Nuveen Exchange- Traded Funds
Providing tax-free income
to help you live your dreams
CALIFORNIA VALUE (NCA)
CALIFORNIA PERFORMANCE PLUS (NCP)
CALIFORNIA MARKET OPPORTUNITY (NCO)
CALIFORNIA INVESTMENT QUALITY (NQC)
CALIFORNIA SELECT QUALITY (NVC)
CALIFORNIA QUALITY INCOME (NUC)
SEMIANNUAL REPORT/FEBRUARY 28, 1997
Photographic image of couple walking on beach.
<PAGE>
CONTENTS
3 Dear shareholder
5 Answering your questions
9 Fund performance
12 Commonly used terms
14 Shareholder meeting report
18 Portfolio of investments
56 Statement of net assets
58 Statement of operations
60 Statement of changes in net assets
63 Notes to financial statements
74 Financial highlights
<PAGE>
"These funds continue to achieve their goal of delivering attractive tax-free
income."
Photographic image of headshot of Chairman and Chief Executive Officer
of Nuveen.
Dear
shareholder
I am pleased to have this opportunity to report to you on the performance of
your funds, which continue to achieve their goal of delivering attractive
tax-free income from portfolios of quality municipal bonds. Because the proceeds
from these bonds are used to maintain and improve California's infrastructure,
your investment has several advantages: As you support the publicly funded
projects that enhance the communities where you live, you benefit from the
credit strength of these communities, and also receive income that is exempt
from federal and state income taxes.
As of February 28, 1997, investors in the California funds in this report were
receiving annual tax-free yields on net asset value that ranged from 5.98% to
6.30%. To match these attractive yields, investors in the combined 42% federal
and California income tax bracket would have had to earn at least 10.31% on
taxable alternatives. These funds also generated solid total returns of between
5.18% to 6.66%, equivalent to taxable total returns of 9.87% to 11.26%. This
level of performance gains added significance when viewed in the context of the
1996 bond market, which underwent a mid-year decline followed by a post-election
rally to end the year slightly lower than where it began.
<PAGE>
Several aspects of our conservative approach to management help position these
funds to perform well in changing market environments. Most of Nuveen
exchange-traded funds enhance income through the prudent use of leverage,
issuing short-term preferred shares to investors seeking short-term liquidity.
Fund managers then invest the proceeds to buy additional long-term bonds.
Shareholders of common stock earn extra income from the difference between the
rates earned on the fund's long-term bond portfolio and the normally lower
short-term rates paid on preferred shares. In addition, our conservative
dividend policy promotes stability by setting dividends at levels that are
expected to remain consistent for at least six months. In this way, Nuveen works
to smooth out fluctuations in short-term rates, enabling investors to depend on
their tax-free income.
Nuveen also continues to help investors keep more of what they earn. In
November 1996, we launched the Nuveen Growth and Income Stock Fund, offering
prudent investors superior equity market performance with less risk than the
overall stock market. This March we introduced two new balanced mutual funds,
each designed to give investors the combination of performance potential and
income protection that comes from a carefully assembled balance of stocks and
bonds. Ask your financial adviser for more information about these equity-based
mutual funds, or call us at (800) 621-7227 for a prospectus. Please read it
carefully before you invest.
In an additional move to increase the range of investment solutions available
to our investors, Nuveen acquired Flagship Resources Inc., a highly regarded
fixed-income mutual fund specialist that shares our views on the importance of
research and emphasizes a conservative, value-oriented approach to portfolio
management. We recently completed the integration of our mutual fund activities,
which now enables us to offer the broadest selection of municipal bond funds
available in the U.S.
We at Nuveen thank you for your continued confidence in our family of
investments.
Sincerely,
/s/ Timothy R. Schwertfeger
Timothy R. Schwertfeger
Chairman of the Board
April 15, 1997
<PAGE>
Answering your
questions
Tom Spalding, head of Nuveen's portfolio management team, talks about the
municipal bond market and offers insights into factors that affected fund
performance over the past year
How would you summarize 1996's bond market?
In 1996, the bond market--despite some fluctuations--was relatively stable
compared with recent years. While 1994 represented the worst period in recent
bond market history and 1995 the best in a decade, last year's bond market
finished mostly unchanged. This was due to the late second-half rebound that
reclaimed much of the territory lost in a mid-year decline. Throughout 1996, the
municipal bond market continued to reward investors with solid returns,
dependable income, and opportunities to purchase bonds with strong credit
quality.
<PAGE>
What principal factors affected the bond market and Nuveen funds in 1996?
Following a strong start to 1996, a succession of mixed reports affecting
interest rate and inflation forecasts caused investors to view the markets with
alternating enthusiasm and uncertainty. In the third quarter of 1996, evidence
of an economic slowdown, the strong U.S. dollar, and lack of inflationary
pressures combined to allay investor fears, sparking a rally in bonds that
continued through the post-election period.
Throughout the year, euphoria in the equity market focused investors'
attention on stocks and brought record amounts of new money into equity-based
mutual funds, bypassing the bond market. Some investors, concerned about a
possible correction in the stock market, decided to take their profits, but
adopted a wait-and-see attitude about investing capital gains, electing to go
with short-term vehicles until a clearer picture of market trends emerged. These
events affected demand for bond issues of all types in 1996.
Even with relative stability in 1996, interest rates continued to play a role
in bond market performance. The Federal Reserve altered interest rates only once
in 1996, decreasing rates by 0.25% in January, but anticipation of further moves
kept the markets restless the remainder of the year. With one rate increase
already approved this year, the concern about potential changes in monetary
policy continues in 1997.
<PAGE>
1996 also saw a general narrowing of fund discounts, with many exchange-traded
funds experiencing a combination of rising share prices and lower net asset
values as interest rates moved slightly upward. We believe that the current
yields and prudent dividend policy offered by Nuveen funds present an attractive
investment opportunity for investors who are looking for income and want to
rebalance their portfolios following significant gains in the equity market.
What is the current economic outlook?
A look at the current environment shows continued economic growth characterized
by low unemployment, increased manufacturing and construction activity, and lack
of price pressure at the consumer and producer levels. Although inflation
remains at the same subdued levels it has exhibited over the past six years, the
strength of the current economic expansion encouraged the Federal Reserve to
make a preemptive strike against inflation's potential return. It raised
short-term interest rates by 0.25% at the end of March, the first increase since
February 1995. While the bond market had already anticipated and discounted much
of the impact of this tightening, the Federal Reserve's action set off a decline
in the equity market that--in combination with the attractive yields currently
available--increased interest in municipal bonds on the part of investors
looking to balance their investment portfolios.
<PAGE>
Can you briefly describe the current status of California's municipal market?
In 1996, California's economy grew at an accelerated rate that outpaced that of
the nation as a whole. This strength is reflected in the state's positive
revenue performance, primarily derived from income and sales taxes. Job growth
has been robust, and the real estate market--both commercial and
residential--appears to be recovering. For 1997-98, Governor Wilson has proposed
a balanced state budget that emphasizes corporate tax reduction, educational
funding, and welfare reform. Local governments, however, are still assessing the
impact on existing and future bond issues of Proposition 218 (the recently
passed initiative that requires voter approval of local and special taxes). If
approved, additional new voter initiatives and referendums, including a proposal
to require voter approval for all types of debt issued by all governmental
units, could affect growth prospects. Overall, the outlook for the state's
economy is favorable. California's challenge over the next decade will be to
provide an environment that promotes business as well as expansive long-term
growth.
Photographic image of Tom Spalding, Portfolio Manager at Nuveen.
Tom Spalding, head of Nuveen's portfolio management team, answers investors'
questions on developments in the municipal market.
<PAGE>
<TABLE>
NUVEEN CALIFORNIA MUNICIPAL VALUE FUND, INC.
NCA
In general, bond calls are tapering off as many of the older securities have
been replaced with newer bonds. Shareholders also received a capital gains
distribution in December.
<CAPTION>
12 MONTH DIVIDEND HISTORY
Date Monthly Dividends Supplemental Dividends Capital Gains
<S> <C> <C> <C>
3/1/96 $0.0530
4/1/96 $0.0500
5/1/96 $0.0500
6/3/96 $0.0500
7/1/96 $0.0500
8/1/96 $0.0500
9/3/96 $0.0500
10/1/96 $0.0500
11/1/96 $0.0500
12/2/96 $0.0500 $0.0893
12/31/96 $0.0500
2/3/97 $0.0480
<CAPTION>
FUND HIGHLIGHTS 2/28/97
<S> <C>
Yield 5.98%
Taxable-equivalent yield 10.31%
Annual total return on NAV 5.50%
Taxable-equivalent total return 9.89%
Share price $9.625
NAV $10.04
The dividend history used in this chart constitutes past performance and does
not necessarily predict the future dividends of the Fund.
</TABLE>
<PAGE>
<TABLE>
NUVEEN CALIFORNIA PERFORMANCE PLUS MUNICIPAL FUND, INC.
NCP
In keeping with the fund's goal of providing attractive, dependable tax-free
income, common shareholders enjoyed 12 months of steady, attractive dividends.
In addition, shareholders received a capital gains distribution in
December 1996.
<CAPTION>
12 MONTH DIVIDEND HISTORY
Date Monthly Dividends Supplemental Dividends Capital Gains
<S> <C> <C> <C>
3/1/96 $0.0860
4/1/96 $0.0860
5/1/96 $0.0860
6/3/96 $0.0860
7/1/96 $0.0860
8/1/96 $0.0860
9/3/96 $0.0860
10/1/96 $0.0860
11/1/96 $0.0860
12/2/96 $0.0860 $0.0192
12/31/96 $0.0860
2/3/97 $0.0860
<CAPTION>
FUND HIGHLIGHTS 2/28/97
<S> <C>
Yield 6.30%
Taxable-equivalent yield 10.86%
Annual total return on NAV 5.36%
Taxable-equivalent total return 10.23%
Share price $16.375
NAV $15.58
The dividend history used in this chart constitutes past performance and does
not necessarily predict the future dividends of the Fund.
</TABLE>
<PAGE>
<TABLE>
NUVEEN CALIFORNIA MUNICIPAL MARKET OPPORTUNITY FUND, INC.
NCO
In keeping with the fund's goal of providing attractive, dependable tax-free
income, common shareholders enjoyed 12 months of steady, attractive dividends.
<CAPTION>
12 MONTH DIVIDEND HISTORY
Date Monthly Dividends Supplemental Dividends Capital Gains
<S> <C> <C> <C>
3/1/96 $0.0845
4/1/96 $0.0845
5/1/96 $0.0845
6/3/96 $0.0845
7/1/96 $0.0845
8/1/96 $0.0845
9/3/96 $0.0845
10/1/96 $0.0845
11/1/96 $0.0845
12/2/96 $0.0845
12/31/96 $0.0845
2/3/97 $0.0845
<CAPTION>
FUND HIGHLIGHTS 2/28/97
<S> <C>
Yield 6.19%
Taxable-equivalent yield 10.67%
Annual total return on NAV 5.18%
Taxable-equivalent total return 9.87%
Share price $16.375
NAV $15.90
The dividend history used in this chart constitutes past performance and does
not necessarily predict the future dividends of the Fund.
</TABLE>
<PAGE>
<TABLE>
NUVEEN CALIFORNIA INVESTMENT QUALITY MUNICIPAL FUND, INC.
NQC
Common shareholders have enjoyed nine months of stable tax-free dividends
following a modest reduction in June 1996 due to bond calls. In general, bond
calls are tapering off as many of the older securities have been replaced with
newer bonds.
<CAPTION>
12 MONTH DIVIDEND HISTORY
Date Monthly Dividends Supplemental Dividends Capital Gains
<S> <C> <C> <C>
3/1/96 $0.0855
4/1/96 $0.0855
5/1/96 $0.0855
6/3/96 $0.0825
7/1/96 $0.0825
8/1/96 $0.0825
9/3/96 $0.0825
10/1/96 $0.0825
11/1/96 $0.0825
12/2/96 $0.0825
12/31/96 $0.0825
2/3/97 $0.0825
<CAPTION>
FUND HIGHLIGHTS 2/28/97
<S> <C>
Yield 6.09%
Taxable-equivalent yield 10.50%
Annual total return on NAV 5.75%
Taxable-equivalent total return 10.48%
Share price $16.25
NAV $15.64
The dividend history used in this chart constitutes past performance and does
not necessarily predict the future dividends of the Fund.
</TABLE>
<PAGE>
<TABLE>
NUVEEN CALIFORNIA SELECT QUALITY MUNICIPAL FUND, INC.
NVC
In keeping with the fund's goal of providing attractive, dependable tax-free
income, shareholders enjoyed 12 months of steady dividends. In addition, common
shareholders received a capital gains distribution in December.
<CAPTION>
12 MONTH DIVIDEND HISTORY
Date Monthly Dividends Supplemental Dividends Capital Gains
<S> <C> <C> <C>
3/1/96 $0.0820
4/1/96 $0.0820
5/1/96 $0.0820
6/1/96 $0.0820
7/1/96 $0.0820
8/1/96 $0.0820
9/1/96 $0.0820
10/1/96 $0.0820
11/1/96 $0.0820
12/2/96 $0.0820 $0.0562
12/31/96 $0.0820
2/3/97 $0.0820
<CAPTION>
FUND HIGHLIGHTS 2/28/97
<S> <C>
Yield 6.30%
Taxable-equivalent yield 10.86%
Annual total return on NAV 5.63%
Taxable-equivalent total return 10.32%
Share price $15.625
NAV $15.44
The dividend history used in this chart constitutes past performance and does
not necessarily predict the future dividends of the Fund.
</TABLE>
<PAGE>
<TABLE>
NUVEEN CALIFORNIA QUALITY INCOME MUNICIPAL FUND, INC.
NUC
The fund's monthly tax-free dividend was increased during the 12 months ended
February 28, 1997. Common shareholders continue to benefit from the fund's
leveraged structure. In addition, the portfolio continues to have significant
call protection.
<CAPTION>
12 MONTH DIVIDEND HISTORY
Date Monthly Dividends Supplemental Dividends Capital Gains
<S> <C> <C> <C>
3/1/96 $0.0800
4/1/96 $0.0800
5/1/96 $0.0800
6/1/96 $0.0800
7/1/96 $0.0800
8/1/96 $0.0800
9/1/96 $0.0800
10/1/96 $0.0800
11/1/96 $0.0815
12/2/96 $0.0815
12/31/96 $0.0815
2/3/97 $0.0815
<CAPTION>
FUND HIGHLIGHTS 2/28/97
<S> <C>
Yield 6.21%
Taxable-equivalent yield 10.71%
Annual total return on NAV 6.66%
Taxable-equivalent total return 11.26%
Share price $15.75
NAV $15.67
The dividend history used in this chart constitutes past performance and does
not necessarily predict the future dividends of the Fund.
</TABLE>
<PAGE>
Commonly used terms
Yield
An exchange-traded fund's annualized monthly dividend on a given date (in the
case of this report, February 28, 1997) divided by its closing price per share
on that date.
Taxable equivalent yield
The return an investor subject to a given federal and state income tax rate
would need to obtain from a fully taxable investment to equal the fund's stated
annual ized yield on share price. In this report, the combined tax rate is
assumed to be 42% for California shareholders, based on 1997 incomes of
$124,650-$271,050 for investors filing singly, $151,750-$271,050 for those
filing jointly.
Net Asset Value (NAV)
The market value of all securities and other assets held by an exchange-traded
fund, minus any liabilities. The NAV per share is the fund's net assets, less
the value of its preferred shares (if applicable), divided by the total number
of common shares outstanding.
Total return on NAV
The percentage change in a fund's NAV per common share for a given period,
assuming reinvestment of all dividends and capital gains distributions, if any.
<PAGE>
Taxable equivalent total return
The total return an investor subject to a given state and federal income tax
rate would need to obtain from a fully taxable investment to equal the Fund's
stated total return on NAV.
Leverage
A technique used to enhance the income produced for common shareholders by a
long-term municipal bond fund through the issuance of short-term preferred
shares. The proceeds from the sale of the preferred shares can be used to
purchase additional long-term bonds, thus increasing the portfolio's income
stream. Changes in net asset value per share, both up and down, are also
magnified by leverage.
Each Fund intends to repurchase shares of its own common or preferred stock (if
applicable) in the future at such times and in such amounts as is deemed
advisable. No shares were repurchased during the 6-month period ended February
28, 1997. Any future repurchases will be reported to shareholders in the next
annual or semiannual report.
<PAGE>
<TABLE>
<CAPTION>
SHAREHOLDER MEETING REPORT
On November 21, 1996, the following Nuveen Exchange-Traded Funds held an Annual
Meeting of Shareholders. At the meeting, shareholders voted to elect directors
of the Funds and to ratify selection of Ernst & Young L.L.P. as the auditors
for the Funds. The directors elected at the meeting include: Lawrence H. Brown,
Anthony T. Dean, Anne E. Impellizzeri, Peter R. Sawers, Margaret K. Rosenheim,
and Timothy R. Schwertfeger.
NCA
Common
Shares
- -------------------------------------------------------
<S> <C>
APPROVAL OF THE DIRECTORS
WAS REACHED AS FOLLOWS:
Lawrence H. Brown
For --
Withhold --
----------
Total --
==========
Anthony T. Dean
For 22,232,433
Withhold 341,084
----------
Total 22,573,517
==========
Anne E. Impellizzeri
For 22,226,193
Withhold 347,324
----------
Total 22,573,517
==========
Peter R. Sawers
For --
Withhold --
----------
Total --
==========
Margaret K. Rosenheim
For --
Withhold --
----------
Total --
==========
Timothy R. Schwertfeger
For --
Withhold --
----------
Total --
==========
RATIFICATION OF AUDITORS
WAS REACHED AS FOLLOWS:
For 22,041,902
Against 119,079
Abstain 412,536
----------
Total 22,573,517
==========
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
NCP NCO
Preferred Preferred Preferred
Common Shares Shares Common Shares
Shares Series-T Series-F Shares Series-W
- -------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
APPROVAL OF THE DIRECTORS
WAS REACHED AS FOLLOWS:
Lawrence H. Brown
For 11,220,219 1,774 1,740 7,111,382 2,175
Withhold 172,355 -- 3 80,188 --
---------- ---------- ---------- ---------- ----------
Total 11,392,574 1,774 1,743 7,191,570 2,175
========== ========== ========== ========== ==========
Anthony T. Dean
For 11,220,019 1,774 1,740 7,122,766 2,175
Withhold 172,555 -- 3 68,804 --
---------- ---------- ---------- ---------- ----------
Total 11,392,574 1,774 1,743 7,191,570 2,175
========== ========== ========== ========== ==========
Anne E. Impellizzeri
For 11,219,619 1,774 1,740 7,118,166 2,175
Withhold 172,955 -- 3 73,404 --
---------- ---------- ---------- ---------- ----------
Total 11,392,574 1,774 1,743 7,191,570 2,175
========== ========== ========== ========== ==========
Peter R. Sawers
For 11,221,519 1,774 1,740 7,121,366 2,175
Withhold 171,055 -- 3 70,204 --
---------- ---------- ---------- ---------- ----------
Total 11,392,574 1,774 1,743 7,191,570 2,175
========== ========== ========== ========== ==========
Margaret K. Rosenheim
For -- 1,774 1,738 -- 2,175
Withhold -- -- 5 -- --
---------- ---------- ---------- ---------- ----------
Total -- 1,774 1,743 -- 2,175
========== ========== ========== ========== ==========
Timothy R. Schwertfeger
For -- 1,774 1,740 -- 2,175
Withhold -- -- 3 -- --
---------- ---------- ---------- ---------- ----------
Total -- 1,774 1,743 -- 2,175
========== ========== ========== ========== ==========
RATIFICATION OF AUDITORS
WAS REACHED AS FOLLOWS:
For 11,079,877 1,760 1,720 7,045,645 2,125
Against 63,945 14 3 41,196 6
Abstain 247,480 -- 20 104,724 44
---------- ---------- ---------- ---------- ----------
Total 11,391,302 1,774 1,743 7,191,565 2,175
========== ========== ========== ========== ==========
APPROVAL OF AMENDMENTS
TO PREFERRED STOCK WAS
REACHED AS FOLLOWS:
For 6,723,772 1,656 1,617 4,016,373 1,943
Against 110,137 19 26 51,232 42
Abstain 509,160 99 100 261,922 190
Broker Non-Vote 4,049,505 -- -- 2,862,043 --
---------- ---------- ---------- ---------- ----------
Total 11,392,574 1,774 1,743 7,191,570 2,175
========== ========== ========== ========== ==========
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
NQC NVC
Preferred Preferred Preferred
Common Shares Common Shares Shares
Shares Series-M Shares Series-T Series-Th
- --------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
APPROVAL OF THE DIRECTORS
WAS REACHED AS FOLLOWS:
Lawrence H. Brown
For 11,968,499 3,579 20,517,475 2,394 3,599
Withhold 175,698 4 278,521 4 1
---------- ---------- ---------- ---------- ----------
Total 12,144,197 3,583 20,795,996 2,398 3,600
========== ========== ========== ========== ==========
Anthony T. Dean
For 11,972,159 3,579 20,517,421 2,394 3,599
Withhold 172,038 4 278,575 4 1
---------- ---------- ---------- ---------- ----------
Total 12,144,197 3,583 20,795,996 2,398 3,600
========== ========== ========== ========== ==========
Anne E. Impellizzeri
For 11,973,957 3,579 20,520,428 2,394 3,599
Withhold 170,240 4 275,568 4 1
---------- ---------- ---------- ---------- ----------
Total 12,144,197 3,583 20,795,996 2,398 3,600
========== ========== ========== ========== ==========
Peter R. Sawers
For 11,970,499 3,579 20,513,528 2,394 3,599
Withhold 173,698 4 282,468 4 1
---------- ---------- ---------- ---------- ----------
Total 12,144,197 3,583 20,795,996 2,398 3,600
========== ========== ========== ========== ==========
Margaret K. Rosenheim
For -- 3,579 -- 2,394 3,599
Withhold -- 4 -- 4 1
---------- ---------- ---------- ---------- ----------
Total -- 3,583 -- 2,398 3,600
========== ========== ========== ========== ==========
Timothy R. Schwertfeger
For -- 3,579 -- 2,394 3,599
Withhold -- 4 -- 4 1
---------- ---------- ---------- ---------- ----------
Total -- 3,583 -- 2,398 3,600
========== ========== ========== ========== ==========
RATIFICATION OF AUDITORS
WAS REACHED AS FOLLOWS:
For 11,809,101 3,564 20,297,177 2,393 3,581
Against 72,756 3 98,512 -- 3
Abstain 262,340 16 400,307 5 16
---------- ---------- ---------- ---------- ----------
Total 12,144,197 3,583 20,795,996 2,398 3,600
========== ========== ========== ========== ==========
APPROVAL OF AMENDMENTS
TO PREFERRED STOCK WAS
REACHED AS FOLLOWS:
For 6,747,294 3,340 10,972,266 2,207 3,460
Against 180,571 70 253,873 79 3
Abstain 475,572 173 874,405 112 137
Broker Non-Vote 4,740,760 -- 8,695,452 -- --
---------- ---------- ---------- ---------- ----------
Total 12,144,197 3,583 20,795,996 2,398 3,600
========== ========== ========== ========== ==========
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
NUC
Preferred Preferred
Common Shares Shares
Shares Series-W Series-F
- ------------------------------------------------------------------------------------------
<S> <C> <C> <C>
APPROVAL OF THE DIRECTORS
WAS REACHED AS FOLLOWS:
Lawrence H. Brown
For 19,980,616 2,983 2,967
Withhold 292,667 8 13
---------- ---------- ----------
Total 20,273,283 2,991 2,980
========== ========== ==========
Anthony T. Dean
For 19,982,566 2,983 2,967
Withhold 290,717 8 13
---------- ---------- ----------
Total 20,273,283 2,991 2,980
========== ========== ==========
Anne E. Impellizzeri
For 19,979,966 2,983 2,967
Withhold 293,317 8 13
---------- ---------- ----------
Total 20,273,283 2,991 2,980
========== ========== ==========
Peter R. Sawers
For 19,984,544 2,983 2,967
Withhold 288,739 8 13
---------- ---------- ----------
Total 20,273,283 2,991 2,980
========== ========== ==========
Margaret K. Rosenheim
For -- 2,983 2,967
Withhold -- 8 13
---------- ---------- ----------
Total -- 2,991 2,980
========== ========== ==========
Timothy R. Schwertfeger
For -- 2,983 2,967
Withhold -- 8 13
---------- ---------- ----------
Total -- 2,991 2,980
========== ========== ==========
RATIFICATION OF AUDITORS
WAS REACHED AS FOLLOWS:
For 19,770,006 2,981 2,949
Against 117,310 -- 11
Abstain 375,455 10 20
---------- ---------- ----------
Total 20,262,771 2,991 2,980
========== ========== ==========
APPROVAL OF AMENDMENTS
TO PREFERRED STOCK WAS
REACHED AS FOLLOWS:
For 11,045,914 2,753 2,769
Against 224,832 44 70
Abstain 783,258 194 141
Broker Non-Vote 8,219,279 -- --
---------- ---------- ----------
Total 20,273,283 3,991 2,980
========== ========== ==========
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
PORTFOLIO OF INVESTMENTS
(Unaudited)
NUVEEN CALIFORNIA MUNICIPAL VALUE FUND, INC. (NCA)
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
California Health Facilities Authority, Health Facility
Revenue Bonds (The Whittier Institute For Diabetes and
Endocrinology), Series 1988A:
$ 1,105,000 8.000%, 12/01/00 N/R 12/98 at 102 $ 1,169,422
3,615,000 8.400%, 12/01/08 N/R 12/98 at 102 3,843,179
1,000,000 California Health Facilities Financing Authority,
Health Facility Revenue Bonds (Health Dimensions,
Incorporated), 1990 Series A, 7.375%, 5/01/07
(Pre-refunded to 5/01/00) Aaa 5/00 at 102 1,110,430
1,500,000 California Health Facilities Financing Authority,
Revenue Bonds (St. Joseph Health System), Series
1991 A, 7.000%, 7/01/10 (Pre-refunded to 7/01/01) AA 7/01 at 102 1,681,440
8,500,000 California Housing Finance Agency, Home Mortgage
Revenue Bonds, 1987 Series A, 8.200%, 8/01/17 Aa 8/97 at 102 8,802,175
1,890,000 California Housing Finance Agency, Home Mortgage
Revenue Bonds, 1988 Series B, 8.600%, 8/01/19
(Alternative Minimum Tax) Aa 8/98 at 102 1,973,330
320,000 California Housing Finance Agency, Home Mortgage
Revenue Bonds, 1988 Series G, 8.150%, 8/01/19
(Alternative Minimum Tax) Aa 8/98 at 102 332,582
1,000,000 California Housing Finance Agency, Home Mortgage
Revenue Bonds, 1988 Series E, 8.350%, 8/01/19
(Alternative Minimum Tax) Aa 8/98 at 102 1,039,780
2,090,000 California Housing Finance Agency, Housing
Revenue Bonds (Insured), 1988 Series A,
8.200%, 2/01/20 (Alternative Minimum Tax) Aaa 8/98 at 102 2,188,126
2,200,000 California Housing Finance Agency Home Mortgage
Revenue Bonds, 1995 Series M, 6.050%, 8/01/15
(Alternative Minimum Tax) Aaa 2/06 at 102 2,235,024
3,000,000 California Housing Finance Agency, Home Mortgage
Revenue Bonds, 1995 Series J, 6.000%, 8/01/17 Aaa 8/05 at 102 3,050,970
2,765,000 California Housing Finance Agency, Home Mortgage
Revenue Bonds, 1994 Series F-3, 6.100%, 8/01/15
(Alternative Minimum Tax) Aaa 8/05 at 102 2,818,226
1,500,000 California Pollution Control Financing Authority,
Pollution Control Revenue Bonds (Pacific Gas and
Electric Company), 1987 Series B, 8.875%, 1/01/10
(Alternative Minimum Tax) A 12/97 at 102 1,572,195
5,000,000 California Pollution Control Financing Authority,
Fixed Rate Resource Recovery Revenue Bonds (Waste
Management, Inc.), 1991 Composite Series A,
7.150%, 2/01/11 (Alternative Minimum Tax) A1 2/01 at 103 5,411,250
685,000 California Rural Home Mortgage Finance Authority,
Single Family Mortgage Revenue Bonds (Mortgage-
Backed Securities Program), 1993 Issue A, Series 2,
7.950%, 12/01/24 (Alternative Minimum Tax) Aaa No Opt. Call 784,805
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 5,000,000 California Statewide Communities Development
Authority, Series A, Certificates of Participation,
Pacific Homes, 6.000%, 4/01/17 A 4/03 at 102 $ 5,052,300
8,000,000 Department of Veterans Affairs of the State of
California, Home Purchase Revenue Bonds,
1988 Series A, 8.300%, 8/01/19 (Alternative
Minimum Tax) Aa 8/98 at 102 8,322,880
9,000,000 State Public Works Board of the State of California
Lease Revenue Bonds (Department of Corrections),
1996 Series A (California Substance Abuse
Treatment Facility and State Prison at Corcoran
(Corcoran II)), 5.250%, 1/01/21 Aaa 1/06 at 100 8,547,840
1,885,000 State of California, Various Purpose, General
Obligation Bonds, 7.000%, 8/01/08 A1 No Opt. Call 2,214,517
Trust Certificates, Trustees of The California State
University to The California State University
Institute:
1,405,000 7.000%, 6/01/07 (Pre-refunded to 12/01/00) Aaa 12/00 at 101 7/8 1,568,359
1,725,000 7.200%, 6/01/10 (Pre-refunded to 12/01/00) Aaa 12/00 at 101 7/8 1,936,951
2,100,000 ABAQ Finance Authority for Nonprofit Corporations,
1991, Certificates of Participation (United Way of
Santa Clara County Project), 7.200%, 7/01/11 Aa2 7/01 at 102 2,284,065
3,000,000 Certificates of Participation (1991 Financing Project),
County of Alameda, California, Alameda County
Public Facilities Corporation, 6.000%, 9/01/21 Aaa 9/06 at 102 3,111,210
5,000,000 City of Arcadia, California, Hospital Revenue Bonds
(Methodist Hospital of Southern California), Series
1987, 7.875%, 8/01/10 A 8/97 at 102 5,187,900
1,000,000 City of Arcadia, California, Hospital Revenue Bonds
(Methodist Hospital of Southern California), Series
1992, 6.500%, 11/15/12 A 11/02 at 102 1,063,040
7,085,000 Brea Public Financing Authority, Revenue Bonds,
1988 Series A (Agency Loan), 8.100%, 10/01/14 N/R 4/97 at 102 7,233,431
2,750,000 Campbell Union School District, Santa Clara County,
California, 1994 General Obligation Bonds, Series A,
6.250%, 8/01/19 Aaa 8/04 at 102 2,936,450
5,000,000 Castaic Lake Water Agency (California), Refunding
Revenue, Certificates of Participation (Water System
Improvement Projects), Series 1994A,
6.300%, 8/01/20 Aaa 8/04 at 102 5,365,000
4,000,000 Chino Unified School District, Certificates of
Participation (1995 Master Lease Program),
6.000%, 9/01/20 Aaa 9/05 at 102 4,124,160
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
Town of Colma, Refunding Improvement Bonds,
Series 1986-A (Colma Local Improvement District
No. 1 Reassessment Project):
$ 870,000 8.125%, 9/02/03 N/R 9/97 at 103 $ 906,009
1,140,000 8.125%, 9/02/04 N/R 9/97 at 103 1,187,185
1,240,000 8.125%, 9/02/05 N/R 9/97 at 103 1,288,732
500,000 Contra Costa Water District (Contra Costa County,
California), Water Revenue Bonds, Series G,
5.750%, 10/01/14 Aaa 10/04 at 102 510,875
2,000,000 Contra Costa Water Authority (Contra Costa County,
California), Water Treatment Revenue Refunding
Bonds, 1993 Series A, 5.750%, 10/01/20 Aaa 10/02 at 102 2,005,360
2,065,000 County of Contra Costa, California, 1988 Home
Mortgage Revenue Bonds (GNMA Mortgage-
Backed Securities Program), 8.250%, 6/01/21
(Alternative Minimum Tax) Aaa No Opt. Call 2,666,596
Redevelopment Agency of the City of Durarte,
California, Huntington Drive Phase II
Redevelopment Project Area, 1988 Tax Allocation
Bonds:
1,170,000 7.900%, 10/01/02 N/R 10/97 at 102 1,215,618
3,745,000 8.000%, 10/01/10 N/R 10/97 at 102 3,870,046
1,470,000 El Paso de Robles Redevelopment Agency (Paso
Robles Redevelopment Project), 1991 Tax
Allocation Bonds (Bank Qualified), 7.250%, 7/01/21
(Pre-refunded to 7/01/00) BBB 7/00 at 102 1,639,535
950,000 Inglewood Public Finance Authority, 1992 Revenue
Bonds, Series C (In-Town, Manchester and North
Inglewood Industrial Park Redevelopment Projects-
Housing Set-Aside Loans), 7.000%, 5/01/22 A- 5/02 at 102 1,008,881
955,000 Inglewood Public Finance Authority, 1992 Revenue
Bonds, Series B (In-Town, Manchester-Prairie and
North Inglewood Industrial Park Redevelopment
Project Redevelopment Loans), 7.000%, 5/01/22 Baa 5/02 at 102 1,018,603
2,000,000 Redevelopment Agency of The City of Long Beach,
California (Los Angeles County, California),
Downtown Redevelopment Project Tax Allocation
Refunding Bonds, Series 1988B, 8.300%, 11/01/10
(Pre-refunded to 5/01/98) N/R 5/98 at 102 2,142,760
5,000,000 The Community Redevelopment Agency of the City
of Los Angeles, California, Central Business District
Redevelopment Project Tax Allocation Refunding
Bonds, Series G, 6.750%, 7/01/10 BBB 7/97 at 102 5,089,700
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 8,515,000 Los Angeles Convention and Exhibition Center
Authority, California, Certificates of Participation,
Series 1985, 9.000%, 12/01/20 (Pre-refunded
to 12/01/05) Aaa 12/05 at 100 $ 11,222,429
Los Angeles Convention and Exhibition Center
Authority, Lease Revenue Bonds, 1993 Refunding
Series A, The City of Los Angeles (California):
2,500,000 5.375%, 8/15/18 Aaa 8/03 at 102 2,371,900
2,000,000 5.125%, 8/15/21 Aaa 8/03 at 102 1,835,660
1,100,000 Department of Water and Power of the City of Los
Angeles (California), Electric Plant Revenue Bonds,
Issue of 1990, 7.125%, 5/15/30 (Pre-refunded
to 5/15/00) Aa 5/00 at 102 1,214,246
100,000 The City of Los Angeles, Single Family Home
Mortgage Revenue Bonds (GNMA and FNMA
Mortgage-Backed Securities Program), 1991 Issue
A, 6.875%, 6/01/25 (Alternative Minimum Tax) AAA 12/01 at 102 103,668
7,965,000 The City of Los Angeles (California), Wastewater
System Revenue Bonds, Series 1987,
8.125%, 11/01/17 (Pre-refunded to 11/01/97) AAA 11/97 at 102 8,367,392
2,040,000 Los Angeles County Metropolitan Transportation
Authority (California), Proposition A, Sales Tax
Revenue Refunding Bonds, Series 1993-A,
5.000%, 7/01/21 Aaa 7/03 at 100 1,841,936
2,000,000 Los Angeles County Metropolitan Transportation
Authority (California), Proposition C Sales Tax
Revenue Bonds, Second Senior Bonds, Series
1995-A, 5.500%, 7/01/17 Aaa 7/05 at 102 1,979,320
1,000,000 Los Angeles County Metropolitan Transportation
Authority (California), Sales Tax Revenue Refunding
Bonds, Proposition A-2nd Tier Series 1996,
5.750%, 7/01/18 Aaa 7/06 at 101 1,008,620
Los Angeles County, California, Transportation
Commission, Sales Tax Revenue Refunding Bonds,
Series 1987 A:
3,465,000 7.900%, 7/01/08 (Pre-refunded to 7/01/97) Aaa 7/97 at 102 3,585,721
2,500,000 8.000%, 7/01/16 (Pre-refunded to 7/01/97) Aaa 7/97 at 102 2,587,900
2,635,000 Community Development Agency of The City of
Menlo Park, Multifamily Housing Revenue Bonds
(FHA-Insured Mortgage Loan - The Gateway
Project), Series 1987A, 8.250%, 12/01/28 Aa 6/97 at 103 2,758,950
4,000,000 Modesto Irrigation District Financing Authority,
Domestic Water Project Revenue Bonds, Series
1995C, 5.750%, 9/01/22 Aaa 9/05 at 102 4,014,040
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 8,500,000 County of Orange, California, Certificates of
Participation, Series 1987 (Civic Center Parking
Facilities Projects), 8.250%, 12/01/18
(Pre-refunded to 12/01/97) AAA 12/97 at 102 $ 8,967,585
3,300,000 Orange County Development Agency, Santa Ana
Heights Project Area, 1993 Tax Allocation Revenue
Bonds, 6.125%, 9/01/23 (DD) Baa 9/03 at 102 3,306,468
8,565,000 City of Palmdale, California, Single Family Mortgage
Revenue Bonds (GNMA Mortgage-Backed
Securities Program), Series 1988A, 0.000%, 3/01/17 Aaa No Opt. Call 2,681,102
2,425,000 City of Pasadena, Insured Health Facilities Revenue
Bonds (Pacific Clinics), Series 1988A,
8.200%, 6/01/18 A 3/97 at 101 2,432,251
3,000,000 Port of Oakland, California, Revenue Bonds, 1997
Series G, 5.375%, 11/01/25 (Alternative
Minimum Tax) Aaa 11/07 at 102 2,832,570
1,500,000 Sacramento Area Flood Control Agency, North Area
Local Project, Capital Assessment District No. 2
Bonds, Series 1995, 5.375%, 10/01/25 Aaa 10/05 at 102 1,424,445
4,430,000 City of Sacramento, California, Certificates of
Participation (1987 Public Facilities Project),
8.250%, 8/01/12 (Pre-refunded to 8/01/97) AAA 8/97 at 102 1/2 4,628,774
7,750,000 Sacramento County Sanitation Districts Financing
Authority, 1993 Revenue Bonds, 4.750%, 12/01/23 Aa 12/03 at 102 6,645,470
1,265,000 San Benito Hospital District, Insured Health Facility
Revenue Bonds, Series 1991A, 6.750%, 12/01/21 A 12/01 at 102 1,356,143
20,415,000 County of San Bernardino, California, Single Family
Mortgage Revenue Bonds (GNMA Mortgage-
Backed Securities), 1988 Series A, 0.000%, 9/01/21
(Alternative Minimum Tax) Aaa No Opt. Call 4,862,036
Certificates of Participation (1991 Refunding Project),
San Diego Community College District, County
of San Diego, California:
1,000,000 8.625%, 12/01/09 (Pre-refunded to 12/01/97) N/R 12/97 at 102 1,057,100
1,000,000 8.625%, 12/01/09 (Pre-refunded to 12/01/97) AAA 12/97 at 102 1,057,730
2,000,000 Redevelopment Agency of The City of San Diego,
California, Horton Plaza Project, Tax Allocation
Refunding Bonds, Series 1988, 8.125%, 7/01/08
(Pre-refunded to 7/01/98) Baa1 7/98 at 102 2,152,500
5,490,000 Airports Commission City and County of San
Francisco, California, San Francisco International
Airport, Second Series Revenue Bonds, Issue 10,
5.625%, 5/01/21 (Alternative Minimum Tax) Aaa 5/06 at 102 5,348,029
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 5,925,000 Airports Commission, City and County of San
Francisco, California, San Francisco International
Airport, Second Series Revenue Bonds, Issue 11
(Noise Insulation Program), 6.200%, 5/01/19
(Alternative Minimum Tax) Aaa 5/05 at 101 $ 6,187,596
6,000,000 Public Utilities Commission of the City and County
of San Francisco, California, San Francisco Water
Revenue Bonds, Refunding Series of 1987,
8.000%, 11/01/11 Aa 11/97 at 102 6,301,140
1,000,000 Redevelopment Agency of the City and County of
San Francisco, Multifamily Housing Refunding
Revenue Bonds, Series 1994 (GNMA
Collateralized - South Beach Marina Project),
5.700%, 3/01/29 Aaa 3/04 at 102 979,820
5,000,000 Redevelopment Agency of the City of San Jose,
Merged Area Redevelopment Project, Tax
Allocation Bonds, Series 1993, 5.000%, 8/01/20 Aaa 2/04 at 102 4,559,350
3,000,000 San Jose-Santa Clara Clean Water Financing
Authority, Sewer Revenue Bonds, Series 1995A,
5.375%, 11/15/20 Aaa 11/05 at 101 2,860,680
1,700,000 Shafter Joint Powers Financing Authority Lease
Revenue Bonds 1997 Series A (Community
Correctional Facility Acquisition Project),
5.950%, 1/01/11 BBB+ 1/07 at 101 1,720,009
2,635,000 Southern California Home Financing Authority,
Single Family Mortgage Revenue Bonds (GNMA
Mortgage-Backed Securities Program), 1988 Issue A,
8.125%, 2/01/21 (Alternative Minimum Tax) AAA No Opt. Call 2,782,297
1,600,000 Southern California Public Power Authority, Mead-
Phoenix Project Revenue Bonds, 1994 Series A,
4.750%, 7/01/16 Aaa 7/04 at 102 1,417,136
3,000,000 Southern California Public Power Authority,
Transmission Project Revenue Bonds, 1993
Subordinate Refunding Series (Southern
Transmission Project), 5.000%, 7/01/22 Aaa 7/03 at 100 2,699,640
2,325,000 Temecula Valley Unified School District County of
Riverside, California, 1990 General Obligation
Bonds, Series F, 6.000%, 9/01/20 Aaa 9/06 at 102 2,404,097
5,050,000 The Regent of the University of California, Refunding
Revenue Bonds (Multiple Purpose Projects),
Series A, 6.875%, 9/01/16 (Pre-refunded to 9/01/02) A- 9/02 at 102 5,728,315
- ------------------------------------------------------------------------------------------------------------------
$263,920,000 Total Investments - (cost $235,417,080) - 99.1% 250,795,002
=================-------------------------------------------------------------------------------------------------
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
TEMPORARY INVESTMENTS IN SHORT-TERM
MUNICIPAL SECURITIES - 1.2%
$ 500,000 California Health Facilities Financing Authority,
Refunding Revenue Bonds (St. Joseph Health
System), Series 1985B, Variable Rate Demand
Bonds, 3.350%, 7/01/13+ VMIG-1 $ 500,000
2,500,000 Orange County Water District, Variable Rate
Demand Bonds, 3.250%, 8/15/15+ A-1+ 2,500,000
- -------------------------------------------------------------------------------------------------------------------
$ 3,000,000 Total Temporary Investments - 1.2% 3,000,000
=================--------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - (0.3)% (815,504)
- -------------------------------------------------------------------------------------------------------------------
Net Assets - 100% $252,979,498
===================================================================================================================
<CAPTION>
NUMBER OF MARKET MARKET
STANDARD & POOR'S MOODY'S SECURITIES VALUE PERCENT
<S> <C> <C> <C> <C> <C>
SUMMARY OF AAA Aaa 43 $139,571,855 56%
RATINGS* AA+, AA, AA- Aa1, Aa, Aa2, Aa3 11 41,356,058 16
PORTFOLIO OF A+ A1 2 7,625,767 3
INVESTMENTS A, A- A, A2, A3 8 23,401,025 9
(EXCLUDING BBB+, BBB, BBB- Baal, Baa, Baa2, Baa3 6 14,926,815 6
TEMPORARY Non-rated Non-rated 10 23,913,482 10
INVESTMENTS):
- -------------------------------------------------------------------------------------------------------------------
TOTAL 80 $250,795,002 100%
===================================================================================================================
<FN>
* Ratings: Using the higher of Standard & Poor's or Moody's rating.
N/R - Investment is not rated.
** Optional Call Provisions: Dates (month and year) and prices of the earliest
optional call or redemption. There may be other call provisions at varying
prices at later dates.
+ The security has a maturity of more than one year, but has variable rate and
demand features which qualify it as a short-term security.
The rate disclosed is that currently in effect. This rate changes periodically
based on market conditions or a specified market index.
(DD) Security purchased on a delayed delivery basis (see note 1 of the Notes
to Financial Statements).
</FN>
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
PORTFOLIO OF INVESTMENTS
(Unaudited)
NUVEEN CALIFORNIA PERFORMANCE PLUS MUNICIPAL FUND, INC. (NCP)
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 2,000,000 California Educational Facilities Authority, Revenue
Bonds (St. Mary's College of California Project),
Series 1990, 7.500%, 10/01/20 (Pre-refunded
to 10/01/00) Aaa 10/00 at 102 $ 2,259,060
1,500,000 California Educational Facilities Authority Revenue
Bonds (University of San Francisco), Series 1996,
6.000%, 10/01/26 Aaa 10/06 at 102 1,551,210
5,500,000 California Health Facilities Financing Authority,
Health Facility Revenue Bonds (Pomona Valley
Hospital Medical Center), 1989 Series A,
9.750%, 1/01/19 A- 1/00 at 102 6,367,350
2,000,000 California Health Facilities Financing Authority,
Kaiser Permanente, Revenue Bonds, 1989 Series A,
7.000%, 10/01/08 AA 10/99 at 102 2,154,780
6,500,000 California Health Facilities Financing Authority,
Insured Hospital Revenue Bonds (Children's
Hospital-San Diego), Series 1990, 7.000%, 7/01/13 Aaa 7/00 at 102 7,173,530
2,780,000 California Health Facilities Financing Authority,
Insured Health Facility Revenue Refunding Bonds
(Valley Memorial Hospital), 1993 Series A,
6.000%, 5/01/17 A 5/03 at 102 2,809,218
California Health Facilities Financing Authority,
Health Facility Revenue Bonds (Health Dimensions,
Incorporated), 1990 Series A:
4,175,000 7.250%, 5/01/03 (Pre-refunded to 5/01/00) Aaa 5/00 at 102 4,620,681
5,000,000 7.500%, 5/01/15 (Pre-refunded to 5/01/00) Aaa 5/00 at 102 5,570,500
4,800,000 California Health Facilities Financing Authority,
Health Facility Revenue Bonds (Sisters of Providence),
Series 1990, 7.500%, 10/01/10 (Pre-refunded
to 10/01/00) N/R 10/00 at 102 5,402,832
3,690,000 California Housing Finance Agency, Home Mortgage
Revenue Bonds, 1990 Series A, 7.700%, 8/01/30
(Alternative Minimum Tax) Aa 2/00 at 102 3,881,253
3,525,000 California Housing Finance Agency, Home Mortgage
Revenue Bonds, 1995 Series B, 7.125%, 2/01/26
(Alternative Minimum Tax) Aa 2/05 at 102 3,752,997
3,000,000 California Statewide Communities Development
Authority (Triad Healthcare), Revenue Refunding
Series 1992, Certificates of Participation,
6.250%, 8/01/06 A No Opt. Call 3,239,160
7,900,000 Department of Veterans Affairs of the State of
California, Home Purchase Revenue Bonds, 1988
Series A, 8.300%, 8/01/19 (Alternative Minimum Tax) Aa 8/98 at 102 8,218,844
6,000,000 State of California, Various Purpose General
Obligation Bond, 5.750%, 3/01/14 A1 3/05 at 101 6,135,120
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
Trust Certificates, Trustees of The California State
University to The California State University Institute:
$ 1,500,000 7.100%, 6/01/08 (Pre-refunded to 12/01/00) Aaa 12/00 at 101 7/8 $ 1,679,355
1,610,000 7.150%, 6/01/09 (Pre-refunded to 12/01/00) Aaa 12/00 at 101 7/8 1,805,164
6,080,000 City of Anaheim, California, Certificates of
Participation, Anaheim Memorial Hospital
Association, 7.125%, 5/15/13 Aaa 5/00 at 102 6,734,755
7,520,000 Antelope Valley Hospital District, Series 1989
Certificates of Participation, 7.350%, 1/01/20 A 1/98 at 102 7,804,557
Central Joint Powers Health Financing Authority,
Certificates of Participation, Series 1993
(Community Hospitals of Central California):
2,500,000 5.250%, 2/01/13 Baa1 2/03 at 102 2,323,800
4,720,000 5.000%, 2/01/23 Baa1 2/03 at 100 3,953,991
12,600,000 City of Chula Vista, Industrial Development Revenue
Bonds (San Diego Gas and Electric Company),
1992 Series A, 6.400%, 12/01/27 (Alternative
Minimum Tax) Aaa 12/02 at 102 13,384,602
1,850,000 City of Coalinga, California, Certificates of
Participation (1989 Coalinga Return to Custody
Facility), 7.000%, 4/01/10 BBB+ 4/00 at 102 1,939,929
4,000,000 Contra Costa Water District (Contra Costa County,
California), Water Revenue Bonds, Series C,
6.750%, 10/01/20 (Pre-refunded to 10/01/00) N/R 10/00 at 102 4,410,440
4,000,000 County of Contra Costa, California, 1988 Home
Mortgage Revenue Bonds (GNMA Mortgage-
Backed Securities Program), 8.250%, 6/01/21
(Alternative Minimum Tax) Aaa No Opt. Call 5,165,320
2,000,000 Cudahy Redevelopment Agency, Cudahy
Redevelopment Project, Tax Allocation Refunding
Bonds, Series 1994A, 6.700%, 9/01/24 BBB 9/03 at 102 2,029,060
3,000,000 Hospital Revenue Certificates of Participation (Desert
Hospital Corporation Project), Series 1990,
8.100%, 7/01/20 (Pre-refunded to 7/01/00) AAA 7/00 at 102 3,415,530
10,000,000 East Bay Municipal District (Alameda and Contra
Costa Counties, California), Water System
Subordinated Revenue Bonds, Series 1990,
7.500%, 6/01/18 (Pre-refunded to 6/01/00) Aaa 6/00 at 102 11,199,900
3,000,000 Folsom Public Financing Authority (Sacramento
County, California), 1990 Local Agency Revenue
Bonds, Series A, 7.250%, 10/01/10 BBB+ 10/00 at 102 3,200,460
3,000,000 Fontana Public Financing Authority (San Bernardino
County, California), Tax Allocation Revenue Bonds
(North Fontana Redevelopment Project), 1990
Series A, 7.250%, 9/01/20 BB+ 9/00 at 102 3,068,730
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 3,000,000 Foothill/Eastern Transportation Corridor Agency,
Toll Road Revenue Bonds Series 1995A,
6.000%, 1/01/34 Baa 1/05 at 102 $ 2,979,870
Fresno Unified School District, Fresno County,
California, Certificates of Participation for Measure
A Capital Projects, Series of 1992B for Project
Phase IX:
1,700,000 6.600%, 5/01/08 A 5/00 at 102 1,784,541
1,765,000 6.700%, 5/01/09 A 5/00 at 102 1,852,562
2,500,000 Fruitvale School District, Certificates of Participation
(1990 Improvement Project), 7.875%, 6/01/04 Baa 6/00 at 102 2,722,750
2,000,000 LaQuinta Redevelopment Agency, LaQuinta
Redevelopment Project, Tax Allocation Refunding
Bonds, Series 1990, 8.400%, 9/01/12 Aaa 9/00 at 102 2,310,000
1,700,000 Lancaster Housing Authority, Lease Revenue Bonds
(Brierwood Mobilehome Park Project), Issue of
1994, 7.200%, 4/01/24 BBB+ 4/99 at 102 1,734,085
6,750,000 Department of Airports of The City of Los Angeles,
Refunding Revenue Bonds, 1989 Series B,
7.400%, 5/01/10 (Pre-refunded to 5/01/97) Aa 5/97 at 102 6,929,618
2,500,000 Department of Water and Power of the City of Los
Angeles, California, Electric Plant Revenue Bonds,
Issue of 1988, 7.900%, 5/01/28 Aa 5/98 at 102 2,673,050
4,445,000 Department of Water and Power of The City of Los
Angeles (California), Electric Plant Revenue Bonds,
Second Issue of 1993, 5.00%, 10/15/33 Aa 10/03 at 102 3,885,952
Department of Water and Power of The City of Los
Angeles, Water Works Refunding Revenue Bonds,
Second Issue of 1993:
3,000,000 4.500%, 5/15/13 Aa 5/03 at 102 2,661,420
4,270,000 4.500%, 5/15/18 Aa 5/03 at 102 3,553,836
5,600,000 City of Los Angeles, California, Wastewater System
Revenue Bonds, Series 1988, 7.625%, 8/01/14
(Pre-refunded to 8/01/98) Aaa 8/98 at 102 6,016,416
5,000,000 The City of Los Angeles Wastewater System Revenue
Bonds, Refunding Series 1991-C, 7.100%, 6/01/18 A1 6/99 at 102 5,353,300
2,360,000 Community Development Commission of the
County of Los Angeles, Mortgage Revenue Refunding
Bonds, Series 1993, FHA Insured Mortgage Loan -
Los Tomas Apartments, Section 8 Assisted Project,
6.500%, 7/15/23 Aaa 5/03 at 100 2,415,012
5,000,000 Los Angeles County Metropolitan Transportation
Authority (California), Proposition A, Sales Tax
Revenue Refunding Bonds, Series 1993-A,
5.000%, 7/01/21 Aaa 7/03 at 100 4,514,550
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 7,000,000 Los Angeles County, California, Transportation
Commission, Sales Tax Revenue Refunding Bonds,
Series 1987 A, 8.000%, 7/01/16 (Pre-refunded
to 7/01/97) Aaa 7/97 at 102 $ 7,246,120
2,445,000 Certificates of Participation (Western Nevada County
Solid Waste Management System--1991 Project),
County of Nevada, California, 7.250%, 6/01/08 Baa 6/01 at 102 2,540,893
3,415,000 City of Oakland, California, Special Refunding
Revenue Bonds (Pension Financing), 1988 Series A,
7.600%, 8/01/21 Aaa 8/98 at 102 3,639,912
8,800,000 County of Orange, California, 1996 Recovery,
Certificates of Participation, Series A,
6.000%, 7/01/26 Aaa 7/06 at 102 9,043,408
3,740,000 Pleasanton Joint Powers Financing Authority,
Reassessment Revenue Bonds, 1993 Series A,
6.000%, 9/02/05 Baa 9/03 at 102 3,896,669
1,000,000 Pomona Unified School District, General Obligation
Refunding Bonds, Series 1997-A, 6.150%, 8/01/15 Aaa 8/11 at 103 1,082,180
8,000,000 Port of Oakland, California, Revenue Bonds, 1990
Series D, 8.000%, 11/01/00 Aaa No Opt. Call 9,011,520
2,215,000 Rancho Cucamonga Redevelopment Agency (San
Bernardino County, California), Rancho
Redevelopment Project, 1990 Tax Allocation Bonds,
7.125%, 9/01/19 Aaa 9/99 at 102 2,397,959
2,285,000 Rancho Cucamonga Redevelopment Agency (San
Bernardino County, California), Rancho
Redevelopment Project, 1990 Tax Allocation Bonds,
7.125%, 9/01/19 (Pre-refunded to 9/01/99) Aaa 9/99 at 102 2,501,230
4,630,000 County of Sacramento, Airport System PFC and
Subordinated Revenue Bonds, Series 1996D,
6.000%, 7/01/16 Aaa 7/06 at 102 4,809,135
2,000,000 Redevelopment Agency of The City of San Diego,
California, Marina Redevelopment Project, Tax
Allocation Refunding Bonds, Series 1987,
8.750%, 12/01/08 (Pre-refunded to 12/01/97) Aaa 12/97 at 101 1/2 2,107,540
3,500,000 Redevelopment Agency of The City of San Diego,
California, Columbia Redevelopment Project, Tax
Allocation Refunding Bonds, Series 1987,
8.750%, 12/01/08 (Pre-refunded to 12/01/97) Aaa 12/97 at 101 1/2 3,688,195
2,700,000 San Diego County Water Authority, Water Revenue,
Certificates of Participation, Series 1989A,
7.300%, 5/01/09 (Pre-refunded to 5/01/97) Aaa 5/97 at 102 2,771,631
2,650,000 San Diego County Water Authority, Water Revenue,
Certificates of Participation, Series 1991A,
6.375%, 5/01/06 Aa 5/01 at 102 2,837,488
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 5,000,000 Airports Commission, City and County of San
Francisco, California, San Francisco International
Airport, Second Series Revenue Bonds, Issue 11
(Noise Insulation Program), 6.250%, 5/01/26
(Alternative Minimum Tax) Aaa 5/05 at 101 $ 5,246,700
3,500,000 City and County of San Francisco, General Purpose
Sewer Revenue Bonds, Series 1988A,
7.250%, 10/01/15 (Pre-refunded to 10/01/97) Aaa 10/97 at 101 1/2 3,629,535
6,470,000 City of San Leandro, California, San Leandro Public
Financing Authority, Certificates of Participation
(1993 Seismic Retrofit Financing Project),
5.950%, 6/01/23 A 6/03 at 102 6,509,079
2,945,000 City of Santa Maria, California, Hospital Revenue
Certificates of Participation (Marian Medical Center),
Series 1987, 7.100%, 9/01/13 A 9/97 at 102 3,032,554
2,500,000 Sierra View Local Hospital District, Insured Health
Facility Revenue Bonds, Series 1992,
6.400%, 3/01/22 A 3/02 at 102 2,586,100
3,180,000 Southern California Home Financing Authority,
Single Family Mortgage Revenue Bonds (GNMA
Mortgage-Backed Securities Program), 1990
Issue A, 7.625%, 10/01/23 (Alternative
Minimum Tax) AAA 10/00 at 102 3,359,987
4,700,000 Stanislaus County Waste-to-Energy Financing
Agency, Solid Waste Facility Refunding Revenue
Certificates (Ogden Martin System of Stanislaus,
Inc. Project), Series 1990, 7.625%, 1/01/10 BBB+ 1/00 at 102 5,057,152
1,415,000 Redevelopment Agency of the City of Suisun City,
Suisun City Redevelopment Project, 1993 Tax
Allocation Refunding Bonds (County of Solano,
California), 5.900%, 10/01/23 Aaa 10/03 at 102 1,443,455
1,750,000 Taft Public Financing Authority Lease Revenue
Bonds 1997 Series A (Community Correctional
Facility Acquisition Project), 5.950%, 1/01/11 BBB+ 1/07 at 101 1,770,597
3,975,000 The Regents of the University of California, Hospital
Revenue Bonds (UCLA Medical Center), Series
1990, 7.300%, 12/01/20 (Pre-refunded to 12/01/98) A+ 12/98 at 102 4,285,050
- ------------------------------------------------------------------------------------------------------------------
$267,155,000 Total Investments - (cost $261,441,454) - 98.6% 281,133,179
=================-------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 1.4% 3,911,638
- ------------------------------------------------------------------------------------------------------------------
Net Assets - 100% $285,044,817
==================================================================================================================
<PAGE>
<CAPTION>
NUMBER OF MARKET MARKET
STANDARD & POOR'S MOODY'S SECURITIES VALUE PERCENT
<S> <C> <C> <C> <C> <C>
SUMMARY OF AAA Aaa 31 $141,794,092 51%
RATINGS* AA+, AA, AA- Aa1, Aa, Aa2, Aa3 10 40,549,237 14
PORTFOLIO OF A+ A1 3 15,773,470 6
INVESTMENTS: A, A- A, A2, A3 9 35,985,122 13
BBB+, BBB, BBB- Baal, Baa, Baa2, Baa3 12 34,149,256 12
BB+, BB, BB- Bal, Ba, Ba2, Ba3 1 3,068,730 1
Non-rated Non-rated 2 9,813,272 3
- ------------------------------------------------------------------------------------------------------------------
TOTAL 68 $281,133,179 100%
==================================================================================================================
<FN>
* Ratings: Using the higher of Standard & Poor's or Moody's rating.
N/R - Investment is not rated.
** Optional Call Provisions: Dates (month and year) and prices of the earliest
optional call or redemption. There may be other call provisions at varying
prices at later dates.
</FN>
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
PORTFOLIO OF INVESTMENTS
(Unaudited)
NUVEEN CALIFORNIA MUNICIPAL MARKET OPPORTUNITY FUND, INC. (NCO)
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 1,000,000 California Educational Facilities Authority Revenue
Bonds (University of San Francisco), Series 1996,
6.000%, 10/01/26 Aaa 10/06 at 102 $ 1,034,140
6,250,000 California Health Facilities Financing Authority,
Kaiser Permanente, Revenue Bonds, 1989 Series A,
7.000%, 10/01/18 AA 10/99 at 102 6,735,250
2,000,000 California Health Facilities Financing Authority,
Insured Health Facility Revenue Refunding Bonds
(Valley Memorial Hospital), 1993 Series A,
6.000%, 5/01/17 A 5/03 at 102 2,021,020
1,900,000 California Health Facilities Financing Authority,
Insured Hospital Revenue Bonds (Children's
Hospital of San Francisco), 1990 Series A,
7.500%, 10/01/20 Aaa 10/00 at 102 2,138,621
5,000,000 California Health Facilities Financing Authority,
Health Facility Revenue Bonds (Health Dimensions,
Incorporated), 1990 Series A, 7.500%, 5/01/15
(Pre-refunded to 5/01/00) Aaa 5/00 at 102 5,570,500
1,530,000 California Housing Finance Agency, Home Mortgage
Revenue Bonds, 1988 Series C, 8.300%, 8/01/19
(Alternative Minimum Tax) Aa 8/98 at 102 1,589,838
3,000,000 California Pollution Control Financing Authority,
Pollution Control Revenue Bonds (Pacific Gas and
Electric Company), 1987 Series B, 8.750%, 1/01/07
(Alternative Minimum Tax) A 12/97 at 102 3,141,630
6,500,000 California State Department of Water Resources,
Central Valley Project, Water System Revenue
Bonds, Series G, 7.125%, 12/01/24 (Pre-refunded
to 6/01/99) Aaa 6/99 at 101 1/2 7,042,945
3,000,000 California Statewide Communities Development
Authority (Triad Healthcare), Revenue Refunding
Series 1992, Certificates of Participation,
6.250%, 8/01/06 A No Opt. Call 3,239,160
5,000,000 Certificate of Participation (Water System
Improvement Projects), Series 1990, Castaic Lake
Water Agency, California, 7.125%, 8/01/16
(Pre-refunded to 8/01/00) Aaa 8/00 at 102 5,565,550
6,800,000 Central Joint Powers Health Financing Authority,
Certificates of Participation, Series 1993
(Community Hospitals of Central California),
5.000%, 2/01/23 Baa1 2/03 at 100 5,696,428
8,000,000 City of Chula Vista, Industrial Development Revenue
Bonds (San Diego Gas and Electric Company), 1992
Series A, 6.400%, 12/01/27 (Alternative
Minimum Tax) Aaa 12/02 at 102 8,498,160
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 3,300,000 Contra Costa Water Authority (Contra Costa County,
California), Water Treatment Revenue Bonds,
1990 Series A, 6.875%, 10/01/20 (Pre-refunded
to 10/01/00) N/R 10/00 at 102 $ 3,640,560
5,000,000 Hospital Revenue Certificates of Participation
(Desert Hospital Corporation Project), Series 1990,
8.100%, 7/01/20 (Pre-refunded to 7/01/00) AAA 7/00 at 102 5,692,550
5,000,000 Fontana Public Financing Authority (San Bernardino
County, California), Tax Allocation Revenue Bonds
(North Fontana Redevelopment Project), 1990
Series A, 7.250%, 9/01/20 BB+ 9/00 at 102 5,114,550
1,000,000 Foothill/Eastern Transportation Corridor Agency,
Toll Road Revenue Bonds Series 1995A,
6.000%, 1/01/34 Baa 1/05 at 102 993,290
2,320,000 Inglewood Redevelopment Agency (City of Inglewood,
Los Angeles County, California), Century
Redevelopment Project, 1993 Tax Allocation
Bonds, Series A, 5.900%, 7/01/03 BBB No Opt. Call 2,380,158
2,100,000 Inland Empire Solid Waste Financing Authority
Revenue Bonds, 1996 Series B (Landfill
Improvement Financing Project), 6.250%, 8/01/11
(Alternative Minimum Tax) Aaa No Opt. Call 2,250,990
1,500,000 Lancaster Housing Authority, Lease Revenue Bonds
(Brierwood Mobilehome Park Project), Issue of
1994, 7.200%, 4/01/24 BBB+ 4/99 at 102 1,530,075
City of Loma Linda, California, Hospital Revenue
Bonds (Loma Linda University Medical Center
Project), Series 1993-A:
5,970,000 5.750%, 12/01/03 BBB No Opt. Call 5,900,450
3,000,000 6.500%, 12/01/18 BBB 12/03 at 102 3,080,130
5,000,000 The City of Los Angeles (California), Los Angeles
Convention and Exhibition Center Certificates of
Participation, 1990 Series, 7.000%, 8/15/21
(Pre-refunded to 8/15/00) Aaa 8/00 at 102 5,551,450
5,000,000 Department of Water and Power of the City of Los
Angeles, California, Water Works Revenue Bonds,
Issue of 1989, 7.200%, 2/15/19 Aa 2/99 at 102 5,382,850
4,000,000 Harbor Department of the City of Los Angeles,
Revenue Bonds, Issue of 1995 Series B,
6.625%, 8/01/19 (Alternative Minimum Tax) Aa 8/02 at 102 4,292,360
4,000,000 The City of Los Angeles, California, Wastewater
System Revenue Bonds, Series 1993-D,
4.700%, 11/01/19 Aaa 11/03 at 102 3,450,800
2,000,000 Certificates of Participation, County of Mendocino to
the Mendocino County Public Facilities
Corporation, 6.000%, 8/15/23 A 8/03 at 102 2,012,460
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 1,000,000 Menifee Union School District (Riverside County,
California), Certificates of Participation (1996
School Project), 6.125%, 9/01/24 Aaa 9/06 at 102 $ 1,045,390
5,890,000 Mt. Diablo Unified School District, Community
Facilities District No. 1, Special Tax Bonds, Series
1990, (Contra Costa County, California),
7.050%, 8/01/20 Aaa 8/00 at 102 6,542,848
1,500,000 Certificates of Participation (Western Nevada County
Solid Waste Management System--1991 Project),
County of Nevada, California, 7.250%, 6/01/08 Baa 6/01 at 102 1,558,830
10,900,000 Ontario Redevelopment Financing Authority (San
Bernardino County, California), 1995 Revenue
Refunding Bonds (Ontario Redevelopment Project
No. 1), 7.400%, 8/01/25 Aaa No Opt. Call 13,849,976
4,000,000 Certificates of Participation (1990 Project A), Orange
County Water District, 7.000%, 8/15/15 Aaa 8/00 at 102 4,441,160
Pomona Public Financing Authority, California 1990
Lease Purchase Revenue Bonds, Series J:
4,035,000 7.700%, 10/01/07 (Pre-refunded to 10/01/00) A- 10/00 at 102 4,559,711
2,000,000 7.875%, 10/01/15 (Pre-refunded to 10/01/00) A- 10/00 at 102 2,282,800
4,000,000 City of Pomona, California, Single Family Mortgage
Revenue Refunding Bonds (GNMA and FHLMC
Mortgage-Backed Securities), Series 1990B,
7.500%, 8/01/23 Aaa No Opt.Call 5,052,000
1,000,000 Pomona Unified School District, General Obligation
Refunding Bonds, Series 1997-A, 6.150%, 8/01/15 Aaa 8/11 at 103 1,082,180
4,000,000 Port of Oakland, California, Revenue Bonds, 1989
Series B, 7.250%, 11/01/16 (Pre-refunded to 5/01/97) Aaa 5/97 at 102 4,105,640
5,000,000 County of Sacramento, Airport System Revenue
Bonds, Series 1996, 5.900%, 7/01/24 (Alternative
Minimum Tax) Aaa 7/06 at 102 5,005,700
4,700,000 San Bernardino County, California, Certificates of
Participation, Series 1995 (Medical Center
Financing Project), 5.500%, 8/01/22 Aaa 8/05 at 102 4,552,937
7,000,000 Redevelopment Agency of The City of San Diego,
California, Marina Redevelopment Project, Tax
Allocation Refunding Bonds, Series 1987,
8.750%, 12/01/08 (Pre-refunded to 12/01/97) Aaa 12/97 at 101 1/2 7,376,390
2,000,000 Sierra View Local Hospital District, Insured Health
Facility Revenue Bonds, Series 1992, 6.400%, 3/01/22 A 3/02 at 102 2,068,880
1,100,000 Redevelopment Agency of the City of Suisun City,
Suisun City Redevelopment Project, 1993 Tax
Allocation Refunding Bonds (County of Solano,
California), 5.900%, 10/01/23 Aaa 10/03 at 102 1,122,121
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 5,000,000 The Regents of the University of California, Revenue
Bonds (1990 Seismic Safety Projects),
7.300%, 9/01/20 A 9/98 at 102 $ 5,354,100
4,620,000 Vista Joint Powers Financing Authority, 1993 SeriesB
Lease Revenue Bonds (Hacienda Drive and Buena
Vista Creek), 6.100%, 9/01/20 A- 9/00 at 101 4,644,578
- ------------------------------------------------------------------------------------------------------------------
$166,915,000 Total Investments - (cost $162,747,641) - 98.5% 178,191,156
=================-------------------------------------------------------------------------------------------------
TEMPORARY INVESTMENTS IN SHORT-TERM
MUNICIPAL SECURITIES - 0.4%
$ 300,000 California Statewide Community Development
Authority Certificates of Participation Revenue
(Sutter Health Obligation Group), Variable Rate
Demand Bonds, 3.350%, 7/01/15+ A-1 300,000
500,000 Irvine Ranch Water District, Variable Rate Demand
Bonds, 3.250%, 6/01/15+ VMIG-1 500,000
- ------------------------------------------------------------------------------------------------------------------
$ 800,000 Total Temporary Investment - 0.4% 800,000
=================-------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 1.1% 1,834,359
- ------------------------------------------------------------------------------------------------------------------
Net Assets - 100% $180,825,515
==================================================================================================================
<CAPTION>
NUMBER OF MARKET MARKET
STANDARD & POOR'S MOODY'S SECURITIES VALUE PERCENT
<S> <C> <C> <C> <C> <C>
SUMMARY OF AAA Aaa 21 $100,972,048 57%
RATINGS* AA+, AA, AA- Aa1, Aa, Aa2, A3 4 18,000,298 10
PORTFOLIO OF A, A- A, A2, A3 9 29,324,339 16
INVESTMENTS BBB+, BBB, BBB- Baa1, Baa, Baa2, Baa3 7 21,139,361 12
(EXCLUDING BB+, BB, BB- Ba1, Ba, Ba2, Ba3 1 5,114,550 3
TEMPORARY Non-rated Non-rated 1 3,640,560 2
INVESTMENTS):
- -------------------------------------------------------------------------------------------------------------------
TOTAL 43 $178,191,156 100%
===================================================================================================================
<FN>
* Ratings: Using the higher of Standard & Poor's or Moody's rating.
N/R - Investment is not rated.
** Optional Call Provisions: Dates (month and year) and prices of the earliest
optional call or redemption. There may be other call provisions at varying
prices at later dates.
+ The security has a maturity of more than one year, but has variable rate and
demand features which qualify it as a short-term security.
The rate disclosed is that currently in effect. This rate changes periodically
based on market conditions or a specified market index.
</FN>
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
PORTFOLIO OF INVESTMENTS
(Unaudited)
NUVEEN CALIFORNIA INVESTMENT QUALITY MUNICIPAL FUND, INC. (NQC)
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 8,530,000 California Educational Facilities Authority, Revenue
and Refunding Bonds (Loyola Marymount
University), Series 1987, 8.125%, 10/01/17
(Pre-refunded to 10/01/97) Aaa 10/97 at 102 $ 8,930,142
California Educational Facilities Authority, Revenue
Bonds (Chapman College), Series 1991:
690,000 7.300%, 1/01/02 (Pre-refunded to 1/01/01) Baa2 1/01 at 102 772,552
2,310,000 7.300%, 1/01/02 Baa2 1/01 at 102 2,525,153
1,500,000 California Educational Facilities Authority Revenue
Bonds (University of San Francisco), Series 1996,
6.000%, 10/01/26 Aaa 10/06 at 102 1,551,210
California Health Facilities Financing Authority,
Health Facility Revenue Bonds (Health Dimensions,
Incorporated), 1990 Series A:
2,300,000 7.500%, 5/01/15 (Pre-refunded to 5/01/00) Aaa 5/00 at 102 2,562,430
4,395,000 7.000%, 5/01/20 (Pre-refunded to 5/01/00) Aaa 5/00 at 102 4,833,225
8,075,000 California Health Facilities Financing Authority,
Hospital Revenue Refunding Bonds (Cedars-Sinai
Medical Center), Series 1990, 7.000%, 11/01/15
(Pre-refunded to 11/01/00) N/R 11/00 at 102 8,994,581
10,000,000 California Health Facilities Financing Authority,
Kaiser Permanente, Revenue Bonds, 1990 Series A,
7.000%, 12/01/10 AA 12/00 at 102 10,974,600
2,040,000 California Housing Finance Agency, Home Mortgage
Revenue Bonds, 1988 Series C, 8.300%, 8/01/19
(Alternative Minimum Tax) Aa 8/98 at 102 2,119,784
1,620,000 California Housing Finance Agency, Home Mortgage
Revenue Bonds, 1988 Series E, 8.350%, 8/01/19
(Alternative Minimum Tax) Aa 8/98 at 102 1,684,444
1,060,000 California Housing Finance Agency, Home Mortgage
Revenue Bonds, 1989 Series B, 8.000%, 8/01/29
(Alternative Minimum Tax) Aa 8/99 at 102 1,107,679
4,350,000 California Pollution ControlFinancing Authority,
Pollution Control Revenue Bonds (Pacific Gas and
Electric Company), 1987 Series B,
8.875%, 1/01/10 (Alternative Minimum Tax) A 12/97 at 102 4,559,366
8,300,000 California Pollution Control Finance Authority,
Pollution Control Revenue Bonds (Laidlaw Inc.),
1992 Series A, 6.500%, 5/01/02 (Alternative
Minimum Tax) Aa3 5/97 at 102 8,481,687
5,500,000 California Pollution Control Financing Authority,
Fixed Rate Resource Recovery Revenue Bonds
(Waste Management, Inc.), 1991 Composite Series A,
7.150%, 2/01/11 (Alternative Minimum Tax) A1 2/01 at 103 5,952,375
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 3,000,000 California Statewide Communities Development
Authority (Triad Healthcare), Revenue Refunding
Series 1992, Certificates of Participation,
6.250%, 8/01/06 A No Opt. Call $ 3,239,160
3,500,000 State Public Works Board of the State of California
Lease Revenue Bonds (Department of Corrections),
1994 Series A (California State Prison-Monterey
County (Soledad II)), 6.875%, 11/01/14
(Pre-refunded to 11/01/04) Aaa 11/04 at 102 4,093,880
13,335,000 State of California, Various Purpose General
Obligation Bond, 5.750%, 3/01/13 A1 3/05 at 101 13,686,911
7,000,000 Certificates of Participation (1990 Adelanto Return
to Custody Facility), City of Adelanto, California,
7.100%, 4/01/10 BBB+ 4/00 at 102 7,351,680
2,195,000 Bell Community Redevelopment Agency, Bell
Redevelopment Project Area, 1994 Tax Allocation
Refunding Bonds, 6.300%, 11/01/13 Aaa 11/03 at 102 2,366,495
5,885,000 Calaveras County Water District (California),
Certificates of Participation (1991 Ebbetts Pass
Water System Improvements Project),
6.900%, 5/01/16 (Pre-refunded to 5/01/01) Aaa 5/01 at 102 6,580,136
Central Joint Powers Health Financing Authority,
Certificates of Participation, Series 1993
(Community Hospitals of Central California):
3,250,000 5.250%, 2/01/13 Baa1 2/03 at 102 3,020,940
7,260,000 5.500%, 2/01/15 Baa1 2/03 at 102 6,784,978
7,945,000 City of Chula Vista, Industrial Development Revenue
Bonds (San Diego Gas and Electric Company),
1992 Series A, 6.400%, 12/01/27 (Alternative
Minimum Tax) Aaa 12/02 at 102 8,439,735
5,500,000 Certificates of Participation (Open Space Acquisition
Project), City of Cupertino, California, Cupertino
Public Facilities Corporation, 7.125%, 4/01/16
(Pre-refunded to 4/01/01) N/R 4/01 at 102 6,156,205
4,500,000 Hospital Revenue Certificates of Participation (Desert
Hospital Corporation Project), Series 1990,
8.000%, 7/01/10 (Pre-refunded to 7/01/00) AAA 7/00 at 102 5,109,705
8,650,000 Fontana Public Financing Authority (San Bernardino
County, California), Subordinate Lien Tax Allocation
Revenue Bonds (North Fontana Redevelopment
Project), 1991 Series A, 7.750%, 12/01/20
(Pre-refunded to 12/01/01) N/R 12/01 at 102 10,043,948
1,000,000 Foothill/Eastern Transportation Corridor Agency,
Toll Road Revenue Bonds Series 1995A,
6.000%, 1/01/34 Baa 1/05 at 102 993,290
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 2,750,000 Certificates of Participation, Fresno Unified School
District, Fresno County, California, Series of
1991A for Project Phase VI, 7.200%, 5/01/11 A 5/01 at 102 $ 2,957,818
1,050,000 Certificates of Participation, Fresno Unified School
District, Fresno County, California, Series of
1992B for Project Phase IX, 6.600%, 5/01/07 A 5/00 at 102 1,106,301
2,350,000 Lancaster Housing Authority, Lease Revenue Bonds
(Brierwood Mobilehome Park Project), Issue of
1994, 7.100%, 4/01/14 BBB+ 4/99 at 102 2,417,539
5,000,000 City of Loma Linda, California, Hospital Revenue
Bonds (Loma Linda University Medical Center
Project), Series 1993-A, 6.500%, 12/01/18 BBB 12/03 at 102 5,133,550
5,000,000 The Community Redevelopment Agency of the
City of Los Angeles, California, Central Business
District Redevelopment Project Tax Allocation
Refunding Bonds, Series G, 6.750%, 7/01/10 BBB 7/97 at 102 5,089,700
7,990,000 Department of Water and Power of the City of Los
Angeles Electric Plant Revenue Bonds, Issue of
1991, 7.100%, 1/15/31 Aa 1/01 at 102 8,886,318
6,000,000 The City of Los Angeles, California, Wastewater
System Revenue Bonds, Series 1991-A,
7.100%, 2/01/21 (Pre-refunded to 2/01/99) Aaa 2/99 at 102 6,475,200
5,000,000 Los Angeles County, California, Transportation
Commission, Sales Tax Revenue Refunding Bonds,
Series 1987 A, 8.000%, 7/01/16 (Pre-refunded
to 7/01/97) Aaa 7/97 at 102 5,175,800
5,500,000 Los Angeles County Metropolitan Transportation
Authority (California), Proposition A Sales Tax
Revenue Refunding Bonds, Series 1993-A,
6.750%, 7/01/20 (Pre-refunded to 7/01/01) Aaa 7/01 at 102 6,136,955
2,500,000 M-S-R Public Power Agency, California, San Juan
Project Revenue Bonds, Series C, 6.875%, 7/01/19 A 4/97 at 102 2,558,725
8,000,000 Mt. Diablo Hospital District, Insured Hospital
Revenue Bonds, 1990 Series A, 8.000%, 12/01/11
(Pre-refunded to 12/01/00) Aaa 12/00 at 102 9,169,280
3,430,000 Northern California Power Agency, Hydroelectric
Project Number One Revenue Bonds, Refunding
Series E, 7.150%, 7/01/24 A 7/98 at 102 3,600,368
3,600,000 Ontario Redevelopment Financing Authority (San
Bernardino County, California), 1995 Revenue
Refunding Bonds (Ontario Redevelopment Project
No. 1), 7.400%, 8/01/25 Aaa No Opt. Call 4,574,304
10,075,000 County of Orange, California, 1996 Recovery,
Certificates of Participation, Series A,
6.000%, 7/01/26 Aaa 7/06 at 102 10,353,675
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 5,500,000 Revenue Certificates of Participation, Series 1993A,
Orange County Water District, 5.000%, 8/15/18 Aa 8/03 at 100 $ 4,960,505
8,000,000 Redevelopment Agency of the City of Pittsburg,
California, Los Medanos Community Development
Project, Tax Allocation Bonds, Series 1991,
7.150%, 8/01/21 (Pre-refunded to 8/01/01) Aaa 8/01 at 103 9,132,480
2,000,000 Pomona Unified School District, General Obligation
Refunding Bonds, Series 1997-A, 6.500%, 8/01/19 Aaa 8/11 at 103 2,228,220
6,505,000 Certificates of Participation (City of Poway 1991
Capital Improvement Project Poway Royal
Mobilehome Park), Poway Redevelopment Agency,
7.200%, 1/01/24 (Pre-refunded to 1/01/01) Aaa 1/01 at 102 7,302,838
10,000,000 Sacramento Municipal Utility District, Electric
Revenue Bonds, 1988 Series W, 7.875%, 8/15/16
(Pre-refunded to 8/15/98) Aaa 8/98 at 102 10,791,700
12,000,000 Airports Commission, City and County of San
Francisco, California, San Francisco International
Airport, Second Series Revenue Bond, Issue 11
(Noise Insulation Program), 6.250%, 5/01/26
(Alternative Minimum Tax) Aaa 5/05 at 101 12,592,080
9,000,000 Redevelopment Agency of the City of San Jose,
Merged Area Redevelopment Project, Tax
Allocation Bonds, Series 1993, 4.750%, 8/01/24 Aaa 2/04 at 102 7,748,460
2,000,000 Redevelopment Agency of the City of San Leandro,
Plaza 1 and Plaza 2 Redevelopment Projects, 1993
Tax Allocation Bonds, Series A, 6.125%, 6/01/23 A- 6/03 at 102 2,023,000
1,785,000 Southern California Home Financing Authority,
Single Family Mortgage Revenue Bonds (GNMA
and FNMA Mortgage-Backed Securities Program),
1991 Issue A, 7.350%, 9/01/24 (Alternative
Minimum Tax) AAA 3/01 at 102 1,883,514
2,500,000 Southern California Home Financing Authority,
Single Family Mortgage Revenue Bonds (GNMA
Mortgage-Backed Securities Program), 1989 Issue A,
7.625%, 10/01/22 (Alternative Minimum Tax) AAA 4/99 at 102 2,625,000
3,565,000 Stanislaus County Waste-to-Energy Financing
Agency, Solid Waste Facility Refunding Revenue
Certificates (Ogden Martin System of Stanislaus,
Inc. Project), Series 1990, 7.625%, 1/01/10 BBB+ 1/00 at 102 3,835,904
2,000,000 Certificates of Participation (Community Center,
Theater, and Library Projects), City of Vacaville
(Solano County, California), to the Vacaville
Public Financing Authority, 7.200%, 12/01/13 A- 12/98 at 102 2,152,620
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 3,500,000 West Contra Costa Hospital District, Insured Health
Facility Refunding Revenue Bonds, Series 1994,
6.500%, 11/01/17 A 11/04 at 102 $ 3,723,090
3,365,000 West Side Hospital District (Kern County, California),
Insured Revenue Bonds, Series 1991A,
7.500%, 2/01/23 A 2/01 at 102 3,663,240
- ------------------------------------------------------------------------------------------------------------------
$273,655,000 Total Investments - (cost $269,585,204) - 98.5% 291,214,475
=================-------------------------------------------------------------------------------------------------
TEMPORARY INVESTMENTS IN SHORT-TERM
MUNICIPAL SECURITIES - 0.4%
$ 600,000 California Health Facilities Authority, Variable Rate
Revenue Bonds (St. Joseph Health System), Series
1991B, Variable Rate Demand Bonds,
3.350%, 7/01/09+ VMIG-1 600,000
700,000 Irvine Ranch Water District, Variable Rate Demand
Bonds, 3.250%, 6/01/15+ VMIG-1 700,000
- ------------------------------------------------------------------------------------------------------------------
$ 1,300,000 Total Temporary Investments - 0.4% 1,300,000
=================-------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 1.1% 3,191,473
- ------------------------------------------------------------------------------------------------------------------
Net Assets - 100% $295,705,948
==================================================================================================================
<CAPTION>
NUMBER OF MARKET MARKET
STANDARD & POOR'S MOODY'S SECURITIES VALUE PERCENT
<S> <C> <C> <C> <C> <C>
SUMMARY OF AAA Aaa 23 $140,656,464 48%
RATINGS* AA+, AA, AA- Aa1, Aa, Aa2, Aa3 7 38,215,017 13
PORTFOLIO OF A+ A1 2 19,639,286 7
INVESTMENTS A, A- A, A2, A3 10 29,583,688 10
(EXCLUDING BBB+, BBB, BBB- Baa1, Baa, Baa2, Baa3 10 37,925,286 13
TEMPORARY Non-rated Non-rated 3 25,194,734 9
INVESTMENTS):
- ------------------------------------------------------------------------------------------------------------------
TOTAL 55 $291,214,475 100%
==================================================================================================================
<FN>
* Ratings: Using the higher of Standard & Poor's or Moody's rating.
N/R - Investment is not rated.
** Optional Call Provisions: Dates (month and year) and prices of the earliest
optional call or redemption. There may be other call provisions at varying
prices at later dates.
+ The security has a maturity of more than one year, but
has variable rate and demand features which qualify it as a short-term security.
The rate disclosed is that currently in effect. This rate changes periodically
based on market conditions or a specified market index.
</FN>
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
PORTFOLIO OF INVESTMENTS
(Unaudited)
NUVEEN CALIFORNIA SELECT QUALITY MUNICIPAL FUND, INC. (NVC)
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 3,000,000 California Health Facilities Financing Authority,
Insured Health Facility Refunding Revenue Bonds
(Catholic Healthcare West), 1994 Series A,
4.750%, 7/01/19 Aaa 7/04 at 102 $ 2,586,210
15,500,000 California Health Facilities Financing Authority,
Health Facility Revenue Bonds (Pomona Valley
Hospital Medical Center), 1989 Series A,
7.000%, 1/01/18 A- 1/00 at 101 1/2 16,228,810
5,000,000 California Health Facilities Financing Authority,
Insured Health Facility Revenue Bonds (The
H.E.L.P. Group), 1991 Series A, 7.000%, 8/01/21 A 8/01 at 102 5,392,950
7,485,000 California Health Facilities Financing Authority,
Kaiser Permanente Refunding Revenue Bonds,
1991 Series A, 6.500%, 3/01/11 AA 3/01 at 102 7,942,259
1,315,000 California Housing Finance Agency Home Mortgage
Revenue Bonds, 1988 Series A, 8.125%, 8/01/19 Aa 8/98 at 102 1,376,884
6,230,000 California Housing Finance Agency Single Family
Mortgage Bonds, 1995 Issue A-2, 6.350%, 8/01/15
(Alternative Minimum Tax) Aaa 5/05 at 102 6,451,165
California Housing Finance Agency, Single Family
Mortgage Bonds, 1995 Issue B:
8,470,000 6.250%, 2/01/18 (Alternative Minimum Tax) Aaa 10/05 at 102 8,680,310
400,000 6.300%, 8/01/24 (Alternative Minimum Tax) Aaa 10/05 at 102 411,492
1,990,000 California Housing Finance Agency Single Family
Mortgage Bonds, 1995 Issue B, 6.250%, 8/01/14
(Alternative Minimum Tax) Aaa 10/05 at 102 2,031,571
3,455,000 California Housing Finance Agency Housing
Revenue Bonds (Insured), 1991 Series A,
7.200%, 2/01/26 (Alternative Minimum Tax) Aaa 8/01 at 102 3,641,190
4,530,000 California Housing Finance Agency Home Mortgage
Revenue Bonds, 1989 Series F, 7.250%, 8/01/17 Aa 2/00 at 102 4,747,078
2,980,000 California Housing Finance Agency Home Mortgage
Revenue Bonds, 1991 Series G, 7.050%, 8/01/27
(Alternative Minimum Tax) Aa 8/01 at 102 3,125,215
6,245,000 California Housing Finance Agency Home Mortgage
Revenue Bonds, 1995 Series M, 6.150%, 8/01/27
(Alternative Minimum Tax) Aaa 2/06 at 102 6,353,975
5,975,000 California Housing Finance Agency Home Mortgage
Revenue Bonds, 1996 Series H, 6.250%, 8/01/27
(Alternative Minimum Tax) Aa 8/06 at 102 6,062,355
9,650,000 California Pollution Control Financing Authority,
Pollution Control Revenue Bonds (Southern
California Edison Company), 1991 Series,
6.900%, 12/01/17 (Alternative Minimum Tax) Aa3 12/01 at 102 10,299,928
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 10,350,000 California Pollution Control Financing Authority,
Pollution Control Revenue Bonds (San Diego Gas
and Electric Company), 1991 Series A,
6.800%, 6/01/15 (Alternative Minimum Tax) A1 No Opt. Call $ 11,584,962
3,000,000 California Pollution Control Financing Authority,
Solid Waste Revenue Bonds (North County
Recycling Center), 1991 Series A Bonds,
6.750%, 7/01/17 Aaa 7/02 at 102 3,445,740
9,150,000 California Pollution Control Financing Authority
Sewage and Solid Waste Disposal Facilities Revenue
Bonds (Anheuser-Busch Project), Series 1996,
5.750%, 12/01/30 (Alternative Minimum Tax) AA- 12/06 at 101 9,033,521
9,500,000 California Pollution Control Financing Authority
Exempt Facilities Revenue Bonds, Series 1996
(Mobil Oil Corporation Project), 5.500%, 12/01/29
(Alternative Minimum Tax) AA 12/06 at 102 9,089,885
3,335,000 California Rural Home Mortgage Finance Authority
Single Family Mortgage Revenue Bonds (Mortgage-
Backed Securities Program), 1995 Series B,
7.750%, 9/01/26 (Alternative Minimum Tax) AAA No Opt. Call 3,752,375
3,000,000 California Statewide Communities Development
Authority, Series A Certificates of Participation,
Pacific Homes, 6.000%, 4/01/17 A 4/03 at 102 3,031,380
1,775,000 California Statewide Communities Development
Authority, Certificates of Participation, St. Joseph
Health System Obligated Group, 5.500%, 7/01/23 Aa 7/03 at 102 1,693,048
3,310,000 State Public Works Board of the State of California
Lease Revenue Bonds (California Community
Colleges), 1991 Series A, 7.250%, 9/01/05
(Pre-refunded to 9/01/01) Aaa 9/01 at 102 3,770,454
10,525,000 State Public Works Board of the State of California,
Lease Revenue Bonds (Department of Corrections),
1991 Series A (State Prisons-Imperial County),
5.750%, 9/01/21 A 9/01 at 100 10,355,127
5,000,000 State Public Works Board of the State of California
Lease Revenue Bonds (The Trustees of The California
State University), 1995 Series A (Various California
State University Projects), 6.000%, 9/01/15 A 9/05 at 100 5,103,350
11,405,000 State of California Various Purpose General
Obligation Bonds, 6.400%, 2/01/20 (Alternative
Minimum Tax) A1 2/98 at 102 11,733,008
2,025,000 State of California, Various Purpose General Obligation
Bonds, 5.750%, 3/01/23 A1 3/04 at 102 2,025,689
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 5,120,000 ABAG Finance Authority for Nonprofit Corporations,
Certificates of Participation (Stanford University
Hospital), California, Series 1993, 5.250%, 11/01/08 A1 11/03 at 102 $ 5,119,590
9,725,000 Avalon Community Improvement Agency Community
Improvement Project Area Tax Allocation Bonds,
Series 1991 A, 7.250%, 8/01/21 A- 8/01 at 102 10,555,807
2,215,000 Brea Public Financing Authority (Orange County,
California), 1991 Tax Allocation Revenue Bonds,
Series A(Redevelopment Project AB),
6.750%, 8/01/22 Aaa 8/01 at 102 2,434,684
5,285,000 Brea Public Financing Authority (Orange County,
California), 1991 Tax Allocation Revenue Bonds,
Series A (Redevelopment Project AB),
6.750%, 8/01/22 (Pre-refunded to 8/01/01) Aaa 8/01 at 102 5,906,093
6,000,000 Cerritos Public Financing Authority (Cerritos,
California), 1993 Revenue Bonds, Series A (Tax
Exempt), (Los Cerritos Redevelopment Project
Loan), 6.050%, 11/01/20 A- 11/03 at 102 6,053,760
285,000 ABAG Finance Corporation (California), Series A
Certificates of Participation, Cities of Concord,
Saratoga, Santa Cruz, and South Gate,
7.625% 6/01/11 A- 6/97 at 100 287,576
2,110,000 County of Contra Costa, California, 1989 Home
Mortgage Revenue Bonds (GNMA Mortgage-
Backed Securities Program), 7.700%, 11/01/09
(Alternative Minimum Tax) Aaa No Opt. Call 2,428,420
5,000,000 Culver City Redevelopment Financing Authority,
1993 Tax Allocation Refunding Revenue Bonds,
5.000%, 11/01/23 Aaa 11/03 at 102 4,488,050
7,000,000 East Bay Municipal Utility District (Alameda and
Contra Costa Counties, California), Water System
Subordinated Revenue Bonds, Series 1991,
6.375%, 6/01/12 (Pre-refunded to 12/01/01) Aaa 12/01 at 102 7,759,990
5,000,000 Elk Grove Unified School District Community
Facilities District No. 1 Special Tax Bonds, Series
1990, 6.800%, 12/01/20 (Pre-refunded to 12/01/99) Aaa 12/99 at 102 5,462,300
8,180,000 Fresno Unified School District, Fresno County,
California, Certificates of Participation for Measure
a Capital Projects, Series of 1991B for Project
Phase VII, 6.850%, 5/01/12 A 5/99 at 102 8,516,362
City of Inglewood, California, Certificates of
Participation, (1991 Civic Center Improvement
Project):
5,515,000 7.000%, 8/01/11 A 8/01 at 102 5,892,171
5,000,000 7.000%, 8/01/19 A 8/01 at 102 5,327,750
3,000,000 6.500%, 8/01/21 A 8/01 at 102 3,105,450
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 6,500,000 City of Loma Linda, California Hospital Revenue
Refunding Bonds (Loma Linda University Medical
Center Project), Series 1989-B, 7.000%, 12/01/15 Aaa 12/99 at 102 $ 7,023,575
5,460,000 City of Loma Linda, California, Hospital Revenue
Bonds (Loma Linda University Medical Center
Project), Series 1990-B, 7.000%, 12/01/10
(Pre-refunded to 12/01/00) Aaa 12/00 at 102 6,078,345
9,350,000 City of Loma Linda, California, Hospital Revenue
Refunding Bonds (Loma Linda University Medical
Center Project), Series 1993-C, 5.375%, 12/01/22 Aaa 12/03 at 102 8,685,683
2,885,000 The City of Los Angeles, Insured Certificates of
Participation, Ararat Home of Los Angeles,
7.250%, 6/01/21 A 6/01 at 102 3,107,837
3,500,000 Department of Water and Power of the City of Los
Angeles, California, Electric Plant Revenue Bonds,
Second Issue of 1990, 7.250%, 9/15/30 Aa 9/00 at 102 3,906,245
6,375,000 Department of Water and Power of the City of Los
Angeles Electric Plant Revenue Bonds, Issue of 1991,
7.100%, 1/15/31 Aa 1/01 at 102 7,090,148
7,500,000 Harbor Department of the City of Los Angeles
Revenue Bonds, Issue of 1996, 6.200%, 8/01/25
(Alternative Minimum Tax) Aaa 8/06 at 101 7,884,300
4,255,000 Los Angeles Unified School District, Certificates of
Participation (Capital Facilities Project, 1991A),
7.000%, 5/01/99 A No Opt. Call 4,507,109
3,300,000 The City of Los Angeles Wastewater System Revenue
Bonds, Series 1990-B, 7.150%, 6/01/20
(Pre-refunded to 6/01/00) AAA 6/00 at 102 3,661,515
3,000,000 The City of Los Angeles Wastewater System Revenue
Bonds, Refunding Series 1991-C, 7.100%, 6/01/18 A1 6/99 at 102 3,211,980
10,000,000 Los Angeles County Public Works Finance Authority,
Revenue Bonds, Series 1994A (Los Angeles County
Regional Park and Open Space District),
6.000%, 10/01/15 Aa 10/04 at 102 10,296,900
7,500,000 Los Angeles County Metropolitan Transportation
Authority (California), Proposition A Sales Tax
Revenue Refunding Bonds, Series 1993-A,
6.900%, 7/01/21 (Pre-refunded to 7/01/01) Aaa 7/01 at 102 8,412,750
6,000,000 County of Madera, California, Certificates of
Participation (Valley Children's Hospital Project),
Series 1995, 5.750%, 3/15/28 Aaa 3/05 at 102 5,961,120
3,325,000 Mammoth County Water District (Mono County,
California), Certificates of Participation (Wastewater
Capital Improvement Project), 7.400%, 12/15/10 A- 12/00 at 103 3,629,869
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 10,135,000 The Metropolitan Water District of Southern
California Water Revenue Bonds, Issue of 1992,
8.000%, 7/01/08 Aa No Opt. Call $ 12,736,756
6,375,000 Mt. Diablo Hospital District, Insured Hospital
Revenue Bonds, 1990 Series A, 7.000%, 12/01/17
(Pre-refunded to 12/01/00) Aaa 12/00 at 102 7,096,969
14,135,000 Northern California Power Agency, Hydroelectric
Project Number One Revenue Bonds, Refunding
Series E, 7.150%, 7/01/24 A 7/98 at 102 14,837,085
1,390,000 City of Palm Springs Financing Authority Revenue
(Tax Allocation), Bonds 1991 Series B (Agency
Loans), 6.800%, 8/01/11 A- 8/01 at 102 1,472,622
1,705,000 City of Palm Springs Financing Authority Revenue
(Tax Allocation), Bonds 1991 Series B (Agency
Loans), 6.800%, 8/01/11 (Pre-refunded to 8/01/05) N/R 8/05 at 100 1,953,316
2,345,000 Pleasanton Joint Powers Financing Authority
Reassessment Revenue Bonds, 1993 Series A,
6.150%, 9/02/12 Baa 9/03 at 102 2,417,765
2,550,000 Riverside Public Financing Authority (Riverside
County, California), 1991 Revenue Bonds, Series A
(Multiple Project Loans), 8.000%, 2/01/18 N/R 2/01 at 102 2,740,766
3,700,000 Riverside Public Financing Authority,
8.000%, 2/01/18 (Pre-refunded to 2/01/01) N/R 2/01 at 102 4,238,276
19,000,000 Sacramento City Financing Authority 1991 Revenue
Bonds, 6.800%, 11/01/20 (Pre-refunded to 11/01/01) Aaa 11/01 at 102 21,367,020
1,350,000 City of St. Helena, Certificates of Participation, ABAG
Finance Corporation (California), 7.875%, 6/01/11 BBB 6/00 at 102 1,516,887
1,250,000 CSAC Lease Financing Program Certificates of
Participation (San Benito County, California - Jail
and Juvenile Hall Facilities Project), 7.400%, 8/01/11 Baa1 8/98 at 102 1,305,100
3,920,000 City of San Diego, California, Certificates of
Participation (Balboa Park and Mission Bay Park
Capital Improvements Program), Series 1991,
6.900%, 7/15/21 Aa 7/01 at 100 4,317,018
3,450,000 Airport Commission, City and County of San
Francisco, California, San Francisco International
Airport, Second Series Revenue Bonds, Issue 5,
6.500%, 5/01/24 (Alternative Minimum Tax) Aaa 5/04 at 102 3,707,198
6,765,000 Airports Commission City and County of San Francisco,
California, San Francisco International Airport,
Second Series Revenue Bonds, Issue 10,
5.700%, 5/01/26 (Alternative Minimum Tax) Aaa 5/06 at 102 6,627,806
5,235,000 City and County of San Francisco, Redevelopment
Financing Authority, 1993 Series C Tax Allocation
Revenue Bonds (San Francisco Redevelopment
Projects), 5.125%, 8/01/18 A 8/03 at 103 4,789,502
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 5,000,000 San Mateo County Joint Powers Financing Authority
Lease Revenue Bonds (San Mateo County Health
Center), 1994 Series A, 6.125%, 7/15/14 Aaa 7/04 at 102 $ 5,267,450
4,000,000 County of Santa Clara, California, Certificates of
Participation (The Terraces of Los Gatos Project),
1991 Series, American Baptist Homes of the West,
6.900%, 3/01/18 A 3/01 at 102 4,235,920
Santa Clarita Public Financing Authority Local
Agency Revenue Bonds, Series 1991:
6,800,000 7.000%, 10/01/20 A- 4/97 at 100 6,806,188
3,000,000 6.750%, 10/01/21 A- 10/01 at 102 3,202,590
6,925,000 Santa Monica Community College District,
Refunding Certificates of Participation 1991
Series A, 7.150%, 6/01/08 A 6/01 at 102 7,527,405
2,860,000 Southern California Home Financing Authority
Single Family Mortgage Revenue Bonds (GNMA
and FNMA Mortgage-Backed Securities Program),
1991 Issue B, 6.900%, 10/01/24 (Alternative
Minimum Tax) AAA 10/01 at 102 2,977,717
10,500,000 Southern California Public Power Authority,
Transmission Project Revenue Bonds, 1993
Subordinate Refunding Series (Southern
Transmission Project), 5.000%, 7/01/22 Aaa 7/03 at 100 9,448,740
6,500,000 Tri-City Hospital District (Oceanside, California),
Insured Revenue Bonds, Series 1991,
7.500%, 2/01/17 (Pre-refunded to 2/01/02) Aaa 2/02 at 102 7,499,114
10,000,000 Tustin Community Redevelopment Agency Town
Center Area Redevelopment Project, Subordinate
Tax Allocation Bonds, Series 1991, 6.800%, 12/01/16 Aaa 12/01 at 102 11,065,800
6,000,000 The Regents of the University of California Refunding
Revenue Bonds (1989 Multiple Purpose Projects),
Series C, 5.000%, 9/01/23 Aaa 9/03 at 102 5,387,760
3,300,000 The Regents of the University of California,
Refunding Revenue Bonds (Multiple Purpose
Projects), Series A, 6.875%, 9/01/16 (Pre-refunded
to 9/01/02) A- 9/02 at 102 3,743,255
3,000,000 Westminster Redevelopment Agency, Westminster
Commercial Redevelopment Project No. 1, 1991
Tax Allocation Bonds, Series A (Orange County,
California), 7.300%, 8/01/21 BBB+ 8/01 at 102 3,244,860
1,665,000 Yosemite Community College District, Certificates
of Participation, 7.750%, 7/01/11 (Pre-refunded
to 7/01/01) N/R 7/01 at 102 1,934,280
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 5,715,000 Puerto Rico Housing Bank and Finance Agency,
Affordable Housing Mortgage Subsidy Program,
Single Family Mortgage Revenue Bonds, Portfolio I,
6.250%, 4/01/29 (Alternative Minimum Tax) Aaa 4/05 at 102 $ 5,821,584
- ------------------------------------------------------------------------------------------------------------------
$461,555,000 Total Investments - (cost $453,494,527) - 97.8% 486,032,059
=================-------------------------------------------------------------------------------------------------
TEMPORARY INVESTMENTS IN SHORT-TERM
MUNICIPAL SECURITIES - 1.1%
$ 2,125,000 California Health Facilities Financing Authority,
Refunding Revenue Bonds (St. Joseph Health
System), Series 1985B, Variable Rate Demand
Bonds, 3.350%, 7/01/13+ VMIG-1 2,125,000
500,000 California Pollution Control Financing Authority,
Pollution Control Refunding Revenue Bonds
(Pacific Gas and Electric Company), 1996 Series C,
Variable Rate Demand Bonds, 3.400%, 11/01/26+ A-1+ 500,000
700,000 Tri-Modal Variable Rate Revenue Refunding
Certificates of Participation (House Ear Institute),
1993 Series A, Variable Rate Demand Bonds,
3.350%, 12/01/18+ A-1+ 700,000
1,000,000 California Statewide Community Development
Authority Certificates of Participation Revenue
(Sutter Health Obligation Group), Variable Rate
Demand Bonds, 3.350%, 7/01/15+ A-1 1,000,000
1,300,000 City of Santa Ana, Multi-Model Interchangeable
Rate Health Facility Revenue Bonds (Town and
Country Manor Project), Series 1990, Variable Rate
Demand Bonds, 3.350%, 10/01/20+ A-1 1,300,000
- ------------------------------------------------------------------------------------------------------------------
$ 5,625,000 Total Temporary Investments - 1.1% 5,625,000
=================-------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 1.1% 5,203,644
- ------------------------------------------------------------------------------------------------------------------
Net Assets - 100% $496,860,703
==================================================================================================================
<PAGE>
<CAPTION>
NUMBER OF MARKET MARKET
STANDARD & POOR'S MOODY'S SECURITIES VALUE PERCENT
<S> <C> <C> <C> <C> <C>
SUMMARY OF AAA Aaa 34 $203,578,465 42%
RATINGS* AA+, AA, AA- Aa1, Aa, Aa2, Aa3 14 91,717,240 19
PORTFOLIO OF A+ A1 5 33,675,229 7
INVESTMENTS A, A- A, A2, A3 23 137,709,875 28
(EXCLUDING BBB+, BBB, BBB- Baa1, Baa, Baa2, Baa3 4 8,484,612 2
TEMPORARY Non-rated Non-rated 4 10,866,638 2
INVESTMENTS):
- -----------------------------------------------------------------------------------------------------------------
TOTAL 84 $486,032,059 100%
=================================================================================================================
<FN>
* Ratings: Using the higher of Standard & Poor's or Moody's rating.
N/R - Investment is not rated.
** Optional Call Provisions: Dates (month and year) and prices of the earliest
optional call or redemption. There may be other call provisions at varying
prices at later dates.
+ The security has a maturity of more than one year, but has variable rate and
demand features which qualify it as a short-term security.
The rate disclosed is that currently in effect. This rate changes periodically
based on market conditions or a specified market index.
</FN>
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
PORTFOLIO OF INVESTMENTS
(Unaudited)
NUVEEN CALIFORNIA QUALITY INCOME MUNICIPAL FUND, INC. (NUC)
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 1,000,000 Auxiliary Organization Revenue Certificates of
Participation (The University Corporation-California
State University, Northridge), Series 1996,
6.000%, 4/01/26 Aaa 4/06 at 101 $ 1,032,240
4,050,000 CSAC Finance Corporation, Nevada County Project,
Fixed Rate Certificates of Participation (California
Counties Lease Financing Program - Nevada
County Project), Series 1986, 7.600%, 10/01/19
(Pre-refunded to 4/01/98) A 4/98 at 101 4,258,980
7,430,000 California Educational Facilities Authority, Revenue
Bonds (University of San Francisco), Series 1992,
6.400%, 10/01/17 (Pre-refunded to 10/01/02) Aaa 10/02 at 102 8,312,981
3,000,000 California Educational Facilities Authority, Revenue
Bonds (Santa Clara University), Series 1991,
6.250%, 2/01/16 (Pre-refunded to 2/01/02) A1 2/02 at 102 3,281,160
California Educational Facilities Authority, Revenue
Bonds (University of San Diego), Series 1992:
1,965,000 6.500%, 10/01/08 A 10/02 at 102 2,103,591
5,000,000 6.500%, 10/01/22 A 10/02 at 102 5,248,100
2,000,000 California Educational Facilities Authority Revenue
Bonds (University of San Francisco), Series 1996,
6.000%, 10/01/26 Aaa 10/06 at 102 2,068,280
2,500,000 California Health Facilities Financing Authority,
Insured Revenue Bonds (Episcopal Homes
Foundation Project), Series 1985A, 7.750%, 7/01/06 A 7/98 at 102 2,656,425
1,000,000 California Health Facilities Financing Authority,
Insured Health Facilities Revenue Bonds (Los
Medanos, Health Care Corporation), 1990 Series A,
7.250%, 3/01/20 A 3/00 at 102 1,060,750
4,000,000 California Health Facilities Financing Authority,
Insured Health Facility Revenue Refunding Bonds
(Valley Memorial Hospital), 1993 Series A,
6.000%, 5/01/17 A 5/03 at 102 4,042,040
3,680,000 California Health Facilities Financing Authority,
Health Facility Revenue Bonds (Health Dimensions,
Incorporated), 1990 Series A, 7.375%, 5/01/07
(Pre-refunded to 5/01/00) Aaa 5/00 at 102 4,086,382
3,225,000 California Health Facilities Financing Authority,
Kaiser Permanente, Revenue Bonds, 1990 Series A,
6.500%, 12/01/20 AA 12/00 at 102 3,443,849
6,000,000 California Health Facilities Financing Authority,
Insured Revenue Bonds (Southern California
Presbyterian Homes), Series 1991, 6.750%, 6/01/21 A 6/01 at 102 6,403,020
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 1,290,000 California Housing Finance Agency, Home Mortgage
Revenue Bonds, 1988 Series E, 8.350%, 8/01/19
(Alternative Minimum Tax) Aa 8/98 at 102 $ 1,341,316
1,810,000 California Housing Finance Agency Home Mortgage
Revenue Bonds, 1991 Series G, 7.050%, 8/01/27
(Alternative Minimum Tax) Aa 8/01 at 102 1,898,201
5,250,000 California Housing Finance Agency, Multi-Unit
Rental Housing Revenue Bonds II, 1992 Series B,
6.700%, 8/01/15 A1 8/02 at 102 5,496,068
4,410,000 California Housing Finance Agency, Home Mortgage
Revenue Bonds, 1995 Series B, 7.125%, 2/01/26
(Alternative Minimum Tax) Aa 2/05 at 102 4,695,239
5,000,000 California Pollution Control Finance Authority,
Pollution Control Revenue Bonds (Laidlaw Inc.),
1992 Series A, 6.500%, 5/01/02 (Alternative
Minimum Tax) Aa3 5/97 at 102 5,109,450
10,000,000 California Pollution Control Financing Authority,
Pollution Control Revenue Bonds (Southern
California Edison Company), 1991 Series,
6.900%, 12/01/17 (Alternative Minimum Tax) Aa3 12/01 at 102 10,673,500
5,000,000 California Pollution Control Financing Authority,
Pollution Control Revenue Bonds (Pacific Gas and
Electric Company), 1992 Series A, 6.625%, 6/01/09
(Alternative Minimum Tax) A 6/02 at 102 5,305,950
8,000,000 California Pollution Control Financing Authority,
Solid Waste Revenue Bonds (North County
Recycling Center), 1991 Series A Bonds,
6.750%, 7/01/17 Aaa 7/02 at 102 9,188,640
14,000,000 California Statewide Communities Development
Authority, Revenue Certificates of Participation
(Cedars-Sinai Medical Center), 6.500%, 8/01/15 A1 8/02 at 102 14,622,300
1,250,000 California Statewide Communities Development
Authority, Hospital Revenue Certificates of
Participation, Cedars-Sinai Medical Center, Series
1992, 6.500%, 8/01/12 A1 No Opt. Call 1,372,613
3,570,000 California Statewide Communities Development
Authority (Triad Healthcare), Revenue Refunding
Series 1992, Certificates of Participation,
6.250%, 8/01/06 A No Opt. Call 3,854,600
10,050,000 State Public Works Board of the State of California
Lease Revenue Bonds (The Trustees of The
California State University), 1992 Series A (Various
California State University Project),
6.700%, 10/01/17 (Pre-refunded to 10/01/02) Aaa 10/02 at 102 11,388,459
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
State Public Works Board of the State of California
Lease Revenue Bonds (Department of Corrections),
1994 Series A (California State of Prison-Monterey
County (Soledad II)):
$ 6,950,000 6.875%, 11/01/14 (Pre-refunded to 11/01/04) Aaa 11/04 at 102 $ 8,129,276
7,625,000 7.000%, 11/01/19 (Pre-refunded to 11/01/04) Aaa 11/04 at 102 8,977,446
2,110,000 State Public Works Board of the State of California,
Lease Revenue Bonds (Department of Corrections),
1991 Series A (State Prisons-Imperial County),
6.500%, 9/01/11 (Pre-refunded to 9/01/01) A 9/01 at 102 2,341,045
2,500,000 State Public Works Board of the State of California,
Lease Revenue Refunding Bonds (Department of
Corrections), Monterey County (Soledad II)),
5.625%, 11/01/19 Aaa 11/06 at 102 2,471,375
State of California, Various Purpose General
Obligation Bonds:
10,000,000 6.400%, 9/01/07 A1 No Opt. Call 11,233,600
2,500,000 7.000%, 2/01/09 A1 No Opt. Call 2,924,025
7,985,000 5.750%, 3/01/19 A1 3/05 at 101 8,018,138
2,000,000 State of California, Department of Water Resources,
Central Valley Project, Water System Revenue
Bonds, Series K, 6.400%, 12/01/26 (Pre-refunded
to 6/01/02) Aa 6/02 at 101 1/2 2,212,140
County of Alameda, Certificates of Participation
(1992 Capital Projects), Alameda County Public
Facilities Corporation:
7,865,000 6.750%, 6/01/16 A 6/02 at 102 8,567,345
10,000,000 6.000%, 6/01/22 A 6/02 at 102 10,166,300
5,000,000 Certificates of Participation (1991 Financing Project),
County of Alameda, California, Alameda County
Public Facilities Corporation, 6.000%, 9/01/21 Aaa 9/06 at 102 5,185,350
2,000,000 Coachella Valley Water District, Improvement
District No. 71 (Storm Water District), (Riverside,
Imperial, and San Diego Counties, California),
1992 Certificates of Participation (Flood Control
Project), 6.750%, 10/01/12 A 10/02 at 102 2,143,840
2,200,000 City of Coalinga, California, Certificates of
Participation (1989 Coalinga Return to Custody
Facility), 7.000%, 4/01/10 BBB+ 4/00 at 102 2,306,942
3,000,000 Contra Costa Water Authority (Contra Costa County,
California), Water Treatment Revenue Bonds,
1990 Series A, 6.875%, 10/01/20 (Pre-refunded
to 10/01/00) N/R 10/00 at 102 3,309,600
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 12,805,000 County of Contra Costa, California, 1988 Home
Mortgage Revenue Bonds (GNMA Mortgage-
Backed Securities Program), 8.250%, 6/01/21
(Alternative Minimum Tax) Aaa No Opt. Call $ 16,535,481
2,255,000 City of Corona (California), Single Family Mortgage
Revenue Bonds, Series 1996A (Senior),
6.050%, 5/01/27 Aaa 11/06 at 102 2,286,818
2,100,000 Cudahy Redevelopment Agency, Cudahy
Redevelopment Project, Tax Allocation Refunding
Bonds, Series 1994A, 6.700%, 9/01/24 BBB 9/03 at 102 2,130,513
5,000,000 Culver City Redevelopment Financing Authority,
1993 Tax Allocation Refunding Revenue Bonds,
4.600%, 11/01/20 Aaa 11/03 at 102 4,229,500
12,745,000 Delta Counties Home Mortgage Finance Authority,
Single Family Mortgage Revenue Bonds (Fannie
Mae and Ginnie Mae Mortgage-Backed Securities
Program), 1992 Series A, 6.750%, 12/01/25
(Alternative Minimum Tax) AAA 6/02 at 102 13,238,614
3,000,000 Fontana Public Financing Authority (San Bernardino
County, California), Tax Allocation Revenue Bonds
(North Fontana Redevelopment Project), 1990
Series A, 7.250%, 9/01/20 BB+ 9/00 at 102 3,068,730
10,000,000 Fontana Redevelopment Agency, Jurupa Hills
Redevelopment Project Area (County of San
Bernardino, California), Refunding Tax Allocation
Bonds, 1992 Series A, 7.100%, 10/01/23 BBB 10/02 at 102 10,588,000
1,700,000 Foothill-De Anza Community College District
(County of Santa Clara, California), Certificates of
Participation (1992 De Anza Campus Center
Project), 7.350%, 3/01/07 A- 3/02 at 102 1,882,682
12,000,000 Foothill/Eastern Transportation Corridor Agency,
Toll Road Revenue Bonds Series 1995A,
6.000%, 1/01/34 Baa 1/05 at 102 11,919,480
2,725,000 City of Fresno, California, Certificates of Participation
(1992 Street Improvement Project),
6.625%, 12/01/11 A1 12/00 at 102 2,887,138
7,000,000 Fresno Unified School District, Fresno County,
California, Certificates of Participation for Measure
ACapital Projects, Series of 1991C for Project
Phase VIII, 7.000%, 5/01/12 Con (A) 5/99 at 102 7,313,390
5,210,000 Fresno Unified School District, Fresno County,
California, Certificates of Participation for Measure
ACapital Projects, Series of 1992B for Project
Phase IX, 6.700%, 5/01/12 A 5/00 at 102 5,443,669
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 4,000,000 Inland Empire Solid Waste Financing Authority
Revenue Bonds, 1996 Series B (Landfill
Improvement Financing Project), 6.250%, 8/01/11
(Alternative Minimum Tax) Aaa No Opt. Call $ 4,287,600
3,250,000 The Housing Authority of the County of Kern,
Multifamily Housing Revenue Bonds (North
Meadows Project), 1985 Series F, 6.300%, 12/01/97 Baa1 No Opt. Cal 3,264,625
8,000,000 Lancaster School District, Certificates of Participation
(1992 Refunding Project), 7.000%, 3/01/22 Aaa 3/02 at 102 9,069,360
3,110,000 City of Loma Linda, California, Hospital Revenue
Bonds (Loma Linda University Medical Center
Project), Series 1993-A, 6.500%, 12/01/18 BBB 12/03 at 102 3,193,068
5,435,000 Community Redevelopment Financing Authority of
the Community Redevelopment Agency of the
City of Los Angeles, California, Pooled Financing
Bonds, Series A (Bunker Hill, Los Angeles Harbor
Industrial Center and Monterey Hills
Projects), 6.375%, 9/01/14 Baa1 9/02 at 102 5,578,158
4,030,000 Department of Water and Power of the City of Los
Angeles, California, Electric Plant Revenue Bonds,
Issue of 1989, 7.375%, 2/01/29 Aa 2/99 at 102 4,347,040
4,060,000 Department of Water and Power of The City of Los
Angeles, Water Works Refunding Revenue Bonds,
Second Issue of 1993, 4.500%, 5/15/13 Aa 5/03 at 102 3,601,788
8,400,000 Department of Water and Power of The City of Los
Angeles, Water Works Refunding Revenue Bonds,
Second Issue of 1993, 4.500%, 5/15/30 Aaa 5/03 at 102 6,751,584
4,500,000 City of Los Angles, California, Wastewater System
Revenue Bonds, Series 1991-D, 6.700%, 12/01/21
(Pre-refunded to 12/01/00) Aaa 12/00 at 102 4,981,770
2,000,000 Redevelopment Agency of the City of Moorpark,
Moorpark Redevelopment Project, 1993 Tax
Allocation Bonds, 6.125%, 10/01/18 A- 10/03 at 102 2,017,120
15,190,000 Northern California Power Agency, Hydroelectric
Project Number One Revenue Bonds, Refunding
Series E, 7.150%, 7/01/24 A 7/98 at 102 15,944,487
15,300,000 Ontario Redevelopment Financing Authority (San
Bernardino County, California), 1995 Revenue
Refunding Bonds (Ontario Redevelopment
Project No. 1), 7.400%, 8/01/25 Aaa No Opt. Call 19,440,792
10,000,000 County of Orange, California, Certificates of
Participation (Civic Center Expansion Project),
6.700%, 8/01/18 Aaa 8/01 at 102 11,156,100
3,400,000 Orange County Development Agency, Santa Ana
Heights Project Area, 1993 Tax Allocation Revenue
Bonds, 6.125%, 9/01/23 (DD) Baa 9/03 at 102 3,406,664
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
Orange County Local Transportation Authority
(Orange County, California), Measure M Sales Tax
Revenue Bonds (Limited Tax Bonds):
$ 3,000,000 6.000%, 2/15/07 Aa No Opt. Call $ 3,230,670
4,250,000 6.000%, 2/15/08 Aa No Opt. Call 4,564,415
2,000,000 County of Orange, California, 1996 Recovery,
Certificates of Participation, Series A,
6.000%, 7/01/26 Aaa 7/06 at 102 2,055,320
6,670,000 City of Redlands, Certificates of Participation (1993
Refunding of 1986 and 1987 Projects),
6.800%, 3/01/07 Aaa 3/97 at 100 6,688,476
3,300,000 County of Riverside, California, Single Family
Mortgage Revenue Bonds (GNMA Mortgage-
Backed Securities Program), Issue B of 1989,
7.600%, 11/01/19 (Alternative Minimum Tax) AAA 11/99 at 102 3,457,905
4,000,000 County of San Bernardino, California, Certificates of
Participation (West Valley Detention Center Project),
7.600%, 11/01/06 (Pre-refunded to 11/01/98) Aaa 11/98 at 102 4,329,320
13,525,000 County of San Bernardino, California, Single Family
Mortgage Revenue Bonds (GNMA Mortgage-
Backed Securities), 1989 Series A, 7.750%, 11/01/14
(Alternative Minimum Tax) Aaa No Opt. Call 16,588,007
3,000,000 San Diego County Water Authority, Water Revenue
Certificates of Participation, Series 1989A,
7.300%, 5/01/09 (Pre-refunded to 5/01/97) Aaa 5/97 at 102 3,079,590
8,295,000 San Diego County Water Authority, Water Revenue
Certificates of Participation, Series 1991A,
6.300%, 5/01/05 Aa 5/01 at 102 8,891,162
3,385,000 The Community Redevelopment Agency of the
City of Santa Ana, Orange County, California,
Santa Ana South Harbor Boulevard/Fairview Street
Redevelopment Project, 1989 Series CTax
Allocation Refunding Bonds, 7.250%, 9/01/09 A- 9/99 at 102 3,531,266
2,000,000 City of Santa Barbara, California, Certificates of
Participation (1992 Water System Improvement
Project and Refunding), 6.700%, 4/01/27 Aaa 4/02 at 102 2,203,540
3,000,000 City of Santa Barbara, California, Certificates of
Participation (Harbor Refunding Project),
6.750%, 10/01/27 A 10/02 at 102 3,211,260
2,575,000 City of Santa Maria, Revenue, Certificates of
Participation (Marian Medical Center),
6.750%, 9/01/22 A 9/02 at 102 2,700,660
4,300,000 Sierra View Local Hospital District, Insured Health
Facility Revenue Bonds, Series 1992,
6.400%, 3/01/22 A 3/02 at 102 4,448,092
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 1,730,000 Southern California Home Financing Authority,
Single Family Mortgage Revenue Bonds (GNMA
and FNMA Mortgage-Backed Securities Program),
1991 Issue A, 7.350%, 9/01/24 (Alternative
Minimum Tax) AAA 3/01 at 102 $ 1,825,479
1,715,000 Southern California Home Financing Authority,
Single Family Mortgage Revenue Bonds (GNMA
and FNMA Mortgage-Backed Securities Program),
1992 Issue A, 6.750%, 9/01/22 (Alternative
Minimum Tax) AAA 3/02 at 102 1,773,842
5,500,000 Southern California Public Power Authority, Multiple
Project Revenue Bonds, 1989 Series, 6.750%, 7/01/11 A No Opt. Call 6,213,460
1,950,000 City of Torrance (California), Hospital Revenue Bonds
(Little Company of Mary Hospital Project), Series
1992, 6.875%, 7/01/15 A 7/02 at 102 2,084,336
3,025,000 Tulare Local Hospital District, Insured Health
Facility Revenue Bonds, Series 1991A,
6.750%, 12/01/21 A 12/01 at 102 3,242,951
6,185,000 The Regents of the University of California,
Refunding Revenue Bonds (Multiple Purpose
Projects), Series A, 6.875%, 9/01/16 (Pre-refunded
to 9/01/02) A- 9/02 at 102 7,015,768
8,000,000 City of Vista, Multifamily Housing Revenue
Refunding Bonds (Vista Hacienda Project), 1992
Series A, 6.950%, 4/01/17 AAA 4/02 at 102 8,372,080
Housing Authority of the County of Yolo, 1992
Refunding Revenue Bonds, Series A (Russell
Park Apartments):
1,000,000 6.900%, 11/01/08 Aa3 5/02 at 103 1,062,680
1,030,000 7.000%, 11/01/14 Aa3 5/02 at 103 1,086,824
- ------------------------------------------------------------------------------------------------------------------
$446,865,000 Total Investments - (cost $444,551,459) - 99.2% 481,151,830
=================-------------------------------------------------------------------------------------------------
TEMPORARY INVESTMENTS IN SHORT-TERM
MUNICIPAL SECURITIES - 0.1%
$ 700,000 California Statewide Community Development
================= Authority Certificates of Participation Revenue
(Sutter Health Obligation Group), Variable Rate
Demand Bonds, 3.350%, 7/01/15+ A-1 700,000
- ------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 0.7% 3,311,021
- ------------------------------------------------------------------------------------------------------------------
Net Assets - 100% $485,162,851
==================================================================================================================
<PAGE>
<CAPTION>
NUMBER OF MARKET MARKET
STANDARD & POOR'S MOODY'S SECURITIES VALUE PERCENT
<S> <C> <C> <C> <C> <C>
SUMMARY OF AAA Aaa 30 $203,191,607 41%
RATINGS* AA+, AA, AA- Aa1, Aa, Aa2, Aa3 14 56,158,274 12
PORTFOLIO OF A+ A1 8 49,835,042 10
INVESTMENTS A, A- A, A2, A3 26 123,201,127 26
(EXCLUDING BBB+, BBB, BBB- Baa1, Baa, Baa2, Baa3 8 42,387,450 9
TEMPORARY BB+, BB, BB- Ba1, Ba, Ba2, Ba3 1 3,068,730 1
INVESTMENTS): Non-rated Non-rated 1 3,309,600 1
- -------------------------------------------------------------------------------------------------------------
TOTAL 88 $481,151,830 100%
=============================================================================================================
<FN>
* Ratings: Using the higher of Standard & Poor's or Moody's rating.
N/R - Investment is not rated.
Con. Rating is conditional. Bonds for which the security depends upon the
completion of some act or the fulfillment of some condition are rated
conditionally. These are bonds secured by (a) earnings by projects under
construction, (b) earnings of projects unseasoned in operation experience, (c)
rentals which begin when facilities are completed, or (d) payments to which some
other limiting condition attaches. Parenthetical rating denotes probable credit
stature upon completion of construction or elimination of basis of condition.
** Optional Call Provisions: Dates (month and year) and prices of the earliest
optional call or redemption. There may be other call provisions at varying
prices at later dates.
(DD) Security purchased as a delayed delivery basis (see note 1 of the Notes to
Financial Statements).
+ The security has a maturity of more than one year, but has variable rate and
demand features which qualify it as a short-term security.
The rate disclosed is that currently in effect. This rate changes periodically
based on market conditions or a specified market index.
</FN>
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
STATEMENT OF NET ASSETS
(Unaudited)
NCA NCP NCO NQC
<S> <C> <C> <C> <C>
ASSETS
Investments in municipal securities, at market
value (note 1) $250,795,002 $281,133,179 $178,191,156 $291,214,475
Temporary investments in short-term municipal
securities, at amortized cost (note 1) 3,000,000 -- 800,000 1,300,000
Cash 24,838 186,400 7,831 116,110
Receivables:
Interest 3,867,594 4,984,580 2,641,878 4,381,019
Investments sold -- 20,000 -- --
Other assets 52,119 28,259 18,564 26,639
------------ ------------ ------------ ------------
Total assets 257,739,553 286,352,418 181,659,429 297,038,243
------------ ------------ ------------ ------------
LIABILITIES
Payable for investments purchased 3,305,248 -- -- --
Accrued expenses:
Management fees (note 6) 124,633 140,354 89,751 145,430
Other 121,100 66,393 66,462 68,037
Preferred share dividends payable N/A 24,098 9,040 33,430
Common share dividends payable 1,209,074 1,076,756 668,661 1,085,398
------------ ------------ ------------ ------------
Total liabilities 4,760,055 1,307,601 833,914 1,332,295
------------ ------------ ------------ ------------
Net assets (note 7) $252,979,498 $285,044,817 $180,825,515 $295,705,948
============ ============ ============ ============
Preferred shares, at liquidation value N/A $ 90,000,000 $ 55,000,000 $ 90,000,000
============ ============ ============ ============
Preferred shares outstanding N/A 3,600 2,200 3,600
============ ============ ============ ============
Common shares outstanding 25,189,046 12,520,423 7,913,148 13,156,343
============ ============ ============ ============
Netasset value per Common share outstanding
(net assets less Preferred shares at
liquidation value (if applicable),
divided by Common shares outstanding) $ 10.04 $ 15.58 $ 15.90 $ 15.64
============ ============ ============ ============
N/A - Fund is not authorized to issue Preferred Shares.
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
NVC NUC
- ------------------------------------------------------------------------------------------------------
<S> <C> <C>
ASSETS
Investments in municipal securities, at market
value (note 1) $486,032,059 $481,151,830
Temporary investments in short-term municipal
securities, at amortized cost (note 1) 5,625,000 700,000
Cash 110,884 96,095
Receivables:
Interest 7,234,676 8,687,761
Investments sold 20,000 --
Other assets 43,547 38,472
------------ ------------
Total assets 499,066,166 490,674,158
------------ ------------
LIABILITIES
Payable for investments purchased -- 3,405,407
Accrued expenses:
Management fees (note 6) 242,110 236,373
Other 98,146 84,900
Preferred share dividends payable 22,680 41,538
Common share dividends payable 1,842,527 1,743,089
------------ ------------
Total liabilities 2,205,463 5,511,307
------------ ------------
Net assets (note 7) $496,860,703 $485,162,851
============ ============
Preferred shares, at liquidation value $150,000,000 $150,000,000
============ ============
Preferred shares outstanding 6,000 6,000
============ ============
Common shares outstanding 22,469,847 21,387,596
============ ============
Netasset value per Common share outstanding
(net assets less Preferred shares at
liquidation value, divided by Common
shares outstanding) $ 15.44 $ 15.67
============ ============
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
STATEMENT OF OPERATIONS
Six months ended February 28, 1997
(Unaudited)
NCA NCP NCO NQC
<S> <C> <C> <C> <C>
INVESTMENT INCOME
Tax-exempt interest income (note 1) $ 8,408,806 $ 9,121,528 $ 5,666,871 $ 9,226,354
----------- ----------- ----------- -----------
Expenses:
Management fees (note 6) 787,026 905,259 577,508 936,461
Preferred shares--auction fees N/A 112,500 68,750 112,500
Preferred shares--dividend disbursing agent fees N/A 12,301 7,401 7,401
Shareholders' servicing agent fees and expenses 35,877 15,409 9,596 14,706
Custodian's fees and expenses 27,533 29,108 23,675 29,421
Directors' fees and expenses (note 6) 1,072 1,348 935 1,388
Professional fees 5,085 11,606 11,335 11,630
Shareholders' reports--printing and mailing expenses 36,427 22,460 10,422 23,803
Stock exchange listing fees 16,349 12,237 8,163 12,277
Investor relations expense 12,216 9,587 6,353 10,096
Other expenses 8,342 8,813 9,084 8,826
----------- ----------- ----------- -----------
Total expenses 929,927 1,140,628 733,222 1,168,509
----------- ----------- ----------- -----------
Net investment income 7,478,879 7,980,900 4,933,649 8,057,845
----------- ----------- ----------- -----------
REALIZED AND UNREALIZED GAIN
FROM INVESTMENTS
Net realized gain from investment transactions
(notes 1 and 3) 225,421 74,251 76,430 47,782
Net change in unrealized appreciation or depreciation
of investments 2,299,653 2,143,078 2,455,039 3,335,941
----------- ----------- ----------- -----------
Net gain from investments 2,525,074 2,217,329 2,531,469 3,383,723
----------- ----------- ----------- -----------
Net increase in net assets from operations $10,003,953 $10,198,229 $ 7,465,118 $11,441,568
=========== =========== =========== ===========
N/A - Fund is not authorized to issue Preferred Shares.
See accompanying notes to financial statements.
<PAGE>
<CAPTION>
NVC NUC
- ---------------------------------------------------------------------------------------------------------
<S> <C> <C>
INVESTMENT INCOME
Tax-exempt interest income (note 1) $15,323,432 $14,733,866
----------- -----------
Expenses:
Management fees (note 6) 1,560,409 1,518,653
Preferred shares--auction fees 187,500 187,500
Preferred shares--dividend disbursing agent fees 14,298 14,802
Shareholders' servicing agent fees and expenses 20,544 16,456
Custodian's fees and expenses 39,151 38,904
Directors' fees and expenses (note 6) 2,198 2,148
Professional fees 12,151 12,114
Shareholders' reports--printing and mailing expenses 40,149 48,971
Stock exchange listing fees 16,208 16,170
Investor relations expense 16,229 15,129
Other expenses 15,176 12,151
----------- -----------
Total expenses 1,924,013 1,882,998
----------- -----------
Net investment income 13,399,419 12,850,868
----------- -----------
REALIZED AND UNREALIZED GAIN
FROM INVESTMENTS
Net realized gain from investment transactions
(notes 1 and 3) 396,638 486
Net change in unrealized appreciation or depreciation
of investments 6,394,836 9,006,802
----------- -----------
Net gain from investments 6,791,474 9,007,288
----------- -----------
Net increase in net assets from operations $20,190,893 $21,858,156
=========== ===========
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
STATEMENT OF CHANGES IN NET ASSETS
(Unaudited)
NCA NCP
Six months ended Year ended Six months ended Year ended
2/28/97 8/31/96 2/28/97 8/31/96
- ---------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
OPERATIONS
Net investment income $ 7,478,879 $ 13,921,341 $ 7,980,900 $ 15,964,701
Net realized gain from investment transactions
(notes 1 and 3) 225,421 3,342,828 74,251 494,226
Net change in unrealized appreciation or depreciation
of investments 2,299,653 (6,339,050) 2,143,078 (1,068,494)
------------- ------------- ------------- -------------
Net increase in net assets from operations 10,003,953 10,925,119 10,198,229 15,390,433
------------- ------------- ------------- -------------
DISTRIBUTIONS TO SHAREHOLDERS (note 1)
From undistributed net investment income:
Common shareholders (7,494,523) (14,178,555) (6,453,980) (12,828,577)
Preferred shareholders N/A N/A (1,347,421) (3,061,546)
From accumulated net realized gains from
investment transactions:
Common shareholders (2,245,206) (1,191,439) (236,296) --
Preferred shareholders N/A N/A (57,906) --
In excess of net realized gains:
Common shareholders -- -- -- --
Preferred shareholders N/A N/A -- --
------------- ------------- ------------- -------------
Decrease in net assets from distributions
to shareholders (9,739,729) (15,369,994) (8,095,603) (15,890,123)
------------- ------------- ------------- -------------
CAPITAL SHARE TRANSACTIONS (note 2)
Net proceeds from shares issued in acquisition
of NCM (note 1) -- 61,944,964 -- --
Net proceeds from Common shares issued to
shareholders due to reinvestment of distributions 767,644 1,021,632 837,862 837,705
------------- ------------- ------------- -------------
Net increase in net assets from capital
share transactions 767,644 62,966,596 837,862 837,705
------------- ------------- ------------- -------------
Net increase (decrease) in net assets 1,031,868 58,521,721 2,940,488 338,015
Net assets at beginning of period 251,947,630 193,425,909 282,104,329 281,766,314
------------- ------------- ------------- -------------
Net assets at end of period $ 252,979,498 $ 251,947,630 $ 285,044,817 $ 282,104,329
============= ============= ============= =============
Balance of undistributed net investment income at
end of period $ 107,745 $ 123,389 $ 852,660 $ 673,161
============= ============= ============= =============
N/A - Fund is not authorized to issue Preferred Shares.
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
NCO NQC
Six months ended Year ended Six months ended Year ended
2/28/97 8/31/96 2/28/97 8/31/96
- ------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
OPERATIONS
Net investment income $ 4,933,649 $ 9,837,055 $ 8,057,845 $ 16,155,006
Net realized gain from investment transactions
(notes 1 and 3) 76,430 121,102 47,782 272,395
Net change in unrealized appreciation or depreciation
of investments 2,455,039 (325,510) 3,335,941 (379,617)
------------- ------------- ------------- -------------
Net increase in net assets from operations 7,465,118 9,632,647 11,441,568 16,047,784
------------- ------------- ------------- -------------
DISTRIBUTIONS TO SHAREHOLDERS (note 1)
From undistributed net investment income:
Common shareholders (4,006,989) (8,046,049) (6,502,498) (13,286,809)
Preferred shareholders (880,968) (1,828,844) (1,423,944) (2,876,627)
From accumulated net realized gains from
investment transactions:
Common shareholders -- (111,518) -- --
Preferred shareholders -- (28,918) -- --
In excess of net realized gains:
Common shareholders -- (87,831) -- --
Preferred shareholders -- (22,760) -- --
------------- ------------- ------------- -------------
Decrease in net assets from distributions
to shareholders (4,887,957) (10,125,920) (7,926,442) (16,163,436)
------------- ------------- ------------- -------------
CAPITAL SHARE TRANSACTIONS (note 2)
Net proceeds from shares issued in acquisition
of NCM (note 1) -- -- -- --
Net proceeds from Common shares issued to
shareholders due to reinvestment of distributions 386,183 283,207 768,190 1,112,338
------------- ------------- ------------- -------------
Net increase in net assets from capital
share transactions 386,183 283,207 768,190 1,112,338
------------- ------------- ------------- -------------
Net increase (decrease) in net assets 2,963,344 (210,066) 4,283,316 996,686
Net assets at beginning of period 177,862,171 178,072,237 291,422,632 290,425,946
------------- ------------- ------------- -------------
Net assets at end of period $ 180,825,515 $ 177,862,171 $ 295,705,948 $ 291,422,632
============= ============= ============= =============
Balance of undistributed net investment income at
end of period $ 332,743 $ 287,051 $ 642,680 $ 511,277
============= ============= ============= =============
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
NVC NUC
Six months ended Year ended Six months ended Year ended
2/28/97 8/31/96 2/28/97 8/31/96
- -----------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
OPERATIONS
Net investment income $ 13,399,419 $ 26,586,839 $ 12,850,868 $ 25,627,699
Net realized gain from investment transactions
(notes 1 and 3) 396,638 2,421,884 486 40,032
Net change in unrealized appreciation or depreciation
of investments 6,394,836 (357,214) 9,006,802 4,272,873
------------- ------------- ------------- -------------
Net increase in net assets from operations 20,190,893 28,651,509 21,858,156 29,940,604
------------- ------------- ------------- -------------
DISTRIBUTIONS TO SHAREHOLDERS (note 1)
From undistributed net investment income:
Common shareholders (11,049,780) (21,986,737) (10,383,950) (20,493,631)
Preferred shareholders (2,153,165) (4,746,184) (2,322,026) (4,927,592)
From accumulated net realized gains from
investment transactions:
Common shareholders (1,252,536) (2,205,437) -- (216,757)
Preferred shareholders (266,364) (576,912) -- (62,307)
In excess of net realized gains:
Common shareholders -- -- -- (145,910)
Preferred shareholders -- -- -- (41,943)
------------- ------------- ------------- -------------
Decrease in net assets from distributions
to shareholders (14,721,845) (29,515,270) (12,705,976) (25,888,140)
------------- ------------- ------------- -------------
CAPITAL SHARE TRANSACTIONS (note 2)
Net proceeds from shares issued in acquisition
of NCM (note 1) -- -- -- --
Net proceeds from Common shares issued to
shareholders due to reinvestment of distributions 1,177,977 1,110,508 513,001 380,868
------------- ------------- ------------- -------------
Net increase in net assets from capital
share transactions 1,177,977 1,110,508 513,001 380,868
------------- ------------- ------------- -------------
Net increase (decrease) in net assets 6,647,025 246,747 9,665,181 4,433,332
Net assets at beginning of period 490,213,678 489,966,931 475,497,670 471,064,338
------------- ------------- ------------- -------------
Net assets at end of period $ 496,860,703 $ 490,213,678 $ 485,162,851 $ 475,497,670
============= ============= ============= =============
Balance of undistributed net investment income at
end of period $ 1,052,628 $ 856,154 $ 1,517,526 $ 1,372,634
============= ============= ============= =============
See accompanying notes to financial statements.
</TABLE>
<PAGE>
NOTES TO FINANCIAL
STATEMENTS
(Unaudited)
1. GENERAL INFORMATION AND SIGNIFICANT
ACCOUNTING POLICIES
At February 28, 1997, the California Funds (the
"Funds") covered in this report and their
corresponding New York Stock Exchange symbols are
Nuveen California Municipal Value Fund, Inc. (NCA),
Nuveen California Performance Plus Municipal Fund,
Inc. (NCP), Nuveen California Municipal Market
Opportunity Fund, Inc. (NCO), Nuveen California
Investment Quality Municipal Fund, Inc. (NQC), Nuveen
California Select Quality Municipal Fund, Inc. (NVC)
and Nuveen California Quality Income Municipal Fund,
Inc. (NUC).
NCA is not authorized by its Articles of Incorporation
to issue Preferred shares. Therefore, in the Notes to
Financial Statements, "N/A" represents not-applicable.
Each Fund invests primarily in a diversified portfolio
of municipal obligations issued by state and local
government authorities within the state of California.
The Funds are registered under the Investment Company
Act of 1940 as closed-end, diversified management
investment companies.
On January 8, 1996, NCA acquired all of the net assets
of Nuveen California Municipal Income Fund, Inc. (NCM)
pursuant to a plan of reorganization approved by the
shareholders of NCM on November 16, 1995. The
acquisition was accomplished by a tax-free exchange of
6,045,848 shares of NCA for the 5,209,911 shares of
NCM outstanding on January 8, 1996. NCM's net assets
at that date of $61,944,964, including $3,919,735 of
net unrealized appreciation, which were combined with
that of NCA. The combined net assets of NCA
immediately after the acquisition were $256,603,995.
The following is a summary of significant accounting
policies followed by the Funds in the preparation of
their financial statements in accordance with
generally accepted accounting principles.
Securities Valuation Portfolio securities for which market
quotations are readily available are valued at the
mean between the quoted bid and asked prices or the
yield equivalent. Portfolio securities for which
market quotations are not readily available are valued
at fair value by consistent application of methods
determined in good faith by the Board of Directors.
Temporary investments in securities that have variable
rate and demand features qualifying them as short-term
securities are traded and valued at amortized cost.
<PAGE>
Securities Transactions Securities transactions are recorded on a
trade-date basis. Realized gains and losses from such
transactions are determined on 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
fluctuation during this period. The Funds have
instructed the custodian to segregate assets in a
separate account with a current value at least equal
to the amount of their purchase commitments. At
February 28, 1997, NCA and NUC had purchase
commitments of $3,305,248 and $3,405,407,
respectively. There were no such purchase commitments
in any of the other Funds.
Interest Income Interest income is determined on the basis of
interest accrued, adjusted for amortization of
premiums and accretion of discounts on long-term debt
securities when required for federal income tax
purposes.
Income Taxes The Funds intend to comply with the requirements of
the Internal Revenue Code applicable to regulated
investment companies and to distribute to shareholders
all of their tax-exempt net investment income, in
addition to any significant amounts of net realized
capital gains and/or market discount realized from
investment transactions. The Funds currently consider
significant net realized capital gains and/or market
discount as amounts in excess of $.001 per Common
share for NCA and $.01 per Common share for NCP, NCO,
NQC, NVC and NUC. Furthermore, each Fund intends to
satisfy conditions which will enable interest from
municipal securities, which is exempt from regular
federal and California state personal income taxes,
to retain such tax-exempt status when distributed to
shareholders of the Funds. Net realized capital gain
and market discount distributions are subject to
federal taxation.
Dividends and Tax-exempt net investment income is declared as a
Distributions to dividend monthly and payment is made or reinvestment
Shareholders is credited to shareholder accounts after month-end.
Net realized capital gains and/or market discount
from investment transactions are distributed to
shareholders not less frequently than annually.
Furthermore, capital gains are distributed only to
the extent they exceed available capital loss
carryovers.
Distributions to shareholders of tax-exempt net
investment income, net realized capital gains and/or
market discount are recorded on the ex-dividend date.
The amount and timing of distributions are determined
in accordance with federal income tax regulations,
which may differ from generally accepted accounting
principles. Accordingly, temporary over-distributions
as a result of these differences may occur and will be
classified as either distributions in excess of net
investment income, distributions in excess of net
realized gains and/or distributions in excess of
ordinary taxable income from investment transactions,
where applicable.
<PAGE>
Preferred Shares The Funds below have issued and outstanding
$25,000 stated value Preferred shares. Each Fund's
Preferred shares are issued in one or more Series. The
dividend rate may change every seven days, as set by
the Auction Agent. The number of Preferred shares
outstanding, by Series and in total, at February 28,
1997, is as follows:
<TABLE>
<CAPTION>
NCP NCO NQC NVC
<S> <C> <C> <C> <C>
Number of shares:
Series M -- -- 3,600 --
Series T 1,800 -- -- 2,400
Series W -- 2,200 -- --
Series Th -- -- -- 3,600
Series F 1,800 -- -- --
----- ----- ----- -----
Total 3,600 2,200 3,600 6,000
====== ====== ====== ======
<CAPTION>
NUC
<S> <C>
Number of shares:
Series M --
Series T --
Series W 3,000
Series Th --
Series F 3,000
-----
Total 6,000
======
</TABLE>
Derivative Financial The Funds may invest in transactions in certain
Instruments derivative financial instruments including futures,
forward, swap, and option contracts, and other
financial instruments with similar characteristics.
Although the Funds are authorized to invest in such
financial instruments, and may do in the future,
they did not make any such investments during the
six months ended February 28, 1997.
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 increases and
decreases in net assets from operations during the
reporting period.
<PAGE>
2. FUND SHARES
Transactions in Common shares were as follows:
<TABLE>
<CAPTION>
NCA NCP
Six months ended Year ended Six months ended Year ended
2/28/97 8/31/96 2/28/97 8/31/96
<S> <C> <C> <C> <C>
Common shares:
Shares issued in acquisition of NCM (note 1) -- 6,045,848 -- --
Shares issued to shareholders due to reinvestment
of distributions 72,002 99,248 51,873 53,371
------ --------- ------ ------
Net increase 72,002 6,145,096 51,873 53,371
====== ========= ====== ======
<CAPTION>
NCO NQC
Six months ended Year ended Six months ended Year ended
2/28/97 8/31/96 2/28/97 8/31/96
<S> <C> <C> <C> <C>
Common shares:
Shares issued in acquisition of NCM (note 1) -- -- -- --
Shares issued to shareholders due to reinvestment
of distributions 23,926 18,092 48,365 70,332
------ ------ ------ ------
Net increase 23,926 18,092 48,365 70,332
====== ====== ====== ======
<CAPTION>
NVC NUC
Six months ended Year ended Six months ended Year ended
2/28/97 8/31/96 2/28/97 8/31/96
<S> <C> <C> <C> <C>
Common shares:
Shares issued in acquisition of NCM (note 1) -- -- -- --
Shares issued to shareholders due to reinvestment
of distributions 75,348 72,263 32,315 25,141
------ ------ ------ ------
Net increase 75,348 72,263 32,315 25,141
====== ====== ====== ======
</TABLE>
<PAGE>
3. SECURITIES TRANSACTIONS
Purchases and sales (including maturities) of
investments in municipal securities and temporary
municipal investments during the six months ended
February 28, 1997, were as follows:
<TABLE>
<CAPTION>
NCA NCP NCO NQC
<S> <C> <C> <C> <C>
PURCHASES
Investments in municipal securities $12,593,615 $8,042,700 $3,030,960 $6,122,915
Temporary municipal investments 10,305,000 5,750,000 6,000,000 7,700,000
SALES AND MATURITIES
Investments in municipal securities 12,151,830 6,721,685 2,658,147 5,274,340
Temporary municipal investments 9,570,000 5,750,000 5,900,000 7,525,000
=========== ========== ========== ==========
<CAPTION>
NVC NUC
<S> <C> <C>
PURCHASES
Investments in municipal securities $19,242,185 $27,951,185
Temporary municipal investments 12,825,000 9,060,000
SALES AND MATURITIES
Investments in municipal securities 21,416,143 24,538,962
Temporary municipal investments 10,700,000 8,360,000
=========== ===========
</TABLE>
At February 28, 1997, the identified cost of
investments owned for federal income tax purposes was
the same as the cost for financial reporting purposes
for each Fund.
<PAGE>
4. DISTRIBUTIONS TO COMMON SHAREHOLDERS
On March 3, 1997, the Funds declared Common share
dividend distributions from their tax-exempt net
investment income that were paid April 1, 1997, to
shareholders of record on March 15, 1997, as follows:
<TABLE>
<CAPTION>
NCA NCP NCO NQC
<S> <C> <C> <C> <C>
Dividend per share $.0480 $.0860 $.0845 $.0825
====== ====== ====== ======
<CAPTION>
NVC NUC
<S> <C> <C>
Dividend per share $.0820 $.0815
====== ======
</TABLE>
<PAGE>
5. UNREALIZED APPRECIATION (DEPRECIATION)
Gross unrealized appreciation and gross unrealized
depreciation of investments at February 28, 1997, were
as follows:
<TABLE>
<CAPTION>
NCA NCP NCO NQC
<S> <C> <C> <C> <C>
Gross unrealized:
Appreciation $15,469,861 $19,705,750 $15,452,121 $21,638,034
Depreciation (91,939) (14,025) (8,606) (8,763)
------------ ------------ ------------ ------------
Net unrealized appreciation $15,377,922 $19,691,725 $15,443,515 $21,629,271
=========== =========== =========== ===========
<CAPTION>
NVC NUC
<S> <C> <C>
Gross unrealized:
Appreciation $32,603,352 $36,614,632
Depreciation (65,820) (14,261)
------------ ------------
Net unrealized appreciation $32,537,532 $36,600,371
============ ===========
</TABLE>
<PAGE>
6. MANAGEMENT FEE AND OTHER TRANSACTIONS
WITH AFFILIATES
Under NCA's investment management agreement with
Nuveen Advisory Corp. (the "Adviser"), a wholly owned
subsidiary of The John Nuveen Company, the Fund pays
an annual management fee, payable monthly of .35 of 1%
of the average daily net asset value of the Fund, as
well as 4.125% of the gross interest income of the
Fund.
Under NCP's, NCO's, NQC's, NVC's and NUC's investment
management agreements with the Adviser, each Fund pays
to the Adviser an annual management fee, payable
monthly, at the rates set forth below, which are based
upon the average daily net asset value of each Fund:
<TABLE>
<CAPTION>
Average daily net asset value Management fee
<S> <C>
For the first $125 million .6500 of 1%
For the next $125 million .6375 of 1
For the next $250 million .6250 of 1
For the next $500 million .6125 of 1
For the next $1 billion .6000 of 1
For net assets over $2 billion .5875 of 1
</TABLE>
The fee compensates the Adviser for overall investment
advisory and administrative services and general
office facilities. The Funds pay no compensation
directly to those Directors who are affiliated with
the Adviser or to their officers, all of whom receive
remuneration for their services to the Funds from the
Adviser.
<PAGE>
7. COMPOSITION OF NET ASSETS At February 28, 1997, net
assets consisted of:
<TABLE>
<CAPTION>
NCA NCP NCO NQC
<S> <C> <C> <C> <C>
Preferred shares, $25,000 stated value per share, at
liquidation value $ N/A $ 90,000,000 $ 55,000,000 $ 90,000,000
Common shares, $.01 par value per share 251,890 125,204 79,131 131,563
Paid-in surplus 237,034,239 174,356,657 110,004,324 183,251,705
Balance of undistributed net investment income 107,745 852,660 332,743 642,680
Accumulated net realized gain (loss) from investment
transactions 207,702 18,571 (34,198) 50,729
Net unrealized appreciation of investments 15,377,922 19,691,725 15,443,515 21,629,271
------------- ------------- ------------- -------------
Net assets $ 252,979,498 $ 285,044,817 $ 180,825,515 $ 295,705,948
============= ============= ============= =============
Authorized shares:
Common 250 million 200 million 200 million 200 million
Preferred N/A 1 million 1 million 1 million
============= ============= ============= =============
<CAPTION>
NVC NUC
<S> <C> <C>
Preferred shares, $25,000 stated value per share, at
liquidation value $ 150,000,000 $ 150,000,000
Common shares, $.01 par value per share 224,698 213,876
Paid-in surplus 312,650,514 297,018,445
Balance of undistributed net investment income 1,052,628 1,517,526
Accumulated net realized gain (loss) from investment
transactions 395,331 (187,367)
Net unrealized appreciation of investments 32,537,532 36,600,371
------------- -------------
Net assets $ 496,860,703 $ 485,162,851
============= =============
Authorized shares:
Common 200 million 200 million
Preferred 1 million 1 million
============= =============
</TABLE>
<PAGE>
8. INVESTMENT COMPOSITION
Each Fund invests in municipal securities which
include general obligation, escrowed and revenue
bonds. At February 28, 1997, the revenue sources by
municipal purpose for these investments, expressed as
a percent of total investments, were as follows:
<TABLE>
<CAPTION>
NCA NCP NCO NQC
<S> <C> <C> <C> <C>
Revenue Bonds:
Health Care Facilities 8% 17% 17% 12%
Lease Rental Facilities 9 12 7 9
Housing Facilities 15 7 1 3
Pollution Control Facilities 4 5 6 9
Water / Sewer Facilities 8 5 7 2
Transportation 6 8 6 5
Electric Utilities 2 2 -- 5
Educational Facilities -- 1 4 1
Other 17 9 19 9
General Obligation Bonds 3 4 1 6
Escrowed Bonds 28 30 32 39
----- ----- ----- -----
100% 100% 100% 100%
===== ===== ===== =====
<CAPTION>
NVC NUC
<S> <C> <C>
Revenue Bonds:
Health Care Facilities 15% 11%
Lease Rental Facilities 14 16
Housing Facilities 11 10
Pollution Control Facilities 8 4
Water / Sewer Facilities 4 5
Transportation 4 3
Electric Utilities 7 6
Educational Facilities 2 2
Other 13 14
General Obligation Bonds 3 5
Escrowed Bonds 19 24
----- -----
100% 100%
===== =====
</TABLE>
<PAGE>
Certain long-term and intermediate-term investments
owned by the Funds are either covered by insurance
issued by several private insurers or are backed by an
escrow or trust containing U.S. Government or U.S.
Government agency securities, both of which ensure the
timely payment of principal and interest in the event
of default (60% for NCA, 56% for NCP, 60% for NCO, 56%
for NQC, 39% for NVC and 41% for NUC). Such insurance
or escrow, however, does not guarantee the market
value of the municipal securities or the value of any
of the Funds' shares.
All of the temporary investments in short-term
municipal securities have credit enhancements (letters
of credit, guarantees or insurance) issued by third
party domestic or foreign banks or other institutions.
For additional information regarding each investment
security, refer to the Portfolio of Investments of
each Fund.
<PAGE>
<TABLE>
<CAPTION>
FINANCIAL HIGHLIGHTS
(Unaudited)
SELECTED DATA FOR A COMMON SHARE OUTSTANDING THROUGHOUT EACH PERIOD IS AS FOLLOWS:
Dividends from tax-exempt
Operating performance net investment income
Net
realized &
Net asset Net unrealized
value invest- gain (loss) To To
beginning ment from invest- Common Preferred
of period income ments shareholders shareholders+
NCA
<S> <C> <C> <C> <C> <C>
Six months ended
2/28/97
Year ended 8/31, $10.030 $ .297 $ .100 $ (.298) $ N/A
1996 10.200 .609 (.095) (.621) N/A
1995 10.200 .637 .037 (.666) N/A
1994 10.740 .653 (.514) (.669) N/A
1993 10.480 .667 .265 (.670) N/A
1 mo. ended
8/31/92 10.610 .056 (.130) (.056) N/A
Year ended 7/31,
1992 10.250 .668 .379 (.664) N/A
1991 10.120 .667 .123 (.660) N/A
1990 10.190 .664 (.037) (.666) N/A
1989 9.670 .664 .602 (.670) N/A
10/7/87 to
7/31/88 9.350 .482 .259 (.421) N/A
<CAPTION>
NCP
<S> <C> <C> <C> <C> <C>
Six months ended
2/28/97 15.410 .638 .180 (.516) (.108)
Year ended 8/31,
1996 15.450 1.284 (.046) (1.032) (.246)
1995 15.240 1.284 .272 (1.032) (.290)
1994 16.380 1.301 (1.131) (1.064) (.246)
1993 15.580 1.330 .846 (1.150) (.226)
10 mos. ended
8/31/92 14.880 1.129 .635 (.867) (.197)
Year ended
10/31/91 13.820 1.372 1.044 (1.020) (.336)
11/15/89 to
10/31/90 14.050 1.095 (.091) (.765) (.269)
<PAGE>
<CAPTION>
Distributions from capital gains
Per
Organization Common
and offering share
costs and market
To To Preferred share Net asset value
Common Preferred underwriting value end end of
shareholders shareholders+ discounts of period period
NCA
<S> <C> <C> <C> <C> <C>
Six months ended
2/28/97
Year ended 8/31, $(.089) $ N/A $ -- $10.040 $ 9.625
1996 (.063) N/A -- 10.030 10.125
1995 (.008) N/A -- 10.200 9.625
1994 (.010) N/A -- 10.200 11.000
1993 (.002) N/A -- 10.740 11.750
1 mo. ended
8/31/92 -- N/A -- 10.480 11.000
Year ended 7/31,
1992 (.023) N/A -- 10.610 11.250
1991 -- N/A -- 10.250 10.625
1990 (.031) N/A -- 10.120 10.375
1989 (.076) N/A -- 10.190 10.375
10/7/87 to
7/31/88 -- N/A -- 9.670 10.000
<CAPTION>
NCP
<S> <C> <C> <C> <C> <C>
Six months ended
2/28/97 (.019) (.005) -- 15.580 16.375
Year ended 8/31,
1996 -- -- -- 15.410 15.750
1995 (.019) (.005) -- 15.450 14.750
1994 -- -- -- 15.240 15.000
1993 -- -- -- 16.380 17.500
10 mos. ended
8/31/92 -- -- -- 15.580 15.875
Year ended
10/31/91 -- -- -- 14.880 15.750
11/15/89 to
10/31/90 -- -- (.200) 13.820 14.375
<PAGE>
<CAPTION>
Ratios/Supplemental data
Total
invest- Ratio of
ment net
return Total Net assets Ratio of investment
on return on end of expenses income Portfolio
market net asset period (in to average to average turnover
value++ value++ thousands) net assets** net assets** rate
NCA
<S> <C> <C> <C> <C> <C> <C>
Six months ended
2/28/97
Year ended 8/31, (1.31)% 4.00% $252,979 .74%* 5.94%* 5%
1996 12.52 5.16 251,948 .77 6.00 23
1995 (6.59) 6.92 193,426 .75 6.32 9
1994 (.50) 1.32 192,237 .76 6.24 9
1993 13.37 9.21 200,828 .82 6.31 4
1 mo. ended
8/31/92 (1.74) (.71) 194,430 .79* 6.25* --
Year ended 7/31,
1992 12.83 10.61 196,669 .83 6.46 6
1991 9.22 8.13 188,370 .88 6.62 5
1990 7.10 6.45 184,888 .91 6.62 2
1989 11.82 13.70 185,016 .94 6.75 27
10/7/87 to
7/31/88 4.28 8.01 174,645 .94* 6.29* 32
<CAPTION>
NCP
<S> <C> <C> <C> <C> <C> <C>
Six months ended
2/28/97 7.44 4.62 285,045 .81* 5.65* 2
Year ended 8/31,
1996 14.04 6.53 282,104 .80 5.62 14
1995 5.75 8.75 281,766 .83 5.77 24
1994 (8.34) (.48) 279,175 .83 5.63 19
1993 18.34 13.03 291,618 .81 5.73 10
10 mos. ended
8/31/92 6.55 10.86 279,810 .79* 5.99* 6
Year ended
10/31/91 17.20 15.58 269,890 .78 6.28 6
11/15/89 to
10/31/90 1.00 3.92 255,862 .79* 6.18* 26
See notes on page 78.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
Dividends from tax-exempt
Operating performance net investment income
Net
realized &
Net asset Net unrealized
value invest- gain (loss) To To
beginning ment from invest- Common Preferred
of period income ments shareholders shareholders+
NCO
<S> <C> <C> <C> <C> <C>
Six months ended
2/28/97 $15.570 $ .624 $ .324 $ (.507) $(.111)
Year ended 8/31,
1996 15.640 1.249 (.032) (1.022) (.232)
1995 15.320 1.265 .364 (1.047) (.262)
1994 16.590 1.267 (1.264) (1.067) (.206)
1993 15.580 1.309 1.055 (1.163) (.191)
10 mos. ended
8/31/92 14.950 1.109 .575 (.865) (.189)
Year ended
10/31/91 13.760 1.350 1.188 (1.020) (.328)
5/17/90 to
10/31/90 14.050 .442 (.132) (.255) (.109)
<CAPTION>
NQC
<S> <C> <C> <C> <C> <C>
Six months ended
2/28/97 15.370 .613 .260 (.495) (.108)
Year ended 8/31,
1996 15.370 1.236 .001 (1.017) (.220)
1995 15.200 1.250 .211 (1.036) (.255)
1994 16.440 1.257 (1.189) (1.119) (.167)
1993 15.470 1.296 .990 (1.151) (.165)
10 mos. ended
8/31/92 14.700 1.097 .721 (.852) (.196)
11/20/90 to
10/31/91 14.050 1.022 .766 (.756) (.188)
<PAGE>
<CAPTION>
Distributions from capital gains
Per
Organization Common
and offering share
costs and market
To To Preferred share Net asset value
Common Preferred underwriting value end end of
shareholders shareholders+ discounts of period period
NCO
<S> <C> <C> <C> <C> <C>
Six months ended
2/28/97 $ -- $ -- $ -- $15.900 $16.375
Year ended 8/31,
1996 (.026)+++ (.007)+++ -- 15.570 15.875
1995 -- -- -- 15.640 15.000
1994 -- -- -- 15.320 15.375
1993 -- -- -- 16.590 17.875
10 mos. ended
8/31/92 -- -- -- 15.580 16.125
Year ended
10/31/91 -- -- -- 14.950 15.625
5/17/90 to
10/31/90 -- -- (.236) 13.760 14.500
<CAPTION>
NQC
<S> <C> <C> <C> <C> <C>
Six months ended
2/28/97 -- -- -- 15.640 16.250
Year ended 8/31,
1996 -- -- -- 15.370 15.625
1995 -- -- -- 15.370 15.000
1994 (.019) (.003) -- 15.200 15.500
1993 -- -- -- 16.440 17.000
10 mos. ended
8/31/92 -- -- -- 15.470 16.000
11/20/90 to
10/31/91 -- -- (.194) 14.700 15.625
<PAGE>
<CAPTION>
Ratios/Supplemental data
Total
invest- Ratio of
ment net
return Total Net assets Ratio of investment
on return on end of expenses income Portfolio
market net asset period (in to average to average turnover
value++ value++ thousands) net assets** net assets** rate
NCO
<S> <C> <C> <C> <C> <C> <C>
Six months ended
2/28/97 6.41% 5.41% $180,826 .82%* 5.52%* 1%
Year ended 8/31,
1996 13.10 6.31 177,862 .82 5.47 8
1995 4.72 9.43 178,072 .83 5.73 36
1994 (8.20) (1.27) 175,325 .87 5.51 24
1993 19.00 14.54 184,305 .82 5.69 8
10 mos. ended
8/31/92 9.10 10.32 175,292 .79* 5.95* 2
Year ended
10/31/91 15.27 16.62 169,554 .80 6.25 --
5/17/90 to
10/31/90 (1.65) (.23) 159,754 .83* 5.63* 14
<CAPTION>
NQC
<S> <C> <C> <C> <C> <C> <C>
Six months ended
2/28/97 7.27 5.02 295,706 .80* 5.51* 2
Year ended 8/31,
1996 11.08 6.72 291,423 .81 5.51 10
1995 3.77 8.38 290,426 .81 5.72 14
1994 (2.10) (.64) 287,504 .82 5.53 18
1993 14.00 14.29 301,948 .78 5.69 13
10 mos. ended
8/31/92 8.13 11.40 287,619 .76* 5.96* --
11/20/90 to
10/31/91 9.49 10.33 276,571 .78* 5.85* 18
See notes on page 78.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
Dividends from tax-exempt
Operating performance net investment income
Net
realized &
Net asset Net unrealized
value invest- gain (loss) To To
beginning ment from invest- Common Preferred
of period income ments shareholders shareholders+
NVC
<S> <C> <C> <C> <C> <C>
Six months ended
2/28/97 $15.190 $ .597 $ .309 $ (.492) $(.096)
Year ended 8/31,
1996 15.230 1.189 .092 (.984) (.212)
1995 14.960 1.210 .338 (.992) (.245)
1994 16.440 1.215 (1.430) (1.049) (.184)
1993 14.930 1.238 1.567 (1.064) (.187)
10 mos. ended
8/31/92 14.410 1.035 .487 (.815) (.187)
5/22/91 to
10/31/91 14.050 .341 .452 (.243) (.029)
<CAPTION>
NUC
<S> <C> <C> <C> <C> <C>
Six months ended
2/28/97 15.240 .602 .423 (.486) (.109)
Year ended 8/31,
1996 15.050 1.201 .203 (.960) (.231)
1995 14.680 1.209 .389 (.960) (.268)
1994 15.920 1.195 (1.194) (.999) (.213)
1993 14.500 1.200 1.429 (1.000) (.180)
11/20/91 to
8/31/92 14.050 .655 .548 (.525) (.061)
<PAGE>
<CAPTION>
Distributions from capital gains
Per
Organization Common
and offering share
costs and market
To To Preferred share Net asset value
Common Preferred underwriting value end end of
shareholders shareholders+ discounts of period period
NVC
<S> <C> <C> <C> <C> <C>
Six months ended
2/28/97 $(.056) $(.012) $ -- $15.440 $15.625
Year ended 8/31,
1996 (.099) (.026) -- 15.190 15.500
1995 (.035) (.006) -- 15.230 14.375
1994 (.028) (.004) -- 14.960 14.438
1993 (.035) (.009) -- 16.440 16.750
10 mos. ended
8/31/92 -- -- -- 14.930 15.125
5/22/91 to
10/31/91 -- -- (.161) 14.410 15.000
<CAPTION>
NUC
<S> <C> <C> <C> <C> <C>
Six months ended
2/28/97 -- -- -- 15.670 15.750
Year ended 8/31,
1996 (.018) (.005) -- 15.240 15.000
1995 -- -- -- 15.050 14.250
1994 (.024) (.005) -- 14.680 14.000
1993 (.025) (.004) -- 15.920 16.000
11/20/91 to
8/31/92 -- -- (.167) 14.500 14.500
<PAGE>
<CAPTION>
Ratios/Supplemental data
Total
invest- Ratio of
ment net
return Total Net assets Ratio of investment
on return on end of expenses income Portfolio
market net asset period (in to average to average turnover
value++ value++ thousands) net assets** net assets** rate
NVC
<S> <C> <C> <C> <C> <C> <C>
Six months ended
2/28/97 4.38% 5.29% $496,861 .78%* 5.45%* 4%
Year ended 8/31,
1996 15.73 6.95 490,214 .79 5.38 13
1995 7.14 9.22 489,967 .80 5.66 12
1994 (7.60) (2.52) 483,986 .81 5.43 15
1993 18.89 18.24 515,938 .84 5.57 9
10 mos. ended
8/31/92 6.53 9.54 480,490 .79* 5.78* 14
5/22/91 to
10/31/91 1.62 4.31 467,392 .75* 5.13* 3
<CAPTION>
NUC
<S> <C> <C> <C> <C> <C> <C>
Six months ended
2/28/97 8.29 6.06 485,163 .79* 5.37* 5
Year ended 8/31,
1996 12.32 7.89 475,498 .79 5.37 6
1995 9.24 9.57 471,064 .80 5.63 29
1994 (6.27) (1.41) 463,200 .80 5.35 12
1993 18.22 17.56 489,215 .82 5.44 13
11/20/91 to
8/31/92 .29 7.06 457,950 .76* 5.05* 16
<FN>
N/A - Fund is not authorized to issue Preferred shares.
* Annualized.
** Ratios do not reflect the effect of dividend payments to preferred shareholders.
+ The amounts shown are based on Common share equivalents.
++ Total Investment Return on Market Value is the combination of reinvested
dividend income, reinvested capital gains distributions, if any, and changes in
stock price per share. Total Return on Net Asset Value is the combination of
reinvested dividend income, reinvested capital gains distributions, if any, and
changes in net asset value per share.
+++ The amounts shown include distributions in excess of capital gains
of $.011 for Common shareholders and $.003 for Preferred shareholders of
NCO and $.007 for Common shareholders and $.002 for Preferred shareholders
of NUC.
</FN>
</TABLE>
<PAGE>
Photographic image of John Nuveen Sr., founder of Nuveen.
Serving Investors for Generations
Since our founding in 1898, John Nuveen & Co. Incorporated has been
synonymous with investments that withstand the test of time. Today, we
offer a broad range of investments designed for matured investors whose
portfolios are the principal source of their on going financial security.
More than 1.3 million investors have entrusted Nuveen to help them maintain
the lifestyle they currently enjoy.
A value investing approach--purchasing securities of strong companies and
communities that represent good long-term value--is the cornerstone of Nuveen's
investment philosophy. It is a careful, long-term strategy that offers the
potential for attractive returns with moderated risk. Successful value investing
begins with in-depth research and a discerning eye for marketplace opportunity.
Nuveen's team of investment professionals is backed by the discipline, resources
and expertise of almost a century of investment experience, including one of the
most recognized municipal research departments in the industry.
To meet the unique circumstances and financial planning needs of mature
investors, Nuveen offers a wide array of taxable and tax-free investment
products--including equity and fixed-income mutual funds, unit trusts,
exchange-traded funds, individual managed account services, and cash management
products.
John Nuveen & Co. Incorporated
333 West Wacker Drive
Chicago, Illinois 60606-1286
FSA-1-2.97
