UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM N-Q

 

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED MANAGEMENT INVESTMENT COMPANY

 

Investment Company Act file number 811-10339

 

Name of Fund: BlackRock Municipal Income Trust (BFK)

 

Fund Address: 100 Bellevue Parkway, Wilmington, DE 19809

 

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

 

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

 

Date of fiscal year end: 04/30/2012

 

Date of reporting period: 01/31/2012

 

Item 1 – Schedule of Investments

 

 

 

 

 

Schedule of Investments January 31, 2012 (Unaudited)

BlackRock Municipal Income Trust (BFK)

(Percentages shown are based on Net Assets)

 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

Alabama — 0.7%

 

 

 

 

 

 

 

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

 

$

4,080

 

$

4,527,290

 

Arizona — 3.0%

 

 

 

 

 

 

 

Salt Verde Financial Corp., RB:

 

 

 

 

 

 

 

5.00%, 12/01/32

 

 

10,030

 

 

9,990,783

 

5.00%, 12/01/37

 

 

9,460

 

 

9,391,509

 

 

 

 

 

 

 

19,382,292

 

California — 22.1%

 

 

 

 

 

 

 

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

 

 

4,445

 

 

5,029,873

 

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

 

 

17,855

 

 

209,082

 

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

 

 

6,230

 

 

7,177,209

 

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

 

 

2,315

 

 

2,672,274

 

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

 

 

5,000

 

 

5,215,350

 

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

 

 

3,115

 

 

3,445,377

 

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

 

 

 

 

 

 

 

6.09%, 1/15/32

 

 

54,635

 

 

16,155,023

 

6.09%, 1/15/38

 

 

75,000

 

 

13,920,000

 

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

 

 

7,000

 

 

7,806,470

 

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

 

 

5,000

 

 

5,411,350

 

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

 

 

1,560

 

 

1,736,327

 

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

 

 

11,690

 

 

12,923,880

 

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

 

 

13,320

 

 

13,327,326

 

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

 

 

5,000

 

 

5,009,150

 

 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

California (concluded)

 

 

 

 

 

 

 

State of California, GO, Various
Purposes:

 

 

 

 

 

 

 

6.00%, 3/01/33

 

$

4,970

 

$

5,903,465

 

6.50%, 4/01/33

 

 

20,410

 

 

25,103,075

 

5.00%, 10/01/41

 

 

5,935

 

 

6,426,418

 

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

 

 

4,015

 

 

4,292,999

 

 

 

 

 

 

 

141,764,648

 

Colorado — 1.5%

 

 

 

 

 

 

 

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

 

 

2,115

 

 

2,216,605

 

Colorado Health Facilities Authority,
Refunding RB, Catholic Health,
Series A, 5.50%, 7/01/34

 

 

4,205

 

 

4,654,514

 

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

 

 

2,530

 

 

2,573,946

 

 

 

 

 

 

 

9,445,065

 

Connecticut — 0.5%

 

 

 

 

 

 

 

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

 

 

2,710

 

 

2,912,193

 

Delaware — 1.6%

 

 

 

 

 

 

 

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

 

 

2,225

 

 

2,306,747

 

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

 

 

7,950

 

 

8,028,864

 

 

 

 

 

 

 

10,335,611

 

District of Columbia — 4.1%

 

 

 

 

 

 

 

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

 

 

23,035

 

 

23,304,970

 

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

 

 

 

 

 

 

 

5.00%, 10/01/39

 

 

990

 

 

1,073,804

 

5.25%, 10/01/44

 

 

1,545

 

 

1,677,715

 

 

 

 

 

 

 

26,056,489

 

Florida — 3.8%

 

 

 

 

 

 

 

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

 

 

2,280

 

 

2,519,879

 

Highlands County Florida Health
Facilities Authority, Series 2006-G,
5.13%, 11/15/32 (c)

 

 

1,000

 

 

1,049,420

 

 

 

 

 

 

 

 

 

 

BLACKROCK MUNICIPAL INCOME TRUST

JANUARY 31, 2012

1


 

 

 

 

Schedule of Investments (continued)

BlackRock Municipal Income Trust (BFK)

(Percentages shown are based on Net Assets)

 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

Florida (concluded)

 

 

 

 

 

 

 

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

 

$

6,575

 

$

6,949,249

 

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

 

 

4,450

 

 

4,755,403

 

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

 

 

3,650

 

 

3,108,997

 

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

 

 

6,035

 

 

6,080,383

 

 

 

 

 

 

 

24,463,331

 

Georgia — 1.8%

 

 

 

 

 

 

 

DeKalb Private Hospital Authority,
Refunding RB, Children’s Healthcare,
5.25%, 11/15/39

 

 

1,650

 

 

1,782,182

 

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

 

 

5,000

 

 

5,441,750

 

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

 

 

4,000

 

 

4,044,520

 

 

 

 

 

 

 

11,268,452

 

Guam — 0.7%

 

 

 

 

 

 

 

Territory of Guam, GO, Series A:

 

 

 

 

 

 

 

6.00%, 11/15/19

 

 

1,245

 

 

1,369,898

 

6.75%, 11/15/29

 

 

1,775

 

 

1,889,559

 

7.00%, 11/15/39

 

 

1,255

 

 

1,329,221

 

 

 

 

 

 

 

4,588,678

 

Hawaii — 0.5%

 

 

 

 

 

 

 

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

 

 

2,660

 

 

2,965,953

 

Illinois — 9.9%

 

 

 

 

 

 

 

Chicago Board of Education Illinois, GO,
Series A:

 

 

 

 

 

 

 

5.50%, 12/01/39

 

 

4,110

 

 

4,656,959

 

5.00%, 12/01/41

 

 

1,355

 

 

1,450,650

 

City of Chicago Illinois, RB:

 

 

 

 

 

 

 

O’Hare International Airport,
General, Third Lien,
Series C, 6.50%, 1/01/41

 

 

11,385

 

 

13,758,089

 

Series A, 5.25%, 1/01/38

 

 

1,605

 

 

1,809,894

 

City of Chicago Illinois Transit Authority,
Sales Tax Receipts RB, Sales Tax
Receipts Revenue, 5.25%, 12/01/40

 

 

2,055

 

 

2,292,127

 

Illinois Finance Authority, RB:

 

 

 

 

 

 

 

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

 

 

10,630

 

 

11,415,876

 

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

 

 

1,675

 

 

251,317

 

 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

Illinois (concluded)

 

 

 

 

 

 

 

Illinois Finance Authority, RB
(concluded):

 

 

 

 

 

 

 

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

 

$

3,010

 

$

3,193,911

 

Illinois Finance Authority, Refunding RB:

 

 

 

 

 

 

 

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

 

 

3,160

 

 

3,455,365

 

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

 

 

3,000

 

 

3,032,010

 

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

 

 

845

 

 

711,676

 

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

 

 

 

 

 

 

 

Series B, 5.00%, 6/15/50

 

 

3,905

 

 

4,015,043

 

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

 

 

6,155

 

 

6,330,602

 

Railsplitter Tobacco Settlement
Authority, RB:

 

 

 

 

 

 

 

5.50%, 6/01/23

 

 

2,625

 

 

2,994,915

 

6.00%, 6/01/28

 

 

2,245

 

 

2,517,363

 

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

 

 

1,240

 

 

1,373,089

 

 

 

 

 

 

 

63,258,886

 

Indiana — 3.3%

 

 

 

 

 

 

 

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

 

 

1,925

 

 

1,162,450

 

Indiana Finance Authority, RB:

 

 

 

 

 

 

 

First Lien, CWA Authority,
Series A, 5.25%, 10/01/38

 

 

3,080

 

 

3,443,625

 

Sisters of St. Francis Health,
5.25%, 11/01/39

 

 

1,655

 

 

1,777,900

 

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

 

 

9,000

 

 

8,464,680

 

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

 

 

2,150

 

 

2,452,075

 

Indianapolis Local Public Improvement
Bond Bank, RB, Series K, 5.00%,
6/01/27

 

 

3,640

 

 

4,006,803

 

 

 

 

 

 

 

21,307,533

 

Iowa — 0.6%

 

 

 

 

 

 

 

Iowa State Student Loan Liquidity Corp.,
RB, Senior Series A-1, AMT, 5.15%,
12/01/22

 

 

3,830

 

 

4,107,637

 

Kansas — 0.5%

 

 

 

 

 

 

 

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

 

 

3,275

 

 

3,490,659

 

 

 

 

 

 

 

 

 

 

BLACKROCK MUNICIPAL INCOME TRUST

JANUARY 31, 2012

2


 

 

 

 

Schedule of Investments (continued)

BlackRock Municipal Income Trust (BFK)

(Percentages shown are based on Net Assets)

 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

Kentucky — 0.3%

 

 

 

 

 

 

 

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

 

$

1,490

 

$

1,645,198

 

Louisiana — 1.9%

 

 

 

 

 

 

 

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

 

 

6,535

 

 

7,137,004

 

Parish of Saint John the Baptist
Louisiana, RB, Marathon Oil Corp.,
Series A, 5.13%, 6/01/37

 

 

5,040

 

 

5,109,804

 

 

 

 

 

 

 

12,246,808

 

Maryland — 1.3%

 

 

 

 

 

 

 

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

 

 

855

 

 

882,027

 

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

 

 

1,760

 

 

1,824,275

 

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

 

 

4,295

 

 

4,735,710

 

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

 

 

825

 

 

877,569

 

 

 

 

 

 

 

8,319,581

 

Massachusetts — 0.6%

 

 

 

 

 

 

 

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

 

 

3,535

 

 

3,769,158

 

Michigan — 1.6%

 

 

 

 

 

 

 

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

 

 

2,700

 

 

2,910,060

 

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

 

 

2,870

 

 

3,332,013

 

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

 

 

4,230

 

 

4,342,264

 

 

 

 

 

 

 

10,584,337

 

Minnesota — 2.2%

 

 

 

 

 

 

 

Tobacco Securitization Authority
Minnesota, Refunding RB, Tobacco
Settlement, Series B:

 

 

 

 

 

 

 

5.25%, 3/01/25

 

 

8,780

 

 

9,922,717

 

5.25%, 3/01/31

 

 

3,700

 

 

4,013,390

 

 

 

 

 

 

 

13,936,107

 

 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

Mississippi — 2.2%

 

 

 

 

 

 

 

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

 

$

14,025

 

$

14,041,550

 

Missouri — 0.3%

 

 

 

 

 

 

 

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

 

 

2,035

 

 

2,063,917

 

Multi-State — 2.7%

 

 

 

 

 

 

 

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

 

 

16,000

 

 

17,326,080

 

Nebraska — 0.6%

 

 

 

 

 

 

 

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

 

 

3,280

 

 

3,527,870

 

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

 

 

600

 

 

637,536

 

 

 

 

 

 

 

4,165,406

 

Nevada — 0.7%

 

 

 

 

 

 

 

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

 

 

4,550

 

 

4,776,818

 

New Hampshire — 0.5%

 

 

 

 

 

 

 

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

 

 

3,500

 

 

3,541,370

 

New Jersey — 9.6%

 

 

 

 

 

 

 

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

 

 

3,680

 

 

329,360

 

New Jersey EDA, RB:

 

 

 

 

 

 

 

Cigarette Tax, 5.75%,
6/15/29

 

 

15,500

 

 

16,196,570

 

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

 

 

3,000

 

 

2,987,070

 

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

 

 

15,410

 

 

15,410,616

 

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

 

 

8,000

 

 

8,885,200

 

New Jersey Transportation Trust Fund
Authority, RB, Transportation System:

 

 

 

 

 

 

 

Series A, 5.50%, 6/15/41

 

 

8,000

 

 

9,179,120

 

Series B, 5.25%, 6/15/36

 

 

4,810

 

 

5,411,972

 

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

 

 

3,135

 

 

2,938,404

 

 

 

 

 

 

 

61,338,312

 

 

 

 

 

 

 

 

 

 

BLACKROCK MUNICIPAL INCOME TRUST

JANUARY 31, 2012

3


 

 

 

 

Schedule of Investments (continued)

BlackRock Municipal Income Trust (BFK)

(Percentages shown are based on Net Assets)

 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

New York — 5.4%

 

 

 

 

 

 

 

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

 

$

1,820

 

$

418,691

 

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

 

 

2,375

 

 

2,633,875

 

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

 

 

 

 

 

 

 

8.00%, 8/01/28

 

 

5,000

 

 

4,504,250

 

7.75%, 8/01/31

 

 

22,140

 

 

19,945,483

 

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

 

 

2,400

 

 

2,598,000

 

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

 

 

 

 

 

 

 

6.00%, 12/01/36

 

 

2,525

 

 

2,733,313

 

6.00%, 12/01/42

 

 

1,960

 

 

2,114,389

 

 

 

 

 

 

 

34,948,001

 

North Carolina — 3.8%

 

 

 

 

 

 

 

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

 

 

12,130

 

 

9,915,668

 

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

 

 

10,000

 

 

11,246,400

 

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

 

 

2,750

 

 

2,923,140

 

 

 

 

 

 

 

24,085,208

 

Ohio — 2.4%

 

 

 

 

 

 

 

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

 

 

6,125

 

 

6,519,695

 

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

 

 

5,450

 

 

5,754,601

 

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

 

 

3,760

 

 

3,248,602

 

 

 

 

 

 

 

15,522,898

 

Oklahoma — 0.9%

 

 

 

 

 

 

 

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

 

 

7,175

 

 

5,499,996

 

 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

Pennsylvania — 2.0%

 

 

 

 

 

 

 

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

 

$

3,000

 

$

2,446,620

 

Pennsylvania Economic Development
Financing Authority, RB:

 

 

 

 

 

 

 

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

 

 

6,500

 

 

6,540,170

 

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

 

 

3,725

 

 

4,086,884

 

 

 

 

 

 

 

13,073,674

 

Puerto Rico — 4.2%

 

 

 

 

 

 

 

Puerto Rico Sales Tax Financing Corp.,
RB:

 

 

 

 

 

 

 

CAB, Series A, 6.67%,
8/01/33 (a)

 

 

11,400

 

 

3,654,498

 

CAB, Series A, 6.68%,
8/01/36 (a)

 

 

40,000

 

 

10,411,200

 

First Sub-Series A, 6.50%,
8/01/44

 

 

10,900

 

 

12,843,906

 

 

 

 

 

 

 

26,909,604

 

South Carolina — 2.5%

 

 

 

 

 

 

 

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

 

 

5,075

 

 

5,216,542

 

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

 

 

6,455

 

 

7,128,514

 

South Carolina State Public Service
Authority, Refunding RB, Santee
Cooper Project, Series C, 5.00%,
12/01/36

 

 

3,015

 

 

3,412,528

 

 

 

 

 

 

 

15,757,584

 

Tennessee — 0.5%

 

 

 

 

 

 

 

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

 

 

5,055

 

 

3,311,480

 

Texas — 13.4%

 

 

 

 

 

 

 

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

 

 

4,370

 

 

830,475

 

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

 

 

4,210

 

 

4,506,510

 

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

 

 

2,970

 

 

3,386,186

 

City of Houston Texas, Refunding RB:

 

 

 

 

 

 

 

Airport System, Senior Lien,
Series A, 5.50%, 7/01/39

 

 

3,000

 

 

3,309,450

 

Combined First Lien, Series A (AGC),
6.00%, 11/15/35

 

 

16,425

 

 

19,795,738

 

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

 

 

 

 

 

 

 

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

 

 

5,000

 

 

1,030,650

 

 

 

 

 

 

 

 

 

 

BLACKROCK MUNICIPAL INCOME TRUST

JANUARY 31, 2012

4


 

 

 

 

Schedule of Investments (continued)

BlackRock Municipal Income Trust (BFK)

(Percentages shown are based on Net Assets)

 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

Texas (concluded)

 

 

 

 

 

 

 

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

 

 

 

 

 

 

 

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

 

$

12,580

 

$

2,209,048

 

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

 

 

26,120

 

 

4,656,151

 

Lower Colorado River Authority,
Refunding RB:

 

 

 

 

 

 

 

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

 

 

55

 

 

58,353

 

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

 

 

140

 

 

140,094

 

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

 

 

5

 

 

5,305

 

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

 

 

12,180

 

 

13,420,046

 

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

 

 

6,540

 

 

7,168,559

 

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

 

 

7,930

 

 

9,012,207

 

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

 

 

 

 

 

 

 

Senior Lien Infrastructure,
7.00%, 6/30/40

 

 

7,975

 

 

8,983,519

 

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

 

 

6,500

 

 

7,230,015

 

 

 

 

 

 

 

85,742,306

 

Utah — 1.2%

 

 

 

 

 

 

 

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

 

 

7,150

 

 

7,698,048

 

Virginia — 0.8%

 

 

 

 

 

 

 

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

 

 

2,240

 

 

2,241,859

 

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

 

 

8,105

 

 

2,818,514

 

 

 

 

 

 

 

5,060,373

 

Washington — 0.7%

 

 

 

 

 

 

 

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

 

 

3,900

 

 

4,576,065

 

Wisconsin — 2.2%

 

 

 

 

 

 

 

Wisconsin Health & Educational
Facilities Authority, RB:

 

 

 

 

 

 

 

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

 

 

3,210

 

 

3,540,213

 

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

 

 

1,640

 

 

1,779,580

 

 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

Wisconsin (concluded)

 

 

 

 

 

 

 

Wisconsin Health & Educational
Facilities Authority, RB (concluded):

 

 

 

 

 

 

 

Aurora Health, Senior Credit
Group, 6.40%, 4/15/33

 

$

7,500

 

$

7,712,775

 

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

 

 

1,205

 

 

1,218,785

 

 

 

 

 

 

 

14,251,353

 

Total Municipal Bonds – 119.1%

 

 

 

 

 

764,065,949

 

 

 

 

 

 

 

 

 

 

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

 

 

 

 

 

 

 

Alabama — 0.7%

 

 

 

 

 

 

 

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

 

 

4,548

 

 

4,772,702

 

Arizona — 0.8%

 

 

 

 

 

 

 

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

 

 

4,759

 

 

5,212,326

 

California — 7.8%

 

 

 

 

 

 

 

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

 

 

5,115

 

 

5,736,524

 

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

 

 

4,500

 

 

4,922,145

 

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

 

 

3,260

 

 

3,742,856

 

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

 

 

18,540

 

 

20,478,728

 

University of California, RB:

 

 

 

 

 

 

 

Limited Project, Series B,
4.75%, 5/15/38

 

 

9,838

 

 

10,087,961

 

Series C (NPFGC), 4.75%, 5/15/37

 

 

5,000

 

 

5,132,050

 

 

 

 

 

 

 

50,100,264

 

Colorado — 2.0%

 

 

 

 

 

 

 

Colorado Health Facilities Authority, RB,
Catholic Health:

 

 

 

 

 

 

 

Series C-3 (AGM), 5.10%, 10/01/41

 

 

7,600

 

 

7,997,404

 

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

 

 

4,860

 

 

5,120,642

 

 

 

 

 

 

 

13,118,046

 

 

 

 

 

 

 

 

 

 

BLACKROCK MUNICIPAL INCOME TRUST

JANUARY 31, 2012

5


 

 

 

 

Schedule of Investments (continued)

BlackRock Municipal Income Trust (BFK)

(Percentages shown are based on Net Assets)


 

 

 

 

 

 

 

 

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

 

Par
(000)

 

Value

 

Connecticut — 3.4%

 

 

 

 

 

 

 

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

 

 

 

 

 

 

 

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

 

$

9,400

 

$

10,874,766

 

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

 

 

9,360

 

 

10,699,978

 

 

 

 

 

 

 

21,574,744

 

Florida — 1.2%

 

 

 

 

 

 

 

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

 

 

6,629

 

 

7,366,453

 

Massachusetts — 2.7%

 

 

 

 

 

 

 

Massachusetts School Building
Authority, RB, Senior Series B, 5.00%,
10/15/41

 

 

8,860

 

 

10,046,620

 

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

 

 

6,770

 

 

7,485,318

 

 

 

 

 

 

 

17,531,938

 

New Hampshire — 0.7%

 

 

 

 

 

 

 

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

 

 

3,988

 

 

4,563,562

 

New York — 12.8%

 

 

 

 

 

 

 

Hudson New York Yards Infrastructure
Corp., RB, Senior Series A, 5.75%,
2/15/47

 

 

3,130

 

 

3,536,633

 

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

 

 

16,393

 

 

19,068,232

 

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

 

 

3,074

 

 

3,539,579

 

New York Liberty Development Corp.,
RB, 1 World Trade Center Port
Authority Construction, 5.25%,
12/15/43

 

 

20,865

 

 

23,703,266

 

New York Liberty Development Corp.,
Refunding RB, 4 World Trade Center
Project, 5.75%, 11/15/51

 

 

12,610

 

 

14,349,297

 

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

 

 

16,708

 

 

18,133,419

 

 

 

 

 

 

 

82,330,426

 

Texas — 1.2%

 

 

 

 

 

 

 

Metropolitan Transit Authority of Harris
County Texas, RB, Series A, 5.00%,
11/01/41

 

 

6,650

 

 

7,514,566

 

Virginia — 1.9%

 

 

 

 

 

 

 

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

 

 

10,767

 

 

11,974,603

 

 

 

 

 

 

 

 

 

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

 

Par
(000)

 

Value

 

Washington — 3.5%

 

 

 

 

 

 

 

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

 

$

5,459

 

$

6,052,730

 

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

 

 

14,487

 

 

16,382,829

 

 

 

 

 

 

 

22,435,559

 

Total Municipal Bonds Transferred to Tender Option
Bond (TOB) Trusts – 38.7%

 

 

 

 

 

248,495,189

 

Total Long-Term Investments
(Cost – $960,772,519) – 157.8%

 

 

 

 

 

1,012,561,138

 

 

 

 

 

 

 

 

 

 

Short-Term Securities

 

 

 

 

 

 

 

Michigan — 1.0%

 

 

 

 

 

 

 

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

 

 

6,375

 

 

6,375,000

 

 

 

 

 

 

 

 

 

 

 

Shares

 

 

 

 

Money Market Funds – 2.0%

 

 

 

 

 

 

 

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

 

 

12,998,977

 

 

12,998,977

 

Total Short-Term Securities
(Cost – $19,373,977) – 3.0%

 

 

 

 

 

19,373,977

 

Total Investments (Cost - $980,146,496*) 160.8%

 

 

 

 

 

1,031,935,115

 

Other Assets Less Liabilities – 1.9%

 

 

 

 

 

12,106,549

 

Liability for TOB Trust Certificates, Including Interest
Expense and Fees Payable – (20.5)%

 

 

 

 

 

(131,394,644

)

AMPS, at Redemption Value – (42.2)%

 

 

 

 

 

(270,800,043

)

Net Assets Applicable to Common Shares – 100.0%

 

 

 

 

$

641,846,977

 

 

 


*


As of January 31, 2012, gross unrealized appreciation and gross unrealized depreciation based on cost for federal income tax purposes were as follows:

 

 

 

 

 

 

 

 

Tax cost

 

 

 

 

$

847,527,353

 

Gross unrealized appreciation

 

 

 

 

$

75,584,383

 

Gross unrealized depreciation

 

 

 

 

 

(22,527,624

)

Net unrealized appreciation

 

 

 

 

$

53,056,759

 

 

 

(a)

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

 

 

(b)

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

 

 

(c)

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

 

 

(d)

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


 

 

 

 

 

 

 

 

 

BLACKROCK MUNICIPAL INCOME TRUST

JANUARY 31, 2012

6


 

 

 

 

Schedule of Investments (concluded)

BlackRock Municipal Income Trust (BFK)


 

 

(e)

Non-income producing security.

 

 

(f)

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

 

 

(g)

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

 

 

(h)

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

 

 

(i)

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

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Affiliate

 

Shares
Held at
April 30, 2011

 

Net
Activity

 

Shares
Held at
January 31,
2012

 

Income

 

FFI Institutional Tax-Exempt Fund

 

 

30,616,864

 

 

(17,617,887

)

 

12,998,977

 

$

4,970

 

 

 

(j)

Represents the current yield as of report date.

 

 

Portfolio Abbreviations

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

 

 

AGC

Assured Guaranty Corp.

AGM

Assured Guaranty Municipal Corp.

AMBAC

American Municipal Bond Assurance Corp.

AMT

Alternative Minimum Tax (subject to)

CAB

Capital Appreciation Bonds

EDA

Economic Development Authority

EDC

Economic Development Corp.

ERB

Education Revenue Bonds

GO

General Obligation Bonds

NPFGC

National Public Finance Guarantee Corp.

RB

Revenue Bonds

SAN

State Aid Notes

 

 

•

Financial futures contracts sold as of January 31, 2012 were as follows:

 

 

 

 

 

 

 

 

 

 

 

Contracts

Issue

Exchange

Expiration

 

Notional
Value

 

Unrealized
Depreciation

 

143

10-Year US Treasury Note

Chicago Board of Trade

March 2012

 

$

18,911,750

 

$

(250,522

)

 

 

 

•

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

 

 

 

•

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

 

 

 

 

•

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

 

 

 

 

•

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

Changes in valuation techniques may result in transfers in or out of an assigned level within the disclosure hierarchy. The categorization of a value determined for investments and derivative financial instruments is based on the pricing transparency of the investment and derivative financial instrument and does not necessarily correspond to the Trust’s perceived risk of investing in those securities. For information about the Trust’s policy regarding valuation of investments and derivative financial instruments and other significant accounting policies, please refer to the Trust’s most recent financial statements as contained in its semi-annual report.

The following tables summarize the inputs used as of January 31, 2012 in determining the fair valuation of the Trust’s investments and derivative financial instruments:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Valuation Inputs

 

Level 1

 

Level 2

 

Level 3

 

Total

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

Investments:

 

 

 

 

 

 

 

 

 

 

 

 

 

Long-Term Investments1

 

 

—

 

$

1,012,561,138

 

 

—

 

$

1,012,561,138

 

Short-Term Securities

 

$

12,998,977

 

 

6,375,000

 

 

—

 

 

19,373,977

 

Total

 

$

12,998,977

 

$

1,018,936,138

 

 

—

 

$

1,031,935,115

 

 

 

 

 

1

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


 

 

 

 

 

 

 

 

 

 

 

 

 

 

Valuation Inputs

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

Derivative Financial Instruments2

 

 

 

 

 

 

 

 

 

 

 

 

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate contracts

 

$

(250,522

)

 

—

 

 

—

 

$

(250,522

)

 

 

 

 

2

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


 

 

 

 

 

 

 

 

 

BLACKROCK MUNICIPAL INCOME TRUST

JANUARY 31, 2012

7

Item 2 –

Controls and Procedures

 

 

2(a) –

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

 

 

2(b) –

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

 

 

Item 3 –

Exhibits

 

 

 

Certifications – Attached hereto

 

 

 

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

 

 

 

BlackRock Municipal Income Trust
   
  By: /s/ John M. Perlowski  
    John M. Perlowski
    Chief Executive Officer (principal executive officer) of
    BlackRock Municipal Income Trust
   
  Date: March 23, 2012
   
  Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
   
  By: /s/ John M. Perlowski  
    John M. Perlowski
    Chief Executive Officer (principal executive officer) of
    BlackRock Municipal Income Trust
   
  Date: March 23, 2012
   
  By: /s/ Neal J. Andrews  
    Neal J. Andrews
    Chief Financial Officer (principal financial officer) of
    BlackRock Municipal Income Trust
     
  Date: March 23, 2012