THE BLACKROCK 2012 TERM TRUST
AUTOMATIC DIVIDEND REINVESTMENT PLAN
TERMS AND CONDITIONS
Pursuant to the Automatic Dividend Reinvestment Plan (the "Plan")
of The BlackRock 2012 Term Trust (the "Trust"), unless a holder (each, a
"Shareholder") of the Trust's shares of beneficial interest (the "Shares")
otherwise elects, all dividends and capital gain distributions on such
Shareholder's Shares will be automatically reinvested by PFPC, Inc.
("PFPC"), as agent for Shareholders in administering the Plan (the "Plan
Agent"), in additional Shares of the Trust. Shareholders who elect not to
participate in the Plan will receive all dividends and other distributions
in cash paid by check mailed directly to the Shareholder of record (or, if
the Shares are held in street or other nominee name, then to such nominee)
by PFPC as the Dividend Disbursing Agent. Such participants may elect not
to participate in the Plan and to receive all dividends and capital gain
distributions in cash by sending written instructions to PFPC, as the
Dividend Disbursing Agent, at the address set forth below. Participation in
the Plan is completely voluntary and may be terminated or resumed at any
time without penalty by written notice if received by the Plan Agent not
less than ten days prior to any dividend record date; otherwise such
termination or resumption will be effective with respect to any
subsequently declared dividend or other distribution.
The Plan Agent will open an account for each Shareholder under the
Plan in the same name in which such Shareholder's Shares are registered.
Whenever the Trust declares an income dividend or a capital gain
distribution (collectively referred to as "dividends") payable in cash,
non-participants in the Plan will receive cash and participants in the Plan
will receive the equivalent in Shares. The Shares will be acquired by the
Plan Agent for the participants' accounts through receipt of additional
unissued but authorized Shares from the Trust ("newly issued Shares"). The
number of newly issued Shares to be credited to each participant's account
will be determined by dividing the dollar amount of the dividend by the net
asset value per Share on the date the Shares are issued.
The Plan Agent maintains all Shareholders' accounts in the Plan and
furnishes written confirmation of all transactions in the accounts,
including information needed by Shareholders for tax records. Shares in the
account of each Plan participant will be held by the Plan Agent on behalf
of the Plan participant.
In the case of Shareholders such as banks, brokers or nominees that
hold Shares for others who are the beneficial owners, the Plan Agent will
administer the Plan on the basis of the number of Shares certified from
time to time by the record Shareholder and held for the account of
beneficial owners who participate in the Plan.
There will be no brokerage charges with respect to Shares issued
directly by the Trust as a result of dividends or capital gains
distributions payable either in Shares or in cash. However, each
participant will pay a pro rata share of brokerage commissions incurred
with respect to the Plan Agent's open-market purchases in connection with
the reinvestment of dividends.
VOTING
Each Shareholder proxy will include those Shares purchased or
received pursuant to the Plan. The Plan Agent will forward all proxy
solicitation materials to participants and vote proxies for Shares held
pursuant to the Plan in accordance with the instructions of the
participants.
TAXATION
The automatic reinvestment of dividends will not relieve
participants of any federal, state or local income tax that may be payable
(or required to be withheld) on such dividends.
AMENDMENT OF THE PLAN
The Plan may be amended or terminated by the Trust or the Plan
Agent. There is no direct service charge to participants in the Plan;
however, the Trust reserves the right to amend the Plan to include a
service charge payable by the participants. Notice will be sent to Plan
participants of any amendments as soon as practicable after such action by
the Trust.
INQUIRIES REGARDING THE PLAN
All correspondence concerning the Plan should be directed to the
Plan Agent at 400 Bellevue Parkway, Wilmington, Delaware 19809
APPLICABLE LAW
These terms and conditions shall be governed by the laws of the
State of New York without regard to its conflicts of laws provisions.
EXECUTION
To record the adoption of the Plan as of __________ __,
2000, the Trust has caused this Plan to be executed in the name and on
behalf of the Trust by a duly authorized officer.
THE BLACKROCK
2012 TERM TRUST
A Delaware business trust
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By:
Title:
