<PAGE>
- --------------------------------------------------------------------------------
THE BLACKROCK NEW YORK INSURED MUNICIPAL 2008 TERM TRUST INC.
SEMI-ANNUAL REPORT TO SHAREHOLDERS
REPORT OF INVESTMENT ADVISER
- --------------------------------------------------------------------------------
July 31, 1997
Dear Trust Shareholder,
After experiencing higher interest rates in the face of a resilient stock
market and stronger economic growth for the first few months of 1997, bond
investors were comforted by more moderate economic data released during the
second quarter which allowed the bond market to recapture some of its losses.
Our outlook for the bond market is cautiously optimistic. Over the short
term, we believe that the recent rally may continue, since inflation news has
been positive and U.S. securities appear cheap relative to their global
counterparts. Additionally, Fed Chairman Greenspan appears to be comfortable
allowing the economy to expand in the absence of rising inflationary pressures.
Thus, we do not foresee another tightening in the immediate future in the
absence of a visible inflation shock. However, recent wage increases, the
buoyant stock market and record levels of consumer confidence could lead to
stronger consumer spending and overall economic growth in the third quarter.
Therefore, an uninterrupted decline in yields is by no means a certainty.
This report provides the Trust's portfolio managers an opportunity to
provide you with detailed market commentary and to review the major investment
themes of the portfolio over the past six months. We hope that you find this
report informative and look forward to serving your financial needs in the
future.
Sincerely,
/s/ Laurence D. Fink /s/ Ralph L. Schlosstein
Laurence D. Fink Ralph L. Schlosstein
Chairman President
1
<PAGE>
July 31, 1997
Dear Shareholder:
We are pleased to present the semi-annual report for The BlackRock New York
Insured Municipal 2008 Term Trust Inc. ("the Trust") for the six months ended
June 30, 1997. We would like to take this opportunity to review the Trust's
stock price and net asset value (NAV) performance, summarize developments in the
fixed income markets and discuss recent portfolio management activity.
The Trust is a non-diversified closed-end bond fund whose investment
objective is to manage a portfolio of municipal debt securities that will return
$15 per share (an amount equal to the Trust's initial public offering price) to
investors on or about December 31, 2008, while providing high current income
exempt from regular federal and New York State and City income tax. The Trust
seeks to achieve this objective by investing in high credit quality ("AAA" or
insured to "AAA") New York tax-exempt general obligation and revenue bonds
issued by city, county and state municipalities, and certain territories and
possessions of the United States.
The table below summarizes the changes in the Trust's stock price and net
asset value over the period:
<TABLE>
<CAPTION>
6/30/97 12/31/96 CHANGE HIGH LOW
<S> <C> <C> <C> <C> <C>
STOCK PRICE $15.25 $15.125 0.83% $ 15.25 $14.75
NET ASSET VALUE (NAV) $15.91 $15.76 0.95% $ 16.03 $15.39
</TABLE>
THE FIXED INCOME MARKETS
The strong economic growth witnessed during the fourth quarter of 1996
spilled over into the first quarter of 1997. Although inflationary measures such
as commodity, producer and consumer prices remained relatively stable, labor
markets continued to strengthen. In an effort to subdue this growth, the Federal
Reserve raised the Federal funds rate by 25 basis points at their March 25, 1997
policy meeting as a pre-emptive strike against inflation.
After expanding at a blistering pace of 5.9% during the first quarter, the
U.S. economy's growth rate slowed in the second quarter of 1997. Signs of an
economic slowdown were prevalent in a broad range of industrial and consumer
indicators, including lower factory orders, decreased consumer spending, and
higher inventories. In addition, inflationary forces remained benign according
to year-over-year comparisons for the consumer and producer indices. These
indicators allowed the Federal Reserve to maintain interest rate levels at their
May 20, 1997 and July 2, 1997 policy meetings and wait for more definite signs
of inflation before increasing interest rates.
The New York State economy continues to benefit from record earnings on Wall
Street. Additionally, New York City expansions in tourism and media have boosted
the city's employment and revenues. Still, preliminary 1997 estimates place New
York City's unemployment rate at nearly 10% versus the state's 6.3% rate; both
figures exceed the United States' estimated rate of 5.2%. New York State
employment growth has also lagged the nation's. For the period between February
1996 and February 1997, state-wide employment growth was 0.9% versus 2.4% for
the U.S.
Short-to-intermediate maturity municipals underperformed Treasury
equivalents during the first quarter, despite the historically favorable
interest rate environment. Issuance of municipal debt declined almost 10% during
the first quarter 1997 from first quarter 1996 due to the higher interest rate
environment. Municipal bonds performed reasonably well during the second
quarter, despite a strong rally in the Treasury market. With nearly $60 billion
worth of municipal issues maturing in June and July, strong investor demand came
from both individuals and institutions seeking to reinvest their principal back
into the market. New municipal deals were heavily oversubscribed during the
second quarter, with a manageable supply of new issues coming to the market. For
the six month period ended June 30, 1997, municipal bonds
2
<PAGE>
as measured by the LEHMAN BROTHERS MUNICIPAL INDEX slightly outperformed their
taxable counterparts (LEHMAN BROTHERS AGGREGATE INDEX) with a total return of
3.20% vs. 3.11%.
Looking forward, a number of distractions may impede further yield spread
tightening in the municipal market, including potential tax reforms and the
strong rallies in the Treasury and stock markets. BlackRock believes that
municipals are currently trading at historically rich ratios versus Treasuries.
We remain focused on shorter maturity securities until the market provides
further guidance on the direction of interest rates, or the supply/demand
characteristics of the market are altered.
THE TRUST'S PORTFOLIO AND INVESTMENT STRATEGY
The Trust's portfolio is actively managed to diversify exposure to various
sectors, issuers, revenue sources and security types. BlackRock's investment
strategy emphasizes a relative value approach, which allows the Trust to
capitalize upon changing market conditions by rotating municipal sectors,
credits and coupons. Over the past six months, there has been relatively little
trading activity in the Trust, due to price appreciation of a majority of
securities in the portfolio above the prices at which they were bought. A bond
sold at a gain would result in the Trust realizing a capital gain, which may
require a taxable distribution to shareholders. Since one of the Trust's primary
investment objectives is to pay out tax-exempt income, we believe that waiting
to restructure the portfolio in a higher interest rate environment is the most
prudent strategy at this time.
The following chart compares the Trust's current and December 31, 1996 asset
composition:
THE BLACKROCK NEW YORK INSURED MUNICIPAL 2008 TERM TRUST INC.
<TABLE>
<CAPTION>
SECTOR JUNE 30, 1997 DECEMBER 31, 1996
<S> <C> <C>
Transportation 23% 24%
County, City & State 21% 21%
Water & Sewer 12% 12%
Education 11% 11%
Hospital 10% 10%
Tax Revenue 6% 6%
Housing 3% 5%
Lease Revenue 6% 4%
Other 8% 7%
</TABLE>
Additionally, the Trust employs leverage to enhance its income by paying the
Trust's preferred shareholders short term municipal rates and investing the
proceeds in longer maturity issues which have higher yields. The Trust's ability
to pay high monthly income may be affected by the profitability of its leverage.
The Federal Reserve's 25 basis point (0.25%) increase in the Fed funds target
rate on March 25, 1997 resulted in a modest increase in the Trust's borrowing
costs; however, we do not believe that one increase in short term interest rates
will negatively impact the Trust's long-term income earning ability.
3
<PAGE>
We look forward to managing the Trust to benefit from the opportunities
available in the fixed income markets and to meet its investment objectives. We
thank you for your investment in the BlackRock New York Insured Municipal 2008
Term Trust Inc. Please feel free to contact our marketing center at (800) 227-
7BFM (7236) if you have specific questions which were not addressed in this
report.
Sincerely,
/s/ Robert S. Kapito /s/ Kevin Klingert
Robert S. Kapito Kevin Klingert
Vice Chairman and Portfolio Manager Managing Director and Portfolio
BlackRock Financial Management, Inc. Manager
BlackRock Financial Management, Inc.
<TABLE>
<CAPTION>
THE BLACKROCK NEW YORK INSURED MUNICIPAL 2008 TERM TRUST INC.
<S> <C>
Symbol on New York Stock Exchange: BLN
Initial Offering Date: September 18, 1992
Closing Stock Price as of 6/30/97: $15.25
Net Asset Value as of 6/30/97: $15.91
Yield on Closing Stock Price as of 6/30/97 (15.25)(1): 5.61%
Current Monthly Distribution per Common Share(2): $0.07125
Current Annualized Distribution per Common Share(2): $0.8550
</TABLE>
- ---------------
(1) Yield on Closing Stock Price is calculated by dividing the current
annualized distribution per share by the closing stock price per share.
(2) Distribution is not constant and is subject to change.
4
<PAGE>
- --------------------------------------------------------------------------------
THE BLACKROCK NEW YORK INSURED
MUNICIPAL 2008 TERM TRUST INC.
PORTFOLIO OF INVESTMENTS
JUNE 30, 1997
(UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL OPTION
AMOUNT CALL VALUE
RATING* (000) DESCRIPTION PROVISIONS++ (NOTE 1)
- ---------------------------------------------------------------------------------------------------------------------------
<C> <C> <S> <C> <C>
LONG-TERM INVESTMENTS -- 145.3%
NEW YORK -- 142.3%
AAA $ 1,075 Babylon, G.O., Ser. A, 5.875%, 1/15/09, AMBAC............... 01/04 at 102 $ 1,130,696
AAA 785 Erie Cnty., Ser. B, 5.70%, 5/15/08, MBIA.................... 05/04 at 102 822,931
Met. Trans. Auth. Rev., MBIA,
AAA 26,075 Ser. K, 6.00%, 7/01/08.................................... No Opt. Call 28,388,374
AAA 2,500 Commuter Facs., Ser. A, 6.10%, 7/01/08.................... No Opt. Call 2,745,075
Mt. Sinai Union Free Sch. Dist. Rev., AMBAC,
AAA 935 6.00%, 2/15/08............................................ No Opt. Call 1,017,308
AAA 930 6.10%, 2/15/09............................................ No Opt. Call 1,017,234
AAA 1,075 6.10%, 2/15/10............................................ No Opt. Call 1,171,653
AAA 10,500 Mun. Asst. Corp., City of New York, Ser. A, 6.00%, 7/01/08,
FGIC...................................................... 07/01 at 100 10,952,970
Nassau Cnty. G.O., Ser. N, AMBAC,
AAA 1,020 6.125%, 10/15/07.......................................... 10/02 at 102.5 1,101,886
AAA 1,040 6.125%, 10/15/08.......................................... 10/02 at 103 1,124,999
New York City, G.O.,
AAA 3,000 Ser. D, 5.75%, 8/15/07, MBIA.............................. 08/03 at 101.5 3,140,580
AAA 5,500 Ser. C, 6.00%, 8/01/09, AMBAC............................. 08/02 at 101.5 5,770,655
AAA 6,895 Ser. E, 6.20%, 8/01/08, MBIA.............................. No Opt. Call 7,540,234
AAA 3,455 Ser. C-1, 6.25%, 8/01/02+, FSA............................ No Opt. Call 3,766,261
AAA 10,000 Ser. B, 6.25%, 10/01/08, FSA.............................. 10/02 at 101.5 10,735,000
AAA 760 Ser. C-1, 6.25%, 8/01/10, FSA............................. 08/02 at 101.5 805,805
AAA 4,950 Ser. C-1, 6.375%, 8/01/02+, MBIA.......................... No Opt. Call 5,423,765
AAA 50 Ser. C-1, 6.375%, 8/01/08, MBIA........................... 08/02 at 101.5 53,871
New York City Hlth. & Hosp. Corp. Rev.,
AAA 6,000 5.60%, 2/15/08, CONNIE LEE................................ 02/03 at 102 6,217,800
AAA 2,750 Ser. A, 6.00%, 2/15/07, CAPMAC............................ 02/03 at 102 2,922,370
New York City Mun. Wtr. Fin. Auth. Rev., Wtr. & Swr. Sys.,
Ser. A,
AAA 11,500 Zero Coupon, 6/15/09, MBIA................................ No Opt. Call 6,190,795
AAA 2,000 5.50%, 6/15/11, AMBAC..................................... 06/02 at 101.5 2,034,380
AAA 1,710 6.00%, 6/15/08, FGIC...................................... 06/02 at 102 1,868,773
AAA 11,560 6.15%, 6/15/07, FGIC...................................... 06/02 at 101.5 12,320,417
New York St., G.O., AMBAC,
AAA 1,000 5.50%, 6/15/09............................................ 06/03 at 102 1,020,660
AAA 4,030 6.75%, 8/01/07............................................ 08/01 at 102 4,408,941
New York St. Dorm. Auth. Rev.,
AAA 1,965 City Univ., 6.125%, 7/01/08, AMBAC........................ 07/04 at 102 2,115,853
AAA 1,185 City Univ., 6.125%, 7/01/09, AMBAC........................ 07/04 at 102 1,267,618
AAA 5,375 New York Univ., 6.25%, 7/01/09, FGIC...................... 07/01 at 102 5,687,717
AAA 1,600 St. Univ. Ed. Facs., 5.50%, 5/15/07, FGIC................. No Opt. Call 1,668,464
AAA 2,500 St. Univ. Ed. Facs., Ser. A, 5.50%, 5/15/08, AMBAC........ No Opt. Call 2,604,775
AAA 6,000 St. Univ. Ed. Facs., Ser. A, 5.50%, 5/15/08, CONNIE LEE... No Opt. Call 6,185,340
AAA 5,000 St. Univ. Ed. Facs., Ser. A, 5.50%, 5/15/08, FGIC......... No Opt. Call 5,209,550
AAA 5,000 St. Univ. Ed. Facs., Ser. A, 5.50%, 5/15/09, AMBAC........ No Opt. Call 5,201,500
AAA 1,800 Union Coll., 5.75%, 7/01/10, FGIC......................... 07/02 at 102 1,851,984
AAA 500 W K Nursing Home, 5.65%, 8/01/09, FHA..................... 08/06 at 102 516,410
AAA 5,000 New York St. Environ. Facs. Corp., Poll. Ctrl. Rev., Ser. D,
6.60%, 5/15/08............................................ 11/04 at 102 5,587,000
New York St. Hsg. Fin. Agcy. Rev.,
AAA 5,000 Hsg. Proj. Mtge., Ser A., 5.80%,11/01/09, FSA............. 05/06 at 102 5,149,400
AAA 4,565 Multifamily Mtge. Hsg, Ser C., 6.30%,8/15/08, FHA......... 08/02 at 102 4,848,623
AAA 2,000 Hsg. Proj. Mtge., Ser A., 5.80%, 5/01/09, FSA............. 05/06 at 102 2,059,760
</TABLE>
5
<PAGE>
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL OPTION
AMOUNT CALL VALUE
RATING* (000) DESCRIPTION PROVISIONS++ (NOTE 1)
- ---------------------------------------------------------------------------------------------------------------------------
<C> <C> <S> <C> <C>
New York St. Med. Care Facs. Fin. Agcy. Rev.,
AAA $ 3,000 Mental Hlth. Facs., 5.25%, 8/15/07, FGIC.................. 02/04 at 102 $ 3,062,790
AAA 6,190 Mental Hlth. Svcs. Impvt., Ser. D, 6.00%, 8/15/08,
AMBAC................................................... 08/02 at 102 6,603,678
AAA 5,000 New York Hosp., Ser. A, 6.50%, 8/15/08, AMBAC............. 02/06 at 101 5,522,200
AAA 250 New York St. Pwr. Auth. Rev., Series CC, 5.125%, 1/01/11,
MBIA...................................................... No Opt. Call 249,563
New York St. Thruway Auth. Rev.,
AAA 2,000 Ser. A, 5.875%, 1/01/07, FGIC............................. 01/02 at 102 2,107,120
AAA 8,060 Ser. A, 5.875%, 1/01/08, FGIC............................. 01/02 at 102 8,359,993
AAA 5,000 Hwy. & Bridge Trust Fund, Ser. A, 5.625%, 4/01/08,
AMBAC................................................... 04/04 at 102 5,201,700
AAA 1,000 Hwy. & Bridge Trust Fund, Ser. B, 6.00%, 4/01/09, FGIC.... 04/04 at 102 1,059,340
AAA 6,940 Service Contract, 5.75%, 4/01/09, MBIA.................... 04/04 at 102 7,230,786
New York St. Urban Dev. Corp. Rev., Correctional Facs.,
AAA 1,750 5.625%, 1/01/07, AMBAC.................................... 01/03 at 102 1,828,820
AAA 1,460 5.625%, 1/01/07, FSA...................................... 01/03 at 102 1,521,101
AAA 2,000 Ser. A, 5.50%, 1/01/09, AMBAC............................. No Opt. Call 2,078,780
AAA 2,055 Port Auth. of New York & New Jersey, Seventy-Second Ser.,
7.40%, 10/01/02+, AMBAC................................... No Opt. Call 2,345,680
Suffolk Cnty, G.O., FGIC,
AAA 620 Ser. B, 6.00%, 5/01/07.................................... 05/02 at 102 661,311
AAA 465 Ser. C, 6.00%, 6/15/07.................................... 06/02 at 102 500,503
AAA 615 Ser. B, 6.05%, 5/01/08.................................... 05/02 at 102 655,916
AAA 430 Ser. C, 6.05%, 6/15/08.................................... 06/02 at 102 462,770
AAA 5,000 Suffolk Cnty. Ind. Dev. Agcy. Rev., Southwest, 6.00%,
2/01/08, FGIC............................................. No Opt. Call 5,408,950
Suffolk Cnty. Wtr. Auth. Rev., Ser. C, AMBAC,
AAA 620 5.75%, 6/01/02+........................................... No Opt. Call 663,462
AAA 665 5.75%, 6/01/02+........................................... No Opt. Call 711,617
AAA 1,675 5.75%, 6/01/08............................................ 06/02 at 102 1,742,486
Triborough Bridge & Tunl. Auth. Rev.,
AAA 7,500 Ser. X, 6.00%, 1/01/07, AMBAC............................. No Opt. Call 7,825,950
AAA 8,110 6.20%, 1/01/08, FGIC...................................... 01/02 at 101.5 8,642,016
AAA 6,500 6.25%, 1/01/12, AMBAC..................................... 01/02 at 101.5 6,810,310
------------
254,904,269
------------
PUERTO RICO -- 3.0%
AAA 5,000 Puerto Rico, Comnwlth., G.O., Ser. A, 6.25%, 7/01/10, FSA... 07/02 at 101.5 5,355,350
------------
TOTAL INVESTMENTS -- 145.3% (cost $241,458,829)............. 260,259,619
Other assets in excess of liabilities -- 2.4%............... 4,389,716
Liquidation value of preferred stock -- (47.7)%............. (85,500,000)
------------
NET ASSETS APPLICABLE TO COMMON SHAREHOLDERS -- 100%........ $179,149,335
------------
------------
</TABLE>
- ---------------
* Rating using the higher of Standard & Poor's, Moody's or Fitch's.
+ This bond is prerefunded. See glossary for definition.
++ Option call provisions: date (month/year) and price of the earliest optional
call or redemption. There may be other call provisions at varying prices at
later dates.
<TABLE>
<CAPTION>
KEY TO ABBREVIATIONS
<S> <C> <C>
AMBAC -- American Municipal Bond Assurance Corporation
CAPMAC -- Capital Markets Assurance Corporation
CONNIE LEE -- College Construction Loan Insurance Association
FHA -- Federal Housing Administration
FGIC -- Financial Guaranty Insurance Company
FSA -- Financial Security Assurance
G.O. -- General Obligation Bond
MBIA -- Municipal Bond Insurance Association
</TABLE>
See Notes to Financial Statements.
6
<PAGE>
- ---------------------------------------------------------
THE BLACKROCK NEW YORK INSURED
MUNICIPAL 2008 TERM TRUST INC.
STATEMENT OF ASSETS AND LIABILITIES
JUNE 30, 1997
(UNAUDITED)
- ----------------------------------------------
<TABLE>
<S> <C>
ASSETS
Investments, at value (cost $241,458,829) (Note 1).......... $ 260,259,619
Interest receivable......................................... 5,096,774
Deferred organization expense and other assets.............. 24,040
--------------
265,380,433
--------------
LIABILITIES
Bank overdraft.............................................. 243,443
Dividends payable -- common stock........................... 160,553
Advisory fee payable (Note 2)............................... 78,196
Dividends payable -- preferred stock........................ 38,231
Administration fee payable (Note 2)......................... 22,342
Other accrued expenses...................................... 188,333
--------------
731,098
--------------
NET INVESTMENT ASSETS....................................... $ 264,649,335
--------------
--------------
Net investment assets were comprised of:
Common stock:
Par value (Note 4)...................................... $ 112,571
Paid-in capital in excess of par........................ 156,370,725
Preferred stock (Note 4).................................. 85,500,000
--------------
241,983,296
Undistributed net investment income....................... 3,898,230
Accumulated net realized loss............................. (32,981)
Net unrealized appreciation............................... 18,800,790
--------------
Net investment assets, June 30, 1997...................... $ 264,649,335
--------------
--------------
Net assets applicable to common shareholders.............. $ 179,149,335
--------------
--------------
Net asset value per common share:
($179,149,335 DIVIDED BY 11,257,093 shares of common stock
issued and outstanding)................................... $ 15.91
-------
-------
</TABLE>
- ---------------------------------------------------
THE BLACKROCK NEW YORK INSURED
MUNICIPAL 2008 TERM TRUST INC.
STATEMENT OF OPERATIONS
SIX MONTHS ENDED JUNE 30, 1997
(UNAUDITED)
- ----------------------------------------------
<TABLE>
<S> <C>
NET INVESTMENT INCOME
Income
Interest and discount earned.............................. $ 7,398,174
--------------
Expenses
Investment advisory....................................... 456,288
Administration............................................ 130,368
Auction agent............................................. 116,000
Custodian................................................. 43,000
Reports to shareholders................................... 26,000
Directors................................................. 20,000
Audit..................................................... 14,000
Transfer agent............................................ 10,000
Legal..................................................... 5,000
Miscellaneous............................................. 63,667
--------------
Total expenses............................................ 884,323
--------------
Net investment income....................................... 6,513,851
--------------
REALIZED AND UNREALIZED GAIN ON INVESTMENTS (NOTE 3)
Net realized gain on investments............................ 9,392
Net change in unrealized appreciation on
investments............................................... 1,541,263
--------------
Net gain on investments..................................... 1,550,655
--------------
NET INCREASE IN NET INVESTMENT ASSETS RESULTING FROM
OPERATIONS................................................. $ 8,064,506
--------------
--------------
</TABLE>
See Notes to Financial Statements.
7
<PAGE>
- --------------------------------------------------------------------------------
THE BLACKROCK NEW YORK INSURED
MUNICIPAL 2008 TERM TRUST INC.
STATEMENTS OF CHANGES IN NET INVESTMENT ASSETS
(UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SIX MONTHS YEAR ENDED
ENDED DECEMBER 31,
JUNE 30, 1997 1996
------------- -------------
<S> <C> <C>
INCREASE (DECREASE) IN NET INVESTMENT ASSETS
OPERATIONS:
Net investment income..................................... $ 6,513,851 $ 12,978,491
Net realized gain on investments.......................... 9,392 979,495
Net change in unrealized appreciation (depreciation) on
investments............................................. 1,541,263 (4,761,035)
------------- -------------
Net increase in net investment assets resulting from
operations............................................. 8,064,506 9,196,951
------------- -------------
DIVIDENDS AND DISTRIBUTIONS:
To common shareholders from net investment income......... (4,812,312) (9,624,638)
To common shareholders from net realized gain on
investments............................................. -- (581,328)
To preferred shareholders from net investment income...... (1,473,404) (2,823,878)
To preferred shareholders from net realized gain on
investments............................................. -- (176,489)
------------- -------------
Total dividends and distributions....................... (6,285,716) (13,206,333)
------------- -------------
Total increase (decrease)........................... 1,778,790 (4,009,382)
NET INVESTMENT ASSETS
Beginning of period......................................... 262,870,545 266,879,927
------------- -------------
End of period............................................... $264,649,335 $262,870,545
------------- -------------
------------- -------------
</TABLE>
See Notes to Financial Statements.
8
<PAGE>
- --------------------------------------------------------------------------------
THE BLACKROCK NEW YORK INSURED
MUNICIPAL 2008 TERM TRUST INC.
FINANCIAL HIGHLIGHTS
(UNAUDITED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SEPTEMBER 28,
SIX MONTHS YEAR ENDED DECEMBER 31, 1992* THROUGH
ENDED --------------------------------------------- DECEMBER 31,
JUNE 30, 1997 1996 1995 1994 1993 1992
-------------- --------- --------- --------- --------- ---------------
<S> <C> <C> <C> <C> <C> <C>
PER COMMON SHARE OPERATING PERFORMANCE:
Net asset value, beginning of the
period................................ $ 15.76 $ 16.11 $ 13.77 $ 16.19 $ 14.33 $ 14.10
-------------- --------- --------- --------- --------- ---------------
Net investment income................. 0.58 1.15 1.15 1.14 1.14 0.18
Net realized and unrealized gain
(loss) on investments............... 0.13 (0.33) 2.33 (2.49) 1.79 0.34
-------------- --------- --------- --------- --------- ---------------
Net increase (decrease) from investment
operations............................ 0.71 0.82 3.48 (1.35) 2.93 0.52
-------------- --------- --------- --------- --------- ---------------
Dividends from net investment income to:
Preferred shareholders................ (0.13) (0.25) (0.29) (0.21) (0.17) (0.02)
Common shareholders................... (0.43) (0.85) (0.85) (0.86) (0.86) (0.07)
Distributions from net realized gain on
investments to:
Preferred shareholders................ -- (0.02) -- -- (0.01) --
Common shareholders................... -- (0.05) -- -- (0.03) --
Distributions in excess of net realized
gain on investments to:
Preferred shareholders................ -- -- *** *** -- --
Common shareholders................... -- -- *** *** -- --
-------------- --------- --------- --------- --------- ---------------
Total dividends and distributions....... (0.56) (1.17) (1.14) (1.07) (1.07) (0.09)
-------------- --------- --------- --------- --------- ---------------
Capital charge with respect to issuance
of shares............................. -- -- -- -- -- (0.20)
-------------- --------- --------- --------- --------- ---------------
Net asset value, end of period **....... $ 15.91 $ 15.76 $ 16.11 $ 13.77 $ 16.19 $ 14.33#
-------------- --------- --------- --------- --------- ---------------
-------------- --------- --------- --------- --------- ---------------
Market value, end of period **.......... $ 15.25 $ 15.125 $ 14.625 $ 12.50 $ 15.00 $ 13.75
-------------- --------- --------- --------- --------- ---------------
-------------- --------- --------- --------- --------- ---------------
TOTAL INVESTMENT RETURN +............... 3.72% 9.60% 24.19% (11.35)% 14.89% (2.00)%
-------------- --------- --------- --------- --------- ---------------
-------------- --------- --------- --------- --------- ---------------
RATIOS TO AVERAGE NET ASSETS OF COMMON
SHAREHOLDERS: +++
Expenses................................ 1.01%++ 1.03% 1.05% 1.08% 0.95% 0.85%++
Net investment income before preferred
stock dividends....................... 7.42%++ 7.36% 7.54% 7.80% 7.31% 5.08%++
Preferred stock dividends............... 1.68%++ 1.70% 1.87% 1.46% 1.15% 0.59%++
Net investment income available to
common shareholders................... 5.74%++ 5.66% 5.67% 6.34% 6.16% 4.49%++
SUPPLEMENTAL DATA:
Average net assets of common
shareholders (in thousands)........... $177,105 $ 176,229 $ 172,037 $ 164,792 $ 174,881 $153,409
Portfolio turnover...................... 2% 10% 12% 50% 14% 40%
Net assets of common shareholders, end
of period (in thousands).............. $179,149 $ 177,371 $ 181,380 $ 155,064 $ 182,198 $161,290
Preferred stock outstanding (in
thousands)............................ $ 85,500 $ 85,500 $ 85,500 $ 85,500 $ 85,500 $ 85,500
Asset coverage per share of preferred
stock, end of period ##............... $ 77,383 $ 76,863 $ 78,035 $ 140,681 $ 156,549 $144,500
</TABLE>
- --------------------
* Commencement of investment operations.
** Net asset value and market value are published in THE WALL STREET JOURNAL
each Monday.
*** Actual amount paid to preferred shareholders was $0.00041 and $0.00054 per
common share for the fiscal years ended December 31, 1995 and 1994,
respectively.
Actual amount was $0.0012 and $0.0025 per common share for the fiscal years
ended December 31, 1995 and 1994, respectively.
+ Total investment return is calculated assuming a purchase of common stock
at the current market price on the first day and a sale at the current
market value on the last day of the period. Dividends and distributions, if
any, are assumed for purposes of this calculation, to be reinvested at
prices obtained under the Trust's dividend reinvestment plan. Total
investment return does not reflect brokerage commissions. Total investment
return for periods of less than a full year are not annualized.
++ Annualized.
+++ Ratios calculated on the basis of income and expenses applicable to both
the common and preferred shares, and preferred stock dividends, relative to
the average net assets of common shareholders.
# Net asset value immediately after the closing of the first public offering
was $14.06.
## A stock split occured on July 24, 1995 (Note 4).
The information above represents the unaudited operating performance data for a
share of common stock outstanding, total investment return, ratios to average
net assets and other supplemental data for the period indicated. This
information has been determined based upon financial information provided in the
financial statements and market value data for Trust's shares.
See Notes to Financial Statements.
9
<PAGE>
- ---------------------------------------------------------
THE BLACKROCK NEW YORK INSURED
MUNICIPAL 2008 TERM TRUST INC.
NOTES TO FINANCIAL STATEMENTS
(UNAUDITED)
- ----------------------------------------------
NOTE 1. ACCOUNTING POLICIES
The BlackRock New York Insured Municipal 2008 Term Trust Inc. (the "Trust") was
organized in Maryland on August 7, 1992 as a non-diversified closed-end
management investment company. The Trust's investment objective is to manage a
non-diversified portfolio of high quality securities that will return $15 per
share to investors on or about December 31, 2008 while providing current income
exempt from regular federal, New York State and New York City income taxes. The
ability of issuers of debt securities held by the Trust to meet their
obligations may be affected by economic developments in the state, a specific
industry or region. No assurance can be given that the Trust's investment
objective will be achieved.
The following is a summary of significant accounting policies followed by
the Trust.
SECURITIES VALUATION: Municipal securities (including commitments to purchase
such securities on a "when-issued" basis) are valued on the basis of prices
provided by a pricing service which uses information with respect to
transactions in bonds, quotations from bond dealers, market transactions in
comparable securities and various relationships between securities in
determining values. Any securities or other assets for which such current market
quotations are not readily available are valued at fair value as determined in
good faith under procedures established by and under the general supervision and
responsibility of the Trust's Board of Directors.
Short-term securities which mature in 60 days or less are valued at
amortized cost, if their term to maturity from date of purchase is 60 days or
less. Short-term securities with a term to maturity greater than 60 days from
the date of purchase are valued at current market quotations until maturity.
SECURITIES TRANSACTIONS AND INVESTMENT INCOME: Securities transactions are
recorded on the trade date. Realized gains and losses are calculated on the
identified cost basis. Interest income is recorded on the accrual basis and the
Trust amortizes premium and accretes original issue discount on securities
purchased using the interest method.
FEDERAL INCOME TAXES: It is the Trust's intention to continue to meet the
requirements of the Internal Revenue Code applicable to regulated investment
companies and to distribute sufficient net income to shareholders. For this
reason and because substantially all of the Trust's gross income consists of
tax-exempt interest, no federal income tax provision is required.
DIVIDENDS AND DISTRIBUTIONS: The Trust declares and pays dividends and
distributions to common shareholders monthly from net investment income. Net
capital gains, if any, in excess of loss carryforwards may be distributed
annually. Dividends and distributions are recorded on the ex-dividend date.
Dividends and distributions to preferred shareholders are accrued and determined
as described in Note 4.
DEFERRED ORGANIZATION EXPENSES: A total of $40,000 was incurred in connection
with the organization of the Trust. These costs have been deferred and are being
amortized ratably over a period of sixty months from the date the Trust
commenced investment operations.
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 and
disclosure of contingent assets and liabilities at the date of the financial
statements and the reported amounts of revenues and expenses during the
reporting period. Actual results could differ from those estimates.
NOTE 2. AGREEMENTS
The Trust has an Investment Advisory Agreement with BlackRock Financial
Management, Inc. (the "Adviser"), a wholly-owned corporate subsidiary of PNC
Asset Management Group, Inc., the holding company for PNC's asset management
businesses and an Administration Agreement with Princeton Administrators, L.P.
(the "Administrator"), an indirect wholly-owned subsidiary of Merrill Lynch &
Co., Inc.
The investment advisory fee paid to the Adviser is computed weekly and
payable monthly at an annual rate of 0.35% of the Trust's average weekly net
investment assets. The administration fee paid to the Administrator is also
computed weekly and payable monthly at an annual rate of 0.10% of the Trust's
average weekly net investment assets.
Pursuant to the agreements, the Adviser provides continuous supervision of
the investment portfolio and pays the compensation of officers of the Trust who
are affiliated persons of the Adviser. The Administrator pays occupancy and
certain clerical and accounting costs of the Trust. The Trust bears all other
costs and expenses.
10
<PAGE>
NOTE 3. PORTFOLIO SECURITIES
Purchases and sales of investment securities, other than short-term investments,
for the six months ended June 30, 1997, aggregated $4,632,406 and $4,867,940,
respectively.
The federal income tax basis of the Trust's investments at June 30, 1997 was
substantially the same as the basis for financial reporting, and accordingly,
unrealized appreciation was $18,800,790 (on both a gross and a net basis).
NOTE 4. CAPITAL
There are 200 million shares of $.01 par value common stock authorized. Of the
11,257,093 common shares outstanding at June 30, 1997, the Adviser owned 7,093
shares. As of June 30, 1997, there were 3,420 preferred shares outstanding as
follows: Series F28-1,710 and Series F7-1,710.
The Trust may classify or reclassify any unissued shares of common stock
into one or more series of preferred stock. On November 23, 1992, the Trust
reclassified 1,710 shares of common stock and issued 2 series of Auction Market
Preferred Stock ("Preferred Stock") as follows: Series F28--855 shares, Series
F7--855 shares. The Preferred Stock has a liquidation value of $25,000 per share
plus any accumulated but unpaid dividends. On May 16, 1995 shareholders approved
a proposal to split each share of the Trust's Auction Rate Municipal Preferred
Stock into two shares and simultaneously reduce each share's liquidation
preference from $50,000 to $25,000 plus any accumulated but unpaid dividends.
The stock split occurred on July 24, 1995.
Dividends on Series F7 are cumulative at a rate which is reset every 7 days
based on the results of an auction. Dividends on Series F28 are also cumulative
at a rate which is reset every 28 days based on the results of an auction.
Dividend rates ranged from 2.90% to 4.05% for the six months ended June 30,
1997.
The Trust may not declare dividends or make other distributions on shares of
common stock or purchase any such shares if, at the time of the declaration,
distribution or purchase, asset coverage with respect to the outstanding
Preferred Stock would be less than 200%.
The Preferred Stock is redeemable at the option of the Trust, in whole or in
part, on any dividend payment date at $25,000 per share plus any accumulated or
unpaid dividends whether or not declared. The Preferred Stock is also subject to
mandatory redemption at $25,000 per share plus any accumulated or unpaid
dividends, whether or not declared if certain requirements relating to the
composition of the assets and liabilities of the Trust as set forth in the
Articles of Incorporation are not satisfied.
The holders of Preferred Stock have voting rights equal to the holders of
common stock (one vote per share) and will vote together with holders of shares
of common stock as a single class. However, holders of Preferred Stock are also
entitled to elect two of the Trust's directors. In addition, the Investment
Company Act of 1940 requires that along with approval by stockholders that might
otherwise be required, the approval of the holders of a majority of any
outstanding preferred shares, voting separately as a class would be required to
(a) adopt any plan of reorganization that would adversely affect the Preferred
Stock, and (b) take any action requiring a vote of security holders, including,
among other things, changes in the Trust's subclassification as a closed-end
investment company or changes in its fundamental investment restrictions.
NOTE 5. DIVIDENDS
Subsequent to June 30, 1997, the Board of Directors of the Trust declared a
dividend from undistributed earnings of $0.07125 per common share payable July
31, 1997 to shareholders of record on July 15, 1997.
For the period July 1, 1997 to July 31, 1997, dividends declared on
Preferred Stock totalled $259,310 in aggregate for the two outstanding Preferred
Stock series.
11
<PAGE>
- --------------------------------------------------------------------------------
DIVIDEND REINVESTMENT PLAN
- --------------------------------------------------------------------------------
Pursuant to the Trust's Dividend Reinvestment Plan (the "Plan"),
shareholders may elect to have all distributions of dividends and capital gains
automatically reinvested by State Street Bank and Trust Company (the "Plan
Agent") in Trust shares. Shareholders who do not participate in the Plan will
receive all distributions in cash paid by check in United States dollars mailed
directly to the shareholders of record (or if the shares are held in street or
other nominee name, then to the nominee) by the custodian, as dividend
disbursing agent.
The Plan Agent serves as agent for the shareholders in administering the
Plan. After the Trust declares a dividend or determines to make a capital gain
distribution, the Plan Agent will, as agent for the participants, receive the
cash payment and use it to buy Trust shares in the open market on the New York
Stock Exchange for the participants' accounts. The Trust will not issue shares
under the Plan.
Participants in the Plan may withdraw from the Plan upon written notice to
the Plan Agent and will receive certificates for whole Trust shares and a cash
payment for any fraction of a Trust share.
The Plan Agent's fees for the handling of the reinvestment of dividends and
distributions will be paid by the Trust. However, each participant will pay a
pro rata share of brokerage commissions incurred with respect to the Plan
Agent's open market purchases in connection with the reinvestment of dividends
and distributions. The automatic reinvestment of dividends and distributions
will not relieve participants of any federal income tax that may be payable on
such dividends or distributions.
Experience under the Plan may indicate that changes are desirable.
Accordingly, the Trust reserves the right to amend or terminate the Plan as
applied to any dividend or distribution paid subsequent to written notice of the
change sent to all shareholders of the Trust at least 90 days before the record
date for the dividend or distribution. The Plan also may be amended or
terminated by the Plan Agent upon at least 90 days' written notice to all
shareholders of the Trust. All correspondence concerning the Plan should be
directed to the Plan Agent at (800) 699-1BFM. The address is on the front of
this report.
- --------------------------------------------------------------------------------
ADDITIONAL INFORMATION
- --------------------------------------------------------------------------------
There have been no material changes in the Trust's investment objectives or
policies that have not been approved by the shareholders. There have been no
changes in the Trust's charter or by-laws. There have been no changes in the
principal risk factors associated with investment in the Trust. There have been
no changes in the persons who are primarily responsible for the day-to-day
management of the Trust's portfolio.
The Annual Meeting of Trust Shareholders was held April 15, 1997 to vote on
the following matters:
(1) To elect three Directors to serve as follows:
<TABLE>
<CAPTION>
Director Class Term Expiring
- -------------------------------------------------------------------------------- -------- -------- ---------
<S> <C> <C> <C>
James Grosfeld.................................................................. I 3 years 2000
James Clayburn La Force, Jr..................................................... I 3 years 2000
Walter F. Mondale............................................................... II 1 year 1998
</TABLE>
Directors whose term of office continues beyond this meeting are Andrew D.
Brimmer, Richard E. Cavanagh, Kent Dixon, Laurence D. Fink, Frank J. Fabozzi,
and Ralph L. Schlosstein.
(2) To ratify the selection of Deloitte & Touche LLP as independent public
accountants of the Trust for the fiscal year ending December 31, 1997.
Shareholders elected the three Directors and ratified the selection of Deloitte
& Touche LLP. The results of the voting was as follows:
<TABLE>
<CAPTION>
Votes For Votes Against Abstentions
--------- ------------- -----------
<S> <C> <C> <C>
James Grosfeld.................................... 8,186,931 0 79,094
James Clayburn La Force, Jr....................... 8,189,121 0 76,905
Walter F. Mondale................................. 8,187,074 0 78,952
Ratification of Deloitte & Touche LLP............. 8,173,047 17,269 75,710
</TABLE>
12
<PAGE>
- --------------------------------------------------------------------------------
THE BLACKROCK NEW YORK INSURED MUNICIPAL 2008 TERM TRUST INC.
INVESTMENT SUMMARY
- --------------------------------------------------------------------------------
THE TRUST'S INVESTMENT OBJECTIVE
The Trust's investment objective is to provide current income exempt from
federal income tax, New York State and New York City income tax and to return
$15 per share (the initial public offering price per share) to investors on or
about December 31, 2008.
WHO MANAGES THE TRUST?
BlackRock Financial Management, Inc. (BlackRock or the Adviser) is the
investment adviser for the Trust. BlackRock is a registered investment adviser
specializing in fixed income securities. Currently, BlackRock manages
approximately $50 billion of assets across the government, mortgage, corporate
and municipal sectors. These assets are managed on behalf of institutional and
individual investors in 21 closed-end funds traded on the New York or American
Stock Exchanges, several open-end funds and separate accounts for more than 125
clients in the U.S. and overseas. BlackRock is a subsidiary of PNC Asset
Management Group, Inc. which is a division of PNC Bank, N.A., one of the
nation's largest banking organizations.
WHAT CAN THE TRUST INVEST IN?
The Trust intends to invest at least 80% of total assets in a portfolio of
New York municipal obligations insured as to the timely payment of principal and
interest. The Trust may invest up to 20% in uninsured New York municipal
obligations which are rated Aaa by Moody's or AAA by S&P, or are determined by
the Adviser to be of comparable credit quality (guaranteed, escrowed or backed
in trust).
WHAT IS THE ADVISER'S INVESTMENT STRATEGY?
The Adviser will seek to meet the Trust's investment objective by managing
the assets of the Trust so as to return the initial offering price ($15 per
share) at maturity. The Trust will implement a conservative strategy that will
seek to closely match the maturity of the assets of the portfolio with the
future return of the initial investment at the end of 2008. At the Trust's
termination, BlackRock expects that the value of the securities which have
matured, combined with the value of the securities that are sold, if any, will
be sufficient to return the initial offering price to investors. On a continuous
basis, the Trust will seek its objective by actively managing its portfolio of
New York municipal obligations and retaining a small amount of income each year.
In addition to seeking the return of the initial offering price, the Adviser
also seeks to provide current income exempt from federal income tax, New York
State and New York City income tax to investors. The portfolio managers will
attempt to achieve this objective by investing in securities that provide
competitive income. In addition, leverage will be used (in an amount up to 35%
of the total assets) to enhance the income of the portfolio. In order to
maintain competitive yields as the Trust approaches maturity and depending on
market conditions, the Adviser will attempt to purchase securities with call
protection or maturities as close to the Trust's maturity date as possible.
Securities with call protection should provide the portfolio with some degree of
protection against reinvestment risk during times of lower prevailing interest
rates. Since the Trust's primary goal is to return the initial offering price at
maturity, any cash that the Trust receives prior to its maturity date will be
reinvested in securities with maturities which coincide with the remaining term
of the Trust. Since shorter-term securities typically yield less than
longer-term securities, this strategy will likely result in a decline in the
Trust's income over time. It is important to note that the Trust will be managed
so as to preserve the integrity of the return of the initial offering price. If
market conditions, such as high interest rate volatility, force a choice between
current income and risking the return of the initial offering price, it is
likely that the return of the initial offering price will be emphasized.
13
<PAGE>
HOW ARE THE TRUST'S SHARES PURCHASED AND SOLD? DOES THE TRUST PAY DIVIDENDS
REGULARLY?
The Trust's shares are traded on the New York Stock Exchange which provides
investors with liquidity on a daily basis. Orders to buy or sell shares of the
Trust must be placed through a registered broker or financial advisor. The Trust
pays monthly dividends which are typically paid on the last business day of the
month. For shares held in the shareholder's name, dividends may be reinvested in
additional shares of the Trust through the Trust's transfer agent, State Street
Bank and Trust Company. Investors who wish to hold shares in a brokerage account
should check with their financial advisor to determine whether their brokerage
firm offers dividend reinvestment services.
LEVERAGE CONSIDERATIONS IN A TERM TRUST
Under current market conditions, leverage increases the income earned by the
Trust. The Trust employs leverage primarily through the issuance of preferred
stock. Leverage permits the Trust to borrow money at short-term rates and
reinvest that money in longer-term assets which typically offer higher interest
rates. The difference between the cost of the borrowed funds and the income
earned on the proceeds that are invested in longer term assets is the benefit to
the Trust from leverage. In general, the portfolio is typically leveraged at
approximately 35% of total assets.
Leverage also increases the duration (or price volatility of the net assets)
of the Trust, which can improve the performance of the Trust in a declining rate
environment, but can cause net assets to decline faster than the market in a
rapidly rising rate environment. BlackRock's portfolio managers continuously
monitor and regularly review the Trust's use of leverage and the Trust may
reduce, or unwind, the amount of leverage employed should BlackRock consider
that reduction to be in the best interests of the shareholders.
SPECIAL CONSIDERATIONS AND RISK FACTORS RELEVANT TO TERM TRUSTS
The Trust is intended to be a long-term investment and is not a short-term
trading vehicle.
RETURN OF INITIAL INVESTMENT. Although the objective of the Trust is to
return its initial offering price upon termination, there can be no assurance
that this objective will be achieved.
DIVIDEND CONSIDERATIONS. The income and dividends paid by the Trust are
likely to decline to some extent over the term of the Trust due to the
anticipated shortening of the dollar-weighted average maturity of the Trust's
assets.
LEVERAGE. The Trust utilizes leverage through the issuance of preferred
stock which involves special risks. The Trust's net asset value and market value
may be more volatile due to its use of leverage.
MARKET PRICE OF SHARES. The shares of closed-end investment companies such
as the Trust trade on the New York Stock Exchange (NYSE symbol: BLN) and as such
are subject to supply and demand influences. As a result, shares may trade at a
discount or a premium to their net asset value.
ILLIQUID SECURITIES. The Trust may invest in securities that are illiquid,
although under current market conditions the Trust expects to do so to only a
limited extent. Investing in these securities involves special risks.
ANTITAKEOVER PROVISIONS. Certain antitakeover provisions will make a change
in the Trust's business or management more difficult without the approval of the
Trust's Board of Directors and may have the effect of depriving shareholders of
an opportunity to sell their shares at a premium above the prevailing market
price.
MUNICIPAL OBLIGATIONS. Municipal obligations include debt obligations
issued by states, cities, and local authorities, and possessions and certain
territories of the United States to obtain funds for various public purposes,
including the construction of public facilities, the refinancing of outstanding
obligations and the obtaining of funds for general operating expenses and for
loans to other public institutions and facilities. The value of municipal debt
securities generally varies inversely with changes in prevailing market interest
rates. Depending on the amount of call protection that the securities in the
Trust have, the Trust may be subject to certain reinvestment risks in
environments of declining interest rates.
ALTERNATIVE MINIMUM TAX (AMT). The Trust may invest in securities subject
to AMT. The Trust currently holds no securities that are subject to AMT.
14
<PAGE>
- --------------------------------------------------------------------------------
THE BLACKROCK NEW YORK INSURED MUNICIPAL 2008 TERM TRUST INC.
GLOSSARY
- --------------------------------------------------------------------------------
<TABLE>
<S> <C>
CLOSED-END FUND: Investment vehicle which initially offers a fixed
number of shares and trades on a stock exchange.
The fund invests in a portfolio of securities in
accordance with its stated investment objectives
and policies.
DISCOUNT: When a fund's net asset value is greater than its
stock price the fund is said to be trading at a
discount.
DIVIDEND: Income generated by securities in a portfolio and
distributed to shareholders after the deduction of
expenses. This Trust declares and pays dividends
to common shareholders on a monthly basis.
DIVIDEND REINVESTMENT: Shareholders may have all dividends and
distributions of capital gains automatically
reinvested into additional shares of a fund.
EMBEDDED CAP BONDS: Also known as additional interest municipal bonds.
These securities are intended to protect the
income that a fund earns through leverage from
significant increases in short-term rates. The
coupon on these bonds will increase if short term
rates rise significantly.
MARKET PRICE: Price per share of a security trading in the
secondary market. For a closed-end fund, this is
the price at which one share of the fund trades on
the stock exchange. If you were to buy or sell
shares, you would pay or receive the market price.
NET ASSET VALUE (NAV): Net asset value is the total market value of all
securities and other assets held by the Trust,
plus income accrued on its investments, minus any
liabilities including accrued expenses, divided by
the total number of outstanding shares. It is the
underlying value of a single share on a given day.
Net asset value for the Trust is calculated weekly
and published in BARRON'S and THE NEW YORK TIMES
on Saturday or THE WALL STREET JOURNAL each
Monday.
PREMIUM: When a fund's stock price is greater than its net
asset value, the fund is said to be trading at a
premium.
PREREFUNDED BONDS: These securities are collateralized by U.S.
Government securities which are held in escrow and
are used to pay principal and interest on the tax
exempt issue and retire the bond in full at the
date indicated, typically at a premium to par.
</TABLE>
15
<PAGE>
BLACKROCK
DIRECTORS
Laurence D. Fink, CHAIRMAN
Andrew F. Brimmer
Richard E. Cavanagh
Kent Dixon
Frank J. Fabozzi
James Grosfeld
James Clayburn La Force, Jr.
Walter F. Mondale
Ralph L. Schlosstein
OFFICERS
Ralph L. Schlosstein, PRESIDENT
Keith T. Anderson, VICE PRESIDENT
Michael C. Huebsch, VICE PRESIDENT
Robert S. Kapito, VICE PRESIDENT
Kevin Klingert, VICE PRESIDENT
Richard M. Shea, VICE PRESIDENT/TAX
Henry Gabbay, TREASURER
James Kong, ASSISTANT TREASURER
Karen H. Sabath, SECRETARY
INVESTMENT ADVISER
BlackRock Financial Management, Inc.
345 Park Avenue
New York, NY 10154
(800) 227-7BFM
ADMINISTRATOR
Princeton Administrators, L.P.
P.O. Box 9095
Princeton, NJ 08543-9095
(800) 688-0928
CUSTODIAN AND TRANSFER AGENT
State Street Bank and Trust Company
One Heritage Drive
North Quincy, MA 02171
(800) 699-1BFM
AUCTION AGENT
Bankers Trust Company
4 Albany Street
New York, NY 10006
INDEPENDENT AUDITORS
Deloitte & Touche LLP
Two World Financial Center
New York, NY 10281-1434
LEGAL COUNSEL
Skadden, Arps, Slate, Meagher & Flom LLP
919 Third Avenue
New York, NY 10022
The accompanying financial statements as of
June 30, 1997 were not audited and accordingly,
no opinion is expressed on them.
This report is for shareholder information.
This is not a prospectus intended for use in the
purchase or sale of any securities.
THE BLACKROCK NEW YORK INSURED
MUNICIPAL 2008 TERM TRUST INC.
c/o Princeton Administrators, L.P.
P.O. Box 9095
Princeton, NJ 08543-9095
(800) 227-7BFM
09247L 10 7
09247L 30 6
09247L 20 6
THE NEW YORK INSURED MUNICIPAL 2008 TERM TRUST INC.
--------------------------
SEMI-ANNUAL REPORT
JUNE 30, 1997
