)
and S&#038;P Eligible Assets (if S&#038;P is then rating the shares of MuniPreferred) would each at least
equal the MuniPreferred Basic Maintenance Amount.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>10.&nbsp;Rating Agency Restrictions</B>. For so long as any shares of MuniPreferred are outstanding
and Moody&#146;s or S&#038;P, or both, are rating such shares, the Fund will not, unless it has received
written confirmation from Moody&#146;s or S&#038;P, or both, as appropriate, that any such action would not
impair the ratings then assigned by such rating agency to such shares, engage in any one or more of
the following transactions:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;buy or sell futures or write put or call options except as provided in Section&nbsp;13 of
Appendix&nbsp;A hereto;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;borrow money, except that the Fund may, without obtaining the written confirmation
described above, borrow money for the purpose of clearing securities transactions if (i)&nbsp;the
MuniPreferred Basic Maintenance Amount would continue to be satisfied after giving effect to such
borrowing and (ii)&nbsp;such borrowing (A)&nbsp;is privately arranged with a bank or other person and is
evidenced by a promissory note or other evidence of indebtedness that is not intended to be
publicly distributed or (B)&nbsp;is for &#147;temporary purposes,&#148; is evidenced by a promissory note or other
evidence of indebtedness and is in an amount not exceeding 5 per centum of the value of the total
assets of the Fund at the time of the borrowing; for purposes of the foregoing, &#147;temporary purpose&#148;
means that the borrowing is to be repaid within sixty days and is not to be extended or renewed;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;issue additional shares of any series of MuniPreferred or any class or series of shares
ranking prior to or on a parity with shares of MuniPreferred with respect to the payment of
</DIV>


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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 10pt">dividends or the distribution of assets upon dissolution, liquidation or winding up of the
Fund, or reissue any shares of MuniPreferred previously purchased or redeemed by the Fund;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;engage in any short sales of securities;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;lend securities;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)&nbsp;merge or consolidate into or with any other corporation;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)&nbsp;change the pricing service (currently J.J. Kenny) referred to in the definition of Market
Value; or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)&nbsp;enter into reverse repurchase agreements.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>11.&nbsp;Redemption</B>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <B>Optional Redemption</B>.
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Subject to the provisions of subparagraph (v)&nbsp;of this paragraph (a), shares of
MuniPreferred of any series may be redeemed, at the option of the Fund, as a whole or from
time to time in part, on the second Business Day preceding any Dividend Payment Date for
shares of such series, out of funds legally available therefor, at a redemption price per
share equal to the sum of $25,000 plus an amount equal to accumulated but unpaid dividends
thereon (whether or not earned or declared) to (but not including) the date fixed for
redemption; <I>provided</I>, <I>however</I>, that (1)&nbsp;shares of a series of MuniPreferred may not be
redeemed in part if after such partial redemption fewer than 250 shares of such series
remain outstanding; (2)&nbsp;unless otherwise provided in Section&nbsp;11 of Appendix&nbsp;A hereto, shares
of a series of MuniPreferred are redeemable by the Fund during the Initial Rate Period
thereof only on the second Business Day next preceding the last Dividend Payment Date for
such Initial Rate Period; and (3)&nbsp;subject to subparagraph (ii)&nbsp;of this paragraph (a), the
Notice of Special Rate Period relating to a Special Rate Period of shares of a series of
MuniPreferred, as delivered to the Auction Agent and filed with the Secretary of the Fund,
may provide that shares of such series shall not be redeemable during the whole or any part
of such Special Rate Period (except as provided in subparagraph (iv)&nbsp;of this
paragraph (a)) or shall be redeemable during the whole or any part of such Special Rate
Period only upon payment of such redemption premium or premiums as shall be specified
therein (&#147;Special Redemption Provisions&#148;).
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) A Notice of Special Rate Period relating to shares of a series of MuniPreferred
for a Special Rate Period thereof may contain Special Redemption Provisions only if the
Fund&#146;s Board of Trustees, after consultation with the Broker-Dealer or Broker-Dealers for
such Special Rate Period of shares of such series, determines that such Special Redemption
Provisions are in the best interest of the Fund.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) If fewer than all of the outstanding shares of a series of MuniPreferred are to
be redeemed pursuant to subparagraph (i)&nbsp;of this paragraph (a), the number of shares of such
series to be redeemed shall be determined by the Board of Trustees, and such shares shall be
redeemed pro rata from the Holders of shares of such series in proportion to the number of
shares of such series held by such Holders.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) Subject to the provisions of subparagraph (v)&nbsp;of this paragraph (a), shares of any
series of MuniPreferred may be redeemed, at the option of the Fund, as a whole but not in
part, out of funds legally available therefor, on the first day following any Dividend
Period
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">thereof included in a Rate Period consisting of more than 364 Rate Period Days if, on
the date of determination of the Applicable Rate for shares of such series for such Rate
Period, such Applicable Rate equaled or exceeded on such date of determination the Treasury
Note Rate for such Rate Period, at a redemption price per share equal to the sum of $25,000
plus an amount equal to accumulated but unpaid dividends thereon (whether or not earned or
declared) to (but not including) the date fixed for redemption.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) The Fund may not on any date mail a Notice of Redemption pursuant to
paragraph (c)&nbsp;of this Section&nbsp;11 in respect of a redemption contemplated to be effected
pursuant to this paragraph (a)&nbsp;unless on such date (a)&nbsp;the Fund has available Deposit
Securities with maturity or tender dates not later than the day preceding the applicable
redemption date and having a value not less than the amount (including any applicable
premium) due to Holders of shares of MuniPreferred by reason of the redemption of such
shares on such redemption date and (b)&nbsp;the Discounted Value of Moody&#146;s Eligible Assets (if
Moody&#146;s is then rating the shares of MuniPreferred) and the Discounted Value of S&#038;P Eligible
Assets (if S&#038;P is then rating the shares of MuniPreferred) each at least equal the
MuniPreferred Basic Maintenance Amount, and would at least equal the MuniPreferred Basic
Maintenance Amount immediately subsequent to such redemption if such redemption were to
occur on such date. For purposes of determining in clause (b)&nbsp;of the preceding sentence
whether the Discounted Value of Moody&#146;s Eligible Assets at least equals the MuniPreferred
Basic Maintenance Amount, the Moody&#146;s Discount Factors applicable to Moody&#146;s Eligible Assets
shall be determined by reference to the first Exposure Period longer than the Exposure
Period then applicable to the Fund, as described in the definition of Moody&#146;s Discount
Factor herein.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <B>Mandatory Redemption</B>. The Fund shall redeem, at a redemption price equal to $25,000 per
share plus accumulated but unpaid dividends thereon (whether or not earned or declared) to (but not
including) the date fixed by the Board of Trustees for redemption, certain of the shares of
MuniPreferred, if the Fund fails to have either Moody&#146;s Eligible Assets with a Discounted Value or
S&#038;P Eligible Assets with a Discounted Value greater than or equal to the MuniPreferred Basic
Maintenance Amount or fails to maintain the 1940 Act MuniPreferred Asset Coverage, in accordance
with the requirements of the rating agency or agencies then rating the shares of MuniPreferred, and
such failure is not cured on or before the MuniPreferred Basic Maintenance Cure Date or the 1940
Act Cure Date, as the case may be. The number of shares of MuniPreferred to be redeemed shall be
equal to the lesser of (i)&nbsp;the minimum number of shares of MuniPreferred, together with all other
Preferred Shares subject to redemption or retirement, the redemption of which, if deemed to have
occurred immediately prior to the opening of business on the Cure Date, would have resulted in the
Fund&#146;s having both Moody&#146;s Eligible Assets with a Discounted Value and S&#038;P Eligible Assets with a
Discounted Value greater than or equal to the MuniPreferred Basic Maintenance Amount or maintaining
the 1940 Act MuniPreferred Asset Coverage, as the case may be, on such Cure Date (<I>provided</I>,
<I>however</I>, that if there is no such minimum number of shares of MuniPreferred and other Preferred
Shares the redemption or retirement of which would have had such result, all shares of
MuniPreferred and Preferred Shares then outstanding shall be redeemed), and (ii)&nbsp;the maximum number
of shares of MuniPreferred, together with all other Preferred Shares subject to redemption or
retirement, that can be redeemed out of funds expected to be legally available therefor in
accordance with the Declaration and applicable law. In determining the shares of MuniPreferred
required to be redeemed in accordance with the foregoing, the Fund shall allocate the number
required to be redeemed to satisfy the MuniPreferred Basic Maintenance Amount or the 1940 Act
MuniPreferred Asset Coverage, as the case may be, pro rata among shares of MuniPreferred and other
Preferred Shares (and, then, pro rata among each series of MuniPreferred) subject to redemption or
retirement. The Fund shall effect such redemption on the date fixed by the Fund therefor, which
date shall not be earlier than 20&nbsp;days nor later than 40&nbsp;days after such Cure Date, except that if
the Fund does not have funds legally available for the redemption of all of the required number of
shares of
</DIV>


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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 10pt">MuniPreferred and other Preferred Shares which are subject to redemption or retirement or the
Fund otherwise is unable to effect such redemption on or prior to 40&nbsp;days after such Cure Date, the
Fund shall redeem those shares of MuniPreferred and other Preferred Shares which it was unable to
redeem on the earliest practicable date on which it is able to effect such redemption. If fewer
than all of the outstanding shares of a series of MuniPreferred are to be redeemed pursuant to this
paragraph (b), the number of shares of such series to be redeemed shall be redeemed pro rata from
the Holders of shares of such series in proportion to the number of shares of such series held by
such Holders.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <B>Notice of Redemption</B>. If the Fund shall determine or be required to redeem shares of a
series of MuniPreferred pursuant to paragraph (a)&nbsp;or (b)&nbsp;of this Section&nbsp;11, it shall mail a Notice
of Redemption with respect to such redemption by first class mail, postage prepaid, to each Holder
of the shares of such series to be redeemed, at such Holder&#146;s address as the same appears on the
record books of the Fund on the record date established by the Board of Trustees. Such Notice of
Redemption shall be so mailed not less than 20 nor more than 45&nbsp;days prior to the date fixed for
redemption. Each such Notice of Redemption shall state: (i)&nbsp;the redemption date; (ii)&nbsp;the number
of shares of MuniPreferred to be redeemed and the series thereof; (iii)&nbsp;the CUSIP number for shares
of such series; (iv)&nbsp;the Redemption Price; (v)&nbsp;the place or places where the certificate(s) for
such shares (properly endorsed or assigned for transfer, if the Board of Trustees shall so require
and the Notice of Redemption shall so state) are to be surrendered for payment of the Redemption
Price; (vi)&nbsp;that dividends on the shares to be redeemed will cease to accumulate on such redemption
date; and (vii)&nbsp;the provisions of this Section&nbsp;11 under which such redemption is made. If fewer
than all shares of a series of MuniPreferred held by any Holder are to be redeemed, the Notice of
Redemption mailed to such Holder shall also specify the number of shares of such series to be
redeemed from such Holder. The Fund may provide in any Notice of Redemption relating to a
redemption contemplated to be effected pursuant to paragraph (a)&nbsp;of this Section&nbsp;11 that such
redemption is subject to one or more conditions precedent and that the Fund shall not be required
to effect such redemption unless each such condition shall have been satisfied at the time or times
and in the manner specified in such Notice of Redemption.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <B>No Redemption Under Certain Circumstances</B>. Notwithstanding the provisions of paragraphs
(a)&nbsp;or (b)&nbsp;of this Section&nbsp;11, if any dividends on shares of a series of MuniPreferred (whether or
not earned or declared) are in arrears, no shares of such series shall be redeemed unless all
outstanding shares of such series are simultaneously redeemed, and the Fund shall not purchase or
otherwise acquire any shares of such series; <I>provided</I>, <I>however</I>, that the foregoing shall not
prevent the purchase or acquisition of all outstanding shares of such series pursuant to the
successful completion of an otherwise lawful purchase or exchange offer made on the same terms to,
and accepted by, Holders of all outstanding shares of such series.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <B>Absence of Funds Available for Redemption</B>. To the extent that any redemption for which
Notice of Redemption has been mailed is not made by reason of the absence of legally available
funds therefor in accordance with the Declaration and applicable law, such redemption shall be made
as soon as practicable to the extent such funds become available. Failure to redeem shares of
MuniPreferred shall be deemed to exist at any time after the date specified for redemption in a
Notice of Redemption when the Fund shall have failed, for any reason whatsoever, to deposit in
trust with the Auction Agent the Redemption Price with respect to any shares for which such Notice
of Redemption has been mailed; <I>provided</I>, <I>however</I>, that the foregoing shall not apply in the case of
the Fund&#146;s failure to deposit in trust with the Auction Agent the Redemption Price with respect to
any shares where (1)&nbsp;the Notice of Redemption relating to such redemption provided that such
redemption was subject to one or more conditions precedent and (2)&nbsp;any such condition precedent
shall not have been satisfied at the time or times and in the manner specified in such Notice of
Redemption. Notwithstanding the fact that the Fund may not have redeemed shares of MuniPreferred
for which a Notice of Redemption has been
</DIV>


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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 10pt">mailed, dividends may be declared and paid on shares of MuniPreferred and shall include those
shares of MuniPreferred for which a Notice of Redemption has been mailed.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) <B>Auction Agent as Trustee of Redemption Payments by Fund</B>. All moneys paid to the Auction
Agent for payment of the Redemption Price of shares of MuniPreferred called for redemption shall be
held in trust by the Auction Agent for the benefit of Holders of shares so to be redeemed.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) <B>Shares for Which Notice of Redemption Has Been Given are No Longer Outstanding</B>. Provided
a Notice of Redemption has been mailed pursuant to paragraph (c)&nbsp;of this Section&nbsp;11, upon the
deposit with the Auction Agent (on the Business Day next preceding the date fixed for redemption
thereby, in funds available on the next Business Day in The City of New York, New York) of funds
sufficient to redeem the shares of MuniPreferred that are the subject of such notice, dividends on
such shares shall cease to accumulate and such shares shall no longer be deemed to be outstanding
for any purpose, and all rights of the Holders of the shares so called for redemption shall cease
and terminate, except the right of such Holders to receive the Redemption Price, but without any
interest or other additional amount, except as provided in subparagraph (e)(i) of Section&nbsp;2 of this
Part&nbsp;I and in Section&nbsp;3 of this Part&nbsp;I. Upon surrender in accordance with the Notice of Redemption
of the certificates for any shares so redeemed (properly endorsed or assigned for transfer, if the
Board of Trustees shall so require and the Notice of Redemption shall so state), the Redemption
Price shall be paid by the Auction Agent to the Holders of shares of MuniPreferred subject to
redemption. In the case that fewer than all of the shares represented by any such certificate are
redeemed, a new certificate shall be issued, representing the unredeemed shares, without cost to
the Holder thereof. The Fund shall be entitled to receive from the Auction Agent, promptly after
the date fixed for redemption, any cash deposited with the Auction Agent in excess of (i)&nbsp;the
aggregate Redemption Price of the shares of MuniPreferred called for redemption on such date and
(ii)&nbsp;all other amounts to which Holders of shares of MuniPreferred called for redemption may be
entitled. Any funds so deposited that are unclaimed at the end of 90&nbsp;days from such redemption
date shall, to the extent permitted by law, be repaid to the Fund, after which time the Holders of
shares of MuniPreferred so called for redemption may look only to the Fund for payment of the
Redemption Price and all other amounts to which they may be entitled. The Fund shall be entitled
to receive, from time to time after the date fixed for redemption, any interest on the funds so
deposited.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) <B>Compliance with Applicable Law</B>. In effecting any redemption pursuant to this Section&nbsp;11,
the Fund shall use its best efforts to comply with all applicable conditions precedent to effecting
such redemption under the 1940 Act and any applicable Massachusetts law, but shall effect no
redemption except in accordance with the 1940 Act and any applicable Massachusetts law.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) <B>Only Whole Shares of MuniPreferred May Be Redeemed</B>. In the case of any redemption
pursuant to this Section&nbsp;11, only whole shares of MuniPreferred shall be redeemed, and in the event
that any provision of the Declaration would require redemption of a fractional share, the Auction
Agent shall be authorized to round up so that only whole shares are redeemed.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>12.&nbsp;Liquidation Rights</B>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <B>Ranking</B>. The shares of a series of MuniPreferred shall rank on a parity with each other,
with shares of any other series of MuniPreferred and with shares of any other series of Preferred
Shares as to the distribution of assets upon dissolution, liquidation or winding up of the affairs
of the Fund.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <B>Distributions Upon Liquidation</B>. Upon the dissolution, liquidation or winding up of the
affairs of the Fund, whether voluntary or involuntary, the Holders of shares of MuniPreferred then
outstanding shall be entitled to receive and to be paid out of the assets of the Fund available for
</DIV>


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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 10pt">distribution to its shareholders, before any payment or distribution shall be
made on the Common Shares or on any other class of shares of the Fund ranking junior to the
MuniPreferred upon dissolution, liquidation or winding up, an amount equal to the Liquidation
Preference with respect to such shares plus an amount equal to all dividends thereon (whether or
not earned or declared) accumulated but unpaid to (but not including) the date of final
distribution in same day funds, together with any payments required to be made pursuant to
Section&nbsp;3 of this Part&nbsp;I in connection with the liquidation of the Fund. After the payment to the
Holders of the shares of MuniPreferred of the full preferential amounts provided for in this
paragraph (b), the Holders of MuniPreferred as such shall have no right or claim to any of the
remaining assets of the Fund.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <B>Pro Rata Distributions</B>. In the event the assets of the Fund available for distribution to
the Holders of shares of MuniPreferred upon any dissolution, liquidation, or winding up of the
affairs of the Fund, whether voluntary or involuntary, shall be insufficient to pay in full all
amounts to which such Holders are entitled pursuant to paragraph (b)&nbsp;of this Section&nbsp;12, no such
distribution shall be made on account of any shares of any other class or series of Preferred
Shares ranking on a parity with the shares of MuniPreferred with respect to the distribution of
assets upon such dissolution, liquidation or winding up unless proportionate distributive amounts
shall be paid on account of the shares of MuniPreferred, ratably, in proportion to the full
distributable amounts for which holders of all such parity shares are respectively entitled upon
such dissolution, liquidation or winding up.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <B>Rights of Junior Shares</B>. Subject to the rights of the holders of shares of any series or
class or classes of shares ranking on a parity with the shares of MuniPreferred with respect to the
distribution of assets upon dissolution, liquidation or winding up of the affairs of the Fund,
after payment shall have been made in full to the Holders of the shares of MuniPreferred as
provided in paragraph (b)&nbsp;of this Section&nbsp;12, but not prior thereto, any other series or class or
classes of shares ranking junior to the shares of MuniPreferred with respect to the distribution of
assets upon dissolution, liquidation or winding up of the affairs of the Fund shall, subject to the
respective terms and provisions (if any) applying thereto, be entitled to receive any and all
assets remaining to be paid or distributed, and the Holders of the shares of MuniPreferred shall
not be entitled to share therein.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <B>Certain Events Not Constituting Liquidation</B>. Neither the sale of all or substantially all
the property or business of the Fund, nor the merger or consolidation of the Fund into or with any
Massachusetts business trust or corporation nor the merger or consolidation of any Massachusetts
business trust or corporation into or with the Fund shall be a dissolution, liquidation or winding
up, whether voluntary or involuntary, for the purposes of this Section&nbsp;12.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>13.&nbsp;Miscellaneous</B>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <B>Amendment of Appendix&nbsp;A to Add Additional Series</B>. Subject to the provisions of
paragraph (c)&nbsp;of Section&nbsp;10 of this Part&nbsp;I, the Board of Trustees may, by resolution duly adopted,
without shareholder approval (except as otherwise provided by this Statement or required by
applicable law), amend Appendix&nbsp;A hereto to (1)&nbsp;reflect any amendments hereto which the Board of
Trustees is entitled to adopt pursuant to the terms of this Statement without shareholder approval
or (2)&nbsp;add additional series of MuniPreferred or additional shares of a series of MuniPreferred
(and terms relating thereto) to the series and shares of MuniPreferred theretofore described
thereon. Each such additional series and all such additional shares shall be governed by the terms
of this Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <B>Appendix&nbsp;A Incorporated by Reference</B>. Appendix&nbsp;A hereto is incorporated in and made a
part of this Statement by reference thereto.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <B>No Fractional Shares</B>. No fractional shares of MuniPreferred shall be issued.
</DIV>


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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <B>Status of Shares of MuniPreferred Redeemed, Exchanged or Otherwise Acquired by the Fund</B>.
Shares of MuniPreferred which are redeemed, exchanged or otherwise acquired by the Fund shall
return to the status of authorized and unissued Preferred Shares without designation as to series.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <B>Board May Resolve Ambiguities</B>. To the extent permitted by applicable law, the Board of
Trustees may interpret or adjust the provisions of this Statement to resolve any inconsistency or
ambiguity or to remedy any formal defect, and may amend this Statement with respect to any series
of MuniPreferred prior to the issuance of shares of such series.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) <B>Headings Not Determinative</B>. The headings contained in this Statement are for convenience
of reference only and shall not affect the meaning or interpretation of this Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) <B>Notices</B>. All notices or communications, unless otherwise specified in the By-Laws of the
Fund or this Statement, shall be sufficiently given if in writing and delivered in person or mailed
by first-class mail, postage prepaid.
</DIV>


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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>PART II</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>1.&nbsp;Orders</B>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Prior to the Submission Deadline on each Auction Date for shares of a series of
MuniPreferred:
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) each Beneficial Owner of shares of such series may submit to its Broker-Dealer by
telephone or otherwise information as to:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the number of Outstanding shares, if any, of such series held by such
Beneficial Owner which such Beneficial Owner desires to continue to hold without
regard to the Applicable Rate for shares of such series for the next succeeding Rate
Period of such shares;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) the number of Outstanding shares, if any, of such series held by such
Beneficial Owner which such Beneficial Owner offers to sell if the Applicable Rate
for shares of such series for the next succeeding Rate Period of shares of such
series shall be less than the rate per annum specified by such Beneficial Owner;
and/or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) the number of Outstanding shares, if any, of such series held by such
Beneficial Owner which such Beneficial Owner offers to sell without regard to the
Applicable Rate for shares of such series for the next succeeding Rate Period of
shares of such series; and
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) one or more Broker-Dealers, using lists of Potential Beneficial Owners, shall in
good faith for the purpose of conducting a competitive Auction in a commercially reasonable
manner, contact Potential Beneficial Owners (by telephone or otherwise), including Persons
that are not Beneficial Owners, on such lists to determine the number of shares, if any, of
such series which each such Potential Beneficial Owner offers to purchase if the Applicable
Rate for shares of such series for the next succeeding Rate Period of shares of such series
shall not be less than the rate per annum specified by such Potential Beneficial Owner.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;For the purposes hereof, the communication by a Beneficial Owner or Potential Beneficial Owner
to a Broker-Dealer, or by a Broker-Dealer to the Auction Agent, of information referred to in
clause (i)(A), (i), (B), (i), (C)&nbsp;or (ii)&nbsp;of this paragraph (a)&nbsp;is hereinafter referred to as an
&#147;Order&#148; and collectively as &#147;Orders&#148; and each Beneficial Owner and each Potential Beneficial Owner
placing an Order with a Broker-Dealer, and such Broker-Dealer placing an Order with the Auction
Agent, is hereinafter referred to as a &#147;Bidder&#148; and collectively as &#147;Bidders&#148;; an Order containing
the information referred to in clause (i)(A) of this paragraph (a)&nbsp;is hereinafter referred to as a
&#147;Hold Order&#148; and collectively as &#147;Hold Orders&#148;; an Order containing the information referred to in
clause (i)(B) or (ii)&nbsp;of this paragraph (a)&nbsp;is hereinafter referred to as a &#147;Bid&#148; and collectively
as &#147;Bids&#148;; and an Order containing the information referred to in clause (i)(C) of this
paragraph (a)&nbsp;is hereinafter referred to as a &#147;Sell Order&#148; and collectively as &#147;Sell Orders.&#148;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) (i)&nbsp;A Bid by a Beneficial Owner or an Existing Holder of shares of a series of
MuniPreferred subject to an Auction on any Auction Date shall constitute an irrevocable offer to
sell:
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the number of Outstanding shares of such series specified in such Bid if
the Applicable Rate for shares of such series determined on such Auction Date shall
be less than the rate specified therein;
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) such number or a lesser number of Outstanding shares of such series to be
determined as set forth in clause (iv)&nbsp;of paragraph (a)&nbsp;of Section&nbsp;4 of this Part&nbsp;II
if the Applicable Rate for shares of such series determined on such Auction Date
shall be equal to the rate specified therein; or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) the number of Outstanding shares of such series specified in such Bid if
the rate specified therein shall be higher than the Maximum Rate for shares of such
series, or such number or a lesser number of Outstanding shares of such series to be
determined as set forth in clause (iii)&nbsp;of paragraph (b)&nbsp;of Section&nbsp;4 of this
Part&nbsp;II if the rate specified therein shall be higher than the Maximum Rate for
shares of such series and Sufficient Clearing Bids for shares of such series do not
exist.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) A Sell Order by a Beneficial Owner or an Existing Holder of shares of a series of
MuniPreferred subject to an Auction on any Auction Date shall constitute an irrevocable
offer to sell:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the number of Outstanding shares of such series specified in such Sell
Order; or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) such number or a lesser number of Outstanding shares of such series as set
forth in clause (iii)&nbsp;of paragraph (b)&nbsp;of Section&nbsp;4 of this Part&nbsp;II if Sufficient
Clearing Bids for shares of such series do not exist;
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 10pt"><I>provided</I>, <I>however</I>, that a Broker-Dealer that is an Existing Holder with respect to shares of a
series of MuniPreferred shall not be liable to any Person for failing to sell such shares pursuant
to a Sell Order described in the proviso to paragraph (c)&nbsp;of Section&nbsp;2 of this Part&nbsp;II if (1)&nbsp;such
shares were transferred by the Beneficial Owner thereof without compliance by such Beneficial Owner
or its transferee Broker-Dealer (or other transferee person, if permitted by the Fund) with the
provisions of Section&nbsp;7 of this Part&nbsp;II or (2)&nbsp;such Broker-Dealer has informed the Auction Agent
pursuant to the terms of its Broker-Dealer Agreement that, according to such Broker-Dealer&#146;s
records, such Broker-Dealer believes it is not the Existing Holder of such shares.
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) A Bid by a Potential Beneficial Holder or a Potential Holder of shares of a
series of MuniPreferred subject to an Auction on any Auction Date shall constitute an
irrevocable offer to purchase:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the number of Outstanding shares of such series specified in such Bid if
the Applicable Rate for shares of such series determined on such Auction Date shall
be higher than the rate specified therein; or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) such number or a lesser number of Outstanding shares of such series as set
forth in clause (v)&nbsp;of paragraph (a)&nbsp;of Section&nbsp;4 of this Part&nbsp;II if the Applicable
Rate for shares of such series determined on such Auction Date shall be equal to the
rate specified therein.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;No Order for any number of shares of MuniPreferred other than whole shares shall be valid.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>2.&nbsp;Submission of Orders By Broker-Dealers to Auction Agent</B>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Each Broker-Dealer shall submit in writing to the Auction Agent prior to the Submission
Deadline on each Auction Date all Orders for shares of MuniPreferred of a series subject to
</DIV>


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</DIV>

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<DIV align="left" style="font-size: 10pt; margin-top: 10pt">an Auction on such Auction Date obtained by such Broker-Dealer, designating itself (unless
otherwise permitted by the Fund) as an Existing Holder in respect of shares subject to Orders
submitted or deemed submitted to it by Beneficial Owners and as a Potential Holder in respect of
shares subject to Orders submitted to it by Potential Beneficial Owners, and shall specify with
respect to each Order for such shares:
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the name of the Bidder placing such Order (which shall be the Broker-Dealer unless
otherwise permitted by the Fund);
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the aggregate number of shares of such series that are the subject of such Order;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) to the extent that such Bidder is an Existing Holder of shares of such series:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the number of shares, if any, of such series subject to any Hold Order of
such Existing Holder;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) the number of shares, if any, of such series subject to any Bid of such
Existing Holder and the rate specified in such Bid; and
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) the number of shares, if any, of such series subject to any Sell Order of
such Existing Holder; and
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) to the extent such Bidder is a Potential Holder of shares of such series, the rate
and number of shares of such series specified in such Potential Holder&#146;s Bid.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;If any rate specified in any Bid contains more than three figures to the right of the
decimal point, the Auction Agent shall round such rate up to the next highest one thousandth (.001)
of 1%.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;If an Order or Orders covering all of the Outstanding shares of MuniPreferred of a series
held by any Existing Holder is not submitted to the Auction Agent prior to the Submission Deadline,
the Auction Agent shall deem a Hold Order to have been submitted by or on behalf of such Existing
Holder covering the number of Outstanding shares of such series held by such Existing Holder and
not subject to Orders submitted to the Auction Agent; <I>provided</I>, <I>however</I>, that if an Order or Orders
covering all of the Outstanding shares of such series held by any Existing Holder is not submitted
to the Auction Agent prior to the Submission Deadline for an Auction relating to a Special Rate
Period consisting of more than 28 Rate Period Days, the Auction Agent shall deem a Sell Order to
have been submitted by or on behalf of such Existing Holder covering the number of outstanding
shares of such series held by such Existing Holder and not subject to Orders submitted to the
Auction Agent.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;If one or more Orders of an Existing Holder is submitted to the Auction Agent covering in
the aggregate more than the number of Outstanding shares of MuniPreferred of a series subject to an
Auction held by such Existing Holder, such Orders shall be considered valid in the following order
of priority:
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) all Hold Orders for shares of such series shall be considered valid, but only up to
and including in the aggregate the number of Outstanding shares of such series held by such
Existing Holder, and if the number of shares of such series subject to such Hold Orders
exceeds the number of Outstanding shares of such series held by such Existing Holder, the
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">number of shares subject to each such Hold Order shall be reduced pro rata to cover the
number of Outstanding shares of such series held by such Existing Holder;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)
(B)&nbsp;any Bid for shares of such series shall be considered valid up to and
including the excess of the number of Outstanding shares of such series held by such
Existing Holder over the number of shares of such series subject to any Hold Orders referred
to in clause (i)&nbsp;above;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
&nbsp;&nbsp;&nbsp;&nbsp;(C) subject to subclause (A), if more than one Bid of an Existing Holder for
shares of such series is submitted to the Auction Agent with the same rate and the
number of Outstanding shares of such series subject to such Bids is greater than
such excess, such Bids shall be considered valid up to and including the amount of
such excess, and the number of shares of such series subject to each Bid with the
same rate shall be reduced pro rata to cover the number of shares of such series
equal to such excess;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) subject to subclauses (A)&nbsp;and (B), if more than one Bid of an Existing
Holder for shares of such series is submitted to the Auction Agent with different
rates, such Bids shall be considered valid in the ascending order of their
respective rates up to and including the amount of such excess; and
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) in any such event, the number, if any, of such Outstanding shares of such
series subject to any portion of Bids considered not valid in whole or in part under
this clause (ii)&nbsp;shall be treated as the subject of a Bid for shares of such series
by or on behalf of a Potential Holder at the rate therein specified; and
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) all Sell Orders for shares of such series shall be considered valid up to and
including the excess of the number of Outstanding shares of such series held by such
Existing Holder over the sum of shares of such series subject to valid Hold Orders referred
to in clause (i)&nbsp;above and valid Bids referred to in clause (ii)&nbsp;above.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;If more than one Bid for one or more shares of a series of MuniPreferred is submitted to
the Auction Agent by or on behalf of any Potential Holder, each such Bid submitted shall be a
separate Bid with the rate and number of shares therein specified.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)&nbsp;Any Order submitted by a Beneficial Owner or a Potential Beneficial Owner to its
Broker-Dealer, or by a Broker-Dealer to the Auction Agent, prior to the Submission Deadline on any
Auction Date, shall be irrevocable.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>3.&nbsp;Determination of Sufficient Clearing Bids, Winning Bid Rate and Applicable Rate</B>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;Not earlier than the Submission Deadline on each Auction Date for shares of a series of
MuniPreferred, the Auction Agent shall assemble all valid Orders submitted or deemed submitted to
it by the Broker-Dealers in respect of shares of such series (each such Order as submitted or
deemed submitted by a Broker-Dealer being hereinafter referred to individually as a &#147;Submitted Hold
Order,&#148; a &#147;Submitted Bid&#148; or a &#147;Submitted Sell Order,&#148; as the case may be, or as a &#147;Submitted
Order&#148; and collectively as &#147;Submitted Hold Orders,&#148; &#147;Submitted Bids&#148; or &#147;Submitted Sell Orders,&#148; as
the case may be, or as &#147;Submitted Orders&#148;) and shall determine for such series:
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the excess of the number of Outstanding shares of such series over the number of
Outstanding shares of such series subject to Submitted Hold Orders (such excess being
hereinafter referred to as the &#147;Available MuniPreferred&#148; of such series);
</DIV>

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<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) from the Submitted Orders for shares of such series whether:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the number of Outstanding shares of such series subject to Submitted Bids
of Potential Holders specifying one or more rates equal to or lower than the Maximum
Rate for shares of such series; exceeds or is equal to the sum of:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) the number of Outstanding shares of such series subject to Submitted Bids
of Existing Holders specifying one or more rates higher than the Maximum Rate for
shares of such series; and
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) the number of Outstanding shares of such series subject to Submitted Sell
Orders;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(in the event such excess or such equality exists (other than because the
number of shares of such series in subclauses (B)&nbsp;and (C)&nbsp;above is zero because all
of the Outstanding shares of such series are subject to Submitted Hold Orders), such
Submitted Bids in subclause (A)&nbsp;above being hereinafter referred to collectively as
&#147;Sufficient Clearing Bids&#148; for shares of such series); and
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) if Sufficient Clearing Bids for shares of such series exist, the lowest rate
specified in such Submitted Bids (the &#147;Winning Bid Rate&#148; for shares of such series) which
if:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) (I)&nbsp;each such Submitted Bid of Existing Holders specifying such lowest rate
and (II)&nbsp;all other such Submitted Bids of Existing Holders specifying lower rates
were rejected, thus entitling such Existing Holders to continue to hold the shares
of such series that are subject to such Submitted Bids; and
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) (I)&nbsp;each such Submitted Bid of Potential Holders specifying such lowest
rate and (II)&nbsp;all other such Submitted Bids of Potential Holders specifying lower
rates were accepted;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">would result in such Existing Holders described in subclause (A)&nbsp;above continuing to
hold an aggregate number of Outstanding shares of such series which, when added to
the number of Outstanding shares of such series to be purchased by such Potential
Holders described in subclause (B)&nbsp;above, would equal not less than the Available
MuniPreferred of such series.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;Promptly after the Auction Agent has made the determinations pursuant to paragraph (a)&nbsp;of
this Section&nbsp;3, the Auction Agent shall advise the Fund of the Maximum Rate for shares of the
series of MuniPreferred for which an Auction is being held on the Auction Date and, based on such
determination, the Applicable Rate for shares of such series for the next succeeding Rate Period
thereof as follows:
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) if Sufficient Clearing Bids for shares of such series exist, that the Applicable
Rate for all shares of such series for the next succeeding Rate Period thereof shall be
equal to the Winning Bid Rate for shares of such series so determined;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) if Sufficient Clearing Bids for shares of such series do not exist (other than
because all of the Outstanding shares of such series are subject to Submitted Hold Orders),
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">that the Applicable Rate for all shares of such series for the next succeeding Rate Period
thereof shall be equal to the Maximum Rate for shares of such series; or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) if all of the Outstanding shares of such series are subject to Submitted Hold
Orders, that the Applicable Rate for all shares of such series for the next succeeding Rate
Period thereof shall be as set forth in Section&nbsp;12 of Appendix&nbsp;A hereto.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>4.&nbsp;Acceptance and Rejection of Submitted Bids and Submitted Sell Orders and Allocation of
Shares</B>. Existing Holders shall continue to hold the shares of MuniPreferred that are subject to
Submitted Hold Orders, and, based on the determinations made pursuant to paragraph (a)&nbsp;of Section&nbsp;3
of this Part&nbsp;II, the Submitted Bids and Submitted Sell Orders shall be accepted or rejected by the
Auction Agent and the Auction Agent shall take such other action as set forth below:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;If Sufficient Clearing Bids for shares of a series of MuniPreferred have been made, all
Submitted Sell Orders with respect to shares of such series shall be accepted and, subject to the
provisions of paragraphs (d)&nbsp;and (e)&nbsp;of this Section&nbsp;4, Submitted Bids with respect to shares of
such series shall be accepted or rejected as follows in the following order of priority and all
other Submitted Bids with respect to shares of such series shall be rejected:
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Existing Holders&#146; Submitted Bids for shares of such series specifying any rate that
is higher than the Winning Bid Rate for shares of such series shall be accepted, thus
requiring each such Existing Holder to sell the shares of MuniPreferred subject to such
Submitted Bids;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Existing Holders&#146; Submitted Bids for shares of such series specifying any rate
that is lower than the Winning Bid Rate for shares of such series shall be rejected, thus
entitling each such Existing Holder to continue to hold the shares of MuniPreferred subject
to such Submitted Bids;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Potential Holders&#146; Submitted Bids for shares of such series specifying any rate
that is lower than the Winning Bid Rate for shares of such series shall be accepted;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) each Existing Holder&#146;s Submitted Bid for shares of such series specifying a rate
that is equal to the Winning Bid Rate for shares of such series shall be rejected, thus
entitling such Existing Holder to continue to hold the shares of MuniPreferred subject to
such Submitted Bid, unless the number of Outstanding shares of MuniPreferred subject to all
such Submitted Bids shall be greater than the number of shares of MuniPreferred (&#147;remaining
shares&#148;) in the excess of the Available MuniPreferred of such series over the number of
shares of MuniPreferred subject to Submitted Bids described in clauses (ii)&nbsp;and (iii)&nbsp;of
this paragraph (a), in which event such Submitted Bid of such Existing Holder shall be
rejected in part, and such Existing Holder shall be entitled to continue to hold shares of
MuniPreferred subject to such Submitted Bid, but only in an amount equal to the number of
shares of MuniPreferred of such series obtained by multiplying the number of remaining
shares by a fraction, the numerator of which shall be the number of Outstanding shares of
MuniPreferred held by such Existing Holder subject to such Submitted Bid and the denominator
of which shall be the aggregate number of Outstanding shares of MuniPreferred subject to
such Submitted Bids made by all such Existing Holders that specified a rate equal to the
Winning Bid Rate for shares of such series; and
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) each Potential Holder&#146;s Submitted Bid for shares of such series specifying a rate
that is equal to the Winning Bid Rate for shares of such series shall be accepted
but only in an amount equal to the number of
</DIV>

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<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">shares of such series obtained by
multiplying the number of shares in the excess of the Available MuniPreferred of such series
over the number of shares of MuniPreferred subject to Submitted Bids described in clauses
(ii)&nbsp;through (iv)&nbsp;of this paragraph (a)&nbsp;by a fraction, the numerator of which shall be the
number of Outstanding shares of MuniPreferred subject to such Submitted Bid and the
denominator of which shall be the aggregate number of Outstanding shares of MuniPreferred
subject to such Submitted Bids made by all such Potential Holders that specified a rate
equal to the Winning Bid Rate for shares of such series.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;If Sufficient Clearing Bids for shares of a series of MuniPreferred have not been made
(other than because all of the Outstanding shares of such series are subject to Submitted Hold
Orders), subject to the provisions of paragraph (d)&nbsp;of this Section&nbsp;4, Submitted Orders for shares
of such series shall be accepted or rejected as follows in the following order of priority and all
other Submitted Bids for shares of such series shall be rejected:
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Existing Holders&#146; Submitted Bids for shares of such series specifying any rate that
is equal to or lower than the Maximum Rate for shares of such series shall be rejected, thus
entitling such Existing Holders to continue to hold the shares of MuniPreferred subject to
such Submitted Bids;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Potential Holders&#146; Submitted Bids for shares of such series specifying any rate
that is equal to or lower than the Maximum Rate for shares of such series shall be accepted;
and
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Each Existing Holder&#146;s Submitted Bid for shares of such series specifying any
rate that is higher than the Maximum Rate for shares of such series and the Submitted Sell
Orders for shares of such series of each Existing Holder shall be accepted, thus entitling
each Existing Holder that submitted or on whose behalf was submitted any such Submitted Bid
or Submitted Sell Order to sell the shares of such series subject to such Submitted Bid or
Submitted Sell Order, but in both cases only in an amount equal to the number of shares of
such series obtained by multiplying the number of shares of such series subject to Submitted
Bids described in clause (ii)&nbsp;of this paragraph (b)&nbsp;by a fraction, the numerator of which
shall be the number of Outstanding shares of such series held by such Existing Holder
subject to such Submitted Bid or Submitted Sell Order and the denominator of which shall be
the aggregate number of Outstanding shares of such series subject to all such Submitted Bids
and Submitted Sell Orders.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;If all of the Outstanding shares of a series of MuniPreferred are subject to Submitted
Hold Orders, all Submitted Bids for shares of such series shall be rejected.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;If, as a result of the procedures described in clause (iv)&nbsp;or (v)&nbsp;of paragraph (a)&nbsp;or
clause (iii)&nbsp;of paragraph (b)&nbsp;of this Section&nbsp;4, any Existing Holder would be entitled or required
to sell, or any Potential Holder would be entitled or required to purchase, a fraction of a share
of a series of MuniPreferred on any Auction Date, the Auction Agent shall, in such manner as it
shall determine in its sole discretion, round up or down the number of shares of MuniPreferred of
such series to be purchased or sold by any Existing Holder or Potential Holder on such Auction Date
as a result of such procedures so that the number of shares so purchased or sold by each Existing
Holder or Potential Holder on such Auction Date shall be whole shares of MuniPreferred.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;If, as a result of the procedures described in clause (v)&nbsp;of paragraph (a)&nbsp;of this
Section&nbsp;4, any Potential Holder would be entitled or required to purchase less than a whole share
of a series of MuniPreferred on any Auction Date, the Auction Agent shall, in such manner as it
shall
determine in its sole discretion, allocate shares of MuniPreferred of such series for purchase
among Potential Holders so that only whole shares of MuniPreferred of such series are purchased on
such
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->39<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 10pt">Auction Date as a result of such procedures by any Potential Holder, even if such allocation
results in one or more Potential Holders not purchasing shares of MuniPreferred of such series on
such Auction Date.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)&nbsp;Based on the results of each Auction for shares of a series of MuniPreferred, the Auction
Agent shall determine the aggregate number of shares of such series to be purchased and the
aggregate number of shares of such series to be sold by Potential Holders and Existing Holders and,
with respect to each Potential Holder and Existing Holder, to the extent that such aggregate number
of shares to be purchased and such aggregate number of shares to be sold differ, determine to which
other Potential Holder(s) or Existing Holder(s) they shall deliver, or from which other Potential
Holder(s) or Existing Holder(s) they shall receive, as the case may be, shares of MuniPreferred of
such series. Notwithstanding any provision of the Auction Procedures or the Settlement Procedures
to the contrary, in the event an Existing Holder or Beneficial Owner of shares of a series of
MuniPreferred with respect to whom a Broker-Dealer submitted a Bid to the Auction Agent for such
shares that was accepted in whole or in part, or submitted or is deemed to have submitted a Sell
Order for such shares that was accepted in whole or in part, fails to instruct its Agent Member to
deliver such shares against payment therefor, partial deliveries of shares of MuniPreferred that
have been made in respect of Potential Holders&#146; or Potential Beneficial Owners&#146; Submitted Bids for
shares of such series that have been accepted in whole or in part shall constitute good delivery to
such Potential Holders and Potential Beneficial Owners.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)&nbsp;Neither the Fund nor the Auction Agent nor any affiliate of either shall have any
responsibility or liability with respect to the failure of an Existing Holder, a Potential Holder,
a Beneficial Owner, a Potential Beneficial Owner or its respective Agent Member to deliver shares
of MuniPreferred of any series or to pay for shares of MuniPreferred of any series sold or
purchased pursuant to the Auction Procedures or otherwise.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>5.&nbsp;Notification of Allocations</B>. Whenever the Fund intends to include any net capital gains or
other income taxable for Federal income tax purposes in any dividend on shares of MuniPreferred,
the Fund shall, in the case of a Minimum Rate Period or a Special Rate Period of 28 Rate Period
Days or fewer, and may, in the case of any other Special Rate Period, notify the Auction Agent of
the amount to be so included not later than the Dividend Payment Date next preceding the Auction
Date on which the Applicable Rate for such dividend is to be established. Whenever the Auction
Agent receives such notice from the Fund, it will be required in turn to notify each Broker-Dealer,
who, on or prior to such Auction Date, in accordance with its Broker-Dealer Agreement, will be
required to notify its Beneficial Owners and Potential Beneficial Owners of shares of MuniPreferred
believed by it to be interested in submitting an Order in the Auction to be held on such Auction
Date.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>6.&nbsp;Auction Agent</B>. For so long as any shares of MuniPreferred are outstanding, the Auction
Agent, duly appointed by the Fund to so act, shall be in each case a commercial bank, trust company
or other financial institution independent of the Fund and its affiliates (which however, may
engage or have engaged in business transactions with the Fund or its affiliates) and at no time
shall the Fund or any of its affiliates act as the Auction Agent in connection with the Auction
Procedures. If the Auction Agent resigns or for any reason its appointment is terminated during
any period that any shares of MuniPreferred are outstanding, the Board of Trustees shall use its
best efforts promptly thereafter to appoint another qualified commercial bank, trust company or
financial institution to act as the Auction Agent. The Auction Agent&#146;s registry of Existing
Holders of shares of a series of MuniPreferred shall be conclusive and binding on the Broker-
Dealers. A Broker-Dealer may inquire of the Auction Agent between 3:00 p.m. on the Business Day
preceding an Auction for shares of a series of MuniPreferred and 9:30 a.m. on the Auction Date for
such Auction to ascertain the number of shares of such series in respect of which the Auction Agent
has determined such Broker-Dealer to be an Existing Holder. If such Broker-
Dealer believes it is the Existing Holder of fewer shares of such series than specified by the
Auction Agent in response to such Broker-Dealer&#146;s inquiry, such Broker-Dealer may so inform the
Auction Agent
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->40<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">of that belief. Such Broker-Dealer shall not, in its capacity as Existing Holder of
shares of such series, submit Orders in such Auction in respect of shares of such series covering
in the aggregate more than the number of shares of such series specified by the Auction Agent in
response to such Broker-Dealer&#146;s inquiry.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>7.&nbsp;Transfer of Shares of MuniPreferred</B>. Unless otherwise permitted by the Fund, a Beneficial
Owner or an Existing Holder may sell, transfer or otherwise dispose of shares of MuniPreferred only
in whole shares and only pursuant to a Bid or Sell Order placed with the Auction Agent in
accordance with the procedures described in this Part&nbsp;II or to a Broker-Dealer, <I>provided</I>, <I>however</I>,
that (a)&nbsp;a sale, transfer or other disposition of shares of MuniPreferred from a customer of a
Broker-Dealer who is listed on the records of that Broker-Dealer as the holder of such shares to
that Broker-Dealer or another customer of that Broker-Dealer shall not be deemed to be a sale,
transfer or other disposition for purposes of this Section&nbsp;7 if such Broker-Dealer remains the
Existing Holder of the shares so sold, transferred or disposed of immediately after such sale,
transfer or disposition and (b)&nbsp;in the case of all transfers other than pursuant to Auctions, the
Broker-Dealer (or other Person, if permitted by the Fund) to whom such transfer is made shall
advise the Auction Agent of such transfer.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>8.&nbsp;Global Certificate</B>. Prior to the commencement of a Voting Period, (i)&nbsp;all of the shares of
a series of MuniPreferred outstanding from time to time shall be represented by one global
certificate registered in the name of the Securities Depository or its nominee and (ii)&nbsp;no
registration of transfer of shares of a series of MuniPreferred shall be made on the books of the
Fund to any Person other than the Securities Depository or its nominee.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><I>(Signature Page Follows)</I>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->41<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;IN WITNESS WHEREOF, <B>Nuveen Insured Tax-Free Advantage Municipal Fund</B>, has caused these
presents to be signed on &#95;&#95;&#95;, 2009 in its name and on its behalf by its Vice President and
attested by its Assistant Secretary. The Fund&#146;s Declaration of Trust is on file with the Secretary
of State of the Commonwealth of Massachusetts, and the said officers of the Fund have executed this
Statement as officers and not individually, and the obligations and rights set forth in this
Statement are not binding upon any such officers, or the trustees or shareholders of the Fund,
individually, but are binding only upon the assets and property of the Fund.
</DIV>

<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">NUVEEN INSURED TAX-FREE ADVANTAGE<BR>
MUNICIPAL FUND<BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">By:&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left">Kevin J. McCarthy&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left">Vice President&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="32%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="58%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">ATTEST:</DIV></TD>
    <TD>&nbsp;</TD>

<TD align="left" valign="top" style="border-bottom: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Virginia O&#146;Neal</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Assistant Secretary</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="right" style="font-size: 10pt; margin-top: 12pt"><I>(Nat&#146;I-Statement)</I>
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->42<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="right" style="font-size: 10pt; margin-top: 12pt"><B>Appendix&nbsp;A</B>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>NUVEEN INSURED TAX-FREE ADVANTAGE MUNICIPAL FUND</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Section&nbsp;1. Designation as to Series</B>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Series&nbsp;T</B>: A series of 2,880 Preferred Shares, par value $.01 per share, liquidation
preference $25,000 per share, is hereby designated &#147;Municipal Auction Rate Cumulative Preferred
Shares, Series&nbsp;T.&#148; Each of the 2,880 shares of Series&nbsp;T MuniPreferred issued on January&nbsp;17, 2003
shall, for purposes hereof, be deemed to have a Date of Original Issue of January&nbsp;17, 2003; have an
Applicable Rate for its Initial Rate Period equal to 1.10% per annum; have an initial Dividend
Payment Date of January&nbsp;29, 2003; and have such other preferences, limitations and relative voting
rights, in addition to those required by applicable law or set forth in the Declaration of Trust
applicable to Preferred Shares of the Fund, as set forth in Part&nbsp;I and Part&nbsp;II of this Statement.
Any shares of Series&nbsp;T MuniPreferred issued thereafter shall be issued on the first day of a Rate
Period of the then outstanding shares of Series&nbsp;T MuniPreferred, shall have, for such Rate Period,
an Applicable Rate equal to the Applicable Rate for shares of such series established in the first
Auction for shares of such series preceding the date of such issuance; and shall have such other
preferences, limitations and relative voting rights, in addition to those required by applicable
law or set forth in the Declaration of Trust applicable to Preferred Shares of the Fund, as set
forth in Part&nbsp;I and Part&nbsp;II of this Statement. The Series&nbsp;T MuniPreferred shall constitute a
separate series of Preferred Shares of the Fund, and each share of Series&nbsp;T MuniPreferred shall be
identical except as provided in Section&nbsp;11 of Part&nbsp;I of this Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Series&nbsp;W</B>: A series of 2,880 Preferred Shares, par value $.01 per share, liquidation
preference $25,000 per share, is hereby designated &#147;Municipal Auction Rate Cumulative Preferred
Shares, Series&nbsp;W.&#148; Each of the 2,880 shares of Series&nbsp;W MuniPreferred issued on January&nbsp;17, 2003
shall, for purposes hereof, be deemed to have a Date of Original Issue of January&nbsp;17, 2003; have an
Applicable Rate for its Initial Rate Period equal to 1.10% per annum; have an initial Dividend
Payment Date of January&nbsp;30, 2003; and have such other preferences, limitations and relative voting
rights, in addition to those required by applicable law or set forth in the Declaration of Trust
applicable to Preferred Shares of the Fund, as set forth in Part&nbsp;I and Part&nbsp;II of this Statement.
Any shares of Series&nbsp;W MuniPreferred issued thereafter shall be issued on the first day of a Rate
Period of the then outstanding shares of Series&nbsp;W MuniPreferred, shall have, for such Rate Period,
an Applicable Rate equal to the Applicable Rate for shares of such series established in the first
Auction for shares of such series preceding the date of such issuance; and shall have such other
preferences, limitations and relative voting rights, in addition to those required by applicable
law or set forth in the Declaration of Trust applicable to Preferred Shares of the Fund, as set
forth in Part&nbsp;I and Part&nbsp;II of this Statement. The Series&nbsp;W MuniPreferred shall constitute a
separate series of Preferred Shares of the Fund, and each share of Series&nbsp;W MuniPreferred shall be
identical except as provided in Section&nbsp;11 of Part&nbsp;I of this Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Series&nbsp;W2</B>:
A series of &#95;&#95;&#95; Preferred Shares, par value $.01 per share, liquidation
preference $25,000 per share, is hereby designated &#147;Municipal Auction Rate Cumulative Preferred
Shares, Series&nbsp;W2.&#148; Each of the &#95;&#95;&#95; shares of Series&nbsp;W2 MuniPreferred issued on &#95;&#95;&#95;, 2009
shall, for purposes hereof, be deemed to have a Date of Original Issue of &#95;&#95;&#95;, 2009; have an
Applicable Rate for its Initial Rate Period equal to &#95;&#95;&#95;% per annum; have an initial Dividend
Payment Date of &#95;&#95;&#95;, 2009; and have such other preferences, limitations and relative voting
rights, in addition to those required by applicable law or set forth in the Declaration of Trust
applicable to Preferred Shares of the Fund, as set forth in Part&nbsp;I and Part&nbsp;II of this Statement.
Any shares of Series&nbsp;W2 MuniPreferred issued thereafter shall be issued on the first day of a Rate
Period of the then outstanding shares of Series&nbsp;W2 MuniPreferred, shall have, for such Rate Period,
an Applicable Rate equal to the Applicable Rate for shares of such series established in the first
Auction for shares of such series
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->A-1<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 10pt">preceding the date of such issuance; and shall have such other preferences, limitations and
relative voting rights, in addition to those required by applicable law or set forth in the
Declaration of Trust applicable to Preferred Shares of the Fund, as set forth in Part&nbsp;I and Part&nbsp;II
of this Statement. The Series&nbsp;W2 MuniPreferred shall constitute a separate series of Preferred
Shares of the Fund, and each share of Series&nbsp;W2 MuniPreferred shall be identical except as provided
in Section&nbsp;11 of Part&nbsp;I of this Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Section&nbsp;2. Number of Authorized Shares Per Series</B>. The number of authorized shares
constituting Series&nbsp;T, W and W2 MuniPreferred is 2,880, 2,880 and &#95;&#95;&#95;, respectively.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Section&nbsp;3. Exceptions to Certain Definitions</B>. Notwithstanding the definitions contained under
the heading &#147;Definitions&#148; in this Statement, the following terms shall have the following meanings
for purposes of this Statement:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Not applicable.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Section&nbsp;4. Certain Definitions</B>. For purposes of this Statement, the following terms shall
have the following meanings (with terms defined in the singular having comparable meanings when
used in the plural and vice versa), unless the context otherwise requires:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<B>Escrowed Bonds</B>&#148; shall have the meaning specified in guidelines provided by a rating agency,
as may be amended from time to time by a rating agency, in connection with that rating agency&#146;s
ratings of shares of MuniPreferred.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
&nbsp;&nbsp;&#147;<B>Gross-Up Payment</B>&#148; means payment to a Holder of shares of MuniPreferred of an amount which,
when taken together with the aggregate amount of Taxable Allocations made to such Holder to which
such Gross-up Payment relates, would cause such Holder&#146;s dividends in dollars (after Federal income
tax consequences) from the aggregate of such Taxable Allocations and the related Gross-up Payment
to be equal to the dollar amount of the dividends which would have been received by such Holder if
the amount of such aggregate Taxable Allocations would have been excludable from the gross income
of such Holder. Such Gross-up Payment shall be calculated (i)&nbsp;without consideration being given to
the time value of money; (ii)&nbsp;assuming that no Holder of shares of MuniPreferred is subject to the
Federal alternative minimum tax with respect to dividends received from the Fund; and
(iii)&nbsp;assuming that each Taxable Allocation and each Gross-up Payment (except to the extent such
Gross-up Payment is designated as an exempt-interest dividend under Section&nbsp;852(b)(5) of the Code
or successor provisions) would be taxable in the hands of each Holder of shares of MuniPreferred at
the maximum marginal combined regular Federal and California personal income tax rate applicable to
ordinary income (taking into account the Federal income tax deductibility of state and local taxes
paid or incurred) or net capital gains, as applicable, or the maximum marginal regular Federal
corporate income tax rate applicable to ordinary income or net capital gains, as applicable,
whichever is greater, in effect at the time such Gross-up Payment is made.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
&nbsp;&nbsp;&#147;<B>Moody&#146;s Discount Factor</B>&#148; means the discount factors set forth in the guidelines provided by
Moody&#146;s, as may be amended from time to time by Moody&#146;s, for use in calculating the Discounted
Value of the Fund&#146;s assets in connection with Moody&#146;s ratings of shares of MuniPreferred.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
&nbsp;&nbsp;&#147;<B>Moody&#146;s Eligible Asset</B>&#148; means assets of the Fund set forth in the guidelines provided by
Moody&#146;s, as may be amended from time to time by Moody&#146;s, as eligible for inclusion in calculating
the Discounted Value of the Fund&#146;s assets in connection with Moody&#146;s ratings of shares of
MuniPreferred.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->A-2<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
&nbsp;&nbsp;&#147;<B>Original Issue Insurance</B>&#148; shall mean &#147;Original Issue Insurance&#148; as defined in the Fund&#146;s
Registration Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
&nbsp;&nbsp;&#147;<B>Permanent Insurance</B>&#148; shall mean &#147;Permanent Insurance&#148; as defined in the Fund&#146;s Registration
Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
&nbsp;&nbsp;&#147;<B>Portfolio Insurance</B>&#148; shall mean &#147;Portfolio Insurance&#148; as defined in the Fund&#146;s Registration
Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
&nbsp;&nbsp;&#147;<B>Rate Multiple</B>,&#148; for shares of a series of MuniPreferred on any Auction Date for shares of
such series, shall mean the percentage, determined as set forth below, based on the prevailing
rating of shares of such series in effect at the close of business on the Business Day next
preceding such Auction Date:
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="left" style="border-bottom: 1px solid #000000"><B>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prevailing Rating</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Percentage</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&#147;aa3&#148;/AA&#151; or higher</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">110</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&#147;a3&#148;/A&#151;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">125</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&#147;baa3&#148;/BBB&#151;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">150</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&#147;ba3&#148;/BB&#151;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">200</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Below &#147;ba3&#148;/BB&#151;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">250</TD>
    <TD nowrap>%</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt"><I>provided</I>, <I>however</I>, that in the event the Fund has notified the Auction Agent of its intent to
allocate income taxable for Federal income tax purposes to shares of such series prior to the
Auction establishing the Applicable Rate for shares of such series, the applicable percentage in
the foregoing table shall be divided by the quantity 1 minus the maximum marginal regular Federal
personal income tax rate applicable to ordinary income or the maximum marginal regular Federal
corporate income tax rate applicable to ordinary income, whichever is greater.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;For purposes of this definition, the &#147;prevailing rating&#148; of shares of a series of
MuniPreferred shall be (i) &#147;aa3&#148;/AA&#151; or higher if such shares have a rating of &#147;aa3&#148; or better by
Moody&#146;s and AA&#151; or better by S&#038;P or the equivalent of such ratings by such agencies or a
substitute rating agency or substitute rating agencies selected as provided below, (ii)&nbsp;if not
&#147;aa3&#148;/AA&#151; or higher, then &#147;a3&#148;/A&#151; if such shares have a rating of &#147;a3&#148; or better by Moody&#146;s and
A&#151; or better by S&#038;P or the equivalent of such ratings by such agencies or a substitute rating
agency or substitute rating agencies selected as provided below, (iii)&nbsp;if not &#147;aa3&#148;/AA&#151; or higher
or &#147;a3&#148;/A&#151;, then &#147;baa3&#148;/BBB&#151; if such shares have a rating of &#147;baa3&#148; or better by Moody&#146;s and
BBB&#151; or better by S&#038;P or the equivalent of such ratings by such agencies or a substitute rating
agency or substitute rating agencies selected as provided below, (iv)&nbsp;if not &#147;aa3&#148;/AA&#151; or higher,
&#147;a3&#148;/A&#151; or &#147;baa3&#148;/BBB&#151;, then &#147;ba3&#148;/BB&#151; if such shares have a rating of &#147;ba3&#148; or better by
Moody&#146;s and BB&#151; or better by S&#038;P or the equivalent of such ratings by such agencies or a
substitute rating agency or substitute rating agencies selected as provided below, and (v)&nbsp;if not
&#147;aa3&#148;/AA&#151; or higher, &#147;a3&#148;/A&#151;, &#147;baa3&#148;/BBB&#151;, or &#147;ba3&#148;/BB&#151;, then Below &#147;ba3&#148;/BB&#151;; <I>provided</I>,
<I>however</I>, that if such shares are rated by only one rating agency, the prevailing rating will be
determined without reference to the rating of any other rating agency. The Fund shall take all
reasonable action necessary to enable either S&#038;P or Moody&#146;s to provide a rating for shares of
MuniPreferred. If neither S&#038;P nor Moody&#146;s shall make such a rating available, the party set forth
in Section&nbsp;7 of Appendix&nbsp;A or its successor shall select at least one nationally recognized
statistical rating organization (as that term is used in the rules and regulations of the
Securities and Exchange Commission under the Securities Exchange Act of 1934, as amended from time
to time) to act as a substitute rating agency in respect of shares of the series of MuniPreferred
set forth opposite such party&#146;s name in Section&nbsp;7 of Appendix&nbsp;A and the Fund shall take all
reasonable action to enable such rating agency to provide a rating for such shares.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->A-3<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
&nbsp;&nbsp;&#148;<B>S&#038;P Discount Factor</B>&#148; means the discount factors set forth in the guidelines provided by S&#038;P,
as may be amended from time to time by S&#038;P, for use in calculating the Discounted Value of the
Fund&#146;s assets in connection with S&#038;P&#146;s ratings of shares of MuniPreferred.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
&nbsp;&nbsp;&#148;<B>S&#038;P Eligible Asset</B>&#148; means assets of the Fund set forth in the guidelines provided by S&#038;P, as
may be amended from time to time by S&#038;P, as eligible for inclusion in calculating the Discounted
Value of the Fund&#146;s assets in connection with S&#038;P&#146;s ratings of shares of MuniPreferred.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<B>Secondary Market Insurance</B>&#148;
shall mean &#147;Secondary Market Insurance&#148; as defined in the Fund&#146;s
Registration Statement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Section&nbsp;5.
Initial Rate Periods</B>. The Initial Rate Period for shares of Series&nbsp;T, W and W2
MuniPreferred shall be the period from and including the Date of Original Issue thereof to but
excluding January&nbsp;29, 2003, January&nbsp;30, 2003 and &#95;&#95;&#95;, 2009, respectively.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Section&nbsp;6. Date for
Purposes of Paragraph (zzz)&nbsp;Contained Under the Heading &#147;Definitions&#148; in
this Statement</B>. May&nbsp;30, 2003 with respect to Series&nbsp;T MuniPreferred and Series&nbsp;W
MuniPreferred and &#95;&#95;&#95;, 2009 with respect to Series&nbsp;W2 MuniPreferred.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Section&nbsp;7.
Party Named for Purposes of the Definition of &#147;Rate Multiple&#148; in this Statement</B>.

</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="47%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="47%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Party</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Series of MuniPreferred</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:125px; text-indent:-15px">Salomon Smith Barney Inc.<BR>
&#95;&#95;&#95;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">Series&nbsp;T and Series&nbsp;W<BR>
Series&nbsp;W2</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Section&nbsp;8. Additional Definitions</B>.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;None.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Section&nbsp;9. Dividend Payment Dates</B>. Except as otherwise provided in paragraph (d)&nbsp;of Section&nbsp;2
of Part&nbsp;I of this Statement, dividends shall be payable on shares of:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Series&nbsp;T MuniPreferred, for the Initial Rate Period on Wednesday, January&nbsp;29, 2003, and on
each Wednesday thereafter.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Series&nbsp;W MuniPreferred, for the Initial Rate Period on Thursday, January&nbsp;30, 2003, and on each
Thursday thereafter.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Series&nbsp;W2 MuniPreferred, for the Initial Rate Period on &#95;&#95;&#95;, &#95;&#95;&#95;, 2009, and on each
Thursday thereafter.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Section&nbsp;10. Amount for Purposes of Subparagraph (c)(i) of Section&nbsp;5 of Part&nbsp;I of this
Statement</B>. $&#95;&#95;&#95;,000,000.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Section&nbsp;11. Redemption Provisions Applicable to Initial Rate Periods</B>. Not applicable.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Section&nbsp;12. Applicable Rate for Purposes of Subparagraph (B)(Iii) of Section&nbsp;3 of Part&nbsp;II of
this Statement</B>. For purposes of subparagraph (b)(iii) of Section&nbsp;3 of Part&nbsp;II of this Statement,
the Applicable Rate for shares of such series for the next succeeding Rate Period of shares of such
series shall be equal to the lesser of the Kenny Index (if such Rate Period consists of fewer than
183 Rate Period
Days) or the product of (A)(I) the &#147;AA&#148; Composite Commercial Paper Rate on such Auction Date
for
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">such Rate Period, if such Rate Period consists of fewer than 183 Rate Period Days; (II)&nbsp;the
Treasury Bill Rate on such Auction Date for such Rate Period, if such Rate Period consists of more
than 182 but fewer than 365 Rate Period Days; or (III)&nbsp;the Treasury Note Rate on such Auction Date
for such Rate Period, if such Rate Period is more than 364 Rate Period Days (the rate described in
the foregoing clause (A)(I), (II)&nbsp;or (III), as applicable, being referred to herein as the
&#147;Benchmark Rate&#148;) and (B)&nbsp;1 minus the maximum marginal regular Federal personal income tax rate
applicable to ordinary income or the maximum marginal regular Federal corporate income tax rate
applicable to ordinary income, whichever is greater; <I>provided</I>, <I>however</I>, that if the Fund has
notified the Auction Agent of its intent to allocate to shares of such series in such Rate Period
any net capital gains or other income taxable for Federal income tax purposes (&#147;Taxable Income&#148;),
the Applicable Rate for shares of such series for such Rate Period will be (i)&nbsp;if the Taxable Yield
Rate (as defined below) is greater than the Benchmark Rate, then the Benchmark Rate, or (ii)&nbsp;if the
Taxable Yield Rate is less than or equal to the Benchmark Rate, then the rate equal to the sum of
(x)&nbsp;the lesser of the Kenny Index (if such Rate Period consists of fewer than 183 Rate Period Days)
or the product of the Benchmark Rate multiplied by the factor set forth in the preceding clause (B)
and (y)&nbsp;the product of the maximum marginal regular Federal personal income tax rate applicable to
ordinary income or the maximum marginal regular Federal corporate income tax applicable to ordinary
income, whichever is greater, multiplied by the Taxable Yield Rate. For purposes of the foregoing,
Taxable Yield Rate means the rate determined by (a)&nbsp;dividing the amount of Taxable Income available
for distribution per such share of MuniPreferred by the number of days in the Dividend Period in
respect of which such Taxable Income is contemplated to be distributed, (b)&nbsp;multiplying the amount
determined in (a)&nbsp;above by 365 (in the case of a Dividend Period of 7 Rate Period Days) or 360 (in
the case of any other Dividend Period), and (c)&nbsp;dividing the amount determined in (b)&nbsp;above by
$25,000.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Section&nbsp;13. Certain Other Restrictions and Requirements</B>. Certain other restrictions and
requirements are specified in guidelines provided by a rating agency, as may be amended from time
to time by a rating agency, in connection with that rating agency&#146;s ratings of shares of
MuniPreferred.
</DIV>


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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">





<DIV align="left">
<A name="116"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>APPENDIX B</B>
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>Ratings of Investments</B>

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Standard &#038; Poor&#146;s Corporation&#151;A brief description of the applicable Standard &#038; Poor&#146;s
Corporation Ratings Group, a division of The McGraw-Hill Companies (&#147;Standard &#038; Poor&#146;s&#148; or &#147;S&#038;P&#148;),
rating symbols and their meanings (as published by S&#038;P) follows:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A Standard &#038; Poor&#146;s issue credit rating is a current opinion of the creditworthiness of an
obligor with respect to a specific financial obligation, a specific class of financial obligations,
or a specific financial program (including ratings on medium term note programs and commercial
paper programs). It takes into consideration the creditworthiness of guarantors, insurers, or
other forms of credit enhancement on the obligation and takes into account the currency in which
the obligation is denominated. The issue credit rating is not a recommendation to purchase, sell,
or hold a financial obligation, inasmuch as it does not comment as to market price or suitability
for a particular investor.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Issue credit ratings are based on current information furnished by the obligors or obtained by
Standard &#038; Poor&#146;s from other sources it considers reliable. Standard &#038; Poor&#146;s does not perform an
audit in connection with any credit rating and may, on occasion, rely on unaudited financial
information. Credit ratings may be changed, suspended, or withdrawn as a result of changes in, or
unavailability of, such information, or based on other circumstances.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Issue credit ratings can be either long-term or short-term. Short-term ratings are generally
assigned to those obligations considered short-term in the relevant market. In the U.S., for
example, that means obligations with an original maturity of no more than 365&nbsp;days&#151;including
commercial paper.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Short-term ratings are also used to indicate the creditworthiness of an obligor with respect
to put features on long-term obligations. The result is a dual rating, in which the short-term
rating addresses the put feature, in addition to the usual long-term rating. Medium-term notes are
assigned long-term ratings.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Long-Term Issue Credit Ratings</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Issue credit ratings are based in varying degrees, on the following considerations:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. Likelihood of payment capacity and willingness of the obligor to meet its financial
commitment on an obligation in accordance with the terms of the obligation;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. Nature of and provisions of the obligation; and
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. Protection afforded by, and relative position of, the obligation in the event of
bankruptcy, reorganization, or other arrangement under the laws of bankruptcy and other laws
affecting creditors&#146; rights.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The issue ratings definitions are expressed in terms of default risk. As such, they pertain
to senior obligations of an entity. Junior obligations are typically rated lower than senior
obligations, to reflect the lower priority in bankruptcy, as noted above. (Such differentration
applies when an entity has both senior and subordinated obligations, secured and unsecured
obligations, or operating company and holding company obligations.) Accordingly, in the case of
junior debt, the rating may not conform exactly with the category definition.
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;AAA
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;An obligation rated &#145;AAA&#146; has the highest rating assigned by Standard &#038; Poor&#146;s. The obligor&#146;s
capacity to meet its financial commitment on the obligation is extremely strong.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;AA
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;An obligation rated &#145;AA&#146; differs from the highest-rated obligations only in small degree. The
obligor&#146;s capacity to meet its financial commitment on the obligation is very strong.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;An obligation rated &#145;A&#146; is somewhat more susceptible to the adverse effects of changes in
circumstances and economic conditions than obligations in higher-rated categories. However, the
obligor&#146;s capacity to meet its financial commitment on the obligation is still strong.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;BBB
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;An obligation rated &#145;BBB&#146; exhibits adequate protection parameters. However, adverse economic
conditions or changing circumstances are more likely to lead to a weakened capacity of the obligor
to meet its financial commitment on the obligation.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;BB, B, CCC, CC, and C
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Obligations rated &#145;BB&#146;, &#145;B&#146;, &#145;CCC&#146;, &#145;CC&#146;, and &#145;C&#146; are regarded as having significant
speculative characteristics. &#145;BB&#146; indicates the least degree of speculation and &#145;C&#146; the highest.
While such obligations will likely have some quality and protective characteristics, these may be
outweighed by large uncertainties or major exposures to adverse conditions.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;BB
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;An obligation rated &#145;BB&#146; is less vulnerable to nonpayment than other speculative issues.
However, it faces major ongoing uncertainties or exposure to adverse business, financial, or
economic conditions, which could lead to the obligor&#146;s inadequate capacity to meet its financial
commitment on the obligation.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;B
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;An obligation rated &#145;B&#146; is more vulnerable to nonpayment than obligations rated &#145;BB&#146;, but the
obligor currently has the capacity to meet its financial commitment on the obligation. Adverse
business, financial, or economic conditions will likely impair the obligor&#146;s capacity or
willingness to meet its financial commitment on the obligation.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;CCC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;An obligation rated &#145;CCC&#146; is currently vulnerable to nonpayment and is dependent upon
favorable business, financial, and economic conditions for the obligor to meet its financial
commitment on the obligation. In the event of adverse business, financial, or economic conditions,
the obligor is not likely to have the capacity to meet its financial commitment on the obligation.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;CC
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;An obligation rated &#145;CC&#146; is currently highly vulnerable to nonpayment.
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;C
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A Subordinated debt or preferred stock obligation rated &#145;C&#146; is CURRENTLY HIGHLY VULNERABLE to
nonpayment. The &#145;C&#146; rating may be used to cover a situation where a bankruptcy petition has been
filed or similar action has been taken, but payments on this obligation are being continued. A &#145;C&#146;
also will be assigned to a preferred stock issue in arrears on dividends or sinking fund payments,
but that is currently paying.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;D
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;An obligation rated &#145;D&#146; is in payment default. The &#145;D&#146; rating category is used when payments
on an obligation are not made on the date due even if the applicable grace period has not expired,
unless Standard &#038; Poor&#146;s believes that such payments will be made during such grace period. The
&#145;D&#146; rating also will be used upon the filing of a bankruptcy petition or the taking of a similar
action if payments on an obligation are jeopardized.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Plus (&#043;) or minus (-). The ratings from &#145;AA&#146; to &#145;CCC&#146; may be modified by the addition of a
plus or minus sign to show relative standing within the major rating categories.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;r
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This symbol is attached to the ratings of instruments with significant noncredit risks. It
highlights risks to principal or volatility of expected returns which are not addressed in the
credit rating.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;N.R.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This indicates that no rating has been requested, that there is insufficient information on
which to base a rating, or that Standard &#038; Poor&#146;s does not rate a particular obligation as a matter
of policy.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Short-Term Issue Credit Ratings</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A-1
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A short-term obligation rated &#145;A-1&#146; is rated in the highest category by Standard &#038; Poor&#146;s.
The obligor&#146;s capacity to meet its financial commitment on the obligation is strong. Within this
category, certain obligations are designated with a plus sign (&#043;). This indicates that the
obligor&#146;s capacity to meet its financial commitment on these obligations is extremely strong.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A-2
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A short-term obligation rated &#145;A-2&#146; is somewhat more susceptible to the adverse effects of
changes in circumstances and economic conditions than obligations in higher rating categories.
However, the obligor&#146;s capacity to meet its financial commitment on the obligation is satisfactory.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A-3
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A short-term obligation rated &#145;A-3&#146; exhibits adequate protection parameters. However, adverse
economic conditions or changing circumstances are more likely to lead to a weakened capacity of the
obligor to meet its financial commitment on the obligation.
</DIV>

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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;B
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A short-term obligation rated &#145;B&#146; is regarded as having significant speculative
characteristics. The obligor currently has the capacity to meet its financial commitment on the
obligation; however, it faces major ongoing uncertainties which could lead to the obligor&#146;s
inadequate capacity to meet its financial commitment on the obligation.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;C
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A short-term obligation rated &#145;C&#146; is currently vulnerable to nonpayment and is dependent upon
favorable business, financial, and economic conditions for the obligor to meet its financial
commitment on the obligation.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;D
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A short-term obligation
rated &#145;D&#146; is in payment default. The &#145;D&#146; rating category is used when
payments on an obligation are not made on the date due even if the applicable grace period has not
expired, unless Standard &#038; Poor&#146;s believes that such payments will be made during such grace
period. The &#145;D&#146; rating also will be used upon the filing of a bankruptcy petition or the taking of
a similar action if payments on an obligation are jeopardized.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Moody&#146;s
Investors Service, Inc.&#151;A brief description of the applicable Moody&#146;s Investors
Service, Inc. (&#147;Moody&#146;s&#148;) rating symbols and their meanings (as published by
Moody&#146;s) follows:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Municipal Bonds</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Aaa
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Bonds that are
rated &#145;Aaa&#146; are judged to be of the best quality. They carry the smallest
degree of investment risk and are generally referred to as &#147;gilt edged.&#148; Interest payments are
protected by a large or by an exceptionally stable margin and principal is secure. While the
various protective elements are likely to change, such changes as can be visualized are most
unlikely to impair the fundamentally strong position of such issues.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Aa
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Bonds that are rated &#145;Aa&#146; are judged to be of high quality by all standards. Together with
the &#145;Aaa&#146; group they comprise what are generally known as high grade bonds. They are rated lower
than the best bonds because margins of protection may not be as large as in &#145;Aaa&#146; securities or
fluctuation of protective elements may be of greater amplitude or there may be other elements
present that make the long-term risks appear somewhat larger than in &#145;Aaa&#146; securities.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Bonds that are rated &#145;A&#146; possess many favorable investment attributes and are to be considered
as upper medium grade obligations. Factors giving security to principal and interest are
considered adequate, but elements may be present that suggest a susceptibility to impairment
sometime in the future.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Baa
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Bonds that are rated &#145;Baa&#146; are considered as medium grade obligations, i.e., they are neither
highly protected nor poorly secured. Interest payments and principal security appear adequate for
the present but certain protective elements may be lacking or may be characteristically unreliable
over any
</DIV>

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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">great length of time. Such bonds lack outstanding investment characteristics and in fact have
speculative characteristics as well.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Ba
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Bonds that are rated &#145;Ba&#146; are judged to have speculative elements; their future cannot be
considered as well assured. Often the protection of interest and principal payments may be very
moderate and thereby not well safeguarded during both good and bad times over the future.
Uncertainty of position characterizes bonds in this class.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;B
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Bonds that are rated &#145;B&#146; generally lack characteristics of the desirable investment.
Assurance of interest and principal payments or of maintenance of other terms of the contract over
any long period of time may be small.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Caa
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Bonds that are rated &#145;Caa&#146; are of poor standing. Such issues may be in default or there may
be present elements of danger with respect to principal or interest.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Ca
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Bonds that are rated &#145;Ca&#146; represent obligations that are speculative in a high degree. Such
issues are often in default or have other marked shortcomings.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;C
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Bonds that are rated &#145;C&#146; are the lowest rated class of bonds, and issues so rated can be
regarded as having extremely poor prospects of ever attaining any real investment standing.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;#(hatchmark): Represents issues that are secured by escrowed funds held in cash, held in
trust, invested and reinvested in direct, non-callable, non-prepayable United States government
obligations or non-callable, non-prepayable obligations unconditionally guaranteed by the U.S.
Government, Resolution Funding Corporation debt obligations.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Con. (...): Bonds for which the security depends upon the completion of some act or the
fulfillment of some condition are rated conditionally. These are bonds secured by (a)&nbsp;earnings of
projects under construction, (b)&nbsp;earnings of projects unseasoned in operation experience,
(c)&nbsp;rentals that begin when facilities are completed, or (d)&nbsp;payments to which some other limiting
condition attaches. The parenthetical rating denotes probable credit stature upon completion of
construction or elimination of the basis of the condition.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(P): When applied to forward delivery bonds, indicates the rating is provisional pending
delivery of the bonds. The rating may be revised prior to delivery if changes occur in the legal
documents or the underlying credit quality of the bonds.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Note: Moody&#146;s applies numerical modifiers 1, 2 and 3 in each generic rating classification
from Aa through Caa. The modifier 1 indicates that the issue ranks in the higher end of its
generic rating category; the modifier 2 indicates a mid-range ranking; and the modifier 3 indicates
that the issue ranks in the lower end of its generic rating category.
</DIV>

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<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Short-Term Loans</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;MIG 1/VMIG 1
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This designation denotes superior credit quality. Excellent protection is afforded by
established cash flows, highly reliable liquidity support, or demonstrated broad-based access to
the market for refinancing.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;MIG 2/VMIG 2
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This designation denotes strong credit quality. Margins of protection are ample, although not
as large as in the preceding group.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;MIG 3/VMIG 3
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This designation denotes acceptable credit quality. Liquidity and cash-flow protection may be
narrow, and market access for refinancing is likely to be less well-established.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SG
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This designation denotes speculative-grade credit quality. Debt instruments in this category
may lack sufficient margins of protection.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Commercial Paper
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Issuers (or supporting institutions) rated Prime-1 have a superior ability for repayment of
senior short-term debt obligations. Prime-1 repayment ability will normally be evidenced by the
following characteristics:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Leading market positions in well-established industries.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>High rates of return on funds employed.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Conservative capitalization structures with moderate reliance on debt and ample
asset protection.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Broad margins in earnings coverage of fixed financial charges and high internal cash
generation.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Well-established access to a range of financial markets and assured sources of
alternate liquidity.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Issuers (or supporting institutions) rated Prime-2 have a strong ability for repayment of
senior short-term debt obligations. This will normally be evidenced by many of the characteristics
cited above but to a lesser degree. Earnings trends and coverage ratios, while sound, may be more
subject to variation than is the case for Prime-2 securities. Capitalization characteristics,
while still appropriate, may be more affected by external conditions. Ample alternate liquidity is
maintained.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Issuers (or supporting institutions) rated Prime-3 have an acceptable ability for repayment of
senior short-term debt obligations. The effect of industry characteristics and market composition
may be more pronounced. Variability in earnings and profitability may result in changes in the
level of debt protection measurements and the requirement for relatively high financial leverage.
Adequate alternate liquidity is maintained.
</DIV>

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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Issuers rated Not Prime do not fall within any of the Prime rating categories.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Fitch Ratings, Inc.&#151;A brief description of the applicable Fitch Ratings, Inc. (&#147;Fitch&#148;)
ratings symbols and meanings (as published by Fitch) follows:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Long-Term Credit Ratings</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Investment Grade
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;AAA
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Highest credit quality. &#145;AAA&#146; ratings denote the lowest expectation of credit risk. They are
assigned only in case of exceptionally strong capacity for timely payment of financial commitments.
This capacity is highly unlikely to be adversely affected by foreseeable events.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;AA
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Very high credit quality. &#145;AA&#146; ratings denote a very low expectation of credit risk. They
indicate very strong capacity for timely payment of financial commitments. This capacity is not
significantly vulnerable to foreseeable events.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;High credit quality. &#145;A&#146; ratings denote a low expectation of credit risk. The capacity for
timely payment of financial commitments is considered strong. This capacity may, nevertheless, be
more vulnerable to changes in circumstances or in economic conditions than is the case for higher
ratings.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;BBB
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Good credit quality. &#145;BBB&#146; ratings indicate that there is currently a low expectation of
credit risk. The capacity for timely payment of financial commitments is considered adequate, but
adverse changes in circumstances and in economic conditions are more likely to impair this
capacity. This is the lowest investment-grade category.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Speculative Grade
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;BB
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Speculative. &#145;BB&#146; ratings indicate that there is a possibility of credit risk developing,
particularly as the result of adverse economic change over time; however, business or financial
alternatives may be available to allow financial commitments to be met. Securities rated in this
category are not investment grade.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;B
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Highly speculative. &#145;B&#146; ratings indicate that significant credit risk is present, but a
limited margin of safety remains. Financial commitments are currently being met; however, capacity
for continued payment is contingent upon a sustained, favorable business and economic environment.
</DIV>

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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;CCC, CC, C
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;High default risk. Default is a real possibility. Capacity for meeting financial commitments
is solely reliant upon sustained, favorable business or economic developments. A &#145;CC&#146; rating
indicates that default of some kind appears probable. &#145;C&#146; ratings signal imminent default.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;DDD, DD, and D Default
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The ratings of obligations in this category are based on their prospects for achieving partial
or full recovery in a reorganization or liquidation of the obligor. While expected recovery values
are highly speculative and cannot be estimated with any precision, the following serve as general
guidelines. &#145;DDD&#146; obligations have the highest potential for recovery, around 90%-100% of
outstanding amounts and accrued interest. &#145;DD&#146; indicates potential recoveries in the range of
50%-90%, and &#145;D&#146; the lowest recovery potential, <I>i.e.</I>, below 50%. Entities rated in this category
have defaulted on some or all of their obligations. Entities rated &#145;DDD&#146; have the highest prospect
for resumption of performance or continued operation with or without a formal reorganization
process. Entities rated &#145;DD&#146; and &#145;D&#146; are generally undergoing a formal reorganization or
liquidation process; those rated &#145;DD&#146; are likely to satisfy a higher portion of their outstanding
obligations, while entities rated &#145;D&#146; have a poor prospect for repaying all obligations.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Short-Term Credit Ratings
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A short-term rating has a time horizon of less than 12&nbsp;months for most obligations, or up to
three years for U.S. public finance securities, and thus places greater emphasis on the liquidity
necessary to meet financial commitments in a timely manner.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;F1
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Highest credit quality. Indicates the strongest capacity for timely payment of financial
commitments; may have an added &#147;&#043;&#148; to denote any exceptionally strong credit feature.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;F2
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Good credit quality. A satisfactory capacity for timely payment of financial commitments, but
the margin of safety is not as great as in the case of the higher ratings.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;F3
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Fair credit quality. The capacity for timely payment of financial commitments is adequate;
however, near-term adverse changes could result in a reduction to non-investment grade. B
Speculative. Minimal capacity for timely payment of financial commitments, plus vulnerability to
near-term adverse changes in financial and economic conditions.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;B
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Speculative Minimal capacity for timely payment of financial commitments, plus vulnerability
to near-term adverse changes in financial and economic conditions.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;C
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;High default risk. Default is a real possibility. Capacity for meeting financial commitments
is solely reliant upon a sustained, favorable business and economic environment.
</DIV>

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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;D
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Default. Denotes actual or imminent payment default.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Notes to Long-term and Short-term ratings:</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;&#043;&#148; or &#147;-&#148; may be appended to a rating to denote relative status within major rating
categories. Such suffixes are not added to the &#145;AAA&#146; Long-term rating category, to categories
below &#145;CCC&#146;, or to Short-term ratings other than &#145;F1&#146;.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#145;NR&#146; indicates that Fitch Ratings does not rate the issuer or issue in question.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#145;Withdrawn&#146;: A rating is withdrawn when Fitch Ratings deems the amount of information
available to be inadequate for rating purposes, or when an obligation matures, is called, or
refinanced.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Rating Watch: Ratings are placed on Rating Watch to notify investors that there is a
reasonable probability of a rating change and the likely direction of such change. These are
designated as &#147;Positive&#148;, indicating a potential upgrade, &#147;Negative&#148;, for a potential downgrade, or
&#147;Evolving&#148;, if ratings may be raised, lowered or maintained. Rating Watch is typically resolved
over a relatively short period.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A Rating Outlook indicates the direction a rating is likely to move over a one to two year
period. Outlooks may be positive, stable, or negative. A positive or negative Rating Outlook does
not imply a rating change is inevitable. Similarly, ratings for which outlooks are &#145;stable&#146; could
be downgraded before an outlook moves to positive or negative if circumstances warrant such an
action. Occasionally, Fitch Ratings may be unable to identify the fundamental trend. In these
cases, the Rating Outlook may be described as evolving.
</DIV>


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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left">
<A name="117"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>APPENDIX C</B>
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>TAXABLE EQUIVALENT YIELD TABLE</B>

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The taxable equivalent yield is the current yield you would need to earn on a taxable
investment in order to equal a stated tax-free yield on a municipal investment. To assist you to
more easily compare municipal investments like the Fund with taxable alternative investments, the
table below presents the approximate taxable equivalent yields for individuals for a range of
hypothetical tax-free yields assuming the stated marginal federal tax rates for 2008 listed below.
This table should not be considered a representation or guarantee of future results.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>TAXABLE EQUIVALENT OF TAX-FREE YIELDS*</B>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>TAX-FREE YIELDS</B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 8pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="7%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="7%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="7%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="7%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="7%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="7%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="7%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="7%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="7%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="7%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center"><B>SINGLE-</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>FEDERAL</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center"><B>RETURN</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>JOINT-RETURN</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>TAX</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>BRACKET</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>BRACKET</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>RATE</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>4.00%</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>4.25%</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>4.50%</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>4.75%</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>5.00%</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>5.25%</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>5.50%</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD align="center" valign="top">0-$8,025
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">0-$16,050
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">10.0%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">4.44%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">5.00%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">5.56%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">6.11%</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top" NOWRAP>$8,025-$32,550
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top" NOWRAP>$16,050-$65,100
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">15.0%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">4.71%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">5.29%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">5.88%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">6.47%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD align="center" valign="top" NOWRAP>$32,550-$78,850
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">$65,100-$131,450
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">25.0%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">5.33%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">6.00%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">6.67%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">7.33%</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top">$78,850-$164,550
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">$131,450-$200,300
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">28.0%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">5.56%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">6.25%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">6.94%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">7.64%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD align="center" valign="top" NOWRAP>$164,550-$357,700
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top" NOWRAP>$200,300-$357,700
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">33.0%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">5.97%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">6.72%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">7.46%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">8.21%</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top">Over $357,700
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">Over $357,700
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">35.0%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">6.15%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">6.92%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">7.69%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">8.46%</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="8%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="8%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="8%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="8%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="8%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="8%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="8%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="8%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>5.75%</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>6.00%</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>6.25%</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>6.50%</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>6.75%</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>7.00%</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>7.25%</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>7.50%</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD align="center" valign="top">&nbsp;
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">6.67%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">7.22%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">7.78%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">8.33%</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top">&nbsp;
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">7.06%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">7.65%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">8.24%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">8.82%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD align="center" valign="top">&nbsp;
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">8.00%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">8.67%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">9.33%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">10.00%</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top">&nbsp;
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">8.33%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">9.03%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">9.72%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">10.42%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD align="center" valign="top">&nbsp;
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">8.96%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">9.70%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">10.45%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">11.19%</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top">&nbsp;
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">9.23%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">10.00%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">10.77%
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">11.54%</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">*</TD>
    <TD>&nbsp;</TD>
    <TD>Please note that the table does not reflect (i)&nbsp;any federal limitations on the amounts of
allowable itemized deductions, phase-outs of personal or dependent exemption credits or other
allowable credits, (ii)&nbsp;any state or local taxes imposed, or (iii)&nbsp;any alternative minimum
taxes or any taxes other than federal personal income taxes.</TD>
</TR>

</TABLE>



<P align="center" style="font-size: 10pt"><!-- Folio -->1<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">


<!--TOC-->
<!--/TOC-->





<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>PART C&#151;OTHER INFORMATION</B>
</DIV>

<!-- link2 "Item&nbsp;15. Indemnification" -->

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Item&nbsp;15. Indemnification</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Section&nbsp;4 of Article&nbsp;XII of Registrant&#146;s Declaration of Trust provides as follows:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Subject to the exceptions and limitations contained in this Section&nbsp;4, every person who is, or
has been, a Trustee, officer, employee or agent of the Trust, including persons who serve at the
request of the Trust as directors, trustees, officers, employees or agents of another organization
in which the Trust has an interest as a shareholder, creditor or otherwise (hereinafter referred to
as a &#147;Covered Person&#148;), shall be indemnified by the Trust to the fullest extent permitted by law
against liability and against all expenses reasonably incurred or paid by him in connection with
any claim, action, suit or proceeding in which he becomes involved as a party or otherwise by
virtue of his being or having been such a Trustee, director, officer, employee or agent and against
amounts paid or incurred by him in settlement thereof.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;No indemnification shall be provided hereunder to a Covered Person:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) against any liability to the Trust or its Shareholders by reason of a final
adjudication by the court or other body before which the proceeding was brought that he
engaged in willful misfeasance, bad faith, gross negligence or reckless disregard of the
duties involved in the conduct of his office;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) with respect to any matter as to which he shall have been finally adjudicated not
to have acted in good faith in the reasonable belief that his action was in the best
interests of the Trust; or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) in the event of a settlement or other disposition not involving a final
adjudication (as provided in paragraph (a)&nbsp;or (b)) and resulting in a payment by a Covered
Person, unless there has been either a determination that such Covered Person did not engage
in willful misfeasance, bad faith, gross negligence or reckless disregard of the duties
involved in the conduct of his office by the court or other body approving the settlement or
other disposition or a reasonable determination, based on a review of readily available
facts (as opposed to a full trial-type inquiry), that he did not engage in such conduct:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) by a vote of a majority of the Disinterested Trustees acting on the matter
(provided that a majority of the Disinterested Trustees then in office act on the
matter); or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) by written opinion of independent legal counsel.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The rights of indemnification herein provided may be insured against by policies maintained by
the Trust, shall be severable, shall not affect any other rights to which any Covered Person may
now or hereafter be entitled, shall continue as to a person who has ceased to
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 10pt">be such a Covered Person and shall inure to the benefit of the heirs, executors and
administrators of such a person. Nothing contained herein shall affect any rights to
indemnification to which Trust personnel other than Covered Persons may be entitled by contract or
otherwise under law.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Expenses of preparation and presentation of a defense to any claim, action, suit or proceeding
subject to a claim for indemnification under this Section&nbsp;4 shall be advanced by the Trust prior to
final disposition thereof upon receipt of an undertaking by or on behalf of the recipient to repay
such amount if it is ultimately determined that he is not entitled to indemnification under this
Section&nbsp;4, provided that either:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) such undertaking is secured by a surety bond or some other appropriate security or
the Trust shall be insured against losses arising out of any such advances; or
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) a majority of the Disinterested Trustees acting on the matter (provided that a
majority of the Disinterested Trustees then in office act on the matter) or independent
legal counsel in a written opinion shall determine, based upon a review of the readily
available facts (as opposed to a full trial-type inquiry), that there is reason to believe
that the recipient ultimately will be found entitled to indemnification.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As used in this Section&nbsp;4, a &#147;Disinterested Trustee&#148; is one (x)&nbsp;who is not an Interested
Person of the Trust (including anyone, as such Disinterested Trustee, who has been exempted from
being an Interested Person by any rule, regulation or order of the Commission), and (y)&nbsp;against
whom none of such actions, suits or other proceedings or another action, suit or other proceeding
on the same or similar grounds is then or has been pending.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As used in this Section&nbsp;4, the words &#147;claim,&#148; &#147;action,&#148; &#147;suit&#148; or &#147;proceeding&#148; shall apply to
all claims, actions, suits, proceedings (civil, criminal, administrative or other, including
appeals), actual or threatened; and the word &#147;liability&#148; and &#147;expenses&#148; shall include without
limitation, attorneys&#146; fees, costs, judgments, amounts paid in settlement, fines, penalties and
other liabilities.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<DIV align="center"><DIV style="font-size: 3pt; margin-top: 16pt; width: 26%; border-top: 1px solid #000000">&nbsp;</DIV></DIV>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The trustees and officers of the Registrant are covered by Investment Trust Directors and
officers Errors and Omission policies in the aggregate amount of $50,000,000 against liability and
expenses of claims of wrongful acts arising out of their position with the Registrant, except for
matters which involved willful acts, bad faith, gross negligence and willful disregard of duty
(i.e., where the insured did not act in good faith for a purpose he or she reasonably believed to
be in the best interest of Registrant or where he or she shall have had reasonable cause to believe
this conduct was unlawful). The policy has a $500,000 deductible, which does not apply to
individual trustees or officers.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#091;Section&nbsp;8 of the Underwriting Agreement provides for each of the parties thereto, including
the Registrant and the Underwriters, to indemnify the others, their trustees, directors, certain of
their officers, trustees, directors and persons who control them against certain
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left" style="font-size: 10pt; margin-top: 10pt">liabilities in connection with the offering described herein, including liabilities under the
federal securities laws.&#093;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Insofar as indemnification for liabilities arising under the Securities Act of 1933 may be
permitted to the directors, officers and controlling persons of the Registrant pursuant to the
foregoing provisions, or otherwise, the Registrant has been advised that in the opinion of the
Securities and Exchange Commission such indemnification is against public policy as expressed in
the Securities Act of 1933 and is, therefore, unenforceable. In the event that a claim for
indemnification against such liabilities (other than the payment by the Registrant of expenses
incurred or paid by a director, officer or controlling person of the Registrant in the successful
defense of any action, suit or proceeding) is asserted by such director, officer, or controlling
person in connection with the securities being registered, the Registrant will, unless in the
opinion of its counsel the matter has been settled by controlling precedent, submit to a court of
appropriate jurisdiction the question of whether such indemnification by it is against public
policy as expressed in the Securities Act of 1933 and will be governed by the final adjudication of
such issue.
</DIV>
<!-- link2 "Item&nbsp;16: Exhibits" -->

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Item&nbsp;16: Exhibits:</B>
</DIV>




<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="88%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(1</TD>
    <TD nowrap valign="top">)(a)</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Declaration of Trust of Registrant, dated July&nbsp;29, 2002.(1)</DIV></TD>
</TR>
<TR valign="bottom">
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">2</TD>
    <TD nowrap valign="top">(a)</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">By-Laws of Registrant (1)</DIV></TD>
</TR>
<TR valign="bottom">
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(2</TD>
    <TD nowrap valign="top">)(b)</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Amended and Restated By-Laws of Registrant, dated October&nbsp;22, 2002.(3)</DIV></TD>
</TR>
<TR valign="bottom">
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(2</TD>
    <TD nowrap valign="top">)(c)</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Amended and Restated By-Laws of Registrant, dated February&nbsp;20, 2006.(5)</DIV></TD>
</TR>
<TR valign="bottom">
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(3</TD>
    <TD nowrap valign="top">)</TD>
    <TD>&nbsp;</TD>

<TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Not Applicable.</DIV></TD>
</TR>
<TR valign="bottom">
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(4</TD>
    <TD nowrap valign="top">)</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Form of Agreement and Plan of Reorganization is filed herein as
Appendix&nbsp;A to Part A of this Registration Statement.</DIV></TD>
</TR>
<TR valign="bottom">
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(5</TD>
    <TD nowrap valign="top">)</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Form of Specimen Certificate of Shares of the Registrant.(3)</DIV></TD>
</TR>
<TR valign="bottom">
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(6</TD>
    <TD nowrap valign="top">)</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Investment Management Agreement between Registrant and Nuveen
Asset Management, dated November&nbsp;13, 2007.(5)</DIV></TD>
</TR>
<TR valign="bottom">
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(7</TD>
    <TD nowrap valign="top">)</TD>
    <TD>&nbsp;</TD>

<TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Not
Applicable.</DIV></TD>
</TR>
<TR valign="bottom">
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(8</TD>
    <TD nowrap valign="top">)</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Not Applicable.</DIV></TD>
</TR>
<TR valign="bottom">
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(9</TD>
    <TD nowrap valign="top">)</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Amended
and Restated Master Custodian Agreement between Registrant and State Street Bank
and Trust Company, dated February&nbsp;25, 2002.(5)</DIV></TD>
</TR>
<TR valign="bottom">
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(10</TD>
    <TD nowrap valign="top">)</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Not Applicable</DIV></TD>
</TR>
<TR valign="bottom">
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(11</TD>
    <TD nowrap valign="top">)</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Opinion and Consent of Vedder Price P.C.(5)</DIV></TD>
</TR>
<TR valign="bottom">
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(12</TD>
    <TD nowrap valign="top">)</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Opinion and Consent of Vedder Price P.C. supporting tax matters and
consequences.(5)</DIV></TD>
</TR>
<TR valign="bottom">
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(13</TD>
    <TD nowrap valign="top">)</TD>
    <TD>&nbsp;</TD>

<TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Not Applicable.</DIV></TD>
</TR>
<TR valign="bottom">
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(14</TD>
    <TD nowrap valign="top">)</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Consent of Independent Public Accountants.(5)</DIV></TD>
</TR>
<TR valign="bottom">
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(15</TD>
    <TD nowrap valign="top">)</TD>
    <TD>&nbsp;</TD>

<TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Not Applicable.</DIV></TD>
</TR>
<TR valign="bottom">
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(16</TD>
    <TD nowrap valign="top">)</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Original
Powers of Attorney, dated February&nbsp;27, 2009.(4)</DIV></TD>
</TR>
<TR valign="bottom">
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(17</TD>
    <TD nowrap valign="top">)(a)</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Form of Proxy.(5)</DIV></TD>
</TR>
<TR valign="bottom">
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(17</TD>
    <TD nowrap valign="top">)(b)</TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Terms and Conditions of the Dividend Reinvestment Plan, dated
November&nbsp;20, 2002.(2)</DIV></TD>
</TR>
<!-- End Table Body -->
</TABLE>

</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>
6
<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">(1)</TD>
    <TD>&nbsp;</TD>
    <TD>Incorporated by reference to Registrant&#146;s initial registration
statement on Form N-2 (File No.&nbsp;333-100320), as filed on October&nbsp;4,
2002.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(2)</TD>
    <TD>&nbsp;</TD>
    <TD>Incorporated by reference to Pre Effective Amendment No.&nbsp;2 to
Registrant&#146;s registration statement on Form N-2, as filed on
November&nbsp;20, 2002.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(3)</TD>
    <TD>&nbsp;</TD>
    <TD>Incorporated by reference to Post Effective Amendment No.&nbsp;1 to
Registrant&#146;s registration statement on Form N-2 (File No.
333-100320), as filed on November&nbsp;25, 2002.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>


<TR style="font-size: 3pt"><TD>                                                       </TD></TR>

<TR valign="top">
    <TD nowrap align="left">(4)</TD>
    <TD>&nbsp;</TD>
    <TD>Filed herewith.</TD>
</TR>

<TR style="font-size: 3pt"><TD>                                                        </TD></TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR style="font-size: 3pt"><TD>                                                       </TD></TR>

<TR valign="top">
    <TD nowrap align="left">(5)</TD>
    <TD>&nbsp;</TD>
    <TD>To be filed by amendment.</TD>
</TR>

<TR style="font-size: 3pt"><TD>                                                        </TD></TR>

</TABLE>


<!-- link2 "Item&nbsp;17: Undertakings" -->

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Item&nbsp;17: Undertakings</B>
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">(1)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Registrant undertakes to suspend the offering of its shares until it amends its prospectus if
(1)&nbsp;subsequent to the effective date of its Registration Statement, the net asset value
declines more than 10&nbsp;percent from its net asset value as of the effective date of the
Registration Statement, or (2)&nbsp;the net asset value increases to an amount greater than its net
proceeds as stated in the prospectus.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">(2)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Not Applicable.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">(3)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Not Applicable.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">(4)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Not Applicable.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">(5)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The Registrant undertakes that:</TD>
</TR>

</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">(a)&nbsp;for purposes of determining any liability under the Securities Act of 1933, the
information omitted from the form of prospectus filed as part of a registration statement
in reliance upon Rule&nbsp;430A and contained in the form of prospectus filed by the Registrant
under Rule 497(h) under the Securities Act of 1933 shall be deemed to be part of the
Registration Statement as of the time it was declared effective; and
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 3%">(b)&nbsp;for the purpose of determining any liability under the Securities Act of 1933, each
post-effective amendment that contains a form of prospectus shall be deemed to be a new
registration statement relating to the securities offered therein, and the offering of the
securities at that time shall be deemed to be the initial bona fide offering thereof.
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">(6)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The Registrant undertakes to send by first class mail or other means designed to ensure
equally prompt delivery, within two business days of receipt of a written or oral request, any
Statement of Additional Information.</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">



</TABLE>
</DIV>
<!-- link1 "SIGNATURES" -->

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>SIGNATURES</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt"><B>As required by the Securities Act of 1933, this registration statement has been signed on behalf of
the registrant, in the City of Chicago, and State of Illinois, on the
16th day of March, 2009.</B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="45%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="50%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>

<TD align="left" valign="top"><DIV style="margin-left:15px; text-indent:-15px">NUVEEN INSURED TAX-FREE <BR>
ADVANTAGE MUNICIPAL FUND</div></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">/s/&nbsp;&nbsp;&nbsp;&nbsp;<FONT style="font-variant: SMALL-CAPS">Kevin J. McCarthy</FONT><FONT style="font-variant: SMALL-CAPS"></FONT></TD>
</TR>
<TR style="font-size: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Kevin J. McCarthy</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Vice President and Secretary</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 10pt"><B>As required by the Securities Act of 1933, this registration statement has been signed by the
following persons in the capacities and on the date indicated.</B>
</DIV>


<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="33%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="33%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="33%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Signature</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Title</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Date</B></TD>
</TR>
<TR valign="bottom" style="font-size:6pt">
    <TD valign="top">&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px"><FONT style="font-variant: SMALL-CAPS">/s/ &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Stephen D. Foy&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT>
<DIV style="font-size: 1pt; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" nowrap valign="top">Vice President and
Controller
(principal
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">March&nbsp;16, 2009</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><FONT style="font-variant: SMALL-CAPS"><B>Stephen D. Foy</B></FONT>
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">
financial and
accounting officer)
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-size:10pt">
    <TD valign="top">&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD  align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px"><FONT style="font-variant: SMALL-CAPS">/s/ &nbsp;&nbsp;Gifford R. Zimmerman&nbsp;&nbsp;</FONT>
<DIV style="font-size: 1pt; border-top: 1px solid #000000">&nbsp;</DIV>
<FONT style="font-variant: SMALL-CAPS"><B>Gifford R. Zimmerman</B></FONT>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Chief
Administrative
Officer (principal<BR>
executive officer)
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">March&nbsp;16, 2009</TD>
</TR>
<TR valign="bottom" style="font-size:6pt">
    <TD valign="top">&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><FONT style="font-variant: SMALL-CAPS">Robert P. Bremner*</FONT>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Chairman and Trustee</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><FONT style="font-variant: SMALL-CAPS">John P. Amboian*</FONT>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Trustee</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><FONT style="font-variant: SMALL-CAPS">Jack B. Evans*</FONT>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Trustee</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><FONT style="font-variant: SMALL-CAPS">William C. Hunter*</FONT>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Trustee</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><FONT style="font-variant: SMALL-CAPS">David J. Kundert*</FONT>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Trustee
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">By&nbsp;&nbsp;&nbsp;/s/&nbsp;<FONT style="font-variant: SMALL-CAPS">Kevin J. McCarthy</FONT></TD>
</TR>
<TR style="font-size: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><FONT style="font-variant: SMALL-CAPS">William J. Schneider*</FONT>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Trustee
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><FONT style="font-variant: SMALL-CAPS"><B>Kevin J. McCarthy</B></FONT></TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><FONT style="font-variant: SMALL-CAPS">Judith M. Stockdale*</FONT>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Trustee
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><B>Attorney-in-Fact </B></TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><FONT style="font-variant: SMALL-CAPS">Carole E. Stone*</FONT>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Trustee
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><B>March&nbsp;16, 2009 </B></TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><FONT style="font-variant: SMALL-CAPS">Terence J. Toth*</FONT>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Trustee</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>
<TR><TD>                                                       </TD></TR>

<TR valign="top">
    <TD nowrap align="left">*</TD>
    <TD>&nbsp;</TD>
    <TD>An original power of attorney authorizing, among others, Kevin J. McCarthy, Larry W. Martin
and Gifford R. Zimmerman to execute this registration statement, and amendments thereto, for
each of the trustees of the Registrant on whose behalf this registration statement is filed,
has been executed and is filed herein as Exhibit&nbsp;16 and is incorporated by reference herein.</TD>
</TR>
<TR><TD>                                                        </TD></TR>

</TABLE>


<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">






<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>EXHIBIT INDEX</B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="3%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="92%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="left"><B>Exhibit</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="left" style="border-bottom: 1px solid #000000"><B>Number</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Exhibit</B></TD>
</TR>
<TR valign="bottom" style="font-size:10pt">
    <TD valign="top">&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom"><!-- Blank Space -->

<TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV>(16)</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Powers of Attorney for M&#233;ssrs.
Amboian, Bremner, Evans, Hunter, Kundert, Schneider and Toth and Mss.
Stockdale and Stone.</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>



</BODY>
</HTML>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-16
<SEQUENCE>2
<FILENAME>c496858cexv16.htm
<DESCRIPTION>EX-16
<TEXT>
<HTML>
<HEAD>
<TITLE>EX-16</TITLE>
</HEAD>
<BODY bgcolor="#FFFFFF">
<!-- PAGEBREAK -->
<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="right" style="font-size: 10pt; margin-top: 12pt"><B>Exhibit (16)</B>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt">NUVEN INSURED MUNICIPAL OPPORTUNITY FUND, INC.<BR>
NUVEEN INSURED TAX-FREE ADVANTAGE MUNICIPAL FUND<BR>
NUVEEN PREMIUM INCOME MUNICIPAL FUND 2, INC.
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>POWER OF ATTORNEY</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">KNOW ALL MEN BY THESE PRESENTS, that the undersigned, a director/trustee of the
above-referenced organizations, hereby constitutes and appoints LARRY W. MARTIN, KEVIN J. McCARTHY,
CHRISTOPHER M. ROHRBACHER, MARK L. WINGET, GIFFORD R. ZIMMERMAN and ERIC F. FESS, and each of them
(with full power to each of them to act alone) his true and lawful attorney-in-fact and agent, for
him on his behalf and in his name, place and stead, in any and all capacities, to sign, and execute
and file one or more Registration Statements on Form N-14 under the Securities Act of l933, as
amended, and the Investment Company Act of l940, as amended, including any amendment or amendments
thereto, with all exhibits, and any and all other documents required to be filed with any
regulatory authority, federal or state, relating to the reorganization, without limitation,
granting unto said attorneys, and each of them, full power and authority to do and perform each and
every act and thing requisite and necessary to be done in and about the premises in order to
effectuate the same as fully to all intents and purposes as he might or could do if personally
present, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of
them, may lawfully do or cause to be done by virtue hereof.</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">IN WITNESS WHEREOF, the undersigned director/trustee of the above-referenced organizations has
hereunto set his hand this <U>27th</U> day of February, 2009.</DIV>


<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" style="border-bottom: 1px solid #000000" align="left">                       /s/ John P. Amboian
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">John P. Amboian&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="20%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top" align="left"><DIV style="margin-left:15px; text-indent:-15px">STATE OF <U>ILLINOIS</U></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&#125;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top" align="left"><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&#125;SS</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top" align="left"><DIV style="margin-left:15px; text-indent:-15px">COUNTY OF <U>COOK</U></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&#125;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">On this <U>27th</U> day of February, 2009, personally appeared before me, a Notary Public in
and for said County and State, the person named above who is known to me to be the person whose
name and signature is affixed to the foregoing Power of Attorney and who acknowledged the same to
be his voluntary act and deed for the intent and purposes therein set forth.</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="40%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
    <TD width="45%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&#147;OFFICIAL SEAL&#148;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">Virginia L. Corcoran
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" style="border-bottom: 1px solid #000000" align="left">/s/ Virginia L. Corcoran</TD>
</TR>
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">Notary Public, State of Illinois
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Notary Public</TD>
</TR>
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">My Commission Expires: 10/27/09
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="center" style="font-size: 10pt; margin-top: 18pt">NUVEN INSURED MUNICIPAL OPPORTUNITY FUND, INC.<BR>
NUVEEN INSURED TAX-FREE ADVANTAGE MUNICIPAL FUND<BR>
NUVEEN PREMIUM INCOME MUNICIPAL FUND 2, INC.
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>POWER OF ATTORNEY</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">KNOW ALL MEN BY THESE PRESENTS, that the undersigned, a director/trustee of the above-referenced
organizations, hereby constitutes and appoints LARRY W. MARTIN, KEVIN J. McCARTHY, CHRISTOPHER M.
ROHRBACHER, MARK L. WINGET, GIFFORD R. ZIMMERMAN and ERIC F. FESS, and each of them (with full
power to each of them to act alone) his true and lawful attorney-in-fact and agent, for him on his
behalf and in his name, place and stead, in any and all capacities, to sign, and execute and file
one or more Registration Statements on Form N-14 under the Securities Act of l933, as amended, and
the Investment Company Act of l940, as amended, including any amendment or amendments thereto, with
all exhibits, and any and all other documents required to be filed with any regulatory authority,
federal or state, relating to the reorganization, without limitation, granting unto said attorneys,
and each of them, full power and authority to do and perform each and every act and thing requisite
and necessary to be done in and about the premises in order to effectuate the same as fully to all
intents and purposes as he might or could do if personally present, hereby ratifying and confirming
all that said attorneys-in-fact and agents, or any of them, may lawfully do or cause to be done by
virtue hereof.</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">IN WITNESS WHEREOF, the undersigned director/trustee of the above-referenced organizations has
hereunto set his hand this <U>27th</U> day of February, 2009.</DIV>


<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" style="border-bottom: 1px solid #000000" align="left">     /s/ Terence J. Toth
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">Terence J. Toth&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="20%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top" align="left"><DIV style="margin-left:15px; text-indent:-15px">STATE OF <U>ILLINOIS</U></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&#125;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top" align="left"><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&#125;SS</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top" align="left"><DIV style="margin-left:15px; text-indent:-15px">COUNTY OF <U>COOK</U></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&#125;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">On this <U>27th</U> day of February, 2009, personally appeared before me, a Notary Public in and
for said County and State, the person named above who is known to me to be the person whose name
and signature is affixed to the foregoing Power of Attorney and who acknowledged the same to be his
voluntary act and deed for the intent and purposes therein set forth.</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="40%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
    <TD width="45%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&#147;OFFICIAL SEAL&#148;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">Virginia L. Corcoran
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" style="border-bottom: 1px solid #000000" align="left">/s/ Virginia L. Corcoran</TD>
</TR>
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">Notary Public, State of Illinois
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Notary Public</TD>
</TR>
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">My Commission Expires: 10/27/09
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="center" style="font-size: 10pt; margin-top: 18pt">NUVEN INSURED MUNICIPAL OPPORTUNITY FUND, INC.<BR>
NUVEEN INSURED TAX-FREE ADVANTAGE MUNICIPAL FUND<BR>
NUVEEN PREMIUM INCOME MUNICIPAL FUND 2, INC.
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>POWER OF ATTORNEY</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">KNOW ALL MEN BY THESE PRESENTS, that the undersigned, a director/trustee of the above-referenced
organizations, hereby constitutes and appoints LARRY W. MARTIN, KEVIN J. McCARTHY, CHRISTOPHER M.
ROHRBACHER, MARK L. WINGET, GIFFORD R. ZIMMERMAN and ERIC F. FESS, and each of them (with full
power to each of them to act alone) his true and lawful attorney-in-fact and agent, for him on his
behalf and in his name, place and stead, in any and all capacities, to sign, and execute and file
one or more Registration Statements on Form N-14 under the Securities Act of l933, as amended, and
the Investment Company Act of l940, as amended, including any amendment or amendments thereto, with
all exhibits, and any and all other documents required to be filed with any regulatory authority,
federal or state, relating to the reorganization, without limitation, granting unto said attorneys,
and each of them, full power and authority to do and perform each and every act and thing requisite
and necessary to be done in and about the premises in order to effectuate the same as fully to all
intents and purposes as he might or could do if personally present, hereby ratifying and confirming
all that said attorneys-in-fact and agents, or any of them, may lawfully do or cause to be done by
virtue hereof.</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">IN WITNESS WHEREOF, the undersigned director/trustee of the above-referenced organizations has
hereunto set his hand this <U>27th</U> day of February, 2009.</DIV>


<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" style="border-bottom: 1px solid #000000" align="left">     /s/ Jack B. Evans
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">Jack B. Evans&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="20%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top" align="left"><DIV style="margin-left:15px; text-indent:-15px">STATE OF <U>ILLINOIS</U></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&#125;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top" align="left"><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&#125;SS</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top" align="left"><DIV style="margin-left:15px; text-indent:-15px">COUNTY OF <U>COOK</U></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&#125;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">On this <U>27th</U> day of February, 2009, personally appeared before me, a Notary Public in and
for said County and State, the person named above who is known to me to be the person whose name
and signature is affixed to the foregoing Power of Attorney and who acknowledged the same to be his
voluntary act and deed for the intent and purposes therein set forth.</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="40%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
    <TD width="45%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&#147;OFFICIAL SEAL&#148;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">Virginia L. Corcoran
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" style="border-bottom: 1px solid #000000" align="left">/s/ Virginia L. Corcoran</TD>
</TR>
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">Notary Public, State of Illinois
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Notary Public</TD>
</TR>
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">My Commission Expires: 10/27/09
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center" style="font-size: 10pt; margin-top: 12pt">
NUVEN INSURED MUNICIPAL OPPORTUNITY FUND, INC.<BR>

NUVEEN INSURED TAX-FREE ADVANTAGE MUNICIPAL FUND<BR>

NUVEEN PREMIUM INCOME MUNICIPAL FUND 2, INC.</DIV>



<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>POWER OF ATTORNEY</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">KNOW ALL MEN BY THESE PRESENTS, that the undersigned, a director/trustee of the above-referenced
organizations, hereby constitutes and appoints ERIC F. FESS, LARRY W. MARTIN, KEVIN J. McCARTHY,
CHRISTOPHER M. ROHRBACHER, MARK L. WINGET and GIFFORD R. ZIMMERMAN, and each of them (with full
power to each of them to act alone) his true and lawful attorney-in-fact and agent, for him on his
behalf and in his name, place and stead, in any and all capacities, to sign, and execute and file
one or more Registration Statements on Form N-14 under the Securities Act of l933, as amended, and
the Investment Company Act of l940, as amended, including any amendment or amendments thereto, with
all exhibits, and any and all other documents required to be filed with any regulatory authority,
federal or state, relating to the reorganization, without limitation, granting unto said attorneys,
and each of them, full power and authority to do and perform each and every act and thing requisite
and necessary to be done in and about the premises in order to effectuate the same as fully to all
intents and purposes as he might or could do if personally present, hereby ratifying and confirming
all that said attorneys-in-fact and agents, or any of them, may lawfully do or cause to be done by
virtue hereof.</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">IN WITNESS WHEREOF, the undersigned director/trustee of the above-referenced organizations has
hereunto set his hand this <U>27th</U> day of February, 2009.</DIV>


<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" style="border-bottom: 1px solid #000000" align="left">                                                /s/ William J. Schneider
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">William J. Schneider&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="20%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top" align="left"><DIV style="margin-left:15px; text-indent:-15px">STATE OF <U>ILLINOIS</U></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&#125;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top" align="left"><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&#125;SS</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top" align="left"><DIV style="margin-left:15px; text-indent:-15px">COUNTY OF <U>COOK</U></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&#125;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">On this <U>27th</U> day of February, 2009, personally appeared before me, a Notary Public in
and for said County and State, the person named above who is known to me to be the person whose
name and signature is affixed to the foregoing Power of Attorney and who acknowledged the same to
be his voluntary act and deed for the intent and purposes therein set forth.</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="40%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
    <TD width="45%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&#147;OFFICIAL SEAL&#148;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">Virginia L. Corcoran
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" style="border-bottom: 1px solid #000000" align="left">/s/ Virginia L. Corcoran</TD>
</TR>
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">Notary Public, State of Illinois
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Notary Public</TD>
</TR>
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">My Commission Expires: 10/27/09
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="center" style="font-size: 10pt; margin-top: 18pt">NUVEN INSURED MUNICIPAL OPPORTUNITY FUND, INC.<BR>
NUVEEN INSURED TAX-FREE ADVANTAGE MUNICIPAL FUND<BR>
NUVEEN PREMIUM INCOME MUNICIPAL FUND 2, INC.
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>POWER OF ATTORNEY</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">KNOW ALL MEN BY THESE PRESENTS, that the undersigned, a director/trustee of the
above-referenced organizations, hereby constitutes and appoints ERIC F. FESS, LARRY W. MARTIN,
KEVIN J. McCARTHY, CHRISTOPHER M. ROHRBACHER, MARK L. WINGET and GIFFORD R. ZIMMERMAN, and each of
them (with full power to each of them to act alone) her true and lawful attorney-in-fact and agent,
for her on her behalf and in her name, place and stead, in any and all capacities, to sign, and
execute and file one or more Registration Statements on Form N-14 under the Securities Act of l933,
as amended, and the Investment Company Act of l940, as amended, including any amendment or
amendments thereto, with all exhibits, and any and all other documents required to be filed with
any regulatory authority, federal or state, relating to the reorganization, without limitation,
granting unto said attorneys, and each of them, full power and authority to do and perform each and
every act and thing requisite and necessary to be done in and about the premises in order to
effectuate the same as fully to all intents and purposes as she might or could do if personally
present, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of
them, may lawfully do or cause to be done by virtue hereof.</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">IN WITNESS WHEREOF, the undersigned director/trustee of the above-referenced organizations has
hereunto set her hand this <U>27th</U> day of February, 2009.</DIV>


<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" style="border-bottom: 1px solid #000000" align="left">     /s/ Judith M. Stockdale
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">Judith M. Stockdale&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="20%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top" align="left"><DIV style="margin-left:15px; text-indent:-15px">STATE OF <U>ILLINOIS</U></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&#125;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top" align="left"><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&#125;SS</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top" align="left"><DIV style="margin-left:15px; text-indent:-15px">COUNTY OF <U>COOK</U></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&#125;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">On this <U>27th</U> day of February, 2009, personally appeared before me, a Notary Public in
and for said County and State, the person named above who is known to me to be the person whose
name and signature is affixed to the foregoing Power of Attorney and who acknowledged the same to
be her voluntary act and deed for the intent and purposes therein set forth.</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="40%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
    <TD width="45%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&#147;OFFICIAL SEAL&#148;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">Virginia L. Corcoran
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" style="border-bottom: 1px solid #000000" align="left">/s/ Virginia L. Corcoran</TD>
</TR>
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">Notary Public, State of Illinois
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Notary Public</TD>
</TR>
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">My Commission Expires: 10/27/09
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="center" style="font-size: 10pt; margin-top: 18pt">NUVEN INSURED MUNICIPAL OPPORTUNITY FUND, INC.<BR>
NUVEEN INSURED TAX-FREE ADVANTAGE MUNICIPAL FUND<BR>
NUVEEN PREMIUM INCOME MUNICIPAL FUND 2, INC.
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>POWER OF ATTORNEY</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">KNOW ALL MEN BY THESE PRESENTS, that the undersigned, a director/trustee of the
above-referenced organizations, hereby constitutes and appoints ERIC F. FESS, LARRY W. MARTIN,
KEVIN J. McCARTHY, CHRISTOPHER M. ROHRBACHER, MARK L. WINGET and GIFFORD R. ZIMMERMAN, and each of
them (with full power to each of them to act alone) his true and lawful attorney-in-fact and agent,
for him on his behalf and in his name, place and stead, in any and all capacities, to sign and file
one or more Registration Statements on Form N-14 under the Securities Act of l933 and the
Investment Company Act of 1940, including any amendment or amendments thereto, with all exhibits,
and any and all other documents required to be filed with any regulatory authority, federal or
state, relating to the registration thereof, or the issuance of shares thereof, without limitation,
granting unto said attorneys, and each of them, full power and authority to do and perform each and
every act and thing requisite and necessary to be done in and about the premises in order to
effectuate the same as fully to all intents and purposes as he might or could do if personally
present, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of
them, may lawfully do or cause to be done by virtue hereof.</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">IN WITNESS WHEREOF, the undersigned director/trustee of the above-referenced organizations has
hereunto set his hand this <U>27th</U> day of February, 2009.</DIV>


<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" style="border-bottom: 1px solid #000000" align="left">                                                 /s/ Robert P. Bremner
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">Robert P. Bremner&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="20%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top" align="left"><DIV style="margin-left:15px; text-indent:-15px">STATE OF <U>ILLINOIS</U></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&#125;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top" align="left"><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&#125;SS</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top" align="left"><DIV style="margin-left:15px; text-indent:-15px">COUNTY OF <U>COOK</U></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&#125;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">On this <U>27th</U> day of February, 2009, personally appeared before me, a Notary Public in and
for said County and State, the person named above who is known to me to be the person whose name
and signature is affixed to the foregoing Power of Attorney and who acknowledged the same to be his
voluntary act and deed for the intent and purposes therein set forth.</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="40%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
    <TD width="45%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&#147;OFFICIAL SEAL&#148;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">Virginia L. Corcoran
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" style="border-bottom: 1px solid #000000" align="left">/s/ Virginia L. Corcoran</TD>
</TR>
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">Notary Public, State of Illinois
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Notary Public</TD>
</TR>
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">My Commission Expires: 10/27/09
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="center" style="font-size: 10pt; margin-top: 18pt">NUVEN INSURED MUNICIPAL OPPORTUNITY FUND, INC.<BR>
NUVEEN INSURED TAX-FREE ADVANTAGE MUNICIPAL FUND<BR>
NUVEEN PREMIUM INCOME MUNICIPAL FUND 2, INC.
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>POWER OF ATTORNEY</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">KNOW ALL MEN BY THESE PRESENTS, that the undersigned, a director/trustee of the
above-referenced organizations, hereby constitutes and appoints ERIC F. FESS, LARRY W. MARTIN,
KEVIN J. McCARTHY, CHRISTOPHER M. ROHRBACHER, MARK L. WINGET and GIFFORD R. ZIMMERMAN, and each of
them (with full power to each of them to act alone) his true and lawful attorney-in-fact and agent,
for him on his behalf and in his name, place and stead, in any and all capacities, to sign, and
execute and file one or more Registration Statements on Form N-14 under the Securities Act of l933,
as amended, and the Investment Company Act of l940, as amended, including any amendment or
amendments thereto, with all exhibits, and any and all other documents required to be filed with
any regulatory authority, federal or state, relating to the reorganization, without limitation,
granting unto said attorneys, and each of them, full power and authority to do and perform each and
every act and thing requisite and necessary to be done in and about the premises in order to
effectuate the same as fully to all intents and purposes as he might or could do if personally
present, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of
them, may lawfully do or cause to be done by virtue hereof.</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">IN WITNESS WHEREOF, the undersigned director/trustee of the above-referenced organizations has
hereunto set his hand this <U>27th</U> day of February, 2009.</DIV>


<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" style="border-bottom: 1px solid #000000" align="left">     /s/ William C. Hunter
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">William C. Hunter&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="20%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top" align="left"><DIV style="margin-left:15px; text-indent:-15px">STATE OF <U>ILLINOIS</U></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&#125;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top" align="left"><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
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    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top" align="left"><DIV style="margin-left:15px; text-indent:-15px">COUNTY OF <U>COOK</U></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&#125;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
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<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">On this <U>27th</U> day of February, 2009, personally appeared before me, a Notary Public in and
for said County and State, the person named above who is known to me to be the person whose name
and signature is affixed to the foregoing Power of Attorney and who acknowledged the same to be his
voluntary act and deed for the intent and purposes therein set forth.</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="40%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
    <TD width="45%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&#147;OFFICIAL SEAL&#148;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">Virginia L. Corcoran
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" style="border-bottom: 1px solid #000000" align="left">/s/ Virginia L. Corcoran</TD>
</TR>
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">Notary Public, State of Illinois
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Notary Public</TD>
</TR>
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">My Commission Expires: 10/27/09
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="center" style="font-size: 10pt; margin-top: 18pt">NUVEN INSURED MUNICIPAL OPPORTUNITY FUND, INC.<BR>
NUVEEN INSURED TAX-FREE ADVANTAGE MUNICIPAL FUND<BR>
NUVEEN PREMIUM INCOME MUNICIPAL FUND 2, INC.
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>POWER OF ATTORNEY</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">KNOW ALL MEN BY THESE PRESENTS, that the undersigned, a director/trustee of the above-referenced
organizations, hereby constitutes and appoints ERIC F. FESS, LARRY W. MARTIN, KEVIN J. McCARTHY,
CHRISTOPHER M. ROHRBACHER, MARK L. WINGET and GIFFORD R. ZIMMERMAN, and each of them (with full
power to each of them to act alone) his true and lawful attorney-in-fact and agent, for him on his
behalf and in his name, place and stead, in any and all capacities, to sign, and execute and file
one or more Registration Statements on Form N-14 under the Securities Act of l933, as amended, and
the Investment Company Act of l940, as amended, including any amendment or amendments thereto, with
all exhibits, and any and all other documents required to be filed with any regulatory authority,
federal or state, relating to the reorganization, without limitation, granting unto said attorneys,
and each of them, full power and authority to do and perform each and every act and thing requisite
and necessary to be done in and about the premises in order to effectuate the same as fully to all
intents and purposes as he might or could do if personally present, hereby ratifying and confirming
all that said attorneys-in-fact and agents, or any of them, may lawfully do or cause to be done by
virtue hereof.</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">IN WITNESS WHEREOF, the undersigned director/trustee of the above-referenced organizations has
hereunto set his hand this <U>27th</U> day of February, 2009.</DIV>


<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" style="border-bottom: 1px solid #000000" align="left">                                                  /s/ David J. Kundert
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">David J. Kundert&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="20%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top" align="left"><DIV style="margin-left:15px; text-indent:-15px">STATE OF <U>ILLINOIS</U></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&#125;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top" align="left"><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&#125;SS</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top" align="left"><DIV style="margin-left:15px; text-indent:-15px">COUNTY OF <U>COOK</U></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&#125;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">On this _<U>27th</U> day of February, 2009, personally appeared before me, a Notary Public in
and for said County and State, the person named above who is known to me to be the person whose
name and signature is affixed to the foregoing Power of Attorney and who acknowledged the same to
be his voluntary act and deed for the intent and purposes therein set forth.</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="40%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
    <TD width="45%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&#147;OFFICIAL SEAL&#148;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">Virginia L. Corcoran
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" style="border-bottom: 1px solid #000000" align="left">/s/ Virginia L. Corcoran</TD>
</TR>
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">Notary Public, State of Illinois
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Notary Public</TD>
</TR>
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">My Commission Expires: 10/27/09
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="center" style="font-size: 10pt; margin-top: 18pt">NUVEN INSURED MUNICIPAL OPPORTUNITY FUND, INC.<BR>
NUVEEN INSURED TAX-FREE ADVANTAGE MUNICIPAL FUND<BR>
NUVEEN PREMIUM INCOME MUNICIPAL FUND 2, INC.
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>POWER OF ATTORNEY</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">KNOW ALL MEN BY THESE PRESENTS, that the undersigned, a director/trustee of the
above-referenced organizations, hereby constitutes and appoints ERIC F. FESS, LARRY W. MARTIN,
KEVIN J. McCARTHY, CHRISTOPHER M. ROHRBACHER, MARK L. WINGET and GIFFORD R. ZIMMERMAN, and each of
them (with full power to each of them to act alone) her true and lawful attorney-in-fact and agent,
for her on her behalf and in her name, place and stead, in any and all capacities, to sign, and
execute and file one or more Registration Statements on Form N-14 under the Securities Act of l933,
as amended, and the Investment Company Act of l940, as amended, including any amendment or
amendments thereto, with all exhibits, and any and all other documents required to be filed with
any regulatory authority, federal or state, relating to the reorganization, without limitation,
granting unto said attorneys, and each of them, full power and authority to do and perform each and
every act and thing requisite and necessary to be done in and about the premises in order to
effectuate the same as fully to all intents and purposes as he might or could do if personally
present, hereby ratifying and confirming all that said attorneys-in-fact and agents, or any of
them, may lawfully do or cause to be done by virtue hereof.</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">IN WITNESS WHEREOF, the undersigned director/trustee of the above-referenced organizations has
hereunto set her hand this <U>27th</U> day of February, 2009.</DIV>


<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" style="border-bottom: 1px solid #000000" align="left">     /s/ Carole E. Stone
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">Carole E. Stone&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="20%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top" align="left"><DIV style="margin-left:15px; text-indent:-15px">STATE OF <U>ILLINOIS</U></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&#125;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top" align="left"><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&#125;SS</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top" align="left"><DIV style="margin-left:15px; text-indent:-15px">COUNTY OF <U>COOK</U></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&#125;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">On this _<U>27th</U> day of February, 2009, personally appeared before me, a Notary Public in
and for said County and State, the person named above who is known to me to be the person whose
name and signature is affixed to the foregoing Power of Attorney and who acknowledged the same to
be her voluntary act and deed for the intent and purposes therein set forth.</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="40%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
    <TD width="45%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&#147;OFFICIAL SEAL&#148;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">Virginia L. Corcoran
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" style="border-bottom: 1px solid #000000" align="left">/s/ Virginia L. Corcoran</TD>
</TR>
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">Notary Public, State of Illinois
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Notary Public</TD>
</TR>
<TR valign="bottom">
    <TD align="left" valign="top"><DIV style="margin-left:0px; text-indent:-0px">My Commission Expires: 10/27/09
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
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<HTML>
<HEAD>
<TITLE>COVER</TITLE>
</HEAD>
<BODY bgcolor="#FFFFFF">
<!-- PAGEBREAK -->

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="25%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="25%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="50%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><IMG src="c496858cc4968503.gif" alt="(VEDDER PRICE LOGO)">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">VEDDER PRICE P. C.<br>
222 NORTH LASALLE STREET<br>
CHICAGO, ILLINOIS 60601 <br>
312-609-7500<br>
FAX: 312-609-5005</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">COREY L. ZARSE</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">312-609-7785</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">czarse@vedderprice.com
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">CHICAGO <b>&#149;</b> NEW YORK CITY <b>&#149;</b> WASHINGTON D.C.<br></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">March&nbsp;16, 2009</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><U><B>VIA EDGAR</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Securities and Exchange Commission<BR>
100 F Street N.E.<BR>
Washington, D.C. 20549

</DIV>

<DIV align="left" style="margin-top: 12pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; background: transparent; color: #000000">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD></TD>
</TR>
<TR valign="top">
    <TD nowrap align="left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Re:</TD>
    <TD>&nbsp;</TD>
    <TD><U>Nuveen Insured Tax-Free Advantage Municipal Fund (the &#147;Registrant&#148;); File No.&nbsp;811-21213</U></TD>
</TR>
</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">To The Commission:

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On behalf of the Registrant, electronically transmitted herewith is the Registrant&#146;s
Registration Statement on Form N-14 relating to the issuance of common shares and preferred shares
in connection with the reorganization of Nuveen Insured Florida Tax-Free Advantage Municipal Fund
into Nuveen Insured Tax-Free Advantage Municipal Fund.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Please contact the undersigned at (312)&nbsp;609-7785 if you have questions or comments regarding
the filing.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 50%">Very truly yours,

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 50%">/s/Corey L. Zarse

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt">CLZ/kc
Enclosures
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio --><!-- /Folio -->
</DIV>




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