<PAGE>
[LOGO] [EDUCATION]
Semiannual Report May 31, 2000
EATON VANCE
MUNICIPAL
INCOME
TRUSTS
California
Florida
[CARS ON HIGHWAY] [75 ANNIVERSARY]
Massachusetts
[BRIDGE] Michigan
New Jersey
New York
Ohio
Pennsylvania
<PAGE>
EATON VANCE MUNICIPAL INCOME TRUSTS AS OF MAY 31, 2000
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LETTER TO SHAREHOLDERS
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[PHOTO]
Thomas J. Fetter
President
Municipal bond investors have faced a challenging climate in 2000, as
fluctuating interest rates have contributed to increased volatility in nearly
all of the fixed-income markets. In its response to a strong economy and signs
of rising inflation, the Federal Reserve has raised its Federal Funds rate - a
key barometer of short-term interest rates - on six occasions in the past 13
months alone. The Fed has been especially concerned about rising labor costs and
increased demand, suggesting that, despite improvements in productivity, rising
demand could lead to higher inflation.
The bond market rallied briefly in February and March, as investors sought some
refuge from the increasingly volatile equity markets. However, the downtrend
resumed in April and lasted through May, when the Fed punctuated its
anti-inflation stance with a 50 basis point (0.50%) rate hike. By June 30, there
was, at last, some evidence that the Fed's actions had succeeded in cooling the
economy somewhat.
THE TRUSTS' MARKET YIELDS
REMAINED WELL ABOVE PREVAILING
MUNICIPAL BOND YIELDS...
The Eaton Vance Municipal Income Trusts are primarily vehicles for tax-exempt
income. As such, it is important to note that the market yields of the Trusts
remained well above prevailing municipal bond yields at May 31, 2000. Total
returns of the Eaton Vance Municipal Income Trusts in the six months ended
May 31, 2000 were, like most fixed-income vehicles, hurt by rising interest
rates. The performance of the Trusts was additionally impacted by the effect of
the Trusts' use of leverage. Not surprisingly, while leverage added
significantly to the Trusts' tax-exempt market yields, it also resulted in a
larger price decline as interest rates rose. It is reasonable to expect that the
Trusts' leverage may well contribute to price increases in the event of a future
interest rate decline.
--------------------------------------------------------------------------------
MUNICIPAL BONDS YIELD EXCEED TREASURY YIELDS
--------------------------------------------------------------
6.19% 10.25%
--------------------------------------------------------------
30-YEAR AAA-RATED TAXABLE EQUIVALENT YIELD
GENERAL OBLIGATION (GO) BONDS* IN 39.6% TAX BRACKET
---------------------------------
6.01%
---------------------------------
30-YEAR TREASURY BOND
PRINCIPAL AND INTEREST PAYMENTS OF TREASURY SECURITIES ARE GUARANTEED BY THE
U.S. GOVERNMENT.
*GO YIELDS ARE A COMPILATION OF A REPRESENTATIVE VARIETY OF GENERAL OBLIGATIONS
AND ARE NOT NECESSARILY REPRESENTATIVE OF THE TRUSTS' YIELDS. STATISTICS AS OF
MAY 31, 2002.
PAST PERFORMANCE IS NO GUARANTEE OF FUTURE RESULTS.
SOURCE: BLOOMBERG L.P.
--------------------------------------------------------------------------------
THE OUTLOOK FOR MUNICIPAL BONDS
APPEARS TO BE IMPROVING...
While municipal bond investors have endured difficulties over the past year, we
believe the outlook has improved. First, municipal issuance has declined
dramatically. Second, a surge in Federal tax receipts has resulted in rising
estimates for the Federal budget surplus, sharply reducing the Treasury's
borrowing needs. Third, the Treasury Department has announced that it will buy
back at least $30 billion of 10 to 30-year bonds this fiscal year. That may,
over time, contribute to lower long-term interest rates.
Finally, we are encouraged that, in the midst of an election year, Congress and
the Administration have continued to exercise a high degree of fiscal
discipline. While we will closely monitor the economic proposals of the likely
major party nominees for president, we are confident that the progress of recent
years can be maintained. That could result in a much improved outlook for all
fixed-income areas, including the municipal bond market.
Sincerely,
/s/ Thomas J. Fetter
Thomas J. Fetter
President
July 12, 2000
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2
<PAGE>
EATON VANCE CALIFORNIA MUNICIPAL INCOME TRUST AS OF MAY 31, 2000
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MANAGEMENT DISCUSSION
--------------------------------------------------------------------------------
[PHOTO]
Cynthia J. Clemson
Portfolio Manager
INVESTMENT ENVIRONMENT
--------------------------------------------------------------------------------
- The California economy continued to expand in the first half of 2000,
registering 3.5% job growth over the same period in 1999. Job creation in the
transportation, government, business services and legal services areas was
especially strong. Reflecting that momentum, California's May 2000 jobless
rate fell to 5.0% from 5.3% a year earlier.
- With the fast recovery of some Asian economies, foreign demand for
manufactured goods has improved. Nonetheless, the California manufacturing
sector remained a source of weakness, with job cuts occuring at approximately
the same rate as in 1998 and 1999.
- Real estate values in some California locales, such as the San Francisco Bay
Area, may be especially vulnerable to stock market fluctuations. A Federal
Reserve Bank of San Francisco study showed that stock market proceeds were
used to finance 23.9% of Bay Area real estate transactions, twice the level
statewide.
THE TRUST
--------------------------------------------------------------------------------
PERFORMANCE FOR THE PAST YEAR
- Based on share price (traded on the American Stock Exchange), the Trust had a
total return of -1.61% for the six months ended May 31, 2000. That return was
the result of a decrease in share price from $11.4375 on November 30, 1999 to
$10.875 on May 31, 2000, and the reinvestment of $0.3825 in regular monthly
dividends.
- Based on net asset value, the Trust had a total return of -0.26% for the six
months ended May 31, 2000. That return was the result of a decrease in net
asset value per share from $11.63 on November 30, 1999 to $11.21 on May 31,
2000, and the reinvestment of all distributions.
- Based on the most recent dividend and a share price of $10.875, the Trust had
a market yield of 7.03% at May 31, 2000.(1) The Trust's market yield is
equivalent to a taxable yield of 12.83%.(2)
MANAGEMENT DISCUSSION
- Insured* transportation bonds remained the Trust's largest weighting at
May 31, 2000. The Trust's holdings financed a wide range of transportation
projects, including airport facilities, highway construction and San
Francisco's Bay Area Rapid Transportation (BART).
- Special tax assessment bonds were among the Trust's largest commitments. These
bonds are issued by districts to finance the purchase of equipment and
facilities and are backed by non-property tax assessments. They have been a
popular source of financing in recent years as California accommodates its
fast-growing population.
- The Trust's non-rated holdings fared very well during the period. Issuance of
non-rated California bonds has been very light in recent months, which allowed
the Trust to sell some of its smaller holdings at very attractive prices.
RATING DISTRIBUTION(3)
--------------------------------------------------------------------------------
BY TOTAL NET ASSETS
[PIE CHART]
<TABLE>
<S> <C>
AAA 47.2%
Non-Rated 19.4%
A 17.5%
BBB 10.2%
AA 5.7%
</TABLE>
----------------------------------------------------------------------------
SHARES OF THE TRUST ARE NOT INSURED BY THE FDIC AND ARE NOT DEPOSITS OR
OTHER OBLIGATIONS OF, OR GUARANTEED BY, ANY DEPOSITORY INSTITUTION. SHARES
ARE SUBJECT TO INVESTMENT RISKS, INCLUDING POSSIBLE LOSS OF PRINCIPAL
INVESTED. YIELDS WILL VARY.
----------------------------------------------------------------------------
--------------------------------------------------------------------------------
TRUST INFORMATION
AS OF MAY 31, 2000
PERFORMANCE(4)
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Average Annual Total Returns (by market value, American Stock Exchange)
--------------------------------------------------------------------------------
<S> <C>
One Year -14.06%
Life of Trust (1/29/99) -16.91
<CAPTION>
Average Annual Total Returns (at net asset value)
--------------------------------------------------------------------------------
<S> <C>
One Year -16.31%
Life of Trust (1/29/99) -15.01
</TABLE>
5 LARGEST CATEGORIES(3)
--------------------------------------------------------------------------------
<TABLE>
<S> <C>
Insured - Transportation* 11.9%
Special Tax Revenue 11.3%
Insured - Water & Sewer* 10.1%
Hospital 8.5%
Education 8.3%
</TABLE>
(1) The Trust's market yield is calculated by dividing the most recent dividend
per share by the share price at the end of the period and annualizing the
result.
(2) Taxable-equivalent yield assumes maximum 45.22% combined federal and state
income tax rate. A lower rate would result in a lower tax-equivalent figure.
(3) Rating Distribution and Largest Categories are determined by dividing the
total market value of the holdings by the total net assets of the Trust.
Rating Distribution and Largest Categories are subject to change.
(4) Returns are historical and are calculated by determining the percentage
change in share price or net asset value with all distributions reinvested.
* Private insurance does not remove the risk of loss of principal associated
with insured investments due to changes in market conditions.
Past performance is no guarantee of future results. Investment return and
market price will fluctuate so that shares, when sold, may be worth more or
less than their original cost.
3
<PAGE>
EATON VANCE FLORIDA MUNICIPAL INCOME TRUST AS OF MAY 31, 2000
--------------------------------------------------------------------------------
MANAGEMENT DISCUSSION
--------------------------------------------------------------------------------
[PHOTO]
Cynthia J. Clemson
Portfolio Manager
INVESTMENT ENVIRONMENT
--------------------------------------------------------------------------------
- Florida continued to post strong job growth in 2000, although the pace of
growth moderated somewhat from previous years. The service sector again
generated the majority of new employment, as personnel firms struggled to meet
the needs of Florida's tight labor market. The state's May 2000 unemployment
rate was 3.8%, down slightly from 3.9% a year earlier.
- Florida's tourism industry has continued to expand in 2000, with hotels and
cruise ships registering high occupancy rates. A falloff in Latin American
visitors was made up by increases in domestic and European tourists, as well
as increased convention activity.
- Factory employment remained a relatively weak segment of the Florida economy,
continuing the decline of the past two years. Most job losses were
concentrated in nondurable areas, with apparel especially weak.
THE TRUST
--------------------------------------------------------------------------------
PERFORMANCE FOR THE PAST YEAR
- Based on share price (traded on the American Stock Exchange), the Trust had a
total return of 4.17% for the six months ended May 31, 2000. That return was
the result of an increase in share price from $10.4375 on November 30, 1999 to
$10.50 on May 31, 2000, and the reinvestment of $0.3765 in regular monthly
dividends.
- Based on net asset value, the Trust had a total return of -1.55% for the six
months ended May 31, 2000. That return was the result of a decrease in net
asset value per share from $11.77 on November 30, 1999 to $11.19 on May 31,
2000, and the reinvestment of all distributions.
- Based on the most recent dividend and a share price of $10.50, the Trust had a
market yield of 7.17% at May 31, 2000.(1) The Trust's market yield is
equivalent to a taxable yield of 11.87%.(2)
MANAGEMENT DISCUSSION
- Insured* special tax revenue bonds constituted the Trust's largest commitment.
The Trust's investments included a Jacksonville Stadium Capital Improvement
issue, which helped finance improvement costs for Alltel Stadium, home of the
Jacksonville Jaguars National Football League franchise.
- As one of the nation's fastest-growing states, Florida must deal with
ever-increasing demands for infrastructure upgrades. Not surprisingly,
insured* water and sewer issues were a major weighting. The Trust's holdings
focused on projects with leading real estate developers in the populous areas
such as Tampa, as well as fast-growing resort areas such as Winter Haven.
- Management continued to focus on bonds that have superior call protection.
Over the long-term, management believes that providing consistent call
protection is an increasingly important strategic consideration.
RATING DISTRIBUTION(3)
--------------------------------------------------------------------------------
BY TOTAL NET ASSETS
[PIE CHART]
<TABLE>
<S> <C>
AAA 55.4%
Non-Rated 15.2%
AA 14.5%
A 8.6%
BBB 5.2%
BB 1.1%
</TABLE>
----------------------------------------------------------------------------
SHARES OF THE TRUST ARE NOT INSURED BY THE FDIC AND ARE NOT DEPOSITS OR
OTHER OBLIGATIONS OF, OR GUARANTEED BY, ANY DEPOSITORY INSTITUTION. SHARES
ARE SUBJECT TO INVESTMENT RISKS, INCLUDING POSSIBLE LOSS OF PRINCIPAL
INVESTED. YIELDS WILL VARY.
----------------------------------------------------------------------------
--------------------------------------------------------------------------------
TRUST INFORMATION
AS OF MAY 31, 2000
PERFORMANCE(4)
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Average Annual Total Returns (by market value, American Stock Exchange)
--------------------------------------------------------------------------------
<S> <C>
One Year -20.97%
Life of Trust (1/29/99) -19.01
<CAPTION>
Average Annual Total Returns (at net asset value)
--------------------------------------------------------------------------------
<S> <C>
One Year -16.21%
Life of Trust (1/29/99) -15.07
</TABLE>
5 LARGEST CATEGORIES(3)
--------------------------------------------------------------------------------
<TABLE>
<S> <C>
Insured - Special Tax Revenue* 15.4%
Insured - Water & Sewer* 12.3%
Hospital 10.2%
General Obligation 8.0%
Transportation 7.9%
</TABLE>
(1) The Trust's market yield is calculated by dividing the most recent dividend
per share by the share price at the end of the period and annualizing the
result.
(2) Taxable-equivalent yield assumes maximum 39.60% combined federal and state
intangibles tax rate. A lower rate would result in a lower tax-equivalent
figure.
(3) Rating Distribution and Largest Categories are determined by dividing the
total market value of the holdings by the total net assets of the Trust.
Rating Distribution and Largest Categories are subject to change.
(4) Returns are historical and are calculated by determining the percentage
change in share price or net asset value with all distributions reinvested.
* Private insurance does not remove the risk of loss of principal associated
with insured investments due to changes in market conditions.
Past performance is no guarantee of future results. Investment return and
market price will fluctuate so that shares, when sold, may be worth more or
less than their original cost.
4
<PAGE>
EATON VANCE MASSACHUSETTS MUNICIPAL INCOME TRUST AS OF MAY 31, 2000
--------------------------------------------------------------------------------
MANAGEMENT DISCUSSION
--------------------------------------------------------------------------------
[PHOTO]
Robert B. MacIntosh
Portfolio Manager
INVESTMENT ENVIRONMENT
--------------------------------------------------------------------------------
- The Massachusetts economy has continued to advance in 2000, adding around
70,000 new jobs in the past year. Financial services, retail trade, health
services and technology were again among the largest sources of new jobs. The
May 2000 unemployment rate was 2.5%, down from the 3.2% rate of a year ago.
- The Massachusetts technology sector continued to benefit from an infusion of
both public and private investment. According to the Massachusetts Technology
Collaborative, the Commonwealth led the nation in federal R&D spending in
1999, while drawing $3.7 billion in venture capital, second only to
California.
- Recent signs suggest that rising interest rates and declining stock prices
could moderate the Massachusetts economy. Single-family home sales declined
18% in April from the same period a year ago, while consumer sentiment
weakened slightly.
THE TRUST
--------------------------------------------------------------------------------
PERFORMANCE FOR THE PAST YEAR
- Based on share price (traded on the American Stock Exchange), the Trust had a
total return of 1.23% for the six months ended May 31, 2000. That return was
the result of a decrease in share price from $11.4375 on November 30, 1999 to
$11.1875 on May 31, 2000, and the reinvestment of $0.3825 in regular monthly
dividends.
- Based on net asset value, the Trust had a total return of -2.28% for the six
months ended May 31, 2000. That return was the result of a decrease in net
asset value per share from $11.47 on November 30, 1999 to $10.83 on May 31,
2000, and the reinvestment of all distributions.
- Based on the most recent dividend and a share price of $11.1875, the Trust had
a market yield of 6.84% at May 31, 2000.(1) The Trust's market yield is
equivalent to a taxable yield of 12.03%.(2)
MANAGEMENT DISCUSSION
- Education bonds remained the Trust's largest component at May 31, 2000, with a
large exposure to colleges and secondary schools. The Trust also had an
investment in an insured* education issue for WGBH Education Foundation, one
of the nation's leading public television stations.
- The deteriorating finances of the Central Artery/Tunnel Project remain a
concern, as the Commonwealth is forced to issue additional debt to fund the
project. However, the Trust is monitoring Project-related credits closely for
buying opportunities should they reach attractive levels.
- In the very difficult market conditions that characterized the six month
period, the Trust established tax losses that may be used to offset potential
capital gains in the future. The Trust also continued to upgrade call
protection, which helps to stabilize dividend levels while giving the Trust's
holdings better trading characteristics.
RATING DISTRIBUTION(3)
--------------------------------------------------------------------------------
BY TOTAL NET ASSETS
[PIE CHART]
<TABLE>
<S> <C>
AAA 52.8%
BBB 17.7%
A 13.4%
AA 8.0%
Non-Rated 6.9%+
BB 1.2%
</TABLE>
----------------------------------------------------------------------------
SHARES OF THE TRUST ARE NOT INSURED BY THE FDIC AND ARE NOT DEPOSITS OR
OTHER OBLIGATIONS OF, OR GUARANTEED BY, ANY DEPOSITORY INSTITUTION. SHARES
ARE SUBJECT TO INVESTMENT RISKS, INCLUDING POSSIBLE LOSS OF PRINCIPAL
INVESTED. YIELDS WILL VARY.
----------------------------------------------------------------------------
--------------------------------------------------------------------------------
TRUST INFORMATION
AS OF MAY 31, 2000
PERFORMANCE(4)
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Average Annual Total Returns (by market value, American Stock Exchange)
--------------------------------------------------------------------------------
<S> <C>
One Year -14.34%
Life of Trust (1/29/99) -15.11
<CAPTION>
Average Annual Total Returns (at net asset value)
--------------------------------------------------------------------------------
<S> <C>
One Year -18.89%
Life of Trust (1/29/99) -17.14
</TABLE>
5 LARGEST CATEGORIES(3)
--------------------------------------------------------------------------------
<TABLE>
<S> <C>
Education 21.8%
Insured - Education* 14.5%
Hospital 9.7%
Insured - Hospital* 8.9%
Insured - Transportation* 7.8%
</TABLE>
(1) The Trust's market yield is calculated by dividing the most recent dividend
per share by the share price at the end of the period and annualizing the
result.
(2) Taxable-equivalent yield assumes maximum 43.13% combined federal and state
income tax rate. A lower rate would result in a lower tax-equivalent figure.
(3) Rating Distribution and Largest Categories are determined by dividing the
total market value of the holdings by the total net assets of the Trust.
Rating Distribution and Largest Categories are subject to change.
(4) Returns are historical and are calculated by determining the percentage
change in share price or net asset value with all distributions reinvested.
* Private insurance does not remove the risk of loss of principal associated
with insured investments due to changes in market conditions.
+ In the opinion of management, 3.3% of the 6.9% non-rated portion of the
Trust represents bonds that, if rated, would warrant an investment-grade
rating.
Past performance is no guarantee of future results. Investment return and
market price will fluctuate so that shares, when sold, may be worth more or
less than their original cost.
5
<PAGE>
EATON VANCE MICHIGAN MUNICIPAL INCOME TRUST AS OF MAY 31, 2000
--------------------------------------------------------------------------------
MANAGEMENT DISCUSSION
--------------------------------------------------------------------------------
[PHOTO]
William H. Ahern
Portfolio Manager
INVESTMENT ENVIRONMENT
--------------------------------------------------------------------------------
- Michigan's economy maintained a steady pace in the first half of 2000,
although higher interest rates have resulted in lower consumer demand for
durable goods and a less robust environment for the construction sector. The
state's May 2000 jobless rate declined to 3.2%, well below the 3.8% level of a
year ago.
- Michigan's tax-advantaged Renaissance Zones have proven to be among the most
innovative economic incentives in the country. Assistance in site development
and tax credits for new job creation have contributed to a rising number of
start-up businesses and expansions of older industries.
- The auto industry, which constitutes roughly 6% of the state's work force and
generates around 13% of the state's total income, experienced some layoffs in
May as sluggish car and truck sales produced excessive inventories.
THE TRUST
--------------------------------------------------------------------------------
PERFORMANCE FOR THE PAST YEAR
- Based on share price (traded on the American Stock Exchange), the Trust had a
total return of -2.35% for the six months ended May 31, 2000. That return was
the result of a decrease in share price from $10.88 on November 30, 1999 to
$10.25 on May 31, 2000, and the reinvestment of $0.375 in regular monthly
dividends.
- Based on net asset value, the Trust had a total return of -1.03% for the six
months ended May 31, 2000. That return was the result of a decrease in net
asset value per share from $11.84 on November 30, 1999 to $11.31 on May 31,
2000, and the reinvestment of all distributions.
- Based on the most recent dividend and a share price of $10.25, the Trust had a
market yield of 7.32% at May 31, 2000.(1) The Trust's market yield is
equivalent to a taxable yield of 12.81%.(2)
MANAGEMENT DISCUSSION
- Management continued its efforts to diversify the Trust's investments.
Insured* general obligation bonds represented the largest weighting. Local
school district issues were in ample supply and, in addition to providing a
very high quality investment, added to the liquidity of the Trust's holdings
in a difficult investment climate.
- Hospital bonds again constituted a large commitment of the Trust. Like many
other states, Michigan has had to face the challenge of a changing health care
industry. The Trust focused on top-tier institutions, including Detroit's
Henry Ford Health and Royal Oak's William Beaumont Hospital, both of which
were once again named among the nation's top providers of cardiac care by U.S.
NEWS AND WORLD REPORT.
- The Trust maintained an exposure to selected non-rated bonds. These
research-intensive investments often finance private economic initiatives,
resulting in economic stimulus, job creation and projects that are beneficial
to the broader community.
RATING DISTRIBUTION(3)
--------------------------------------------------------------------------------
BY TOTAL NET ASSETS
[PIE CHART]
<TABLE>
<S> <C>
AAA 70.8%
Non-Rated 9.5%
AA 9.4%
BBB 6.2%
A 4.1%
</TABLE>
----------------------------------------------------------------------------
SHARES OF THE TRUST ARE NOT INSURED BY THE FDIC AND ARE NOT DEPOSITS OR
OTHER OBLIGATIONS OF, OR GUARANTEED BY, ANY DEPOSITORY INSTITUTION. SHARES
ARE SUBJECT TO INVESTMENT RISKS, INCLUDING POSSIBLE LOSS OF PRINCIPAL
INVESTED. YIELDS WILL VARY.
----------------------------------------------------------------------------
--------------------------------------------------------------------------------
TRUST INFORMATION
AS OF MAY 31, 2000
PERFORMANCE(4)
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Average Annual Total Returns (by market value, American Stock Exchange)
--------------------------------------------------------------------------------
<S> <C>
One Year -25.18%
Life of Trust (1/29/99) -20.47
<CAPTION>
Average Annual Total Returns (at net asset value)
--------------------------------------------------------------------------------
<S> <C>
One Year -15.87%
Life of Trust (1/29/99) -14.41
</TABLE>
5 LARGEST CATEGORIES(3)
--------------------------------------------------------------------------------
<TABLE>
<S> <C>
Insured - General Obligation* 45.3%
Hospital 17.8%
Insured - Hospital* 9.0%
Transportation 5.4%
Insured - Education* 4.7%
</TABLE>
(1) The Trust's market yield is calculated by dividing the most recent dividend
per share by the share price at the end of the period and annualizing the
result.
(2) Taxable-equivalent yield assumes maximum 42.86% combined federal and state
income tax rate. Income may also be subject to single business tax and city
income tax. A lower rate would result in a lower tax-equivalent figure.
(3) Rating Distribution and Largest Categories are determined by dividing the
total market value of the holdings by the total net assets of the Trust.
Rating Distribution and Largest Categories are subject to change.
(4) Returns are historical and are calculated by determining the percentage
change in share price or net asset value with all distributions reinvested.
* Private insurance does not remove the risk of loss of principal associated
with insured investments due to changes in market conditions.
Past performance is no guarantee of future results. Investment return and
market price will fluctuate so that shares, when sold, may be worth more or
less than their original cost.
6
<PAGE>
EATON VANCE NEW JERSEY MUNICIPAL INCOME TRUST AS OF MAY 31, 2000
--------------------------------------------------------------------------------
MANAGEMENT DISCUSSION
--------------------------------------------------------------------------------
[PHOTO]
Robert B. MacIntosh
Portfolio Manager
INVESTMENT ENVIRONMENT
--------------------------------------------------------------------------------
- Despite a continuing decline in manufacturing, the New Jersey economy was
sustained in the first half of 2000 by strong growth in the finance and trade
sectors. In April, non-farm employment reached a record 3.92 million jobs,
with the service sector providing the momentum. The state's May 2000 jobless
rate fell to 3.8%, down from 4.8% a year ago.
- New Jersey's construction sector has slowed somewhat in the past year in
response to rising interest rates. New home sales have declined significantly,
although building permits for multi-family units have remained fairly strong.
- A recent New Jersey Wage Survey indicated that state employers generally pay
higher wages than their counterparts nationally. The difference ranged from a
19.5% difference for nurses' aides to a 1.8% premium for computer engineers.
THE TRUST
--------------------------------------------------------------------------------
PERFORMANCE FOR THE PAST YEAR
- Based on share price (traded on the American Stock Exchange), the Trust had a
total return of 4.15% for the six months ended May 31, 2000. That return was
the result of an increase in share price from $10.875 on November 30, 1999 to
$10.9375 on May 31, 2000, and the reinvestment of $0.375 in regular monthly
dividends.
- Based on net asset value, the Trust had a total return of -2.28% for the six
months ended May 31, 2000. That return was the result of a decrease in net
asset value per share from $11.72 on November 30, 1999 to $11.06 on May 31,
2000, and the reinvestment of all distributions.
- Based on the most recent dividend and a share price of $10.9375, the Trust had
a market yield of 6.86% at May 31, 2000.(1) The Trust's market yield is
equivalent to a taxable yield of 12.13%.(2)
MANAGEMENT DISCUSSION
- Insured* transportation bonds constituted the Trust's largest weighting at
May 31, 2000. New Jersey Transportation Authority and the Port Authority of
New York and New Jersey are among the state's largest municipal issuers,
representing high quality and exceptionally good liquidity.
- Education and insured* education bonds continued to play a major role in the
Trust. Management had investments in state agencies that benefited a wide
range of institutions, including Bloomfield College, Rutgers University and
Ramapo College.
- The Trust sought opportunities in selected non-rated bonds, which offered
above-average coupons in research-intensive credits. Among the Trust's
non-rated investments was an issue for The Seeing Eye, Inc., of Morristown, a
non-profit institution that trains seeing-eye dogs to aid visually impaired
persons.
RATING DISTRIBUTION(3)
--------------------------------------------------------------------------------
BY TOTAL NET ASSETS
[PIE CHART]
<TABLE>
<S> <C>
AAA 57.6%
Non-Rated 15.4%+
BBB 10.3%
AA 8.7%
A 5.1%
BB 2.9%
</TABLE>
----------------------------------------------------------------------------
SHARES OF THE TRUST ARE NOT INSURED BY THE FDIC AND ARE NOT DEPOSITS OR
OTHER OBLIGATIONS OF, OR GUARANTEED BY, ANY DEPOSITORY INSTITUTION. SHARES
ARE SUBJECT TO INVESTMENT RISKS, INCLUDING POSSIBLE LOSS OF PRINCIPAL
INVESTED. YIELDS WILL VARY.
----------------------------------------------------------------------------
--------------------------------------------------------------------------------
TRUST INFORMATION
AS OF MAY 31, 2000
PERFORMANCE(4)
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Average Annual Total Returns (by market value, American Stock Exchange)
--------------------------------------------------------------------------------
<S> <C>
One Year -19.49%
Life of Trust (1/29/99) -16.54
<CAPTION>
Average Annual Total Returns (at net asset value)
--------------------------------------------------------------------------------
<S> <C>
One Year -18.14%
Life of Trust (1/29/99) -15.84
</TABLE>
5 LARGEST CATEGORIES(3)
--------------------------------------------------------------------------------
<TABLE>
<S> <C>
Insured - Transportation* 15.8%
Transportation 12.0%
Industrial Development Revenue 11.0%
Hospital 9.9%
Insured - Education* 8.6%
</TABLE>
(1) The Trust's market yield is calculated by dividing the most recent dividend
per share by the share price at the end of the period and annualizing the
result.
(2) Taxable-equivalent yield assumes maximum 43.45% combined federal and state
income tax rate. A lower rate would result in a lower tax-equivalent figure.
(3) Rating Distribution and Largest Categories are determined by dividing the
total market value of the holdings by the total net assets of the Trust.
Rating Distribution and Largest Categories are subject to change.
(4) Returns are historical and are calculated by determining the percentage
change in share price or net asset value with all distributions reinvested.
* Private insurance does not remove the risk of loss of principal associated
with insured investments due to changes in market conditions.
+ In the opinion of management, 9.1% of the 15.4% non-rated portion of the
Trust represents bonds that, if rated, would warrant an investment-grade
rating.
Past performance is no guarantee of future results. Investment return and
market price will fluctuate so that shares, when sold, may be worth more or
less than their original cost.
7
<PAGE>
EATON VANCE NEW YORK MUNICIPAL INCOME TRUST AS OF MAY 31, 2000
--------------------------------------------------------------------------------
MANAGEMENT DISCUSSION
--------------------------------------------------------------------------------
[PHOTO]
Thomas J. Fetter
Portfolio Manager
INVESTMENT ENVIRONMENT
--------------------------------------------------------------------------------
- New York's economy has exhibited signs of moderating somewhat in the first
half of 2000. The services and construction sectors remained strong, but the
financial services sector - a prime growth engine in recent years - has
registered smaller job gains. New York's unemployment rate declined to 4.6% in
March 2000 from 5.2% a year earlier.
- In New York City, the services sector remained an especially important source
of new employment. However, the City's financial services industry, which
produced relatively few new jobs, was nonetheless responsible for roughly 30%
of the City's wage growth.
- Health services were again responsible for a significant number of new jobs in
the state. According to the state's Department of Labor, more than 64,000 new
health care positions have been created in New York since 1990.
THE TRUST
--------------------------------------------------------------------------------
PERFORMANCE FOR THE PAST YEAR
- Based on share price (traded on the American Stock Exchange), the Trust had a
total return of -0.12% for the six months ended May 31, 2000. That return was
the result of a decrease in share price from $10.81 on November 30, 1999 to
$10.4375 on May 31, 2000, and the reinvestment of $0.384 in regular monthly
dividends.
- Based on net asset value, the Trust had a total return of 0.05% for the six
months ended May 31, 2000. That return was the result of a decrease in net
asset value per share from $11.80 on November 30, 1999 to $11.41 on May 31,
2000, and the reinvestment of all distributions.
- Based on the most recent dividend and a share price of $10.4375, the Trust had
a market yield of 7.33% at May 31, 2000.(1) The Trust's market yield is
equivalent to a taxable yield of 13.03%.(2)
MANAGEMENT DISCUSSION
- Insured* education bonds were again the Trust's largest weighting. Education
bonds typically constitute a large percentage of the state's municipal
issuance. The New York State Dormitory Authority serves as a financing vehicle
for a broad range of educational and hospital housing projects throughout the
state.
- Among the Trust's largest holdings was a government obligation for New York
City. The issue carries an attractive 6.00% coupon and an A3 rating. The
City's economy has witnessed a strong revival in recent years, amid surging
tax revenues from rising property values and a robust financial services
sector.
- The Trust found attractive opportunities in industrial development revenue
bonds (IDBs). The Trust's IDBs financed economic initiatives for private
sector companies that included the nation's leading brewer, Anheuser-Busch.
RATING DISTRIBUTION(3)
--------------------------------------------------------------------------------
BY TOTAL NET ASSETS
[PIE CHART]
<TABLE>
<S> <C>
AAA 48.1%
A 22.7%
AA 12.9%
Non-Rated 11.0%+
BBB 5.3%
</TABLE>
----------------------------------------------------------------------------
SHARES OF THE TRUST ARE NOT INSURED BY THE FDIC AND ARE NOT DEPOSITS OR
OTHER OBLIGATIONS OF, OR GUARANTEED BY, ANY DEPOSITORY INSTITUTION. SHARES
ARE SUBJECT TO INVESTMENT RISKS, INCLUDING POSSIBLE LOSS OF PRINCIPAL
INVESTED. YIELDS WILL VARY.
----------------------------------------------------------------------------
--------------------------------------------------------------------------------
TRUST INFORMATION
AS OF MAY 31, 2000
PERFORMANCE(4)
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Average Annual Total Returns (by market value, American Stock Exchange)
--------------------------------------------------------------------------------
<S> <C>
One Year -20.20%
Life of Trust (1/29/99) -19.74
<CAPTION>
Average Annual Total Returns (at net asset value)
--------------------------------------------------------------------------------
<S> <C>
One Year -15.66%
Life of Trust (1/29/99) -14.23
</TABLE>
5 LARGEST CATEGORIES(3)
--------------------------------------------------------------------------------
<TABLE>
<S> <C>
Insured - Education* 12.7%
Insured - Transportation* 11.7%
Hospital 9.9%
Education 9.5%
General Obligations 6.6%
</TABLE>
(1) The Trust's market yield is calculated by dividing the most recent dividend
per share by the share price at the end of the period and annualizing the
result.
(2) Taxable-equivalent yield assumes maximum 43.74% combined federal and state
income tax. New York City residents may be subject to New York City personal
income tax. A lower rate would result in a lower tax-equivalent figure.
(3) Rating Distribution and Largest Categories are determined by dividing the
total market value of the holdings by the total net assets of the Trust.
Rating Distribution and Largest Categories are subject to change.
(4) Returns are historical and are calculated by determining the percentage
change in share price or net asset value with all distributions reinvested.
* Private insurance does not remove the risk of loss of principal associated
with insured investments due to changes in market conditions.
+ In the opinion of management, 4.1% of the 11.0% non-rated portion of the
Trust represents bonds that, if rated, would warrant an investment-grade
rating.
Past performance is no guarantee of future results. Investment return and
market price will fluctuate so that shares, when sold, may be worth more or
less than their original cost.
8
<PAGE>
EATON VANCE OHIO MUNICIPAL INCOME TRUST AS OF MAY 31, 2000
--------------------------------------------------------------------------------
MANAGEMENT DISCUSSION
--------------------------------------------------------------------------------
[PHOTO]
Thomas J. Fetter
Portfolio Manager
INVESTMENT ENVIRONMENT
--------------------------------------------------------------------------------
- While there were signs of a modest slowdown in the national economy, Ohio's
economic climate remained on solid footing in the first half of 2000. The
service sector, especially business services, provided the largest increase in
new jobs. The state's May 2000 unemployment rate was 4.0%, down from 4.3% a
year earlier.
- The Youngstown Business Incubator has announced an Electronic Superhighway
project to lure technology businesses. The $5 million effort will include the
installation of fiber optic cables in downtown buildings, creating an
advanced, broadband communications network.
- Ohio's steel producers are once again facing the challenge of cheap foreign
imports. According to the American Iron and Steel Institute, U.S. imports of
semi-finished steel rose 22% in the past year.
THE TRUST
--------------------------------------------------------------------------------
PERFORMANCE FOR THE PAST YEAR
- Based on share price (traded on the American Stock Exchange), the Trust had a
total return of 4.06% for the six months ended May 31, 2000. That return was
the result of an increase in share price from $11.25 on November 30, 1999 to
$11.3125 on May 31, 2000, and the reinvestment of $0.3765 in regular monthly
dividends.
- Based on net asset value, the Trust had a total return of -3.21% for the six
months ended May 31, 2000. That return was the result of a decrease in net
asset value per share from $11.91 on November 30, 1999 to $11.42 on May 31,
2000, and the reinvestment of all distributions.
- Based on the most recent dividend and a share price of $11.3125, the Trust had
a market yield of 6.66% at May 31, 2000.(1) The Trust's market yield is
equivalent to a taxable yield of 11.92%.(2)
MANAGEMENT DISCUSSION
- The Trust increased its exposure to industrial development revenue bonds
(IDBs), the largest weighting in the Trust at May 31, 2000. In addition to
providing above-average coupons, the Trust's IDBs provided financing for
projects for well-known companies, including General Motors Corp., Ford Motor
Co. and Emery Air Freight.
- Hospital bonds were once again well-represented in the Trust. Management
focused on institutions that are financially sound, able to adjust to newly
implemented Medicare reimbursement policies and well-positioned competitively
within their respective markets.
- Management has continued its efforts to diversify the Trust's holdings. The
Trust has found good opportunities in general obligations and local school
district bonds, as well as in selected non-rated bonds which featured very
attractive coupons.
RATING DISTRIBUTION(3)
--------------------------------------------------------------------------------
BY TOTAL NET ASSETS
[PIE CHART]
<TABLE>
<S> <C>
AAA 37.2%
A 20.1%
AA 19.4%
BBB 11.1%
Non-Rated 9.1%+
BB 3.1%
</TABLE>
----------------------------------------------------------------------------
SHARES OF THE TRUST ARE NOT INSURED BY THE FDIC AND ARE NOT DEPOSITS OR
OTHER OBLIGATIONS OF, OR GUARANTEED BY, ANY DEPOSITORY INSTITUTION. SHARES
ARE SUBJECT TO INVESTMENT RISKS, INCLUDING POSSIBLE LOSS OF PRINCIPAL
INVESTED. YIELDS WILL VARY.
----------------------------------------------------------------------------
--------------------------------------------------------------------------------
TRUST INFORMATION
AS OF MAY 31, 2000
PERFORMANCE(4)
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Average Annual Total Returns (by market value, American Stock Exchange)
--------------------------------------------------------------------------------
<S> <C>
One Year -18.23%
Life of Trust (1/29/99) -14.48
<CAPTION>
Average Annual Total Returns (at net asset value)
--------------------------------------------------------------------------------
<S> <C>
One Year -17.69%
Life of Trust (1/29/99) -15.45
</TABLE>
5 LARGEST CATEGORIES(3)
--------------------------------------------------------------------------------
<TABLE>
<S> <C>
Industrial Development Revenue 22.3%
Hospital 17.0%
Insured - Hospital* 12.8%
General Obligations 9.7%
Insured - General Obligations* 6.3%
</TABLE>
(1) The Trust's market yield is calculated by dividing the most recent dividend
per share by the share price at the end of the period and annualizing the
result.
(2) Taxable-equivalent yield assumes maximum 44.13% combined federal and state
income tax rate. A lower rate would result in a lower tax-equivalent figure.
(3) Rating Distribution and Largest Categories are determined by dividing the
total market value of the holdings by the total net assets of the Trust.
Rating Distribution and Largest Categories are subject to change.
(4) Returns are historical and are calculated by determining the percentage
change in share price or net asset value with all distributions reinvested.
* Private insurance does not remove the risk of loss of principal associated
with insured investments due to changes in market conditions.
+ In the opinion of management, 3.9% of the 9.1% non-rated portion of the
Trust represents bonds that, if rated, would warrant an investment-grade
rating.
Past performance is no guarantee of future results. Investment return and
market price will fluctuate so that shares, when sold, may be worth more or
less than their original cost.
9
<PAGE>
EATON VANCE PENNSYLVANIA MUNICIPAL INCOME TRUST AS OF MAY 31, 2000
--------------------------------------------------------------------------------
MANAGEMENT DISCUSSION
--------------------------------------------------------------------------------
[PHOTO]
Cynthia J. Clemson
Portfolio Manager
INVESTMENT ENVIRONMENT
--------------------------------------------------------------------------------
- Pennsylvania continued its economic expansion, paced by strong gains in the
construction and service sectors. Total non-farm jobs rose 55,000 over the
past year, paced by strong gains in the service sector. The Commonwealth's
May 2000 unemployment rate was 4.0%, down from 4.4% a year ago and the lowest
rate in 27 years.
- Lehigh Valley communities have made a concerted effort in recent years to draw
technology to an area whose economy was once dominated by steel production.
The cities of Allentown, Easton and Bethlehem have created nearly 40,000 new,
high-tech jobs since the mid-1990s.
- The manufacturing sector again shed jobs over the past year due to weakness in
exports to crisis-plagued Asia. Electronics, industrial machinery and
transportation equipment displayed weakness, while furniture and lumber
production remained stable.
THE TRUST
--------------------------------------------------------------------------------
PERFORMANCE FOR THE PAST YEAR
- Based on share price (traded on the American Stock Exchange), the Trust had a
total return of 4.16% for the six months ended May 31, 2000. That return was
the result of an increase in share price from $10.75 on November 30, 1999 to
$10.8125 on May 31, 2000, and the reinvestment of $0.3765 in regular monthly
dividends.
- Based on net asset value, the Trust had a total return of -0.73% for the six
months ended May 31, 2000. That return was the result of a decrease in net
asset value per share from $11.84 on November 30, 1999 to $11.35 on May 31,
2000, and the reinvestment of all distributions.
- Based on the most recent dividend and a share price of $10.8125, the Trust had
a market yield of 6.96% at May 31, 2000.(1) The Trust's market yield is
equivalent to a taxable yield of 11.86%.(2)
MANAGEMENT DISCUSSION
- While hospital bond issuance has been fairly plentiful in recent months, the
Trust remained very selective in its hospital investments. The Trust focused
on quality institutions such as Beaver County Valley Health Care System, a
community-based system of hospitals serving southwestern Pennsylvania, with
specialties that include cardiology, psychiatry, cancer treatment,
rehabilitation and neonatal care.
- Education and insured* education bonds were among the Trust's largest
weightings. The Trust's holdings included issues for Girard College,
University of Pennsylvania, Bryn Mawr College, Drexel University, Temple
University and Thomas Jefferson University.
- Management continued to focus on bonds that have superior call protection.
Over the long-term, management believes that providing consistent call
protection is an increasingly important strategic consideration.
RATING DISTRIBUTION(3)
--------------------------------------------------------------------------------
BY TOTAL NET ASSETS
[PIE CHART]
<TABLE>
<S> <C>
AAA 68.5%
BBB 13.1%
Non-Rated 8.5%
BBB- 5.4%
AA- 4.5%
</TABLE>
----------------------------------------------------------------------------
SHARES OF THE TRUST ARE NOT INSURED BY THE FDIC AND ARE NOT DEPOSITS OR
OTHER OBLIGATIONS OF, OR GUARANTEED BY, ANY DEPOSITORY INSTITUTION. SHARES
ARE SUBJECT TO INVESTMENT RISKS, INCLUDING POSSIBLE LOSS OF PRINCIPAL
INVESTED. YIELDS WILL VARY.
----------------------------------------------------------------------------
--------------------------------------------------------------------------------
TRUST INFORMATION
AS OF MAY 31, 2000
PERFORMANCE(4)
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Average Annual Total Returns (by market value, American Stock Exchange)
--------------------------------------------------------------------------------
<S> <C>
One Year -18.07%
Life of Trust (1/29/99) -17.62
<CAPTION>
Average Annual Total Returns (at net asset value)
--------------------------------------------------------------------------------
<S> <C>
One Year -15.69%
Life of Trust (1/29/99) -14.19
</TABLE>
5 LARGEST CATEGORIES(3)
--------------------------------------------------------------------------------
<TABLE>
<S> <C>
Insured - Hospital* 21.4%
Insured - Education* 18.6%
Insured - General Obligation* 8.5%
Education 8.1%
Industrial Development Revenue 7.5%
</TABLE>
(1) The Trust's market yield is calculated by dividing the most recent dividend
per share by the share price at the end of the period and annualizing the
result.
(2) Taxable-equivalent yield assumes maximum 41.29% combined federal and state
income tax rate. A lower rate would result in a lower tax-equivalent figure.
(3) Rating Distribution and Largest Categories are determined by dividing the
total market value of the holdings by the total net assets of the Trust.
Rating Distribution and Largest Categories are subject to change.
(4) Returns are historical and are calculated by determining the percentage
change in share price or net asset value with all distributions reinvested.
* Private insurance does not remove the risk of loss of principal associated
with insured investments due to changes in market conditions.
Past performance is no guarantee of future results. Investment return and
market price will fluctuate so that shares, when sold, may be worth more or
less than their original cost.
10
<PAGE>
CALIFORNIA MUNICIPAL INCOME TRUST AS OF MAY 31, 2000
PORTFOLIO OF INVESTMENTS (UNAUDITED)
TAX-EXEMPT INVESTMENTS -- 98.1%
<TABLE>
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
-------------------------------------------------------------------------
Education -- 8.3%
-------------------------------------------------------------------------
$ 2,500 California Educational Facilities
Authority, (Pepperdine University),
5.00%, 11/1/29 $ 2,133,550
3,770 California Educational Facilities
Authority, (Pooled College and
University), 5.10%, 4/1/23 3,254,754
4,350 California Educational Facilities
Authority, (Santa Clara University),
5.00%, 9/1/23 3,790,807
2,500 California Educational Facilities
Authority, (University of Southern
California), 5.50%, 10/1/27 2,352,300
-------------------------------------------------------------------------
$ 11,531,411
-------------------------------------------------------------------------
Electric Utilities -- 1.7%
-------------------------------------------------------------------------
$ 2,975 Guam Power Authority, 5.125%, 10/1/29 $ 2,426,856
-------------------------------------------------------------------------
$ 2,426,856
-------------------------------------------------------------------------
General Obligations -- 8.0%
-------------------------------------------------------------------------
$ 4,500 California, 5.00%, 10/1/27 $ 3,872,340
2,500 California RITES, 3.85%, 5/1/26(1)(2) 2,295,925
2,000 Capistrano Unified School District,
5.75%, 9/1/29 1,702,340
600 Manteca Unified School District,
5.80%, 9/1/24 524,322
3,625 Puerto Rico, Variable Rate, 7/1/27(1)(2) 2,677,389
-------------------------------------------------------------------------
$ 11,072,316
-------------------------------------------------------------------------
Hospital -- 8.5%
-------------------------------------------------------------------------
$ 2,000 California Health Facilities Financing
Authority, (Cedars-Sinai Medical
Center), 6.25%, 12/1/34 $ 1,982,100
4,000 California Statewide Communities
Development Authority, (Children's
Hospital of Los Angeles),
5.25%, 8/15/29 3,430,080
1,750 California Statewide Communities
Development Authority, (Sonoma County
Indian Health), 6.40%, 9/1/29 1,547,157
1,000 Stockton Health Facilities Authority,
(Dameron Hospital), 5.70%, 12/1/14 885,680
2,000 Tahoe Forest Hospital District,
5.85%, 7/1/22 1,630,760
2,750 Washington Township, Health Care
District, 5.25%, 7/1/29 2,339,590
-------------------------------------------------------------------------
$ 11,815,367
-------------------------------------------------------------------------
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
-------------------------------------------------------------------------
Housing -- 6.7%
-------------------------------------------------------------------------
$ 1,750 California Statewide Communities
Development Authority, (Chesapeake Bay
Apartments), 6.00%, 6/1/32 $ 1,522,290
1,000 California Statewide Communities
Development Authority, (Corporate Fund
for Housing), 6.50%, 12/1/29 935,600
500 California Statewide Communities
Development Authority, (Corporate Fund
for Housing), 7.25%, 12/1/34 486,445
1,750 California Statewide Communities
Development Authority, (Nantucket Bay
Apartments), 6.00%, 6/1/32 1,522,290
1,700 California Statewide Communities
Development Authority, (Oaks at Sunset
Apartments), 6.00%, 6/1/36 1,472,217
800 Commerce, (Hermitage III Senior
Apartments), 6.50%, 12/1/29 747,544
450 Commerce, (Hermitage III Senior
Apartments), 6.85%, 12/1/29 434,565
2,765 Monterey County Housing Authority,
Multifamily, (Parkside Manor
Apartments), 5.00%, 1/1/29 2,223,254
-------------------------------------------------------------------------
$ 9,344,205
-------------------------------------------------------------------------
Insured-Education -- 2.5%
-------------------------------------------------------------------------
$ 3,730 California Public Works Board,
(California Community Colleges), (MBIA),
5.25%, 9/1/19 $ 3,471,138
-------------------------------------------------------------------------
$ 3,471,138
-------------------------------------------------------------------------
Insured-Electric Utilities -- 2.7%
-------------------------------------------------------------------------
$ 750 California Pollution Control Financing
Authority, (Southern California Edison
Co.), (MBIA), 5.45%, 9/1/29 $ 698,730
3,250 California Pollution Control Financing
Authority, (Southern California Edison
Co.), (MBIA), (AMT), 5.55%, 9/1/31 3,015,057
-------------------------------------------------------------------------
$ 3,713,787
-------------------------------------------------------------------------
Insured-General Obligations -- 0.9%
-------------------------------------------------------------------------
$ 3,650 Burbank Unified School District, (FGIC),
0.00%, 8/1/18 $ 1,243,737
-------------------------------------------------------------------------
$ 1,243,737
-------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
11
<PAGE>
CALIFORNIA MUNICIPAL INCOME TRUST AS OF MAY 31, 2000
PORTFOLIO OF INVESTMENTS (UNAUDITED) CONT'D
<TABLE>
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
-------------------------------------------------------------------------
Insured-Hospital -- 5.0%
-------------------------------------------------------------------------
$ 7,500 California Health Facilities Authority,
(Little Company of Mary Health
Services), (AMBAC), 4.50%, 10/1/28 $ 5,771,550
1,245 California Statewide Communities
Development Authority, (Sutter Health)
Residual Certificates, (FSA), Variable
Rate, 8/15/27(2)(3) 1,150,442
-------------------------------------------------------------------------
$ 6,921,992
-------------------------------------------------------------------------
Insured-Lease Revenue / Certificates of Participation -- 6.0%
-------------------------------------------------------------------------
$11,500 Anaheim Public Financing Authority,
(Public Improvements), (FSA),
0.00%, 9/1/28 $ 2,025,150
4,400 San Diego (Convention Center Expansion
Financing), (AMBAC), 4.75%, 4/1/28 3,613,280
3,750 San Mateo County Joint Powers Financing
Authority, (FSA), Variable Rate,
7/15/29(1)(2) 2,690,962
-------------------------------------------------------------------------
$ 8,329,392
-------------------------------------------------------------------------
Insured-Special Tax Revenue -- 3.5%
-------------------------------------------------------------------------
$ 5,000 Pasadena, (Community Facilities District
North 1), (FSA), 5.25%, 12/1/25 $ 4,528,500
525 Puerto Rico Infrastructure Financing
Authority, (AMBAC), Variable Rate,
7/1/28(3) 314,234
-------------------------------------------------------------------------
$ 4,842,734
-------------------------------------------------------------------------
Insured-Transportation -- 11.9%
-------------------------------------------------------------------------
$ 3,500 Alameda, CA, Corridor Transportation
Authority, (MBIA), 4.75%, 1/1/25 $ 2,900,030
5,130 Foothills/Eastern Transportation
Corridor Agency, (FSA), 0.00%, 1/1/26 1,082,430
2,300 Port Oakland, (MBIA), (AMT),
5.375%, 11/1/25 2,079,016
2,000 Puerto Rico Highway and Transportation
Authority, STRIPES, (FSA),
4.75%, 7/1/38 1,605,880
4,000 San Francisco City and County Airports
Commission, (International Airport),
(FSA), 4.75%, 5/1/29 3,263,360
6,000 San Francisco, (Bay Area Rapid
Transportation District), (FGIC),
5.50%, 7/1/34 5,615,640
-------------------------------------------------------------------------
$ 16,546,356
-------------------------------------------------------------------------
Insured-Water and Sewer -- 10.1%
-------------------------------------------------------------------------
$ 5,000 Contra Costa County, Water District,
(MBIA), 5.00%, 10/1/24 $ 4,361,100
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
-------------------------------------------------------------------------
Insured-Water and Sewer (continued)
-------------------------------------------------------------------------
$ 4,000 East Bay Municipal Utilities District,
Wastewater Treatment System, (FGIC),
5.00%, 6/1/26 $ 3,446,160
5,500 Metropolitan Water District, (Southern
California Waterworks), (MBIA),
4.75%, 7/1/21 4,639,800
2,000 San Diego County Water Authority,
(FGIC), 4.75%, 5/1/28 1,637,220
-------------------------------------------------------------------------
$ 14,084,280
-------------------------------------------------------------------------
Lease Revenue / Certificates of Participation -- 5.4%
-------------------------------------------------------------------------
$ 4,000 Duarte, Certificates of Participation,
5.25%, 4/1/24 $ 3,313,920
4,000 Sacramento City Financing Authority,
5.40%, 11/1/20 3,778,240
500 Turlock Public Financing Authority,
5.45%, 9/1/24 422,950
-------------------------------------------------------------------------
$ 7,515,110
-------------------------------------------------------------------------
Special Tax Revenue -- 11.3%
-------------------------------------------------------------------------
$ 1,500 Bonita Canyon Public Facilities
Financing Authority, 5.375%, 9/1/28 $ 1,233,030
895 Brentwood Infrastructure Financing
Authority, 5.625%, 9/2/29 754,691
1,000 Brentwood Infrastructure Financing
Authority, 6.00%, 9/1/29 913,570
2,000 Corona Public Financing Authority,
5.80%, 9/1/20 1,780,560
1,590 Fontana Redevelopment Agency, (Jurupa
Hills), 5.60%, 10/1/27 1,375,255
750 Irvine, Improvement Bond Act of 1915,
5.50%, 9/2/22 651,638
1,000 Irvine, Improvement Bond Act of 1915,
6.00%, 9/2/23 927,380
1,740 Lincoln Public Financing Authority,
Improvement Bond Act of 1915 (Twelve
Bridges), 6.20%, 9/2/25 1,627,909
2,465 Oakland Joint Powers Financing
Authority, 5.40%, 9/2/18 2,290,429
1,000 Oakland Joint Powers Financing
Authority, 5.50%, 9/2/24 916,770
250 Puerto Rico Infrastructure Financing
Authority, Variable Rate, 7/1/28(1)(2) 183,090
700 Rancho Cucamonga Public Financing
Authority, 6.00%, 9/2/20 648,585
1,250 Roseville Special Tax, 6.30%, 9/1/25 1,171,338
1,325 San Pablo Redevelopment Agency,
5.65%, 12/1/23 1,194,090
-------------------------------------------------------------------------
$ 15,668,335
-------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
12
<PAGE>
CALIFORNIA MUNICIPAL INCOME TRUST AS OF MAY 31, 2000
PORTFOLIO OF INVESTMENTS (UNAUDITED) CONT'D
<TABLE>
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
-------------------------------------------------------------------------
Transportation -- 3.5%
-------------------------------------------------------------------------
$ 3,750 Los Angeles County Metropolitan
Transportation Authority, Variable Rate,
7/1/28(1)(2) $ 2,403,750
1,170 Port Redwood City, (AMT),
5.125%, 6/1/30 916,262
2,515 Puerto Rico Highway and Transportation
Authority, Variable Rate, 7/1/28(2)(3) 1,505,328
-------------------------------------------------------------------------
$ 4,825,340
-------------------------------------------------------------------------
Water and Sewer -- 2.1%
-------------------------------------------------------------------------
$ 2,500 Metropolitan Water District, (Southern
California Waterworks), Variable Rate,
7/1/27(1)(2) $ 1,468,600
1,500 Santa Margarita Water District,
6.20%, 9/1/20 1,444,155
-------------------------------------------------------------------------
$ 2,912,755
-------------------------------------------------------------------------
Total Tax-Exempt Investments -- 98.1%
(identified cost $155,642,595) $136,265,111
-------------------------------------------------------------------------
Other Assets, Less Liabilities -- 1.9% $ 2,568,850
-------------------------------------------------------------------------
Net Assets -- 100.0% $138,833,961
-------------------------------------------------------------------------
</TABLE>
AMT - Interest earned from these securities may be considered a tax
preference item for purposes of the Federal Alternative Minimum Tax.
The Trust invests primarily in debt securities issued by California
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 May 31, 2000, 43.4% of the securities in the
portfolio of investments are backed by bond insurance of various financial
institutions and financial guaranty assurance agencies. The aggregate
percentage insured by financial institutions ranged from 7.1% to 15.5% of
total investments.
(1) Security has been issued as an inverse floater bond.
(2) Security exempt from registration under Rule 144A of the Securities Act
of 1933. These securities may be resold in transactions exempt from
registration, normally to qualified institutional buyers.
(3) Security has been issued as a leveraged inverse floater bond.
SEE NOTES TO FINANCIAL STATEMENTS
13
<PAGE>
FLORIDA MUNICIPAL INCOME TRUST AS OF MAY 31, 2000
PORTFOLIO OF INVESTMENTS (UNAUDITED)
TAX-EXEMPT INVESTMENTS -- 98.7%
<TABLE>
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
------------------------------------------------------------------------
Education -- 1.1%
------------------------------------------------------------------------
$1,000 Volusia County Educational Facilities
Authority, (Embry Riddle Aeronautical),
5.75%, 10/15/29 $ 903,960
------------------------------------------------------------------------
$ 903,960
------------------------------------------------------------------------
Electric Utilities -- 2.8%
------------------------------------------------------------------------
$1,100 Guam Power Authority, 5.125%, 10/1/29 $ 897,325
2,000 Jacksonville Electric Authority,
Variable Rate, 10/1/32(1)(2) 1,385,620
------------------------------------------------------------------------
$ 2,282,945
------------------------------------------------------------------------
General Obligations -- 8.0%
------------------------------------------------------------------------
$1,250 Florida, Variable Rate, 7/1/27(1)(2) $ 884,687
3,000 Florida Board of Education,
4.75%, 6/1/28 2,401,170
2,000 New York State, 5.00%, 3/15/29 1,657,460
2,250 Puerto Rico, Variable Rate, 7/1/27(1)(2) 1,661,827
------------------------------------------------------------------------
$ 6,605,144
------------------------------------------------------------------------
Hospital -- 10.2%
------------------------------------------------------------------------
$2,500 Escambia County Health Facilities
Authority, (Charity Obligation Group),
5.00%, 11/1/28 $ 2,418,100
500 Halifax Medical Center, 7.25%, 10/1/29 456,435
3,000 Highlands County Health Facilities
Authority, (Adventist Health System),
5.25%, 11/15/28 2,281,380
2,000 Maricopa County, AZ, IDA, (Mayo Clinic),
5.25%, 11/15/37 1,695,740
1,550 Marion County Hospital District,
5.50%, 10/1/29 1,325,544
265 Orange County Health Facilities
Authority, (Westminster Community Care),
6.60%, 4/1/24 233,489
------------------------------------------------------------------------
$ 8,410,688
------------------------------------------------------------------------
Housing -- 1.2%
------------------------------------------------------------------------
$1,000 Muni Mae Tax Revenue Exempt Bond, (AMT),
Variable Rate, 6/30/09 $ 978,240
------------------------------------------------------------------------
$ 978,240
------------------------------------------------------------------------
Industrial Development Revenue -- 3.8%
------------------------------------------------------------------------
$1,000 Broward County IDR, (Lynxs Cargoport),
(AMT), 6.75%, 6/1/19 $ 915,360
1,000 New Jersey EDA, (Continental Airlines),
(AMT), 6.25%, 9/15/29 880,160
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
------------------------------------------------------------------------
Industrial Development Revenue (continued)
------------------------------------------------------------------------
$1,400 Puerto Rico Port Authority, (American
Airlines), (AMT), 6.25%, 6/1/26 $ 1,329,510
------------------------------------------------------------------------
$ 3,125,030
------------------------------------------------------------------------
Insured-Electric Utilities -- 5.9%
------------------------------------------------------------------------
$1,600 Burke County Development Authority
(Georgia Power Co.), (MBIA),
5.45%, 5/1/34 $ 1,419,280
4,000 Sunrise Utilities Systems, (AMBAC),
5.00%, 10/1/28 3,452,040
------------------------------------------------------------------------
$ 4,871,320
------------------------------------------------------------------------
Insured-General Obligations -- 2.3%
------------------------------------------------------------------------
$2,500 Florida Board of Education, (Capital
Outlay), (MBIA), 4.50%, 6/1/28 $ 1,919,825
------------------------------------------------------------------------
$ 1,919,825
------------------------------------------------------------------------
Insured-Hospital -- 2.4%
------------------------------------------------------------------------
$2,500 Tampa, (Catholic Health System), (MBIA),
4.75%, 11/15/28 $ 1,983,500
------------------------------------------------------------------------
$ 1,983,500
------------------------------------------------------------------------
Insured-Special Tax Revenue -- 15.4%
------------------------------------------------------------------------
$2,200 Dade County Special Obligation, (AMBAC),
Variable Rate, 10/1/35(1) $ 1,508,364
4,000 Jacksonville Capital Improvement
Revenue, (Stadium), (AMBAC),
4.75%, 10/1/25 3,261,200
1,470 Miami Beach Resort Tax, (AMBAC),
6.25%, 10/1/22 1,547,351
4,000 Miami-Dade County, (Professional Sport
Franchise), (MBIA), 4.75%, 10/1/30 3,204,080
1,395 Miami-Dade County, Special Obligation,
(MBIA), 5.00%, 10/1/37 1,164,016
440 Puerto Rico Infrastructure Financing
Authority, (AMBAC), Variable Rate,
7/1/28(3) 263,358
2,250 Village Center Community Development
District, (MBIA), 4.75%, 11/1/22 1,842,277
------------------------------------------------------------------------
$12,790,646
------------------------------------------------------------------------
Insured-Transportation -- 5.2%
------------------------------------------------------------------------
$4,500 Florida Turnpike Authority, (Department
of Transportation), (FGIC),
4.50%, 7/1/27 $ 3,492,270
1,000 Orlando and Orange County Expressway
Authority, (FGIC), 5.00%, 7/1/28 852,980
------------------------------------------------------------------------
$ 4,345,250
------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
14
<PAGE>
FLORIDA MUNICIPAL INCOME TRUST AS OF MAY 31, 2000
PORTFOLIO OF INVESTMENTS (UNAUDITED) CONT'D
<TABLE>
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
------------------------------------------------------------------------
Insured-Utilities -- 2.8%
------------------------------------------------------------------------
$2,750 Jupiter Island, Utility System,(South
Martin Regional Utility), (MBIA),
5.00%, 10/1/28 $ 2,343,577
------------------------------------------------------------------------
$ 2,343,577
------------------------------------------------------------------------
Insured-Water and Sewer -- 12.3%
------------------------------------------------------------------------
$2,000 Cocoa, Water and Sewer, (FGIC),
4.50%, 10/1/22 $ 1,584,560
2,000 Englewood Water District Utility, (FSA),
4.75%, 10/1/23 1,649,960
1,000 Okeechobee Utility Authority, (FSA),
5.00%, 10/1/25 860,660
1,250 Tampa Bay Water Utility System, (FGIC),
5.75%, 10/1/29 1,211,188
2,000 Tampa Bay Water Utility System, (FGIC),
Variable Rate, 10/1/27(1)(2) 1,236,460
4,500 Winter Haven Utilities System, (MBIA),
4.75%, 10/1/28 3,626,685
------------------------------------------------------------------------
$10,169,513
------------------------------------------------------------------------
Nursing Home -- 3.1%
------------------------------------------------------------------------
$ 850 Alachua County Health Facilities
Authority, (Beverly Enterprises Inc. ),
6.75%, 4/1/10 $ 796,561
1,500 Lee County IDA, (Shell Point Village),
5.50%, 11/15/29 1,137,150
735 Orange County Health Facilities
Authority, (Westminster Community Care),
6.75%, 4/1/34 637,973
------------------------------------------------------------------------
$ 2,571,684
------------------------------------------------------------------------
Pooled Loans -- 0.6%
------------------------------------------------------------------------
$ 500 Osceola County IDA Community Provider
Pooled Loan, 7.75%, 7/1/17 $ 507,570
------------------------------------------------------------------------
$ 507,570
------------------------------------------------------------------------
Senior Living / Life Care -- 0.9%
------------------------------------------------------------------------
$ 850 Okaloosa County Retirement Rental
Housing, (Encore Retirement Partners),
6.125%, 2/1/14 $ 705,900
------------------------------------------------------------------------
$ 705,900
------------------------------------------------------------------------
Special Tax Revenue -- 5.2%
------------------------------------------------------------------------
$1,000 Fleming Island Plantation Community
Development District, 6.30%, 2/1/05 $ 990,170
900 Heritage Springs Community Development
District, 6.75%, 5/1/21 871,101
1,000 Longleaf Community Development District,
6.65%, 5/1/20 908,430
585 North Springs Improvement District,
(Heron Bay), 7.00%, 5/1/19 582,221
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
------------------------------------------------------------------------
Special Tax Revenue (continued)
------------------------------------------------------------------------
$1,000 University Square Community Development
District, 6.75%, 5/1/20 $ 963,420
------------------------------------------------------------------------
$ 4,315,342
------------------------------------------------------------------------
Transportation -- 7.9%
------------------------------------------------------------------------
$2,250 Florida Ports Financing Commission,
5.50%, 10/1/29 $ 2,062,170
1,500 Greater Orlando Aviation Authority,
(AMT), Variable Rate, 10/1/18 1,083,255
650 Lee County Airport, 6.00%, 10/1/29 642,421
2,000 Puerto Rico Highway and Transportation
Authority, 5.50%, 7/1/36 1,830,260
1,165 Puerto Rico Highway and Transportation
Authority, Variable Rate, 7/1/26(2)(3) 968,791
------------------------------------------------------------------------
$ 6,586,897
------------------------------------------------------------------------
Water and Sewer -- 7.6%
------------------------------------------------------------------------
$2,000 Jacksonville, Water and Sewer,
5.375%, 10/1/29 $ 1,786,700
1,500 Metropolitan Water District, (Southern
California Waterworks), Variable Rate,
7/1/27(1)(2) 881,160
1,000 Northern Palm Beach County Improvement
District, (Water Control and
Improvement), 6.00%, 8/1/25 902,440
3,000 Seminole County, Water and Sewer,
5.375%, 10/1/22 2,748,300
------------------------------------------------------------------------
$ 6,318,600
------------------------------------------------------------------------
Total Tax-Exempt Investments -- 98.7%
(identified cost $94,741,272) $81,735,631
------------------------------------------------------------------------
Other Assets, Less Liabilities -- 1.3% $ 1,099,116
------------------------------------------------------------------------
Net Assets -- 100.0% $82,834,747
------------------------------------------------------------------------
</TABLE>
AMT - Interest earned from these securities may be considered a tax
preference item for purposes of the Federal Alternative Minimum Tax.
The Trust invests primarily in debt securities issued by Florida
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 May 31, 2000, 47.0% of the securities in the
portfolio of investments are backed by bond insurance of various financial
institutions and financial guaranty assurance agencies. The aggregate
percentage insured by financial institutions ranged from 3.1% to 21.4% of
total investments.
(1) Security has been issued as an inverse floater bond.
(2) Security exempt from registration under Rule 144A of the Securities Act
of 1933. These securities may be resold in transactions exempt from
registration, normally to qualified institutional buyers.
(3) Security has been issued as a leveraged inverse floater bond.
SEE NOTES TO FINANCIAL STATEMENTS
15
<PAGE>
MASSACHUSETTS MUNICIPAL INCOME TRUST AS OF MAY 31, 2000
PORTFOLIO OF INVESTMENTS (UNAUDITED)
TAX-EXEMPT INVESTMENTS -- 97.1%
<TABLE>
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
------------------------------------------------------------------------
Education -- 21.8%
------------------------------------------------------------------------
$2,500 Massachusetts Development Finance
Agency, (Boston University),
5.45%, 5/15/59 $ 2,091,050
1,000 Massachusetts Development Finance
Agency, (Clark University),
5.00%, 7/1/28 805,820
1,250 Massachusetts Development Finance
Agency, (Eastern Nazarene College),
5.625%, 4/1/29 1,046,812
1,000 Massachusetts Development Finance
Agency, (Suffolk University),
5.85%, 7/1/29 894,410
1,500 Massachusetts Development Finance
Agency, (Wheeler School),
6.50%, 12/1/29 1,447,650
1,250 Massachusetts Development Finance
Agency, (Xaverian Brothers High School),
5.65%, 7/1/29 1,088,837
2,500 Massachusetts HEFA, (Massachusetts
Institute of Technology), 4.75%, 1/1/28 2,050,625
750 Massachusetts HEFA, (Wellesley College),
5.125%, 7/1/39 632,355
500 Massachusetts IFA, (Babson College),
5.25%, 10/1/27 423,955
400 Massachusetts IFA, (Belmont Hill
School), 5.25%, 9/1/28 335,976
------------------------------------------------------------------------
$10,817,490
------------------------------------------------------------------------
Electric Utilities -- 1.2%
------------------------------------------------------------------------
$ 720 Guam Power Authority, 5.125%, 10/1/29 $ 587,340
------------------------------------------------------------------------
$ 587,340
------------------------------------------------------------------------
Escrowed / Prerefunded -- 0.2%
------------------------------------------------------------------------
$ 100 Massachusetts Turnpike Authority,
(MBIA), Escrowed to Maturity,
5.00%, 1/1/20 $ 90,109
------------------------------------------------------------------------
$ 90,109
------------------------------------------------------------------------
General Obligations -- 4.9%
------------------------------------------------------------------------
$1,250 Puerto Rico, Variable Rate, 7/1/27(1)(2) $ 923,237
1,715 Westfield, 5.00%, 5/1/20 1,525,355
------------------------------------------------------------------------
$ 2,448,592
------------------------------------------------------------------------
Health Care-Miscellaneous -- 3.4%
------------------------------------------------------------------------
$ 700 Massachusetts Development Finance
Agency, (Biomedical Research Corp.),
5.75%, 2/1/29 $ 587,062
600 Massachusetts Development Finance
Agency, (MCHSP Human Services),
6.60%, 8/15/29 525,186
700 Massachusetts HEFA, (Learning Center for
Deaf Children), 6.125%, 7/1/29 590,282
------------------------------------------------------------------------
$ 1,702,530
------------------------------------------------------------------------
Hospital -- 9.7%
------------------------------------------------------------------------
$ 175 Massachusetts HEFA, (Central New England
Health Systems), 6.30%, 8/1/18 $ 150,157
1,000 Massachusetts HEFA,
(Milford-Whitinsville Hospital),
5.25%, 7/15/18 762,240
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
------------------------------------------------------------------------
Hospital (continued)
------------------------------------------------------------------------
$ 125 Massachusetts HEFA,
(Milford-Whitinsville Hospital),
5.375%, 7/15/28 $ 90,810
2,800 Massachusetts HEFA, (Partners Healthcare
System), 5.25%, 7/1/29 2,264,836
1,800 Massachusetts HEFA, (South Shore
Hospital), 5.75%, 7/1/29 1,554,606
------------------------------------------------------------------------
$ 4,822,649
------------------------------------------------------------------------
Industrial Development Revenue -- 1.5%
------------------------------------------------------------------------
$ 750 Massachusetts IFA, (American Hingham
Water Co.), (AMT), 6.60%, 12/1/15 $ 750,090
------------------------------------------------------------------------
$ 750,090
------------------------------------------------------------------------
Insured-Education -- 14.5%
------------------------------------------------------------------------
$ 850 Massachusetts HEFA, (Berklee College of
Music), (MBIA), Variable Rate,
10/1/27(1)(2) $ 621,877
2,500 Massachusetts HEFA, (Brandeis
University), (MBIA), 4.75%, 10/1/28 2,015,400
1,000 Massachusetts HEFA, (Northeastern
University), (MBIA), 5.00%, 10/1/29 845,150
1,000 Massachusetts IFA, (Merrimack College),
(MBIA), 5.00%, 7/1/27 846,890
3,000 Massachusetts IFA, (Tufts University),
(MBIA), 4.75%, 2/15/28 2,425,350
500 Massachusetts IFA, (WGBH), (AMBAC),
5.00%, 3/1/28 421,710
------------------------------------------------------------------------
$ 7,176,377
------------------------------------------------------------------------
Insured-Hospital -- 8.9%
------------------------------------------------------------------------
$1,250 Massachusetts HEFA, (Catholic Health
East), (AMBAC), 5.00%, 11/15/28 $ 1,029,788
1,000 Massachusetts HEFA, (Harvard Pilgrim
Health), (FSA), 5.00%, 7/1/28 813,500
2,250 Massachusetts HEFA, (Southcoast Health
System), (MBIA), 4.75%, 7/1/27 1,761,930
1,000 Massachusetts HEFA, (UMass Medical
Center), (AMBAC), 5.00%, 7/1/28 824,650
------------------------------------------------------------------------
$ 4,429,868
------------------------------------------------------------------------
Insured-Industrial Development Revenue -- 2.0%
------------------------------------------------------------------------
$1,000 Massachusetts Port Authority, (US
Airways), (MBIA), (AMT), 6.00%, 9/1/21 $ 986,310
------------------------------------------------------------------------
$ 986,310
------------------------------------------------------------------------
Insured-Lease Revenue / Certificates of Participation -- 4.2%
------------------------------------------------------------------------
$2,450 Plymouth County, (Plymouth County
Correctional Facility), (AMBAC),
5.00%, 4/1/22 $ 2,101,929
------------------------------------------------------------------------
$ 2,101,929
------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
16
<PAGE>
MASSACHUSETTS MUNICIPAL INCOME TRUST AS OF MAY 31, 2000
PORTFOLIO OF INVESTMENTS (UNAUDITED) CONT'D
<TABLE>
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
------------------------------------------------------------------------
Insured-Senior Living / Life Care -- 1.0%
------------------------------------------------------------------------
$ 500 Massachusetts IDA, (Alzheimers Center),
(FHA), 6.00%, 2/1/37 $ 477,900
------------------------------------------------------------------------
$ 477,900
------------------------------------------------------------------------
Insured-Special Tax Revenue -- 0.9%
------------------------------------------------------------------------
$ 735 Puerto Rico Infrastructure Financing
Authority, (AMBAC), Variable Rate,
7/1/28(3) $ 439,927
------------------------------------------------------------------------
$ 439,927
------------------------------------------------------------------------
Insured-Transportation -- 7.8%
------------------------------------------------------------------------
$1,000 Massachusetts Port Authority, (FGIC),
(AMT), 5.00%, 7/1/28 $ 829,180
2,000 Massachusetts Turnpike Authority,
(MBIA), 5.25%, 1/1/29 1,767,560
1,450 Rail Connections, Inc., (Route 128
Parking), (ACA), 0.00%, 7/1/20 388,615
3,720 Rail Connections, Inc., (Route 128
Parking), (ACA), 0.00%, 7/1/22 863,338
------------------------------------------------------------------------
$ 3,848,693
------------------------------------------------------------------------
Insured-Water and Sewer -- 2.5%
------------------------------------------------------------------------
$1,500 Massachusetts Water Pollution Abatement
Trust, (FGIC), 4.75%, 2/1/26 $ 1,223,085
------------------------------------------------------------------------
$ 1,223,085
------------------------------------------------------------------------
Nursing Home -- 2.1%
------------------------------------------------------------------------
$ 595 Massachusetts Development Finance
Agency, (Odd Fellows Home of
Massachusetts), 6.25%, 1/1/15 $ 524,159
600 Massachusetts HEFA, (Christopher House),
6.875%, 1/1/29 538,026
------------------------------------------------------------------------
$ 1,062,185
------------------------------------------------------------------------
Senior Living / Life Care -- 2.3%
------------------------------------------------------------------------
$1,500 Massachusetts Development Finance
Agency, (Berkshire Retirement),
5.625%, 7/1/29 $ 1,149,675
------------------------------------------------------------------------
$ 1,149,675
------------------------------------------------------------------------
Special Tax Revenue -- 1.2%
------------------------------------------------------------------------
$ 800 Puerto Rico Infrastructure Financing
Authority, Variable Rate, 7/1/28(1)(2) $ 585,888
------------------------------------------------------------------------
$ 585,888
------------------------------------------------------------------------
Transportation -- 4.2%
------------------------------------------------------------------------
$1,350 Massachusetts Bay Transportation
Authority, Variable Rate, 3/1/27(1)(2) $ 939,465
1,100 Massachusetts Turnpike Authority,
Metropolitan Highway System, Variable
Rate, 1/1/39(2)(3) 543,884
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
------------------------------------------------------------------------
Transportation (continued)
------------------------------------------------------------------------
$1,000 Puerto Rico Highway and Transportation
Authority, Variable Rate, 7/1/28(2)(3) $ 598,540
------------------------------------------------------------------------
$ 2,081,889
------------------------------------------------------------------------
Water and Sewer -- 2.8%
------------------------------------------------------------------------
$1,500 Massachusetts Water Pollution Abatement
Trust PCR, 5.375%, 8/1/27 $ 1,371,045
------------------------------------------------------------------------
$ 1,371,045
------------------------------------------------------------------------
Total Tax-Exempt Investments
(identified cost $55,727,111) $48,153,571
------------------------------------------------------------------------
</TABLE>
COMMON STOCKS -- 0.7%
<TABLE>
<CAPTION>
SECURITY SHARES VALUE
<S> <C> <C>
--------------------------------------------------------------
Investment Companies -- 0.7%
--------------------------------------------------------------
Nuveen Massachusetts Premium Income
Municipal Fund 13,000 $ 182,000
Van Kampen Massachusetts Value Municipal
Income Trust 14,500 192,125
--------------------------------------------------------------
$ 374,125
--------------------------------------------------------------
Total Common Stocks
(identified cost $433,537) $ 374,125
--------------------------------------------------------------
Total Investments -- 97.8%
(identified cost $56,160,648) $48,527,696
--------------------------------------------------------------
Other Assets, Less Liabilities -- 2.2% $ 1,072,766
--------------------------------------------------------------
Net Assets -- 100.0% $49,600,462
--------------------------------------------------------------
</TABLE>
AMT - Interest earned from these securities may be considered a tax
preference item for purposes of the Federal Alternative Minimum Tax.
The Trust invests primarily in debt securities issued by Massachusetts
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 May 31, 2000, 42.8% of the securities in the
portfolio of investments are backed by bond insurance of various financial
institutions and financial guaranty assurance agencies. The aggregate
percentage insured by financial institutions ranged from 1.0% to 23.4% of
total investments.
(1) Security has been issued as an inverse floater bond.
(2) Security exempt from registration under Rule 144A of the Securities Act
of 1933. These securities may be resold in transactions exempt from
registration, normally to qualified institutional buyers.
(3) Security has been issued as a leveraged inverse floater bond.
SEE NOTES TO FINANCIAL STATEMENTS
17
<PAGE>
MICHIGAN MUNICIPAL INCOME TRUST AS OF MAY 31, 2000
PORTFOLIO OF INVESTMENTS (UNAUDITED)
TAX-EXEMPT INVESTMENTS -- 98.6%
<TABLE>
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
------------------------------------------------------------------------
General Obligations -- 3.8%
------------------------------------------------------------------------
$1,000 Michigan Building Authority Revenue,
4.75%, 10/15/21 $ 825,880
1,000 Puerto Rico, Variable Rate, 7/1/27(1)(2) 738,590
------------------------------------------------------------------------
$ 1,564,470
------------------------------------------------------------------------
Health Care -- 1.7%
------------------------------------------------------------------------
$ 750 Michigan Hospital Finance Authority,
(Ascension Health Credit),
6.125%, 11/15/26 $ 712,852
------------------------------------------------------------------------
$ 712,852
------------------------------------------------------------------------
Hospital -- 17.8%
------------------------------------------------------------------------
$ 400 Allegan Hospital Finance Authority,
(Allegan General Hospital),
7.00%, 11/15/21 $ 389,096
1,000 Dickinson County Healthcare Systems,
5.80%, 11/1/24 771,540
1,000 Flint Hospital Building Authority,
(Hurley Medical Center), 5.375%, 7/1/20 744,910
445 John Tolfree Health System Corp.,
6.00%, 9/15/23 364,219
500 Mecosta County, (Michigan General
Hospital), 6.00%, 5/15/18 421,650
2,000 Michigan Health Facilities Authority,
(Henry Ford Health), 5.25%, 11/15/25 1,661,700
2,275 Michigan Health Facilities Authority,
(McLaren Obligated Group),
4.50%, 10/15/21 1,668,166
750 Michigan Hospital Finance Authority,
(Memorial Healthcare Center),
5.875%, 11/15/21 624,765
750 Royal Oak Hospital Finance Authority,
(William Beaumont Hospital),
5.25%, 1/1/20 655,575
------------------------------------------------------------------------
$ 7,301,621
------------------------------------------------------------------------
Industrial Development Revenue -- 3.4%
------------------------------------------------------------------------
$ 800 Michigan Strategic Fund, (S.D. Warren
Co.), (AMT), 7.375%, 1/15/22 $ 818,952
625 Puerto Rico Port Authority, (American
Airlines), (AMT), 6.25%, 6/1/26 593,531
------------------------------------------------------------------------
$ 1,412,483
------------------------------------------------------------------------
Insured-Education -- 4.7%
------------------------------------------------------------------------
$1,000 Central Michigan University, (FGIC),
5.00%, 10/1/23 $ 863,410
1,250 Central Michigan University, (FGIC),
5.00%, 10/1/27 1,063,412
------------------------------------------------------------------------
$ 1,926,822
------------------------------------------------------------------------
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
------------------------------------------------------------------------
Insured-Electric Utilities -- 2.2%
------------------------------------------------------------------------
$1,000 Michigan Strategic Fund, (Detroit Edison
Co.), (MBIA), (AMT), 5.55%, 9/1/29 $ 914,510
------------------------------------------------------------------------
$ 914,510
------------------------------------------------------------------------
Insured-General Obligations -- 45.3%
------------------------------------------------------------------------
$2,000 Byron Center Public Schools, (FSA),
5.00%, 5/1/24 $ 1,717,100
2,000 Ceder Springs Public Schools, (FSA),
5.00%, 5/1/24 1,717,100
1,000 Central Montcalm Public Schools, (MBIA),
6.00%, 5/1/29 983,090
250 Chelsea School District, (FGIC),
5.00%, 5/1/25 213,997
1,100 Detroit Downtown Development, (MBIA),
4.75%, 7/1/25 898,909
2,500 Detroit School District, (FGIC),
4.75%, 5/1/28 2,019,275
1,250 Eaton Rapids Public Schools, (MBIA),
4.75%, 5/1/25 1,019,413
2,000 Fenton Area Public Schools, (FGIC),
5.00%, 5/1/24 1,717,100
1,500 Greenville Public Schools, (FSA),
5.00%, 5/1/24 1,287,825
600 Haslett Public School District, (FSA),
4.75%, 5/1/26 480,186
2,500 Lincoln Park School District, (FGIC),
5.00%, 5/1/26 2,136,825
1,000 Michigan State Trunk Line, (MBIA),
5.00%, 11/1/26 853,590
2,000 Novi Building Authority, (FSA),
5.50%, 10/1/25 1,864,280
2,000 Three Rivers Community Schools, (FSA),
5.00%, 5/1/23 1,724,720
------------------------------------------------------------------------
$18,633,410
------------------------------------------------------------------------
Insured-Hospital -- 9.0%
------------------------------------------------------------------------
$1,500 Lenawee County Hospital Finance,
(Lenawee Health Alliance), (AMBAC),
5.00%, 7/1/28 $ 1,247,175
1,500 Michigan Health Facilities Authority,
(Detroit Medical Group), (AMBAC),
5.25%, 8/15/27 1,296,960
1,250 Saginaw Hospital Finance Authority,
(Covenant Medical Center), (MBIA),
5.50%, 7/1/24 1,150,738
------------------------------------------------------------------------
$ 3,694,873
------------------------------------------------------------------------
Insured-Special Tax Revenue -- 0.7%
------------------------------------------------------------------------
$ 455 Puerto Rico Infrastructure Financing
Authority, (AMBAC), Variable Rate,
7/1/28(3) $ 272,336
------------------------------------------------------------------------
$ 272,336
------------------------------------------------------------------------
Insured-Water and Sewer -- 3.0%
------------------------------------------------------------------------
$1,500 Grand Rapids Sanitary Sewer System,
(FGIC), 4.75%, 1/1/28 $ 1,213,380
------------------------------------------------------------------------
$ 1,213,380
------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
18
<PAGE>
MICHIGAN MUNICIPAL INCOME TRUST AS OF MAY 31, 2000
PORTFOLIO OF INVESTMENTS (UNAUDITED) CONT'D
<TABLE>
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
------------------------------------------------------------------------
Lease Revenue / Certificates of Participation -- 0.5%
------------------------------------------------------------------------
$ 250 Puerto Rico, (Guaynabo Municipal
Government Center Lease), 5.625%, 7/1/22 $ 218,193
------------------------------------------------------------------------
$ 218,193
------------------------------------------------------------------------
Special Tax Revenue -- 1.1%
------------------------------------------------------------------------
$ 600 Puerto Rico Infrastructure Financing
Authority, Variable Rate, 7/1/28(1)(2) $ 439,416
------------------------------------------------------------------------
$ 439,416
------------------------------------------------------------------------
Transportation -- 5.4%
------------------------------------------------------------------------
$ 750 Kent County Airport Facility, Variable
Rate, 1/1/25(1)(2) $ 540,330
670 Puerto Rico Highway and Transportation
Authority, Variable Rate, 7/1/28(2)(3) 401,022
600 Puerto Rico Highway and Transportation
Authority, Variable Rate, 7/1/26(2)(3) 498,948
1,175 Wayne Charter County Airport, Variable
Rate, 12/1/28(1)(2) 771,529
------------------------------------------------------------------------
$ 2,211,829
------------------------------------------------------------------------
Total Tax-Exempt Investments -- 98.6%
(identified cost $46,710,587) $40,516,195
------------------------------------------------------------------------
Other Assets, Less Liabilities -- 1.4% $ 570,549
------------------------------------------------------------------------
Net Assets -- 100.0% $41,086,744
------------------------------------------------------------------------
</TABLE>
AMT - Interest earned from these securities may be considered a tax
preference item for purposes of the Federal Alternative Minimum Tax.
The Trust invests primarily in debt securities issued by Michigan
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 May 31, 2000, 65.8% of the securities in the
portfolio of investments are backed by bond insurance of various financial
institutions and financial guaranty assurance agencies. The aggregate
percentage insured by financial institutions ranged from 7.0% to 22.8% of
total investments.
(1) Security has been issued as an inverse floater bond.
(2) Security exempt from registration under Rule 144A of the Securities Act
of 1933. These securities may be resold in transactions exempt from
registration, normally to qualified institutional buyers.
(3) Security has been issued as a leveraged inverse floater bond.
SEE NOTES TO FINANCIAL STATEMENTS
19
<PAGE>
NEW JERSEY MUNICIPAL INCOME TRUST AS OF MAY 31, 2000
PORTFOLIO OF INVESTMENTS (UNAUDITED)
TAX-EXEMPT INVESTMENTS -- 93.0%
<TABLE>
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
------------------------------------------------------------------------
Cogeneration -- 3.9%
------------------------------------------------------------------------
$ 2,350 New Jersey EDA, (Vineland Cogeneration),
(AMT), 7.875%, 6/1/19 $ 2,407,974
1,000 Port Authority of New York and New
Jersey, (KIAC), 6.75%, 10/1/19 991,890
------------------------------------------------------------------------
$ 3,399,864
------------------------------------------------------------------------
Education -- 4.2%
------------------------------------------------------------------------
$ 2,375 New Jersey Educational Facilities
Authority, (Bloomfield College),
5.25%, 6/1/18 $ 2,176,877
1,500 New Jersey Educational Facilities
Authority, (Bloomfield College),
6.85%, 7/1/30 1,513,335
------------------------------------------------------------------------
$ 3,690,212
------------------------------------------------------------------------
General Obligations -- 1.9%
------------------------------------------------------------------------
$ 2,250 Puerto Rico, Variable Rate, 7/1/27(1)(2) $ 1,661,827
------------------------------------------------------------------------
$ 1,661,827
------------------------------------------------------------------------
Hospital -- 9.9%
------------------------------------------------------------------------
$ 2,500 New Jersey Health Care Facilities
Financing Authority, (Burdette Tomlin
Memorial Hospital), 5.50%, 7/1/29 $ 2,167,800
600 New Jersey Health Care Facilities
Financing Authority, (Trinitas
Hospital), 7.50%, 7/1/30 601,356
2,250 New Jersey Health Care Facilities,
(Capital Health System), 5.25%, 7/1/27 1,619,550
2,000 New Jersey Health Care Facilities,
(Hackensack University Medical Center),
6.00%, 1/1/34 1,891,260
1,665 New Jersey Health Care Facilities, (St.
Barnabas Health), Variable Rate,
7/1/28(2)(3) 701,231
2,000 New Jersey Health Care Facilities, (St.
Elizabeth Hospital), 6.00%, 7/1/20 1,676,520
------------------------------------------------------------------------
$ 8,657,717
------------------------------------------------------------------------
Industrial Development Revenue -- 11.0%
------------------------------------------------------------------------
$ 1,000 Gloucester County, Improvements
Authority, (Waste Management, Inc.),
7.00%, 12/1/29 $ 1,005,160
650 Middlesex County, Pollution Control
Authority, (Amerada Hess Corp.),
6.875%, 12/1/22 665,646
1,580 New Jersey EDA, Variable Rate, 5/1/17 1,284,161
1,250 New Jersey EDA, (Continental Airlines),
(AMT), Variable Rate, 9/15/29(1)(2) 947,650
1,000 New Jersey EDA, (Glimcher Properties
REIT), (AMT), 6.00%, 11/1/28 885,090
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
------------------------------------------------------------------------
Industrial Development Revenue (continued)
------------------------------------------------------------------------
$ 1,250 New Jersey EDA, (Kapkowsi Mall),
6.375%, 4/1/31 $ 1,164,988
3,700 New Jersey EDA, (The Seeing Eye, Inc.),
6.20%, 12/1/24 3,711,766
------------------------------------------------------------------------
$ 9,664,461
------------------------------------------------------------------------
Insured-Education -- 8.6%
------------------------------------------------------------------------
$ 5,000 New Brunswick Housing Authority,
(Rutgers University), (FGIC),
4.625%, 7/1/24 $ 4,069,750
2,230 New Jersey Educational Facilities
Authority, (Ramapo College), (AMBAC),
4.625%, 7/1/28 1,789,151
1,750 New Jersey Educational Facilities
Authority, (Ramapo College), (MBIA),
5.75%, 7/1/29 1,707,668
------------------------------------------------------------------------
$ 7,566,569
------------------------------------------------------------------------
Insured-Hospital -- 5.9%
------------------------------------------------------------------------
$ 2,410 New Jersey Health Care Facilities,
(CentraState Medical Center), (AMBAC),
4.50%, 7/1/28 $ 1,857,532
4,250 New Jersey Health Care Facilities,
(Virtua Health Issue), (FSA),
4.50%, 7/1/28 3,294,260
------------------------------------------------------------------------
$ 5,151,792
------------------------------------------------------------------------
Insured-Housing -- 4.2%
------------------------------------------------------------------------
$ 3,800 New Jersey Housing and Mortgage Finance
Agency, (MBIA), (AMT), 5.90%, 10/1/29 $ 3,692,384
------------------------------------------------------------------------
$ 3,692,384
------------------------------------------------------------------------
Insured-Industrial Development Revenue -- 4.5%
------------------------------------------------------------------------
$ 4,750 New Jersey EDA, (Educational Testing
Service), (MBIA), 4.75%, 5/15/25 $ 3,941,218
------------------------------------------------------------------------
$ 3,941,218
------------------------------------------------------------------------
Insured-Solid Waste -- 1.0%
------------------------------------------------------------------------
$ 1,000 Plainfield Utilities Authority, Solid
Waste Revenue, (FSA), 4.75%, 12/15/23 $ 834,090
------------------------------------------------------------------------
$ 834,090
------------------------------------------------------------------------
Insured-Special Tax Revenue -- 6.8%
------------------------------------------------------------------------
$ 4,500 New Jersey Sports and Exposition
Authority, (MBIA), 4.50%, 9/1/20 $ 3,657,600
2,200 New Jersey Sports and Exposition
Authority, (MBIA), 4.50%, 3/1/24 1,753,092
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
20
<PAGE>
NEW JERSEY MUNICIPAL INCOME TRUST AS OF MAY 31, 2000
PORTFOLIO OF INVESTMENTS (UNAUDITED) CONT'D
<TABLE>
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
------------------------------------------------------------------------
Insured-Special Tax Revenue (continued)
------------------------------------------------------------------------
$ 960 Puerto Rico Infrastructure Financing
Authority, (AMBAC), Variable Rate,
7/1/28(3) $ 574,598
------------------------------------------------------------------------
$ 5,985,290
------------------------------------------------------------------------
Insured-Transportation -- 15.8%
------------------------------------------------------------------------
$ 1,000 Delaware River Port Authority, (FSA),
5.625%, 1/1/26 $ 963,220
3,250 Delaware River Port Authority, (FSA),
5.75%, 1/1/26 3,183,765
4,900 New Jersey Transportation Authority,
(FSA), 4.50%, 6/15/19 4,016,873
2,200 Port Authority of New York and New
Jersey, (AMBAC), 4.75%, 1/15/26 1,811,238
4,000 Port Authority of New York and New
Jersey, (MBIA), (AMT), 5.75%, 12/1/25 3,827,560
------------------------------------------------------------------------
$13,802,656
------------------------------------------------------------------------
Insured-Water and Sewer -- 1.0%
------------------------------------------------------------------------
$ 1,000 Plainfield, Municipal Utilities
Authority, Sewer Revenue, (FSA),
4.75%, 12/15/23 $ 834,090
------------------------------------------------------------------------
$ 834,090
------------------------------------------------------------------------
Life Care -- 1.0%
------------------------------------------------------------------------
$ 1,100 New Jersey EDA, (United Methodist
Homes), 5.75%, 7/1/29 $ 852,808
------------------------------------------------------------------------
$ 852,808
------------------------------------------------------------------------
Transportation -- 12.0%
------------------------------------------------------------------------
$ 3,000 New Jersey Highway Authority, (Garden
State Parkway), 5.625%, 1/1/30 $ 2,866,890
1,500 New Jersey Transportation Authority,
Variable Rate, 6/15/17(1)(2) 1,210,725
1,500 New Jersey Turnpike Authority, Variable
Rate, 1/1/30(2)(3) 1,234,365
3,800 Port Authority of New York and New
Jersey, 4.75%, 8/1/33 3,034,984
1,600 Port Authority of New York and New
Jersey, Variable Rate, 3/1/28(3) 1,210,416
1,630 Puerto Rico Highway and Transportation
Authority, Variable Rate, 7/1/28(2)(3) 975,620
------------------------------------------------------------------------
$10,533,000
------------------------------------------------------------------------
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
------------------------------------------------------------------------
Utilities-Electrical and Gas -- 1.3%
------------------------------------------------------------------------
$ 1,450 New Jersey EDA, (Natural Gas Facilities
Revenue), 5.25%, 11/1/33 $ 1,180,750
------------------------------------------------------------------------
$ 1,180,750
------------------------------------------------------------------------
Total Tax-Exempt Investments
(identified cost $92,179,106) $81,448,728
------------------------------------------------------------------------
</TABLE>
COMMON STOCKS -- 5.0%
<TABLE>
<CAPTION>
SECURITY SHARES VALUE
<S> <C> <C>
---------------------------------------------------------------
Investment Companies -- 5.0%
---------------------------------------------------------------
Nuveen New Jersey Investment Quality
Municipal Fund 173,700 $ 2,388,375
Van Kampen Trust for Investment Grade
New Jersey Municipals Fund 142,700 2,033,475
---------------------------------------------------------------
$ 4,421,850
---------------------------------------------------------------
Total Common Stocks
(identified cost $5,231,476) $ 4,421,850
---------------------------------------------------------------
Total Investments -- 98.0%
(identified cost $97,410,582) $85,870,578
---------------------------------------------------------------
Other Assets, Less Liabilities -- 2.0% $ 1,732,043
---------------------------------------------------------------
Net Assets -- 100.0% $87,602,621
---------------------------------------------------------------
</TABLE>
AMT - Interest earned from these securities may be considered a tax
preference item for purposes of the Federal Alternative Minimum Tax.
The Trust invests primarily in debt securities issued by New Jersey
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 May 31, 2000, 48.7% of the securities in the
portfolio of investments are backed by bond insurance of various financial
institutions and financial guaranty assurance agencies. The aggregate
percentage insured by financial institutions ranged from 4.7% to 21.6% of
total investments.
(1) Security has been issued as an inverse floater bond.
(2) Security exempt from registration under Rule 144A of the Securities Act
of 1933. These securities may be resold in transactions exempt from
registration, normally to qualified institutional buyers.
(3) Security has been issued as a leveraged inverse floater bond.
SEE NOTES TO FINANCIAL STATEMENTS
21
<PAGE>
NEW YORK MUNICIPAL INCOME TRUST AS OF MAY 31, 2000
PORTFOLIO OF INVESTMENTS (UNAUDITED)
TAX-EXEMPT INVESTMENTS -- 98.1%
<TABLE>
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
-------------------------------------------------------------------------
Cogeneration -- 0.9%
-------------------------------------------------------------------------
$1,150 Suffolk County IDA, (Nissequogue
Cogeneration Partners Facility), (AMT),
5.50%, 1/1/23 $ 968,748
-------------------------------------------------------------------------
$ 968,748
-------------------------------------------------------------------------
Education -- 9.5%
-------------------------------------------------------------------------
$4,275 New York Dormitory Authority,
(Rockefeller University), 4.75%, 7/1/37 $ 3,439,494
5,750 New York Dormitory Authority, (State
University Educational Facilities),
4.75%, 5/15/28 4,560,325
2,000 Tompkins County IDA, (Cornell
University), 5.75%, 7/1/30 1,934,680
-------------------------------------------------------------------------
$ 9,934,499
-------------------------------------------------------------------------
General Obligations -- 6.6%
-------------------------------------------------------------------------
$4,935 New York City, 6.00%, 8/1/16 $ 4,951,878
2,625 Puerto Rico, Variable Rate, 7/1/27(1)(2) 1,938,799
-------------------------------------------------------------------------
$ 6,890,677
-------------------------------------------------------------------------
Hospital -- 9.9%
-------------------------------------------------------------------------
$ 250 Chautauqua County IDA, (Womans Christian
Association), 6.35%, 11/15/17 $ 228,390
500 Chautauqua County IDA, (Womans Christian
Association), 6.40%, 11/15/29 422,205
1,250 Fulton County IDA, (Nathan Littauer
Hospital), 6.00%, 11/1/18 1,050,650
1,500 New York City IDA, (Ohel Children's
Home), 6.25%, 8/15/22 1,277,730
3,500 New York City, Health and Hospital
Corp., 5.25%, 2/15/17 3,121,615
2,000 New York Dormitory Authority, (Mental
Health Services Facilities),
5.25%, 2/15/19 1,769,940
1,700 New York Dormitory Authority, (Mental
Health Services Facilities),
5.25%, 2/15/29 1,461,252
1,250 Oneida County IDA, (St. Elizabeth
Hospital), 5.75%, 12/1/19 1,011,900
-------------------------------------------------------------------------
$ 10,343,682
-------------------------------------------------------------------------
Housing -- 3.2%
-------------------------------------------------------------------------
$1,250 Mount Vernon IDA, (Wartburg Senior
Housing, Inc. - Meadowview),
6.20%, 6/1/29 $ 1,038,062
2,600 Westchester County IDA, (Children's
Village), 5.375%, 3/15/19 2,335,684
-------------------------------------------------------------------------
$ 3,373,746
-------------------------------------------------------------------------
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
-------------------------------------------------------------------------
Industrial Development Revenue -- 3.3%
-------------------------------------------------------------------------
$2,500 Onondaga County IDA, (Anheuser-Busch),
(AMT), 6.25%, 12/1/34 $ 2,474,150
1,000 Suffolk County IDA, (Jeffersons Ferry),
7.20%, 11/1/19 952,360
-------------------------------------------------------------------------
$ 3,426,510
-------------------------------------------------------------------------
Insured-Education -- 12.7%
-------------------------------------------------------------------------
$1,200 New York Dormitory Authority, (Cooper
Union), (MBIA), 6.25%, 7/1/29 $ 1,224,444
4,385 New York Dormitory Authority, (Court
Facility), (AMBAC), 6.00%, 5/15/39 4,252,748
1,500 New York State Dormitory Authority,
(City University), (AMBAC),
5.00%, 7/1/23 1,291,200
2,610 New York State Dormitory Authority,
(Hamilton College), (MBIA),
4.75%, 7/1/20 2,190,416
4,500 New York State Dormitory Authority, (New
York University), (MBIA), 5.75%, 7/1/27 4,414,995
-------------------------------------------------------------------------
$ 13,373,803
-------------------------------------------------------------------------
Insured-Electric Utilities -- 6.2%
-------------------------------------------------------------------------
$1,655 Long Island Power Authority, Electric
System Revenue, (MBIA), 5.25%, 12/1/26 $ 1,431,525
1,100 Long Island Power Authority, Electric
System Revenue, (MBIA), 5.50%, 12/1/29 1,001,132
4,650 New York State Energy Research and
Development Authority, (Niagara Mohawk
Power), (AMBAC), 5.15%, 11/1/25 4,049,917
-------------------------------------------------------------------------
$ 6,482,574
-------------------------------------------------------------------------
Insured-General Obligations -- 4.1%
-------------------------------------------------------------------------
$1,000 Nassau County, (AMBAC), 5.25%, 6/1/15 $ 945,870
3,615 Nassau County, (AMBAC), 5.25%, 6/1/16 3,389,822
-------------------------------------------------------------------------
$ 4,335,692
-------------------------------------------------------------------------
Insured-Hospital -- 8.7%
-------------------------------------------------------------------------
$5,000 New York Dormitory Authority, (Memorial
Sloan Kettering Cancer Center), (MBIA),
5.50%, 7/1/23 $ 4,740,250
5,500 New York Dormitory Authority, (Municipal
Health Facilities Improvement), (FSA),
4.75%, 1/15/29 4,409,460
-------------------------------------------------------------------------
$ 9,149,710
-------------------------------------------------------------------------
Insured-Special Tax Revenue -- 4.0%
-------------------------------------------------------------------------
$2,375 New York City, Trust for Cultural
Resources, (AMBAC), Variable Rate,
7/1/29(1)(2) $ 2,209,106
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
22
<PAGE>
NEW YORK MUNICIPAL INCOME TRUST AS OF MAY 31, 2000
PORTFOLIO OF INVESTMENTS (UNAUDITED) CONT'D
<TABLE>
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
-------------------------------------------------------------------------
Insured-Special Tax Revenue (continued)
-------------------------------------------------------------------------
$1,250 New York Government Assistance, (AMBAC),
6.00%, 4/1/24 $ 1,239,700
1,190 Puerto Rico Infrastructure Financing
Authority, (AMBAC), Variable Rate,
7/1/28(3) 712,263
-------------------------------------------------------------------------
$ 4,161,069
-------------------------------------------------------------------------
Insured-Transportation -- 11.7%
-------------------------------------------------------------------------
$1,500 Metropolitan Transportation Authority of
New York, (FGIC), 4.75%, 7/1/26 $ 1,222,965
1,400 Metropolitan Transportation Authority of
New York, (FGIC), 4.75%, 7/1/26 1,141,434
1,000 Metropolitan Transportation Authority of
New York, (FGIC), 4.875%, 7/1/18 872,330
4,005 Metropolitan Transportation Authority of
New York, (FSA), 5.25%, 4/1/23 3,594,888
2,325 Monroe County Airport Authority, (MBIA),
(AMT), Variable Rate, 1/1/17(1)(2) 2,349,227
1,750 Niagara Frontier Airport Authority,
(Buffalo Niagara International Airport),
(MBIA), (AMT),
Variable Rate, 4/1/29(1)(2) 1,509,690
1,735 Niagara Frontier Transportation
Authority, (Buffalo Niagara
International Airport), (MBIA), (AMT),
5.625%, 4/1/29 1,615,858
-------------------------------------------------------------------------
$ 12,306,392
-------------------------------------------------------------------------
Lease Revenue / Certificates of Participation -- 2.4%
-------------------------------------------------------------------------
$3,000 New York State Urban Development Corp.,
(Capital Facilities), 5.00%, 1/1/20 $ 2,566,020
-------------------------------------------------------------------------
$ 2,566,020
-------------------------------------------------------------------------
Senior Living / Life Care -- 0.9%
-------------------------------------------------------------------------
$1,250 New York City IDA, (A Very Special
Place, Inc.), 5.75%, 1/1/29 $ 978,138
-------------------------------------------------------------------------
$ 978,138
-------------------------------------------------------------------------
Special Tax Revenue -- 5.5%
-------------------------------------------------------------------------
$2,000 New York City Transitional Finance
Authority, 6.00%, 11/15/29 $ 1,984,900
3,000 New York City Transitional Finance
Authority, 6.00%, 8/15/29 2,973,150
1,175 Puerto Rico Infrastructure Financing
Authority, Variable Rate, 7/1/28(1)(2) 860,523
-------------------------------------------------------------------------
$ 5,818,573
-------------------------------------------------------------------------
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
-------------------------------------------------------------------------
Transportation -- 2.4%
-------------------------------------------------------------------------
$1,800 Port Authority of New York and New
Jersey, Variable Rate, 3/1/28(3) $ 1,361,718
1,885 Puerto Rico Highway and Transportation
Authority, Variable Rate, 7/1/28(2)(3) 1,128,248
-------------------------------------------------------------------------
$ 2,489,966
-------------------------------------------------------------------------
Water and Sewer -- 6.1%
-------------------------------------------------------------------------
$3,500 New York City Municipal Water Finance
Authority, 5.25%, 6/15/29 $ 3,048,360
3,500 New York City Municipal Water Finance
Authority, 5.75%, 6/15/29 3,345,580
-------------------------------------------------------------------------
$ 6,393,940
-------------------------------------------------------------------------
Total Tax-Exempt Investments -- 98.1%
(identified cost $113,905,560) $102,993,739
-------------------------------------------------------------------------
Other Assets, Less Liabilities -- 1.9% $ 2,034,221
-------------------------------------------------------------------------
Net Assets -- 100.0% $105,027,960
-------------------------------------------------------------------------
</TABLE>
AMT - Interest earned from these securities may be considered a tax
preference item for purposes of the Federal Alternative Minimum Tax.
The Trust invests primarily in debt securities issued by New York
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 May 31, 2000, 48.4% of the securities in the
portfolio of investments are backed by bond insurance of various financial
institutions and financial guaranty assurance agencies. The aggregate
percentage insured by financial institutions ranged from 3.1% to 19.9% of
total investments.
(1) Security has been issued as an inverse floater bond.
(2) Security exempt from registration under Rule 144A of the Securities Act
of 1933. These securities may be resold in transactions exempt from
registration, normally to qualified institutional buyers.
(3) Security has been issued as a leveraged inverse floater bond.
SEE NOTES TO FINANCIAL STATEMENTS
23
<PAGE>
OHIO MUNICIPAL INCOME TRUST AS OF MAY 31, 2000
PORTFOLIO OF INVESTMENTS (UNAUDITED)
TAX-EXEMPT INVESTMENTS -- 99.4%
<TABLE>
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
------------------------------------------------------------------------
Education -- 1.9%
------------------------------------------------------------------------
$1,500 Ohio Higher Educational Facilities,
(Oberlin College), Variable Rate,
10/1/29(1)(2) $ 1,049,820
------------------------------------------------------------------------
$ 1,049,820
------------------------------------------------------------------------
Electric Utilities -- 3.2%
------------------------------------------------------------------------
$ 500 Clyde Electric System Revenue, (AMT),
6.00%, 11/15/14 $ 465,485
1,000 Ohio State Air Quality Development
Authority, Variable Rate, 5/1/26(1)(2) 633,540
750 Ohio Water Development Authority,
Pollution Control Facilities, (Cleveland
Electric), (AMT), 6.10%, 8/1/20 670,882
------------------------------------------------------------------------
$ 1,769,907
------------------------------------------------------------------------
General Obligations -- 9.7%
------------------------------------------------------------------------
$1,000 Delaware County, 6.00%, 12/1/25 $ 1,001,230
1,000 Gahanna-Jefferson Public Schools,
4.75%, 12/1/21 833,730
1,000 Hamilton City School District,
5.50%, 12/1/24 941,740
1,530 Hamilton City School District,
5.625%, 12/1/24 1,465,342
1,500 Puerto Rico, Variable Rate, 7/1/27(1)(2) 1,107,885
------------------------------------------------------------------------
$ 5,349,927
------------------------------------------------------------------------
Hospital -- 17.0%
------------------------------------------------------------------------
$1,755 Cuyahoga County, Health Care Facilities,
(Benjamin Rose Institute),
5.50%, 12/1/28 $ 1,296,734
4,750 Franklin County, (Childrens Hospital),
5.20%, 5/1/29 3,931,575
1,250 Hamilton County, Health Care Facilities,
(Twin Towers), 5.80%, 10/1/23 1,135,650
650 Highland County, (Joint Township
Hospital District), 6.75%, 12/1/29 574,353
1,250 Parma Community General Hospital
Association, 5.35%, 11/1/18 1,064,087
1,750 Parma Community General Hospital
Association, 5.375%, 11/1/29 1,410,133
------------------------------------------------------------------------
$ 9,412,532
------------------------------------------------------------------------
Industrial Development Revenue -- 22.3%
------------------------------------------------------------------------
$1,250 Cleveland Airport, (Continental
Airlines), (AMT), 5.70%, 12/1/19 $ 1,040,325
1,300 Dayton Special Facilities Revenue,
(Emery Airline Freight), 5.625%, 2/1/18 1,132,105
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
------------------------------------------------------------------------
Industrial Development Revenue (continued)
------------------------------------------------------------------------
$3,000 Moraine Solid Waste Disposal, (General
Motors Corp.), (AMT), 5.65%, 7/1/24 $ 2,817,990
2,500 Ohio Environmental Facilities, (Ford
Motor Co.), (AMT), 5.95%, 9/1/29 2,424,000
1,300 Ohio Environmental Improvement, (USX
Corp.), 5.625%, 5/1/29 1,116,193
750 Ohio Solid Waste Disposal, (USG Corp.),
(AMT), 5.65%, 3/1/33 635,558
1,100 Ohio Solid Waste Disposal, (USG Corp.),
(AMT), 6.05%, 8/1/34 988,240
2,250 Ohio Water Development Authority,
(Anheuser-Busch), (AMT), 6.00%, 8/1/29 2,157,345
------------------------------------------------------------------------
$12,311,756
------------------------------------------------------------------------
Insured-Certificates of Participation -- 2.5%
------------------------------------------------------------------------
$1,500 Cleveland, Certificates of
Participation, (Cleveland Stadium),
(AMBAC), 5.25%, 11/15/22 $ 1,357,890
------------------------------------------------------------------------
$ 1,357,890
------------------------------------------------------------------------
Insured-Education -- 3.4%
------------------------------------------------------------------------
$2,000 University of Akron, (FGIC), Variable
Rate, 1/1/29(1)(2) $ 1,855,920
------------------------------------------------------------------------
$ 1,855,920
------------------------------------------------------------------------
Insured-General Obligations -- 6.3%
------------------------------------------------------------------------
$4,250 South-Western City School District,
Franklin and Pickway Counties, (AMBAC),
4.75%, 12/1/26 $ 3,469,700
------------------------------------------------------------------------
$ 3,469,700
------------------------------------------------------------------------
Insured-Hospital -- 12.8%
------------------------------------------------------------------------
$3,250 Cuyahoga County, (Cleveland Clinic),
(MBIA), 5.125%, 1/1/29 $ 2,794,350
1,750 Cuyahoga County, (University Hospitals
Health System, Inc.), (AMBAC),
5.50%, 1/15/30 1,616,860
1,915 Hamilton County, (Childrens Hospital
Medical Center), (MBIA), 4.75%, 5/15/28 1,528,036
1,250 Lucas County, (Promedia Healthcare
Obligation Group), (AMBAC),
5.375%, 11/15/23 1,136,963
------------------------------------------------------------------------
$ 7,076,209
------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
24
<PAGE>
OHIO MUNICIPAL INCOME TRUST AS OF MAY 31, 2000
PORTFOLIO OF INVESTMENTS (UNAUDITED) CONT'D
<TABLE>
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
------------------------------------------------------------------------
Insured-Special Tax Revenue -- 0.7%
------------------------------------------------------------------------
$ 615 Puerto Rico Infrastructure Financing
Authority, (AMBAC), Variable Rate,
7/1/28(3) $ 368,102
------------------------------------------------------------------------
$ 368,102
------------------------------------------------------------------------
Insured-Transportation -- 3.4%
------------------------------------------------------------------------
$1,000 Ohio Turnpike Commission, (FGIC),
5.50%, 2/15/24 $ 954,710
1,000 Ohio Turnpike Commission, (FGIC),
5.50%, 2/15/26 951,750
------------------------------------------------------------------------
$ 1,906,460
------------------------------------------------------------------------
Insured-Water and Sewer -- 5.9%
------------------------------------------------------------------------
$4,000 Delaware County, Sewer District, (MBIA),
4.75%, 12/1/24 $ 3,280,600
------------------------------------------------------------------------
$ 3,280,600
------------------------------------------------------------------------
Lease Revenue / Certificates of Participation -- 2.2%
------------------------------------------------------------------------
$1,300 Union County, (Pleasant Valley Joint
Fire District), 6.125%, 12/1/19 $ 1,218,620
------------------------------------------------------------------------
$ 1,218,620
------------------------------------------------------------------------
Senior Living / Life Care -- 1.0%
------------------------------------------------------------------------
$ 650 Ohio HFA, Retirement Rental Housing,
(Encore Retirement Partners),
6.75%, 3/1/19 $ 556,017
------------------------------------------------------------------------
$ 556,017
------------------------------------------------------------------------
Solid Waste -- 0.6%
------------------------------------------------------------------------
$ 400 Ohio Water Development Authority, Solid
Waste Disposal Revenue, (Bay Shore
Power), (AMT), 5.875%, 9/1/20 $ 313,064
------------------------------------------------------------------------
$ 313,064
------------------------------------------------------------------------
Special Tax Revenue -- 3.8%
------------------------------------------------------------------------
$1,425 Cuyahoga County, Economic Development,
(Shaker Square), 6.75%, 12/1/30 $ 1,442,399
875 Puerto Rico Infrastructure Financing
Authority, Variable Rate, 7/1/28(1)(2) 640,815
------------------------------------------------------------------------
$ 2,083,214
------------------------------------------------------------------------
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
------------------------------------------------------------------------
Transportation -- 2.7%
------------------------------------------------------------------------
$1,000 Puerto Rico Highway and Transportation
Authority, Variable Rate, 7/1/28(2)(3) $ 598,540
1,100 Toledo-Lucas County Port Authority,
5.40%, 5/15/19 920,304
------------------------------------------------------------------------
$ 1,518,844
------------------------------------------------------------------------
Total Tax-Exempt Investments -- 99.4%
(identified cost $62,433,702) $54,898,582
------------------------------------------------------------------------
Other Assets, Less Liabilities -- 0.6% $ 314,108
------------------------------------------------------------------------
Net Assets -- 100.0% $55,212,690
------------------------------------------------------------------------
</TABLE>
AMT - Interest earned from these securities may be considered a tax
preference item for purposes of the Federal Alternative Minimum Tax.
The Trust invests primarily in debt securities issued by Ohio municipali-
ties. 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 May 31, 2000, 35.2% of the securities in the portfolio of
investments are backed by bond insurance of various financial institutions
and financial guaranty assurance agencies. The aggregate percentage insured
by financial institutions ranged from 6.9% to 14.5% of total investments.
(1) Security has been issued as an inverse floater bond.
(2) Security exempt from registration under Rule 144A of the Securities Act
of 1933. These securities may be resold in transactions exempt from
registration, normally to qualified institutional buyers.
(3) Security has been issued as a leveraged inverse floater bond.
SEE NOTES TO FINANCIAL STATEMENTS
25
<PAGE>
PENNSYLVANIA MUNICIPAL INCOME TRUST AS OF MAY 31, 2000
PORTFOLIO OF INVESTMENTS (UNAUDITED)
TAX-EXEMPT INVESTMENTS -- 97.5%
<TABLE>
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
------------------------------------------------------------------------
Assisted Living -- 0.8%
------------------------------------------------------------------------
$ 400 Delaware IDA, (Glen Riddle), (AMT),
8.625%, 9/1/25 $ 425,720
------------------------------------------------------------------------
$ 425,720
------------------------------------------------------------------------
Certificates of Participation -- 0.9%
------------------------------------------------------------------------
$ 500 Cliff House Trust (AMT), 6.625%, 6/1/27 $ 445,715
------------------------------------------------------------------------
$ 445,715
------------------------------------------------------------------------
Cogeneration -- 1.9%
------------------------------------------------------------------------
$ 500 Pennsylvania EDA, (Northampton
Generating), (AMT), 6.50%, 1/1/13 $ 480,480
500 Pennsylvania EDA, (Resource
Recovery-Colver), (AMT), 7.05%, 12/1/10 505,175
------------------------------------------------------------------------
$ 985,655
------------------------------------------------------------------------
Education -- 8.1%
------------------------------------------------------------------------
$1,500 Pennsylvania HEFA, (Drexel University),
6.00%, 5/1/29 $ 1,439,400
3,000 Pennsylvania HEFA, (University of
Pennsylvania), 4.625%, 7/15/30 2,330,280
600 Philadelphia HEFA, (Chestnut Hill
College), 6.00%, 10/1/29 510,246
------------------------------------------------------------------------
$ 4,279,926
------------------------------------------------------------------------
Electric Utilities -- 0.7%
------------------------------------------------------------------------
$ 450 Puerto Rico Electric Power Authority,
5.00%, 7/1/28 $ 380,659
------------------------------------------------------------------------
$ 380,659
------------------------------------------------------------------------
Escrowed / Prerefunded -- 1.2%
------------------------------------------------------------------------
$2,000 Westmoreland County Municipal Authority,
(FGIC), Escrowed to Maturity,
0.00%, 8/15/19 $ 621,400
------------------------------------------------------------------------
$ 621,400
------------------------------------------------------------------------
Gas Utilities -- 1.7%
------------------------------------------------------------------------
$1,325 Philadelphia Natural Gas Works,
Variable Rate, 7/1/28(1) $ 892,030
------------------------------------------------------------------------
$ 892,030
------------------------------------------------------------------------
General Obligations -- 2.1%
------------------------------------------------------------------------
$1,500 Puerto Rico, Variable Rate, 7/1/27(1)(2) $ 1,107,885
------------------------------------------------------------------------
$ 1,107,885
------------------------------------------------------------------------
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
------------------------------------------------------------------------
Health Care-Miscellaneous -- 2.6%
------------------------------------------------------------------------
$1,500 Chester County HEFA, (Devereux
Foundation), 6.00%, 11/1/29 $ 1,373,790
------------------------------------------------------------------------
$ 1,373,790
------------------------------------------------------------------------
Hospital -- 1.0%
------------------------------------------------------------------------
$ 550 Montgomery County HEFA, (Montgomery
Hospital), 6.375%, 7/1/07 $ 538,890
------------------------------------------------------------------------
$ 538,890
------------------------------------------------------------------------
Industrial Development Revenue -- 7.5%
------------------------------------------------------------------------
$1,000 New Morgan IDA, (New Morgan Landfill),
(AMT), 6.50%, 4/1/19 $ 868,840
1,000 Pennsylvania Solid Waste Disposal, (USG
Corp.), (AMT), 6.00%, 6/1/31 888,960
600 Philadelphia IDA, (Franklin Institute),
5.20%, 6/15/26 482,628
1,800 Puerto Rico Port Authority, (American
Airlines), (AMT), 6.30%, 6/1/23 1,724,256
------------------------------------------------------------------------
$ 3,964,684
------------------------------------------------------------------------
Insured-Education -- 18.6%
------------------------------------------------------------------------
$1,000 Northampton County HEFA, (Lafayette
College), (MBIA), 5.00%, 11/1/27 $ 850,470
1,000 Pennsylvania HEFA, (Bryn Mawr College),
(AMBAC), 5.125%, 12/1/29 864,270
2,000 Pennsylvania HEFA, (State System Higher
Education), (FSA), 5.00%, 6/15/24 1,720,980
3,000 Pennsylvania HEFA, (Temple University),
(MBIA), 5.00%, 4/1/29 2,538,360
1,700 Pennsylvania HEFA, (Thomas Jefferson
University), (AMBAC), 5.00%, 7/1/19 1,496,850
750 University of Pittsburgh, (FGIC),
5.125%, 6/1/22 664,155
2,000 Washington County Authority, (Girard
College), (MBIA), 5.00%, 5/15/28 1,697,320
------------------------------------------------------------------------
$ 9,832,405
------------------------------------------------------------------------
Insured-General Obligations -- 8.5%
------------------------------------------------------------------------
$1,825 Hopewell School District, (FSA),
0.00%, 9/1/25 $ 380,184
1,150 Philadelphia School District, (MBIA),
4.75%, 4/1/27 929,763
3,000 Philadelphia, (FSA), 5.00%, 3/15/28 2,530,020
250 Southeast Delco Area School District,
(MBIA), 0.00%, 2/1/24 57,070
700 Spring Ford School District, (FGIC),
4.75%, 3/1/25 572,726
------------------------------------------------------------------------
$ 4,469,763
------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
26
<PAGE>
PENNSYLVANIA MUNICIPAL INCOME TRUST AS OF MAY 31, 2000
PORTFOLIO OF INVESTMENTS (UNAUDITED) CONT'D
<TABLE>
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
------------------------------------------------------------------------
Insured-Hospital -- 21.4%
------------------------------------------------------------------------
$3,000 Beaver County Hospital Authority,
(Valley Health Systems, Inc.), (AMBAC),
5.00%, 5/15/28 $ 2,485,050
1,000 Berks County Municipal Authority,
(Reading Hospital and Medical Center),
(FSA), 6.00%, 11/1/29 988,360
1,000 Dauphin County General Authority,
(Pinnacle Health System), (MBIA),
5.50%, 5/15/27 910,660
1,000 Delaware County Authority, (Catholic
Health East), (AMBAC), 4.875%, 11/15/26 811,580
1,500 Lehigh County General Purpose Authority,
(Lehigh Valley Health Network), (MBIA),
5.25%, 7/1/29 1,295,520
3,000 Montgomery County HEFA, (Abington
Memorial Hospital), (AMBAC),
5.00%, 6/1/28 2,484,840
1,000 Pennsylvania HEFA, (UPMC Health System),
(FSA), 5.00%, 8/1/29 840,740
1,750 Sharon Health System Authority, (Sharon
Regional Health System), (MBIA),
5.00%, 12/1/28 1,447,547
------------------------------------------------------------------------
$11,264,297
------------------------------------------------------------------------
Insured-Special Tax Revenue -- 4.9%
------------------------------------------------------------------------
$1,550 Pennsylvania Turnpike Commission Oil
Franchise, (AMBAC), Variable Rate,
12/1/27(1)(2) $ 958,861
500 Pittsburgh and Allegheny County Public
Auditorium Authority, (AMBAC),
5.00%, 2/1/24 429,590
1,000 Pittsburgh and Allegheny County Public
Auditorium Authority, (AMBAC),
5.00%, 2/1/24 861,410
595 Puerto Rico Infrastructure Financing
Authority, (AMBAC), Variable Rate,
7/1/28(3) 356,131
------------------------------------------------------------------------
$ 2,605,992
------------------------------------------------------------------------
Insured-Transportation -- 5.6%
------------------------------------------------------------------------
$2,450 Philadelphia Parking Authority, (AMBAC),
5.25%, 2/15/29 $ 2,152,742
1,350 Southeastern Pennsylvania Transit
Authority, (FGIC), Variable Rate,
3/1/29(1)(2) 822,852
------------------------------------------------------------------------
$ 2,975,594
------------------------------------------------------------------------
Insured-Water and Sewer -- 2.6%
------------------------------------------------------------------------
$ 500 Delaware County IDA, (Water Facilities),
(FGIC), (AMT), 6.00%, 6/1/29 $ 485,635
1,000 Pittsburgh Water and Sewer Authority,
(FSA), 5.10%, 9/1/24 869,830
------------------------------------------------------------------------
$ 1,355,465
------------------------------------------------------------------------
<CAPTION>
PRINCIPAL AMOUNT
(000'S OMITTED) SECURITY VALUE
<C> <S> <C>
------------------------------------------------------------------------
Life Care -- 1.6%
------------------------------------------------------------------------
$ 925 Montgomery County HEFA, (Faulkeways at
Gwynedd), 6.75%, 11/15/30 $ 851,657
------------------------------------------------------------------------
$ 851,657
------------------------------------------------------------------------
Nursing Home -- 2.8%
------------------------------------------------------------------------
$ 500 Clarion County IDA, (Beverly
Enterprises, Inc.), 5.875%, 5/1/07 $ 460,960
500 Crawford County Hospital Authority,
(Wesbury United Methodist Community),
6.25%, 8/15/29 426,040
685 Cumberland County IDA, (Beverly
Enterprises, Inc.), 5.50%, 10/1/08 610,246
------------------------------------------------------------------------
$ 1,497,246
------------------------------------------------------------------------
Transportation -- 3.0%
------------------------------------------------------------------------
$ 495 Erie Municipal Airport Authority, (AMT),
5.50%, 7/1/09 $ 450,792
500 Erie Municipal Airport Authority, (AMT),
5.875%, 7/1/16 442,005
800 Puerto Rico Highway and Transportation
Authority, Variable Rate, 7/1/26(2)(3) 665,264
------------------------------------------------------------------------
$ 1,558,061
------------------------------------------------------------------------
Total Tax-Exempt Investments -- 97.5%
(identified cost $58,971,926) $51,426,834
------------------------------------------------------------------------
Other Assets, Less Liabilities -- 2.5% $ 1,314,692
------------------------------------------------------------------------
Net Assets -- 100.0% $52,741,526
------------------------------------------------------------------------
</TABLE>
AMT - Interest earned from these securities may be considered a tax
preference item for purposes of the Federal Alternative Minimum Tax.
The Trust invests primarily in debt securities issued by Pennsylvania
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 May 31, 2000, 64.4% of the securities in the
portfolio of investments are backed by bond insurance of various financial
institutions and financial guaranty assurance agencies. The aggregate
percentage insured by financial institutions ranged from 6.2% to 25.1% of
total investments.
(1) Security has been issued as an inverse floater bond.
(2) Security exempt from registration under Rule 144A of the Securities Act
of 1933. These securities may be resold in transactions exempt from
registration, normally to qualified institutional buyers.
(3) Security has been issued as a leveraged inverse floater bond.
SEE NOTES TO FINANCIAL STATEMENTS
27
<PAGE>
EATON VANCE MUNICIPAL INCOME TRUSTS AS OF MAY 31, 2000
FINANCIAL STATEMENTS (UNAUDITED)
STATEMENTS OF ASSETS AND LIABILITIES
AS OF MAY 31, 2000
<TABLE>
<CAPTION>
CALIFORNIA TRUST FLORIDA TRUST MASSACHUSETTS TRUST MICHIGAN TRUST
<S> <C> <C> <C> <C>
--------------------------------------------------------------------------------------------------------------
Assets
--------------------------------------------------------------------------------------------------------------
Investments --
Identified cost $155,642,595 $ 94,741,272 $56,160,648 $46,710,587
Unrealized depreciation (19,377,484) (13,005,641) (7,632,952) (6,194,392)
--------------------------------------------------------------------------------------------------------------
INVESMENTS, AT VALUE $136,265,111 $ 81,735,631 $48,527,696 $40,516,195
--------------------------------------------------------------------------------------------------------------
Cash $ 98,254 $ -- $ 127,566 $ --
Receivable for investments sold -- -- -- 96,831
Interest and dividends receivable 2,513,063 1,160,363 983,226 538,323
Prepaid expenses 5,804 2,521 2,769 2,521
--------------------------------------------------------------------------------------------------------------
TOTAL ASSETS $138,882,232 $ 82,898,515 $49,641,257 $41,153,870
--------------------------------------------------------------------------------------------------------------
Liabilities
--------------------------------------------------------------------------------------------------------------
Due to bank $ -- $ 24,787 $ -- $ 24,646
Payable to affiliate for Trustees' fees 1,795 2,646 434 429
Accrued expenses 46,476 36,335 40,361 42,051
--------------------------------------------------------------------------------------------------------------
TOTAL LIABILITIES $ 48,271 $ 63,768 $ 40,795 $ 67,126
--------------------------------------------------------------------------------------------------------------
NET ASSETS $138,833,961 $ 82,834,747 $49,600,462 $41,086,744
--------------------------------------------------------------------------------------------------------------
Sources of Net Assets
--------------------------------------------------------------------------------------------------------------
Auction Preferred Shares, $0.01 par
value, unlimited number of
shares authorized $ 59,000,000 $ 35,500,000 $21,500,000 $17,500,000
Common Shares, $0.01 par value,
unlimited number of
shares authorized 71,184 42,294 25,943 20,852
Additional paid-in capital 105,577,758 62,823,684 38,396,589 30,978,619
Accumulated net realized loss (computed
on the basis of identified cost) (6,864,157) (2,761,893) (2,843,294) (1,330,700)
Accumulated undistributed net investment
income 426,660 236,303 154,176 112,365
Net unrealized depreciation (computed on
the basis of identified cost) (19,377,484) (13,005,641) (7,632,952) (6,194,392)
--------------------------------------------------------------------------------------------------------------
NET ASSETS $138,833,961 $ 82,834,747 $49,600,462 $41,086,744
--------------------------------------------------------------------------------------------------------------
Net assets applicable to preferred
shareholders --
Auction Preferred Shares at
liquidation value $ 59,000,000 $ 35,500,000 $21,500,000 $17,500,000
Cumulative undeclared dividends 16,415 -- 5,010 --
--------------------------------------------------------------------------------------------------------------
TOTAL NET ASSETS APPLICABLE TO PREFERRED
SHARES $ 59,016,415 $ 35,500,000 $21,505,010 $17,500,000
--------------------------------------------------------------------------------------------------------------
Net assets applicable to common shares $ 79,817,546 $ 47,334,747 $28,095,452 $23,586,744
--------------------------------------------------------------------------------------------------------------
TOTAL NET ASSETS $138,833,961 $ 82,834,747 $49,600,462 $41,086,744
--------------------------------------------------------------------------------------------------------------
Auction Preferred Shares Issued and Outstanding
(Liquidation preference of $25,000 per share)
--------------------------------------------------------------------------------------------------------------
$ 2,360 $ 1,420 $ 860 $ 700
--------------------------------------------------------------------------------------------------------------
Common Shares Outstanding
--------------------------------------------------------------------------------------------------------------
7,118,405 4,229,355 2,594,255 2,085,197
--------------------------------------------------------------------------------------------------------------
Net Asset Value Per Common Share
--------------------------------------------------------------------------------------------------------------
NET ASSETS APPLICABLE TO COMMON SHARES
DIVIDED BY COMMON SHARES ISSUED
AND OUTSTANDING $ 11.21 $ 11.19 $ 10.83 $ 11.31
--------------------------------------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
28
<PAGE>
EATON VANCE MUNICIPAL INCOME TRUSTS AS OF MAY 31, 2000
FINANCIAL STATEMENTS (UNAUDITED) CONT'D
STATEMENTS OF ASSETS AND LIABILITIES
AS OF MAY 31, 2000
<TABLE>
<CAPTION>
NEW JERSEY TRUST NEW YORK TRUST OHIO TRUST PENNSYLVANIA TRUST
<S> <C> <C> <C> <C>
-----------------------------------------------------------------------------------------------------------
Assets
-----------------------------------------------------------------------------------------------------------
Investments --
Identified cost $ 97,410,582 $113,905,560 $62,433,702 $58,971,926
Unrealized depreciation (11,540,004) (10,911,821) (7,535,120) (7,545,092)
-----------------------------------------------------------------------------------------------------------
INVESMENTS, AT VALUE $ 85,870,578 $102,993,739 $54,898,582 $51,426,834
-----------------------------------------------------------------------------------------------------------
Cash $ -- $ -- $ 213,667 $ 339,549
Receivable for investments sold 50,000 -- -- 45,014
Interest and dividends receivable 1,974,503 2,222,754 1,129,303 974,731
Prepaid expenses 2,542 2,207 1,322 2,521
-----------------------------------------------------------------------------------------------------------
TOTAL ASSETS $ 87,897,623 $105,218,700 $56,242,874 $52,788,649
-----------------------------------------------------------------------------------------------------------
Liabilities
-----------------------------------------------------------------------------------------------------------
Payable for investments purchased $ -- $ -- $ 988,257 $ --
Due to bank 254,323 157,123 -- --
Payable to affiliate for Trustees' fees 1,527 988 696 499
Accrued expenses 39,152 32,629 41,231 46,624
-----------------------------------------------------------------------------------------------------------
TOTAL LIABILITIES $ 295,002 $ 190,740 $ 1,030,184 $ 47,123
-----------------------------------------------------------------------------------------------------------
NET ASSETS $ 87,602,621 $105,027,960 $55,212,690 $52,741,526
-----------------------------------------------------------------------------------------------------------
Sources of Net Assets
-----------------------------------------------------------------------------------------------------------
Auction Preferred Shares, $0.01 par
value, unlimited number of
shares authorized $ 38,000,000 $ 44,500,000 $23,500,000 $22,500,000
Common Shares, $0.01 par value,
unlimited number of
shares authorized 44,847 52,999 27,774 26,632
Additional paid-in capital 66,608,823 78,674,036 41,259,934 39,565,735
Accumulated net realized loss (computed
on the basis of identified cost) (5,778,193) (7,618,004) (2,188,654) (1,960,453)
Accumulated undistributed net investment
income 267,148 330,750 148,756 154,704
Net unrealized depreciation (computed on
the basis of identified cost) (11,540,004) (10,911,821) (7,535,120) (7,545,092)
-----------------------------------------------------------------------------------------------------------
NET ASSETS $ 87,602,621 $105,027,960 $55,212,690 $52,741,526
-----------------------------------------------------------------------------------------------------------
Net assets applicable to preferred
shareholders --
Auction Preferred Shares at
liquidation value $ 38,000,000 $ 44,500,000 $23,500,000 $22,500,000
Cumulative undeclared dividends 13,044 30,362 5,311 4,933
-----------------------------------------------------------------------------------------------------------
TOTAL NET ASSETS APPLICABLE TO PREFERRED
SHARES $ 38,013,044 $ 44,530,362 $23,505,311 $22,504,933
-----------------------------------------------------------------------------------------------------------
Net assets applicable to common shares $ 49,589,577 $ 60,497,598 $31,707,379 $30,236,593
-----------------------------------------------------------------------------------------------------------
TOTAL NET ASSETS $ 87,602,621 $105,027,960 $55,212,690 $52,741,526
-----------------------------------------------------------------------------------------------------------
Auction Preferred Shares Issued and Outstanding
(Liquidation preference of $25,000 per share)
-----------------------------------------------------------------------------------------------------------
$ 1,520 $ 1,780 $ 940 $ 900
-----------------------------------------------------------------------------------------------------------
Common Shares Outstanding
-----------------------------------------------------------------------------------------------------------
4,484,712 5,299,922 2,777,424 2,663,243
-----------------------------------------------------------------------------------------------------------
Net Asset Value Per Common Share
-----------------------------------------------------------------------------------------------------------
NET ASSETS APPLICABLE TO COMMON SHARES
DIVIDED BY COMMON SHARES ISSUED
AND OUTSTANDING $ 11.06 $ 11.41 $ 11.42 $ 11.35
-----------------------------------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
29
<PAGE>
EATON VANCE MUNICIPAL INCOME TRUSTS AS OF MAY 31, 2000
FINANCIAL STATEMENTS (UNAUDITED) CONT'D
STATEMENTS OF OPERATIONS
FOR THE SIX MONTHS ENDED MAY 31, 2000
<TABLE>
<CAPTION>
CALIFORNIA TRUST FLORIDA TRUST MASSACHUSETTS TRUST MICHIGAN TRUST
<S> <C> <C> <C> <C>
--------------------------------------------------------------------------------------------------------------
Investment Income
--------------------------------------------------------------------------------------------------------------
Interest $ 4,404,045 $ 2,664,983 $ 1,602,935 $ 1,294,237
Dividends -- -- 12,502 --
--------------------------------------------------------------------------------------------------------------
TOTAL INVESTMENT INCOME $ 4,404,045 $ 2,664,983 $ 1,615,437 $ 1,294,237
--------------------------------------------------------------------------------------------------------------
Expenses
--------------------------------------------------------------------------------------------------------------
Investment adviser fee $ 488,892 $ 290,716 $ 174,585 $ 144,731
Administration fee 137,810 84,048 49,861 41,335
Trustees fees and expenses 5,802 5,562 1,340 1,090
Legal and accounting services 19,528 16,697 15,920 8,760
Printing and postage 15,954 10,164 6,501 2,745
Custodian fee 26,765 17,308 12,227 10,780
Transfer and dividend disbursing agent
fees 38,902 26,240 19,858 22,458
Preferred shares remarketing agent fee 73,952 47,006 26,949 23,008
Miscellaneous 9,774 7,696 6,748 13,796
--------------------------------------------------------------------------------------------------------------
TOTAL EXPENSES $ 817,379 $ 505,437 $ 313,989 $ 268,703
--------------------------------------------------------------------------------------------------------------
Deduct --
Reduction of custodian fee $ 26,765 $ 17,308 $ 12,227 $ 10,780
Reduction of investment adviser fee 46,289 62,303 2,869 37,562
--------------------------------------------------------------------------------------------------------------
TOTAL EXPENSE REDUCTIONS $ 73,054 $ 79,611 $ 15,096 $ 48,342
--------------------------------------------------------------------------------------------------------------
NET EXPENSES $ 744,325 $ 425,826 $ 298,893 $ 220,361
--------------------------------------------------------------------------------------------------------------
NET INVESTMENT INCOME $ 3,659,720 $ 2,239,157 $ 1,316,544 $ 1,073,876
--------------------------------------------------------------------------------------------------------------
Realized and Unrealized Gain (Loss)
--------------------------------------------------------------------------------------------------------------
Net realized loss --
Investment transactions (identified
cost basis) $ (425,553) $ (672,189) $(1,218,102) $ (137,079)
--------------------------------------------------------------------------------------------------------------
NET REALIZED LOSS $ (425,553) $ (672,189) $(1,218,102) $ (137,079)
--------------------------------------------------------------------------------------------------------------
Change in unrealized appreciation
(depreciation) --
Investments (identified cost basis) $(2,445,331) $(1,717,888) $ (409,549) $ (936,093)
--------------------------------------------------------------------------------------------------------------
NET CHANGE IN UNREALIZED APPRECIATION
(DEPRECIATION) -- $(2,445,331) $(1,717,888) $ (409,549) $ (936,093)
--------------------------------------------------------------------------------------------------------------
NET REALIZED AND UNREALIZED LOSS $(2,870,884) $(2,390,077) $(1,627,651) $(1,073,172)
--------------------------------------------------------------------------------------------------------------
NET INCREASE (DECREASE) IN NET ASSETS
FROM OPERATIONS $ 788,836 $ (150,920) $ (311,107) $ 704
--------------------------------------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
30
<PAGE>
EATON VANCE MUNICIPAL INCOME TRUSTS AS OF MAY 31, 2000
FINANCIAL STATEMENTS (UNAUDITED) CONT'D
STATEMENTS OF OPERATIONS
FOR THE SIX MONTHS ENDED MAY 31, 2000
<TABLE>
<CAPTION>
NEW JERSEY TRUST NEW YORK TRUST OHIO TRUST PENNSYLVANIA TRUST
<S> <C> <C> <C> <C>
-----------------------------------------------------------------------------------------------------------
Investment Income
-----------------------------------------------------------------------------------------------------------
Interest $ 2,647,151 $ 3,275,335 $ 1,754,236 $ 1,651,665
Dividends 154,755 -- -- --
-----------------------------------------------------------------------------------------------------------
TOTAL INVESTMENT INCOME $ 2,801,906 $ 3,275,335 $ 1,754,236 $ 1,651,665
-----------------------------------------------------------------------------------------------------------
Expenses
-----------------------------------------------------------------------------------------------------------
Investment adviser fee $ 308,152 $ 369,697 $ 192,847 $ 182,908
Administration fee 88,311 105,597 55,529 53,099
Trustees fees and expenses 4,712 4,846 1,602 1,310
Legal and accounting services 17,556 18,682 15,938 9,385
Printing and postage 8,477 9,053 6,758 4,745
Custodian fee 18,869 23,000 11,512 12,725
Transfer and dividend disbursing agent
fees 27,034 25,287 19,715 27,987
Preferred shares remarketing agent fee 47,629 55,777 31,833 29,276
Miscellaneous 6,567 7,173 7,431 6,997
-----------------------------------------------------------------------------------------------------------
TOTAL EXPENSES $ 527,307 $ 619,112 $ 343,165 $ 328,432
-----------------------------------------------------------------------------------------------------------
Deduct --
Reduction of custodian fee $ 18,869 $ 23,000 $ 11,512 $ 12,725
Reduction of investment adviser fee 26,717 65,977 31,312 68,405
-----------------------------------------------------------------------------------------------------------
TOTAL EXPENSE REDUCTIONS $ 45,586 $ 88,977 $ 42,824 $ 81,130
-----------------------------------------------------------------------------------------------------------
NET EXPENSES $ 481,721 $ 530,135 $ 300,341 $ 247,302
-----------------------------------------------------------------------------------------------------------
NET INVESTMENT INCOME $ 2,320,185 $ 2,745,200 $ 1,453,895 $ 1,404,363
-----------------------------------------------------------------------------------------------------------
Realized and Unrealized Gain (Loss)
-----------------------------------------------------------------------------------------------------------
Net realized loss --
Investment transactions (identified
cost basis) $(1,345,262) $(1,490,509) $ (53,962) $ (366,264)
-----------------------------------------------------------------------------------------------------------
NET REALIZED LOSS $(1,345,262) $(1,490,509) $ (53,962) $ (366,264)
-----------------------------------------------------------------------------------------------------------
Change in unrealized appreciation
(depreciation) --
Investments (identified cost basis) $(1,549,611) $ (475,537) $(1,276,967) $ (904,459)
-----------------------------------------------------------------------------------------------------------
NET CHANGE IN UNREALIZED APPRECIATION
(DEPRECIATION) -- $(1,549,611) $ (475,537) $(1,276,967) $ (904,459)
-----------------------------------------------------------------------------------------------------------
NET REALIZED AND UNREALIZED LOSS $(2,894,873) $(1,966,046) $(1,330,929) $(1,270,723)
-----------------------------------------------------------------------------------------------------------
NET INCREASE (DECREASE) IN NET ASSETS
FROM OPERATIONS $ (574,688) $ 779,154 $ 122,966 $ 133,640
-----------------------------------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
31
<PAGE>
EATON VANCE MUNICIPAL INCOME TRUSTS AS OF MAY 31, 2000
FINANCIAL STATEMENTS (UNAUDITED) CONT'D
STATEMENTS OF CHANGES IN NET ASSETS
FOR THE SIX MONTHS ENDED MAY 31, 2000
<TABLE>
<CAPTION>
INCREASE (DECREASE) IN NET ASSETS CALIFORNIA TRUST FLORIDA TRUST MASSACHUSETTS TRUST MICHIGAN TRUST
<S> <C> <C> <C> <C>
--------------------------------------------------------------------------------------------------------------
From operations --
Net investment income $ 3,659,720 $ 2,239,157 $ 1,316,544 $ 1,073,876
Net realized loss (425,553) (672,189) (1,218,102) (137,079)
Net change in unrealized appreciation
(depreciation) (2,445,331) (1,717,888) (409,549) (936,093)
--------------------------------------------------------------------------------------------------------------
NET INCREASE (DECREASE) IN NET ASSETS
FROM OPERATIONS $ 788,836 $ (150,920) $ (311,107) $ 704
--------------------------------------------------------------------------------------------------------------
Distributions to shareholders --
Preferred Shareholders --
From net investment income $ (1,015,862) $ (707,486) $ (351,998) $ (330,308)
Common Shareholders --
From net investment income (2,713,139) (1,591,480) (986,572) (781,949)
--------------------------------------------------------------------------------------------------------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS $ (3,729,001) $(2,298,966) $(1,338,570) $(1,112,257)
--------------------------------------------------------------------------------------------------------------
Capital share transactions --
Reinvestment of distributions to
shareholders $ 428,242 $ 51,303 $ 289,910 $ --
--------------------------------------------------------------------------------------------------------------
NET INCREASE IN NET ASSETS FROM CAPITAL
SHARE TRANSACTIONS $ 428,242 $ 51,303 $ 289,910 $ --
--------------------------------------------------------------------------------------------------------------
NET DECREASE IN NET ASSETS $ (2,511,923) $(2,398,583) $(1,359,767) $(1,111,553)
--------------------------------------------------------------------------------------------------------------
Net Assets
--------------------------------------------------------------------------------------------------------------
At beginning of period $141,345,884 $85,233,330 $50,960,229 $42,198,297
--------------------------------------------------------------------------------------------------------------
AT END OF PERIOD $138,833,961 $82,834,747 $49,600,462 $41,086,744
--------------------------------------------------------------------------------------------------------------
Accumulated undistributed
net investment income
included in net assets
--------------------------------------------------------------------------------------------------------------
AT END OF PERIOD $ 426,660 $ 236,303 $ 154,176 $ 112,365
--------------------------------------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
32
<PAGE>
EATON VANCE MUNICIPAL INCOME TRUSTS AS OF MAY 31, 2000
FINANCIAL STATEMENTS (UNAUDITED) CONT'D
STATEMENTS OF CHANGES IN NET ASSETS
FOR THE SIX MONTHS ENDED MAY 31, 2000
<TABLE>
<CAPTION>
INCREASE (DECREASE) IN NET ASSETS NEW JERSEY TRUST NEW YORK TRUST OHIO TRUST PENNSYLVANIA TRUST
<S> <C> <C> <C> <C>
-----------------------------------------------------------------------------------------------------------
From operations --
Net investment income $ 2,320,185 $ 2,745,200 $ 1,453,895 $ 1,404,363
Net realized loss (1,345,262) (1,490,509) (53,962) (366,264)
Net change in unrealized appreciation
(depreciation) (1,549,611) (475,537) (1,276,967) (904,459)
-----------------------------------------------------------------------------------------------------------
NET INCREASE (DECREASE) IN NET ASSETS
FROM OPERATIONS $ (574,688) $ 779,154 $ 122,966 $ 133,640
-----------------------------------------------------------------------------------------------------------
Distributions to shareholders --
Preferred Shareholders --
From net investment income $ (709,171) $ (772,823) $ (449,442) $ (434,178)
Common Shareholders --
From net investment income (1,679,365) (2,024,381) (1,044,794) (1,002,711)
-----------------------------------------------------------------------------------------------------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS $(2,388,536) $ (2,797,204) $(1,494,236) $(1,436,889)
-----------------------------------------------------------------------------------------------------------
Capital share transactions --
Reinvestment of distributions to
shareholders $ 68,530 $ 199,822 $ 35,287 $ --
-----------------------------------------------------------------------------------------------------------
NET INCREASE IN NET ASSETS FROM CAPITAL
SHARE TRANSACTIONS $ 68,530 $ 199,822 $ 35,287 $ --
-----------------------------------------------------------------------------------------------------------
NET DECREASE IN NET ASSETS $(2,894,694) $ (1,818,228) $(1,335,983) $(1,303,249)
-----------------------------------------------------------------------------------------------------------
Net Assets
-----------------------------------------------------------------------------------------------------------
At beginning of period $90,497,315 $106,846,188 $56,548,673 $54,044,775
-----------------------------------------------------------------------------------------------------------
AT END OF PERIOD $87,602,621 $105,027,960 $55,212,690 $52,741,526
-----------------------------------------------------------------------------------------------------------
Accumulated undistributed
net investment income
included in net assets
-----------------------------------------------------------------------------------------------------------
AT END OF PERIOD $ 267,148 $ 330,750 $ 148,756 $ 154,704
-----------------------------------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
33
<PAGE>
EATON VANCE MUNICIPAL INCOME TRUSTS AS OF MAY 31, 2000
FINANCIAL STATEMENTS CONT'D
STATEMENTS OF CHANGES IN NET ASSETS
FOR THE PERIOD ENDED NOVEMBER 30, 1999(1)
<TABLE>
<CAPTION>
INCREASE (DECREASE) IN NET ASSETS CALIFORNIA TRUST FLORIDA TRUST MASSACHUSETTS TRUST MICHIGAN TRUST
<S> <C> <C> <C> <C>
--------------------------------------------------------------------------------------------------------------
From operations --
Net investment income $ 5,383,612 $ 3,245,865 $ 1,960,579 $ 1,584,012
Net realized loss (6,438,604) (2,089,704) (1,625,192) (1,193,621)
Net change in unrealized appreciation
(depreciation) (16,932,153) (11,287,753) (7,223,403) (5,258,299)
--------------------------------------------------------------------------------------------------------------
NET DECREASE IN NET ASSETS FROM
OPERATIONS $(17,987,145) $(10,131,592) $(6,888,016) $(4,867,908)
--------------------------------------------------------------------------------------------------------------
Distributions to shareholders --
Preferred Shareholders --
From net investment income $ (1,293,008) $ (833,015) $ (484,017) $ (392,700)
Common Shareholders --
From net investment income (3,594,663) (2,116,738) (1,300,360) (1,040,566)
--------------------------------------------------------------------------------------------------------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS $ (4,887,671) $ (2,949,753) $(1,784,377) $(1,433,266)
--------------------------------------------------------------------------------------------------------------
Capital share transactions --
Proceeds from sale of preferred
shares $ 59,000,000 $ 35,500,000 $21,500,000 $17,500,000
Proceeds from sale of common shares 105,225,000 62,962,500 37,950,000 31,050,000
Reinvestment of distributions to
shareholders 766,603 280,332 406,440 114,549
Offering costs and preferred shares
underwriting discounts (870,903) (528,157) (323,818) (265,078)
--------------------------------------------------------------------------------------------------------------
NET INCREASE IN NET ASSETS FROM CAPITAL
TRANSACTIONS $164,120,700 $ 98,214,675 $59,532,622 $48,399,471
--------------------------------------------------------------------------------------------------------------
NET INCREASE IN NET ASSETS $141,245,884 $ 85,133,330 $50,860,229 $42,098,297
--------------------------------------------------------------------------------------------------------------
Net Assets
--------------------------------------------------------------------------------------------------------------
At beginning of period $ 100,000 $ 100,000 $ 100,000 $ 100,000
--------------------------------------------------------------------------------------------------------------
AT END OF PERIOD $141,345,884 $ 85,233,330 $50,960,229 $42,198,297
--------------------------------------------------------------------------------------------------------------
Accumulated undistributed
net investment income
included in net assets
--------------------------------------------------------------------------------------------------------------
AT END OF PERIOD $ 495,941 $ 296,112 $ 176,202 $ 150,746
--------------------------------------------------------------------------------------------------------------
</TABLE>
(1) For the period from the start of business, January 29, 1999, to
November 30, 1999.
SEE NOTES TO FINANCIAL STATEMENTS
34
<PAGE>
EATON VANCE MUNICIPAL INCOME TRUSTS AS OF MAY 31, 2000
FINANCIAL STATEMENTS CONT'D
STATEMENTS OF CHANGES IN NET ASSETS
FOR THE PERIOD ENDED NOVEMBER 30, 1999(1)
<TABLE>
<CAPTION>
INCREASE (DECREASE) IN NET ASSETS NEW JERSEY TRUST NEW YORK TRUST OHIO TRUST PENNSYLVANIA TRUST
<S> <C> <C> <C> <C>
-----------------------------------------------------------------------------------------------------------
From operations --
Net investment income $ 3,431,841 $ 4,063,903 $ 2,122,549 $ 2,048,098
Net realized loss (4,432,931) (6,127,495) (2,134,692) (1,594,189)
Net change in unrealized appreciation
(depreciation) (9,990,393) (10,436,284) (6,258,153) (6,640,633)
-----------------------------------------------------------------------------------------------------------
NET DECREASE IN NET ASSETS FROM
OPERATIONS $(10,991,483) $(12,499,876) $(6,270,296) $(6,186,724)
-----------------------------------------------------------------------------------------------------------
Distributions to shareholders --
Preferred Shareholders --
From net investment income $ (861,719) $ (995,127) $ (542,305) $ (526,689)
Common Shareholders --
From net investment income (2,234,623) (2,686,022) (1,391,147) (1,334,179)
-----------------------------------------------------------------------------------------------------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS $ (3,096,342) $ (3,681,149) $(1,933,452) $(1,860,868)
-----------------------------------------------------------------------------------------------------------
Capital share transactions --
Proceeds from sale of preferred
shares $ 38,000,000 $ 44,500,000 $23,500,000 $22,500,000
Proceeds from sale of common shares 66,750,000 78,760,116 41,400,000 39,675,000
Reinvestment of distributions to
shareholders 299,002 325,240 104,735 154,913
Offering costs and preferred shares
underwriting discounts (563,862) (658,143) (352,314) (337,546)
-----------------------------------------------------------------------------------------------------------
NET INCREASE IN NET ASSETS FROM CAPITAL
TRANSACTIONS $104,485,140 $122,927,213 $64,652,421 $61,992,367
-----------------------------------------------------------------------------------------------------------
NET INCREASE IN NET ASSETS $ 90,397,315 $106,746,188 $56,448,673 $53,944,775
-----------------------------------------------------------------------------------------------------------
Net Assets
-----------------------------------------------------------------------------------------------------------
At beginning of period $ 100,000 $ 100,000 $ 100,000 $ 100,000
-----------------------------------------------------------------------------------------------------------
AT END OF PERIOD $ 90,497,315 $106,846,188 $56,548,673 $54,044,775
-----------------------------------------------------------------------------------------------------------
Accumulated undistributed
net investment income
included in net assets
-----------------------------------------------------------------------------------------------------------
AT END OF PERIOD $ 335,499 $ 382,754 $ 189,097 $ 187,230
-----------------------------------------------------------------------------------------------------------
</TABLE>
(1) For the period from the start of business, January 29, 1999, to
November 30, 1999.
SEE NOTES TO FINANCIAL STATEMENTS
35
<PAGE>
EATON VANCE MUNICIPAL INCOME TRUSTS AS OF MAY 31, 2000
FINANCIAL STATEMENTS CONT'D
FINANCIAL HIGHLIGHTS
SELECTED DATA FOR A COMMON SHARE OUTSTANDING DURING PERIODS STATED
<TABLE>
<CAPTION>
CALIFORNIA TRUST
---------------------------------------------
SIX MONTHS ENDED
MAY 31, 2000 PERIOD ENDED
(UNAUDITED)(1) NOVEMBER 30, 1999(1)(2)
<S> <C> <C>
-----------------------------------------------------------------------------------------
Net asset value -- Beginning of period
(Common shares) $ 11.630 $ 15.000
-----------------------------------------------------------------------------------------
Income (loss) from operations
-----------------------------------------------------------------------------------------
Net investment income $ 0.516 $ 0.773
Net realized and unrealized loss (0.410) (3.322)
-----------------------------------------------------------------------------------------
TOTAL INCOME (LOSS) FROM OPERATIONS $ 0.106 $ (2.549)
-----------------------------------------------------------------------------------------
Less distributions
-----------------------------------------------------------------------------------------
Preferred Shareholders --
From net investment income $ (0.143) $ (0.186)
Common Shareholders --
From net investment income (0.383) (0.510)
-----------------------------------------------------------------------------------------
TOTAL DISTRIBUTIONS $ (0.526) $ (0.696)
-----------------------------------------------------------------------------------------
PREFERRED AND COMMON SHARES OFFERING
COSTS CHARGED TO PAID-IN CAPITAL $ -- $ (0.040)
-----------------------------------------------------------------------------------------
PREFERRED SHARES UNDERWRITING DISCOUNTS $ -- $ (0.085)
-----------------------------------------------------------------------------------------
NET ASSET VALUE -- END OF PERIOD (COMMON
SHARES) $ 11.210 $ 11.630
-----------------------------------------------------------------------------------------
MARKET VALUE -- END OF PERIOD (COMMON
SHARES) $ 10.875 $ 11.438
-----------------------------------------------------------------------------------------
TOTAL RETURN(3) (1.61)% (20.70)%
-----------------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
36
<PAGE>
EATON VANCE MUNICIPAL INCOME TRUSTS AS OF MAY 31, 2000
FINANCIAL STATEMENTS CONT'D
FINANCIAL HIGHLIGHTS
SELECTED DATA FOR A COMMON SHARE OUTSTANDING DURING PERIODS STATED
<TABLE>
<CAPTION>
CALIFORNIA TRUST
---------------------------------------------
SIX MONTHS ENDED
MAY 31, 2000 PERIOD ENDED
(UNAUDITED)(1) NOVEMBER 30, 1999(1)(2)
<S> <C> <C>
-----------------------------------------------------------------------------------------
Ratios/Supplemental Data+++
-----------------------------------------------------------------------------------------
Net assets, end of period (000's
omitted) $138,834 $141,346
Ratios (As a percentage of average net
assets attributable to common
shares):
Net expenses(4) 1.93%(5) 1.66%(5)
Net expenses after custodian fee
reduction(4) 1.86%(5) 1.60%(5)
Net investment income(4) 9.17%(5) 6.83%(5)
Portfolio Turnover 7% 146%
+ The expenses of the Trust reflect a reduction of the investment adviser fee. Had such
action not been taken, the ratios and net investment income per share would have been
as follows:
Ratios (As a percentage of average net
assets attributable to common
shares):
Expenses(4) 2.05%(5) 1.85%(5)
Expenses after custodian fee
reduction(4) 1.98%(5) 1.79%(5)
Net investment income(4) 9.05%(5) 6.64%(5)
Net investment income per share $ 0.509 $ 0.752
-----------------------------------------------------------------------------------------
++ The ratios reported above are based on net assets attributable solely to common
shares. The ratios based on net assets, including amounts related to preferred shares,
are as follows:
Ratios (As a percentage of average total
net assets):
Net expenses 1.11%(5) 1.06%(5)
Net expenses after custodian fee
reduction 1.07%(5) 1.02%(5)
Net investment income 5.27%(5) 4.37%(5)
+ The expenses of the Trust reflect a reduction of the investment adviser fee. Had such
action not been taken, the ratios would have been as follows:
Ratios (As a percentage of average total
net assets):
Expenses 1.18%(5) 1.18%(5)
Expenses after custodian fee
reduction 1.14%(5) 1.14%(5)
Net investment income 5.20%(5) 4.25%(5)
-----------------------------------------------------------------------------------------
Senior Securities:
Total preferred shares outstanding 2,360 2,360
Asset coverage per preferred share(6) $ 58,828 $ 59,892
Involuntary liquidation preference
per preferred share(7) $ 25,000 $ 25,000
Approximate market value per
preferred share(7) $ 25,000 $ 25,000
-----------------------------------------------------------------------------------------
</TABLE>
(1) Computed using average common shares outstanding.
(2) For the period from the start of business, January 29, 1999, to
November 30, 1999.
(3) Total return is calculated assuming a purchase at the current market
price on the first day and a sale at the current market price on the
last day of each period reported. Dividends and distributions, if any,
are assumed reinvested at the net asset value on the reinvestment date.
Total return is not computed on an annualized basis.
(4) Ratios do not reflect the effect of dividend payments to preferred
shareholders. Ratios to average net assets attributable to common shares
reflect the Trust's leveraged capital structure.
(5) Annualized.
(6) Calculated by subtracting the Trust's total liabilities (not including
the preferred shares) from the Trust's total assets, and dividing this
by the number of preferred shares outstanding.
(7) Plus accumulated and unpaid dividends.
SEE NOTES TO FINANCIAL STATEMENTS
37
<PAGE>
EATON VANCE MUNICIPAL INCOME TRUSTS AS OF MAY 31, 2000
FINANCIAL STATEMENTS CONT'D
FINANCIAL HIGHLIGHTS
SELECTED DATA FOR A COMMON SHARE OUTSTANDING DURING PERIODS STATED
<TABLE>
<CAPTION>
FLORIDA TRUST
---------------------------------------------
SIX MONTHS ENDED
MAY 31, 2000 PERIOD ENDED
(UNAUDITED)(1) NOVEMBER 30, 1999(1)(2)
<S> <C> <C>
-----------------------------------------------------------------------------------------
Net asset value -- Beginning of period
(Common shares) $11.770 $15.000
-----------------------------------------------------------------------------------------
Income (loss) from operations
-----------------------------------------------------------------------------------------
Net investment income $ 0.530 $ 0.779
Net realized and unrealized loss (0.566) (3.180)
-----------------------------------------------------------------------------------------
TOTAL LOSS FROM OPERATIONS $(0.036) $(2.401)
-----------------------------------------------------------------------------------------
Less distributions
-----------------------------------------------------------------------------------------
Preferred Shareholders --
From net investment income $(0.167) $(0.200)
Common Shareholders --
From net investment income (0.377) (0.502)
-----------------------------------------------------------------------------------------
TOTAL DISTRIBUTIONS $(0.544) $(0.702)
-----------------------------------------------------------------------------------------
PREFERRED AND COMMON SHARES OFFERING
COSTS CHARGED TO PAID-IN CAPITAL $ -- $(0.042)
-----------------------------------------------------------------------------------------
PREFERRED SHARES UNDERWRITING DISCOUNTS $ -- $(0.085)
-----------------------------------------------------------------------------------------
NET ASSET VALUE -- END OF PERIOD (COMMON
SHARES) $11.190 $11.770
-----------------------------------------------------------------------------------------
MARKET VALUE -- END OF PERIOD (COMMON
SHARES) $10.500 $10.438
-----------------------------------------------------------------------------------------
TOTAL RETURN(3) 4.17% (27.62)%
-----------------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
38
<PAGE>
EATON VANCE MUNICIPAL INCOME TRUSTS AS OF MAY 31, 2000
FINANCIAL STATEMENTS CONT'D
FINANCIAL HIGHLIGHTS
SELECTED DATA FOR A COMMON SHARE OUTSTANDING DURING PERIODS STATED
<TABLE>
<CAPTION>
FLORIDA TRUST
---------------------------------------------
SIX MONTHS ENDED
MAY 31, 2000 PERIOD ENDED
(UNAUDITED)(1) NOVEMBER 30, 1999(1)(2)
<S> <C> <C>
-----------------------------------------------------------------------------------------
Ratios/Supplemental Data+++
-----------------------------------------------------------------------------------------
Net assets, end of period (000's
omitted) $82,835 $85,233
Ratios (As a percentage of average net
assets attributable to common
shares):
Net expenses(4) 1.84%(5) 1.74%(5)
Net expenses after custodian fee
reduction(4) 1.77%(5) 1.68%(5)
Net investment income(4) 9.32%(5) 6.89%(5)
Portfolio Turnover 12% 101%
+ The expenses of the Trust reflect a reduction of the investment adviser fee. Had such
action not been taken, the ratios and net investment income per share would have been
as follows:
Ratios (As a percentage of average net
assets attributable to common
shares):
Expenses(4) 2.10%(5) 1.88%(5)
Expenses after custodian fee
reduction(4) 2.03%(5) 1.82%(5)
Net investment income(4) 9.06%(5) 6.75%(5)
Net investment income per share $ 0.515 $ 0.763
-----------------------------------------------------------------------------------------
++ The ratios reported above are based on net assets attributable solely to common
shares. The ratios based on net assets, including amounts related to preferred shares,
are as follows:
Ratios (As a percentage of average total
net assets):
Net expenses 1.06%(5) 1.11%(5)
Net expenses after custodian fee
reduction 1.02%(5) 1.07%(5)
Net investment income 5.36%(5) 4.39%(5)
+ The expenses of the Trust reflect a reduction of the investment adviser fee. Had such
action not been taken, the ratios would have been as follows:
Ratios (As a percentage of average total
net assets):
Expenses 1.21%(5) 1.20%(5)
Expenses after custodian fee
reduction 1.17%(5) 1.16%(5)
Net investment income 5.21%(5) 4.30%(5)
-----------------------------------------------------------------------------------------
Senior Securities:
Total preferred shares outstanding 1,420 1,420
Asset coverage per preferred share(6) $58,334 $60,023
Involuntary liquidation preference
per preferred share(7) $25,000 $25,000
Approximate market value per
preferred share(7) $25,000 $25,000
-----------------------------------------------------------------------------------------
</TABLE>
(1) Computed using average common shares outstanding.
(2) For the period from the start of business, January 29, 1999, to
November 30, 1999.
(3) Total return is calculated assuming a purchase at the current market
price on the first day and a sale at the current market price on the
last day of each period reported. Dividends and distributions, if any,
are assumed reinvested at the net asset value on the reinvestment date.
Total return is not computed on an annualized basis.
(4) Ratios do not reflect the effect of dividend payments to preferred
shareholders. Ratios to average net assets attributable to common shares
reflect the Trust's leveraged capital structure.
(5) Annualized.
(6) Calculated by subtracting the Trust's total liabilities (not including
the preferred shares) from the Trust's total assets, and dividing this
by the number of preferred shares outstanding.
(7) Plus accumulated and unpaid dividends.
SEE NOTES TO FINANCIAL STATEMENTS
39
<PAGE>
EATON VANCE MUNICIPAL INCOME TRUSTS AS OF MAY 31, 2000
FINANCIAL STATEMENTS CONT'D
FINANCIAL HIGHLIGHTS
SELECTED DATA FOR A COMMON SHARE OUTSTANDING DURING PERIODS STATED
<TABLE>
<CAPTION>
MASSACHUSETTS TRUST
---------------------------------------------
SIX MONTHS ENDED
MAY 31, 2000 PERIOD ENDED
(UNAUDITED)(1) NOVEMBER 30, 1999(1)(2)
<S> <C> <C>
-----------------------------------------------------------------------------------------
Net asset value -- Beginning of period
(Common shares) $11.470 $15.000
-----------------------------------------------------------------------------------------
Income (loss) from operations
-----------------------------------------------------------------------------------------
Net investment income $ 0.510 $ 0.779
Net realized and unrealized loss (0.631) (3.479)
-----------------------------------------------------------------------------------------
TOTAL LOSS FROM OPERATIONS $(0.121) $(2.700)
-----------------------------------------------------------------------------------------
Less distributions
-----------------------------------------------------------------------------------------
Preferred Shareholders --
From net investment income $(0.136) $(0.192)
Common Shareholders --
From net investment income (0.383) (0.510)
-----------------------------------------------------------------------------------------
TOTAL DISTRIBUTIONS $(0.519) $(0.702)
-----------------------------------------------------------------------------------------
PREFERRED AND COMMON SHARES OFFERING
COSTS CHARGED TO PAID-IN CAPITAL $ -- $(0.043)
-----------------------------------------------------------------------------------------
PREFERRED SHARES UNDERWRITING DISCOUNTS $ -- $(0.085)
-----------------------------------------------------------------------------------------
NET ASSET VALUE -- END OF PERIOD (COMMON
SHARES) $10.830 $11.470
-----------------------------------------------------------------------------------------
MARKET VALUE -- END OF PERIOD (COMMON
SHARES) $11.188 $11.438
-----------------------------------------------------------------------------------------
TOTAL RETURN(3) 1.23% (20.68)%
-----------------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
40
<PAGE>
EATON VANCE MUNICIPAL INCOME TRUSTS AS OF MAY 31, 2000
FINANCIAL STATEMENTS CONT'D
FINANCIAL HIGHLIGHTS
SELECTED DATA FOR A COMMON SHARE OUTSTANDING DURING PERIODS STATED
<TABLE>
<CAPTION>
MASSACHUSETTS TRUST
---------------------------------------------
SIX MONTHS ENDED
MAY 31, 2000 PERIOD ENDED
(UNAUDITED)(1) NOVEMBER 30, 1999(1)(2)
<S> <C> <C>
-----------------------------------------------------------------------------------------
Ratios/Supplemental Data+++
-----------------------------------------------------------------------------------------
Net assets, end of period (000's
omitted) $49,600 $50,960
Ratios (As a percentage of average net
assets attributable to common
shares):
Net expenses(4) 2.21%(5) 1.98%(5)
Net expenses after custodian fee
reduction(4) 2.12%(5) 1.91%(5)
Net investment income(4) 9.34%(5) 6.93%(5)
Portfolio Turnover 23% 111%
+ The expenses of the Trust reflect a reduction of the investment adviser fee. Had such
action not been taken, the ratios and net investment income per share would have been
as follows:
Ratios (As a percentage of average net
assets attributable to common
shares):
Expenses(4) 2.23%(5) 2.01%(5)
Expenses after custodian fee
reduction(4) 2.14%(5) 1.94%(5)
Net investment income(4) 9.32%(5) 6.90%(5)
Net investment income per share $ 0.509 $ 0.776
-----------------------------------------------------------------------------------------
++ The ratios reported above are based on net assets attributable solely to common
shares. The ratios based on net assets, including amounts related to preferred shares,
are as follows:
Ratios (As a percentage of average total
net assets):
Net expenses 1.25%(5) 1.26%(5)
Net expenses after custodian fee
reduction 1.20%(5) 1.21%(5)
Net investment income 5.30%(5) 4.41%(5)
+ The expenses of the Trust reflect a reduction of the investment adviser fee. Had such
action not been taken, the ratios would have been as follows:
Ratios (As a percentage of average total
net assets):
Expenses 1.26%(5) 1.28%(5)
Expenses after custodian fee
reduction 1.21%(5) 1.23%(5)
Net investment income 5.29%(5) 4.39%(5)
-----------------------------------------------------------------------------------------
Senior Securities:
Total preferred shares outstanding 860 860
Asset coverage per preferred share(6) $57,675 $59,256
Involuntary liquidation preference
per preferred share(7) $25,000 $25,000
Approximate market value per
preferred share(7) $25,000 $25,000
-----------------------------------------------------------------------------------------
</TABLE>
(1) Computed using average common shares outstanding.
(2) For the period from the start of business, January 29, 1999, to
November 30, 1999.
(3) Total return is calculated assuming a purchase at the current market
price on the first day and a sale at the current market price on the
last day of each period reported. Dividends and distributions, if any,
are assumed reinvested at the net asset value on the reinvestment date.
Total return is not computed on an annualized basis.
(4) Ratios do not reflect the effect of dividend payments to preferred
shareholders. Ratios to average net assets attributable to common shares
reflect the Trust's leveraged capital structure.
(5) Annualized.
(6) Calculated by subtracting the Trust's total liabilities (not including
the preferred shares) from the Trust's total assets, and dividing this
by the number of preferred shares outstanding.
(7) Plus accumulated and unpaid dividends.
SEE NOTES TO FINANCIAL STATEMENTS
41
<PAGE>
EATON VANCE MUNICIPAL INCOME TRUSTS AS OF MAY 31, 2000
FINANCIAL STATEMENTS CONT'D
FINANCIAL HIGHLIGHTS
SELECTED DATA FOR A COMMON SHARE OUTSTANDING DURING PERIODS STATED
<TABLE>
<CAPTION>
MICHIGAN TRUST
---------------------------------------------
SIX MONTHS ENDED
MAY 31, 2000 PERIOD ENDED
(UNAUDITED)(1) NOVEMBER 30, 1999(1)(2)
<S> <C> <C>
-----------------------------------------------------------------------------------------
Net asset value -- Beginning of period
(Common shares) $11.840 $15.000
-----------------------------------------------------------------------------------------
Income (loss) from operations
-----------------------------------------------------------------------------------------
Net investment income $ 0.515 $ 0.771
Net realized and unrealized loss (0.512) (3.111)
-----------------------------------------------------------------------------------------
TOTAL INCOME (LOSS) FROM OPERATIONS $ 0.003 $(2.340)
-----------------------------------------------------------------------------------------
Less distributions
-----------------------------------------------------------------------------------------
Preferred Shareholders --
From net investment income $(0.158) $(0.191)
Common Shareholders --
From net investment income (0.375) (0.500)
-----------------------------------------------------------------------------------------
TOTAL DISTRIBUTIONS $(0.533) $(0.691)
-----------------------------------------------------------------------------------------
PREFERRED AND COMMON SHARES OFFERING
COSTS CHARGED TO PAID-IN CAPITAL $ -- $(0.044)
-----------------------------------------------------------------------------------------
PREFERRED SHARES UNDERWRITING DISCOUNTS $ -- $(0.085)
-----------------------------------------------------------------------------------------
NET ASSET VALUE -- END OF PERIOD (COMMON
SHARES) $11.310 $11.840
-----------------------------------------------------------------------------------------
MARKET VALUE -- END OF PERIOD (COMMON
SHARES) $10.250 $10.875
-----------------------------------------------------------------------------------------
TOTAL RETURN(3) (2.35)% (24.66)%
-----------------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
42
<PAGE>
EATON VANCE MUNICIPAL INCOME TRUSTS AS OF MAY 31, 2000
FINANCIAL STATEMENTS CONT'D
FINANCIAL HIGHLIGHTS
SELECTED DATA FOR A COMMON SHARE OUTSTANDING DURING PERIODS STATED
<TABLE>
<CAPTION>
MICHIGAN TRUST
---------------------------------------------
SIX MONTHS ENDED
MAY 31, 2000 PERIOD ENDED
(UNAUDITED)(1) NOVEMBER 30, 1999(1)(2)
<S> <C> <C>
-----------------------------------------------------------------------------------------
Ratios/Supplemental Data+++
-----------------------------------------------------------------------------------------
Net assets, end of period (000's
omitted) $41,087 $42,198
Ratios (As a percentage of average net
assets attributable to common
shares):
Net expenses(4) 1.95%(5) 1.78%(5)
Net expenses after custodian fee
reduction(4) 1.86%(5) 1.71%(5)
Net investment income(4) 9.06%(5) 6.77%(5)
Portfolio Turnover 8% 90%
+ The expenses of the Trust reflect a reduction of the investment adviser fee. Had such
action not been taken, the ratios and net investment income per share would have been
as follows:
Ratios (As a percentage of average net
assets attributable to common
shares):
Expenses(4) 2.27%(5) 2.06%(5)
Expenses after custodian fee
reduction(4) 2.18%(5) 1.99%(5)
Net investment income(4) 8.74%(5) 6.49%(5)
Net investment income per share $ 0.497 $ 0.738
-----------------------------------------------------------------------------------------
++ The ratios reported above are based on net assets attributable solely to common
shares. The ratios based on net assets, including amounts related to preferred shares,
are as follows:
Ratios (As a percentage of average total
net assets):
Net expenses 1.12%(5) 1.14%(5)
Net expenses after custodian fee
reduction 1.07%(5) 1.09%(5)
Net investment income 5.21%(5) 4.33%(5)
+ The expenses of the Trust reflect reduction of the investment adviser fee. Had such
action not been taken, the ratios would have been as follows:
Ratios (As a percentage of average total
net assets):
Expenses 1.30%(5) 1.32%(5)
Expenses after custodian fee
reduction 1.25%(5) 1.27%(5)
Net investment income 5.03%(5) 4.15%(5)
-----------------------------------------------------------------------------------------
Senior Securities:
Total preferred shares outstanding 700 700
Asset coverage per preferred share(6) $58,695 $60,283
Involuntary liquidation preference
per preferred share(7) $25,000 $25,000
Approximate market value per
preferred share(7) $25,000 $25,000
-----------------------------------------------------------------------------------------
</TABLE>
(1) Computed using average common shares outstanding.
(2) For the period from the start of business, January 29, 1999, to
November 30, 1999.
(3) Total return is calculated assuming a purchase at the current market
price on the first day and a sale at the current market price on the
last day of each period reported. Dividends and distributions, if any,
are assumed reinvested at the net asset value on the reinvestment date.
Total return is not computed on an annualized basis.
(4) Ratios do not reflect the effect of dividend payments to preferred
shareholders. Ratios to average net assets attributable to common shares
reflect the Trust's leveraged capital structure.
(5) Annualized.
(6) Calculated by subtracting the Trust's total liabilities (not including
the preferred shares) from the Trust's total assets, and dividing this
by the number of preferred share outstanding.
(7) Plus accumulated and unpaid dividends.
SEE NOTES TO FINANCIAL STATEMENTS
43
<PAGE>
EATON VANCE MUNICIPAL INCOME TRUSTS AS OF MAY 31, 2000
FINANCIAL STATEMENTS CONT'D
FINANCIAL HIGHLIGHTS
SELECTED DATA FOR A COMMON SHARE OUTSTANDING DURING PERIODS STATED
<TABLE>
<CAPTION>
NEW JERSEY TRUST
---------------------------------------------
SIX MONTHS ENDED
MAY 31, 2000 PERIOD ENDED
(UNAUDITED)(1) NOVEMBER 30, 1999(1)(2)
<S> <C> <C>
-----------------------------------------------------------------------------------------
Net asset value -- Beginning of period
(Common shares) $11.720 $15.000
-----------------------------------------------------------------------------------------
Income (loss) from operations
-----------------------------------------------------------------------------------------
Net investment income $ 0.518 $ 0.778
Net realized and unrealized loss (0.645) (3.235)
-----------------------------------------------------------------------------------------
TOTAL LOSS FROM OPERATIONS $(0.127) $(2.457)
-----------------------------------------------------------------------------------------
Less distributions
-----------------------------------------------------------------------------------------
Preferred Shareholders --
From net investment income $(0.158) $(0.195)
Common Shareholders --
From net investment income (0.375) (0.500)
-----------------------------------------------------------------------------------------
TOTAL DISTRIBUTIONS $(0.533) $(0.695)
-----------------------------------------------------------------------------------------
PREFERRED AND COMMON SHARES OFFERING
COSTS CHARGED TO PAID-IN CAPITAL $ -- $(0.042)
-----------------------------------------------------------------------------------------
PREFERRED SHARES UNDERWRITING DISCOUNTS $ -- $(0.086)
-----------------------------------------------------------------------------------------
NET ASSET VALUE -- END OF PERIOD (COMMON
SHARES) $11.060 $11.720
-----------------------------------------------------------------------------------------
MARKET VALUE -- END OF PERIOD (COMMON
SHARES) $10.938 $10.875
-----------------------------------------------------------------------------------------
TOTAL RETURN(3) 4.15% (24.64)%
-----------------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
44
<PAGE>
EATON VANCE MUNICIPAL INCOME TRUSTS AS OF MAY 31, 2000
FINANCIAL STATEMENTS CONT'D
FINANCIAL HIGHLIGHTS
SELECTED DATA FOR A COMMON SHARE OUTSTANDING DURING PERIODS STATED
<TABLE>
<CAPTION>
NEW JERSEY TRUST
---------------------------------------------
SIX MONTHS ENDED
MAY 31, 2000 PERIOD ENDED
(UNAUDITED)(1) NOVEMBER 30, 1999(1)(2)
<S> <C> <C>
-----------------------------------------------------------------------------------------
Ratios/Supplemental Data+++
-----------------------------------------------------------------------------------------
Net assets, end of period (000's
omitted) $87,603 $90,497
Ratios (As a percentage of average net
assets attributable to common
shares):
Net expenses(4) 2.01%(5) 1.67%(5)
Net expenses after custodian fee
reduction(4) 1.93%(5) 1.61%(5)
Net investment income(4) 9.27%(5) 6.83%(5)
Portfolio Turnover 27% 114%
+ The expenses of the Trust reflect a reduction of the investment adviser fee. Had such
action not been taken, the ratios and net investment income per share would have been
as follows:
Ratios (As a percentage of average net
assets attributable to common
shares):
Expenses(4) 2.11%(5) 1.85%(5)
Expenses after custodian fee
reduction(4) 2.03%(5) 1.79%(5)
Net investment income(4) 9.16%(5) 6.65%(5)
Net investment income per share $ 0.512 $ 0.757
-----------------------------------------------------------------------------------------
++ The ratios reported above are based on net assets attributable solely to common
shares. The ratios based on net assets, including amounts related to preferred shares,
are as follows:
Ratios (As a percentage of average total
net assets):
Net expenses 1.13%(5) 1.07%(5)
Net expenses after custodian fee
reduction 1.09%(5) 1.03%(5)
Net investment income 5.27%(5) 4.35%(5)
+ The expenses of the Trust reflect a reduction of the investment adviser fee. Had such
action not been taken, the ratios would have been as follows:
Ratios (As a percentage of average total
net assets):
Expenses 1.20%(5) 1.18%(5)
Expenses after custodian fee
reduction 1.16%(5) 1.14%(5)
Net investment income 5.21%(5) 4.24%(5)
-----------------------------------------------------------------------------------------
Senior Securities:
Total preferred shares outstanding 1,520 1,520
Asset coverage per preferred share(6) $57,633 $59,538
Involuntary liquidation preference
per preferred share(7) $25,000 $25,000
Approximate market value per
preferred share(7) $25,000 $25,000
-----------------------------------------------------------------------------------------
</TABLE>
(1) Computed using average common shares outstanding.
(2) For the period from the start of business, January 29, 1999, to
November 30, 1999.
(3) Total return is calculated assuming a purchase at the current market
price on the first day and a sale at the current market price on the
last day of each period reported. Dividends and distributions, if any,
are assumed reinvested at the net asset value on the reinvestment date.
Total return is not computed on an annualized basis.
(4) Ratios do not reflect the effect of dividend payments to preferred
shareholders. Ratios to average net assets attributable to common shares
reflect the Trust's leveraged capital structure.
(5) Annualized.
(6) Calculated by subtracting the Trust's total liabilities (not including
the prefered shares) from the Trust's total assets, and dividing this by
the number of preferred shares outstanding.
(7) Plus accumulated and unpaid dividends.
SEE NOTES TO FINANCIAL STATEMENTS
45
<PAGE>
EATON VANCE MUNICIPAL INCOME TRUSTS AS OF MAY 31, 2000
FINANCIAL STATEMENTS CONT'D
FINANCIAL HIGHLIGHTS
SELECTED DATA FOR A COMMON SHARE OUTSTANDING DURING PERIODS STATED
<TABLE>
<CAPTION>
NEW YORK TRUST
---------------------------------------------
SIX MONTHS ENDED
MAY 31, 2000 PERIOD ENDED
(UNAUDITED)(1) NOVEMBER 30, 1999(1)(2)
<S> <C> <C>
-----------------------------------------------------------------------------------------
Net asset value -- Beginning of period
(Common shares) $ 11.800 $ 15.000
-----------------------------------------------------------------------------------------
Income (loss) from operations
-----------------------------------------------------------------------------------------
Net investment income $ 0.519 $ 0.781
Net realized and unrealized loss (0.380) (3.153)
-----------------------------------------------------------------------------------------
TOTAL INCOME (LOSS) FROM OPERATIONS $ 0.139 $ (2.372)
-----------------------------------------------------------------------------------------
Less distributions
-----------------------------------------------------------------------------------------
Preferred Shareholders --
From net investment income $ (0.146) $ (0.191)
Common Shareholders --
From net investment income (0.383) (0.510)
-----------------------------------------------------------------------------------------
TOTAL DISTRIBUTIONS $ (0.529) $ (0.701)
-----------------------------------------------------------------------------------------
PREFERRED AND COMMON SHARES OFFERING
COSTS CHARGED TO PAID-IN CAPITAL $ -- $ (0.041)
-----------------------------------------------------------------------------------------
PREFERRED SHARES UNDERWRITING DISCOUNTS $ -- $ (0.086)
-----------------------------------------------------------------------------------------
NET ASSET VALUE -- END OF PERIOD (COMMON
SHARES) $ 11.410 $ 11.800
-----------------------------------------------------------------------------------------
MARKET VALUE -- END OF PERIOD (COMMON
SHARES) $ 10.438 $ 10.813
-----------------------------------------------------------------------------------------
TOTAL RETURN(3) (0.12)% (25.00)%
-----------------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
46
<PAGE>
EATON VANCE MUNICIPAL INCOME TRUSTS AS OF MAY 31, 2000
FINANCIAL STATEMENTS CONT'D
FINANCIAL HIGHLIGHTS
SELECTED DATA FOR A COMMON SHARE OUTSTANDING DURING PERIODS STATED
<TABLE>
<CAPTION>
NEW YORK TRUST
---------------------------------------------
SIX MONTHS ENDED
MAY 31, 2000 PERIOD ENDED
(UNAUDITED)(1) NOVEMBER 30, 1999(1)(2)
<S> <C> <C>
-----------------------------------------------------------------------------------------
Ratios/Supplemental Data+++
-----------------------------------------------------------------------------------------
Net assets, end of period (000's
omitted) $105,028 $106,846
Ratios (As a percentage of average net
assets attributable to common
shares):
Net expenses(4) 1.82%(5) 1.65%(5)
Net expenses after custodian fee
reduction(4) 1.74%(5) 1.59%(5)
Net investment income(4) 9.03%(5) 6.86%(5)
Portfolio Turnover 20% 139%
+ The expenses of the Trust reflect a reduction of the investment adviser fee. Had such
action not been taken, the ratios and net investment income per share would have been
as follows:
Ratios (As a percentage of average net
assets attributable to common
shares):
Expenses(4) 2.04%(5) 1.86%(5)
Expenses after custodian fee
reduction(4) 1.96%(5) 1.80%(5)
Net investment income(4) 8.81%(5) 6.65%(5)
Net investment income per share $ 0.506 $ 0.757
-----------------------------------------------------------------------------------------
++ The ratios reported above are based on net assets attributable solely to common
shares. The ratios based on net assets, including amounts related to preferred shares,
are as follows:
Ratios (As a percentage of average total
net assets):
Net expenses 1.05%(5) 1.05%(5)
Net expenses after custodian fee
reduction 1.01%(5) 1.01%(5)
Net investment income 5.22%(5) 4.38%(5)
+ The expenses of the Trust reflect a reduction of the investment adviser fee. Had such
action not been taken, the ratios would have been as follows:
Ratios (As a percentage of average total
net assets):
Expenses 1.18%(5) 1.18%(5)
Expenses after custodian fee
reduction 1.14%(5) 1.14%(5)
Net investment income 5.09%(5) 4.25%(5)
-----------------------------------------------------------------------------------------
Senior Securities:
Total preferred shares outstanding 1,780 1,780
Asset coverage per preferred share(6) $ 59,004 $ 60,026
Involuntary liquidation preference
per preferred share(7) $ 25,000 $ 25,000
Approximate market value per
preferred share(7) $ 25,000 $ 25,000
-----------------------------------------------------------------------------------------
</TABLE>
(1) Computed using average common shares outstanding.
(2) For the period from the start of business, January 29, 1999, to
November 30, 1999.
(3) Total return is calculated assuming a purchase at the current market
price on the first day and a sale at the current market price on the
last day of each period reported. Dividends and distributions, if any,
are assumed reinvested at the net asset value on the reinvestment date.
Total return is not computed on an annualized basis.
(4) Ratios do not reflect the effect of dividend payments to preferred
shareholders. Ratios to average net assets attributable to common shares
reflect the Trust's leveraged capital structure.
(5) Annualized.
(6) Calculated by subtracting the Trust's total liabilities (not including
the preferred shares) from the Trust's total assets, and dividing this
by the number of preferred shares outstanding.
(7) Plus accumulated and unpaid dividends.
SEE NOTES TO FINANCIAL STATEMENTS
47
<PAGE>
EATON VANCE MUNICIPAL INCOME TRUSTS AS OF MAY 31, 2000
FINANCIAL STATEMENTS CONT'D
FINANCIAL HIGHLIGHTS
SELECTED DATA FOR A COMMON SHARE OUTSTANDING DURING PERIODS STATED
<TABLE>
<CAPTION>
OHIO TRUST
---------------------------------------------
SIX MONTHS ENDED
MAY 31, 2000 PERIOD ENDED
(UNAUDITED)(1) NOVEMBER 30, 1999(1)(2)
<S> <C> <C>
-----------------------------------------------------------------------------------------
Net asset value -- Beginning of period
(Common shares) $11.910 $15.000
-----------------------------------------------------------------------------------------
Income (loss) from operations
-----------------------------------------------------------------------------------------
Net investment income $ 0.524 $ 0.772
Net realized and unrealized loss (0.475) (3.035)
-----------------------------------------------------------------------------------------
TOTAL INCOME (LOSS) FROM OPERATIONS $ 0.049 $(2.263)
-----------------------------------------------------------------------------------------
Less distributions
-----------------------------------------------------------------------------------------
Preferred Shareholders --
From net investment income $(0.162) $(0.197)
Common Shareholders --
From net investment income (0.377) (0.502)
-----------------------------------------------------------------------------------------
TOTAL DISTRIBUTIONS $(0.539) $(0.699)
-----------------------------------------------------------------------------------------
PREFERRED AND COMMON SHARES OFFERING
COSTS CHARGED TO PAID-IN CAPITAL $ -- $(0.043)
-----------------------------------------------------------------------------------------
PREFERRED SHARES UNDERWRITING DISCOUNTS $ -- $(0.085)
-----------------------------------------------------------------------------------------
NET ASSET VALUE -- END OF PERIOD (COMMON
SHARES) $11.420 $11.910
-----------------------------------------------------------------------------------------
MARKET VALUE -- END OF PERIOD (COMMON
SHARES) $11.313 $11.250
-----------------------------------------------------------------------------------------
TOTAL RETURN(3) 4.06% (22.06)%
-----------------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
48
<PAGE>
EATON VANCE MUNICIPAL INCOME TRUSTS AS OF MAY 31, 2000
FINANCIAL STATEMENTS CONT'D
FINANCIAL HIGHLIGHTS
SELECTED DATA FOR A COMMON SHARE OUTSTANDING DURING PERIODS STATED
<TABLE>
<CAPTION>
OHIO TRUST
---------------------------------------------
SIX MONTHS ENDED
MAY 31, 2000 PERIOD ENDED
(UNAUDITED)(1) NOVEMBER 30, 1999(1)(2)
<S> <C> <C>
-----------------------------------------------------------------------------------------
Ratios/Supplemental Data+++
-----------------------------------------------------------------------------------------
Net assets, end of period (000's
omitted) $55,213 $56,549
Ratios (As a percentage of average net
assets attributable to common
shares):
Net expenses(4) 1.96%(5) 1.84%(5)
Net expenses after custodian fee
reduction(4) 1.89%(5) 1.77%(5)
Net investment income(4) 9.13%(5) 6.74%(5)
Portfolio Turnover 6% 136%
+ The expenses of the Trust reflect a reduction of the investment adviser fee. Had such
action not been taken, the ratios and net investment income per share would have been
as follows:
Ratios (As a percentage of average net
assets attributable to common
shares):
Expenses(4) 2.15%(5) 1.96%(5)
Expenses after custodian fee
reduction(4) 2.08%(5) 1.89%(5)
Net investment income(4) 8.94%(5) 6.62%(5)
Net investment income per share $ 0.513 $ 0.758
-----------------------------------------------------------------------------------------
++ The ratios reported above are based on net assets attributable solely to common
shares. The ratios based on net assets, including amounts related to preferred shares,
are as follows:
Ratios (As a percentage of average total
net assets):
Net expenses 1.13%(5) 1.17%(5)
Net expenses after custodian fee
reduction 1.09%(5) 1.13%(5)
Net investment income 5.25%(5) 4.31%(5)
+ The expenses of the Trust reflect a reduction of the investment adviser fee. Had such
action not been taken, the ratios would have been as follows:
Ratios (As a percentage of average total
net assets):
Expenses 1.24%(5) 1.25%(5)
Expenses after custodian fee
reduction 1.20%(5) 1.21%(5)
Net investment income 5.14%(5) 4.23%(5)
-----------------------------------------------------------------------------------------
Senior Securities:
Total preferred shares outstanding 940 940
Asset coverage per preferred share(6) $58,737 $60,158
Involuntary liquidation preference
per preferred share(7) $25,000 $25,000
Approximate market value per
preferred share(7) $25,000 $25,000
-----------------------------------------------------------------------------------------
</TABLE>
(1) Computed using average common shares outstanding.
(2) For the period from the start of business, January 29, 1999, to
November 30, 1999.
(3) Total return is calculated assuming a purchase at the current market
price on the first day and a sale at the current market price on the
last day of each period reported. Dividends and distributions, if any,
are assumed reinvested at the net asset value on the reinvestment date.
Total return is not computed on an annualized basis.
(4) Ratios do not reflect the effect of dividend payments to preferred
shareholders. Ratios to average net assets attributable to common shares
reflect the Trust's leveraged capital structure.
(5) Annualized.
(6) Calculated by subtracting the Trust's total liabilities (not including
the preferred shares) from the Trust's total assets, and dividing this
by the number of preferred shares outstanding.
(7) Plus accumulated and unpaid dividends.
SEE NOTES TO FINANCIAL STATEMENTS
49
<PAGE>
EATON VANCE MUNICIPAL INCOME TRUSTS AS OF MAY 31, 2000
FINANCIAL STATEMENTS CONT'D
FINANCIAL HIGHLIGHTS
SELECTED DATA FOR A COMMON SHARE OUTSTANDING DURING PERIODS STATED
<TABLE>
<CAPTION>
PENNSYLVANIA TRUST
---------------------------------------------
SIX MONTHS ENDED
MAY 31, 2000 PERIOD ENDED
(UNAUDITED)(1) NOVEMBER 30, 1999(1)(2)
<S> <C> <C>
-----------------------------------------------------------------------------------------
Net asset value -- Beginning of period
(Common shares) $11.840 $15.000
-----------------------------------------------------------------------------------------
Income (loss) from operations
-----------------------------------------------------------------------------------------
Net investment income $ 0.527 $ 0.780
Net realized and unrealized loss (0.477) (3.108)
-----------------------------------------------------------------------------------------
TOTAL INCOME (LOSS) FROM OPERATIONS $ 0.050 $(2.328)
-----------------------------------------------------------------------------------------
Less distributions
-----------------------------------------------------------------------------------------
Preferred Shareholders --
From net investment income $(0.163) $(0.201)
Common Shareholders --
From net investment income (0.377) (0.502)
-----------------------------------------------------------------------------------------
TOTAL DISTRIBUTIONS $(0.540) $(0.703)
-----------------------------------------------------------------------------------------
PREFERRED AND COMMON SHARES OFFERING
COSTS CHARGED TO PAID-IN CAPITAL $ -- $(0.043)
-----------------------------------------------------------------------------------------
PREFERRED SHARES UNDERWRITING DISCOUNTS $ -- $(0.086)
-----------------------------------------------------------------------------------------
NET ASSET VALUE -- END OF PERIOD (COMMON
SHARES) $11.350 $11.840
-----------------------------------------------------------------------------------------
MARKET VALUE -- END OF PERIOD (COMMON
SHARES) $10.813 $10.750
-----------------------------------------------------------------------------------------
TOTAL RETURN(3) 4.16% (25.50)%
-----------------------------------------------------------------------------------------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
50
<PAGE>
EATON VANCE MUNICIPAL INCOME TRUSTS AS OF MAY 31, 2000
FINANCIAL STATEMENTS CONT'D
FINANCIAL HIGHLIGHTS
SELECTED DATA FOR A COMMON SHARE OUTSTANDING DURING PERIODS STATED
<TABLE>
<CAPTION>
PENNSYLVANIA TRUST
---------------------------------------------
SIX MONTHS ENDED
MAY 31, 2000 PERIOD ENDED
(UNAUDITED)(1) NOVEMBER 30, 1999(1)(2)
<S> <C> <C>
-----------------------------------------------------------------------------------------
Ratios/Supplemental Data+++
-----------------------------------------------------------------------------------------
Net assets, end of period (000's
omitted) $52,742 $54,045
Ratios (As a percentage of average net
assets attributable to common
shares):
Net expenses(4) 1.71%(5) 1.77%(5)
Net expenses after custodian fee
reduction(4) 1.63%(5) 1.70%(5)
Net investment income(4) 9.23%(5) 6.85%(5)
Portfolio Turnover 13% 79%
+ The expenses of the Trust reflect a reduction of the investment adviser fee. Had such
action not been taken, the ratios and net investment income per share would have been
as follows:
Ratios (As a percentage of average net
assets attributable to common
shares):
Expenses(4) 2.16%(5) 1.98%(5)
Expenses after custodian fee
reduction(4) 2.08%(5) 1.91%(5)
Net investment income(4) 8.78%(5) 6.64%(5)
Net investment income per share $ 0.501 $ 0.756
-----------------------------------------------------------------------------------------
++ The ratios reported above are based on net assets attributable solely to common
shares. The ratios based on net assets, including amounts related to preferred shares,
are as follows:
Ratios (As a percentage of average total
net assets):
Net expenses 0.98%(5) 1.13%(5)
Net expenses after custodian fee
reduction 0.93%(5) 1.08%(5)
Net investment income 5.31%(5) 4.37%(5)
+ The expenses of the Trust reflect a reduction of the investment adviser fee. Had such
action not been taken, the ratios would have been as follows:
Ratios (As a percentage of average total
net assets):
Expenses 1.24%(5) 1.26%(5)
Expenses after custodian fee
reduction 1.19%(5) 1.21%(5)
Net investment income 5.05%(5) 4.24%(5)
-----------------------------------------------------------------------------------------
Senior Securities:
Total preferred shares outstanding 900 900
Asset coverage per preferred share(6) $58,602 $60,050
Involuntary liquidation preference
per preferred share(7) $25,000 $25,000
Approximate market value per
preferred share(7) $25,000 $25,000
-----------------------------------------------------------------------------------------
</TABLE>
(1) Computed using average common shares outstanding.
(2) For the period from the start of business, January 29, 1999, to
November 30, 1999.
(3) Total return is calculated assuming a purchase at the current market
price on the first day and a sale at the current market price on the
last day of each period reported. Dividends and distributions, if any,
are assumed reinvested at the net asset value on the reinvestment date.
Total return is not computed on an annualized basis.
(4) Ratios do not reflect the effect of dividend payments to preferred
shareholders. Ratios to average net assets attributable to common shares
reflect the Trust's leveraged capital structure.
(5) Annualized.
(6) Calculated by subtracting the Trust's total liabilities (not including
the preferred shares) from the Trust's total assets, and dividing this
by the number of preferred shares outstanding.
(7) Plus accumulated and unpaid dividends.
SEE NOTES TO FINANCIAL STATEMENTS
51
<PAGE>
EATON VANCE MUNICIPAL INCOME TRUSTS AS OF MAY 31, 2000
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
1 Significant Accounting Policies
-------------------------------------------
Eaton Vance California Municipal Income Trust (California Trust), Eaton Vance
Florida Municipal Income Trust (Florida Trust), Eaton Vance Massachusetts
Municipal Income Trust (Massachusetts Trust), Eaton Vance Michigan Municipal
Income Trust (Michigan Trust), Eaton Vance New Jersey Municipal Income Trust
(New Jersey Trust), Eaton Vance New York Municipal Income Trust (New York
Trust), Eaton Vance Ohio Municipal Income Trust (Ohio Trust), and Eaton Vance
Pennsylvania Municipal Income Trust (Pennsylvania Trust), (individually
referred to as the Trust or collectively the Trusts) are registered under the
Investment Company Act of 1940, as non-diversified, closed-end management
investment companies. The Trusts were organized under the laws of the
Commonwealth of Massachusetts by an Agreement and Declaration of Trust dated
December 10, 1998. Each Trust's investment objective is to achieve current
income exempt from regular federal income taxes and taxes in its specified
state. Each Trust seeks to achieve its objective by investing primarily in
investment grade municipal obligations issued by its specified state.
The following is a summary of significant accounting policies consistently
followed by each Trust in the preparation of its financial statements. The
policies are in conformity with generally accepted accounting principles.
A Investment Valuation -- Municipal bonds are normally valued on the basis of
valuations furnished by a pricing service. Taxable obligations, if any, for
which price quotations are readily available are normally valued at the mean
between the latest bid and asked prices. Futures contracts listed on the
commodity exchanges are valued at closing settlement prices. Short-term
obligations, maturing in sixty days or less, are valued at amortized cost,
which approximates value. Investments for which valuations or market
quotations are unavailable are valued at fair value using methods determined
in good faith by or at the direction of the Trustees.
B Investment Transactions -- Investment transactions are recorded on a trade
date basis. Realized gains and losses from such transactions are determined
using the specific identification method. Securities purchased or sold on a
when-issued or delayed delivery basis may be settled a month or more after
the transaction date. The securities so purchased are subject to market
fluctuations during this period. To the extent that when-issued or delayed
delivery purchases are outstanding, the Trust instructs the custodian to
segregate assets in a separate account, with a current value at least equal
to the amount of its purchase commitments.
C Income -- Interest income is determined on the basis of interest accrued
adjusted for amortization of premium or discount on long-term debt securities
when required for federal income tax purposes. Dividend income is recorded on
the ex-dividend date.
D Federal Taxes -- Each Trust's policy is to comply with the provisions of the
Internal Revenue Code applicable to regulated investment companies and to
distribute to shareholders each year all of its taxable, if any, and
tax-exempt income, including any net realized gain on investments. Therefore,
no provision for federal income or excise tax is necessary. At November 30,
1999, the Trusts, for federal income tax purposes, had capital loss
carryovers which will reduce taxable income arising from future net realized
gain on investments, if any, to the extent permitted by the Internal Revenue
Code, and thus will reduce the amount of the distributions to shareholders
which would otherwise be necessary to relieve the Trusts of any liability for
federal income or excise tax. The amounts and expiration dates of the capital
loss carryovers are as follows:
<TABLE>
<CAPTION>
FUND AMOUNT EXPIRES
<S> <C> <C>
-----------------------------------------------------------------------
California Trust $6,426,778 November 30, 2007
Florida Trust 2,089,704 November 30, 2007
Massachusetts Trust 1,625,192 November 30, 2007
Michigan Trust 1,193,621 November 30, 2007
New Jersey Trust 4,432,931 November 30, 2007
New York Trust 6,127,495 November 30, 2007
Ohio Trust 2,126,380 November 30, 2007
Pennsylvania Trust 1,594,189 November 30, 2007
</TABLE>
In addition, each Trust intends to satisfy conditions which will enable it to
designate distributions from the interest income generated by its investments
in municipal obligations, which are exempt from regular federal income taxes
when received by each Trust, as exempt-interest dividends.
E Organization and Offering Costs -- Costs incurred by each Trust in connection
with its organization have been expensed. Costs incurred by the Trust in
52
<PAGE>
EATON VANCE MUNICIPAL INCOME TRUSTS AS OF MAY 31, 2000
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) CONT'D
connection with the offerings of the common shares and preferred shares were
recorded as a reduction of capital paid in excess of par applicable to common
shares.
F Financial Futures Contracts -- Upon the entering of a financial futures
contract, a Trust is required to deposit (initial margin) either in cash or
securities an amount equal to a certain percentage of the purchase price
indicated in the financial futures contract. Subsequent payments are made or
received by a Trust (margin maintenance) each day, dependent on the daily
fluctuations in the value of the underlying security, and are recorded for
book purposes as unrealized gains or losses by a Trust. A Trust's investment
in financial futures contracts is designed for both hedging against
anticipated future changes in interest rates and investment purposes. Should
interest rates move unexpectedly, a Trust may not achieve the anticipated
benefits of the financial futures contracts and may realize a loss.
G Options on Financial Futures Contracts -- Upon the purchase of a put option
on a financial futures contract by a Trust, the premium paid is recorded as
an investment, the value of which is marked-to-market daily. When a purchased
option expires, a Trust will realize a loss in the amount of the cost of the
option. When a Trust enters into a closing sale transaction, a Trust will
realize a gain or loss depending on whether the sales proceeds from the
closing sale transaction are greater or less than the cost of the option.
When a Trust exercises a put option, settlement is made in cash. The risk
associated with purchasing put options is limited to the premium
originally paid.
H Use of Estimates -- The preparation of financial statements in conformity
with generally accepted accounting principles requires management to make
estimates and assumptions that affect the reported amounts of assets and
liabilities at the date of the financial statements and the reported amounts
of income and expense during the reporting period. Actual results could
differ from those estimates.
I Expense Reduction -- Investors Bank & Trust Company (IBT) serves as custodian
of the Trusts. Pursuant to the respective custodian agreements, IBT receives
a fee reduced by credits which are determined based on the daily average cash
balances each Trust maintains with IBT. All significant credit balances used
to reduce the Trusts' custodian fees are reported as a reduction of total
expenses in the Statement of Operations.
J Interim Financial Statements -- The interim financial statements relating to
May 31, 2000 and for the six months then ended have not been audited by
independent certified public accountants, but in the opinion of the Trusts'
management reflect all adjustments, consisting only of normal recurring
adjustments, necessary for the fair presentation of the financial statements.
2 Auction Preferred Shares (APS)
-------------------------------------------
Each Trust issued Auction Preferred Shares on March 1, 1999 in a public
offering. The underwriting discounts and other offering costs were recorded
as a reduction of capital of the common shares of each Trust. Dividends on
the APS, which accrue daily, are cumulative at a rate which was established
at the offering of each Trust's APS and have been reset every seven days
thereafter by an auction.
As of ended May 31, 2000, Auction Preferred Shares issued and outstanding and
dividend rate ranges are as indicated below:
<TABLE>
<CAPTION>
PREFERRED SHARES DIVIDENDS RATE
TRUST ISSUED AND OUTSTANDING RANGES
<S> <C> <C>
----------------------------------------------------------------------------------------
California Trust 2,360 2.60% - 4.25%
Florida Trust 1,420 2.50% - 4.95%
Massachusetts Trust 860 2.34% - 4.75%
Michigan Trust 700 2.70% - 4.50%
New Jersey Trust 1,520 2.40% - 4.75%
New York Trust 1,780 2.45% - 4.55%
Ohio Trust 940 2.65% - 4.88%
Pennsylvania Trust 900 3.00% - 4.85%
</TABLE>
The APS are redeemable at the option of each Trust at a redemption price
equal to $25,000 per share, plus accumulated and unpaid dividends on any
dividend payment date. The APS are also subject to mandatory redemption at a
redemption price equal to $25,000 per share, plus accumulated and unpaid
dividends, if any Trust is in default for an extended period on its asset
maintenance requirements with respect to the APS. If the dividends on the APS
shall remain unpaid in an amount equal to two full years' dividends, the
holders of the APS as a class have the right to elect a majority of the Board
of Trustees. In general, the holders of the APS and the Common Shares have
equal voting rights of one vote per share, except that the holders of the
APS, as a separate class, have the right to elect at least two members of the
Board of Trustees. The APS have a liquidation preference of $25,000 per
share, plus accumulated and unpaid dividends. Each Trust is required to
maintain certain asset
53
<PAGE>
EATON VANCE MUNICIPAL INCOME TRUSTS AS OF MAY 31, 2000
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) CONT'D
coverage with respect to the APS as defined in each Trust's By-Laws and the
Investment Company Act of 1940. Each Trust pays an annual fee equivalent to
0.25% of the preferred shares liquidation value for the remarketing efforts
associated with the preferred auction.
3 Distributions to Shareholders
-------------------------------------------
Each Trust intends to make monthly distributions of net investment income,
after payment of any dividends on any outstanding Auction Preferred Shares.
Distributions are recorded on the ex-dividend date. Distributions to
preferred shareholders are recorded daily and are payable at the end of each
dividend period. Each dividend payment period for the Auction Preferred
Shares is generally seven days. The applicable dividend rate for the Auction
Preferred Shares on May 31, 2000 was 3.95%, 4.70%, 4.25%, 3.75%, 4.25%,
4.49%, 4.50%, and 4.00%, respectively, for California Trust, Florida Trust,
Massachusetts Trust, Michigan Trust, New Jersey Trust, New York Trust, Ohio
Trust and Pennsylvania Trust, respectively. For the six months ended May 31,
2000, the amount of dividends each Trust paid to Auction Preferred
shareholders and average APS dividends rates for such period were
as follows:
<TABLE>
<CAPTION>
DIVIDENDS PAID TO AVERAGE APS
TRUST PREFERRED SHAREHOLDERS DIVIDEND RATES
<S> <C> <C>
--------------------------------------------------------------------------------
California Trust $1,015,862 3.47%
Florida Trust 707,486 3.88%
Massachusetts Trust 351,998 3.33%
Michigan Trust 330,308 3.68%
New Jersey Trust 709,171 3.74%
New York Trust 772,823 3.54%
Ohio Trust 449,442 3.88%
Pennsylvania Trust 434,178 3.87%
</TABLE>
4 Investment Adviser Fee and Other Transactions with Affiliates
-------------------------------------------
The investment adviser fee, computed at an annual rate of 0.70% of each
Trust's average weekly gross assets, was earned by Eaton Vance Management
(EVM) as compensation for investment advisory services rendered to each
Trust. Except for Trustees of each Trust who are not members of EVM's
organization, officers and Trustees receive remuneration for their services
to each Trust out of such investment adviser fee. For the six months ended
May 31, 2000, the fee was equivalent to 0.70% (annualized) of each Trust's
average weekly gross assets and amounted to $488,892, $290,716, $174,585,
$144,731, $308,152, $369,697, $192,847, and $182,908, respectively, for
California Trust, Florida Trust, Massachusetts Trust, Michigan Trust, New
Jersey Trust, New York Trust, Ohio Trust and Pennsylvania Trust,
respectively. In order to enhance the net income of each Trust, EVM waived a
portion of its investment advisory fee in the amount of $46,289, $62,303,
$2,869, $37,562, $26,717, $65,977, $31,312, and $68,405, respectively. EVM
also serves as the administrator of each Trust. An administration fee,
computed at the annual rate of 0.20% of the average weekly gross assets of
each Trust is paid to EVM for administering business affairs of each Trust.
For the six months ended May 31, 2000, the administrative fee amounted to
$137,810, $84,048, $49,861, $41,335, $88,311, $105,597, $55,529, and $53,099,
respectively, for California Trust, Florida Trust, Massachusetts Trust,
Michigan Trust, New Jersey Trust, New York Trust, Ohio Trust and Pennsylvania
Trust, respectively.
Trustees of the Trusts that are not affiliated with the Investment Adviser
may elect to defer receipt of all or a percentage of their annual fees in
accordance with the terms of the Trustees Deferred Compensation Plan. For the
six months ended May 31, 2000, no significant amounts have been deferred.
Certain officers and one Trustee of each Trust are officers of the above
organization.
5 Investments
-------------------------------------------
Purchases and sales of investments, other than U.S. Government securities and
short-term obligations for the six months ended May 31, 2000 were as follows:
<TABLE>
<CAPTION>
CALIFORNIA TRUST
<S> <C>
-----------------------------------------------------
Purchases $ 9,714,439
Sales 9,085,704
<CAPTION>
FLORIDA TRUST
<S> <C>
-----------------------------------------------------
Purchases $10,074,191
Sales 10,018,965
<CAPTION>
MASSACHUSETTS TRUST
<S> <C>
-----------------------------------------------------
Purchases $11,469,165
Sales 11,293,730
</TABLE>
54
<PAGE>
EATON VANCE MUNICIPAL INCOME TRUSTS AS OF MAY 31, 2000
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) CONT'D
<TABLE>
<CAPTION>
MICHIGAN TRUST
<S> <C>
-----------------------------------------------------
Purchases $ 3,230,878
Sales 3,420,056
<CAPTION>
NEW JERSEY TRUST
<S> <C>
-----------------------------------------------------
Purchases $23,104,538
Sales 24,193,813
<CAPTION>
NEW YORK TRUST
<S> <C>
-----------------------------------------------------
Purchases $20,341,237
Sales 21,156,249
<CAPTION>
OHIO TRUST
<S> <C>
-----------------------------------------------------
Purchases $ 4,654,340
Sales 3,325,379
<CAPTION>
PENNSYLVANIA TRUST
<S> <C>
-----------------------------------------------------
Purchases $ 6,785,597
Sales 7,235,728
</TABLE>
6 Federal Income Tax Basis of Investments
-------------------------------------------
The cost and unrealized appreciation (depreciation) in value of the
investments owned by each Trust at May 31, 2000, as computed for Federal
income tax purposes, were as follows:
<TABLE>
<CAPTION>
CALIFORNIA TRUST
<S> <C>
------------------------------------------------------
AGGREGATE COST $155,642,595
------------------------------------------------------
Gross unrealized appreciation $ 37,320
Gross unrealized depreciation (19,414,804)
------------------------------------------------------
NET UNREALIZED DEPRECIATION $(19,377,484)
------------------------------------------------------
<CAPTION>
FLORIDA TRUST
<S> <C>
------------------------------------------------------
AGGREGATE COST $ 94,741,272
------------------------------------------------------
Gross unrealized appreciation $ 4,620
Gross unrealized depreciation (13,010,261)
------------------------------------------------------
NET UNREALIZED DEPRECIATION $(13,005,641)
------------------------------------------------------
<CAPTION>
MASSACHUSETTS TRUST
<S> <C>
------------------------------------------------------
AGGREGATE COST $ 56,160,648
------------------------------------------------------
Gross unrealized appreciation $ 44,980
Gross unrealized depreciation (7,677,932)
------------------------------------------------------
NET UNREALIZED DEPRECIATION $ (7,632,952)
------------------------------------------------------
<CAPTION>
MICHIGAN TRUST
<S> <C>
------------------------------------------------------
AGGREGATE COST $ 46,710,587
------------------------------------------------------
Gross unrealized appreciation $ --
Gross unrealized depreciation (6,194,392)
------------------------------------------------------
NET UNREALIZED DEPRECIATION $ (6,194,392)
------------------------------------------------------
<CAPTION>
NEW JERSEY TRUST
<S> <C>
------------------------------------------------------
AGGREGATE COST $ 97,410,582
------------------------------------------------------
Gross unrealized appreciation $ 87,862
Gross unrealized depreciation (11,627,866)
------------------------------------------------------
NET UNREALIZED DEPRECIATION $(11,540,004)
------------------------------------------------------
<CAPTION>
NEW YORK TRUST
<S> <C>
------------------------------------------------------
AGGREGATE COST $113,905,560
------------------------------------------------------
Gross unrealized appreciation $ 76,708
Gross unrealized depreciation (10,988,529)
------------------------------------------------------
NET UNREALIZED DEPRECIATION $(10,911,821)
------------------------------------------------------
<CAPTION>
OHIO TRUST
<S> <C>
------------------------------------------------------
AGGREGATE COST $ 62,433,702
------------------------------------------------------
Gross unrealized appreciation $ 44,703
Gross unrealized depreciation (7,579,823)
------------------------------------------------------
NET UNREALIZED DEPRECIATION $ (7,535,120)
------------------------------------------------------
<CAPTION>
PENNSYLVANIA TRUST
<S> <C>
------------------------------------------------------
AGGREGATE COST $ 58,971,926
------------------------------------------------------
Gross unrealized appreciation $ 15,290
Gross unrealized depreciation (7,560,382)
------------------------------------------------------
NET UNREALIZED DEPRECIATION $ (7,545,092)
------------------------------------------------------
</TABLE>
55
<PAGE>
EATON VANCE MUNICIPAL INCOME TRUSTS AS OF MAY 31, 2000
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) CONT'D
7 Shares of Beneficial Interest
-------------------------------------------
Each Declaration of Trust permits the Trustees to issue an unlimited number
of full and fractional $0.01 par value common shares. Transactions in common
shares were as follows:
<TABLE>
<CAPTION>
CALIFORNIA TRUST
--------------------------------------
SIX MONTHS ENDED
MAY 31, 2000 PERIOD ENDED
(UNAUDITED) NOVEMBER 30, 1999(1)
<S> <C> <C>
--------------------------------------------------------------------------------
Sales -- 7,015,000
Issued pursuant to the Trust's dividend
reinvestment plan 38,649 58,089
--------------------------------------------------------------------------------
NET INCREASE 38,649 7,073,089
--------------------------------------------------------------------------------
<CAPTION>
FLORIDA TRUST
--------------------------------------
SIX MONTHS ENDED
MAY 31, 2000 PERIOD ENDED
(UNAUDITED) NOVEMBER 30, 1999(1)
<S> <C> <C>
--------------------------------------------------------------------------------
Sales -- 4,197,500
Issued pursuant to the Trust's dividend
reinvestment plan 4,634 20,554
--------------------------------------------------------------------------------
NET INCREASE 4,634 4,218,054
--------------------------------------------------------------------------------
<CAPTION>
MASSACHUSETTS TRUST
--------------------------------------
SIX MONTHS ENDED
MAY 31, 2000 PERIOD ENDED
(UNAUDITED) NOVEMBER 30, 1999(1)
<S> <C> <C>
--------------------------------------------------------------------------------
Sales -- 2,530,000
Issued pursuant to the Trust's dividend
reinvestment plan 26,104 31,484
--------------------------------------------------------------------------------
NET INCREASE 26,104 2,561,484
--------------------------------------------------------------------------------
<CAPTION>
MICHIGAN TRUST
--------------------------------------
SIX MONTHS ENDED
MAY 31, 2000 PERIOD ENDED
(UNAUDITED) NOVEMBER 30, 1999(1)
<S> <C> <C>
--------------------------------------------------------------------------------
Sales -- 2,070,000
Issued pursuant to the Trust's dividend
reinvestment plan -- 8,530
--------------------------------------------------------------------------------
NET INCREASE -- 2,078,530
--------------------------------------------------------------------------------
<CAPTION>
NEW JERSEY TRUST
--------------------------------------
SIX MONTHS ENDED
MAY 31, 2000 PERIOD ENDED
(UNAUDITED) NOVEMBER 30, 1999(1)
<S> <C> <C>
--------------------------------------------------------------------------------
Sales -- 4,450,000
Issued pursuant to the Trust's dividend
reinvestment plan 6,404 21,641
--------------------------------------------------------------------------------
NET INCREASE 6,404 4,471,641
--------------------------------------------------------------------------------
<CAPTION>
NEW YORK TRUST
--------------------------------------
SIX MONTHS ENDED
MAY 31, 2000 PERIOD ENDED
(UNAUDITED) NOVEMBER 30, 1999(1)
<S> <C> <C>
--------------------------------------------------------------------------------
Sales -- 5,250,000
Issued pursuant to the Trust's dividend
reinvestment plan 17,962 25,293
--------------------------------------------------------------------------------
NET INCREASE 17,962 5,275,293
--------------------------------------------------------------------------------
<CAPTION>
OHIO TRUST
--------------------------------------
SIX MONTHS ENDED
MAY 31, 2000 PERIOD ENDED
(UNAUDITED) NOVEMBER 30, 1999(1)
<S> <C> <C>
--------------------------------------------------------------------------------
Sales -- 2,760,000
Issued pursuant to the Trust's dividend
reinvestment plan 3,170 7,587
--------------------------------------------------------------------------------
NET INCREASE 3,170 2,767,587
--------------------------------------------------------------------------------
<CAPTION>
PENNSYLVANIA TRUST
--------------------------------------
SIX MONTHS ENDED
MAY 31, 2000 PERIOD ENDED
(UNAUDITED) NOVEMBER 30, 1999(1)
<S> <C> <C>
--------------------------------------------------------------------------------
Sales -- 2,645,000
Issued pursuant to the Trust's dividend
reinvestment plan -- 11,576
--------------------------------------------------------------------------------
NET INCREASE -- 2,656,576
--------------------------------------------------------------------------------
</TABLE>
(1) For the period from the start of business, January 29, 1999 to November
30, 1999.
56
<PAGE>
EATON VANCE MUNICIPAL INCOME TRUSTS AS OF MAY 31, 2000
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) CONT'D
8 Financial Instruments
-------------------------------------------
Each Trust regularly trades in financial instruments with off-balance sheet
risk in the normal course of its investing activities to assist in managing
exposure to various market risks. These financial instruments include futures
contracts and may involve, to a varying degree, elements of risk in excess of
the amounts recognized for financial statement purposes. The notional or
contractual amounts of these instruments represent the investment a Trust has
in particular classes of financial instruments and does not necessarily
represent the amounts potentially subject to risk. The measurement of the
risks associated with these instruments is meaningful only when all related
and offsetting transactions are considered.
At May 31, 2000, there were no outstanding obligations under these financial
instruments.
9 Annual Meeting of Shareholders (Unaudited)
-------------------------------------------
Each Trust held its Annual Meeting of Shareholders on March 24, 2000. The
following table shows the number of common shares and Auction Preferred
Shares (APS) outstanding on January 14, 2000, the record date for the shares
eligible to vote at the meeting, and the number of shares of each Trust
(common and APS together) represented at the meeting:
<TABLE>
<CAPTION>
NO. OF COMMON
SHARES AND APS SHARES
NO. OF REPRESENTED AT MEETING
COMMON NO. OF APS (AND AS A PERCENT
SHARES SHARES OF SHARES OUTSTANDING
TRUST OUTSTANDING OUTSTANDING AND ENTITLED TO VOTE)
<S> <C> <C> <C> <C>
----------------------------------------------------------------------------------------------
California Trust 7,079,756 2,360 6,983,197 (98.603%)
Florida Trust 4,224,721 1,420 4,115,864 (97.391%)
Massachusetts Trust 2,572,672 860 2,321,141 (90.193%)
Michigan Trust 2,085,196 700 1,934,831 (92.758%)
New Jersey Trust 4,478,308 1,520 4,357,345 (97.266%)
New York Trust 5,281,960 1,780 4,987,427 (94.392%)
Ohio Trust 2,774,254 940 2,291,659 (82.577%)
Pennsylvania Trust 2,663,243 900 2,574,976 (96.653%)
</TABLE>
The following actions were taken by the shareholders of each Trust:
ITEM 1: The election of Jessica M. Bibliowicz and Donald R. Dwight as
Trustees of each Trust.
<TABLE>
<CAPTION>
JESSICA M. BIBLIOWICZ DONALD R. DWIGHT
<S> <C> <C>
---------------------------------------------------------------------------------
CALIFORNIA TRUST:
For 6,843,233 6,843,233
Withheld 139,964 139,964
FLORIDA TRUST:
For 4,001,178 4,002,491
Withheld 114,686 113,373
MASSACHUSETTS TRUST:
For 2,283,298 2,285,698
Withheld 37,843 35,443
MICHIGAN TRUST:
For 1,830,787 1,832,787
Withheld 104,044 102,044
NEW JERSEY TRUST:
For 4,282,659 4,282,859
Withheld 74,686 74,486
NEW YORK TRUST:
For 4,903,191 4,904,091
Withheld 84,236 83,336
OHIO TRUST:
For 2,232,037 2,232,671
Withheld 59,622 58,988
PENNSYLVANIA TRUST:
For 2,532,462 2,543,826
Withheld 42,514 31,150
</TABLE>
ITEM 2: The ratification of the selection of Deloitte & Touche LLP as
independent certified public accountants to each Trust for the fiscal year
ending November 30, 2000.
<TABLE>
<CAPTION>
CALIFORNIA FLORIDA MASSACHUSETTS MICHIGAN
TRUST TRUST TRUST TRUST
<S> <C> <C> <C> <C>
---------------------------------------------------------------------------------------------
For 6,898,876 4,064,112 2,290,484 1,851,019
Against 34,953 20,916 17,752 74,008
Abstain 49,368 30,836 12,905 9,804
<CAPTION>
NEW JERSEY NEW YORK OHIO PENNSYLVANIA
TRUST TRUST TRUST TRUST
<S> <C> <C> <C> <C>
---------------------------------------------------------------------------------------------
For 4,297,557 4,919,103 2,263,282 2,540,133
Against 19,657 28,735 11,093 26,224
Abstain 40,131 39,589 17,284 8,619
</TABLE>
57
<PAGE>
DIVIDEND REINVESTMENT PLAN
Each Trust offers a dividend reinvestment plan (the Plan) pursuant to which
shareholders automatically have dividends and capital gains distributions
reinvested in common shares (the Shares) of the same Trust unless they elect
otherwise through their investment dealer. On the distribution payment date, if
the net asset value per Share is equal to or less than the market price per
Share plus estimated brokerage commissions then new Shares will be issued. The
number of Shares shall be determined by the greater of the net asset value per
Share or 95% of the market price. Otherwise, Shares generally will be purchased
on the open market by the Plan Agent. Distributions subject to income tax (if
any) are taxable whether or not shares are reinvested.
If your shares are in the name of a brokerage firm, bank, or other nominee, you
can ask the firm or nominee to participate in the Plan on your behalf. If the
nominee does not offer the Plan, you will need to request that your shares be
re-registered in your name with each Trust's transfer agent, PFPC, Inc., or you
will not be able to participate.
The Plan Agent's service fee for handling distributions will be paid by each
Trust. Each participant will be charged their pro rata share of brokerage
commissions on all open-market purchases.
Plan participants may withdraw from the Plan at any time by writing to the Plan
Agent at the address noted on the following page. If you withdraw, you will
receive shares in your name for all Shares credited to your account under the
Plan. If a participant elects by written notice to the Plan Agent to have the
Plan Agent sell part or all of his or her Shares and remit the proceeds, the
Plan Agent is authorized to deduct a $5.00 fee plus brokerage commissions from
the proceeds.
If you wish to participate in the Plan and your shares are held in your own
name, you may complete the form on the following page and deliver it to the Plan
Agent.
Any inquiries regarding the Plan can be directed to the Plan Agent, PFPC, Inc.,
at 1-800-331-1710.
58
<PAGE>
APPLICATION FOR PARTICIPATION IN DIVIDEND REINVESTMENT PLAN
This form is for shareholders who hold their common shares in their own names.
If your common shares are held in the name of a brokerage firm, bank, or other
nominee, you should contact your nominee to see if it will participate in the
Plan on your behalf. If you wish to participate in the Plan, but your brokerage
firm, bank, or nominee is unable to participate on your behalf, you should
request that your common shares be re-registered in your own name which will
enable your participation in the Plan.
The following authorization and appointment is given with the understanding that
I may terminate it at any time by terminating my participation in the Plan as
provided in the terms and conditions of the Plan.
<TABLE>
<S> <C> <C>
------------------------------------------------------------
Please print exact name on account:
------------------------------------------------------------
Shareholder signature Date
------------------------------------------------------------
Shareholder signature Date
Please sign exactly as your common shares are registered. All
persons whose names appear on the share certificate must sign.
</TABLE>
YOU SHOULD NOT RETURN THIS FORM IF YOU WISH TO RECEIVE YOUR DIVIDENDS AND
DISTRIBUTIONS IN CASH. THIS IS NOT A PROXY.
THIS AUTHORIZATION FORM, WHEN SIGNED, SHOULD BE MAILED TO THE FOLLOWING ADDRESS:
Eaton Vance Municipal Income Trusts
c/o PFPC, Inc.
P.O. Box 8030
Boston, MA 02266-8030
800-331-1710
--------------------------------------------------------------------------------
NUMBER OF EMPLOYEES
Each Trust is organized as a Massachusetts business trust and is registered
under the Investment Company Act of 1940, as amended, as a closed-end,
nondiversified, management investment company and has no employees.
NUMBER OF SHAREHOLDERS
As of May 31, 2000, our records indicate that there are 77, 56, 65, 38, 61, 58,
68 and 59, respectively, registered shareholders for California Trust, Florida
Trust, Massachusetts Trust, Michigan Trust, New Jersey Trust, New York Trust,
Ohio Trust and Pennsylvania Trust, respectively and approximately 2,700, 1,900,
1,300, 1,200, 1,937, 2,500, 1,450, and 1400, respectively, shareholders owning
the Trust shares in street name, such as through brokers, banks, and financial
intermediaries for California Trust, Florida Trust, Massachusetts Trust,
Michigan Trust, New Jersey Trust, New York Trust, Ohio Trust and Pennsylvania
Trust, respectively.
If you are a street name shareholder and wish to receive Trust reports directly,
which contain important information about a Trust, please write or call:
Eaton Vance Distributors, Inc.
The Eaton Vance Building
255 State Street
Boston, MA 02109
1-800-225-6265
AMERICAN STOCK EXCHANGE SYMBOLS
<TABLE>
<S> <C>
California Trust CEV
Florida Trust FEV
Massachusetts Trust MMV
Michigan Trust EMI
New Jersey Trust EVJ
New York Trust EVY
Ohio Trust EVO
Pennsylvania Trust EVP
</TABLE>
59
<PAGE>
EATON VANCE MUNICIPAL INCOME TRUSTS AS OF MAY 31, 2000
INVESTMENT MANAGEMENT
EATON VANCE MUNICIPAL INCOME TRUSTS
Officers
Thomas J. Fetter
President and Porfolio Manager
of New York and Ohio Municipal
Income Trusts
James B. Hawkes
Vice President and Trustee
Robert B. MacIntosh
Vice President and Portfolio
Manager of Massachusetts and
New Jersey Municipal Income
Trusts
Cynthia J. Clemson
Vice President and Portfolio
Manager of California, Florida
and Pennsylvania Municipal Income
Trusts
William H. Ahern, Jr.
Vice President and Portfolio Manager
of Michigan Municipal Income
Trust
James L. O'Connor
Treasurer
Alan R. Dynner
Secretary
Trustees
Jessica M. Bibliowicz
President and Chief Executive Officer,
National Financial Partners
Donald R. Dwight
President, Dwight Partners, Inc.
Samuel L. Hayes, III
Jacob H. Schiff Professor of Investment
Banking Emeritus, Harvard University
Graduate School of Business Administration
Norton H. Reamer
Chairman of the Board,
United Asset Management Corporation
Lynn A. Stout
Professor of Law,
Georgetown University Law Center
Jack L. Treynor
Investment Adviser and Consultant
60
<PAGE>
INVESTMENT ADVISER AND ADMINISTRATOR OF EATON VANCE
MUNICIPAL INCOME TRUSTS
EATON VANCE MANAGEMENT
The Eaton Vance Building
255 State Street
Boston, MA 02109
CUSTODIAN
INVESTORS BANK & TRUST COMPANY
200 Clarendon Street
Boston, MA 02116
TRANSFER AGENT AND DIVIDEND DISBURSING AGENT
PFPC , INC.
Attention: Eaton Vance Municipal Income Trusts
P.O. Box 8030
Boston, MA 02266-8030
(800) 331-1710
EATON VANCE MUNICIPAL INCOME TRUSTS
THE EATON VANCE BUILDING
255 STATE STREET
BOSTON, MA 02109
147-7/00 CE-MUNISRC
