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Proc-Type: 2001,MIC-CLEAR
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<SEC-DOCUMENT>0000930413-05-006891.txt : 20050929
<SEC-HEADER>0000930413-05-006891.hdr.sgml : 20050929
<ACCEPTANCE-DATETIME>20050929113708
ACCESSION NUMBER:		0000930413-05-006891
CONFORMED SUBMISSION TYPE:	N-Q
PUBLIC DOCUMENT COUNT:		2
CONFORMED PERIOD OF REPORT:	20050731
FILED AS OF DATE:		20050929
DATE AS OF CHANGE:		20050929
EFFECTIVENESS DATE:		20050929

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			MUNICIPAL HIGH INCOME FUND INC
		CENTRAL INDEX KEY:			0000830487
		IRS NUMBER:				000000000
		FISCAL YEAR END:			1031

	FILING VALUES:
		FORM TYPE:		N-Q
		SEC ACT:		1940 Act
		SEC FILE NUMBER:	811-05497
		FILM NUMBER:		051110185

	BUSINESS ADDRESS:	
		STREET 1:		CITIGROUP ASSET MANAGEMENT
		STREET 2:		125 BROAD STREET, 10TH FLOOR
		CITY:			NEW YORK
		STATE:			NY
		ZIP:			10004
		BUSINESS PHONE:		212-291-2556

	MAIL ADDRESS:	
		STREET 1:		CITIGROUP ASSET MANAGEMENT
		STREET 2:		125 BROAD STREET, 10TH FLOOR
		CITY:			NEW YORK
		STATE:			NY
		ZIP:			10004

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	SPECIAL OPPORTUNITIES MUNICIPAL FUND INC
		DATE OF NAME CHANGE:	19881025
</SEC-HEADER>
<DOCUMENT>
<TYPE>N-Q
<SEQUENCE>1
<FILENAME>c39173_nq.htm
<TEXT>

<HTML>
<HEAD>
   <TITLE></TITLE>
</HEAD>

<BODY bgcolor="#ffffff">


<center>
  <B><FONT size=5 face="serif">UNITED STATES </FONT></B><BR>
  <B><FONT size=5 face="serif">SECURITIES AND EXCHANGE COMMISSION </FONT></B><BR>
  <B><FONT face="serif">Washington, D.C. 20549 </FONT></B>
</center>
<P align="center">
<B><FONT size=5 face="serif">FORM N-Q </FONT></B></P>
<center>
  <B><FONT face="serif">QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED </FONT></B><BR>
  <B><FONT face="serif">MANAGEMENT INVESTMENT COMPANY </FONT></B><BR>
</center>
<P align="center">
<FONT size=2 face="serif">Investment Company Act file number </FONT><B><FONT size=2 face="serif">811- 5497 </FONT></B></P>
<P align="center">
<B><FONT size=5 face="serif">Municipal High Income Fund Inc. </FONT></B></P>
<P align="center">
<FONT size=2 face="serif">(Exact name of registrant as specified in charter) </FONT></P>
<center>
  <FONT size=2 face="serif">125 Broad Street, New York, NY 10004 </FONT><BR>
  <FONT size=2 face="serif">(Address of principal executive offices) (Zip code) </FONT><br>
  <BR>
  <FONT size=2 face="serif">Robert I. Frenkel, Esq. </FONT><BR>
  <FONT size=2 face="serif">C/o Citigroup Asset Management </FONT><BR>
  <FONT size=2 face="serif">300 First Stamford Place, 4</FONT><SUP><FONT size=2 face="serif">th</FONT></SUP><FONT size=2 face="serif"> Floor </FONT><BR>
  <FONT size=2 face="serif">Stamford, CT 06902 </FONT><BR>
  <FONT size=2 face="serif">(Name and address of agent for service) </FONT>
</center>
<P align="center">
<FONT size=2 face="serif">Registrant's telephone number, including area code: 1-800-451-2010 </FONT></P>
<center>
  <FONT size=2 face="serif">Date of fiscal year end: </FONT><B><FONT size=2 face="serif">October 31 </FONT></B><BR>
  <FONT size=2 face="serif">Date of reporting period: </FONT><B><FONT size=2 face="serif">July 31, 2005</FONT></B><FONT size=2 face="serif"> </FONT><br>
  <br>
  <BR>

</center>
<HR noshade  width="100%" size=4>

<P align="left" style="page-break-before:always"></P><PAGE>


<P align="center">
<B><FONT size=5 face="serif">MUNICIPAL HIGH INCOME FUND INC. </FONT></B></P>
<center>
  <FONT size=3 face="serif">FORM N-Q </FONT><font size="3"><BR>
  <FONT face="serif">JULY 31, 2005</FONT></font><FONT size=5 face="serif"> </FONT><BR>

</center>
<HR noshade  width="100%" size=4>

<P align="left" style="page-break-before:always"></P><PAGE>


<P><FONT size=2 face="serif">ITEM 1. &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SCHEDULE OF INVESTMENTS </FONT></P>
<HR noshade  width="100%" size=4>

<P align="left" style="page-break-before:always"></P><PAGE>
<P><B><FONT size=2 face="serif">MUNICIPAL HIGH INCOME FUND INC. </FONT></B></P>
<TABLE width="100%" border=0 cellpadding=0 cellspacing=0>
<TR valign="bottom">
	<TD align=left>
<B><FONT size=2 face="serif">Schedule of Investments (unaudited)</FONT></B>&nbsp;
	</TD>
    <TD align=left nowrap><div align="right"><B><FONT size=2 face="serif">July 31, 2005</FONT></B></div></TD>
</TR>
</TABLE>
<BR>
<TABLE width="100%" border=0 cellpadding=0 cellspacing=0>
<TR valign="bottom">
	<TD width="10%" align=center>
      <center>
        <B><FONT size=2 face="serif">FACE</FONT></B>&nbsp;
    </center></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>&nbsp;

	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <center>
        <B><FONT size=2 face="serif">AMOUNT</FONT></B>&nbsp;
    </center></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<B><FONT size=2 face="serif">RATING&#135;</FONT></B>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left> <center>
	  <B><FONT size=2 face="serif">SECURITY</FONT></B>&nbsp;
    </center></TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<B><FONT size=2 face="serif">VALUE</FONT></B>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <hr noshade size=3>  	</TD>
</TR>
<TR valign="bottom">
	<TD colspan=5 align=left>
      <div align="left"><B><FONT size=2 face="serif">MUNICIPAL BONDS &#151; 96.8%</FONT></B>&nbsp;
    </div>	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD colspan="3" align=center>
      <div align="left"><B><FONT size=2 face="serif">Alabama &#151; 0.7%</FONT></B>&nbsp;
      </div>	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>&nbsp;

	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">&#36;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;615,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD colspan=2 align=left>
<FONT size=2 face="serif">Capstone Improvement District of Brookwood, AL, Series A, 7.700% due</FONT>&nbsp;
	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">8/15/23 (a)</FONT>&nbsp;
	</TD>
	<TD width="1%" align=center>
      <div align="left"><FONT size=2 face="serif">&#36;</FONT></div></TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">61,500</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">AAA</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
<FONT size=2 face="serif">West Jefferson, AL, Amusement &amp; Public Park Authority Revenue,</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=center>
      <div align="left">&nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Visionland Project, Call 12/1/06 @102, 8.000% due 12/1/26 (b)</FONT>&nbsp;
      </div></TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">1,086,940</FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
	  <div align="right"></div>
      <HR noshade size=1>	</TD>
  </TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
<B><FONT size=2 face="serif">Total Alabama</FONT></B>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<B><FONT size=2 face="serif">1,148,440</FONT></B>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
	  <div align="right"></div>
    <hr noshade size=3>  	</TD>
  </TR>
<TR valign="bottom">
	<TD width="10%" colspan="3" align=center>
      <div align="left"><B><FONT size=2 face="serif">Alaska &#151; 3.0%</FONT></B>&nbsp;
    </div>	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>&nbsp;

	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">1,055,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD colspan=2 align=left>
<FONT size=2 face="serif">Alaska Industrial Development &amp; Export Authority Revenue, Williams Lynxs</FONT>&nbsp;
	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Alaska Cargoport, 8.125% due 5/1/31 (c)</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">1,120,136</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"></div></TD>
    <TD width="2%" align=center>&nbsp;</TD>
    <TD width="10%" align=center>&nbsp;</TD>
    <TD width="3%" align=center>&nbsp;</TD>
    <TD width="65%" align=center><div align="left"><FONT size=2 face="serif">Alaska State Housing Financial
    Corp., General Housing:</FONT> </div></TD>
    <TD width="1%" align=center>&nbsp;</TD>
    <TD width="9%" align=center>&nbsp;</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">2,000,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">AAA</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Series A, FGIC-Insured, 5.000% due 12/1/26 (d)(e)</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">2,104,960</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">1,650,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">AAA</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Series B, MBIA-Insured, 5.250% due 12/1/30</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">1,770,351</FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
	  <div align="right"></div>
      <HR noshade size=1>	</TD>
  </TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
<B><FONT size=2 face="serif">Total Alaska</FONT></B>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<B><FONT size=2 face="serif">4,995,447</FONT></B>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
	  <div align="right"></div>
    <hr noshade size=3>  	</TD>
  </TR>
<TR valign="bottom">
	<TD width="10%" colspan="3" align=center>
      <div align="left"><B><FONT size=2 face="serif">Arizona &#151; 3.1%</FONT></B>&nbsp;
    </div>	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>&nbsp;

	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">1,500,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD colspan=2 align=left>
<FONT size=2 face="serif">Casa Grande, AZ, IDA, Hospital Revenue, Casa Grande Regional Medical</FONT>&nbsp;
	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Center, Series A, 7.625% due 12/1/29</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">1,612,170</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">935,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
<FONT size=2 face="serif">Maricopa County, AZ, IDA, MFH Revenue, Gran Victoria Housing LLC</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Project, Series B, 10.000% due 5/1/31 (f)</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">944,415</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">1,795,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD colspan=2 align=left>
<FONT size=2 face="serif">Phoenix, AZ, IDA, MFH Revenue, Ventana Palms Apartments Project, Series</FONT>&nbsp;
	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">B, 8.000% due 10/1/34</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">1,549,265</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">AAA</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD colspan=2 align=left>
<FONT size=2 face="serif">Yuma &amp; La Paz Counties, Arizonal Community College District, Arizona</FONT>&nbsp;
	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Western College, FSA-Insured, 5.000% due 7/1/24</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">1,060,110</FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
	  <div align="right"></div>
      <HR noshade size=1>	</TD>
  </TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
<B><FONT size=2 face="serif">Total Arizona</FONT></B>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<B><FONT size=2 face="serif">5,165,960</FONT></B>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
	  <div align="right"></div>
    <hr noshade size=3>  	</TD>
  </TR>
<TR valign="bottom">
	<TD width="10%" colspan="3" align=center>
      <div align="left"><B><FONT size=2 face="serif">Arkansas &#151; 1.1%</FONT></B>&nbsp;
    </div>	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>&nbsp;

	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
<FONT size=2 face="serif">Arkansas State Development Financing Authority:</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">BBB</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD align=right>
      <div align="left">&nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Hospital Revenue, Washington Regional Medical Center, Call 2/1/10 @</FONT>&nbsp;
      </div></TD>
	<TD align=right>&nbsp;</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">100, 7.375% due 2/1/29 (b)</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">1,167,560</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">600,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">BB+</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD align=right>
      <div align="left">&nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Industrial Facilities Revenue, Potlatch Corp. Projects, Series A, 7.750%</FONT>&nbsp;
      </div></TD>
	<TD align=right>&nbsp;</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">due 8/1/25 (c)</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">687,732</FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
	  <div align="right"></div>
      <HR noshade size=1>	</TD>
  </TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
<B><FONT size=2 face="serif">Total Arkansas</FONT></B>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<B><FONT size=2 face="serif">1,855,292</FONT></B>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
	  <div align="right"></div>
    <hr noshade size=3>  	</TD>
  </TR>
<TR valign="bottom">
	<TD width="10%" colspan="3" align=center>
      <div align="left"><B><FONT size=2 face="serif">California &#151; 10.8%</FONT></B>&nbsp;
    </div>	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>&nbsp;

	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">1,500,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
<FONT size=2 face="serif">Barona, CA, Band of Mission Indians, GO, 8.250% due 1/1/20 (f)</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">1,576,320</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">2,000,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">A3(g)</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD colspan=2 align=left>
<FONT size=2 face="serif">California Health Facilities Financing Authority Revenue, Refunding, Cedars-</FONT>&nbsp;
	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Sinai Medical Center, 5.000% due 11/15/27</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">2,068,020</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD colspan=2 align=left>
<FONT size=2 face="serif">California State Department of Water Resources &amp; Power Supply Revenue,</FONT>&nbsp;
	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
<FONT size=2 face="serif">Series A:</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">5,000,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">AAA</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">MBIA-IBC-Insured, 5.375% due 5/1/21 (d)(e)</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">5,465,650</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">1,500,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">AAA</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">XLCA-Insured, 5.375% due 5/1/17</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">1,644,375</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">1,500,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD colspan=2 align=left>
<FONT size=2 face="serif">California Statewide CDA Revenue, East Valley Tourist Project, Series A,</FONT>&nbsp;
	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">9.250% due 10/1/20</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">1,655,400</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD colspan=2 align=left>
<FONT size=2 face="serif">Golden State Tobacco Securitization Corp., California Tobacco Settlement</FONT>&nbsp;
	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
<FONT size=2 face="serif">Revenue:</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">2,000,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">BBB</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Asset Backed, Series A-4, 7.800%
 due 6/1/42 (d)(e)</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">2,460,920</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">A-</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD align=center>
      <div align="left">&nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Enhanced Asset Backed, Series B, Call 6/1/13 @ 100, 5.625% due </FONT>&nbsp;
      </div></TD>
	<TD align=center>&nbsp;</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">6/1/38 (b)</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">1,121,790</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">1,865,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">Ba2(g)</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
<FONT size=2 face="serif">Vallejo, CA, COP, Touro University, 7.375% due 6/1/29</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">1,936,579</FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
	  <div align="right"></div>
      <HR noshade size=1>	</TD>
  </TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
<B><FONT size=2 face="serif">Total California</FONT></B>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<B><FONT size=2 face="serif">17,929,054</FONT></B>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
	  <div align="right"></div>
    <hr noshade size=3>  	</TD>
  </TR>
<TR valign="bottom">
	<TD width="10%" colspan="3" align=center>
      <div align="left"><B><FONT size=2 face="serif">Colorado &#151; 4.1%</FONT></B>&nbsp;
    </div>	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>&nbsp;

	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">500,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
<FONT size=2 face="serif">Beacon Point Metropolitan District, GO, Series A, 6.250% due 12/1/35</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">505,745</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
<FONT size=2 face="serif">Colorado Educational &amp; Cultural Facilities Authority Revenue:</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Charter School:</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">890,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">AAA</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD align=right>
      <div align="left"> &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Peak to Peak Project, Call 8/15/11 @100, 7.500% due 8/15/21 (b)</FONT>&nbsp;
      </div></TD>
	<TD align=right>&nbsp;</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">1,051,660</FONT>&nbsp;
	</TD>
</TR>
</TABLE>
<BR>
<P align="center">
<B><FONT size=2 face="serif">See Notes to Schedule of Investments. </FONT></B></P>
<P align="center">
<FONT size=2 face="serif">1 </FONT></P>

<HR noshade  width="100%" size=4>

<P align="left" style="page-break-before:always"></P><PAGE>


<P>
<B><FONT size=2 face="serif">MUNICIPAL HIGH INCOME FUND INC. </FONT></B></P>
<TABLE width="100%" border=0 cellpadding=0 cellspacing=0>
<TR valign="bottom">
	<TD align=left>
<B><FONT size=2 face="serif">Schedule of Investments (unaudited) (continued)</FONT></B>&nbsp;
	</TD>
    <TD align=left nowrap><div align="right"><B><FONT size=2 face="serif">July 31, 2005</FONT></B></div></TD>
</TR>
</TABLE>
<BR>
<TABLE width="100%" border=0 cellpadding=0 cellspacing=0>
<TR valign="bottom">
	<TD width="10%" align=center>
      <center>
        <B><FONT size=2 face="serif">FACE</FONT></B>&nbsp;
    </center></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>&nbsp;

	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <center>
        <B><FONT size=2 face="serif">AMOUNT</FONT></B>&nbsp;
    </center></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<B><FONT size=2 face="serif">RATING&#135;</FONT></B>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left> <center>
	  <B><FONT size=2 face="serif">SECURITY</FONT></B>&nbsp;
    </center></TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<B><FONT size=2 face="serif">VALUE</FONT></B>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <hr noshade size=3>  	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" colspan="3" align=center>
      <div align="left"><B><FONT size=2 face="serif">Colorado (continued)</FONT></B>&nbsp;
    </div>	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>&nbsp;

	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">&#36;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1,230,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">AAA</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD colspan=2 align=right>
      <div align="left"> &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Bromley School Project, Refunding, XLCA-Insured, 5.125% due</FONT>&nbsp;
      </div></TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">9/15/25</FONT>&nbsp;
	</TD>
	<TD width="1%" align=center>
      <div align="left"><FONT size=2 face="serif">&#36;</FONT>&nbsp;
      </div></TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">1,311,438</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">2,000,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD colspan=2 align=right>
      <div align="left"> &nbsp; &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Colorado Lutheran High School Association Project, Series A, 7.625%</FONT>&nbsp;
      </div></TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">due 6/1/34 (d)(e)</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">2,107,900</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">785,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Elbert County Charter, 7.375% due 3/1/35</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">793,611</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">500,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
<FONT size=2 face="serif">High Plains, CO, Metropolitan District, Series A, 6.250% due 12/1/35</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">505,745</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">500,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD colspan=2 align=left>
<FONT size=2 face="serif">Southlands, CO, Metropolitan District Number 1, GO, 7.125% due 12/1/34</FONT>&nbsp;
	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">551,020</FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <HR noshade size=1>
	</TD>
  </TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
<B><FONT size=2 face="serif">Total Colorado</FONT></B>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<B><FONT size=2 face="serif">6,827,119</FONT></B>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <hr noshade size=3>  	</TD>
  </TR>
<TR valign="bottom">
	<TD colspan=5 align=left>
      <div align="left"><B><FONT size=2 face="serif">District of Columbia &#151; 1.3%</FONT></B>&nbsp;
    </div>	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">1,895,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">AAA</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD colspan=2 align=left>
<FONT size=2 face="serif">District of Columbia COP, District Public Safety &amp; Emergency, AMBAC-</FONT>&nbsp;
	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Insured, 5.500% due 1/1/20 (d)(e)</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif"><b>2,093,406</b></FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <HR noshade size=1>
	</TD>
  </TR>
<TR valign="bottom">
	<TD width="10%" colspan="3" align=center>
      <div align="left"><B><FONT size=2 face="serif">Florida &#151; 11.7%</FONT></B>&nbsp;
    </div>	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>&nbsp;

	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD colspan=2 align=left>
<FONT size=2 face="serif">Beacon Lakes, FL, Community Development District, Special Assessment,</FONT>&nbsp;
	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Series A, 6.900% due 5/1/35</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">1,041,790</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">1,500,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD colspan=2 align=left>
<FONT size=2 face="serif">Bonnet Creek Resort Community Development District, Special Assessment,</FONT>&nbsp;
	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">7.500% due 5/1/34</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">1,621,905</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">2,000,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
<FONT size=2 face="serif">Capital Projects Finance Authority of Florida\Student Housing Revenue,</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD colspan=2 align=right>
      <div align="left">&nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Capital Projects Loan Program, Florida University, Series A, 7.850% due</FONT>&nbsp;
      </div></TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">8/15/31 (d)(e)</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">1,983,040</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">2,000,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
<FONT size=2 face="serif">Capital Projects Finance Authority, FL, Continuing Care Retirement</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=center>
      <div align="left">&nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Glenridge on Palmer Ranch, Series A, 8.000% due 6/1/32 (d)(e)</FONT>&nbsp;
      </div></TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">2,207,540</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD colspan=2 align=left>
<FONT size=2 face="serif">Capital Trust Agency Revenue, Seminole Tribe Convention Center, Series A,</FONT>&nbsp;
	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">10.000% due 10/1/33</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">1,102,270</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">980,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD colspan=2 align=left>
<FONT size=2 face="serif">Century Parc Community Development District, Special Assessment, 7.000%</FONT>&nbsp;
	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">due 11/1/31</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">1,042,191</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">A</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD colspan=2 align=left>
<FONT size=2 face="serif">Highlands County, FL, Health Facilities Authority Revenue, Adventist Health</FONT>&nbsp;
	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Systems, Series D, 6.000% due 11/15/25</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">1,096,100</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">875,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD colspan=2 align=left>
<FONT size=2 face="serif">Homestead, FL, IDR, Community Rehabilitation Providers Program, Series</FONT>&nbsp;
	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">A, 7.950% due 11/1/18</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">880,014</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">2,000,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">BB+</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD colspan=2 align=left>
<FONT size=2 face="serif">Martin County, FL, IDA Revenue, Indiantown Cogeneration Project, Series</FONT>&nbsp;
	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">A, 7.875% due 12/15/25 (c)(d)(e)</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">2,060,600</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
<FONT size=2 face="serif">Orange County, FL, Health Facilities Authority Revenue, First Mortgage,</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">GF/Orlando, Inc. Project, 9.000% due 7/1/31</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">1,031,140</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">495,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">AAA</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
<FONT size=2 face="serif">Palm Beach County, FL, Health Facilities Authority Revenue, John F.</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=center>
      <div align="left">&nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Kennedy Memorial Hospital, Inc. Project, 9.500% due 8/1/13 (h)</FONT>&nbsp;
      </div></TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">617,730</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">2,000,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD colspan=2 align=left>
<FONT size=2 face="serif">Reunion East Community Development District, Special Assessment, Series</FONT>&nbsp;
	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">A, 7.375% due 5/1/33 (d)(e)</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">2,216,600</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">B-</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
<FONT size=2 face="serif">Santa Rosa, FL, Bay Bridge Authority Revenue, 6.250% due 7/1/28</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">1,005,730</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">1,515,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
<FONT size=2 face="serif">Waterlefe, FL, Community Development District, Golf Course Revenue,</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">8.125% due 10/1/25</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">1,533,756</FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <HR noshade size=1>
	</TD>
  </TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
<B><FONT size=2 face="serif">Total Florida</FONT></B>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<B><FONT size=2 face="serif">19,440,406</FONT></B>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <hr noshade size=3>  	</TD>
  </TR>
<TR valign="bottom">
	<TD width="10%" colspan="3" align=left>
      <div align="left"><B><FONT size=2 face="serif">Georgia &#151; 4.8%</FONT></B>&nbsp;
      </div></TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>&nbsp;

	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
<FONT size=2 face="serif">Atlanta, GA, Airport Revenue:</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">AAA</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Series B, FGIC-Insured, 5.625% due 1/1/30 (c)</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">1,058,490</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">AAA</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Series G, FSA-Insured, 5.000% due 1/1/26</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">1,057,640</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">2,500,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD colspan=2 align=left>
<FONT size=2 face="serif">Atlanta, GA, Tax Allocation, Atlantic Station Project, 7.900% due </FONT>&nbsp;
	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">12/1/24 (d)(e)</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">2,736,325</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD colspan=2 align=right>
      <div align="left"><FONT size=2 face="serif">Brunswick &amp; Glynn County,
          GA, Development Authority, First Mortgage</FONT>&nbsp;
      </div></TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD colspan=2 align=right>
      <div align="left">&nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Revenue, Coastal Community Retirement, Series A, 7.250% due 1/1/35</FONT>&nbsp;
      </div></TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">1,049,950</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">BBB+(i)</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD colspan=2 align=right>
      <div align="left"><FONT size=2 face="serif">Gainesville &amp; Hall County,
          GA, Development Authority Revenue, Senior</FONT>&nbsp;
      </div></TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD colspan=2 align=right>
      <div align="left">&nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Living Facilities, Lanier Village Estates, Series C, 7.250% due 11/15/29</FONT>&nbsp;
      </div></TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">1,080,920</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=center>
      <div align="right"><FONT size=2 face="serif">1,005,000</FONT>&nbsp;
      </div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
<FONT size=2 face="serif">Walton County, GA, IDA Revenue, Walton Manufacturing Co. Project,</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">8.500% due 9/1/07</FONT>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<FONT size=2 face="serif">1,035,351</FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <HR noshade size=1>
	</TD>
  </TR>
<TR valign="bottom">
	<TD width="10%" align=left>

	  <div align="right"></div></TD>
	<TD width="2%">&nbsp;
	</TD>
	<TD width="10%" align=left>&nbsp;

	</TD>
	<TD width="3%">&nbsp;
	</TD>
	<TD width="65%" align=left>
<B><FONT size=2 face="serif">Total Georgia</FONT></B>&nbsp;
	</TD>
	<TD width="1%" align=left>&nbsp;

	</TD>
	<TD width="9%" align=right>
<B><FONT size=2 face="serif">8,018,676</FONT></B>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <hr noshade size=3>  	</TD>
  </TR>
</TABLE>
<BR>
<P align="center">
<B><FONT size=2 face="serif">See Notes to Schedule of Investments. </FONT></B></P>
<P align="center">
<FONT size=2 face="serif">2 </FONT></P>

<HR noshade  width="100%" size=4>

<P align="left" style="page-break-before:always"></P><PAGE>


<P>
<B><FONT size=2 face="serif">MUNICIPAL HIGH INCOME FUND INC. </FONT></B></P>
<TABLE width="100%" border=0 cellpadding=0 cellspacing=0>
<TR valign="bottom">
	<TD align=left>
<B><FONT size=2 face="serif">Schedule of Investments (unaudited) (continued)</FONT></B>&nbsp;
	</TD>
    <TD align=left nowrap><div align="right"><B><FONT size=2 face="serif">July 31, 2005</FONT></B></div></TD>
</TR>
</TABLE>
<BR>
<TABLE width="100%" border=0 cellpadding=0 cellspacing=0>
<TR valign="bottom">
	<TD width=10% align=center>
      <center>
        <B><FONT size=2 face="serif">FACE</FONT></B>&nbsp;
    </center></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>

	  <div align="left"></div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <center>
        <B><FONT size=2 face="serif">AMOUNT</FONT></B>&nbsp;
    </center></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<B><FONT size=2 face="serif">RATING&#135;</FONT></B>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=right>
      <center>
        <B><FONT size=2 face="serif">SECURITY</FONT></B>
    </center></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=right>
<B><FONT size=2 face="serif">VALUE</FONT></B>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <hr align="right" size=3 noshade>  	</TD>
</TR>
<TR valign="bottom">
	<TD colspan="3" align=center>
      <div align="left"><B><FONT size=2 face="serif">Illinois &#151; 1.3%</FONT></B>&nbsp;
    </div>	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>

	  <div align="left"></div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">&#36;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2,000,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">AAA</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=center>
      <div align="left"><FONT size=2 face="serif">Chicago, IL, GO, Neighborhoods Alive 21 Program, FGIC-Insured, Call</FONT>
    </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=right>
      <div align="left"><FONT size=2 face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1/1/11 @ 100, 5.500% due 1/1/31
            (b)(d)(e)</FONT>
    </div></TD>
	<TD width=1% align=center>
      <div align="left"><FONT size=2 face="serif"><b>&#36;</b></FONT>&nbsp;
      </div></TD>
	<TD width=95 align=right>
<FONT size=2 face="serif"><b>2,166,840</b></FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
	  <div align="right"></div>
      <HR noshade size=1>	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% colspan="3" align=center>
      <div align="left"><B><FONT size=2 face="serif">Indiana &#151; 2.1%</FONT></B>&nbsp;
    </div>	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>

	  <div align="left"></div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">2,500,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">BBB</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=center>
      <div align="left"><FONT size=2 face="serif">East Chicago Industrial, PCR, IN, Inland Steel Co. Project Number 10,</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=right>
      <div align="left"><FONT size=2 face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.800% due 6/1/13 (d)(e)</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=right>
<FONT size=2 face="serif">2,514,850</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">BBB-</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD colspan=2 align=right>
      <div align="left"><FONT size=2 face="serif">Indiana State Development Finance Authority, PCR, Inland Steel Co. Project</FONT>&nbsp;
      </div></TD>
	<TD width=95 align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=right>
      <div align="left"><FONT size=2 face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Number 13, 7.250% due 11/1/11 (c)</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=right>
<FONT size=2 face="serif">1,042,190</FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
	  <div align="right"></div>
      <HR noshade size=1>	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
      <div align="left"><B><FONT size=2 face="serif">Total Indiana</FONT></B>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=right>
<B><FONT size=2 face="serif">3,557,040</FONT></B>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
	  <div align="right"></div>
    <hr noshade size=3>  	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% colspan="3" align=center>
      <div align="left"><B><FONT size=2 face="serif">Louisiana &#151; 2.1%</FONT></B>&nbsp;
    </div>	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>

	  <div align="left"></div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
      <div align="left"><FONT size=2 face="serif">Epps, LA, COP, 8.000% due 6/1/18</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=right>
<FONT size=2 face="serif">1,039,100</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,600,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=center>
      <div align="left"><FONT size=2 face="serif">Louisiana Local Government Environmental Facilities, CDA Revenue, St.</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=right>
      <div align="left"><FONT size=2 face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;James Place, Series A, 7.000% due 11/1/25</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=right>
<FONT size=2 face="serif">1,508,928</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">BB-</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=center>
      <div align="left"><FONT size=2 face="serif">Port of New Orleans, LA, IDR, Continental Grain Co. Project, 7.500% </FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=right>
      <div align="left"><FONT size=2 face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;due 7/1/13</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=right>
<FONT size=2 face="serif">1,014,460</FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
	  <div align="right"></div>
      <HR noshade size=1>	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
      <div align="left"><B><FONT size=2 face="serif">Total Louisiana</FONT></B>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=right>
<B><FONT size=2 face="serif">3,562,488</FONT></B>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
	  <div align="right"></div>
    <hr noshade size=3>  	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% colspan="3" align=center>
      <div align="left"><B><FONT size=2 face="serif">Maryland &#151; 1.0%</FONT></B>&nbsp;
    </div>	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>

	  <div align="left"></div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,500,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=center>
      <div align="left"><FONT size=2 face="serif">Maryland State Economic Development Corp. Revenue, Chesapeake Bay,</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=right>
      <div align="left"><FONT size=2 face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Series A, 7.730% due 12/1/27</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=right>
<FONT size=2 face="serif"><b>1,594,230</b></FONT>&nbsp;
	</TD>
</TR>
<TR>
  <TD colspan=7><div align="right"></div>
      <HR noshade size=1>
  </TD>
</TR>
<TR valign="bottom">
	<TD colspan=5 align=left>
      <div align="left"><B><FONT size=2 face="serif">Massachusetts &#151; 4.2%</FONT></B>&nbsp;
    </div>

	  <div align="left"></div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">955,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=center>
      <div align="left"><FONT size=2 face="serif">Boston, MA, IDA Revenue, Roundhouse Hospitality LLC Project, 7.875%</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=right>
      <div align="left"><FONT size=2 face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;due 3/1/25 (c)</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=right>
<FONT size=2 face="serif">965,361</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD colspan=2 align=left>
      <div align="left"><FONT size=2 face="serif">Massachusetts State DFA Revenue, Briarwood, Series B, Call 12/1/10 @ 101,</FONT>&nbsp;
      </div></TD>
	<TD width=95 align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=right>
      <div align="left"><FONT size=2 face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.250% due 12/1/30 (b)</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=right>
<FONT size=2 face="serif">1,237,840</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">BBB</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=center>
      <div align="left"><FONT size=2 face="serif">Massachusetts State HEFA Revenue, Caritas Christi Obligation, Series B,</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=right>
      <div align="left"><FONT size=2 face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.750% due 7/1/16</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=right>
<FONT size=2 face="serif">1,132,040</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,900,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=center>
      <div align="left"><FONT size=2 face="serif">Massachusetts State IFA Revenue, Assisted Living Facilities, Marina Bay</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=right>
      <div align="left"><FONT size=2 face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;LLC Project, 7.500% due 12/1/27 (c)(d)(e)</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=right>
<FONT size=2 face="serif">1,967,773</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">425,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">AAA</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
      <div align="left"><FONT size=2 face="serif">Massachusetts State Port Authority Revenue, 13.000% due 7/1/13 (h)</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=right>
<FONT size=2 face="serif">604,074</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">AAA</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=center>
      <div align="left"><FONT size=2 face="serif">Massachusetts State, School Building Authority, Dedicated Sales Tax</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=right>
      <div align="left"><FONT size=2 face="serif">Revenue, Series A, FSA-Insured, 5.000% due 8/15/20</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=right>
<FONT size=2 face="serif">1,076,820</FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
	  <div align="right"></div>
      <HR noshade size=1>	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
      <div align="left"><B><FONT size=2 face="serif">Total Massachusetts</FONT></B>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=right>
<B><FONT size=2 face="serif">6,983,908</FONT></B>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
	  <div align="right"></div>
    <hr noshade size=3>  	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% colspan="3" align=center>
      <div align="left"><B><FONT size=2 face="serif">Michigan &#151; 6.9%</FONT></B>&nbsp;
    </div>	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>

	  <div align="left"></div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">2,130,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
      <div align="left"><FONT size=2 face="serif">Allen Academy, COP, 7.500% due 6/1/23 (d)(e)</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=right>
<FONT size=2 face="serif">2,090,744</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
      <div align="left"><FONT size=2 face="serif">Cesar Chavez Academy, COP:</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=right>
      <div align="left"><FONT size=2 face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.000% due 2/1/33</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=right>
<FONT size=2 face="serif">1,045,250</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=right>
      <div align="left"><FONT size=2 face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.250% due 2/1/33</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=right>
<FONT size=2 face="serif">984,780</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,900,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">Ba1(g)</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD colspan=2 align=right>
      <div align="left"><FONT size=2 face="serif">Garden City, MI, HFA, Hospital Revenue, Garden City Hospital Obligation</FONT>&nbsp;
      </div></TD>
	<TD width=95 align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=right>
      <div align="left"><FONT size=2 face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Group, Series A, 5.625% due 9/1/10</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=right>
<FONT size=2 face="serif">1,896,181</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
      <div align="left"><FONT size=2 face="serif">Gaudior Academy, COP, 7.250% due 4/1/34</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=right>
<FONT size=2 face="serif">1,019,930</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,750,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
      <div align="left"><FONT size=2 face="serif">Kalamazoo Advantage Academy, COP, 8.000% due 12/1/33</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=right>
<FONT size=2 face="serif">1,780,415</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
      <div align="left"><FONT size=2 face="serif">Merritt Academy, COP, 7.250% due 12/1/24</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=right>
<FONT size=2 face="serif">1,010,620</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
      <div align="left"><FONT size=2 face="serif">Star International Academy, COP, 7.000% due 3/1/33</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=right>
<FONT size=2 face="serif">1,020,880</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">700,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
      <div align="left"><FONT size=2 face="serif">William C. Abney Academy, COP, 6.750% due 7/1/19</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=right>
<FONT size=2 face="serif">696,829</FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
	  <div align="right"></div>
      <HR noshade size=1>	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
      <div align="left"><B><FONT size=2 face="serif">Total Michigan</FONT></B>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=right>
<B><FONT size=2 face="serif">11,545,629</FONT></B>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
	  <div align="right"></div>
    <hr noshade size=3>  	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% colspan="3" align=center>
      <div align="left"><B><FONT size=2 face="serif">Minnesota &#151; 0.5%</FONT></B>&nbsp;
    </div>	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>

	  <div align="left"></div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=center>
      <div align="left"><FONT size=2 face="serif">Minneapolis &amp; St. Paul,
          MN, Metropolitan Airport Commission Special</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=center>
      <div align="left"><FONT size=2 face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Facilities Revenue, Northwest Airlines Project, Series A, 7.000% due</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=right>
      <div align="left"><FONT size=2 face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4/1/25</FONT>
(c)      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=right>
<FONT size=2 face="serif"><b>920,070</b></FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
	  <div align="right"></div>
      <HR noshade size=1>	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% colspan="3" align=center>
      <div align="left"><B><FONT size=2 face="serif">Mississippi &#151; 0.9%</FONT></B>&nbsp;
    </div>	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>

	  <div align="left"></div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,480,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">Aaa(g)</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=center>
      <div align="left"><FONT size=2 face="serif">Jackson, MS, Public School District, FSA-Insured, 5.000% due 10/1/20</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=95 align=right>
<FONT size=2 face="serif"><b>1,593,871</b></FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
	  <div align="right"></div>
      <HR noshade size=1>	</TD>
  </TR>
</TABLE>
<BR>
<P align="center">
<B><FONT size=2 face="serif">See Notes to Schedule of Investments. </FONT></B></P>
<P align="center">
<FONT size=2 face="serif">3 </FONT></P>

<HR noshade  width="100%" size=4>

<P align="left" style="page-break-before:always"></P><PAGE>


<P>
<B><FONT size=2 face="serif">MUNICIPAL HIGH INCOME FUND INC. </FONT></B></P>
<TABLE width="100%" border=0 cellpadding=0 cellspacing=0>
<TR valign="bottom">
	<TD align=left>
<B><FONT size=2 face="serif">Schedule of Investments (unaudited) (continued)</FONT></B>&nbsp;
	</TD>
    <TD align=left><div align="right"><B><FONT size=2 face="serif">July 31, 2005</FONT></B></div></TD>
</TR>
</TABLE>
<BR>
<TABLE width="100%" border=0 cellpadding=0 cellspacing=0>
<TR valign="bottom">
	<TD width=10% align=center>
<B><FONT size=2 face="serif">FACE</FONT></B>&nbsp;
	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>&nbsp;

	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
<B><FONT size=2 face="serif">AMOUNT</FONT></B>&nbsp;
	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<B><FONT size=2 face="serif">RATING&#135;</FONT></B>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left> <center>
	  <B><FONT size=2 face="serif">SECURITY</FONT></B>&nbsp;
    </center></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<B><FONT size=2 face="serif">VALUE</FONT></B>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <hr noshade size=3>  	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% colspan="3" align=center>
      <div align="left"><B><FONT size=2 face="serif">Missouri &#151; 0.2%</FONT></B>&nbsp;
      </div>	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>&nbsp;

	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">&#36;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;250,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD colspan=2 align=left>
<FONT size=2 face="serif">St. Joseph, MO, IDA Health Care Revenue, Living Community of St. Joseph</FONT>&nbsp;
	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Project, 7.000% due 8/15/32</FONT>&nbsp;
	</TD>
	<TD width=1% align=center>
      <div align="left"><FONT size=2 face="serif"><b>&#36;</b></FONT></div></TD>
	<TD width=9% align=right>
<FONT size=2 face="serif"><b>265,085</b></FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <HR noshade size=1>
	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% colspan="3" align=center>
      <div align="left"><B><FONT size=2 face="serif">Montana &#151; 1.5%</FONT></B>&nbsp;
      </div>	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>&nbsp;

	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">2,515,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">Montana State Board of Investment, Resource Recovery Revenue,</FONT>&nbsp;
	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=center>
      <div align="left">&nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Yellowstone Energy LP Project, 7.000% due 12/31/19 (c)(d)(e)</FONT>&nbsp;
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif"><b>2,486,731</b></FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <HR noshade size=1>
	</TD>
  </TR>
<TR valign="bottom">
	<TD colspan=3 align=left>
<B><FONT size=2 face="serif">New Hampshire &#151; 1.0%</FONT></B>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>&nbsp;

	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,600,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">A</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">New Hampshire HEFA Revenue, Covenant Health System, 5.500% due</FONT>&nbsp;
	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">7/1/34</FONT>&nbsp;
	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif"><b>1,686,288</b></FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <HR noshade size=1>
	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% colspan="3" align=center>
      <div align="left"><B><FONT size=2 face="serif">New Jersey &#151; 5.7%</FONT></B>&nbsp;
      </div>	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>&nbsp;

	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,500,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">AAA</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">Casino Reinvestment Development Authority Revenue, Series A, MBIA-</FONT>&nbsp;
	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Insured, 5.250% due 6/1/20</FONT>&nbsp;
	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">1,628,175</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">New Jersey EDA:</FONT>&nbsp;
	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,230,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=center>
      <div align="left">&nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">First Mortgage, Lions Gate Project, Series A, 5.875% due 1/1/37</FONT>&nbsp;
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">1,250,812</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=center>
      <div align="left">&nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Retirement Community Revenue, SeaBrook Village, Inc., Series A,</FONT>&nbsp;
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">8.250% due 11/15/30</FONT>&nbsp;
	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">1,114,970</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">3,000,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">BBB-</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">New Jersey Health Care Facilities Financing Authority Revenue, Trinitas</FONT>&nbsp;
	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Hospital Obligation Group, 7.500% due 7/1/30</FONT>&nbsp;
	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">3,372,840</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,750,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">BBB</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">Tobacco Settlement Financing Corp., 6.750% due 6/1/39 (d)(e)</FONT>&nbsp;
	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">2,083,550</FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <HR noshade size=1>
	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<B><FONT size=2 face="serif">Total New Jersey</FONT></B>&nbsp;
	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<B><FONT size=2 face="serif">9,450,347</FONT></B>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <hr noshade size=3>  	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% colspan="3" align=center>
      <div align="left"><B><FONT size=2 face="serif">New Mexico &#151; 1.4%</FONT></B>&nbsp;
      </div>	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>&nbsp;

	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD colspan=2 align=left>
<FONT size=2 face="serif">Albuquerque, NM, Hospital Revenue, Southwest Community Health Services,</FONT>&nbsp;
	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">&nbsp; &nbsp; Call 8/1/08 @100:</FONT>&nbsp;
	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">200,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">AAA</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">10.000% due 8/1/12 (b)</FONT>&nbsp;
	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">229,810</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">105,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">AAA</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">10.125% due 8/1/12 (b)</FONT>&nbsp;
	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">120,954</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">Otero County, NM, Jail Project Revenue, 7.500% due 12/1/24</FONT>&nbsp;
	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">985,420</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">940,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD colspan=2 align=left>
<FONT size=2 face="serif">Sandoval County, NM, Project Revenue, Santa Ana Pueblo Project, 7.750%</FONT>&nbsp;
	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">due 7/1/15</FONT>&nbsp;
	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">968,820</FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <HR noshade size=1>
	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<B><FONT size=2 face="serif">Total New Mexico</FONT></B>&nbsp;
	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<B><FONT size=2 face="serif">2,305,004</FONT></B>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>   	<hr noshade size=3>    </TD>
  </TR>
<TR valign="bottom">
	<TD width=10% colspan="3" align=center>
      <div align="left"><B><FONT size=2 face="serif">New York &#151; 7.3%</FONT></B>&nbsp;
      </div>	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>&nbsp;

	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">700,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD colspan=2 align=left>
<FONT size=2 face="serif">Brookhaven, NY, IDA Civic Facilities Revenue, Memorial Hospital Medical</FONT>&nbsp;
	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Center, Inc., Series A, 8.250% due 11/15/30</FONT>&nbsp;
	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">759,248</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">500,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">Aaa(g)</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">Herkimer County, NY, IDA, Folts Adult Home, Series A, FHA-Insured,</FONT>&nbsp;
	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">GNMA-Collateralized, 5.500% due 3/20/40</FONT>&nbsp;
	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">546,650</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">2,000,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">AAA</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">Metropolitan Transportation Authority of New York, Series A, AMBAC-</FONT>&nbsp;
	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Insured, 5.000% due 7/1/30 (d)(e)</FONT>&nbsp;
	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">2,088,940</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">Monroe County, NY, IDA, Civic Facilities Revenue, Woodland Village</FONT>&nbsp;
	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Project, 8.550% due 11/15/32</FONT>&nbsp;
	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">1,085,360</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">New York City, NY, IDA, Civic Facilities Revenue:</FONT>&nbsp;
	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,340,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=center>
      <div align="left">&nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Community Residence for the Developmentally Disabled Project,</FONT>&nbsp;
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">7.500% due 8/1/26</FONT>&nbsp;
	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">1,402,618</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD colspan=2 align=right>
      <div align="left">&nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Special Needs Facilities Pooled Program, Series A-1, 8.125% due 7/1/19</FONT>&nbsp;
      </div></TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">1,086,310</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">AAA</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD colspan=2 align=left>
<FONT size=2 face="serif">New York City, NY, Municipal Water Finance Authority, Water &amp; Sewer</FONT>&nbsp;
	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=center>
      <div align="left">&nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">System Revenue, Series C, MBIA-Insured, 5.000% due 6/15/27</FONT>&nbsp;
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">1,063,200</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">New York State Dormitory Authority Revenue:</FONT>&nbsp;
	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,500,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">AAA</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=center>
      <div align="left">&nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Mental Health Services Facilities Improvement, Series B, AMBAC-</FONT>&nbsp;
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Insured, 5.000% due 2/15/35</FONT>&nbsp;
	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">1,582,590</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,450,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">AAA</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=center>
      <div align="left">&nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Montefiore Hospital, FGIC/FHA-Insured, 5.000% due 8/1/29</FONT>&nbsp;
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">1,531,910</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">970,000</FONT>&nbsp;
      </div></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">Suffolk County, NY, IDA, Civic Facilities Revenue, Eastern Long Island</FONT>&nbsp;
	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Hospital Association, Series A, 7.750% due 1/1/22</FONT>&nbsp;
	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">1,009,722</FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <HR noshade size=1>
	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<B><FONT size=2 face="serif">Total New York</FONT></B>&nbsp;
	</TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<B><FONT size=2 face="serif">12,156,548</FONT></B>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <hr noshade size=3>  	</TD>
  </TR>
</TABLE>
<BR>
<P align="center">
<B><FONT size=2 face="serif">See Notes to Schedule of Investments. </FONT></B></P>
<P align="center">
<FONT size=2 face="serif">4 </FONT></P>

<HR noshade  width="100%" size=4>

<P align="left" style="page-break-before:always"></P><PAGE>


<P>
<B><FONT size=2 face="serif">MUNICIPAL HIGH INCOME FUND INC. </FONT></B></P>
<TABLE width="100%" border=0 cellpadding=0 cellspacing=0>
<TR valign="bottom">
	<TD align=left>
<B><FONT size=2 face="serif">Schedule of Investments (unaudited) (continued)</FONT></B>&nbsp;
	</TD>
    <TD align=left nowrap><div align="right"><B><FONT size=2 face="serif">July 31, 2005</FONT></B></div></TD>
</TR>
</TABLE>
<BR>
<TABLE width="100%" border=0 cellpadding=0 cellspacing=0>
<TR valign="bottom">
	<TD width=10% align=center>
<B><FONT size=2 face="serif">FACE</FONT></B>&nbsp;
	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>&nbsp;

	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=right>
      <center>
        <B><FONT size=2 face="serif">AMOUNT</FONT></B>&nbsp;
      </center></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<B><FONT size=2 face="serif">RATING&#135;</FONT></B>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left> <center>
	  <B><FONT size=2 face="serif">SECURITY</FONT></B>&nbsp;
    </center></TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=right>
<B><FONT size=2 face="serif">VALUE</FONT></B>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <hr noshade size=3>  	</TD>
</TR>
<TR valign="bottom">
	<TD colspan=3 align=left>
<B><FONT size=2 face="serif">North Carolina &#151; 0.6%</FONT></B>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>&nbsp;

	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=right>
<FONT size=2 face="serif">&#36;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;965,000</FONT>&nbsp;
	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">North Carolina Medical Care Community, Health Care Facilities Revenue,</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=center>
      <div align="left">&nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">First Mortgage, DePaul Community
          Facilities Project, 7.625% due 11/1/29 </FONT>&nbsp;
      </div></TD>
	<TD width=1%><FONT size=2 face="serif">&#36;</FONT>
	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">1,009,294</FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <HR noshade size=1>
	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% colspan="3" align=right>
      <div align="left"><B><FONT size=2 face="serif">Ohio &#151; 2.8%</FONT></B>&nbsp;
      </div>	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>&nbsp;

	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=right>
<FONT size=2 face="serif">1,500,000</FONT>&nbsp;
	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">BBB</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">Cuyahoga County, OH\Hospital Facilities Revenue, Canton, Inc. Project,</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">7.500% due 1/1/30</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">1,687,815</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">Montgomery County, OH, Health Systems Revenue:</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=right>
<FONT size=2 face="serif">1,035,000</FONT>&nbsp;
	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">AAA</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Series B-1, Call 7/1/06 @102, 8.100% due 7/1/18 (b)</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">1,103,465</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=right>
<FONT size=2 face="serif">260,000</FONT>&nbsp;
	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">AAA</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=center>
      <div align="left">&nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Unrefunded Balance, Series B-1, Call 7/1/06 @102, 8.100% due 7/1/18 (b)</FONT>&nbsp;
      </div></TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=left><div align="right"><font size=2 face="serif">276,071</font>&nbsp;

	</div></TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=right>
<FONT size=2 face="serif">1,500,000</FONT>&nbsp;
	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">BB+</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">Ohio State Air Quality Development Authority Revenue, Cleveland Pollution</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Control, Series A, 6.000% due 12/1/13</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">1,586,850</FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <HR noshade size=1>
	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<B><FONT size=2 face="serif">Total Ohio</FONT></B>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=right>
<B><FONT size=2 face="serif">4,654,201</FONT></B>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <hr noshade size=3>  	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% colspan="3" align=center>
      <div align="left"><B><FONT size=2 face="serif">Pennsylvania &#151; 3.5%</FONT></B>&nbsp;
      </div>	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>&nbsp;

	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=right>
<FONT size=2 face="serif">2,200,000</FONT>&nbsp;
	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">Allegheny County, PA, IDA, Airport Special Facitlities Revenue, USAir, Inc.</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Project, Series B, 8.500% due 3/1/21 (a)(c)</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">46,750</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=right>
<FONT size=2 face="serif">1,000,000</FONT>&nbsp;
	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">Cumberland County, PA, Municipal Authority Retirement Community</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=center>
      <div align="left">&nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Revenue, Wesley Affiliated Services Inc. Project, Series A, 7.250% due </FONT><font size=2 face="serif">1/1/35</font>&nbsp;
      </div></TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=left><div align="right"><font size=2 face="serif">1,079,160</font>&nbsp;

	</div></TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=right>
<FONT size=2 face="serif">2,640,000</FONT>&nbsp;
	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">Montgomery County, PA, Higher Education &amp; Health Authority Revenue,</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Temple Continuing Care Center, 6.625% due 7/1/19 (a)</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">528,264</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=right>
<FONT size=2 face="serif">990,000</FONT>&nbsp;
	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">Northumberland County, PA, IDA Facilities Revenue, NHS Youth Services,</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Inc. Project, Series A, 7.500% due 2/15/29</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">1,021,205</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=right>
<FONT size=2 face="serif">1,000,000</FONT>&nbsp;
	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">Philadelphia, PA, Authority for IDR, Host Marriot LP Project, Remarketed</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">10/31/95, 7.750% due 12/1/17</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">1,014,250</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=right>
<FONT size=2 face="serif">2,000,000</FONT>&nbsp;
	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">Westmoreland County, PA, IDA Revenue, Health Care Facilities, Redstone</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Highlands Health, Series B, 8.125% due 11/15/30 (d)(e)</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">2,181,640</FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <HR noshade size=1>
	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<B><FONT size=2 face="serif">Total Pennsylvania</FONT></B>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=right>
<B><FONT size=2 face="serif">5,871,269</FONT></B>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <hr noshade size=3>  	</TD>
  </TR>
<TR valign="bottom">
	<TD colspan=5 align=left>
<B><FONT size=2 face="serif">South Carolina &#151; 0.4%</FONT></B>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=right>
<FONT size=2 face="serif">225,000</FONT>&nbsp;
	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">Florence County, SC, IDR, Stone Container Corp., 7.375% due 2/1/07</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">226,130</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=right>
<FONT size=2 face="serif">385,000</FONT>&nbsp;
	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">McCormick County, SC, COP, 9.750% due 7/1/09</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">388,838</FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <HR noshade size=1>
	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<B><FONT size=2 face="serif">Total South Carolina</FONT></B>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=right>
<B><FONT size=2 face="serif">614,968</FONT></B>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <hr noshade size=3>  	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% colspan="3" align=right>
      <div align="left"><B><FONT size=2 face="serif">Texas &#151; 10.2%</FONT></B>&nbsp;
      </div>	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>&nbsp;

	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=right>
<FONT size=2 face="serif">1,155,000</FONT>&nbsp;
	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">Ba1(g)</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">Bexar County, TX, Housing Finance Corp., MFH Revenue, Nob Hill</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Apartments, Series B, 8.500% due 6/1/31</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">1,111,711</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=right>
<FONT size=2 face="serif">965,000</FONT>&nbsp;
	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">Bexar County, TX, Housing Financial Corp., MFH Revenue, Continental</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Lady Ester, Series A, 6.875% due 6/1/29</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">911,298</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=right>
<FONT size=2 face="serif">1,000,000</FONT>&nbsp;
	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">Grand Prairie, TX, Housing Finance Corp., Independent Senior Living Center</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Revenue, 7.750% due 1/1/34</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">1,017,150</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=right>
<FONT size=2 face="serif">2,000,000</FONT>&nbsp;
	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">BB</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">Gulf Coast of Texas, IDA, Solid Waste Disposal Revenue, CITGO Petroleum</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Corp. Project, 7.500% due 10/1/12 (c)(d)(e)(j)</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">2,257,820</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=right>
<FONT size=2 face="serif">2,750,000</FONT>&nbsp;
	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">B-</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">Houston, TX, Airport Systems Revenue, Special Facilities, Continental</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Airlines, Inc. Project, Series C, 6.125% due 7/15/27 (c)(d)(e)</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">2,319,955</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=right>
<FONT size=2 face="serif">1,100,000</FONT>&nbsp;
	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">Intercontinental Airport, Houston Public Facilities Corp. Project Revenue,</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">7.750% due 5/1/26</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">1,096,425</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=right>
<FONT size=2 face="serif">1,000,000</FONT>&nbsp;
	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">AAA</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">Laredo, TX, ISD Public Facility Corp. Lease Revenue, Series A, AMBAC-</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Insured, 5.000% due 8/1/29</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">1,031,310</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=right>
<FONT size=2 face="serif">1,000,000</FONT>&nbsp;
	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">Midlothian, TX, Development Authority, Tax Increment Contract Revenue,</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">6.200% due 11/15/29</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">1,014,750</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=right>
<FONT size=2 face="serif">1,000,000</FONT>&nbsp;
	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">AAA</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">North Texas Throughway Authority, Dallas North Tollway Systems Revenue,</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Series A, FSA-Insured, 5.000% due 1/1/35</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">1,048,150</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=right>
<FONT size=2 face="serif">1,000,000</FONT>&nbsp;
	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">BB-</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">Port Corpus Christi, TX, Industrial Development Corp., CITGO Petroleum</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Corp. Project, 8.250% due 11/1/31 (c)</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">1,069,610</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=right>
<FONT size=2 face="serif">965,000</FONT>&nbsp;
	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">B3(g)</FONT>&nbsp;
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">Texas State Affordable Housing Corp., MFH Revenue, HIC</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Arborstone/Baybrook, Series C, 7.250% due 11/1/31 (k)(l)</FONT>&nbsp;
	</TD>
	<TD width=1%>&nbsp;
	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">66,585</FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
<HR noshade size=1>
	</TD>
</TR>
</TABLE>
<BR>
<P align="center">
<B><FONT size=2 face="serif">See Notes to Schedule of Investments. </FONT></B></P>
<P align="center">
<FONT size=2 face="serif">5 </FONT></P>

<HR noshade  width="100%" size=4>

<P align="left" style="page-break-before:always"></P><PAGE>


<P>
<B><FONT size=2 face="serif">MUNICIPAL HIGH INCOME FUND INC. </FONT></B></P>
<TABLE width="100%" border=0 cellpadding=0 cellspacing=0>
<TR valign="bottom">
	<TD align=left>
<B><FONT size=2 face="serif">Schedule of Investments (unaudited) (continued)</FONT></B>&nbsp;
	</TD>
    <TD align=left nowrap><div align="right"><B><FONT size=2 face="serif">July 31, 2005</FONT></B></div></TD>
</TR>
</TABLE>
<BR>
<TABLE width="100%" border=0 cellpadding=0 cellspacing=0>
<TR valign="bottom">
	<TD width=10% align=center>
      <center>
        <B><FONT size=2 face="serif">FACE</FONT></B>&nbsp;
    </center></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=left>

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>

	  <div align="left"></div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <center>
        <B><FONT size=2 face="serif">AMOUNT</FONT></B>&nbsp;
    </center></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=center>
<B><FONT size=2 face="serif">RATING&#135;</FONT></B>
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=right>      <center>
	  <B><FONT size=2 face="serif">SECURITY</FONT></B>
    </center></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<B><FONT size=2 face="serif">VALUE</FONT></B>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <hr noshade size=3>  	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% colspan="3" align=center>
      <div align="left"><B><FONT size=2 face="serif">Texas (continued)</FONT></B>&nbsp;
    </div>	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>

	  <div align="left"></div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">&#36;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1,865,000</FONT>&nbsp;
      </div></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=right>
      <center>
        <FONT size=2 face="serif">NR</FONT>
      </center></TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=center>
      <div align="left"><FONT size=2 face="serif">West Texas Detention Facility Corp. Revenue, 8.000% due 2/1/25</FONT>
      </div></TD>
	<TD width=1% align=center>
      <div align="left"><FONT size=2 face="serif">&#36;</FONT>&nbsp;
      </div></TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">1,927,104</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=left>

	  <center>
    </center></TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
      <div align="left"><FONT size=2 face="serif">Willacy County, TX, PFC Project Revenue:</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=right>
      <center>
        <FONT size=2 face="serif">NR</FONT>
      </center></TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=right>
      <div align="left"><FONT size=2 face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;County Jail, 7.500% due 11/1/25</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">1,021,270</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=right>
      <center>
        <FONT size=2 face="serif">NR</FONT>
      </center></TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=right>
      <div align="left"><FONT size=2 face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Series A-1, 8.250% due 12/1/23</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">1,040,670</FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <HR noshade size=1>
	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=left>

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
      <div align="left"><B><FONT size=2 face="serif">Total Texas</FONT></B>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<B><FONT size=2 face="serif">16,933,808</FONT></B>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <hr noshade size=3>  	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% colspan="3" align=center>
      <div align="left"><B><FONT size=2 face="serif">Virginia &#151; 1.6%</FONT></B>&nbsp;
    </div>	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>

	  <div align="left"></div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">505,000</FONT>&nbsp;
      </div></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=right>
      <center>
        <FONT size=2 face="serif">NR</FONT>
      </center></TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=center>
      <div align="left"><FONT size=2 face="serif">Alexandria, VA, Redevelopment &amp; Housing
          Authority, MFH Revenue,</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=left>

	  <center>
    </center></TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=center>
      <div align="left"><FONT size=2 face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Parkwood Court Apartments Project, Series C, 8.125% due 4/1/30</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">510,616</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=right>
      <center>
        <FONT size=2 face="serif">NR</FONT>
      </center></TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
      <div align="left"><FONT size=2 face="serif">Broad Street CDA Revenue, 7.500% due 6/1/33</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">1,106,400</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=right>
      <center>
        <FONT size=2 face="serif">NR</FONT>
      </center></TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD colspan=2 align=right>
      <div align="left"><FONT size=2 face="serif">Fairfax County, VA, EDA Revenue, Retirement Community, Greenspring</FONT>&nbsp;
      </div></TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=left>

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=right>
      <div align="left"><FONT size=2 face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Village, Inc., Series A, 7.500% due 10/1/29</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">1,068,510</FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <HR noshade size=1>
	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=left>

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
      <div align="left"><B><FONT size=2 face="serif">Total Virginia</FONT></B>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<B><FONT size=2 face="serif">2,685,526</FONT></B>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <hr noshade size=3>  	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% colspan="3" align=center>
      <div align="left"><B><FONT size=2 face="serif">Wisconsin &#151; 1.0%</FONT></B>&nbsp;
    </div>	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>

	  <div align="left"></div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=left>

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
      <div align="left"><FONT size=2 face="serif">Wisconsin State HEFA Revenue:</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">BBB+</FONT>
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=right>
      <div align="left"><FONT size=2 face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Aurora Health Care, 6.400% due 4/15/33</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">1,110,050</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,745,000</FONT>&nbsp;
      </div></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=right>
      <center>
        <FONT size=2 face="serif">NR</FONT>
      </center></TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD colspan=2 align=center>
      <div align="left"><FONT size=2 face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Benchmark Healthcare of Green Bay, Inc. Project, Series A, 7.750% </FONT>&nbsp;
      </div></TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=left>

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=right>
      <div align="left"><FONT size=2 face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;due 5/1/27 (a)</FONT>
    </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">523,779</FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <HR noshade size=1>
	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=left>

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
      <div align="left"><B><FONT size=2 face="serif">Total Wisconsin</FONT></B>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<B><FONT size=2 face="serif">1,633,829</FONT></B>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <hr noshade size=3>  	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=left>

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
      <div align="left"><B><FONT size=2 face="serif">TOTAL MUNICIPAL BONDS</FONT></B>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=left>

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=right>
      <div align="left"><FONT size=2 face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(Cost &#151; &#36;161,179,019)</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<B><FONT size=2 face="serif">161,150,774</FONT></B>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <hr noshade size=3>  	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <center>
        <B><FONT size=2 face="serif">SHARES</FONT></B>&nbsp;
    </center></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=left>

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width="65%" align=right>
      <center>
        <B></B>
      </center></TD>
	<TD width="1%" align=left>&nbsp; </TD>
	<TD width="9%" align=right>&nbsp; </TD>
</TR>
<TR>
	<TD colspan=7>
      <hr noshade size=3>  	</TD>
</TR>
<TR valign="bottom">
	<TD colspan=3 align=right>
      <div align="left"><B><FONT size=2 face="serif">COMMON STOCK &#151; 0.0%</FONT></B>
    </div></TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>

	  <div align="left"></div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD colspan="3" align=center>
      <div align="left"><B><FONT size=2 face="serif">ENERGY &#151; 0.0%</FONT></B>&nbsp;
    </div>	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>

	  <div align="left"></div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD colspan=5 align=left>
      <div align="left"><B><FONT size=2 face="serif">Oil, Gas &amp; Consumable Fuels &#151; 0.0%</FONT></B>
    </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=left>

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
      <div align="left"><FONT size=2 face="serif">Mobile Energy Services LLC, Restricted*(k)(l)</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">3,180</FONT>&nbsp;
      </div></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=left>

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=right>
      <div align="left"><FONT size=2 face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(Cost &#151; &#36;988,235)</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif"><b>0</b></FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <HR noshade size=1>
	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=left>

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD colspan=2 align=right>
      <div align="left"><B><FONT size=2 face="serif">TOTAL INVESTMENTS BEFORE SHORT-TERM INVESTMENTS</FONT></B>&nbsp;
      </div></TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=left>

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=right>
      <div align="left"><FONT size=2 face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(Cost &#151; &#36;162,167,254)</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<B><FONT size=2 face="serif">161,150,774</FONT></B>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <hr noshade size=3>  	</TD>
  </TR>
<TR valign="bottom">
  <TD width="10%" align=center>
    <center>
      <B><FONT size=2 face="serif">FACE</FONT></B>&nbsp;
  </center></TD>
  <TD width="2%">&nbsp; </TD>
  <TD width="10%" align=left> </TD>
  <TD width="3%">&nbsp; </TD>
  <TD width="65%" align=left>
    <div align="left"></div></TD>
  <TD width="1%" align=left>&nbsp; </TD>
  <TD width="9%" align=left>&nbsp; </TD>
</TR>
<TR valign="bottom">
  <TD width="10%" align=center>
    <center>
      <B><FONT size=2 face="serif">AMOUNT</FONT></B>&nbsp;
  </center></TD>
  <TD width="2%">&nbsp; </TD>
  <TD width="10%" align=center> <B><FONT size=2 face="serif">RATING&#135;</FONT></B> </TD>
  <TD width="3%">&nbsp; </TD>
  <TD width="65%" align=right>
    <center>
      <B></B>
    </center></TD>
  <TD width="1%" align=left>&nbsp; </TD>
  <TD width="9%" align=right>&nbsp; </TD>
</TR>
<TR>
	<TD colspan=7>
      <hr noshade size=3>  	</TD>
</TR>
<TR valign="bottom">
	<TD colspan=5 align=left>
      <div align="left"><B><FONT size=2 face="serif">SHORT-TERM INVESTMENTS &#151; 3.9%(m)</FONT></B>
    </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% colspan="3" align=center>
      <div align="left"><B><FONT size=2 face="serif">California &#151; 0.3%</FONT></B>&nbsp;
    </div>	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>

	  <div align="left"></div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">&#36;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;500,000</FONT>&nbsp;
      </div></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=right> <center>
    <FONT size=2 face="serif">A-1+</FONT>	  </center></TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD colspan=2 align=right>
      <div align="left"><FONT size=2 face="serif">Metropolitan Water District of Southern California, Series B-1, SPA-Dexia,</FONT>&nbsp;
      </div></TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=left>

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=right>
      <div align="left"><FONT size=2 face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.230%, 8/4/05</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif"><b>500,000</b></FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <HR noshade size=1>
	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% colspan="3" align=center>
      <div align="left"><B><FONT size=2 face="serif">Florida &#151; 0.3%</FONT></B>&nbsp;
    </div>	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>

	  <div align="left"></div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">500,000</FONT>&nbsp;
      </div></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">VMIG1(g)</FONT>
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD colspan=2 align=right>
      <div align="left"><FONT size=2 face="serif">Brevard County, FL, Health Facilities Authority, Refunding Bonds, Health</FONT>&nbsp;
      </div></TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=left>

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=right>
      <div align="left"><FONT size=2 face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;First Inc. Project, LOC-Suntrust Bank, 2.330%, 8/1/05</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif"><b>500,000</b></FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <HR noshade size=1>
	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% colspan="3" align=center>
      <div align="left"><B><FONT size=2 face="serif">Oregon &#151; 0.2%</FONT></B>&nbsp;
    </div>	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>

	  <div align="left"></div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">400,000</FONT>&nbsp;
      </div></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">VMIG1(g)</FONT>
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD colspan=2 align=right>
      <div align="left"><FONT size=2 face="serif">Oregon State GO, Series 73G, SPA-JPMorgan Chase Bank, 2.300%, 8/3/05</FONT>&nbsp;
      </div></TD>
	<TD width=9% align=right>
<FONT size=2 face="serif"><b>400,000</b></FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <HR noshade size=1>
	</TD>
  </TR>
<TR valign="bottom">
	<TD colspan=3 align=left>
      <div align="left"><B><FONT size=2 face="serif">Pennsylvania &#151; 0.8%</FONT></B>
    </div></TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>

	  <div align="left"></div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=left>

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
      <div align="left"><FONT size=2 face="serif">Philadelphia, PA:</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">300,000</FONT>&nbsp;
      </div></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=right>
      <center>
        <FONT size=2 face="serif">A-1+</FONT>
      </center></TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=center>
      <div align="left"><FONT size=2 face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Hospital &amp; Higher Children's
          Hospital PA, Children's Hospital</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=left>

	  <center>
    </center></TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=center>
      <div align="left"><FONT size=2 face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Philadelphia A, SPA-Fleet National Bank, 2.330%, 8/1/05</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">300,000</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=center>
      <div align="right"><FONT size=2 face="serif">1,000,000</FONT>&nbsp;
      </div></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=right>
      <center>
        <FONT size=2 face="serif">A-1+</FONT>
      </center></TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD colspan=2 align=right>
      <div align="left"><FONT size=2 face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Hospitals &amp; Higher Education
          Facilities Authority, Hospital Revenue,</FONT>&nbsp;
      </div></TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=left>

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD colspan=2 align=right>
      <div align="left"><FONT size=2 face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Children's Hospital Project, Series A, SPA-JPMorgan Chase Bank,</FONT>&nbsp;
      </div></TD>
	<TD width=9% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=left>

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=right>
      <div align="left"><FONT size=2 face="serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.330%, 8/1/05</FONT>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<FONT size=2 face="serif">1,000,000</FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <HR noshade size=1>
	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% align=left>

	  <div align="right"></div></TD>
	<TD width=2%>&nbsp;
	</TD>
	<TD width=10% align=left>

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
      <div align="left"><B><FONT size=2 face="serif">Total Pennsylvania</FONT></B>
      </div></TD>
	<TD width=1% align=left>&nbsp;

	</TD>
	<TD width=9% align=right>
<B><FONT size=2 face="serif">1,300,000</FONT></B>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=7>
      <hr noshade size=3>  	</TD>
  </TR>
</TABLE>
<BR>
<P align="center">
<B><FONT size=2 face="serif">See Notes to Schedule of Investments. </FONT></B></P>
<P align="center">
<FONT size=2 face="serif">6 </FONT></P>

<HR noshade  width="100%" size=4>

<P align="left" style="page-break-before:always"></P><PAGE>


<P>
<B><FONT size=2 face="serif">MUNICIPAL HIGH INCOME FUND INC. </FONT></B></P>
<TABLE width="100%" border=0 cellpadding=0 cellspacing=0>
  <TR valign="bottom">
    <TD align=left><B><FONT size=2 face="serif">Schedule of Investments (unaudited) (continued)</FONT></B>&nbsp; </TD>
    <TD align=left nowrap><div align="right"><B><FONT size=2 face="serif">July 31, 2005</FONT></B></div></TD>
  </TR>
</TABLE>
<BR>
<TABLE width="100%" border=0 cellpadding=0 cellspacing=0>
<TR valign="bottom">
	<TD width=10% align=center>
<B><FONT size=2 face="serif">FACE</FONT></B>&nbsp;
	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>&nbsp;

	</TD>
	<TD width=1% align=left>

	</TD>
	<TD width=8% align=left>

	</TD>
	<TD align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=right>
      <center>
        <B><FONT size=2 face="serif">AMOUNT</FONT></B>&nbsp;
      </center></TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=center>
<B><FONT size=2 face="serif">SECURITY</FONT></B>&nbsp;
	</TD>
	<TD width=1% align=left>

	</TD>
	<TD width=8% align=right>
<B><FONT size=2 face="serif">VALUE</FONT></B>
	</TD>
	<TD align=left>&nbsp;

	</TD>
</TR>
<TR>
	<TD colspan=8>
      <hr noshade size=3>  	</TD>
</TR>
<TR valign="bottom">
	<TD colspan="4" align=center>
      <div align="left"><B><FONT size=2 face="serif">Tennessee &#151; 0.5%</FONT></B>&nbsp;
      </div>	</TD>
	<TD width=65% align=left>&nbsp;

	</TD>
	<TD width=1% align=left>

	</TD>
	<TD width=8% align=left>

	</TD>
	<TD align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=right>
<FONT size=2 face="serif">&#36;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;800,000</FONT>&nbsp;
	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=center>
<FONT size=2 face="serif">VMIG1(g)</FONT>
	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">Sevier County, TN, Public Building Authority, Local Government</FONT>&nbsp;
	</TD>
	<TD width=1% align=left>

	</TD>
	<TD width=8% align=left>

	</TD>
	<TD align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=center>
      <div align="left">&nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Improvement, Series IV-H-1, AMBAC-Insured, SPA-JPMorgan Chase</FONT>&nbsp;
      </div></TD>
	<TD width=1% align=left>

	</TD>
	<TD width=8% align=left>

	</TD>
	<TD align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Bank, 2.330%, 8/1/05</FONT>&nbsp;
	</TD>
	<TD width=1% align=right>
      <div align="left"><FONT size=2 face="serif"><b>&#36;</b></FONT>
      </div></TD>
	<TD width=8% align=right>
<FONT size=2 face="serif"><b>800,000</b></FONT>
	</TD>
	<TD align=left>&nbsp;

	</TD>
</TR>
<TR>
	<TD colspan=8>
      <HR noshade size=1>
	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% colspan="3" align=right>
      <div align="left"><B><FONT size=2 face="serif">Texas &#151; 1.8%</FONT></B>&nbsp;
      </div>	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>&nbsp;

	</TD>
	<TD width=1% align=left>

	</TD>
	<TD width=8% align=left>

	</TD>
	<TD align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">Harris County, TX, Health Facilities Development Corp. Revenue:</FONT>&nbsp;
	</TD>
	<TD width=1% align=left>

	</TD>
	<TD width=8% align=left>

	</TD>
	<TD align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=right>
<FONT size=2 face="serif">1,400,000</FONT>&nbsp;
	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=right>
      <center>
        <FONT size=2 face="serif">A-1+</FONT>
      </center></TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=center>
      <div align="left">&nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">Refunding Bonds, The Methodist Systems, Series B, 2.330%, 8/1/05</FONT>&nbsp;
      </div></TD>
	<TD width=1% align=left>

	</TD>
	<TD width=8% align=right>
<FONT size=2 face="serif">1,400,000</FONT>
	</TD>
	<TD align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=right>
<FONT size=2 face="serif">1,600,000</FONT>&nbsp;
	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=right>
      <center>
        <FONT size=2 face="serif">A-1+</FONT>
      </center></TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">St. Luke's Episcopal Hospital, Series B, 2.330%, 8/1/05</FONT>&nbsp;
	</TD>
	<TD width=1% align=left>

	</TD>
	<TD width=8% align=right>
<FONT size=2 face="serif">1,600,000</FONT>
	</TD>
	<TD align=left>&nbsp;

	</TD>
</TR>
<TR>
	<TD colspan=8>
      <HR noshade size=1>
	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<B><FONT size=2 face="serif">Total Texas</FONT></B>&nbsp;
	</TD>
	<TD width=1% align=left>

	</TD>
	<TD width=8% align=right>
<B><FONT size=2 face="serif">3,000,000</FONT></B>
	</TD>
	<TD align=left>&nbsp;

	</TD>
</TR>
<TR>
	<TD colspan=8>
      <hr noshade size=3>  	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<B><FONT size=2 face="serif">TOTAL SHORT-TERM INVESTMENTS</FONT></B>&nbsp;
	</TD>
	<TD width=1% align=left>

	</TD>
	<TD width=8% align=left>

	</TD>
	<TD align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
 &nbsp; &nbsp; &nbsp;<FONT size=2 face="serif">(Cost &#151; &#36;6,500,000)</FONT>&nbsp;
	</TD>
	<TD width=1% align=left>

	</TD>
	<TD width=8% align=right>
<B><FONT size=2 face="serif">6,500,000</FONT></B>
	</TD>
	<TD align=left>&nbsp;

	</TD>
</TR>
<TR>
	<TD colspan=8>
      <hr noshade size=3>  	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<B><FONT size=2 face="serif">TOTAL INVESTMENTS &#151; 100.7% </FONT></B><FONT size=2 face="serif">(Cost &#151; &#36;168,667,254#)</FONT>&nbsp;
	</TD>
	<TD width=1% align=left>

	</TD>
	<TD width=8% align=right>
<B><FONT size=2 face="serif">167,650,774</FONT></B>
	</TD>
	<TD align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<FONT size=2 face="serif">Liabilities in Excess of Other Assets &#151; (0.7)%</FONT>&nbsp;
	</TD>
	<TD width=1% align=left>

	</TD>
	<TD width=8% align=right>
<FONT size=2 face="serif">(1,199,885</FONT>
	</TD>
	<TD align=left>
<FONT size=2 face="serif">)</FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=8>
      <HR noshade size=1>
	</TD>
  </TR>
<TR valign="bottom">
	<TD width=10% align=left>&nbsp;

	</TD>
	<TD width=10%>&nbsp;
	</TD>
	<TD width=10% align=left>

	</TD>
	<TD width=3%>&nbsp;
	</TD>
	<TD width=65% align=left>
<B><FONT size=2 face="serif">TOTAL NET ASSETS &#151; 100.0%</FONT></B>&nbsp;
	</TD>
	<TD width=1% align=right>
      <div align="left"><B><FONT size=2 face="serif">&#36;</FONT></B>
      </div></TD>
	<TD width=8% align=right>
<B><FONT size=2 face="serif">166,450,889</FONT></B>
	</TD>
	<TD align=left>&nbsp;

	</TD>
</TR>
<TR>
	<TD colspan=8>
      <hr noshade size=3>  	</TD>
  </TR>
</TABLE>
<BR>
<P>
<FONT size=2 face="serif"> </FONT></P>
<P>
<FONT size=2 face="serif"> </FONT></P>
<TABLE border=0 cellspacing=0 cellpadding=0>
<TR>
  <TD width="47" valign=top nowrap><FONT size=2 face="serif">*</FONT></TD>
  <TD colspan="2"><FONT size=2 face="serif">Non-income producing security. </FONT></TD>
</TR>
<TR>
  <TD nowrap valign=top><FONT size=2 face="serif">&#135;</FONT></TD>
  <TD colspan="2"><FONT size=2 face="serif">All ratings are by Standard &amp; Poor&#146;s
    Ratings Service, unless otherwise footnoted.</FONT></TD>
</TR>
<TR>
	<TD nowrap valign=top>
<FONT size=2 face="serif">(a)</FONT></TD>
	<TD colspan="2">
<FONT size=2 face="serif">Security is currently in default.</FONT></TD>
</TR>
<TR>
	<TD nowrap valign=top>
<FONT size=2 face="serif">(b)</FONT></TD>
	<TD colspan="2">
<FONT size=2 face="serif">Pre-Refunded bonds are escrowed with government securities
and are considered by the manager to be triple-A rated even if issuer has not
applied for new ratings.</FONT></TD>
</TR>
<TR>
	<TD nowrap valign=top>
<FONT size=2 face="serif">(c)</FONT></TD>
	<TD colspan="2">
<FONT size=2 face="serif">Income from this issue is considered a preference item
for purposes of calculating the alternative minimum tax (AMT).</FONT></TD>
</TR>
<TR>
	<TD nowrap valign=top>
<FONT size=2 face="serif">(d)</FONT></TD>
	<TD colspan="2">
<FONT size=2 face="serif">All or a portion of this security is segregated for
open futures contracts.</FONT></TD>
</TR>
<TR>
	<TD nowrap valign=top>
<FONT size=2 face="serif">(e)</FONT></TD>
	<TD colspan="2">
<FONT size=2 face="serif">All or a portion of this security is segregated for
extended settlements.</FONT></TD>
</TR>
<TR>
	<TD nowrap valign=top>
<FONT size=2 face="serif">(f)</FONT></TD>
	<TD colspan="2">
<FONT size=2 face="serif">All or a portion of this security is held at the broker
as collateral for open futures contracts.</FONT></TD>
</TR>
<TR>
	<TD nowrap valign=top>
<FONT size=2 face="serif">(g)</FONT></TD>
	<TD colspan="2">
<FONT size=2 face="serif">Rating by Moody's Investors Service.</FONT></TD>
</TR>
<TR>
	<TD nowrap valign=top>
<FONT size=2 face="serif">(h)</FONT></TD>
	<TD colspan="2">
<FONT size=2 face="serif">Bonds are escrowed to maturity by government securities
and are considered by the manager to be triple-A rated even if issuer has not
applied for new ratings.</FONT></TD>
</TR>
<TR>
	<TD nowrap valign=top>
<FONT size=2 face="serif">(i)</FONT></TD>
	<TD colspan="2">
<FONT size=2 face="serif">Rating by Fitch Rating Service.</FONT></TD>
</TR>
<TR>
	<TD nowrap valign=top>
<FONT size=2 face="serif">(j)</FONT></TD>
	<TD colspan="2">
<FONT size=2 face="serif">Maturity date shown represents the mandatory tender
date.</FONT></TD>
</TR>
<TR>
	<TD nowrap valign=top>
<FONT size=2 face="serif">(k)</FONT></TD>
	<TD colspan="2">
<FONT size=2 face="serif">Illiquid security.</FONT></TD>
</TR>
<TR>
	<TD nowrap valign=top>
<FONT size=2 face="serif">(l)</FONT></TD>
	<TD colspan="2">
<FONT size=2 face="serif">Security is valued in good faith at fair value by or
under the direction of the Board of Directors.</FONT></TD>
</TR>
<TR>
	<TD nowrap valign=top>
<FONT size=2 face="serif">(m)</FONT></TD>
	<TD colspan="2">
<FONT size=2 face="serif">Variable rate demand obligation has a demand feature
under which the Fund could tender it back to the issuer on no more than 7 days
notice. Date shown is the date of the next interest rate change.</FONT></TD>
</TR>
<TR><TD><FONT size=2 face="serif">#</FONT></TD>
  <TD colspan="2"><FONT size=2 face="serif">Aggregate cost for federal income tax purposes
    is substantially the same.</FONT></TD>
</TR>
<TR>
  <TD>&nbsp;</TD>
  <TD colspan="2">&nbsp;</TD>
</TR>
<TR>
  <TD>&nbsp;</TD>
  <TD colspan="2"><U><FONT size=2 face="serif">Abbreviations used in this schedule:</FONT></U><FONT size=2 face="serif">&nbsp; </FONT></TD>
  </TR>
<TR>
  <TD>&nbsp;</TD>
  <TD width="67" valign="top">
    <FONT size=2 face="serif"> AMBAC -</FONT><BR>
    <FONT size=2 face="serif"> CDA - </FONT><BR>
    <FONT size=2 face="serif"> COP - </FONT><BR>
    <FONT size=2 face="serif"> DFA - </FONT><BR>
    <FONT size=2 face="serif"> EDA -  </FONT><BR>
    <FONT size=2 face="serif"> FGIC - </FONT><BR>
    <FONT size=2 face="serif"> FHA -  </FONT><BR>
    <FONT size=2 face="serif"> FSA -  </FONT><BR>
    <FONT size=2 face="serif"> GNMA - </FONT><BR>
    <FONT size=2 face="serif"> GO - </FONT><BR>
    <FONT size=2 face="serif"> HEFA - </FONT><BR>
    <FONT size=2 face="serif"> HFA - </FONT><BR>
    <FONT size=2 face="serif"> IBC -  </FONT><BR>
    <FONT size=2 face="serif"> IDA -  </FONT><BR>
    <FONT size=2 face="serif"> IDR -  </FONT><BR>
    <FONT size=2 face="serif"> IFA -  </FONT><BR>
    <FONT size=2 face="serif"> ISD - </FONT><BR>
    <FONT size=2 face="serif"> LOC -  </FONT><BR>
    <FONT size=2 face="serif"> MBIA - </FONT><BR>
    <FONT size=2 face="serif"> MFH -  </FONT><br>
	<FONT size=2 face="serif">PCR - </FONT><BR>
    <FONT size=2 face="serif">PFC -  </FONT><BR>
    <FONT size=2 face="serif">SPA -  </FONT><BR>
    <FONT size=2 face="serif">VA -  </FONT><BR>
    <FONT size=2 face="serif">XLCA -</FONT></TD>
  <TD width="987" valign="top"><U></U><FONT size=2 face="serif"></FONT>
    <FONT size=2 face="serif">Ambac Assurance Corporation </FONT><BR>
    <FONT size=2 face="serif">Community Development Authority </FONT><BR>
    <FONT size=2 face="serif">Certificate of Participation </FONT><BR>
    <FONT size=2 face="serif">Development Finance Agency </FONT><BR>
    <FONT size=2 face="serif">Economic Development Authority </FONT><BR>
    <FONT size=2 face="serif">Financial Guaranty Insurance Company </FONT><BR>
    <FONT size=2 face="serif">Federal Housing Administration </FONT><BR>
    <FONT size=2 face="serif">Financial Security Assurance </FONT><BR>
    <FONT size=2 face="serif">Government National Mortgage Association </FONT><BR>
    <FONT size=2 face="serif">General Obligation </FONT><BR>
    <FONT size=2 face="serif">Health &amp; Educational Facilities Authority </FONT><BR>
    <FONT size=2 face="serif">Housing Finance Authority </FONT><BR>
    <FONT size=2 face="serif">Insured Bond Certificates </FONT><BR>
    <FONT size=2 face="serif">Industrial Development Authority </FONT><BR>
    <FONT size=2 face="serif">Industrial Development Revenue </FONT><BR>
    <FONT size=2 face="serif">Industrial Finance Agency </FONT><BR>
    <FONT size=2 face="serif">Independent School District </FONT><BR>
    <FONT size=2 face="serif">Letter of Credit </FONT><BR>
    <FONT size=2 face="serif">Municipal Bond Investors Assurance Corporation </FONT><BR>
    <FONT size=2 face="serif">Multi-Family Housing </FONT><br>
    <FONT size=2 face="serif">Pollution Control Revenue </FONT><BR>
    <FONT size=2 face="serif">Public Facilities Corporation </FONT><BR>
    <FONT size=2 face="serif">Standby Bond Purchase Agreement </FONT><BR>
    <FONT size=2 face="serif">Veterans Administration </FONT><BR>
    <FONT size=2 face="serif">XL Capital Assurance</FONT></TD>
</TR>
</TABLE>
<P><BR>
</P>
<P align="center">
<B><FONT size=2 face="serif">See Notes to Schedule of Investments. </FONT></B></P>
<P align="center">
<FONT size=2 face="serif">7 </FONT></P>

<HR noshade  width="100%" size=4>

<P align="left" style="page-break-before:always"></P><PAGE>


<B><FONT size=2 face="sans-serif">Municipal High Income Fund Inc.</FONT></B><BR>
<br>
<B><FONT size=2 face="serif">Schedule of Investments (unaudited) (continued)</FONT></B><br>
<BR>
<TABLE width="52%" border=0 cellpadding=0 cellspacing=0>
<TR valign="bottom">
  <TD width="58%" align=left><B><FONT size=2 face="sans-serif">Summary of Investments by Industry *</FONT></B></TD>
  <TD colspan="2" align=right><center>
    <FONT size=2 face="sans-serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<b>&nbsp;&nbsp;7/31/2005</b></FONT>
  </center></TD>
  </TR>
<TR valign="bottom">
  <TD colspan="3" align=left><HR noshade  width="100%" size=2></TD>
  </TR>
<TR valign="bottom">
	<TD align=left>
<FONT size=2 face="sans-serif">Hospitals</FONT>&nbsp;
	</TD>
	<TD width="27%" align=right>
<FONT size=2 face="sans-serif">15.9</FONT>
	</TD>
	<TD width="15%" align=left>
<FONT size=2 face="sans-serif">%</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD align=left>
<FONT size=2 face="sans-serif">Education</FONT>&nbsp;
	</TD>
	<TD align=right>
<FONT size=2 face="sans-serif">13.5</FONT>
	</TD>
	<TD align=left>
&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD align=left>
<FONT size=2 face="sans-serif">Life Care Systems</FONT>&nbsp;
	</TD>
	<TD align=right>
<FONT size=2 face="sans-serif">11.6</FONT>
	</TD>
	<TD align=left>
&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD align=left>
<FONT size=2 face="sans-serif">Industrial Development</FONT>&nbsp;
	</TD>
	<TD align=right>
<FONT size=2 face="sans-serif">6.3</FONT>
	</TD>
	<TD align=left>
&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD align=left>
<FONT size=2 face="sans-serif">Pre-Refunded</FONT>&nbsp;
	</TD>
	<TD align=right>
<FONT size=2 face="sans-serif">5.7</FONT>
	</TD>
	<TD align=left>
&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD align=left>
<FONT size=2 face="sans-serif">Transportation</FONT>&nbsp;
	</TD>
	<TD align=right>
<FONT size=2 face="sans-serif">5.7</FONT>
	</TD>
	<TD align=left>
&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD align=left>
<FONT size=2 face="sans-serif">Pollution Control</FONT>&nbsp;
	</TD>
	<TD align=right>
<FONT size=2 face="sans-serif">4.8</FONT>
	</TD>
	<TD align=left>
&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD align=left>
<FONT size=2 face="sans-serif">Utilities</FONT>&nbsp;
	</TD>
	<TD align=right>
<FONT size=2 face="sans-serif">4.3</FONT>
	</TD>
	<TD align=left>
&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD align=left>
<FONT size=2 face="sans-serif">Public Facilities</FONT>&nbsp;
	</TD>
	<TD align=right>
<FONT size=2 face="sans-serif">3.6</FONT>
	</TD>
	<TD align=left>
&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD align=left>
<FONT size=2 face="sans-serif">Multi-Family Housing</FONT>&nbsp;
	</TD>
	<TD align=right>
<FONT size=2 face="sans-serif">3.1</FONT>
	</TD>
	<TD align=left>
&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD align=left>
<FONT size=2 face="sans-serif">Cogeneration Facilities</FONT>&nbsp;
	</TD>
	<TD align=right>
<FONT size=2 face="sans-serif">2.7</FONT>
	</TD>
	<TD align=left>
&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD align=left>
<FONT size=2 face="sans-serif">Tobacco</FONT>&nbsp;
	</TD>
	<TD align=right>
<FONT size=2 face="sans-serif">2.7</FONT>
	</TD>
	<TD align=left>
&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD align=left>
<FONT size=2 face="sans-serif">Single-Family Housing</FONT>&nbsp;
	</TD>
	<TD align=right>
<FONT size=2 face="sans-serif">2.3</FONT>
	</TD>
	<TD align=left>
&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD align=left>
<FONT size=2 face="sans-serif">General Obligation</FONT>&nbsp;
	</TD>
	<TD align=right>
<FONT size=2 face="sans-serif">1.4</FONT>
	</TD>
	<TD align=left>
&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD align=left>
<FONT size=2 face="sans-serif">Water &amp; Sewer</FONT>&nbsp;
	</TD>
	<TD align=right>
<FONT size=2 face="sans-serif">0.9</FONT>
	</TD>
	<TD align=left>
&nbsp;
	</TD>
</TR>
<TR valign="bottom">
  <TD align=left><FONT size=2 face="sans-serif">Escrowed to Maturity</FONT>&nbsp; </TD>
  <TD align=right><FONT size=2 face="sans-serif">0.7</FONT> </TD>
  <TD align=left>&nbsp; </TD>
</TR>
<TR valign="bottom">
  <TD align=left><FONT size=2 face="sans-serif">Tax Allocation </FONT>&nbsp; </TD>
  <TD align=right><FONT size=2 face="sans-serif">0.6</FONT> </TD>
  <TD align=left>&nbsp; </TD>
</TR>
<TR valign="bottom">
  <TD align=left><FONT size=2 face="sans-serif">Miscellaneous</FONT> </TD>
  <TD align=right><FONT size=2 face="sans-serif">14.2</FONT></TD>
  <TD align=left>&nbsp; </TD>
</TR>
<TR>
	<TD colspan=3><HR noshade  width="100%" size=2>

	</TD>
</TR>
<TR valign="bottom">
	<TD align=left><FONT size=2 face="sans-serif">Total&nbsp;</FONT>

	</TD>
	<TD align=right>
<FONT size=2 face="sans-serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;100.0</FONT>
	</TD>
	<TD align=left>
<FONT size=2 face="sans-serif">%</FONT>&nbsp;
	</TD>
</TR>
</TABLE>
<p> <FONT size=2 face="sans-serif">* As a percent of total investments.</FONT><br>
  <br>
  <BR>
</p>
<p align="center"><font size="2">8</font><BR>

</p>
<HR noshade  width="100%" size=4>

<P align="left" style="page-break-before:always"></P><PAGE>


<B><FONT face="sans-serif">Bond Ratings </FONT></B><BR>
<I><FONT face="serif">(unaudited) </FONT></I><BR>
<P>
<FONT size=2 face="serif">The definitions of the applicable rating symbols are set forth below: </FONT></P>
<P>
<I><FONT size=2 face="serif">Standard &amp; Poor&#146;s Ratings Service (&#147;Standard &amp; Poor&#146;s&#148;)</FONT></I><FONT size=2 face="serif">&#151;Ratings from &#147;AA&#148; to &#147;CCC&#148; may be modified by the addition of a plus (+)
or minus (&#150;) sign to show relative standings within the major rating categories. </FONT></P>
<TABLE width="100%" border=0 cellpadding=0 cellspacing=0>
<TR valign="bottom">
	<TD width="5%" align=left>
<FONT size=2 face="serif">AAA</FONT>&nbsp;
	</TD>
	<TD width="5%" align=right>&#151; &nbsp;
	</TD>
	<TD align=center>
      <div align="left"><FONT size=2 face="serif">Bonds rated &#147;AAA&#148; have the highest rating assigned by Standard &amp; Poor&#146;s.
          Capacity to pay interest and</FONT>&nbsp;
      </div></TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">&nbsp;
	</TD>
	<TD align=left><FONT size=2 face="serif">repay principal is extremely strong.</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
  <TD width="5%" align=left>&nbsp;</TD>
  <TD align=right>&nbsp;</TD>
  <TD align=center>&nbsp;</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>
<FONT size=2 face="serif">AA</FONT>&nbsp;
	</TD>
	<TD width="5%" align=right>&#151; &nbsp;
	</TD>
	<TD align=center>
      <div align="left"><FONT size=2 face="serif">Bonds rated &#147;AA&#148; have
          a very strong capacity to pay interest and repay principal and differ
          from the</FONT>&nbsp;
      </div></TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">&nbsp;
	</TD>
	<TD align=left><FONT size=2 face="serif">highest rated issues only in a small degree.</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
  <TD width="5%" align=left>&nbsp;</TD>
  <TD align=right>&nbsp;</TD>
  <TD align=center>&nbsp;</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>
<FONT size=2 face="serif">A</FONT>&nbsp;
	</TD>
	<TD width="5%" align=right>&#151; &nbsp;
	</TD>
	<TD align=center>
      <div align="left"><FONT size=2 face="serif">Bonds rated &#147;A&#148; have
          a strong capacity to pay interest and repay principal although they
          are somewhat</FONT>&nbsp;
      </div></TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">&nbsp;
	</TD>
	<TD align=left><FONT size=2 face="serif">more susceptible to the adverse effects of changes in circumstances and economic conditions than debt</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">&nbsp;
	</TD>
	<TD align=left><FONT size=2 face="serif">in higher rated categories.</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
  <TD width="5%" align=left>&nbsp;</TD>
  <TD>&nbsp;</TD>
  <TD align=left>&nbsp;</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>
<FONT size=2 face="serif">BBB</FONT>&nbsp;
	</TD>
	<TD width="5%"><div align="right">&#151;&nbsp;	  </div></TD>
	<TD align=left>
<FONT size=2 face="serif">Bonds rated &#147;BBB&#148; are regarded as having
an adequate capacity to pay interest and repay principal.</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">&nbsp;
	</TD>
	<TD align=left><FONT size=2 face="serif">Whereas they normally exhibit adequate protection parameters, adverse economic conditions or</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">&nbsp;
	</TD>
	<TD align=left><FONT size=2 face="serif">changing circumstances are more likely to lead to a weakened capacity to pay interest and repay</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">&nbsp;
	</TD>
	<TD align=left><FONT size=2 face="serif">principal for bonds in this category than in higher rated categories.</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
  <TD width="5%" align=left>&nbsp;</TD>
  <TD>&nbsp;</TD>
  <TD align=left>&nbsp;</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>
<FONT size=2 face="serif">BB, B,</FONT>&nbsp;
	</TD>
	<TD width="5%">&nbsp;
	</TD>
	<TD align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>
<FONT size=2 face="serif">CCC,</FONT>&nbsp;
	</TD>
	<TD width="5%">&nbsp;
	</TD>
	<TD align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left nowrap>
<FONT size=2 face="serif">CC and C  </FONT></TD>
    <TD width="5%" align=left><div align="right"><FONT size=2 face="serif">&#151;</FONT>&nbsp;</div></TD>
    <TD align=left><FONT size=2 face="serif">Bonds rated &#147;BB&#148;, &#147;B&#148;, &#147;CCC&#148;, &#147;CC&#148; and &#147;C&#148; are
    regarded, on balance, as predominantly speculative</FONT>&nbsp; </TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">&nbsp;
	</TD>
	<TD align=left><FONT size=2 face="serif">with respect to capacity to pay interest and repay principal in accordance with the terms of the</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">&nbsp;
	</TD>
	<TD align=left><FONT size=2 face="serif">obligation. &#147;BB&#148; represents the lowest degree of speculation and &#147;C&#148; the highest degree of speculation.</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">&nbsp;
	</TD>
	<TD align=left><FONT size=2 face="serif">While such bonds will likely have some quality and protective characteristics, these are outweighed by</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">&nbsp;
	</TD>
	<TD align=left><FONT size=2 face="serif">large uncertainties or major risk exposures to adverse conditions.</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
  <TD width="5%" align=left>&nbsp;</TD>
  <TD>&nbsp;</TD>
  <TD align=left>&nbsp;</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>
<FONT size=2 face="serif">D</FONT>&nbsp;
	</TD>
	<TD width="5%"><div align="right">&#151;&nbsp;	  </div></TD>
	<TD align=left>
<FONT size=2 face="serif">Bonds rated &#147;D&#148; are in default and
payment of interest and/or repayment of principal is in arrears.</FONT>&nbsp;
	</TD>
</TR>
</TABLE>
<BR>
<P>
<I><FONT size=2 face="serif">Moody&#146;s Investors Service (&#147;Moody&#146;s&#148;)</FONT></I><FONT size=2 face="serif">&#151;Numerical modifiers 1, 2 and 3 may be applied to each generic rating from &#147;Aa&#148; to &#147;Ca,&#148; where 1 is
the highest and 3 the lowest ranking within its generic category. </FONT></P>
<TABLE width="100%" border=0 cellpadding=0 cellspacing=0>
<TR valign="bottom">
	<TD width="5%" align=left>
<FONT size=2 face="serif">Aaa</FONT>&nbsp;
	</TD>
	<TD width="5%"><div align="right">&#151;&nbsp;	  </div></TD>
	<TD align=center>
      <div align="left"><FONT size=2 face="serif">Bonds rated &#147;Aaa&#148; are
          judged to be of the best quality. They carry the smallest degree of
          investment</FONT>&nbsp;
      </div></TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">
	  <div align="right"></div></TD>
	<TD align=left><FONT size=2 face="serif">risk and are generally referred to as &#147;gilt edge.&#148; Interest payments are protected by a large or by an</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">
	  <div align="right"></div></TD>
	<TD align=left><FONT size=2 face="serif">exceptionally stable margin and principal is secure. While the various protective elements are likely to</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">
	  <div align="right"></div></TD>
	<TD align=left><FONT size=2 face="serif">change, such changes as can be visualized are most unlikely to impair the fundamentally strong position</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">
	  <div align="right"></div></TD>
	<TD align=left><FONT size=2 face="serif">of such issues.</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
  <TD width="5%" align=left>&nbsp;</TD>
  <TD width="5%">&nbsp;</TD>
  <TD align=center>&nbsp;</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>
<FONT size=2 face="serif">Aa</FONT>&nbsp;
	</TD>
	<TD width="5%"><div align="right">&#151;&nbsp;	  </div></TD>
	<TD align=center>
      <div align="left"><FONT size=2 face="serif">Bonds rated &#147;Aa&#148; are judged to be of
  high quality by all standards. Together with the &#147;Aaa&#148; group they</FONT>&nbsp;
      </div></TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">
	  <div align="right"></div></TD>
	<TD align=left><FONT size=2 face="serif">comprise what are generally known as high grade bonds. They are rated lower than the best bonds</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">
	  <div align="right"></div></TD>
	<TD align=left><FONT size=2 face="serif">because margins of protection may not be as large as in &#147;Aaa&#148; securities or fluctuation of protective</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">
	  <div align="right"></div></TD>
	<TD align=left><FONT size=2 face="serif">elements may be of greater amplitude or there may be other elements present which make the long-term</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">
	  <div align="right"></div></TD>
	<TD align=left><FONT size=2 face="serif">risks appear somewhat larger than in &#147;Aaa&#148; securities.</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
  <TD align=left>&nbsp;</TD>
  <TD>&nbsp;</TD>
  <TD align=left>&nbsp;</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>
<FONT size=2 face="serif">A</FONT>&nbsp;
	</TD>
	<TD width="5%"><div align="right">&#151;&nbsp;	  </div></TD>
	<TD align=left>
      <div align="left"><FONT size=2 face="serif">Bonds rated &#147;A&#148; possess
          many favorable investment attributes and are to be considered as upper</FONT>&nbsp;
      </div></TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">
	  <div align="right"></div></TD>
	<TD align=left><FONT size=2 face="serif">medium grade obligations. Factors giving security to principal and interest are considered adequate but</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">
	  <div align="right"></div></TD>
	<TD align=left><FONT size=2 face="serif">elements may be present which suggest a susceptibility to impairment some time in the future.</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
  <TD align=left>&nbsp;</TD>
  <TD>&nbsp;</TD>
  <TD align=center>&nbsp;</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>
<FONT size=2 face="serif">Baa</FONT>&nbsp;
	</TD>
	<TD width="5%"><div align="right">&#151;&nbsp;	  </div></TD>
	<TD align=center>
      <div align="left"><FONT size=2 face="serif">Bonds rated &#147;Baa&#148; are
          considered as medium grade obligations, i.e., they are neither highly
          protected</FONT>&nbsp;
      </div></TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">
	  <div align="right"></div></TD>
	<TD align=left><FONT size=2 face="serif">nor poorly secured. Interest payments and principal security appear adequate for the present but certain</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">
	  <div align="right"></div></TD>
	<TD align=left><FONT size=2 face="serif">protective elements may be lacking or may be characteristically unreliable over any great length of</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">
	  <div align="right"></div></TD>
	<TD align=left><FONT size=2 face="serif">time. Such bonds lack outstanding investment characteristics and in fact have speculative characteristics</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">
	  <div align="right"></div></TD>
	<TD align=left><FONT size=2 face="serif">as well.</FONT>&nbsp;
	</TD>
</TR>
</TABLE>
<p>&nbsp;</p>
<p align="center"><font size="2">9</font><BR>

</p>
<HR noshade  width="100%" size=4>

<P align="left" style="page-break-before:always"></P><PAGE>


<TABLE width="100%" border=0 cellpadding=0 cellspacing=0>
<TR valign="bottom">
	<TD width="5%" align=left>
<FONT size=2 face="serif">Ba</FONT>&nbsp;
	</TD>
	<TD width="5%" align=right>&#151;&nbsp;
	</TD>
	<TD align=center>
      <div align="left"><FONT size=2 face="serif"> Bonds rated &#147;Ba&#148; are
          judged to have speculative elements; their future cannot be considered
          as well</FONT>&nbsp;
      </div></TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">&nbsp;
	</TD>
	<TD align=left><FONT size=2 face="serif">assured. Often the protection of interest and principal payments may be very moderate and therefore</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">&nbsp;
	</TD>
	<TD align=left><FONT size=2 face="serif">not well safeguarded during both good and bad times over the future. Uncertainty of position</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">&nbsp;
	</TD>
	<TD align=left><FONT size=2 face="serif">characterizes bonds in this class.</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
  <TD align=left>&nbsp;</TD>
  <TD align=right>&nbsp;</TD>
  <TD align=center>&nbsp;</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>
<FONT size=2 face="serif">B</FONT>&nbsp;
	</TD>
	<TD width="5%" align=right>&#151;&nbsp;
	</TD>
	<TD align=center>
      <div align="left"><FONT size=2 face="serif"> Bonds rated &#147;B&#148; are
          generally lack characteristics of desirable investments. Assurance
          of interest and</FONT>&nbsp;
      </div></TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">&nbsp;
	</TD>
	<TD align=left><FONT size=2 face="serif">principal payments or of maintenance of other terms of the contract over any long period of time may</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">&nbsp;
	</TD>
	<TD align=left><FONT size=2 face="serif">be small.</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
  <TD align=left>&nbsp;</TD>
  <TD align=right>&nbsp;</TD>
  <TD align=center>&nbsp;</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>
<FONT size=2 face="serif">Caa</FONT>&nbsp;
	</TD>
	<TD width="5%" align=right>&#151;&nbsp;
	</TD>
	<TD align=center>
      <div align="left"><FONT size=2 face="serif"> Bonds rated &#147;Caa&#148; are
          of poor standing. These may be in default, or present elements of danger
          may</FONT>&nbsp;
      </div></TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">&nbsp;
	</TD>
	<TD align=left><FONT size=2 face="serif">exist with respect to principal or interest.</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
  <TD align=left>&nbsp;</TD>
  <TD align=right>&nbsp;</TD>
  <TD align=center>&nbsp;</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>
<FONT size=2 face="serif">Ca</FONT>&nbsp;
	</TD>
	<TD width="5%" align=right>&#151;&nbsp;
	</TD>
	<TD align=center>
      <div align="left"><FONT size=2 face="serif"> Bonds rated &#147;Ca&#148; represent
          obligations which are speculative in a high degree. Such issues are
          often in</FONT>&nbsp;
      </div></TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">&nbsp;
	</TD>
	<TD align=left><FONT size=2 face="serif">default or have other marked short-comings.</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
  <TD align=left>&nbsp;</TD>
  <TD align=right>&nbsp;</TD>
  <TD align=center>&nbsp;</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>
<FONT size=2 face="serif">C</FONT>&nbsp;
	</TD>
	<TD width="5%" align=right>&#151;&nbsp;
	</TD>
	<TD align=center>
      <div align="left"><FONT size=2 face="serif">Bonds rated &#147;C&#148; are
          the lowest class of bonds and issues so rated can be regarded as having
          extremely</FONT>&nbsp;
      </div></TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">&nbsp;
	</TD>
	<TD align=left><FONT size=2 face="serif">poor prospects of ever attaining any real investment standing.</FONT>&nbsp;
	</TD>
</TR>
</TABLE>
<BR>
<P>
<I><FONT size=2 face="serif">Fitch Rating Service (&#147;Fitch&#148;)</FONT></I><FONT size=2 face="serif">&#151;Ratings from &#147;AAA&#148; to &#147;CC&#148; may be modified by the addition of a plus (+) or minus (&#150;) sign to show relative
standings within the major rating categories </FONT></P>
<TABLE width="100%" border=0 cellpadding=0 cellspacing=0>
<TR valign="bottom">
	<TD width="5%" align=left>
<FONT size=2 face="serif">AAA</FONT>&nbsp;
	</TD>
	<TD width="5%"><div align="right">&#151;&nbsp;	  </div></TD>
	<TD align=left>
<FONT size=2 face="serif">Bonds rated &#147;AAA&#148; have the highest
rating assigned by Fitch. Capacity to pay interest and repay</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">
	  <div align="right"></div></TD>
	<TD align=left><FONT size=2 face="serif">principal is extremely strong.</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
  <TD align=left>&nbsp;</TD>
  <TD>&nbsp;</TD>
  <TD align=center>&nbsp;</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>
<FONT size=2 face="serif">AA</FONT>&nbsp;
	</TD>
	<TD width="5%"><div align="right">&#151;&nbsp;	  </div></TD>
	<TD align=center>
      <div align="left"><FONT size=2 face="serif"> Bonds rated &#147;AA&#148; have
          a very strong capacity to pay interest and repay principal and differ
          from the</FONT>&nbsp;
      </div></TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">
	  <div align="right"></div></TD>
	<TD align=left><FONT size=2 face="serif">highest rated issues only in a small degree.</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
  <TD align=left>&nbsp;</TD>
  <TD>&nbsp;</TD>
  <TD align=center>&nbsp;</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>
<FONT size=2 face="serif">A</FONT>&nbsp;
	</TD>
	<TD width="5%"><div align="right">&#151;&nbsp;	  </div></TD>
	<TD align=center>
      <div align="left"><FONT size=2 face="serif">Bonds rated &#147;A&#148; have
          a strong capacity to pay interest and repay principal although they
          are somewhat</FONT>&nbsp;
      </div></TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">
	  <div align="right"></div></TD>
	<TD align=left><FONT size=2 face="serif">more susceptible to the adverse effects of changes in circumstances and economic conditions than debt</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">
	  <div align="right"></div></TD>
	<TD align=left><FONT size=2 face="serif">in higher rated categories.</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
  <TD align=left>&nbsp;</TD>
  <TD>&nbsp;</TD>
  <TD align=center>&nbsp;</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>
<FONT size=2 face="serif">BBB</FONT>&nbsp;
	</TD>
	<TD width="5%"><div align="right">&#151;&nbsp;	  </div></TD>
	<TD align=center>
      <div align="left"><FONT size=2 face="serif">Bonds rated &#147;BBB&#148; are
          regarded as having an adequate capacity to pay interest and repay principal.</FONT>&nbsp;
      </div></TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">
	  <div align="right"></div></TD>
	<TD align=left><FONT size=2 face="serif">Whereas they normally exhibit adequate protection parameters, adverse economic conditions or</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">
	  <div align="right"></div></TD>
	<TD align=left><FONT size=2 face="serif">changing circumstances are more likely to lead to a weakened capacity to pay interest and repay</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">
	  <div align="right"></div></TD>
	<TD align=left><FONT size=2 face="serif">principal for bonds in this category than in higher rated categories.</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
  <TD align=left>&nbsp;</TD>
  <TD>&nbsp;</TD>
  <TD align=left>&nbsp;</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>
<FONT size=2 face="serif">BB, B,</FONT>&nbsp;
	</TD>
	<TD width="5%">
	  <div align="right"></div></TD>
	<TD align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>
<FONT size=2 face="serif">CCC</FONT>&nbsp;
	</TD>
	<TD width="5%">
	  <div align="right"></div></TD>
	<TD align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>
<FONT size=2 face="serif">and CC</FONT>&nbsp;
	</TD>
	<TD width="5%"><div align="right">&#151;&nbsp;	  </div></TD>
	<TD align=center>
      <div align="left"><FONT size=2 face="serif">Bonds rated &#147;BB&#148;, &#147;B&#148;, &#147;CCC&#148; and &#147;CC&#148; are
  regarded, on balance, as predominantly speculative with</FONT>&nbsp;
      </div></TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">
	  <div align="right"></div></TD>
	<TD align=left><FONT size=2 face="serif">respect to capacity to pay interest and repay principal in accordance with the terms of the obligation.</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">
	  <div align="right"></div></TD>
	<TD align=left><FONT size=2 face="serif">&#147;BB&#148; represents a lower degree of speculation than &#147;B&#148;, and &#147;CC&#148; the highest degree of speculation.</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">
	  <div align="right"></div></TD>
	<TD align=left><FONT size=2 face="serif">While such bonds will likely have some quality and protective characteristics, these are outweighed by</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">
	  <div align="right"></div></TD>
	<TD align=left><FONT size=2 face="serif">large uncertainties or major risk exposures to adverse conditions.</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
  <TD align=left>&nbsp;</TD>
  <TD>&nbsp;</TD>
  <TD align=left>&nbsp;</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>
<FONT size=2 face="serif">NR</FONT>&nbsp;
	</TD>
	<TD width="5%"><div align="right">&#151;&nbsp;	  </div></TD>
	<TD align=left>
<FONT size=2 face="serif">Indicates that the bond is not rated by Standard &amp; Poor&#146;s,
Moody&#146;s, or Fitch.</FONT>&nbsp;
	</TD>
</TR>
</TABLE>
<BR>
<B><FONT face="sans-serif">Short-Term Security Ratings </FONT></B><BR>
<I><FONT face="serif">(unaudited) </FONT></I><BR>
<TABLE width="100%" border=0 cellpadding=0 cellspacing=0>
<TR valign="bottom">
  <TD width="5%" align=left>&nbsp;</TD>
  <TD width="5%">&nbsp;</TD>
  <TD align=left>&nbsp;</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>
<FONT size=2 face="serif">SP-1</FONT>&nbsp;
	</TD>
	<TD width="5%" align=right>&#151;&nbsp;
	</TD>
	<TD align=left>
<FONT size=2 face="serif"> Standard &amp; Poor&#146;s highest rating indicating very strong or strong capacity to pay principal and interest;</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">&nbsp;
	</TD>
	<TD align=center>
      <div align="left"><FONT size=2 face="serif">those issues determined to possess overwhelming safety characteristics are denoted with a plus (+) sign.</FONT>&nbsp;
      </div></TD>
</TR>
<TR valign="bottom">
  <TD align=left>&nbsp;</TD>
  <TD align=right>&nbsp;</TD>
  <TD align=left>&nbsp;</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>
<FONT size=2 face="serif">A-1</FONT>&nbsp;
	</TD>
	<TD width="5%" align=right>&#151;&nbsp;
	</TD>
	<TD align=left>
<FONT size=2 face="serif"> Standard &amp; Poor&#146;s highest commercial paper and variable-rate demand obligation (VRDO) rating</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">&nbsp;
	</TD>
	<TD align=center>
      <div align="left"><FONT size=2 face="serif">indicating that the degree of safety regarding timely payment is either overwhelming or very strong;</FONT>&nbsp;
      </div></TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">&nbsp;
	</TD>
	<TD align=center>
      <div align="left"><FONT size=2 face="serif">those issues determined to possess overwhelming safety characteristics are denoted with a plus (+) sign.</FONT>&nbsp;
      </div></TD>
</TR>
<TR valign="bottom">
  <TD align=left nowrap>&nbsp;</TD>
  <TD align=right>&nbsp;</TD>
  <TD align=left>&nbsp;</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left nowrap>
<FONT size=2 face="serif">VMIG 1</FONT>&nbsp;
	</TD>
	<TD width="5%" align=right>&#151;&nbsp;
	</TD>
	<TD align=left>
<FONT size=2 face="serif"> Moody&#146;s highest rating for issues having a demand feature&#151; VRDO.</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
  <TD align=left>&nbsp;</TD>
  <TD align=right>&nbsp;</TD>
  <TD align=left>&nbsp;</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>
<FONT size=2 face="serif">P-1</FONT>&nbsp;
	</TD>
	<TD width="5%" align=right>&#151;&nbsp;
	</TD>
	<TD align=left>
<FONT size=2 face="serif"> Moody&#146;s highest rating for commercial paper and for VRDO prior to the advent of the VMIG 1 rating.</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
  <TD align=left>&nbsp;</TD>
  <TD align=right>&nbsp;</TD>
  <TD align=left>&nbsp;</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>
<FONT size=2 face="serif">F-1</FONT>&nbsp;
	</TD>
	<TD width="5%" align=right>&#151;&nbsp;
	</TD>
	<TD align=left>
<FONT size=2 face="serif"> Fitch&#146;s highest rating indicating the strongest capacity for timely payment of financial commitments;</FONT>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD width="5%" align=left>&nbsp;

	</TD>
	<TD width="5%">&nbsp;
	</TD>
	<TD align=center>
      <div align="left"><FONT size=2 face="serif">those issues determined to possess overwhelming strong credit feature are denoted with a plus (+) sign.</FONT>&nbsp;
      </div></TD>
</TR>
</TABLE>
<p>&nbsp;</p>
<p align="center"><font size="2">10</font><BR>

</p>
<HR noshade  width="100%" size=4>

<P align="left" style="page-break-before:always"></P><PAGE>


<P>
<B><FONT size="2" face="serif">Notes to Schedule of Investments (unaudited) </FONT></B></P>
<P>
<B><FONT size=2 face="serif">1.</FONT></B><B><FONT size=2 face="sans-serif"> </FONT></B><B><FONT size=2 face="serif">Organization and Significant Accounting Policies </FONT></B></P>
<P>
<FONT size=2 face="serif">Municipal High Income Fund Inc. ("Fund"), a Maryland corporation, is registered under the Investment Company Act of 1940, as amended, as a diversified, closed-end management investment company. </FONT></P>
<P>
<FONT size=2 face="serif">The following are significant accounting policies consistently followed by the Fund and are in conformity with U.S. generally accepted accounting principles (&#147;GAAP&#148;).</FONT></P>
<P>
<B><FONT size=2 face="serif">(a) Investment Valuation.</FONT></B><FONT size=2
face="serif"> Securities are valued at the mean between the bid and asked prices
provided by an independent pricing service that are based on transactions in
municipal obligations, quotations from municipal bond dealers, market
transactions in comparable securities and various relationships between
securities. Securities for which market quotations are not readily available or
for which market quotations are determined not to reflect fair value, will be valued
in good faith by or under the direction of the Fund&#146;s Board of Directors.
Short-term obligations with maturities of 60 days or less are valued at
amortized cost, which approximates value.</FONT><FONT size=2 face="sans-serif">
</FONT></P>
<P>
<B><FONT size=2 face="serif">(b) Financial Futures Contracts. </FONT></B><FONT size=2 face="serif"> The Fund may enter into financial futures contracts typically to hedge a portion of the portfolio. Upon entering into a financial futures contract,
the Fund is required to deposit cash or securities as initial margin. Additional securities are also segregated up to the current market value of the financial futures contracts. Subsequent payments, known as variation margin, are made or received
by the Fund each day, depending on the daily fluctuation in the value of the underlying financial instruments. The Fund recognizes an unrealized gain or loss equal to the daily variation margin.  When the financial futures contracts are closed, a
realized gain or loss is recognized equal to the difference between the proceeds from (or cost of) the closing transactions and the Fund&#146;s basis in the contracts.</FONT></P>
<P>
<FONT size=2 face="serif">The risks associated with entering into financial futures contracts include the possibility that a change in the value of the contract may not correlate with the changes in the value of the underlying instruments. In
addition, investing in financial futures contracts involves the risk that the Fund could lose more than the original margin deposit and subsequent payments required for a futures transaction. Risks may also arise upon entering into these contracts
from the potential inability of the counterparties to meet the terms of their contracts. </FONT></P>
<P>
<B><FONT size=2 face="serif">(c) Credit and Market Risk. </FONT></B><FONT size=2 face="serif">The Fund invests in high-yield instruments that are subject to certain credit and market risks. The yields of high-yield obligations reflect, among other things,
perceived credit risk. The Fund&#146;s investments in securities rated below investment grade typically involve risks not associated with higher rated securities including, among others, greater risk related to timely and ultimate payment of interest
and principal, greater market price volatility and less liquid secondary market trading.</FONT></P>
<P><B><FONT size=2 face="serif">(d) Security Transactions. </FONT></B><FONT size=2 face="serif">Security transactions are accounted for on a trade date basis. </FONT></P>
<P>
<B><FONT size=2 face="serif">2. Investments </FONT></B></P>
<P>
<FONT size=2 face="serif">At July 31, 2005, the aggregate gross unrealized appreciation and depreciation of investments for federal income tax purposes were substantially as follows: </FONT></P>
<TABLE width="100%" border=0 cellpadding=0 cellspacing=0>
<TR valign="bottom">
	<TD width=62% align=left>
<FONT size=2 face="serif">Gross unrealized appreciation</FONT>&nbsp;
	</TD>
	<TD width=30%>&nbsp;
	</TD>
	<TD width=1% align=right>
      <div align="left"><FONT size=2 face="serif">&#36;</FONT>
      </div></TD>
	<TD width=5% align=right>
<FONT size=2 face="serif">8,007,403</FONT>
	</TD>
	<TD width=2% align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD align=left>
<FONT size=2 face="serif">Gross unrealized depreciation</FONT>&nbsp;
	</TD>
	<TD>&nbsp;
	</TD>
	<TD align=left>

	  <div align="left"></div></TD>
	<TD align=right>
<FONT size=2 face="serif">(9,023,883</FONT>
	</TD>
	<TD align=left>
<FONT size=2 face="serif">)</FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=5>
<HR noshade size=1>
	</TD>
</TR>
<TR valign="bottom">
	<TD align=left>
<FONT size=2 face="serif">Net unrealized depreciation</FONT>&nbsp;
	</TD>
	<TD>&nbsp;
	</TD>
	<TD align=right>
      <div align="left"><FONT size=2 face="serif">&#36;</FONT>
      </div></TD>
	<TD align=right>
<FONT size=2 face="serif">(1,016,480</FONT>
	</TD>
	<TD align=left>
<FONT size=2 face="serif">)</FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=5>
      <hr noshade size=3>  	</TD>
</TR>
</TABLE><BR>
<P>
<FONT size=2 face="serif">At July 31, 2005, the Fund had the following open futures contracts: </FONT></P>
<TABLE width="100%" border=0 cellpadding=0 cellspacing=0>
<TR valign="bottom">
	<TD align=left>&nbsp;

	</TD>
	<TD>&nbsp;
	</TD>
	<TD align=center>
<B><FONT size=2 face="serif">Number of</FONT></B>&nbsp;
	</TD>
	<TD>&nbsp;
	</TD>
	<TD align=center>
<B><FONT size=2 face="serif">Expiration</FONT></B>&nbsp;
	</TD>
	<TD>&nbsp;
	</TD>
	<TD align=center>
<B><FONT size=2 face="serif">Basis</FONT></B>&nbsp;
	</TD>
	<TD>&nbsp;
	</TD>
	<TD align=left>
      <center>
        <B><FONT size=2 face="serif">Market</FONT></B>&nbsp;
      </center></TD>
	<TD>&nbsp;
	</TD>
	<TD align=center>
<B><FONT size=2 face="serif">Unrealized</FONT></B>&nbsp;
	</TD>
</TR>
<TR valign="bottom">
	<TD align=left>&nbsp;

	</TD>
	<TD>&nbsp;
	</TD>
	<TD align=center>
<B><FONT size=2 face="serif">Contracts</FONT></B>&nbsp;
	</TD>
	<TD>&nbsp;
	</TD>
	<TD align=center>
<B><FONT size=2 face="serif">Date</FONT></B>&nbsp;
	</TD>
	<TD>&nbsp;
	</TD>
	<TD align=center>
<B><FONT size=2 face="serif">Value</FONT></B>&nbsp;
	</TD>
	<TD>&nbsp;
	</TD>
	<TD align=left>
 <center>
   <B><FONT size=2 face="serif">Value</FONT></B>&nbsp;
    </center></TD>
	<TD>&nbsp;
	</TD>
	<TD align=center>
<B><FONT size=2 face="serif">Gain</FONT></B>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=11>
<HR noshade size=1>
	</TD>
</TR>
<TR valign="bottom">
	<TD align=left>
<B><FONT size=2 face="serif">Contracts to Sell:</FONT></B>&nbsp;
	</TD>
	<TD>&nbsp;
	</TD>
	<TD align=left>&nbsp;

	</TD>
	<TD>&nbsp;
	</TD>
	<TD align=left>&nbsp;

	</TD>
	<TD>&nbsp;
	</TD>
	<TD align=left>&nbsp;

	</TD>
	<TD>&nbsp;
	</TD>
	<TD align=left>&nbsp;

	</TD>
	<TD>&nbsp;
	</TD>
	<TD align=left>&nbsp;

	</TD>
</TR>
<TR valign="bottom">
	<TD align=left>
<FONT size=2 face="serif">U.S. Treasury Bonds</FONT>&nbsp;
	</TD>
	<TD>&nbsp;
	</TD>
	<TD align=center>
<FONT size=2 face="serif">400</FONT>&nbsp;
	</TD>
	<TD>&nbsp;
	</TD>
	<TD align=center>
<FONT size=2 face="serif">9/05</FONT>&nbsp;
	</TD>
	<TD>&nbsp;
	</TD>
	<TD align=center>
<FONT size=2 face="serif">&#36;46,525,000</FONT>&nbsp;
	</TD>
	<TD>&nbsp;
	</TD>
	<TD align=left>
      <center>
        <FONT size=2 face="serif">&#36;</FONT><FONT size=2 face="serif">46,125,000</FONT>&nbsp;
      </center></TD>
	<TD>&nbsp;
	</TD>
	<TD align=center>
<FONT size=2 face="serif">&#36;400,000</FONT>&nbsp;
	</TD>
</TR>
<TR>
	<TD colspan=11>
      <hr noshade size=3>  	</TD>
</TR>
</TABLE>
<p>&nbsp;</p>
<p align="center"><font size="2">11</font><BR>

</p>
<HR noshade  width="100%" size=4>

<P align="left" style="page-break-before:always"></P><PAGE>
<P>
<FONT size=2 face="serif"> </FONT></P>
<TABLE border=0 cellspacing=0 cellpadding=0>
<TR>
  <TD width="56" valign=top nowrap><div align="right"><FONT size=2 face="serif">ITEM 2.</FONT></div></TD>
  <TD width="49" valign=top nowrap>&nbsp;</TD>
  <TD width="996"><FONT size=2 face="serif">CONTROLS AND PROCEDURES. </FONT></TD>
</TR>
<TR>
  <TD nowrap valign=top><div align="right"></div></TD>
  <TD nowrap valign=top>&nbsp;</TD>
  <TD>&nbsp;</TD>
</TR>
<TR>
	<TD nowrap valign=top>
      <div align="right"><FONT size=2 face="serif">(a)</FONT> 	</div></TD>
	<TD nowrap valign=top>&nbsp;</TD>
	<TD>
<FONT size=2 face="serif">The registrant&#146;s principal executive officer and
principal financial officer have concluded that the registrant&#146;s disclosure
controls and procedures (as defined in Rule 30a- 3(c) under the Investment Company
Act  of 1940, as amended (the &#147;1940 Act&#148;)) are effective as of a date
within 90 days of the filing date of this report that includes the disclosure
required by this paragraph, based on their evaluation of the disclosure controls
and procedures  required by Rule 30a-3(b) under the 1940 Act and 15d-15(b) under
the Securities Exchange Act of 1934.</FONT></TD>
</TR>
<TR>
  <TD nowrap valign=top>&nbsp;</TD>
  <TD nowrap valign=top>&nbsp;</TD>
  <TD>&nbsp;</TD>
</TR>
<TR>
	<TD nowrap valign=top>
      <div align="right"><FONT size=2 face="serif">(b)</FONT></div></TD>
	<TD nowrap valign=top>&nbsp;</TD>
	<TD>
<FONT size=2 face="serif">There were no changes in the registrant&#146;s internal
control over financial reporting (as defined in Rule 30a-3(d) under the 1940
Act) that occurred during the registrant&#146;s last fiscal quarter that have
materially  affected, or are likely to materially affect the registrant&#146;s
internal control over financial reporting.</FONT></TD>
</TR>
<TR>
  <TD nowrap valign=top>&nbsp;</TD>
  <TD nowrap valign=top>&nbsp;</TD>
  <TD>&nbsp;</TD>
</TR>
<TR>
  <TD nowrap valign=top><div align="right"><FONT size=2 face="serif">ITEM 3. </FONT></div></TD>
  <TD nowrap valign=top>&nbsp;</TD>
  <TD><FONT size=2 face="serif">EXHIBITS.</FONT></TD>
</TR>
<TR>
  <TD nowrap valign=top>&nbsp;</TD>
  <TD nowrap valign=top>&nbsp;</TD>
  <TD>&nbsp;</TD>
</TR>
<TR>
  <TD nowrap valign=top>&nbsp;</TD>
  <TD nowrap valign=top>&nbsp;</TD>
  <TD><FONT size=2 face="serif">Certifications pursuant to Rule 30a-2(a) under
    the Investment Company Act of 1940, as amended, are attached hereto.</FONT></TD>
</TR>
</TABLE>
<p>&nbsp;</p>
<HR noshade  width="100%" size=4>

<P align="left" style="page-break-before:always"></P><PAGE>
<P align="center">
<B><FONT size=2 face="serif">SIGNATURES </FONT></B></P>
<P>
<FONT size=2 face="serif">Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly
authorized. </FONT></P>
<P>
<FONT size=2 face="serif">Municipal High Income Fund Inc. </FONT></P>
<TABLE width="100%" border=0 cellpadding=0 cellspacing=0>
<TR valign="bottom">
  <TD width=8% align=left><FONT size=2 face="serif">By </FONT><U><FONT size=2 face="serif"></FONT></U></TD>
	<TD width=22% align=left><FONT size=2 face="serif">/s/ R. Jay Gerken</FONT>&nbsp;
	</TD>
    <TD width=70% align=left>&nbsp;</TD>
</TR>
<TR valign="bottom">
  <TD align=left>&nbsp;</TD>
  <TD align=left><hr size="1" noshade>    </TD>
  <TD align=left>&nbsp;</TD>
</TR>
<TR valign="bottom">
  <TD align=left>&nbsp;</TD>
	<TD align=left>
<FONT size=2 face="serif">R. Jay Gerken</FONT>&nbsp;
	</TD>
    <TD align=left>&nbsp;</TD>
</TR>
<TR valign="bottom">
  <TD align=left>&nbsp;</TD>
	<TD align=left>
<FONT size=2 face="serif">Chief Executive Officer</FONT>&nbsp;
	</TD>
    <TD align=left>&nbsp;</TD>
</TR>
<TR valign="bottom">
  <TD align=left><FONT size=2 face="serif">Date: </FONT></TD>
	<TD align=left>
<FONT size=2 face="serif">September 29, 2005</FONT>&nbsp;
	</TD>
    <TD align=left>&nbsp;</TD>
</TR>
</TABLE>


<P>
<FONT size=2 face="serif">Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on
the dates indicated. </FONT></P>
<TABLE width="100%" border=0 cellpadding=0 cellspacing=0>
  <TR valign="bottom">
    <TD width=8% align=left><FONT size=2 face="serif">By </FONT><U><FONT size=2 face="serif"></FONT></U></TD>
    <TD width=22% align=left><FONT size=2 face="serif">/s/ R. Jay Gerken</FONT>&nbsp; </TD>
    <TD width=70% align=left>&nbsp;</TD>
  </TR>
  <TR valign="bottom">
    <TD align=left>&nbsp;</TD>
    <TD align=left><hr size="1" noshade>
    </TD>
    <TD align=left>&nbsp;</TD>
  </TR>
  <TR valign="bottom">
    <TD align=left>&nbsp;</TD>
    <TD align=left> <FONT size=2 face="serif">R. Jay Gerken</FONT>&nbsp; </TD>
    <TD align=left>&nbsp;</TD>
  </TR>
  <TR valign="bottom">
    <TD align=left>&nbsp;</TD>
    <TD align=left> <FONT size=2 face="serif">Chief Executive Officer</FONT>&nbsp; </TD>
    <TD align=left>&nbsp;</TD>
  </TR>
  <TR valign="bottom">
    <TD align=left><FONT size=2 face="serif">Date: </FONT></TD>
    <TD align=left> <FONT size=2 face="serif">September 29, 2005</FONT>&nbsp; </TD>
    <TD align=left>&nbsp;</TD>
  </TR>
</TABLE>
<TABLE width="100%" border=0 cellpadding=0 cellspacing=0>
  <TR valign="bottom">
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
  <TR valign="bottom">
    <TD width=8% align=left><FONT size=2 face="serif">By </FONT><U><FONT size=2 face="serif"></FONT></U></TD>
    <TD width=22% align=left><FONT size=2 face="serif">/s/ Kaprel Ozsolak</FONT>&nbsp;&nbsp; </TD>
    <TD width=70% align=left>&nbsp;</TD>
  </TR>
  <TR valign="bottom">
    <TD align=left>&nbsp;</TD>
    <TD align=left><hr size="1" noshade>
    </TD>
    <TD align=left>&nbsp;</TD>
  </TR>
  <TR valign="bottom">
    <TD align=left>&nbsp;</TD>
    <TD align=left> <FONT size=2 face="serif">Kaprel Ozsolak</FONT>&nbsp; </TD>
    <TD align=left>&nbsp;</TD>
  </TR>
  <TR valign="bottom">
    <TD align=left>&nbsp;</TD>
    <TD align=left> <FONT size=2 face="serif">Chief Financial Officer</FONT>&nbsp;</TD>
    <TD align=left>&nbsp;</TD>
  </TR>
  <TR valign="bottom">
    <TD align=left><FONT size=2 face="serif">Date: </FONT></TD>
    <TD align=left> <FONT size=2 face="serif">September 29, 2005</FONT>&nbsp; </TD>
    <TD align=left>&nbsp;</TD>
  </TR>
</TABLE>
<p><BR>
</p>
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</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-99.CERT
<SEQUENCE>2
<FILENAME>c39173_ex99-cert.htm
<TEXT>

<HTML>
<HEAD>
   <TITLE></TITLE>
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<BODY bgcolor="#ffffff">


<P align="right"><font size="2">EX-99.CERT</font></P>
<P align="center"><B><U><FONT size=2 face="serif">CERTIFICATIONS</FONT></U></B><B><FONT size=2 face="serif"> </FONT></B></P>
<P>
<FONT size=2 face="serif">I, R. Jay Gerken, certify that: </FONT></P>
<TABLE border=0 cellspacing=0 cellpadding=0>
<TR>
	<TD nowrap valign=top>
<FONT size=2 face="serif">1.</FONT>&nbsp; &nbsp; &nbsp; 	</TD>
	<TD colspan=2>
<FONT size=2 face="serif">I have reviewed this report on Form N-Q of Municipal
High Income Fund Inc.;</FONT></TD>
</TR>
<TR><TD colspan=3>&nbsp;</TD></TR><TR>
	<TD nowrap valign=top>
<FONT size=2 face="serif">2.</FONT>&nbsp; &nbsp; &nbsp; 	</TD>
	<TD colspan=2>
<FONT size=2 face="serif">Based on my knowledge, this report does not contain
any untrue statement of a material fact or omit to state a material fact necessary
to make the statements made, in light of the circumstances under which such statements
 were made, not misleading with respect to the period covered by this report;</FONT></TD>
</TR>
<TR><TD colspan=3>&nbsp;</TD></TR><TR>
	<TD nowrap valign=top>
<FONT size=2 face="serif">3.</FONT>&nbsp; &nbsp; &nbsp; 	</TD>
	<TD colspan=2>
<FONT size=2 face="serif">Based on my knowledge, the schedules of investments
included in this report fairly present in all material respects the investments
of the registrant as of the end of the fiscal quarter for which the report is
 filed;</FONT></TD>
</TR>
<TR><TD colspan=3>&nbsp;</TD></TR><TR>
	<TD nowrap valign=top>
<FONT size=2 face="serif">4.</FONT>&nbsp; &nbsp; &nbsp; 	</TD>
	<TD colspan=2>
<FONT size=2 face="serif">The registrant&#146;s other certifying officer(s) and
I are responsible for establishing and maintaining disclosure controls and procedures
(as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal
 control over financial reporting (as defined in Rule 30a-3(d) under the Investment
Company Act of 1940) for the registrant and have:</FONT></TD>
</TR>
<TR><TD colspan=3>&nbsp;</TD></TR><TR>
<TD>&nbsp;</TD>	<TD nowrap valign=top>
<FONT size=2 face="serif">a)</FONT>&nbsp; &nbsp; &nbsp; 	</TD>
	<TD>
<FONT size=2 face="serif">Designed such disclosure controls and procedures, or
caused such disclosure controls and procedures to be designed under our supervision,
to ensure that material information relating to the registrant, including its
 consolidated subsidiaries, is made known to us by others within those entities,
particularly during the period in which this report is being prepared;</FONT></TD>
</TR>
<TR><TD colspan=3>&nbsp;</TD></TR><TR>
<TD>&nbsp;</TD>	<TD nowrap valign=top>
<FONT size=2 face="serif">b)</FONT>&nbsp; &nbsp; &nbsp; 	</TD>
	<TD>
<FONT size=2 face="serif">Designed such internal control over financial reporting,
or caused such internal control over financial reporting to be designed under
our supervision, to provide reasonable assurance regarding the reliability of
financial  reporting and the preparation of financial statements for external
purposes in accordance with generally accepted accounting principles;</FONT></TD>
</TR>
<TR><TD colspan=3>&nbsp;</TD></TR><TR>
<TD>&nbsp;</TD>	<TD nowrap valign=top>
<FONT size=2 face="serif">c)</FONT>&nbsp; &nbsp; &nbsp; 	</TD>
	<TD>
<FONT size=2 face="serif">Evaluated the effectiveness of the registrant&#146;s
disclosure controls and procedures and presented in this report our conclusions
about the effectiveness of the disclosure controls and procedures, as of a date
within 90  days prior to the filing date of this report based on such evaluation;
and</FONT></TD>
</TR>
<TR><TD colspan=3>&nbsp;</TD></TR><TR>
<TD>&nbsp;</TD>	<TD nowrap valign=top>
<FONT size=2 face="serif">d)</FONT>&nbsp; &nbsp; &nbsp; 	</TD>
	<TD>
<FONT size=2 face="serif">Disclosed in this report any change in the registrant&#146;s
internal control over financial reporting that occurred during the registrant&#146;s
most recent fiscal quarter that has materially affected, or is reasonably  likely
to materially affect, the registrant&#146;s internal control over financial reporting;
and</FONT></TD>
</TR>
<TR><TD colspan=3>&nbsp;</TD></TR><TR>
	<TD nowrap valign=top>
<FONT size=2 face="serif">5.</FONT>&nbsp; &nbsp; &nbsp; 	</TD>
	<TD colspan=2>
<FONT size=2 face="serif">The registrant&#146;s other certifying officer(s) and
I have disclosed to the registrant&#146;s auditors and the audit committee of
the registrant&#146;s board of directors (or persons performing the equivalent
 functions):</FONT></TD>
</TR>
<TR><TD colspan=3>&nbsp;</TD></TR><TR>
<TD>&nbsp;</TD>	<TD nowrap valign=top>
<FONT size=2 face="serif">a)</FONT>&nbsp; &nbsp; &nbsp; 	</TD>
	<TD>
<FONT size=2 face="serif">All significant deficiencies and material weaknesses
in the design or operation of internal control over financial reporting which
are reasonably likely to adversely affect the registrant&#146;s ability to record,
process,  summarize, and report financial information; and</FONT></TD>
</TR>
<TR><TD colspan=3>&nbsp;</TD></TR><TR>
<TD>&nbsp;</TD>	<TD nowrap valign=top>
<FONT size=2 face="serif">b)</FONT>&nbsp; &nbsp; &nbsp; 	</TD>
	<TD>
<FONT size=2 face="serif">Any fraud, whether or not material, that involves management
or other employees who have a significant role in the registrant&#146;s internal
control over financial reporting.</FONT></TD>
</TR>
<TR><TD colspan=3>&nbsp;</TD></TR></TABLE>
<TABLE width="100%" border=0 cellpadding=0 cellspacing=0>
<TR valign="bottom">
	<TD width=8% align=right>
      <div align="left"><FONT size=2 face="serif">Date:</FONT>&nbsp;
	    </div></TD>
	<TD width=21% align=right>
      <center>
        <FONT size=2 face="serif">September 29, 2005</FONT>&nbsp;
      </center></TD>
	<TD width=40%>&nbsp;
	</TD>
	<TD width=27% align=center>
<FONT size=2 face="serif">/s/ R. Jay Gerken</FONT>&nbsp;
	</TD>
    <TD width=4% align=center>&nbsp;</TD>
</TR>
<TR>
	<TD>
	</TD>
	<TD>
<HR noshade size=1>
	</TD>
    <TD>&nbsp;</TD>
    <TD><hr size="1" noshade>    </TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
	<TD align=left>&nbsp;

	</TD>
	<TD align=left>&nbsp;

	</TD>
	<TD>&nbsp;
	</TD>
	<TD align=left>
      <center>
        <FONT size=2 face="serif">R. Jay Gerken</FONT>&nbsp;
	    </center></TD>
    <TD align=left>&nbsp;</TD>
</TR>
<TR valign="bottom">
	<TD align=left>&nbsp;

	</TD>
	<TD align=left>&nbsp;

	</TD>
	<TD>&nbsp;
	</TD>
	<TD align=center>
<FONT size=2 face="serif">Chief Executive Officer</FONT>&nbsp;
	</TD>
    <TD align=center>&nbsp;</TD>
</TR>
</TABLE>
<BR>

<HR noshade  width="100%" size=4>

<P align="left" style="page-break-before:always"></P>
<PAGE>


<P>
<FONT size=2 face="serif">I, Kaprel Ozsolak, certify that: </FONT></P>
<TABLE border=0 cellspacing=0 cellpadding=0>
<TR>
	<TD nowrap valign=top>
<FONT size=2 face="serif">1.</FONT>&nbsp; &nbsp; &nbsp; 	</TD>
	<TD colspan=2>
<FONT size=2 face="serif">I have reviewed this report on Form N-Q of Municipal
High Income Fund Inc.;</FONT></TD>
</TR>
<TR><TD colspan=3>&nbsp;</TD></TR><TR>
	<TD nowrap valign=top>
<FONT size=2 face="serif">2.</FONT>&nbsp; &nbsp; &nbsp; 	</TD>
	<TD colspan=2>
<FONT size=2 face="serif">Based on my knowledge, this report does not contain
any untrue statement of a material fact or omit to state a material fact necessary
to make the statements made, in light of the circumstances under which such statements
 were made, not misleading with respect to the period covered by this report;</FONT></TD>
</TR>
<TR><TD colspan=3>&nbsp;</TD></TR><TR>
	<TD nowrap valign=top>
<FONT size=2 face="serif">3.</FONT>&nbsp; &nbsp; &nbsp; 	</TD>
	<TD colspan=2>
<FONT size=2 face="serif">Based on my knowledge, the schedules of investments
included in this report fairly present in all material respects the investments
of the registrant as of the end of the fiscal quarter for which the report is
 filed;</FONT></TD>
</TR>
<TR><TD colspan=3>&nbsp;</TD></TR><TR>
	<TD nowrap valign=top>
<FONT size=2 face="serif">4.</FONT>&nbsp; &nbsp; &nbsp; 	</TD>
	<TD colspan=2>
<FONT size=2 face="serif">The registrant&#146;s other certifying officer(s) and
I are responsible for establishing and maintaining disclosure controls and procedures
(as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal
 control over financial reporting (as defined in Rule 30a-3(d) under the Investment
Company Act of 1940) for the registrant and have:</FONT></TD>
</TR>
<TR><TD colspan=3>&nbsp;</TD></TR><TR>
<TD>&nbsp;</TD>	<TD nowrap valign=top>
<FONT size=2 face="serif">a)</FONT>&nbsp; &nbsp; &nbsp; 	</TD>
	<TD>
<FONT size=2 face="serif">Designed such disclosure controls and procedures, or
caused such disclosure controls and procedures to be designed under our supervision,
to ensure that material information relating to the registrant, including its
 consolidated subsidiaries, is made known to us by others within those entities,
particularly during the period in which this report is being prepared;</FONT></TD>
</TR>
<TR><TD colspan=3>&nbsp;</TD></TR><TR>
<TD>&nbsp;</TD>	<TD nowrap valign=top>
<FONT size=2 face="serif">b)</FONT>&nbsp; &nbsp; &nbsp; 	</TD>
	<TD>
<FONT size=2 face="serif">Designed such internal control over financial reporting,
or caused such internal control over financial reporting to be designed under
our supervision, to provide reasonable assurance regarding the reliability of
financial  reporting and the preparation of financial statements for external
purposes in accordance with generally accepted accounting principles;</FONT></TD>
</TR>
<TR><TD colspan=3>&nbsp;</TD></TR><TR>
<TD>&nbsp;</TD>	<TD nowrap valign=top>
<FONT size=2 face="serif">c)</FONT>&nbsp; &nbsp; &nbsp; 	</TD>
	<TD>
<FONT size=2 face="serif">Evaluated the effectiveness of the registrant&#146;s
disclosure controls and procedures and presented in this report our conclusions
about the effectiveness of the disclosure controls and procedures, as of a date
within 90  days prior to the filing date of this report based on such evaluation;
and</FONT></TD>
</TR>
<TR><TD colspan=3>&nbsp;</TD></TR><TR>
<TD>&nbsp;</TD>	<TD nowrap valign=top>
<FONT size=2 face="serif">d)</FONT>&nbsp; &nbsp; &nbsp; 	</TD>
	<TD>
<FONT size=2 face="serif">Disclosed in this report any change in the registrant&#146;s
internal control over financial reporting that occurred during the registrant&#146;s
most recent fiscal quarter that has materially affected, or is reasonably  likely
to materially affect, the registrant&#146;s internal control over financial reporting;
and</FONT></TD>
</TR>
<TR><TD colspan=3>&nbsp;</TD></TR><TR>
	<TD nowrap valign=top>
<FONT size=2 face="serif">5.</FONT>&nbsp; &nbsp; &nbsp; 	</TD>
	<TD colspan=2>
<FONT size=2 face="serif">The registrant&#146;s other certifying officer(s) and
I have disclosed to the registrant&#146;s auditors and the audit committee of
the registrant&#146;s board of directors (or persons performing the equivalent
 functions):</FONT></TD>
</TR>
<TR><TD colspan=3>&nbsp;</TD></TR><TR>
<TD>&nbsp;</TD>	<TD nowrap valign=top>
<FONT size=2 face="serif">a)</FONT>&nbsp; &nbsp; &nbsp; 	</TD>
	<TD>
<FONT size=2 face="serif">All significant deficiencies and material weaknesses
in the design or operation of internal control over financial reporting which
are reasonably likely to adversely affect the registrant&#146;s ability to record,
process,  summarize, and report financial information; and</FONT></TD>
</TR>
<TR><TD colspan=3>&nbsp;</TD></TR><TR>
<TD>&nbsp;</TD>	<TD nowrap valign=top>
<FONT size=2 face="serif">b)</FONT>&nbsp; &nbsp; &nbsp; 	</TD>
	<TD>
<FONT size=2 face="serif">Any fraud, whether or not material, that involves management
or other employees who have a significant role in the registrant&#146;s internal
control over financial reporting.</FONT></TD>
</TR>
<TR><TD colspan=3>&nbsp;</TD></TR></TABLE>
<TABLE width="100%" border=0 cellpadding=0 cellspacing=0>
  <TR valign="bottom">
    <TD width=8% align=right>
      <div align="left"><FONT size=2 face="serif">Date:</FONT>&nbsp; </div></TD>
    <TD width=21% align=right>
      <center>
        <FONT size=2 face="serif">September 29, 2005</FONT>&nbsp;
      </center></TD>
    <TD width=40%>&nbsp; </TD>
    <TD width=27% align=center> <FONT size=2 face="serif">/s/ Kaprel Ozsolak</FONT>&nbsp;</TD>
    <TD width=4% align=center>&nbsp;</TD>
  </TR>
  <TR>
    <TD> </TD>
    <TD>
      <HR noshade size=1>
    </TD>
    <TD>&nbsp;</TD>
    <TD><hr size="1" noshade>
    </TD>
    <TD>&nbsp;</TD>
  </TR>
  <TR valign="bottom">
    <TD align=left>&nbsp; </TD>
    <TD align=left>&nbsp; </TD>
    <TD>&nbsp; </TD>
    <TD align=left>
      <center>
        <FONT size=2 face="serif">Kaprel Ozsolak</FONT>&nbsp;      </center></TD>
    <TD align=left>&nbsp;</TD>
  </TR>
  <TR valign="bottom">
    <TD align=left>&nbsp; </TD>
    <TD align=left>&nbsp; </TD>
    <TD>&nbsp; </TD>
    <TD align=center> <FONT size=2 face="serif">Chief Financial Officer</FONT>&nbsp;</TD>
    <TD align=center>&nbsp;</TD>
  </TR>
</TABLE>
<BR>

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