a_munioppstrust.htm
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: (811-07626)   
 
Exact name of registrant as specified in charter:  Putnam Municipal Opportunities Trust 
 
Address of principal executive offices: One Post Office Square, Boston, Massachusetts 02109 
 
Name and address of agent for service:  Beth S. Mazor, Vice President 
  One Post Office Square 
  Boston, Massachusetts 02109 
 
Copy to:    John W. Gerstmayr, Esq. 
  Ropes & Gray LLP 
  800 Boylston Street 
  Boston, Massachusetts 02199-3600 
 
Registrant’s telephone number, including area code:  (617) 292-1000 
 
Date of fiscal year end: April 30, 2011     
Date of reporting period: January 31, 2011     

 

Item 1. Schedule of Investments:


Putnam Municipal Opportunities Trust
The fund's portfolio
1/31/11 (Unaudited)

Key to holding's abbreviations
AGM -- Assured Guaranty Municipal Corporation
AGO -- Assured Guaranty, Ltd.
AMBAC -- AMBAC Indemnity Corporation
COP -- Certificates of Participation
FGIC -- Financial Guaranty Insurance Company
FNMA Coll. -- Federal National Mortgage Association Collateralized
FRB -- Floating Rate Bonds
G.O. Bonds -- General Obligation Bonds
GNMA Coll. -- Government National Mortgage Association Collateralized
NATL -- National Public Finance Guarantee Corp.
SGI -- Syncora Guarantee, Inc.
U.S. Govt. Coll. -- U.S. Government Collateralized
VRDN -- Variable Rate Demand Notes

MUNICIPAL BONDS AND NOTES (145.6%)(a)       
  Rating(RAT)  Principal amount  Value 
 
Alabama (0.4%)       
Selma, Indl. Dev. Board Rev. Bonds (Gulf Opportunity       
Zone Intl. Paper Co.), Ser. A, 5.8s, 5/1/34  BBB  $750,000  $732,165 
Sylacauga, Hlth. Care Auth. Rev. Bonds (Coosa Valley       
Med. Ctr.), Ser. A, 6s, 8/1/25  B/P  1,200,000  1,021,812 
      1,753,977 
  
Arizona (3.3%)       
Casa Grande, Indl. Dev. Auth. Rev. Bonds (Casa Grande       
Regl. Med. Ctr.), Ser. A, 7 5/8s, 12/1/29  B+/P  3,300,000  3,083,156 
Cochise Cnty., Indl. Dev. Auth. Rev. Bonds (Sierra       
Vista Cmnty. Hosp.), Ser. A, 6 3/4s, 12/1/26  BBB+/P  410,000  410,070 
Coconino Cnty., Poll. Control Rev. Bonds (Tucson Elec.       
Pwr. Co. - Navajo), Ser. A, 5 1/8s, 10/1/32  Baa3  1,500,000  1,302,660 
Glendale, Indl. Dev. Auth. Rev. Bonds (Midwestern U.),       
5 1/8s, 5/15/40  A-  2,125,000  1,866,494 
Marana, Impt. Dist. Special Assmt. Bonds (Tangerine       
Farms Road), 4.6s, 1/1/26  A2  1,859,000  1,707,938 
Maricopa Cnty., Poll. Control Rev. Bonds (El Paso       
Elec. Co.), Ser. A, 7 1/4s, 2/1/40  Baa2  2,400,000  2,623,320 
Phoenix, Civic Impt. Corp. Arpt. Rev. Bonds, Ser. A,       
5s, 7/1/40  A1  1,000,000  887,720 
Pima Cnty., Indl. Dev. Auth. Rev. Bonds       
(Tucson Elec. Pwr. Co.), 5 3/4s, 9/1/29  Baa3  800,000  782,992 
(Horizon Cmnty. Learning Ctr.), 5.05s, 6/1/25  BBB  1,550,000  1,289,026 
Tempe, Indl. Dev. Auth. Lease Rev. Bonds (ASU       
Foundation), AMBAC, 5s, 7/1/28  AA/P  500,000  449,405 
U. Med. Ctr. Corp. AZ Hosp. Rev. Bonds, 6 1/2s, 7/1/39  Baa1  1,000,000  1,034,580 
      15,437,361 
  
California (24.6%)       
ABC Unified School Dist. G.O. Bonds, Ser. B, FGIC,       
zero %, 8/1/20  A1  1,500,000  898,605 
Burbank, Unified School Dist. G.O. Bonds (Election       
of 1997), Ser. C, FGIC, zero %, 8/1/23  A+  1,000,000  471,430 
CA Edl. Fac. Auth. Rev. Bonds       
(Claremont Graduate U.), Ser. A, 5s, 3/1/42  A3  2,000,000  1,599,960 
(U. of the Pacific), 5s, 11/1/21  A2  1,500,000  1,563,495 
(Loyola-Marymount U.), NATL, zero %, 10/1/21  A2  1,300,000  698,672 
CA Hlth. Fac. Fin. Auth. Rev. Bonds       
(Sutter Hlth.), Ser. A, NATL, 5 3/8s, 8/15/30  Aa3  2,500,000  2,351,674 
AMBAC, 5.293s, 7/1/17  A2  2,400,000  2,406,000 
CA Hsg. Fin. Agcy. Rev. Bonds (Home Mtge.)       
Ser. E, 4.8s, 8/1/37  A  5,000,000  4,021,550 
Ser. K, 4 5/8s, 8/1/26  A  10,000,000  8,616,200 
CA Muni. Fin. Auth. COP (Cmnty. Hosp. Central CA),       
5 1/4s, 2/1/37  Baa2  1,800,000  1,441,530 
CA Muni. Fin. Auth. Rev. Bonds (Eisenhower Med. Ctr.),       
Ser. A, 5 3/4s, 7/1/40  Baa1  1,000,000  902,130 
CA Poll. Control Fin. Auth. Rev. Bonds       
(San Jose Wtr. Co.), 5.1s, 6/1/40  A  3,500,000  3,054,414 
(Pacific Gas & Electric Corp.), Class D, FGIC, 4 3/4s,       
12/1/23  A3  2,500,000  2,361,475 
CA Poll. Control Fin. Auth. Solid Waste Disp. FRB       
(Waste Management, Inc.), Ser. C, 5 1/8s, 11/1/23  BBB  850,000  843,260 
CA Poll. Control Fin. Auth. Wtr. Fac. Rev. Bonds       
(American Wtr. Cap. Corp.), 5 1/4s, 8/1/40  BBB+  1,000,000  925,380 
CA State G.O. Bonds       
6 1/2s, 4/1/33  A1  12,000,000  12,706,680 
5 1/2s, 3/1/40  A1  7,450,000  7,067,368 
5s, 10/1/29  A1  4,000,000  3,702,200 
CA State Pub. Wks. Board Rev. Bonds       
Ser. I-1, 6 1/8s, 11/1/29  A2  1,000,000  1,004,920 
Ser. A-1, 6s, 3/1/35  A2  1,600,000  1,564,064 
CA Statewide Cmnty. Dev. Auth. COP (The Internext       
Group), 5 3/8s, 4/1/30  BBB  5,250,000  4,366,478 
CA Statewide Cmnty. Dev. Auth. Rev. Bonds       
(Irvine LLC-UCI East Campus), 6s, 5/15/40  Baa2  2,000,000  1,902,120 
(Sutter Hlth.), Ser. A, 5s, 11/15/43  Aa3  2,485,000  2,069,906 
Cathedral City, Impt. Board Act of 1915 Special Assmt.       
Bonds (Cove Impt. Dist.), Ser. 04-02, 5.05s, 9/2/35  BBB-/P  775,000  610,964 

 


Chula Vista COP, NATL, 5s, 8/1/32  A1  4,000,000  3,325,440 
Chula Vista, Indl. Dev. Rev. Bonds (San Diego Gas),       
Ser. B, 5s, 12/1/27  Aa3  1,915,000  1,843,168 
Foothill/Eastern Corridor Agcy. Rev. Bonds, Ser. A,       
zero %, 1/1/28 (Escrowed to maturity)  Aaa  20,000,000  8,806,000 
Golden State Tobacco Securitization Corp. Rev. Bonds       
Ser. 03 A-1, 6 1/4s, 6/1/33  Aaa  810,000  880,130 
Ser. A-1, 5s, 6/1/33  Baa3  1,050,000  692,559 
Ser. S-B, zero %, 6/1/47  BB  6,000,000  90,660 
M-S-R Energy Auth. Rev. Bonds, Ser. B, 6 1/2s, 11/1/39  A  3,000,000  3,011,280 
Metro. Wtr. Dist. Rev. Bonds (Southern CA Wtr. Wks.),       
5 3/4s, 8/10/18  Aa1  6,000,000  6,930,000 
Orange Cnty., Cmnty. Fac. Dist. Special Tax Rev. Bonds       
(Ladera Ranch No. 02-1), Ser. A, 5.55s, 8/15/33  BBB-/P  900,000  810,342 
Rancho Mirage, Joint Powers Fin. Auth. Rev. Bonds       
(Eisenhower Med. Ctr.), Ser. A, 5s, 7/1/47  Baa1  1,000,000  760,570 
Redwood City, Elementary School Dist. G.O. Bonds,       
FGIC, NATL, zero %, 8/1/21  A+  1,990,000  1,062,481 
Rocklin, Unified School Dist. G.O. Bonds, FGIC, NATL,       
zero %, 8/1/27  A1  2,000,000  690,940 
Sacramento Cnty., Arpt. Syst. Rev. Bonds, 5s, 7/1/40  A2  1,350,000  1,175,174 
Sacramento, Special Tax Rev. Bonds (North Natomas       
Cmnty. Fac.), Ser. 97-01       
5s, 9/1/20  BB+/P  1,195,000  1,118,759 
5s, 9/1/29  BB+/P  1,180,000  971,813 
5s, 9/1/18  BB+/P  1,030,000  986,081 
San Bernardino Cnty., COP (Med. Ctr. Fin.), Ser. A,       
NATL, 6 1/2s, 8/1/17  Baa1  5,000,000  5,237,750 
San Diego Cnty., Regl. Arpt. Auth. Rev. Bonds, Ser. A,       
5s, 7/1/40  A2  3,750,000  3,319,800 
San Diego, Unified School Dist. G.O. Bonds (Election       
of 2008), Ser. C       
zero %, 7/1/40  Aa1  5,000,000  701,600 
zero %, 7/1/38  Aa1  5,000,000  803,950 
San Juan, Unified School Dist. G.O. Bonds, AGM, zero       
%, 8/1/19  AAA  1,000,000  671,150 
Sunnyvale, Cmnty. Fac. Dist. Special Tax Rev. Bonds,       
7.65s, 8/1/21  B+/P  615,000  616,341 
Tuolumne Wind Project Auth. Rev. Bonds (Tuolumne Co.),       
Ser. A, 5 7/8s, 1/1/29  A1  1,585,000  1,651,491 
Turlock, Dist. Ser. A, 5s, 1/1/40  A1  3,000,000  2,677,920 
      115,985,874 
 
Colorado (1.8%)       
CO Hlth. Fac. Auth. Rev. Bonds       
(Christian Living Cmntys.), Ser. A, 5 3/4s, 1/1/26  BB-/P  325,000  298,152 
(Evangelical Lutheran), 5s, 6/1/29  A3  850,000  765,816 
CO Hsg. & Fin. Auth. Rev. Bonds (Single Family Mtge.),       
Ser. A-3, Class III, 5 1/4s, 5/1/33  A1  2,890,000  2,963,348 
CO Pub. Hwy. Auth. Rev. Bonds (E-470 Pub. Hwy.), Ser.       
C1, NATL, 5 1/2s, 9/1/24  Baa1  1,250,000  1,236,988 
CO Springs, Hosp. Rev. Bonds, 6 3/8s, 12/15/30  A3  3,280,000  3,181,010 
      8,445,314 
 
Delaware (0.5%)       
DE St. Econ. Dev. Auth. Rev. Bonds (Delmarva Pwr.),       
5.4s, 2/1/31  BBB+  1,100,000  1,026,146 
DE State Hsg. Auth. Rev. Bonds (Single Family Mtge.),       
Ser. B, zero %, 1/1/40  A3  10,580,000  1,393,069 
      2,419,215 
 
District of Columbia (1.2%)       
DC Wtr. & Swr. Auth. Pub. Util. Rev. Bonds, FGIC,       
NATL, 5s, 10/1/28  Aa3  3,000,000  3,027,300 
Metro. Washington, Arpt. Auth. Dulles Toll Rd. Rev.       
Bonds       
(First Sr. Lien), Ser. A, 5s, 10/1/39  A2  2,000,000  1,867,340 
(Metrorail), Ser. A, zero %, 10/1/37  Baa1  3,700,000  568,542 
      5,463,182 
 
Florida (5.9%)       
Brevard Cnty., Hlth. Care Fac. Auth. Rev. Bonds       
(Health First, Inc.), 7s, 4/1/39  A3  3,000,000  3,165,300 
Escambia Cnty., Env. Impt. Rev. Bonds (Intl. Paper       
Co.), Ser. A, 5s, 8/1/26  BBB  2,500,000  2,190,424 
Escambia Cnty., Hlth. Fac. Auth. Rev. Bonds (Baptist       
Hosp., Inc.), Ser. A, 5 3/4s, 8/15/29  Baa1  2,500,000  2,395,575 
FL State Muni. Pwr. Agcy. Rev. Bonds, Ser. A, 5s,       
10/1/31  A1  1,700,000  1,617,856 
Halifax, Hosp. Med. Ctr. Rev. Bonds, Ser. A, 5 3/8s,       
6/1/46  A-  4,200,000  3,599,610 
Lakeland, Retirement Cmnty. Rev. Bonds (1st Mtge. -       
Carpenters), 6 3/8s, 1/1/43  BBB-/F  340,000  289,527 
Lee Cnty., Rev. Bonds, SGI, 5s, 10/1/25  Aa2  2,500,000  2,515,750 
Marco Island, Util. Sys. Rev. Bonds, Ser. A, 5s,       
10/1/40  A2  1,500,000  1,343,580 
Miami Beach, Hlth. Fac. Auth. Hosp. Rev. Bonds (Mount       
Sinai Med. Ctr.)       
Ser. A, 6.8s, 11/15/31  Ba1  1,000,000  935,670 
5 3/8s, 11/15/28  BB+/F  1,000,000  806,460 
Miami-Dade Cnty., Aviation Rev. Bonds (Miami Intl.       
Arpt.), Ser. A-1, 5 3/8s, 10/1/41  A2  3,000,000  2,826,180 
Miami-Dade Cnty., Expressway Auth. Toll Syst. Rev.       

 


Bonds, Ser. A, 5s, 7/1/40  A  1,000,000  922,020 
Palm Beach Cnty., Hlth. Fac. Auth. Rev. Bonds (Acts       
Retirement-Life Cmnty.), 5 1/2s, 11/15/33  BBB+  1,000,000  890,550 
Reunion West, Cmnty. Dev. Dist. Special Assmt. Bonds,       
1 7/8s, 5/1/36  D/P  1,915,000  995,800 
South Bay, Cmnty. Dev. Dist. Rev. Bonds, Ser. B-1,       
5 1/8s, 11/1/11 (In default) (NON)  D/P  2,025,000  668,250 
South Broward, Hosp. Dist. Rev. Bonds, NATL, 4 3/4s,       
5/1/28  Aa3  1,500,000  1,370,114 
Tolomato, Cmnty. Dev. Dist. Special Assmt. Bonds       
(Split Pine Cmnty. Dev. Dist.), Ser. A, 5 1/4s, 5/1/39  B-/P  1,480,000  922,632 
5.4s, 5/1/37  BB-/P  475,000  347,990 
      27,803,288 
 
Georgia (3.1%)       
Atlanta, Arpt. Rev. Bonds (Hartsfield-Jackson Intl.       
Arpt.), Ser. A, 5s, 1/1/35  A1  1,250,000  1,162,063 
Atlanta, Wtr. & Waste Wtr. Rev. Bonds, Ser. A, 6 1/4s,       
11/1/39  A1  4,500,000  4,621,364 
Effingham Cnty., Indl. Dev. Auth. Rev. Bonds       
(Georgia-Pacific Corp.), 6 1/2s, 6/1/31  Ba3  900,000  903,402 
Gainesville & Hall Cnty., Hosp. Auth. Rev. Bonds       
(Northeast GA Hlth. Care), Ser. B, 5 1/4s, 2/15/45  A+  7,500,000  6,677,775 
Marietta, Dev. Auth. Rev. Bonds (U. Fac. - Life U.,       
Inc.), 7s, 6/15/39  Ba3  1,400,000  1,272,614 
      14,637,218 
 
Hawaii (--%)       
HI State Hsg. Fin. & Dev. Corp. Rev. Bonds, Ser. A,       
FNMA Coll., 5 3/4s, 7/1/30  Aaa  115,000  115,001 
      115,001 
 
Illinois (5.9%)       
Chicago, Waste Wtr. Transmission Rev. Bonds, Ser. A,       
NATL, zero %, 1/1/24  AA-  1,600,000  765,728 
IL Fin. Auth. Rev. Bonds       
(Silver Cross Hosp. & Med. Ctr.), 7s, 8/15/44  BBB  2,500,000  2,531,875 
(IL Rush U. Med. Ctr.), Ser. D, 6 5/8s, 11/1/39  A2  1,490,000  1,516,746 
(IL Rush U. Med Ctr.), Ser. C, 6 5/8s, 11/1/39  A2  1,425,000  1,450,579 
(Elmhurst Memorial), Ser. A, 5 5/8s, 1/1/37  Baa1  3,000,000  2,560,170 
(Alexian), Ser. A, AGM, 5 1/4s, 1/1/22  Aa3  3,775,000  3,842,573 
Kendall & Kane Cntys., Cmnty. United School Dist. G.O.       
Bonds (No. 115 Yorkville), FGIC, zero %, 1/1/21  A2  1,075,000  628,467 
Lake Cnty., Cmnty. Construction School Dist. G.O.       
Bonds (No. 073 Hawthorn), NATL, FGIC       
zero %, 12/1/21  AA+  1,805,000  1,069,787 
zero %, 12/1/21 (Escrowed to maturity)  AA+  145,000  95,137 
zero %, 12/1/20  AA+  1,495,000  939,772 
zero %, 12/1/20 (Escrowed to maturity)  AA+  155,000  107,587 
Metro. Pier & Exposition Auth. Dedicated State Tax       
Rev. Bonds (McCormick)       
Ser. B, AGM, zero %, 6/15/43  AAA  6,500,000  709,930 
Ser. A, NATL, zero %, 12/15/30  AAA  22,500,000  6,098,850 
Metro. Pier & Exposition Auth. Rev. Bonds (McCormick       
Place Expansion Project), NATL, 5s, 12/15/28  AAA  1,770,000  1,780,478 
Railsplitter, Tobacco Settlement Auth. Rev. Bonds, 6s,       
6/1/28  A-  2,150,000  2,067,032 
Southern IL U. Rev. Bonds (Hsg. & Auxiliary), Ser. A,       
NATL       
zero %, 4/1/25  A1  1,870,000  751,534 
zero %, 4/1/21  A1  1,880,000  1,069,400 
      27,985,645 
 
Indiana (3.1%)       
IN Bk. Special Program Gas Rev. Bonds, Ser. A       
5 1/4s, 10/15/21  Aa3  180,000  178,533 
5 1/4s, 10/15/18  Aa3  2,000,000  2,085,980 
IN State Fin. Auth. Rev. Bonds       
(U.S. Steel Corp.), 6s, 12/1/26  Ba2  500,000  481,475 
(Duke Energy Ind.), Ser. C, 4.95s, 10/1/40  A2  4,000,000  3,718,280 
IN State Fin. Auth. VRDN, Ser. A-3, 0.26s, 2/1/37  VMIG1  1,500,000  1,500,000 
Indianapolis, Arpt. Auth. Rev. Bonds (Federal Express       
Corp.), 5.1s, 1/15/17  Baa2  2,500,000  2,621,350 
Jasper Cnty., Indl. Poll. Control Rev. Bonds       
AMBAC, 5.7s, 7/1/17  Baa2  1,375,000  1,459,659 
NATL, 5.6s, 11/1/16  Baa1  1,550,000  1,648,239 
U. Southern IN Rev. Bonds (Student Fee), Ser. J, AGO,       
5 3/4s, 10/1/28  AA+  1,000,000  1,043,550 
      14,737,066 
 
Iowa (1.0%)       
IA Fin. Auth. Hlth. Care Fac. Rev. Bonds (Care       
Initiatives), 9 1/4s, 7/1/25 (Prerefunded 7/1/11)  AAA  3,430,000  3,652,264 
IA State Higher Ed. Loan Auth. Rev. Bonds       
5s, 10/1/22  BB/F  605,000  516,047 
(Wartburg), Ser. A, 5s, 10/1/21  BB/F  605,000  525,382 
      4,693,693 
 
Kentucky (0.1%)       
KY Econ. Dev. Fin. Auth. Hlth. Syst. Rev. Bonds       
(Norton Hlth. Care), Ser. A, 6 5/8s, 10/1/28  A-/F  405,000  408,483 
Louisville/Jefferson Cnty., Metro. Govt. College Rev.       

 


Bonds (Bellarmine U.), Ser. A, 6s, 5/1/38  Baa3  290,000  279,070 
      687,553 
 
Maine (0.4%)       
Rumford, Solid Waste Disp. Rev. Bonds (Boise Cascade       
Corp.), 6 7/8s, 10/1/26  B2  1,950,000  1,854,002 
      1,854,002 
 
Maryland (0.4%)       
MD Econ. Dev. Corp. Poll. Control Rev. Bonds (Potomac       
Electric Power Co.), 6.2s, 9/1/22  A  650,000  725,517 
MD State Hlth. & Higher Edl. Fac. Auth. Rev. Bonds (WA       
Cnty. Hosp.), 5 3/4s, 1/1/38  BBB-  550,000  495,281 
MD State Indl. Dev. Fin. Auth. Rev. Bonds       
(Synagro-Baltimore), Ser. A, 5 1/2s, 12/1/15  BBB+/F  500,000  508,855 
      1,729,653 
  
Massachusetts (6.7%)       
MA State Dept. Trans. Rev. Bonds (Metro Hwy. Syst.),       
Ser. B, 5s, 1/1/37  A  2,500,000  2,361,250 
MA State Dev. Fin. Agcy. Rev. Bonds       
(Sabis Intl.), Ser. A, 8s, 4/15/39  BBB  575,000  614,991 
(Carleton-Willard Village), 5 5/8s, 12/1/30  A-  750,000  705,983 
(Linden Ponds, Inc.), Ser. A, 5 1/2s, 11/15/22  BB/P  1,360,000  1,064,063 
(Emerson College), Ser. A, 5s, 1/1/40  A-  4,000,000  3,518,240 
MA State Dev. Fin. Agcy. Solid Waste Disp. FRB       
(Dominion Energy Brayton), 5s, 2/1/36  A-  1,000,000  893,900 
MA State Dev. Fin. Agcy. Solid Waste Disp. Mandatory       
Put Bonds (6/1/11) (Dominion Energy Brayton), Ser. 1,       
5 3/4s, 5/1/19  A-  1,500,000  1,549,530 
MA State Hlth. & Edl. Fac. Auth. Rev. Bonds       
(Baystate Med. Ctr.), Ser. I, 5 3/4s, 7/1/36  A+  1,500,000  1,522,875 
(Berkshire Hlth. Syst.), Ser. E, 6 1/4s, 10/1/31  BBB+  1,300,000  1,300,806 
(Care Group), Ser. B-2, NATL, 5 3/8s, 2/1/26  A3  700,000  686,245 
(Civic Investments/HPHC), Ser. A, 9s, 12/15/15       
(Prerefunded 12/15/12)  AAA/P  1,685,000  1,907,791 
(Hlth. Care Syst.-Covenant Hlth.), 6s, 7/1/31  A/F  3,790,000  3,780,904 
(Jordan Hosp.), Ser. E, 6 3/4s, 10/1/33  BB-  1,500,000  1,385,715 
(Northeastern U.), Ser. A, 5s, 10/1/35  A2  3,250,000  3,077,945 
(Quincy Med. Ctr.), Ser. A, 6 1/4s, 1/15/28  BB-/P  2,095,000  1,808,215 
(UMass Memorial), Ser. C, 6 1/2s, 7/1/21  Baa1  1,875,000  1,888,950 
MA State Hsg. Fin. Agcy. Rev. Bonds, Ser. C, 5.35s,       
12/1/42  Aa3  1,500,000  1,404,405 
MA State Port Auth. Rev. Bonds, U.S. Govt. Coll., 13s,       
7/1/13 (Prerefunded 3/7/11)  Aaa  1,600,000  1,880,128 
      31,351,936 
 
Michigan (5.4%)       
Detroit, G.O. Bonds       
Ser. A-1, AMBAC, 5 1/4s, 4/1/24  BB  1,435,000  1,135,071 
Ser. A, FGIC, 5s, 7/1/30  A1  4,505,000  4,068,781 
(Cap. Impt.), Ser. A-1, 5s, 4/1/15  BB  1,300,000  1,227,524 
Detroit, City School Dist. G.O. Bonds, Ser. A, AGM,       
6s, 5/1/29  AA+  1,000,000  1,004,980 
Detroit, Wtr. Supply Syst. Rev. Bonds, Ser. B, AGM,       
6 1/4s, 7/1/36  AA+  1,425,000  1,501,993 
Flint, Hosp. Bldg. Auth. Rev. Bonds (Hurley Med.       
Ctr.), 7 1/2s, 7/1/39  Ba1  1,000,000  976,960 
MI Higher Ed. Fac. Auth. Rev. Bonds (Kalamazoo       
College), 5 1/2s, 12/1/18  A1  500,000  513,240 
MI Higher Ed. Fac. Auth. VRDN (U. of Detroit), 0.27s,       
11/1/36  VMIG1  2,900,000  2,900,000 
MI State Hosp. Fin. Auth. Rev. Bonds       
Ser. A, 6 1/8s, 6/1/39  A1  2,500,000  2,478,150 
(Henry Ford Hlth.), 5 3/4s, 11/15/39  A1  2,000,000  1,847,000 
(Henry Ford Hlth.), Ser. A, 5 1/4s, 11/15/46  A1  4,500,000  3,776,220 
(Sparrow Hosp.), 5s, 11/15/31  A1  1,350,000  1,169,384 
MI State Strategic Fund Mandatory Put Bonds (6/2/14)       
(Dow Chemical), Ser. A-1, 6 3/4s, 12/1/28  BBB-  100,000  110,925 
MI State Strategic Fund, Ltd. Rev. Bonds (Worthington       
Armstrong Venture), U.S. Govt. Coll., 5 3/4s, 10/1/22       
(Escrowed to maturity)  AAA/P  1,650,000  1,843,397 
MI Tobacco Settlement Fin. Auth. Rev. Bonds, Ser. A,       
6s, 6/1/34  BB  575,000  426,834 
Monroe Cnty., Hosp. Fin. Auth. Rev. Bonds (Mercy       
Memorial Hosp. Corp.), 5 3/8s, 6/1/26  Baa3  750,000  639,600 
      25,620,059 
 
Minnesota (1.1%)       
MN State Hsg. Fin. Agcy. Rev. Bonds (Single Fam.       
Mtge.), 6.05s, 7/1/31  Aa1  285,000  293,294 
North Oaks, Sr. Hsg. Rev. Bonds (Presbyterian Homes       
North Oaks), 6 1/8s, 10/1/39  BB/P  995,000  876,744 
St. Paul, Hsg. & Redev. Auth. Hlth. Care Fac. Rev.       
Bonds (HealthPartners Oblig. Group), 5 1/4s, 5/15/36  A3  3,500,000  2,963,940 
St. Paul, Hsg. & Redev. Auth. Hosp. Rev. Bonds       
(Healtheast), 6s, 11/15/35  Ba1  1,150,000  990,208 
      5,124,186 
 
Mississippi (2.0%)       
Bus. Fin. Corp. Gulf Opportunity Zone Rev. Bonds,       
Ser. A, 5s, 5/1/37  BBB+  2,250,000  2,115,608 

 


MS Bus. Fin. Corp. Poll. Control Rev. Bonds (Syst.       
Energy Resources, Inc.)       
5.9s, 5/1/22  BBB  3,000,000  2,925,180 
5 7/8s, 4/1/22  BBB  2,330,000  2,267,603 
Warren Cnty., Gulf Opportunity Zone (Intl. Paper Co.),       
Ser. A, 6 1/2s, 9/1/32  BBB  2,000,000  2,020,080 
      9,328,471 
 
Missouri (2.5%)       
MO State Hlth. & Edl. Fac. Auth. Rev. Bonds Ser. 2003A       
(St. Luke's Health), 5 1/2s, 11/15/28 (T)  AA+  10,000,000  10,298,800 
MO State Hlth. & Edl. Fac. Auth. VRDN (Washington U.       
(The)), Ser. C, 0.25s, 9/1/30  VMIG1  1,100,000  1,100,000 
MO State Hsg. Dev. Comm. Mtge. Rev. Bonds (Single Fam.       
Homeowner Loan), Ser. C-1, GNMA Coll., FNMA Coll.,       
7.15s, 3/1/32  AAA  340,000  359,485 
      11,758,285 
  
Montana (0.3%)       
MT Fac. Fin. Auth. VRDN (Sisters of Charity), Ser. A,       
0.27s, 12/1/25  VMIG1  1,530,000  1,530,000 
      1,530,000 
 
Nebraska (0.8%)       
Central Plains, Energy Rev. Bonds (NE Gas No. 1),       
Ser. A, 5 1/4s, 12/1/18  Ba3  3,000,000  2,952,570 
Lancaster Cnty., Hosp. Auth. Rev. Bonds (Immanuel       
Oblig. Group), 5 5/8s, 1/1/40  A-/F  925,000  876,382 
      3,828,952 
 
Nevada (9.4%)       
Clark Cnty., Ltd. Tax Bond, 5s, 6/1/33 (T)  Aa1  32,285,000  30,578,796 
Clark Cnty., Arpt. Rev. Bonds, Ser. A-2, FGIC, 5 1/8s,       
7/1/26  Aa3  5,105,000  5,048,539 
Clark Cnty., Impt. Dist. Special Assmt. Bonds       
(Summerlin No. 151), 5s, 8/1/25  BB-/P  2,075,000  1,416,623 
Clark Cnty., Indl. Dev. Rev. Bonds (Southwest Gas       
Corp.), Ser. A, AMBAC       
6.1s, 12/1/38  Baa2  3,000,000  3,000,900 
5 1/4s, 7/1/34  Baa2  3,000,000  2,718,780 
Henderson G.O. Bonds (Ltd. Tax -Swr.), FGIC, 5s, 6/1/29  Aa1  1,000,000  990,460 
Henderson, Local Impt. Dist. Special Assmt. Bonds (No.       
T-17), 5s, 9/1/25  BB+/P  610,000  438,675 
      44,192,773 
  
New Jersey (6.4%)       
NJ Econ. Dev. Auth. Rev. Bonds       
(Cedar Crest Village, Inc.), Ser. A, U.S. Govt. Coll.,       
7 1/4s, 11/15/31 (Prerefunded 11/15/11)  AAA/F  1,300,000  1,382,523 
(First Mtge. Presbyterian Home), Ser. A, 6 3/8s,       
11/1/31  BB/P  1,000,000  804,160 
(Cigarette Tax), 5 3/4s, 6/15/29  BBB  5,000,000  4,474,400 
(Cigarette Tax), 5 1/2s, 6/15/24  BBB  2,800,000  2,562,336 
NJ Econ. Dev. Auth. Wtr. Fac. Rev. Bonds       
(American Wtr. Co.), Ser. A, 5.7s, 10/1/39  A2  3,900,000  3,771,495 
(NJ American Wtr.), Ser. B, 5.6s, 11/1/34  A2  500,000  486,515 
NJ Hlth. Care Fac. Fin. Auth. Rev. Bonds       
(St. Joseph Hlth. Care Syst.), 6 5/8s, 7/1/38  BBB-  2,750,000  2,683,670 
(St. Peter's U. Hosp.), 5 3/4s, 7/1/37  Baa3  2,500,000  2,224,425 
(Holy Name Hosp.), 5s, 7/1/36  Baa2  5,000,000  4,036,050 
NJ State Edl. Fac. Auth. Rev. Bonds       
(Fairleigh Dickinson), Ser. C, 6s, 7/1/20  BBB-/F  1,500,000  1,521,554 
(Georgian Court U.), Ser. D, 5 1/4s, 7/1/37  Baa1  1,000,000  886,710 
NJ State Trans. Trust Fund Auth. Rev. Bonds (Trans.       
Syst.), Ser. A, zero %, 12/15/30  Aa3  13,000,000  3,530,540 
Tobacco Settlement Fin. Corp. Rev. Bonds, Ser. 1A,       
4 3/4s, 6/1/34  Baa3  3,000,000  1,820,340 
      30,184,718 
  
New York (5.9%)       
Broome Cnty., Indl. Dev. Agcy. Continuing Care       
Retirement Rev. Bonds (Good Shepherd Village), Ser. A,       
6 7/8s, 7/1/40  B/P  320,000  297,430 
NY City, Indl. Dev. Agcy. Rev. Bonds       
(Liberty-7 World Trade Ctr.), Ser. A, 6 1/4s, 3/1/15  BB/P  1,400,000  1,376,283 
(Brooklyn Navy Yard Cogen. Partners), Ser. G, 5 3/4s,       
10/1/36  Ba3  2,000,000  1,479,860 
NY City, Indl. Dev. Agcy. Special Arpt. Fac. Rev.       
Bonds (Airis JFK I, LLC), Ser. A, 5 1/2s, 7/1/28  BBB-  2,100,000  1,774,479 
NY City, Indl. Dev. Agcy. Special Fac. FRB (American       
Airlines - JFK Intl. Arpt.), 7 5/8s, 8/1/25  B-  3,000,000  3,111,780 
NY City, Indl. Dev. Agcy. Special Fac. Rev. Bonds       
(British Airways PLC), 5 1/4s, 12/1/32  BB-  700,000  541,933 
NY Cntys., Tobacco Trust III Rev. Bonds (Tobacco       
Settlement), 6s, 6/1/43  BBB  1,500,000  1,230,660 
NY State Dorm. Auth. Non-State Supported Debt Rev.       
Bonds (Orange Regl. Med. Ctr.), 6 1/4s, 12/1/37  Ba1  2,300,000  2,136,631 
NY State Energy Research & Dev. Auth. Gas Fac. Rev.       
Bonds (Brooklyn Union Gas), 6.952s, 7/1/26  A3  6,000,000  6,019,620 
Port Auth. NY & NJ Special Oblig. Rev. Bonds (JFK       
Intl. Air Term. - 6), NATL, 5.9s, 12/1/17  BBB  6,000,000  6,018,660 
Seneca Cnty., Indl. Dev. Agcy. Solid Waste Disp.       

 


Mandatory Put Bonds (10/1/13) (Seneca Meadows, Inc.),       
6 5/8s, 10/1/35  BB-  670,000  667,528 
Troy, Cap. Res. Corp. Rev. Bonds (Rensselaer       
Polytechnic), Ser. A, 5 1/8s, 9/1/40  A  3,385,000  3,099,577 
      27,754,441 
 
North Carolina (1.4%)       
NC Eastern Muni. Pwr. Agcy. Syst. Rev. Bonds, Ser. C,       
6 3/4s, 1/1/24  A-  1,000,000  1,107,630 
NC Med. Care Cmnty. Hlth. Care Fac. Rev. Bonds       
(Deerfield), Ser. A, 6s, 11/1/33  BBB+/F  805,000  744,875 
(First Mtge. - Presbyterian Homes), 5 3/8s, 10/1/22  BB/P  1,000,000  969,200 
NC State Muni. Pwr. Agcy. Rev. Bonds (No. 1, Catawba       
Elec.), Ser. A, 5s, 1/1/30  A2  800,000  790,328 
U. of NC Syst. Pool Rev. Bonds, Ser. C, 5 1/2s, 10/1/34  A2  3,000,000  2,933,760 
      6,545,793 
  
North Dakota (0.8%)       
ND State Hsg. Fin. Agcy. Rev. Bonds (Hsg. Fin.),       
Ser. B, 4.8s, 7/1/37  Aa1  4,330,000  3,818,800 
      3,818,800 
 
Ohio (8.7%)       
American Muni. Pwr. - Ohio, Inc. Rev. Bonds,       
5 1/4s, 2/15/33 (T)  AA+  10,000,000  9,961,000 
(Prairie State Energy Campus), Ser. A, 5 1/4s, 2/15/43  A1  1,000,000  959,610 
Buckeye, Tobacco Settlement Fin. Auth. Rev. Bonds,       
Ser. A-2       
5 7/8s, 6/1/47  Baa3  5,250,000  3,442,950 
5 3/4s, 6/1/34  Baa3  14,300,000  9,643,347 
5 1/8s, 6/1/24  Baa3  2,050,000  1,551,255 
Erie Cnty., OH Hosp. Fac. Rev. Bonds (Firelands Regl.       
Med. Ctr.), Ser. A, 5 1/4s, 8/15/46  A-  2,500,000  1,958,475 
Hickory Chase, Cmnty. Auth. Infrastructure Impt. Rev.       
Bonds (Hickory Chase), 7s, 12/1/38  BB-/P  700,000  456,323 
Lake Cnty., Hosp. Fac. Rev. Bonds (Lake Hosp. Syst.),       
Ser. C, 6s, 8/15/43  Baa1  3,100,000  2,903,956 
OH State Air Quality Dev. Auth. FRB (Columbus Southern       
Pwr. Co.), Ser. B, 5.8s, 12/1/38  A3  2,000,000  1,999,820 
OH State Higher Ed. Fac. Comm. Rev. Bonds       
(John Carroll U.), 5 1/4s, 11/15/33  A2  500,000  488,270 
(U. Hosp. Hlth. Syst.), Ser. 09-A, 6 3/4s, 1/15/39  A2  3,000,000  3,086,430 
Scioto Cnty., Hosp. Rev. Bonds (Southern Med. Ctr.),       
5 1/2s, 2/15/28  A2  4,660,000  4,427,698 
      40,879,134 
  
Oregon (0.9%)       
Keizer, Special Assmt. Bonds (Keizer Station), Ser. A,       
5.2s, 6/1/31  A1  2,275,000  2,210,891 
Multnomah Cnty., Hosp. Fac. Auth. Rev. Bonds       
(Terwilliger Plaza), Ser. A, 5 1/4s, 12/1/26  BB-/P  1,040,000  910,697 
OR Hlth. Sciences U. Rev. Bonds, Ser. A, 5 3/4s, 7/1/39  A2  1,250,000  1,258,200 
      4,379,788 
 
Pennsylvania (5.2%)       
Allegheny Cnty., Hosp. Dev. Auth. Rev. Bonds (Hlth.       
Syst.-West PA), Ser. A, 5 3/8s, 11/15/40  BB-  1,500,000  1,003,845 
Bucks Cnty., Indl. Dev. Auth. Rev. Bonds (USX Corp.),       
5.6s, 3/1/33  Baa1  2,025,000  1,919,376 
Bucks Cnty., Indl. Dev. Auth. Retirement Cmnty. Rev.       
Bonds (Ann's Choice, Inc.), Ser. A       
5.4s, 1/1/15  BB/P  1,060,000  1,056,629 
5.3s, 1/1/14  BB/P  710,000  714,906 
Cumberland Cnty., Muni. Auth. Rev. Bonds (Presbyterian       
Homes), Ser. A, 5s, 1/1/17  BBB+  1,320,000  1,319,947 
Delaware River Port Auth. PA & NJ Rev. Bonds, Ser. D,       
5s, 1/1/40  A3  1,200,000  1,155,576 
Erie, Higher Ed. Bldg. Auth. Rev. Bonds (Mercyhurst       
College), 5 1/2s, 3/15/38  BBB  725,000  655,212 
Franklin Cnty., Indl. Dev. Auth. Rev. Bonds       
(Chambersburg Hosp.), 5 3/8s, 7/1/42  A2  1,000,000  895,410 
Lancaster, Higher Ed. Auth. College Rev. Bonds       
(Franklin & Marshall College), 5s, 4/15/29  AA-  1,000,000  992,840 
Northampton Cnty., Hosp. Auth. Rev. Bonds (Saint       
Luke's Hosp. - Bethlehem), Ser. A, 5 1/2s, 8/15/40  A3  1,250,000  1,141,513 
PA State Higher Edl. Fac. Auth. Rev. Bonds       
(Widener U.), 5 3/8s, 7/15/29  BBB+  750,000  721,545 
(Saint Joseph's U.), Ser. A, 5s, 11/1/40  A-  3,000,000  2,691,990 
(Philadelphia U.), 5s, 6/1/30  Baa2  2,250,000  1,971,090 
(Philadelphia U.), 5s, 6/1/22  Baa2  860,000  830,364 
PA State Tpk. Comm. Oil Franchise Tax Rev. Bonds, Ser.       
C, zero %, 12/1/39  AA  19,000,000  3,142,790 
Philadelphia, Arpt. Rev. Bonds, Ser. D, 5 1/4s, 6/15/25  A+  2,750,000  2,613,325 
Philadelphia, Hosp. & Higher Ed. Fac. Auth. Rev. Bonds       
(Hosp.-Graduate Hlth. Sys.), Ser. A, 6 1/4s, 7/1/13       
(In default) (NON)  D/P  1,462,206  146 
Pittsburgh & Allegheny Cnty., Passports & Exhib. Auth.       
Hotel Rev. Bonds, AGM, 5s, 2/1/35  AA+  1,225,000  1,153,252 
Susquehanna, Area Regl. Arpt. Syst. Auth. Rev. Bonds,       
Ser. A, 6 1/2s, 1/1/38  Baa3  550,000  516,835 
      24,496,591 
 
Puerto Rico (6.4%)       

 


Cmnwlth. of PR, G.O. Bonds       
Ser. B, 6s, 7/1/39  A3  5,000,000  4,886,400 
Ser. C, 6s, 7/1/39  A3  2,500,000  2,443,200 
Ser. A, 5s, 7/1/16  A3  5,000,000  5,145,300 
Cmnwlth. of PR, Aqueduct & Swr. Auth. Rev. Bonds,       
Ser. A, 6s, 7/1/38  Baa1  4,125,000  3,852,379 
Cmnwlth. of PR, Elec. Pwr. Auth. Rev. Bonds, Ser. XX,       
5 1/4s, 7/1/40  A3  3,000,000  2,639,250 
Cmnwlth. of PR, Hwy. & Trans. Auth. Rev. Bonds,       
Ser. AA-2, 5.3s, 7/1/35  A2  875,000  781,095 
Cmnwlth. of PR, Infrastructure Fin. Auth. Special Tax       
Bonds, Ser. C, AMBAC, 5 1/2s, 7/1/26  A3  1,000,000  953,120 
Cmnwlth. of PR, Pub. Bldg. Auth. Mandatory Put Bonds       
(7/1/17) (Govt. Fac.), Ser. M-2, 5 3/4s, 7/1/34  A3  1,750,000  1,823,098 
Cmnwlth. of PR, Sales Tax Fin. Corp. Rev. Bonds,       
Ser. A, zero %, 8/1/30  A+  27,000,000  7,876,980 
      30,400,822 
  
Rhode Island (--%)       
Tobacco Settlement Fin. Corp. Rev. Bonds, Ser. A,       
6 1/4s, 6/1/42  BBB  200,000  176,018 
      176,018 
  
South Carolina (2.4%)       
Georgetown Cnty., Env. Impt. Rev. Bonds (Intl. Paper       
Co.), Ser. A, 5.7s, 4/1/14  BBB  1,000,000  1,066,480 
Orangeburg Cnty., Solid Waste Disp. Fac. Rev. Bonds       
(SC Elec. & Gas), AMBAC, 5.7s, 11/1/24  A  2,500,000  2,506,575 
SC Hosp. Auth. Rev. Bonds (Med. U.), Ser. A, 6 1/2s,       
8/15/32 (Prerefunded 8/15/12)  AAA  2,000,000  2,178,220 
SC Jobs Econ. Dev. Auth. Hosp. Fac. Rev. Bonds       
(Palmetto Hlth.), Ser. C       
6s, 8/1/20 (Prerefunded 8/1/13)  Baa1  2,445,000  2,727,422 
U.S. Govt. Coll., 6s, 8/1/20 (Prerefunded 8/1/13)  Baa1  305,000  340,231 
SC Trans. Infrastructure Bk. Rev. Bonds, Ser. A,       
AMBAC, 5s, 10/1/27  A1  2,460,000  2,405,437 
      11,224,365 
 
South Dakota (0.7%)       
SD Edl. Enhancement Funding Corp. SD Tobacco Rev.       
Bonds, Ser. B, 6 1/2s, 6/1/32  BBB  2,450,000  2,402,666 
SD Hsg. Dev. Auth. Rev. Bonds (Home Ownership), Ser.       
C, 5 3/8s, 5/1/18  AAA  945,000  945,652 
      3,348,318 
  
Tennessee (1.1%)       
Johnson City, Hlth. & Edl. Fac. Board Hosp. Rev. Bonds       
(First Mtge. Mountain States Hlth.), Ser. A, 7 1/2s,       
7/1/25 (Prerefunded 7/1/12)  Baa1  2,000,000  2,203,120 
(Mountain States Hlth. Alliance), 6s, 7/1/38  Baa1  3,450,000  3,136,499 
      5,339,619 
  
Texas (16.0%)       
Abilene, Hlth. Fac. Dev. Corp. Retirement Fac. (Sears       
Methodist Retirement), 6s, 11/15/29  B+/P  1,050,000  803,261 
Alliance, Arpt. Auth. Rev. Bonds (Federal Express       
Corp.), 4.85s, 4/1/21  Baa2  3,250,000  3,211,325 
Brazoria Cnty., Brazos River Harbor Naval Dist. Env.       
FRB (Dow Chemical Co.), Ser. A-4, 5.95s, 5/15/33  BBB-  400,000  391,268 
Brazos River, Auth. Poll. Control Rev. Bonds (TXU       
Energy Co., LLC)       
Ser. D-1, 8 1/4s, 5/1/33  Ca  500,000  193,950 
5s, 3/1/41  CCC-  500,000  159,340 
Brazos, Harbor Indl. Dev. Corp. Env. Fac. Mandatory       
Put Bonds (5/1/28) (Dow Chemical), 5.9s, 5/1/38  BBB-  2,850,000  2,819,334 
Dallas Cnty., Util. & Reclamation Dist. G.O. Bonds,       
Ser. B, AMBAC, 5 3/8s, 2/15/29  A3  4,000,000  3,854,600 
Dallas, Area Rapid Transit Rev. Bonds Sr. Lien, 5s,       
12/1/33 (T)  AA+  30,000,000  29,516,400 
Gulf Coast, Waste Disp. Auth. Rev. Bonds       
(Valero Energy Corp.), 6.65s, 4/1/32  Baa2  1,000,000  1,000,320 
Ser. A, 6.1s, 8/1/24  BBB  550,000  549,995 
Harris Cnty., Cultural Ed. Fac. Fin. Corp. VRDN (Texas       
Med. Ctr.), Ser. B-1, 0.27s, 9/1/31  VMIG1  1,900,000  1,900,000 
Love Field, Arpt. Modernization Corp. Special Fac.       
Rev. Bonds (Southwest Airlines Co.), 5 1/4s, 11/1/40  BBB  1,750,000  1,568,770 
Lower CO River Auth. Rev. Bonds, 5 3/4s, 5/15/37  A1  2,400,000  2,431,512 
Matagorda Cnty., Poll. Control Rev. Bonds (Dist. No.       
1), Ser. A, AMBAC, 4.4s, 5/1/30  Baa2  1,500,000  1,278,465 
Mission, Econ. Dev. Corp. Solid Waste Disp. Rev. Bonds       
(Allied Waste N.A. Inc.), Ser. A, 5.2s, 4/1/18  BBB  1,200,000  1,206,900 
North TX, Thruway Auth. Rev. Bonds       
Ser. D, AGO, zero %, 1/1/28  AAA  7,800,000  2,701,140 
Ser. A, 6s, 1/1/25  A2  1,300,000  1,370,460 
(Toll 2nd Tier), Ser. F, 5 3/4s, 1/1/38  A3  2,000,000  1,867,940 
North TX, Thruway Auth. stepped-coupon Rev. Bonds,       
zero %, (6.5s, 1/1/15) 2043 (STP)  A2  4,000,000  2,959,680 
Sam Rayburn Muni. Pwr. Agcy. Rev. Bonds, 6s, 10/1/21  Baa2  2,350,000  2,377,495 
San Antonio Wtr. Rev. Bonds, Ser. A, AGM, 5s, 5/15/32  Aa1  2,000,000  2,034,700 
Tarrant Cnty., Cultural Ed. Fac. Fin. Corp. Retirement       
Fac. Rev. Bonds (Buckner Retirement Svcs., Inc.),       
5 1/4s, 11/15/37  A-  1,100,000  938,806 

 


TX Muni. Gas Acquisition & Supply Corp. I Rev. Bonds,       
Ser. A, 5s, 12/15/15  A2  3,000,000  3,101,820 
TX State Tpk. Auth. Rev. Bonds (Central Texas Tpk.       
Syst.), Ser. A, AMBAC, 5 1/2s, 8/15/39  Baa1  8,000,000  7,118,400 
      75,355,881 
 
Utah (0.4%)       
Salt Lake City, Hosp. Rev. Bonds, AMBAC, U.S.       
Govt.Coll., 6 3/4s, 5/15/20 (Escrowed to maturity)  AAA/P  1,900,000  1,906,042 
      1,906,042 
  
Virginia (0.6%)       
Henrico Cnty., Econ. Dev. Auth. Res. Care Fac. Rev.       
Bonds (United Methodist), Ser. A, 6.7s, 6/1/27  BB+/P  735,000  721,344 
WA Cnty., Indl. Dev. Auth. Hosp. Fac. Rev. Bonds       
(Mountain States Hlth. Alliance), Ser. C, 7 3/4s,       
7/1/38  Baa1  2,100,000  2,292,717 
      3,014,061 
 
Washington (2.0%)       
Chelan Cnty. Dev. Corp. Rev. Bonds (Alcoa), 5.85s,       
12/1/31  Baa3  2,000,000  1,978,460 
Tobacco Settlement Auth. of WA Rev. Bonds       
6 5/8s, 6/1/32  BBB  900,000  887,265 
6 1/2s, 6/1/26  BBB  4,840,000  4,889,223 
WA State Hlth. Care Fac. Auth. Rev. Bonds (Kadlec Med.       
Ctr.), 5 1/2s, 12/1/39  Baa2  2,000,000  1,638,620 
      9,393,568 
 
West Virginia (1.2%)       
Harrison Cnty., Cmnty. Solid Waste Disp. Rev. Bonds       
(Allegheny Energy), Ser. D, 5 1/2s, 10/15/37  BBB  3,450,000  2,919,287 
Princeton, Hosp. Rev. Bonds (Cmnty. Hosp. Assn.,       
Inc.), 6.1s, 5/1/29  BB  2,025,000  1,804,235 
WV State Hosp. Fin. Auth. Rev. Bonds (Thomas Hlth.       
Syst.), 6 3/4s, 10/1/43  B/P  935,000  854,020 
      5,577,542 
 
Wisconsin (4.7%)       
Badger, Tobacco Settlement Asset Securitization Corp.       
Rev. Bonds       
7s, 6/1/28 (Prerefunded 6/1/12)  Aaa  7,000,000  7,571,970 
6 3/8s, 6/1/32 (Prerefunded 6/1/12)  Aaa  8,600,000  9,231,841 
U. of WI Hosp. & Clinic Auth. VRDN, Ser. B, 0.27s,       
4/1/34  VMIG1  1,000,000  1,000,000 
WI State Rev. Bonds, Ser. A, 6s, 5/1/27  Aa3  2,500,000  2,734,100 
WI State Hlth. & Edl. Fac. Auth. Rev. Bonds (Prohealth       
Care, Inc.), 6 5/8s, 2/15/39  A1  1,500,000  1,547,460 
      22,085,371 
 
Wyoming (0.9%)       
Campbell Cnty., Solid Waste Fac. Rev. Bonds (Basin       
Elec. Pwr. Co-op), Ser. A, 5 3/4s, 7/15/39  A1  2,000,000  2,051,020 
WY Muni. Pwr. Agcy. Pwr. Supply Rev. Bonds       
Ser. A, 5 1/2s, 1/1/33  A2  950,000  959,187 
(Pwr. Supply), Ser. A, 5 1/2s, 1/1/28  A2  1,000,000  1,019,500 
      4,029,707 
 
 
TOTAL INVESTMENTS       
Total investments (cost $715,060,257)(b)      $686,393,283 

 


Notes to the fund's portfolio

Unless noted otherwise, the notes to the fund's portfolio are for the close of the fund's reporting period, which ran from May 1, 2010 through January 31, 2011 (the reporting period).

(a) Percentages indicated are based on net assets of $471,290,122.

(RAT) The Moody's, Standard & Poor's or Fitch ratings indicated are believed to be the most recent ratings available at the close of the reporting period for the securities listed. Ratings are generally ascribed to securities at the time of issuance. While the agencies may from time to time revise such ratings, they undertake no obligation to do so, and the ratings do not necessarily represent what the agencies would ascribe to these securities at the close of the reporting period. Securities rated by Putnam are indicated by "/P." Securities rated by Fitch are indicated by "/F." The rating of an insured security represents what is believed to be the most recent rating of the insurer's claims-paying ability available at the close of the reporting period and does not reflect any subsequent changes.

(b) The aggregate identified cost on a tax basis is $715,086,732, resulting in gross unrealized appreciation and depreciation of $13,732,068 and $42,425,517, respectively, or net unrealized depreciation of $28,693,449.

(NON) Non-income-producing security.

(STP) The interest rate and date shown parenthetically represent the new interest rate to be paid and the date the fund will begin accruing interest at this rate.

(T) Underlying security in a tender option bond transaction. The security has been segregated as collateral for financing transactions.

The rates shown on FRB, FRN, Mandatory Put Bonds and VRDN are the current interest rates at the close of the reporting period.

The dates shown parenthetically on Mandatory Put Bonds represent the next mandatory put dates.

The dates shown parenthetically on prerefunded bonds represent the next prerefunding dates.

The dates shown on debt obligations are the original maturity dates.

The fund had the following sector concentrations greater than 10% at the close of the reporting period (as a percentage of net assets):

Healthcare  31.8% 
Utilities  24.6 
Transportation  13.0 
Local Government  11.7 
State Government  10.2 

 

Security valuation: Tax-exempt bonds and notes are generally valued on the basis of valuations provided by an independent pricing service approved by the Trustees. Such services use information with respect to transactions in bonds, quotations from bond dealers, market transactions in comparable securities and various relationships between securities in determining value. These securities will generally be categorized as Level 2.

Certain investments, including certain restricted and illiquid securities and derivatives are also valued at fair value following procedures approved by the Trustees. Such valuations and procedures are reviewed periodically by the Trustees. These valuations consider such factors as significant market or specific security events such as interest rate or credit quality changes, various relationships with other securities, discount rates, U.S. Treasury, U.S. swap and credit yields, index levels, convexity exposures and recovery rates. These securities are classified as Level 2 or as Level 3 depending on the priority of the significant inputs. The fair value of securities is generally determined as the amount that the fund could reasonably expect to realize from an orderly disposition of such securities over a reasonable period of time. By its nature, a fair value price is a good faith estimate of the value of a security in a current sale and does not reflect an actual market price, which may be different by a material amount.

Tender option bond transactions: The fund may participate in transactions whereby a fixed-rate bond is transferred to a tender option bond trust (TOB trust) sponsored by a broker. The TOB trust funds the purchase of the fixed rate bonds by issuing floating-rate bonds issued to third parties and allowing the fund to retain the residual interest in the TOB trust’s assets and cash flows, which are in the form of inverse floating rate bonds. The inverse floating rate bonds held by the fund give the fund the right to (1) cause the holders of the floating rate bonds to tender their notes at par, and (2) to have the fixed-rate bond held by the TOB trust transferred to the fund, causing the TOB trust to collapse. The fund accounts for the transfer of the fixed-rate bond to the TOB trust as a secured borrowing by including the fixed-rate bond in The fund’s portfolio and including the floating rate bond as a liability in the Statement of assets and liabilities. At the close of the reporting period, the fund’s investments with a value of $80,354,996 were held by the TOB trust and served as collateral for $41,140,000 in floating-rate bonds outstanding. During the reporting period, the fund incurred interest expense of $81,824 for these investments based on an average interest rate of 0.29%.


Accounting Standards Codification ASC 820 Fair Value Measurements and Disclosures (ASC 820) establishes a three-level hierarchy for disclosure of fair value measurements. The valuation hierarchy is based upon the transparency of inputs to the valuation of the fund’s investments. The three levels are defined as follows:

Level 1 – Valuations based on quoted prices for identical securities in active markets.

Level 2 – Valuations based on quoted prices in markets that are not active or for which all significant inputs are observable, either directly or indirectly.

Level 3 – Valuations based on inputs that are unobservable and significant to the fair value measurement.

The following is a summary of the inputs used to value the fund’s net assets as of the close of the reporting period:

    Valuation inputs  
Investments in securities:  Level 1  Level 2  Level 3 
Municipal bonds and notes  --  686,393,283  -- 
Totals by level  $--  $686,393,283  $-- 

 

For additional information regarding the fund please see the fund's most recent annual or semiannual shareholder report filed on the Securities and Exchange Commission's Web site, www.sec.gov, or visit Putnam's Individual Investor Web site at www.putnaminvestments.com


Item 2. Controls and Procedures:

(a) The registrant's principal executive officer and principal financial officer have concluded, based on their evaluation of the effectiveness of the design and operation of the registrant's disclosure controls and procedures as of a date within 90 days of the filing date of this report, that the design and operation of such procedures are generally effective to provide reasonable assurance that information required to be disclosed by the registrant in this report is recorded, processed, summarized and reported within the time periods specified in the Commission's rules and forms.

(b) Changes in internal control over financial reporting: Not applicable

Item 3. Exhibits:

Separate certifications for the principal executive officer and principal financial officer of the registrant as required by Rule 30a-2(a) under the Investment Company Act of 1940, as amended, are filed herewith.

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.

Putnam Municipal Opportunities Trust

By (Signature and Title):

/s/ Janet C. Smith
Janet C. Smith
Principal Accounting Officer
Date: March 31, 2011

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

By (Signature and Title):

/s/ Jonathan S. Horwitz
Jonathan S. Horwitz
Principal Executive Officer
Date: March 31, 2011

By (Signature and Title):

/s/ Steven D. Krichmar
Steven D. Krichmar
Principal Financial Officer
Date: March 31, 2011