Eaton Vance Municipal Bond Fund

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

 

Form N-Q

 

 

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED

MANAGEMENT INVESTMENT COMPANIES

811-21142

Investment Company Act File Number

 

 

Eaton Vance Municipal Bond Fund

(Exact Name of Registrant as Specified in Charter)

 

 

Two International Place, Boston, Massachusetts 02110

(Address of Principal Executive Offices)

 

 

Maureen A. Gemma

Two International Place, Boston, Massachusetts 02110

(Name and Address of Agent for Services)

 

 

(617) 482-8260

(Registrant’s Telephone Number, Including Area Code)

September 30

Date of Fiscal Year End

June 30, 2012

Date of Reporting Period

 

 

 

Item 1. Schedule of Investments

Eaton Vance

Municipal Bond Fund

June 30, 2012

PORTFOLIO OF INVESTMENTS (Unaudited)

Tax-Exempt Investments — 159.7%

 

                                                 
Security    Principal
Amount
(000’s omitted)		      Value  

Education — 15.4%

      

California Educational Facilities Authority, (University of Southern California),
5.25%, 10/1/38(1)

    $ 9,750       $ 11,315,460   

Connecticut Health and Educational Facilities Authority, (Wesleyan University),
5.00%, 7/1/39(1)

      14,700         16,298,331   

Houston, TX, Higher Education Finance Corp., (William Marsh Rice University),
5.00%, 5/15/35(1)

      15,000         17,220,900   

Massachusetts Health and Educational Facilities Authority, (Boston College),
5.50%, 6/1/27

      5,810         7,602,675   

Massachusetts Health and Educational Facilities Authority, (Boston College),
5.50%, 6/1/30

      8,325         10,820,918   

Massachusetts Health and Educational Facilities Authority, (Harvard University),
5.00%, 10/1/38(1)

      2,000         2,293,880   

Massachusetts Health and Educational Facilities Authority, (Harvard University),
5.50%, 11/15/36

      8,790         10,579,556   

New York Dormitory Authority, (Rockefeller University), 5.00%, 7/1/40(1)

      15,300         17,205,003   

New York Dormitory Authority, (State University Educational Facilities), 4.00%, 5/15/28

      8,025         8,484,592   

North Carolina Capital Facilities Finance Agency, (Duke University), 5.00%, 10/1/38(1)

      13,500         15,322,230   

Tennessee School Bond Authority, 5.50%, 5/1/38

      5,000         5,844,050   

University of California, 5.25%, 5/15/39

      4,450         5,019,289   

University of Colorado, (University Enterprise Revenue), 5.25%, 6/1/36(1)

      10,000         11,567,300   

University of North Carolina at Charlotte, 5.00%, 4/1/32

      2,090         2,415,329   
     

 

 

  
      $ 141,989,513   
     

 

 

  

Electric Utilities — 1.3%

      

South Carolina Public Service Authority, (Santee Cooper), 5.50%, 1/1/38

    $ 7,110       $ 8,133,129   

Wyandotte County/Kansas City, KS, Unified Government Board of Public Utilities, 5.00%, 9/1/36

      3,425         3,778,289   
     

 

 

  
      $ 11,911,418   
     

 

 

  

General Obligations — 15.7%

      

Chicago Park District, IL, (Harbor Facilities), 5.25%, 1/1/37(1)

    $ 8,320       $ 9,205,747   

City & County of San Francisco, CA, (Earthquake Safety & Emergency Response), 4.00%, 6/15/27

      9,080         9,547,711   

Delaware Valley, PA, Regional Finance Authority, 5.75%, 7/1/32

      3,000         3,564,000   

Florida Board of Education, 5.00%, 6/1/31

      10,000         11,576,400   

Frisco, TX, Independent School District, (PSF Guaranteed), 5.00%, 8/15/37

      6,465         7,349,412   

Georgia, 5.00%, 7/1/29

      10,000         11,991,400   

Hawaii, 5.00%, 12/1/29

      7,620         9,003,259   

Hawaii, 5.00%, 12/1/30

      6,500         7,621,120   

Klein, TX, Independent School District, (PSF Guaranteed), 5.00%, 2/1/36(1)

      2,000         2,267,620   

Mississippi, (Capital Improvements Projects), 5.00%, 10/1/30(1)

      10,000         11,698,000   

New York, 5.00%, 12/15/30

      7,660         8,951,476   

New York, 5.00%, 2/15/36

      5,000         5,635,500   

North East Independent School District, TX, (PSF Guaranteed), 5.25%, 2/1/28

      2,000         2,590,420   

Northside Independent School District, TX, (PSF Guaranteed), 5.00%, 6/15/35

      180         201,011   

Northside Independent School District, TX, (PSF Guaranteed), 5.00%, 6/15/35(1)

      12,250         13,679,942   

 

1

 

 

                                                 
Security    Principal
Amount
(000’s omitted)		      Value  

Oregon, 5.00%, 8/1/35(1)

    $ 6,750       $ 7,750,215   

Oregon, 5.00%, 8/1/36

      2,000         2,296,360   

Pasadena, TX, Independent School District, (PSF Guaranteed), 5.00%, 2/15/35

      4,355         5,013,607   

Port of Houston Authority of Harris County, TX, 5.00%, 10/1/35

      7,500         8,657,550   

Virginia Beach, VA, 4.00%, 4/1/27

      2,770         3,050,213   

Virginia Beach, VA, 4.00%, 4/1/28

      2,820         3,088,126   
     

 

 

  
      $ 144,739,089   
     

 

 

  

Hospital — 7.2%

      

California Health Facilities Financing Authority, (Catholic Healthcare West),
5.25%, 3/1/27

    $ 1,000       $ 1,122,160   

California Health Facilities Financing Authority, (Catholic Healthcare West),
5.25%, 3/1/28

      1,770         1,973,939   

California Health Facilities Financing Authority, (Cedars-Sinai Medical Center),
5.00%, 8/15/39

      11,760         12,584,141   

California Statewide Communities Development Authority, (John Muir Health),
5.00%, 8/15/36(2)

      4,215         4,425,286   

Camden County, NJ, Improvement Authority, (Cooper Health System), 5.00%, 2/15/35

      2,610         2,659,694   

Camden County, NJ, Improvement Authority, (Cooper Health System), 5.25%, 2/15/27

      860         891,605   

Camden County, NJ, Improvement Authority, (Cooper Health System), 5.75%, 2/15/34

      4,535         4,610,326   

Hawaii Department of Budget and Finance, (Hawaii Pacific Health), 5.60%, 7/1/33

      3,900         3,948,633   

Highlands County, FL, Health Facilities Authority, (Adventist Health System),
5.25%, 11/15/36

      7,190         7,608,027   

Knox County, TN, Health, Educational and Housing Facilities Board, (Covenant Health), 0.00%, 1/1/38

      8,310         2,317,991   

Knox County, TN, Health, Educational and Housing Facilities Board, (Covenant Health), 0.00%, 1/1/41

      10,000         2,370,600   

Lehigh County, PA, General Purpose Authority, (Lehigh Valley Health Network),
5.25%, 7/1/32

      8,165         8,362,185   

Michigan Hospital Finance Authority, (Henry Ford Health System), 5.25%, 11/15/46

      5,355         5,595,547   

South Miami, FL, Health Facilities Authority, (Baptist Health), 5.00%, 8/15/42

      100         105,658   

South Miami, FL, Health Facilities Authority, (Baptist Health), 5.00%, 8/15/42(1)

      900         950,922   

Tarrant County, TX, Cultural Education Facilities Finance Corp., (Scott & White Healthcare), 5.25%, 8/15/40

      6,105         6,574,902   
     

 

 

  
      $ 66,101,616   
     

 

 

  

Industrial Development Revenue — 0.6%

      

St. Charles Parish, LA, (Valero Energy Corp.), 4.00% to 6/1/22 (Put Date), 12/1/40

    $ 1,000       $ 1,034,200   

St. John Baptist Parish, LA, (Marathon Oil Corp.), 5.125%, 6/1/37

      4,370         4,577,619   
     

 

 

  
      $ 5,611,819   
     

 

 

  

Insured-Electric Utilities — 3.6%

      

American Municipal Power-Ohio, Inc., OH, (Prairie State Energy Campus), (AGC), 5.75%, 2/15/39

    $ 5,000       $ 5,652,200   

Long Island, NY, Power Authority, (BHAC), 5.50%, 5/1/33

      1,350         1,558,575   

Mississippi Development Bank, (Municipal Energy), (XLCA), 5.00%, 3/1/41

      13,895         14,033,255   

Paducah, KY, Electric Plant Board, (AGC), 5.25%, 10/1/35

      2,735         2,987,058   

South Carolina Public Service Authority, (Santee Cooper), (BHAC), 5.50%, 1/1/38

      7,840         8,968,176   
     

 

 

  
      $ 33,199,264   
     

 

 

  

Insured-Education — 3.0%

      

Massachusetts Development Finance Agency, (College of the Holy Cross), (AMBAC), 5.25%, 9/1/32

    $ 14,400       $ 18,623,664   

Miami-Dade County, FL, Educational Facilities Authority, (University of Miami), (AMBAC), (BHAC), 5.00%, 4/1/31

      7,865         8,728,105   
     

 

 

  
      $ 27,351,769   
     

 

 

  

 

2

 

 

                                                 
Security    Principal
Amount
(000’s omitted)		      Value  

Insured-General Obligations — 11.8%

      

Cincinnati, OH, City School District, (AGM), (FGIC), 5.25%, 12/1/30

    $ 3,750       $ 4,828,913   

Clark County, NV, (AMBAC), 2.50%, 11/1/36

      11,845         9,120,176   

Frisco, TX, Independent School District, (AGM), (PSF Guaranteed), 2.75%, 8/15/39

      9,530         8,337,702   

Frisco, TX, Independent School District, (AGM), (PSF Guaranteed), 4.00%, 8/15/40

      1,010         1,022,049   

Kane, Cook and DuPage Counties, IL, School District No. 46, (AMBAC), 0.00%, 1/1/22

      49,750         35,789,652   

King County, WA, Public Hospital District No. 1, (AGC), 5.00%, 12/1/37(1)

      7,000         7,481,740   

Palm Springs, CA, Unified School District, (AGC), 5.00%, 8/1/32

      8,955         10,027,093   

Port Arthur, TX, Independent School District, (AGC), 4.75%, 2/15/38

      95         101,792   

Port Arthur, TX, Independent School District, (AGC), 4.75%, 2/15/38(1)

      10,950         11,732,815   

Schaumburg, IL, (BHAC), (FGIC), 5.00%, 12/1/38(1)

      12,750         13,573,140   

Yuma and La Paz Counties, AZ, Community College District, (Arizona Western College), (NPFG), 3.75%, 7/1/31

      7,015         7,107,528   
     

 

 

  
      $ 109,122,600   
     

 

 

  

Insured-Hospital — 17.0%

      

Arizona Health Facilities Authority, (Banner Health), (BHAC), 5.375%, 1/1/32

    $ 8,250       $ 8,968,987   

California Statewide Communities Development Authority, (Sutter Health), (AGM), 5.05%, 8/15/38(1)

      11,000         11,772,860   

Centre County, PA, Hospital Authority, (Mount Nittany Medical Center), (AGC),
6.125%, 11/15/39

      3,950         4,142,602   

Centre County, PA, Hospital Authority, (Mount Nittany Medical Center), (AGC),
6.25%, 11/15/44

      1,050         1,102,658   

Colorado Health Facilities Authority, (Catholic Health), (AGM), 5.10%, 10/1/41(1)

      11,500         12,112,030   

Highlands County, FL, Health Facilities Authority, (Adventist Health System), (BHAC), 5.25%, 11/15/36(1)

      15,500         17,128,585   

Highlands County, FL, Health Facilities Authority, (Adventist Health System), (NPFG), 5.00%, 11/15/35

      3,795         3,956,895   

Illinois Finance Authority, (Children’s Memorial Hospital), (AGC), 5.25%, 8/15/47(1)

      15,000         15,840,000   

Indiana Health and Educational Facility Finance Authority, (Sisters of St. Francis Health Services), (AGM), 5.25%, 5/15/41(1)

      2,500         2,645,800   

Iowa Finance Authority, Health Facilities, (Iowa Health System), (AGC),
5.625%, 8/15/37

      2,625         2,932,834   

Maricopa County, AZ, Industrial Development Authority, (Catholic Healthcare West), (BHAC), 5.25%, 7/1/32

      1,675         1,884,325   

Maryland Health and Higher Educational Facilities Authority, (LifeBridge Health), (AGC), 4.75%, 7/1/47(1)

      19,150         19,584,513   

New Jersey Health Care Facilities Financing Authority, (Hackensack University Medical Center), (AGC), 5.25%, 1/1/36(1)

      5,250         5,599,440   

New Jersey Health Care Facilities Financing Authority, (Meridian Health System), Series II, (AGC), 5.00%, 7/1/38

      545         575,182   

New Jersey Health Care Facilities Financing Authority, (Meridian Health System), Series V, (AGC), 5.00%, 7/1/38

      230         242,737   

New Jersey Health Care Facilities Financing Authority, (Meridian Health System), Series V, (AGC), 5.00%, 7/1/38(1)

      3,430         3,619,954   

New Jersey Health Care Facilities Financing Authority, (Virtua Health), (AGC),
5.50%, 7/1/38

      13,115         14,361,056   

Washington Health Care Facilities Authority, (MultiCare Health System), (AGC),
6.00%, 8/15/39

      5,795         6,591,581   

Washington Health Care Facilities Authority, (Providence Health Care), Series C, (AGM), 5.25%, 10/1/33(1)

      8,700         9,471,341   

Washington Health Care Facilities Authority, (Providence Health Care), Series D, (AGM), 5.25%, 10/1/33(1)

      12,605         13,713,735   
     

 

 

  
      $ 156,247,115   
     

 

 

  

 

3

 

 

                                                 
Security    Principal
Amount
(000’s omitted)		      Value  

Insured-Industrial Development Revenue — 1.1%

      

Pennsylvania Economic Development Financing Authority, (Aqua Pennsylvania, Inc. Project), (BHAC), 5.00%, 10/1/39(1)

    $ 9,000       $ 9,909,450   
     

 

 

  
      $ 9,909,450   
     

 

 

  

Insured-Lease Revenue/Certificates of Participation — 9.4%

      

New Jersey Economic Development Authority, (School Facilities Construction), (AGC), 5.50%, 12/15/34

    $ 2,910       $ 3,287,863   

San Diego County, CA, Water Authority, Certificates of Participation, (AGM),
5.00%, 5/1/38(1)

      24,000         25,970,880   

San Jose, CA, Financing Authority, (Civic Center), (AMBAC), (BHAC), 5.00%, 6/1/37(1)

      42,750         42,865,425   

Tri-Creek Middle School Building Corp., IN, (AGM), 5.25%, 1/15/34(1)

      13,000         14,078,610   
     

 

 

  
      $ 86,202,778   
     

 

 

  

Insured-Other Revenue — 4.2%

      

Golden State Tobacco Securitization Corp., CA, (AGC), 5.00%, 6/1/45(1)

    $ 25,875       $ 26,320,309   

Harris County-Houston, TX, Sports Authority, (NPFG), 0.00%, 11/15/34

      16,795         4,604,853   

New York, NY, Industrial Development Agency, (Yankee Stadium), (AGC),
7.00%, 3/1/49

      6,750         8,022,915   
     

 

 

  
      $ 38,948,077   
     

 

 

  

Insured-Solid Waste — 0.5%

      

Palm Beach County, FL, Solid Waste Authority, (BHAC), 5.00%, 10/1/24

    $ 2,760       $ 3,228,538   

Palm Beach County, FL, Solid Waste Authority, (BHAC), 5.00%, 10/1/26

      1,575         1,815,880   
     

 

 

  
      $ 5,044,418   
     

 

 

  

Insured-Special Tax Revenue — 7.5%

      

Alabama Public School and College Authority, (AGM), 2.50%, 12/1/27

    $ 17,940       $ 16,851,580   

Houston, TX, Hotel Occupancy Tax, (AMBAC), 0.00%, 9/1/24

      18,035         10,527,210   

Jacksonville, FL, Excise Tax, (FGIC), (NPFG), 5.125%, 10/1/27

      1,175         1,186,433   

Miami-Dade County, FL, Professional Sports Franchise Facilities, (AGC),
7.00%, (0.00% until 10/1/19), 10/1/39

      15,000         12,079,650   

Puerto Rico Sales Tax Financing Corp., (AMBAC), 0.00%, 8/1/54

      96,650         8,183,356   

Puerto Rico Sales Tax Financing Corp., (NPFG), 0.00%, 8/1/45

      54,710         8,217,989   

Utah Transportation Authority, Sales Tax Revenue, (AGM), 4.75%, 6/15/32(1)

      10,800         11,753,747   
     

 

 

  
      $ 68,799,965   
     

 

 

  

Insured-Student Loan — 1.1%

      

Maine Educational Loan Authority, (AGC), 5.625%, 12/1/27

    $ 8,755       $ 9,772,856   
     

 

 

  
      $ 9,772,856   
     

 

 

  

Insured-Transportation — 20.8%

      

Chicago, IL, (O’Hare International Airport), (AGM), 4.75%, 1/1/34(1)

    $ 21,640       $ 22,570,736   

Clark County, NV, (Las Vegas-McCarran International Airport), (AGM), 5.25%, 7/1/39

      8,080         8,896,969   

Director of the State of Nevada Department of Business and Industry, (Las Vegas Monorail), (AMBAC), 0.00%, 1/1/23(3)

      10,070         903,279   

Director of the State of Nevada Department of Business and Industry, (Las Vegas Monorail), (AMBAC), 0.00%, 1/1/28(3)

      3,100         185,070   

Director of the State of Nevada Department of Business and Industry, (Las Vegas Monorail), (AMBAC), 5.375%, 1/1/40(3)

      15,000         3,178,500   

E-470 Public Highway Authority, CO, (NPFG), 0.00%, 9/1/21

      10,200         6,878,472   

E-470 Public Highway Authority, CO, (NPFG), 0.00%, 9/1/39

      25,000         4,925,000   

Harris County, TX, Toll Road, Senior Lien, (BHAC), (NPFG), 5.00%, 8/15/33(1)

      7,800         8,867,586   

Manchester, NH, (Manchester-Boston Regional Airport), (AGM), 5.125%, 1/1/30

      6,710         7,296,722   

Maryland Transportation Authority, (AGM), 5.00%, 7/1/35(1)

      20,995         23,147,395   

 

4

 

 

                                                 
Security    Principal
Amount
(000’s omitted)		      Value  

Maryland Transportation Authority, (AGM), 5.00%, 7/1/36(1)

    $ 14,000       $ 15,395,100   

Metropolitan Washington, D.C., Airports Authority, (BHAC), 5.00%, 10/1/29

      1,785         1,979,904   

New Jersey Transportation Trust Fund Authority, (AGC), 5.50%, 12/15/38

      11,700         13,117,923   

North Carolina Turnpike Authority, (Triangle Expressway System), (AGC),
5.50%, 1/1/29

      1,015         1,140,038   

North Carolina Turnpike Authority, (Triangle Expressway System), (AGC),
5.75%, 1/1/39

      1,160         1,304,571   

North Texas Tollway Authority, (BHAC), 5.75%, 1/1/48(1)

      20,000         22,609,600   

Port Authority of New York and New Jersey, (AGM), 5.00%, 8/15/26(1)

      10,000         11,071,500   

Port Palm Beach District, FL, (XLCA), 0.00%, 9/1/24

      1,605         766,018   

Port Palm Beach District, FL, (XLCA), 0.00%, 9/1/25

      1,950         864,689   

Port Palm Beach District, FL, (XLCA), 0.00%, 9/1/26

      1,000         410,800   

San Joaquin Hills, CA, Transportation Corridor Agency, (Toll Road Bonds), (NPFG), 0.00%, 1/15/25

      26,215         12,889,653   

Texas Turnpike Authority, (AMBAC), 0.00%, 8/15/20

      23,845         17,932,394   

Texas Turnpike Authority, (Central Texas Turnpike System), (AMBAC), 5.00%, 8/15/42

      5,475         5,475,000   
     

 

 

  
      $ 191,806,919   
     

 

 

  

Insured-Water and Sewer — 15.1%

      

Austin, TX, Water and Wastewater, (AGM), (BHAC), 5.00%, 11/15/33(1)

    $ 2,000       $ 2,255,180   

Bossier City, LA, Utilities Revenue, (BHAC), 5.25%, 10/1/26

      3,185         3,605,961   

Bossier City, LA, Utilities Revenue, (BHAC), 5.25%, 10/1/27

      1,985         2,240,092   

Bossier City, LA, Utilities Revenue, (BHAC), 5.50%, 10/1/38

      3,170         3,484,940   

Chicago, IL, Wastewater Transmission Revenue, (BHAC), 5.50%, 1/1/38

      3,060         3,366,459   

Chicago, IL, Wastewater Transmission Revenue, (NPFG), 0.00%, 1/1/23

      13,670         9,171,750   

DeKalb County, GA, Water and Sewer, (AGM), 5.25%, 10/1/32(1)

      10,000         12,006,600   

District of Columbia Water and Sewer Authority, (AGC), 5.00%, 10/1/34(1)

      8,500         9,373,460   

Houston, TX, Utility System, (AGM), (BHAC), 5.00%, 11/15/33(1)

      27,570         31,158,228   

Massachusetts Water Resources Authority, (AGM), 5.25%, 8/1/32

      5,540         7,160,284   

Massachusetts Water Resources Authority, (AGM), 5.25%, 8/1/38

      1,070         1,398,426   

Massachusetts Water Resources Authority, (AMBAC), (BHAC), 4.00%, 8/1/40

      9,095         9,175,036   

New York, NY, Municipal Water Finance Authority, (BHAC), 5.75%, 6/15/40(1)

      9,500         11,448,070   

San Luis Obispo County, CA, (Nacimiento Water Project), (NPFG), 4.50%, 9/1/40

      3,535         3,615,845   

Seattle, WA, Drain and Wastewater Revenue, (AGM), 5.00%, 6/1/38(1)

      27,670         30,033,847   
     

 

 

  
      $ 139,494,178   
     

 

 

  

Lease Revenue/Certificates of Participation — 1.6%

      

Hudson Yards Infrastructure Corp., NY, 5.75%, 2/15/47

    $ 2,565       $ 2,951,264   

North Carolina, Capital Improvement Limited Obligation, 5.00%, 5/1/30

      10,335         11,959,455   
     

 

 

  
      $ 14,910,719   
     

 

 

  

Other Revenue — 2.5%

      

New York, NY, Transitional Finance Authority, Building Aid Revenue, 5.00%, 7/15/36(1)

    $ 10,750       $ 12,039,355   

Oregon Department of Administrative Services, Lottery Revenue, 5.25%, 4/1/30

      9,200         11,006,144   
     

 

 

  
      $ 23,045,499   
     

 

 

  

Special Tax Revenue — 2.8%

      

Michigan Trunk Line Fund, 5.00%, 11/15/30

    $ 1,390       $ 1,596,735   

Michigan Trunk Line Fund, 5.00%, 11/15/31

      1,500         1,717,860   

Michigan Trunk Line Fund, 5.00%, 11/15/33

      1,285         1,459,362   

Michigan Trunk Line Fund, 5.00%, 11/15/36

      1,020         1,154,007   

New York Dormitory Authority, Personal Income Tax Revenue, 5.00%, 12/15/32

      7,180         8,303,885   

New York Urban Development Corp., Personal Income Tax Revenue, 5.00%, 3/15/31

      10,000         11,378,900   
     

 

 

  
      $ 25,610,749   
     

 

 

  

 

5

 

 

                                                 
Security    Principal
Amount
(000’s omitted)		      Value  

Senior Living/Life Care — 0.1%

      

Maryland Health and Higher Educational Facilities Authority, (Charlestown Community, Inc.), 6.125%, 1/1/30

    $ 1,175       $ 1,326,857   
     

 

 

  
      $ 1,326,857   
     

 

 

  

Transportation — 9.6%

      

Delaware River Port Authority of Pennsylvania and New Jersey, 5.00%, 1/1/35

    $ 8,275       $ 8,982,843   

Los Angeles, CA, Department of Airports, (Los Angeles International Airport),
5.25%, 5/15/28

      3,285         3,813,786   

Metropolitan Transportation Authority, NY, 5.25%, 11/15/38

      4,640         5,219,026   

Metropolitan Transportation Authority, NY, 5.25%, 11/15/40

      6,735         7,473,156   

Miami-Dade County, FL, (Miami International Airport), 5.00%, 10/1/41

      10,940         11,753,827   

New Jersey Transportation Trust Fund Authority, (Transportation System),
5.00%, 12/15/24

      10,000         12,005,300   

New York Thruway Authority, 5.00%, 1/1/37(4)

      1,275         1,396,648   

New York Thruway Authority, 5.00%, 1/1/42(4)

      1,385         1,505,606   

Orlando-Orange County, FL, Expressway Authority, 5.00%, 7/1/35

      2,915         3,184,987   

Orlando-Orange County, FL, Expressway Authority, 5.00%, 7/1/40

      2,590         2,813,051   

Pennsylvania Turnpike Commission, 6.00%, (0.00% until 12/1/15), 12/1/34

      5,000         4,687,250   

Port Authority of New York and New Jersey, 4.00%, 7/15/32

      9,670         9,999,747   

Port Authority of New York and New Jersey, 4.75%, 7/15/31

      4,300         4,701,921   

Port Authority of New York and New Jersey, 5.00%, 7/15/39

      5,000         5,575,600   

Triborough Bridge and Tunnel Authority, NY, 5.00%, 11/15/33

      5,000         5,593,650   
     

 

 

  
      $ 88,706,398   
     

 

 

  

Water and Sewer — 7.8%

      

California Department of Water Resources, (Central Valley Project), 5.25%, 12/1/35(1)

    $ 10,000       $ 11,724,300   

Charleston, SC, Waterworks and Sewer Revenue, 5.00%, 1/1/35

      2,735         3,146,262   

Chicago, IL, Water Revenue, 5.00%, 11/1/42

      5,000         5,560,800   

Detroit, MI, Water and Sewerage Department, 5.00%, 7/1/32

      1,070         1,086,414   

Detroit, MI, Water and Sewerage Department, 5.25%, 7/1/39

      1,785         1,831,803   

Honolulu, HI, City and County Wastewater System, 5.25%, 7/1/36(1)

      9,750         11,315,557   

King County, WA, Sewer Revenue, 5.00%, 1/1/34(1)

      10,000         11,232,100   

Marco Island, FL, Utility System, 5.00%, 10/1/34

      1,445         1,582,347   

Marco Island, FL, Utility System, 5.00%, 10/1/40

      6,325         6,874,516   

New York Municipal Water Finance Authority, 5.00%, 6/15/34

      10,000         11,330,100   

Portland, OR, Water System, 5.00%, 5/1/36

      5,385         6,159,309   
     

 

 

  
      $ 71,843,508   
     

 

 

  

Total Tax-Exempt Investments — 159.7%
(identified cost $1,376,562,047)

       $ 1,471,696,574   
     

 

 

  

Other Assets, Less Liabilities — (59.7)%

       $ (550,365,020 ) 
     

 

 

  

Net Assets — 100.0%

       $ 921,331,554   
     

 

 

  

 

6

 

 

The percentage shown for each investment category in the Portfolio of Investments is based on net assets.

 

AGC

   -   Assured Guaranty Corp.

AGM

   -   Assured Guaranty Municipal Corp.

AMBAC

   -   AMBAC Financial Group, Inc.

BHAC

   -   Berkshire Hathaway Assurance Corp.

FGIC

   -   Financial Guaranty Insurance Company

NPFG

   -   National Public Finance Guaranty Corp.

PSF

   -   Permanent School Fund

XLCA

   -   XL Capital Assurance, Inc.

At June 30, 2012, the concentration of the Fund’s investments in the various states and territories, determined as a percentage of total investments is as follows:

 

                        

California

      13.2 % 

Texas

      12.8 % 

New York

      10.9 % 

Others, representing less than 10% individually

      63.1 % 

The Fund invests primarily in debt securities issued by municipalities. The ability of the issuers of the debt securities to meet their obligations may be affected by economic developments in a specific industry or municipality. In order to reduce the risk associated with such economic developments, at June 30, 2012, 59.5% of total investments are backed by bond insurance of various financial institutions and financial guaranty assurance agencies. The aggregate percentage insured by an individual financial institution ranged from 1.1% to 20.7% of total investments.

 

(1) Security represents the municipal bond held by a trust that issues residual interest bonds.

 

(2) Security (or a portion thereof) has been segregated to cover payable for when-issued securities.

 

(3) Defaulted security. Issuer has defaulted on the payment of interest or has filed for bankruptcy.

 

(4) When-issued security.

A summary of open financial instruments at June 30, 2012 is as follows:

Futures Contracts

 

Expiration
Month/Year		   

Contracts

    Position    Aggregate Cost     Value     Net Unrealized
Depreciation		  
9/12    346 U.S. 30-Year Treasury Bond    Short    $     (51,006,804 )    $     (51,197,187 )    $     (190,383 ) 

At June 30, 2012, the Fund had sufficient cash and/or securities to cover commitments under these contracts.

The Fund is subject to interest rate risk in the normal course of pursuing its investment objective. Because the Fund holds fixed-rate bonds, the value of these bonds may decrease if interest rates rise. The Fund purchases and sells U.S. Treasury futures contracts to hedge against changes in interest rates.

At June 30, 2012, the aggregate fair value of open derivative instruments (not considered to be hedging instruments for accounting disclosure purposes) in a liability position and whose primary underlying risk exposure is interest rate risk was $190,383.

 

7

 

 

The cost and unrealized appreciation (depreciation) of investments of the Fund at June 30, 2012, as determined on a federal income tax basis, were as follows:

 

Aggregate cost

    $     811,436,443   
  

 

 

  

Gross unrealized appreciation

    $ 123,011,060   

Gross unrealized depreciation

      (26,700,929 ) 
  

 

 

  

Net unrealized appreciation

    $ 96,310,131   
  

 

 

  

Under generally accepted accounting principles for fair value measurements, a three-tier hierarchy to prioritize the assumptions, referred to as inputs, is used in valuation techniques to measure fair value. The three-tier hierarchy of inputs is summarized in the three broad levels listed below.

 

•  

Level 1 — quoted prices in active markets for identical investments

 

•  

Level 2 — other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, etc.)

 

•  

Level 3 — significant unobservable inputs (including a fund’s own assumptions in determining the fair value of investments)

In cases where the inputs used to measure fair value fall in different levels of the fair value hierarchy, the level disclosed is determined based on the lowest level input that is significant to the fair value measurement in its entirety. The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

At June 30, 2012, the hierarchy of inputs used in valuing the Fund’s investments and open derivative instruments, which are carried at value, were as follows:

 

Asset Description    Level 1     Level 2      Level 3      Total  

Tax-Exempt Investments

    $ —      $ 1,471,696,574       $ —       $ 1,471,696,574   

Total Investments

    $ —      $     1,471,696,574       $ —       $     1,471,696,574   
Liability Description                               

Futures Contracts

    $     (190,383 )    $ —       $ —       $ (190,383 ) 

Total

    $ (190,383 )    $ —       $ —       $ (190,383 ) 

The Fund held no investments or other financial instruments as of September 30, 2011 whose fair value was determined using Level 3 inputs. At June 30, 2012, there were no investments transferred between Level 1 and Level 2 during the fiscal year to date then ended.

For information on the Fund’s policy regarding the valuation of investments and other significant accounting policies, please refer to the Fund’s most recent financial statements included in its semiannual or annual report to shareholders.

 

8

 

 

Item 2. Controls and Procedures

(a) It is the conclusion of the registrant’s principal executive officer and principal financial officer that the effectiveness of the registrant’s current disclosure controls and procedures (such disclosure controls and procedures having been evaluated within 90 days of the date of this filing) provide reasonable assurance that the information required to be disclosed by the registrant on this Form N-Q has been recorded, processed, summarized and reported within the time period specified in the Commission’s rules and forms and that the information required to be disclosed by the registrant on this Form N-Q has been accumulated and communicated to the registrant’s principal executive officer and principal financial officer in order to allow timely decisions regarding required disclosure.

(b) There have been no changes in the registrant’s internal controls over financial reporting during the fiscal quarter for which the report is being filed that have materially affected, or are reasonably likely to materially affect the registrant’s internal control over financial reporting.

Signatures

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

 

Eaton Vance Municipal Bond Fund
By:  

/s/ Thomas M. Metzold

  Thomas M. Metzold
  President

Date: August 27, 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/ Thomas M. Metzold

  Thomas M. Metzold
  President

Date: August 27, 2012

 

By:  

/s/ Barbara E. Campbell

  Barbara E. Campbell
  Treasurer

Date: August 27, 2012