Nuveen Exchange- Traded Funds
Providing tax-free income
to help you live your dreams
ARIZONA PREMIUM INCOME (NAZ)
MICHIGAN QUALITY INCOME (NUM)
MICHIGAN PREMIUM INCOME (NMP)
OHIO QUALITY INCOME (NUO)
TEXAS QUALITY INCOME (NTX)
SEMIANNUAL REPORT/JANUARY 31, 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
51 Statement of net assets
53 Statement of operations
55 Statement of changes in net assets
58 Notes to financial statements
68 Financial highlights
<PAGE>
Photographic image of headshot of Chairman and Chief Executive Officer
of Nuveen.
"These funds continue to achieve their goal of delivering attractive tax-free
income."
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 investment-grade quality municipal bonds.
Because the proceeds from these bonds are used to maintain and improve the
infrastructures of the states where you live, your investment has several
advantages: As you support the publicly funded projects that enhance your
communities, you benefit from the credit strength of these communities and also
receive income that is exempt from federal and--in most cases--state income
taxes.
As of January 31, 1997, investors in the Arizona, Michigan, Ohio, and Texas
funds were receiving annual tax-free yields that ranged from 5.73% to 6.24%. To
match these yields, an investor in the 36% federal income tax bracket would have
had to earn at least 8.95% on taxable alternatives; the addition of state taxes
to this equation further enhances the yield advantage provided by tax-free bonds
to shareholders in Arizona, Michigan, and Ohio. These funds generated total
returns, including reinvested income and changes in net asset values, of 2.28%
to 3.70%, equivalent to taxable total returns of 5.85% to 7.16%. This reflects
the 1996 bond market, which experienced a mid-year decline followed by a
<PAGE>
post-election rally that ended the year slightly lower than when it began.
Municipals performed better than Treasuries in this regard.
Several aspects of our conservative approach to management help position these
funds to perform well in changing market environments. First, we enhance income
through the prudent use of leverage, issuing short-term preferred shares to
investors seeking short-term liquidity and investing 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 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 continues to help investors keep more of what they have earned. In
November we launched the Nuveen Growth and Income Stock Fund, offering prudent
investors superior equity market performance potential with less risk than the
overall stock market. This month 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 has 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 tax-exempt
mutual fund activities, which now enables us to offer the broadest selection of
municipal bond funds available in the U.S.
Thank you for your continued confidence in Nuveen and our family
of investments.
Sincerely,
/s/ Timothy R. Schwertfeger
Timothy R. Schwertfeger
Chairman of the Board
March 17, 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? What is the current outlook?
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. A late second-half rebound reclaim ed 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.
A look at the current economy shows a positive tone, reflecting a combination
of factors that historically bode well for the bond market, especially for
long-term issues. Yields remain attractive, as inflation maintains the same
modest pace that it has demonstrated over the past six years, giving every
indication of being well under control. At the same time, economic expansion
<PAGE>
continues to be slow and steady, as evidenced by lack of price pressure at the
consumer and producer levels, strong consumer confidence, low unemployment
figures, and a stable money supply.
What principal factors affected the bond market and Nuveen funds last year?
Following a strong start to the year, 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.
<PAGE>
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, with a 0.25% increase in January, but anticipation of further moves
kept the markets restless the remainder of the year. The concern about potential
changes in monetary policy continued into 1997.
1996 also saw a general improvement in fund discounts, as some exchange-traded
funds experienced a combination of rising share prices and lower net asset
values as interest rates moved upward slightly. We believe that the current
yields and prudent dividend policy offered by Nuveen funds present an attractive
investment opportunity for investors seeking to enjoy income and re-balance
their portfolio in light of significant gains in stocks.
In view of current market conditions, has Nuveen made any changes to the way
it manages these funds?
We continue to believe that value investing is the best investment strategy for
the funds we manage. Successful value investing depends on obtaining detailed
insights into the outlook for individual issuers and the characteristics of
specific bonds--assessments that are not yet recognized by the market as a
whole.
<PAGE>
What effect will bond calls have on these portfolios?
The funds covered in this report, which were issued between October 1991
and December 1992, have virtually no call exposure. It is important to
understand that the bond market has dealt with the issue of bond calls
and pre-refundings for years as a result of declining interest rates and
strong price appreciation of bonds. Although this has put some pressure on the
dividends of Nuveen funds issued prior to 1991, all of our funds
have performed well through this period.
In addition to strong call protection, shareholders in these funds continue to
enjoy attractive dividends. These levels reflect the leveraged structure of
these funds, which enables them to increase the portfolio's income stream for
the benefit of common share holders by investing the proceeds from the sale of
short-term preferred shares in the purchase of additional intermediate and
long-term bonds.
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 ARIZONA PREMIUM INCOME MUNICIPAL FUND, INC.
NAZ
In keeping with the Fund's goal of providing attractive, dependable tax-free
income, shareholders enjoyed 12 months of steady dividends.
<CAPTION>
12 MONTH DIVIDEND HISTORY
Date Monthly Dividends Supplemental Dividends Capital Gains
<S> <C> <C> <C>
2/13/96 $0.0675
3/13/96 $0.0675
4/11/96 $0.0675
5/13/96 $0.0675
6/12/96 $0.0675
7/11/96 $0.0675
8/13/96 $0.0675
9/11/96 $0.0675
10/10/96 $0.0675
11/13/96 $0.0675
12/11/96 $0.0675
1/13/97 $0.0675
<CAPTION>
FUND HIGHLIGHTS 1/31/97
<S> <C>
Yield 5.73%
Taxable-equivalent yield 9.47%
Annual total return on NAV 2.28%
Taxable-equivalent total return 5.85%
Share price $14.125
NAV $14.72
<FN>
The dividend history used in this chart constitutes past performance and does
not necessarily predict the future dividends of the Fund.
</FN>
</TABLE>
<PAGE>
<TABLE>
NUVEEN MICHIGAN QUALITY INCOME MUNICIPAL FUND, INC.
NUM
In keeping with the Fund's goal of providing attractive, dependable tax-free
income, shareholders enjoyed 12 months of steady 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>
2/13/96 $0.0795
3/13/96 $0.0795
4/11/96 $0.0795
5/13/96 $0.0795
6/12/96 $0.0795
7/11/96 $0.0795
8/13/96 $0.0795
9/11/96 $0.0795
10/10/96 $0.0795
11/13/96 $0.0795
12/11/96 $0.0795 .0256
1/13/97 $0.0795
<CAPTION>
FUND HIGHLIGHTS 1/31/97
<S> <C>
Yield 6.11%
Taxable-equivalent yield 10.10%
Annual total return on NAV 3.27%
Taxable-equivalent total return 7.31%
Share price $15.625
NAV $15.40
<FN>
The dividend history used in this chart constitutes past performance and does
not necessarily predict the future dividends of the Fund.
</FN>
</TABLE>
<PAGE>
<TABLE>
NUVEEN MICHIGAN PREMIUM INCOME MUNICIPAL FUND, INC.
NMP
The fund's monthly tax-free dividend was increased once during the 12 months
ended January 31, 1997. 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>
2/13/96 $0.0645
3/13/96 $0.0645
4/11/96 $0.0645
5/13/96 $0.0645
6/12/96 $0.0660
7/11/96 $0.0660
8/13/96 $0.0660
9/11/96 $0.0660
10/10/96 $0.0660
11/13/96 $0.0660
12/11/96 $0.0660
1/13/97 $0.0660
<CAPTION>
FUND HIGHLIGHTS 1/31/97
<S> <C>
Yield 6.21%
Taxable-equivalent yield 10.26%
Annual total return on NAV 2.72%
Taxable-equivalent total return 6.28%
Share price $12.750
NAV $14.39
<FN>
The dividend history used in this chart constitutes past performance and does
not necessarily predict the future dividends of the Fund.
</FN>
</TABLE>
<PAGE>
<TABLE>
NUVEEN OHIO QUALITY INCOME MUNICIPAL FUND, INC.
NUO
In keeping with the Fund's goal of providing attractive, dependable tax-free
income, shareholders enjoyed 12 months of steady dividends.
<CAPTION>
12 MONTH DIVIDEND HISTORY
Date Monthly Dividends Supplemental Dividends Capital Gains
<S> <C> <C> <C>
2/13/96 $0.0800
3/13/96 $0.0800
4/11/96 $0.0800
5/13/96 $0.0800
6/12/96 $0.0800
7/11/96 $0.0800
8/13/96 $0.0800
9/11/96 $0.0800
10/10/96 $0.0800
11/13/96 $0.0800
12/11/96 $0.0800
1/13/97 $0.0800
<CAPTION>
FUND HIGHLIGHTS 1/31/97
<S> <C>
Yield 5.82%
Taxable-equivalent yield 9.86%
Annual total return on NAV 3.46%
Taxable-equivalent total return 7.65%
Share price $16.50
NAV $15.92
<FN>
The dividend history used in this chart constitutes past performance and does
not necessarily predict the future dividends of the Fund.
</FN>
</TABLE>
<PAGE>
<TABLE>
NUVEEN TEXAS QUALITY INCOME MUNICIPAL FUND
NTX
In keeping with the Fund's goal of providing attractive, dependable tax-free
income, shareholders enjoyed 12 months of steady dividends.
<CAPTION>
12 MONTH DIVIDEND HISTORY
Date Monthly Dividends Supplemental Dividends Capital Gains
<S> <C> <C> <C>
2/13/96 $0.0780
3/13/96 $0.0780
4/11/96 $0.0780
5/13/96 $0.0780
6/12/96 $0.0780
7/11/96 $0.0780
8/13/96 $0.0780
9/11/96 $0.0780
10/10/96 $0.0780
11/13/96 $0.0780
12/11/96 $0.0780
1/13/97 $0.0780
<CAPTION>
FUND HIGHLIGHTS 1/31/97
<S> <C>
Yield 6.24%
Taxable-equivalent yield 9.75%
Annual total return on NAV 3.70%
Taxable-equivalent total return 7.16%
Share price $15.00
NAV $15.27
<FN>
The dividend history used in this chart constitutes past performance and does
not necessarily predict the future dividends of the Fund.
</FN>
</TABLE>
<PAGE>
Commonly used terms
Yield
An exchange-traded fund's annualized monthly dividend on a given date (in the
case of this report, January 31, 1997) divided by its closing price per share
on that date.
Taxable equivalent yield
The 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 annualized yield on share price. In this report, these tax rates are
assumed to be 39.5% for AZ, 39.5% for MI, 41% for OH, and 36% for TX, 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, 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 in
the future at such times and in such amounts as is deemed advisable. No shares
were repurchased during the 6-month period ended January 31, 1997. Any future
repur-chases will be reported to shareholders in the next annual or semiannual
report.
<PAGE>
<TABLE>
<CAPTION>
SHAREHOLDER MEETING REPORT
On October 10, 1996, the following Nuveen Exchange-Traded Funds held an
Annual Meeting of Shareholders. At the meeting, shareholders voted to
elect directors of the Funds, to ratify selection of Ernst & Young L.L.P.
as the auditors for the Funds, and to approve amendments to the terms of
the Funds' Municipal Auction Rate Cumulative Preferred Stock. 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.
NAZ
Preferred
Common Shares
Shares Series-Th
- --------------------------------------------------------------------------------
RATIFICATION OF THE DIRECTORS
WAS REACHED AS FOLLOWS:
<S> <C> <C>
Lawrence H. Brown
For 4,012,856 1,128
Withhold 63,076 12
--------- ---------
Total 4,075,932 1,140
========= =========
Anthony T. Dean
For 4,016,056 1,128
Withhold 59,876 12
--------- ---------
Total 4,075,932 1,140
========= =========
Anne E. Impellizzeri
For 4,016,146 1,128
Withhold 59,786 12
--------- ---------
Total 4,075,932 1,140
========= =========
Peter R. Sawers
For 4,017,056 1,128
Withhold 58,876 12
--------- ---------
Total 4,075,932 1,140
========= =========
Margaret K. Rosenheim
For -- 1,128
Withhold -- 12
--------- ---------
Total -- 1,140
========= =========
Timothy R. Schwertfeger
For -- 1,128
Withhold -- 12
--------- ---------
Total -- 1,140
========= =========
RATIFICATION OF AUDITORS
WAS REACHED AS FOLLOWS:
For 4,015,019 1,121
Against 23,432 17
Abstain 37,481 2
--------- ---------
Total 4,075,932 1,140
========= =========
<PAGE>
<CAPTION>
NUM NMP
Preferred Preferred Preferred
Common Shares Common Shares Shares
Shares Series-Th Shares Series-M Series-Th
- -----------------------------------------------------------------------------------------------------------------------
RATIFICATION OF THE DIRECTORS
WAS REACHED AS FOLLOWS:
<S> <C> <C> <C> <C> <C>
Lawrence H. Brown
For 10,111,478 3,056 6,856,986 792 1,394
Withhold 138,591 97 140,883 20 1
---------- ---------- ---------- ---------- ----------
Total 10,250,069 3,153 6,997,869 812 1,395
========== ========== ========== ========== ==========
Anthony T. Dean
For 10,111,478 3,056 6,858,338 792 1,394
Withhold 138,591 97 139,531 20 1
---------- ---------- ---------- ---------- ----------
Total 10,250,069 3,153 6,997,869 812 1,395
========== ========== ========== ========== ==========
Anne E. Impellizzeri
For 10,111,336 3,056 6,856,236 792 1,394
Withhold 138,733 97 141,633 20 1
---------- ---------- ---------- ---------- ----------
Total 10,250,069 3,153 6,997,869 812 1,395
========== ========== ========== ========== ==========
Peter R. Sawers
For 10,111,478 3,056 6,860,354 792 1,394
Withhold 138,591 97 137,515 20 1
---------- ---------- ---------- ---------- ----------
Total 10,250,069 3,153 6,997,869 812 1,395
========== ========== ========== ========== ==========
Margaret K. Rosenheim
For -- 3,056 -- 792 1,394
Withhold -- 97 -- 20 1
---------- ---------- ---------- ---------- ----------
Total -- 3,153 -- 812 1,395
========== ========== ========== ========== ==========
Timothy R. Schwertfeger
For -- 3,056 -- 792 1,394
Withhold -- 97 -- 20 1
---------- ---------- ---------- ---------- ----------
Total -- 3,153 -- 812 1,395
========== ========== ========== ========== ==========
RATIFICATION OF AUDITORS
WAS REACHED AS FOLLOWS:
For 9,999,976 3,048 6,839,308 795 1,390
Against 34,420 66 22,307 16 3
Abstain 215,673 39 136,254 1 2
---------- ---------- ---------- ---------- ----------
Total 10,250,069 3,153 6,997,869 812 1,395
========== ========== ========== ========== ==========
APPROVAL OF AMENDMENTS
TO PREFERRED STOCK WAS
REACHED AS FOLLOWS:
For 6,248,489 2,809 -- -- --
Against 155,500 167 -- -- --
Abstain 425,387 173 -- -- --
Broker Non-Vote 3,420,693 -- -- -- --
---------- ---------- ---------- ---------- ----------
Total 10,250,069 3,149 -- -- --
========== ========== ========== ========== ==========
<PAGE>
<CAPTION>
NUO
Preferred Preferred Preferred
Common Shares Shares Shares
Shares Series-M Series-Th Series-Th2
- ---------------------------------------------------------------------------------------------------------------
RATIFICATION OF THE DIRECTORS
WAS REACHED AS FOLLOWS:
<S> <C> <C> <C> <C>
Lawrence H. Brown
For 8,240,725 645 1,375 993
Withhold 95,283 24 -- --
--------- --------- --------- ---------
Total 8,336,008 669 1,375 993
========= ========= ========= =========
Anthony T. Dean
For 8,241,191 645 1,375 993
Withhold 94,817 24 -- --
--------- --------- --------- ---------
Total 8,336,008 669 1,375 993
========= ========= ========= =========
Anne E. Impellizzeri
For 8,240,390 645 1,375 993
Withhold 95,618 24 -- --
--------- --------- --------- ---------
Total 8,336,008 669 1,375 993
========= ========= ========= =========
Peter R. Sawers
For 8,240,439 645 1,375 993
Withhold 95,569 24 -- --
--------- --------- --------- ---------
Total 8,336,008 669 1,375 993
========= ========= ========= =========
Margaret K. Rosenheim
For -- 645 1,375 993
Withhold -- 24 -- --
--------- --------- --------- ---------
Total -- 669 1,375 993
========= ========= ========= =========
Timothy R. Schwertfeger
For -- 645 1,375 993
Withhold -- 24 -- --
--------- --------- --------- ---------
Total -- 669 1,375 993
========= ========= ========= =========
RATIFICATION OF AUDITORS
WAS REACHED AS FOLLOWS:
For 8,192,611 645 1,373 981
Against 35,417 -- -- 1
Abstain 107,980 24 2 11
--------- --------- --------- ---------
Total 8,336,008 669 1,375 993
========= ========= ========= =========
APPROVAL OF AMENDMENTS
TO PREFERRED STOCK WAS
REACHED AS FOLLOWS:
For -- -- -- --
Against -- -- -- --
Abstain -- -- -- --
Broker Non-Vote -- -- -- --
--------- --------- --------- ---------
Total -- -- -- --
========= ========= ========= =========
<PAGE>
<CAPTION>
NTX
Preferred Preferred
Common Shares Shares
Shares Series-M Series-Th
- -----------------------------------------------------------------------------------------
RATIFICATION OF THE DIRECTORS
WAS REACHED AS FOLLOWS:
<S> <C> <C> <C>
Lawrence H. Brown
For 8,532,430 715 1,901
Withhold 80,735 5 11
--------- --------- ---------
Total 8,613,165 720 1,912
========= ========= =========
Anthony T. Dean
For 8,532,430 715 1,901
Withhold 80,735 5 11
--------- --------- ---------
Total 8,613,165 720 1,912
========= ========= =========
Anne E. Impellizzeri
For 8,530,316 715 1,901
Withhold 82,849 5 11
--------- --------- ---------
Total 8,613,165 720 1,912
========= ========= =========
Peter R. Sawers
For 8,532,430 715 1,901
Withhold 80,735 5 11
--------- --------- ---------
Total 8,613,165 720 1,912
========= ========= =========
Margaret K. Rosenheim
For -- 715 1,901
Withhold -- 5 11
--------- --------- ---------
Total -- 720 1,912
========= ========= =========
Timothy R. Schwertfeger
For -- 715 1,901
Withhold -- 5 11
--------- --------- ---------
Total -- 720 1,912
========= ========= =========
RATIFICATION OF AUDITORS
WAS REACHED AS FOLLOWS:
For 8,502,810 715 1,901
Against 24,559 5 11
Abstain 85,796 -- --
--------- --------- ---------
Total 8,613,165 720 1,912
========= ========= =========
APPROVAL OF AMENDMENTS
TO PREFERRED STOCK WAS
REACHED AS FOLLOWS:
For -- -- --
Against -- -- --
Abstain -- -- --
Broker Non-Vote -- -- --
--------- --------- ---------
Total -- -- --
========= ========= =========
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
PORTFOLIO OF INVESTMENTS
(Unaudited)
NUVEEN ARIZONA PREMIUM INCOME MUNICIPAL FUND, INC. (NAZ)
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 2,150,000 Arizona Municipal Financing Program of 1992,
Refunding Certificates of Participation, Series 1,
6.000%, 8/01/17 Aaa 8/02 at 101 $ 2,201,600
1,500,000 State of Arizona, Arizona Transportation Board,
Highway Revenue Bonds, Series 1990,
6.000%, 7/01/10 (Pre-refunded to 7/01/00) Aaa 7/00 at 101 1,592,400
1,750,000 Student Loan Acquisition Authority of Arizona
(A nonprofit corporation organized pursuant
to the laws of the State of Arizona), Student
Loan Revenue Bonds, Series 1994, 6.600%,
5/01/10 (Alternative Minimum Tax) Aa 5/04 at 102 1,859,883
500,000 Wastewater Management Authority of Arizona,
Wastewater Treatment Financial Assistance
Revenue Bonds, Series 1995, 5.750%, 7/01/15 Aaa 7/05 at 102 508,000
3,425,000 Wastewater Management Authority of Arizona,
Wastewater Treatment Financial Assistance
Revenue Bonds, Series 1996A, 5.600%, 7/01/12 Aaa 7/06 at 102 3,484,081
City of Bullhead City, Bullhead Parkway Improvement
District Improvement Bonds:
910,000 6.100%, 1/01/08 Baa 1/03 at 103 945,945
970,000 6.100%, 1/01/09 Baa 1/03 at 103 1,002,107
1,600,000 City of Lake Havasu City Municipal Property
Corporation, Municipal Facilities Revenue Bonds,
Series 1993, 6.000%, 6/01/08 Aaa 6/02 at 101 1,678,992
1,400,000 Maricopa Rural Road Improvement District of Pinal
County, Arizona, Refunding Bonds, Series 1994,
7.000%, 7/01/07 N/R 7/99 at 101 1,464,442
1,500,000 The Industrial Development Authority of the
County of Maricopa (Arizona), Insured Health
Facility Revenue Bonds (Catholic Healthcare West),
1992 Series A, 5.750%, 7/01/11 Aaa 7/02 at 102 1,524,795
3,500,000 The Industrial Development Authority of the County
of Maricopa (Arizona), Samaritan Health Services,
Hospital System Revenue Refunding Bonds, Series
1990A, 7.000%, 12/01/16 Aaa No Opt. Call 4,112,325
600,000 The Industrial Development Authority of the County
of Maricopa, Arizona, Baptist Hospital System
Revenue Refunding Bonds, Series 1995,
5.500%, 9/01/16 Aaa 9/05 at 101 584,196
Kyrene Elementary School District No. 28 of
Maricopa County, Arizona, School Improvement Bonds,
Project of 1990, Series E (1993):
3,195,000 6.000%, 7/01/12 (Pre-refunded to 7/01/02) Aaa 7/02 at 100 3,428,523
605,000 6.000%, 7/01/12 Aaa 7/02 at 100 623,967
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 2,500,000 Paradise Valley Unified School District No. 69 of
Maricopa County, Arizona, School Improvement
Bonds, Project of 1990, Series D (1993),
5.875%, 7/01/12 Aaa 7/03 at 102 $ 2,586,175
1,400,000 Chandler Unified School District No. 80 of Maricopa
County, Arizona, General Obligation Refunding
Bonds, Series 1993, 5.950%, 7/01/10 Aaa 7/03 at 101 1,464,092
450,000 Mesa Industrial Development Authority Health
Care Facilities, Refunding Revenue Bonds (Western
Health Network, Inc.), Series 1988B-1,
7.500%, 1/01/04 Aaa 1/99 at 102 481,262
The Industrial Development Authority of the County
of Mohave, Hospital System Revenue Refunding
Bonds (Medical Environments, Inc. and Phoenix
Baptist Hospital and Medical Center, Inc.),
Series 1993:
5,000,000 6.750%, 7/01/08 (Pre-refunded to 7/01/03) Aaa 7/03 at 102 5,646,500
1,000,000 7.000%, 7/01/16 (Pre-refunded to 7/01/03) Aaa 7/03 at 102 1,142,430
2,000,000 The Industrial Development Authority of the County
of Mohave (Arizona), Industrial Development
Revenue Bonds, 1994 Series (Citizens Utilities
Company Projects), 6.600%, 5/01/29 (Alternative
Minimum Tax) AA+ 11/03 at 101 2,108,200
2,000,000 Hospital District No. One, Mohave County, Arizona,
Refunding General Obligation Bonds (Kingman
Regional Medical Center Project), Series 1992,
6.500%, 6/01/15 Aaa 6/02 at 101 2,127,580
1,000,000 The Industrial Development Authority of the County
of Mohave, Health Care Revenue Refunding Bonds,
Series 1996 (GNMA Collateralized - Chris Ridge
and Silver Ridge Village Projects), 6.375%, 11/01/31 AAA 5/06 at 103 1,043,650
1,400,000 Navajo County, Arizona, Pollution Control
Corporation, Pollution Control Revenue Refunding
Bonds (Arizona Public Service Company), 1993
Series A, 5.875%, 8/15/28 Baa1 8/03 at 102 1,379,994
2,500,000 City of Phoenix, Arizona, General Obligation
Refunding Bonds, Series 1992, 6.375%, 7/01/13 Aa1 7/02 at 102 2,686,525
1,600,000 City of Phoenix, Arizona, General Obligation
Refunding Bonds, Series 1995A, 5.000%, 7/01/19 Aa1 7/05 at 101 1,486,880
4,700,000 City of Phoenix (Arizona), Civic Improvement
Corporation, Wastewater System Lease Revenue
Bonds, Series 1993, 6.125%, 7/01/23
(Pre-refunded to 7/01/03) AAA 7/03 at 102 5,176,768
2,500,000 City of Phoenix Civic Improvement Corporation
(Arizona), Wastewater System Lease Revenue
Refunding Bonds, Series 1993, 5.000%, 7/01/10 A1 7/04 at 102 2,406,450
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 2,150,000 Phoenix Civic Plaza Building Corporation, Senior
Lien Excise Tax Revenue Bonds, Series 1994,
6.000%, 7/01/14 AA+ 7/05 at 101 $ 2,219,295
470,000 The Industrial Development Authority of the City
of Phoenix, Arizona, Statewide Single Family
Mortgage Revenue Bonds, Series 1995,
6.150%, 6/01/08 (Alternative Minimum Tax) AAA 6/05 at 102 476,951
1,990,000 The Industrial Development Authority of the
County of Pima (Arizona), Industrial Development
Lease Obligation Refunding Revenue Bonds, 1988
Series A (Irvington Project), 7.250%, 7/15/10 Aaa 1/02 at 103 2,206,413
1,510,000 Metropolitan Domestic Water Improvement District
of Pima County, Arizona, Special Assessment and
Water Revenue Bonds, Series 1992,
6.200%, 1/01/12 Aaa 1/03 at 101 1,587,282
415,000 The Industrial Development Authority of the
County of Pima (Arizona), Single Family Mortgage
Revenue Refunding Bonds, Series 1995A,
6.500%, 2/01/17 A 8/05 at 102 430,011
1,800,000 Salt River Project Agricultural Improvement and
Power District, Arizona, Salt River Project Electric
System Revenue Bonds, 1992 Series D,
5.750%, 1/01/19 Aa 1/02 at 100 1,798,794
2,400,000 Salt River Project Agricultural Improvement and
Power District, Electric System Revenue Refunding
Bonds, 1993 Series C, 5.000%, 1/01/16 Aa 1/04 at 102 2,247,816
2,000,000 Tempe Union High School District No. 213 of
Maricopa County, Arizona, School Improvement
and Refunding Bonds, Series 1994,
6.000%, 7/01/12 Aaa 7/04 at 101 2,095,260
3,000,000 City of Tucson, Arizona, General Obligation Bonds,
Series 1984-G (1994), 6.250%, 7/01/18 Aaa 7/04 at 101 3,171,360
City of Tucson, Arizona, General Obligation Bonds,
Series 1994-B (1996):
1,290,000 5.750%, 7/01/18 Aa 7/06 at 101 1,302,294
1,000,000 5.750%, 7/01/19 Aa 7/06 at 101 1,006,180
5,000,000 Tucson Airport Authority, Inc. (Arizona), Airport
Revenue Bonds, Refunding Series 1993,
5.700%, 6/01/13 Aaa 6/03 at 102 5,064,050
725,000 City of Tucson, Arizona, Certificates of Participation,
Series 1994, 6.375%, 7/01/09 AA 7/04 at 100 773,619
4,000,000 The Industrial Development Authority of The City
of Tucson, Arizona, Tax-exempt Multifamily
Housing Revenue Refunding Bonds, Series 1996,
5.900%, 12/20/31 AAA 12/06 at 102 3,976,240
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 3,500,000 City of Tucson, Arizona, Water System Revenue
Refunding Bonds, Series 1992A, 5.750%, 7/01/18 A1 7/02 at 102 $ 3,507,140
1,500,000 City of Tucson, Arizona, Water System Revenue
Bonds, Series 1994-A (1996), 6.000%, 7/01/21 Aaa 7/06 at 101 1,550,670
100,000 University of Arizona Telecommunications System,
Certificates of Participation, Series 1991,
6.500%, 7/15/12 A+ 7/02 at 102 108,635
650,000 Certificates of Participation, Series 1994B (University
of Arizona Administrative and Parking Facilities
Project), 6.000%, 7/15/23 Aaa 7/04 at 102 661,941
2,000,000 University Medical Center Corporation (Tucson,
Arizona), Hospital Revenue Refunding Bonds,
Series 1992, 6.250%, 7/01/16 Aaa 7/02 at 102 2,093,336
1,000,000 Arizona Board of Regents, University of Arizona,
System Revenue Refunding Bonds, Series 1992,
6.250%, 6/01/11 AA 6/02 at 102 1,062,320
- -----------------------------------------------------------------------------------------------------------------
$88,155,000 Total Investments - (cost $87,126,148) - 99.0% 92,087,369
=================------------------------------------------------------------------------------------------------
TEMPORARY INVESTMENTS IN SHORT-TERM
MUNICIPAL SECURITIES - 0.4%
$ 400,000 Maricopa County, Arizona Pollution Control
================= Corporation, Pollution Control Revenue Refunding
Bonds (Arizona Public Service Company Palo Verde
Project), 1994 Series C, Variable Rate Demand
Bonds, 3.650%, 5/01/29+ A-1+ 400,000
- -----------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 0.6% 507,433
- -----------------------------------------------------------------------------------------------------------------
Net Assets - 100% $92,994,802
=================================================================================================================
<PAGE>
<CAPTION>
NUMBER OF MARKET MARKET
STANDARD & POOR'S MOODY'S SECURITIES VALUE PERCENT
<S> <C> <C> <C> <C> <C>
SUMMARY OF AAA Aaa 28 $62,290,839 67%
RATINGS* AA+, AA, AA- Aa1, Aa, Aa2, Aa3 11 18,551,806 19
PORTFOLIO OF A+ A1 3 6,022,225 7
INVESTMENTS A, A- A, A2, A3 1 430,011 1
(EXCLUDING BBB+, BBB, BBB- Baal, Baa, Baa2, Baa3 3 3,328,046 4
TEMPORARY Non-rated- Non-rated 1 1,464,442 2
INVESTMENTS):
- ------------------------------------------------------------------------------------------------------------------
TOTAL 47 $92,087,369 100%
==================================================================================================================
<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>
NUVEEN MICHIGAN QUALITY INCOME MUNICIPAL FUND, INC. (NUM)
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
Michigan Higher Education Student Loan Authority,
Student Loan and Refunding Revenue Bonds,
Series XV-A:
$ 1,000,000 6.800%, 10/01/07 (Alternative Minimum Tax) A 10/02 at 102 $ 1,053,180
1,250,000 6.800%, 10/01/08 (Alternative Minimum Tax) A 10/02 at 102 1,312,550
990,000 6.800%, 10/01/09 (Alternative Minimum Tax) A 10/02 at 102 1,036,451
2,000,000 Michigan Municipal Bond Authority, Local
Government Loan Program Revenue Bonds,
Series 1992D, 6.650%, 5/01/12 A 5/02 at 102 2,120,460
3,100,000 Michigan Municipal Bond Authority, State Revolving
Fund Reserve Bonds, Series 1992A,
6.600%, 10/01/18 (Pre-refunded to 10/01/02) Aa 10/02 at 102 3,457,306
2,390,000 Michigan South Central Power Agency, Power
Supply System Revenue Refunding Bonds, 1991
Series, 6.750%, 11/01/10 Baa1 11/01 at 102 2,519,825
410,000 Michigan State Hospital Finance Authority, Hospital
Revenue and Refunding Bonds (The Detroit
Medical Center Obligated Group), Series 1988B,
8.125%, 8/15/08 A 8/98 at 102 437,253
1,450,000 Michigan State Hospital Finance Authority, Hospital
Revenue Bonds (McLaren Obligated Group),
Series 1991A, 7.500%, 9/15/21 (Pre-refunded
to 9/15/01) Aaa 9/01 at 102 1,652,232
5,090,000 Michigan State Hospital Finance Authority, Hospital
Revenue and Refunding Bonds (The Detroit
Medical Center Obligated Group), Series 1988B,
8.125%, 8/15/08 (Pre-refunded to 8/15/98) A 8/98 at 102 5,494,248
10,355,000 Michigan State Hospital Finance Authority, Hospital
Revenue Bonds (Daughters of Charity National
Health System-Providence Hospital), Series 1991,
7.000%, 11/01/21 Aa 11/01 at 102 11,202,867
8,800,000 Michigan State Hospital Finance Authority, Hospital
Revenue Bonds (Mercy Mount Clemens Corporation),
Series 1992, 6.000%, 5/15/17 Aa 5/01 at 100 8,823,760
3,035,000 Michigan State Hospital Finance Authority, Hospital
Revenue Bonds (MidMichigan Obligated Group),
Series 1992, 6.900%, 12/01/24 A 12/02 at 102 3,216,038
4,415,000 Michigan State Housing Development Authority,
Single-Family Mortgage Revenue Bonds, 1991
Series B, 6.950%, 12/01/20 AA+ 12/01 at 102 4,640,253
2,440,000 Michigan State Housing Development Authority,
Single-Family Mortgage Revenue Bonds, 1992
Series A, 6.875%, 6/01/23 AA+ 6/02 at 102 2,534,135
5,250,000 Michigan State Housing Development Authority,
Limited Obligation Revenue Bonds (Parkway
Meadows Project), Series 1991, 6.850%, 10/15/18 Aaa 10/02 at 103 5,544,893
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 8,720,000 Michigan State Housing Development Authority,
Rental Housing Revenue Bonds, 1991 Series B,
7.100%, 4/01/21 A+ 1/02 at 102 $ 9,160,360
1,570,000 Michigan State Housing Development Authority,
Rental Housing Revenue Bonds, 1991 Series A,
7.150%, 4/01/10 (Alternative Minimum Tax) A+ 1/02 at 102 1,654,545
4,330,000 Michigan Strategic Fund, Limited Obligation
Refunding Revenue Bonds (The Detroit Edison
Company Pollution Control Bonds Project),
Collateralized Series 1991CC, 6.950%, 9/01/21 Aaa 9/01 at 102 4,732,474
7,600,000 Michigan Strategic Fund Limited Obligation
Refunding Revenue Bonds (The Detroit Edison
Company Pollution Control Bonds Project),
Collateralized Series 1991DD, 6.875%, 12/01/21 Aaa 12/01 at 102 8,391,540
4,095,000 State Building Authority, State of Michigan, 1991
Revenue Bonds, Series II, 6.800%, 10/01/21 AA- 10/01 at 102 4,449,709
4,800,000 State Building Authority, State of Michigan, 1991
Revenue Refunding Bonds, Series I,
6.250%, 10/01/20 AA- 10/01 at 102 4,964,400
7,200,000 State of Michigan, State Trunk Line Fund Bonds,
Series 1989A, 7.000%, 8/15/17 (Pre-refunded to
8/15/99) AAA 8/99 at 102 7,823,808
4,935,000 Anchor Bay School District, Counties of Macomb
and St. Clair, State of Michigan, 1993 School
Building and Site Bonds (General Obligation
Unlimited Tax), 5.550%, 5/01/19 Aaa 5/03 at 101 1/2 4,766,470
1,200,000 Berkley School District, County of Oakland, State of
Michigan, 1995 School Building and Site Bonds
(General Obligation-Unlimited Tax),
6.000%, 1/01/19 Aaa 1/05 at 101 1,229,196
6,680,000 Chippewa Valley Schools, County of Macomb, State
of Michigan, 1993 Refunding Bonds (General
Obligation-Unlimited Tax), 5.000%, 5/01/21 Aaa 5/03 at 102 5,984,345
2,450,000 The Economic Development Corporation of the City
of Dearborn, Hospital Revenue Bonds (Oakwood
Obligated Group), Series 1995A, 5.750%, 11/15/15 Aaa 11/05 at 102 2,478,224
2,000,000 School District of the City of Detroit, Wayne County,
Michigan, School Building and Site Improvement
Bonds (Unlimited Tax General Obligation),
Series 1996A, 5.700%, 5/01/25 Aaa 5/06 at 102 1,987,300
7,000,000 The Economic Development Corporation of the City
of Detroit, Resource Recovery Revenue Bonds,
Series 1991A, 6.875%, 5/01/09 (Alternative
Minimum Tax) Aaa 5/01 at 102 7,513,520
520,000 City of Detroit, County of Wayne, Michigan, Sewage
Disposal System Revenue Bonds (1979 Series),
6.900%, 12/15/99 Aaa No Opt. Call 536,853
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 6,000,000 City of Detroit, Michigan, Water Supply System
Revenue and Revenue Refunding Bonds, Series
1993, 5.000%, 7/01/23 Aaa 7/04 at 102 $ 5,351,160
1,600,000 Gaylord Community Schools, Counties of Ostego and
Antrim, State of Michigan, 1992 School Building
and Site and Refunding Bonds, 6.600%, 5/01/21
(Pre-refunded to 5/01/02) Aa 5/02 at 102 1,774,480
3,075,000 Goodrich Area Schools, Counties of Genesee,
Oakland and Lapeer, State of Michigan, 1995
School Building and Site and Refunding Bonds
(General Obligation-Unlimited Tax),
5.875%, 5/01/24 Aaa 5/05 at 102 3,107,687
4,500,000 Grand Ledge Public Schools, Counties of Eaton,
Clinton and Ionia, State of Michigan, 1995
Refunding Bonds, 5.375%, 5/01/24 Aaa 5/05 at 102 4,283,550
3,000,000 Grand Rapids Community College, Community
College Bonds, Series 1993 (General Obligation
Limited Tax), 5.000%, 5/01/21 AA- 5/03 at 102 2,745,810
1,325,000 Greenville Public Schools, Counties of Montcalm,
Kent and Ionia, State of Michigan, 1995 School
Building and Site Bonds (General Obligation-
Unlimited Tax), 5.750%, 5/01/14 Aaa 5/04 at 101 1,343,365
1,000,000 Grosse Ile Township School District, School
Improvement Refunding Bonds, General
Obligation, Series 1996, 6.000%, 5/01/22 Aaa 5/07 at 100 1,024,890
1,250,000 Gull Lake Community Schools, Counties of
Kalamazoo, Barry and Calhoun, State of Michigan,
1991 School Building and Site Bonds,
6.800%, 5/01/21 (Pre-refunded to 5/01/01) Aaa 5/01 at 102 1,382,363
2,000,000 Hart Public Schools, County of Oceana, State of
Michigan, 1995 School Building and Site Bonds
(General Obligation-Unlimited Tax),
5.800%, 5/01/16 Aaa 5/05 at 101 2,014,380
3,100,000 Hemlock Public School District Counties of Saginaw
and Midland, State of Michigan, 1992 School
Building and Site and Refunding Bonds,
6.750%, 5/01/21 (Pre-refunded to 5/01/02) Aa 5/02 at 102 3,458,608
1,000,000 Huron Valley School District, Counties of Oakland
and Livingston, State of Michigan, 1996 School
Building and Site Bonds (General Obligation-
Unlimited Tax), 5.875%, 5/01/16 Aaa 5/07 at 100 1,017,610
3,725,000 Lake Orion Community School District, County of
Oakland, State of Michigan, 1995 Refunding Bonds
(General Obligation-Unlimited Tax),
5.500%, 5/01/20 Aaa 5/05 at 101 3,617,646
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 2,255,000 L'anse Creuse Public Schools, County of MaComb,
State of Michigan, 1993 School Building and Site
and Refunding Bonds (General Obligation-
Unlimited Tax), 5.500%, 5/01/14 Aa 5/03 at 102 $ 2,209,314
2,000,000 Lincoln Park School District, General Obligation
Bonds, Series 1996, 5.900%, 5/01/26 Aaa 5/06 at 101 2,028,520
1,500,000 Livonia Public Schools School District, County of
Wayne, State of Michigan, 1995 Refunding Bonds,
5.125%, 5/01/22 Aaa 5/04 at 102 1,380,465
1,000,000 Marquette Area Public Schools, County of Marquette,
State of Michigan, 1991 School Building and Site
Bonds, Series B (General Obligation-Unlimited Tax),
6.700%, 5/01/21 (Pre-refunded to 5/01/01) Aaa 5/01 at 102 1,102,220
6,400,000 Mattawan Consolidated School, Counties of Van
Buren and Kalamazoo, State of Michigan, 1992
Refunding Bonds (General Obligation-Unlimited
Tax), 6.300%, 5/01/17 Aa 5/02 at 102 6,676,800
7,000,000 County of Monroe, Michigan, Pollution Control
Revenue Bonds (The Detroit Edison Company
Monroe and Fermi Plants Project), Collateralized
Series I-1992, 6.875%, 9/01/22 (Alternative
Minimum Tax) Aaa 9/02 at 102 7,597,310
2,150,000 North Branch Area Schools, County of Lapeer, State
of Michigan, 1992 School Building and Site and
Refunding Bonds (General Obligation-Unlimited
Tax), 6.600%, 5/01/17 (Pre-refunded to 5/01/02) AA 5/02 at 102 2,384,458
1,225,000 North Branch Area Schools, County of Lapeer, State
of Michigan, 1993 Refunding Bonds (General
Obligation-Unlimited Tax), 5.375%, 5/01/21 Aaa 5/03 at 101 1/2 1,156,792
2,000,000 Board of Trustees of Oakland University, Michigan,
General Revenue Bonds, Series 1995,
5.750%, 5/15/15 Aaa 5/05 at 102 2,022,240
2,000,000 Oxford Area Community Schools, Counties of
Oakland and Lapeer, State of Michigan, 1996
School Building and Site Bonds (General
Obligation-Unlimited Tax), 5.500%, 5/01/21 Aaa 5/06 at 101 1,943,760
1,500,000 Perry Public Schools, Counties of Shiawassee and
Ingham, State of Michigan, 1992 School Building
and Site Bonds (General Obligation-Unlimited
Tax), 6.375%, 5/01/22 (Pre-refunded to 5/01/02) Aaa 5/02 at 101 1/2 1,645,305
4,650,000 Plymouth-Canton Community Schools, Counties of
Wayne and Washtenaw, State of Michigan, 1991
School Building and Site and Refunding Bonds,
Series B, 6.800%, 5/01/11 (Pre-refunded to 5/01/01) Aa 5/01 at 101 5,096,261
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 1,805,000 Reeths-Puffer Schools, County of Muskegon, State
of Michigan, 1995 School Building and Site and
Refunding Bonds, 5.750%, 5/01/15 Aaa 5/05 at 101 $ 1,825,017
6,385,000 City of Royal Oak Hospital Finance Authority
(Michigan), Hospital Revenue Bonds (William
Beaumont Hospital), Series 1991D,
6.750%, 1/01/20 (Pre-refunded to 1/01/01) Aaa 1/01 at 102 7,008,623
4,845,000 Saginaw-Midland Municipal Water Supply Corporation,
State of Michigan, Water Supply Revenue Bonds
(Limited Tax General Obligation), Series 1992,
6.875%, 9/01/16 A 9/04 at 102 5,354,064
2,400,000 Three Rivers Community Schools, Counties of Cass
and St. Joseph, State of Michigan, 1996 School
Building and Site Bonds (General Obligation-
Unlimited Tax), 6.000%, 5/01/23 Aaa 5/06 at 102 2,463,960
Regents of the University of Michigan, Medical
Service Plan Revenue Bonds, Series 1991:
2,195,000 0.000%, 12/01/10 Aa No Opt. Call 1,037,664
9,250,000 6.500%, 12/01/21 Aa 12/01 at 102 9,783,540
4,200,000 Warren Consolidated Schools, Counties of Macomb
and Oakland, State of Michigan, 1991 School
Building and Site and Refunding Bonds (General
Obligation-Unlimited Tax), 6.700%, 5/0121
(Pre-refunded to 5/01/01) Aa 5/01 at 102 4,612,146
5,280,000 The Economic Development Corporation of the City
of Warren, Nursing Home Revenue Refunding
Bonds (GNMA Mortgage-Backed Security-
Autumn Woods Project), Series 1992,
6.900%, 12/20/22 Aaa 3/02 at 101 5,543,947
2,505,000 Charter County of Wayne, Michigan, Airport
Revenue Bonds (Detroit Metropolitan Wayne
County Airport), Subordinate Lien, Series 1991B,
6.750%, 12/01/21 (Alternative Minimum Tax) Aaa 12/01 at 102 2,677,369
1,600,000 Board of Trustees of Western Michigan University,
General Revenue Bonds, Series 1993A,
5.000%, 7/15/21 Aaa 7/03 at 102 1,434,736
1,895,000 Western Townships Utilities Authority, Sewage
Disposal System Bonds, Series 1989,
8.300%, 1/01/19 BBB+ 1/99 at 102 2,056,491
Western Townships Utilities Authority, Sewage
Disposal System Refunding Bonds, Series 1991:
1,500,000 6.750%, 1/01/15 Aaa 1/02 at 100 1,614,104
6,250,000 6.500%, 1/01/19 Aaa 1/02 at 100 6,658,062
2,725,000 Williamston Community School District, General
Obligation-Unlimited Tax, Series 1996 (Q-SBLF),
5.500%, 5/01/25 Aaa No Opt. Call 2,711,211
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 5,000,000 City of Wyandotte, County of Wayne, State of
Michigan, 1992 Electric Revenue Refunding
Bonds, 6.250%, 10/01/17 Aaa 10/02 at 102 $ 5,220,450
1,500,000 School District of Ypsilanti, County of Washtenaw,
State of Michigan, 1996 School Building and Site
and Refunding Bonds (General Obligation-
Unlimited Tax), 5.375%, 5/01/26 Aaa 5/07 at 100 1,431,884
1,000,000 Puerto Rico Electric Power Authority, Power
Revenue Bonds, Series X, 5.500%, 7/01/26 Baa1 7/05 at 100 948,430
- ------------------------------------------------------------------------------------------------------------------
$240,665,000 Total Investments - (cost $233,532,539) - 98.5% 249,464,887
=================-------------------------------------------------------------------------------------------------
TEMPORARY INVESTMENTS IN SHORT-TERM
MUNICIPAL SECURITIES - 0.4%
$ 1,000,000 Regents of The University of Michigan, Hospital
================ Revenue Bonds, Series 1995A, Adjustable Rate
Demand Bonds, 3.650%, 12/01/27+ VMIG-1 1,000,000
- ------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 1.1% 2,750,843
- ------------------------------------------------------------------------------------------------------------------
Net Assets - 100% $253,215,730
==================================================================================================================
<CAPTION>
NUMBER OF MARKET MARKET
STANDARD & POOR'S MOODY'S SECURITIES VALUE PERCENT
<S> <C> <C> <C> <C> <C>
SUMMARY OF AAA Aaa 40 $133,249,481 54%
RATINGS* AA+, AA, AA- Aa1, Aa, Aa2, Aa3 17 79,851,511 32
PORTFOLIO OF A+ A1 2 10,814,905 4
INVESTMENTS A, A- A, A2, A3 8 20,024,244 8
(EXCLUDING BBB+, BBB, BBB- Baal, Baa, Baa2, Baa3 3 5,524,746 2
TEMPORARY
INVESTMENTS):
- ------------------------------------------------------------------------------------------------------------------
TOTAL 70 $249,464,887 100%
=================================================================================================================
<FN>
* Ratings: Using the higher of Standard & Poor's or Moody's rating.
** 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>
NUVEEN MICHIGAN PREMIUM INCOME MUNICIPAL FUND, INC. (NMP)
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 1,250,000 Michigan Higher Education Student Loan Authority,
Student Loan and Refunding Revenue Bonds,
Series XV-A, 6.700%, 10/01/05 (Alternative
Minimum Tax) A 10/02 at 102 $ 1,308,863
1,950,000 Michigan Municipal Bond Authority, State
Revolving Fund Revenue Bonds, Series 1994,
7.000%, 10/01/03 Aa No Opt. Call 2,209,350
3,750,000 Michigan Public Power Agency, Belle River Project
Refunding Revenue Bonds, 1993 Series A,
5.250%, 1/01/18 AA- 1/03 at 102 3,503,888
1,775,000 Michigan South Central Power Agency, Power
Supply System Revenue Refunding Bonds, 1992
Series, 5.700%, 11/01/04 Aaa No Opt. Call 1,882,530
2,500,000 Michigan State Hospital Finance Authority, Hospital
Revenue Bonds (Daughters of Charity National
Health System-Providence Hospital), Series 1991,
7.000%, 11/01/21 Aa 11/01 at 102 2,704,700
4,000,000 Michigan State Hospital Finance Authority, Hospital
Revenue and Refunding Bonds (Henry Ford
Health System), Series 1992A, 5.750%, 9/01/17 Aa 9/02 at 102 3,968,800
3,000,000 Michigan State Hospital Finance Authority
(Michigan), Hospital Revenue Refunding Bonds
(St. John Hospital), Series 1993A, 6.000%, 5/15/13 Aaa 5/03 at 102 3,093,450
Michigan State Hospital Finance Authority,
Revenue and Refunding Bonds (The Detroit
Medical Center Obligated Group), Series 1993A:
3,000,000 6.250%, 8/15/13 A 8/03 at 102 3,086,760
3,200,000 6.500%, 8/15/18 A 8/03 at 102 3,343,616
4,000,000 Michigan State Hospital Finance Authority, Hospital
Revenue Refunding Bonds (Oakwood Hospital
Obligated Group), Series 1993A, 5.500%, 11/01/13 Aaa 11/03 at 102 3,952,240
1,500,000 Michigan State Hospital Finance Authority, Hospital
Revenue and Refunding Bonds (The Detroit
Medical Center Obligated Group), Series 1993B,
5.000%, 8/15/02 A No Opt. Call 1,517,970
2,000,000 Michigan State Hospital Finance Authority, Hospital
Revenue and Refunding Bonds (Otsego Memorial
Hospital Gaylord, Michigan), Series 1995,
6.250%, 1/01/20 AA- 1/05 at 102 2,080,020
5,250,000 Michigan State Housing Development Authority,
Single Family Mortgage Revenue Bonds, 1995
Series A, 6.800%, 12/01/16 AA+ 6/05 at 102 5,495,280
2,400,000 Michigan State Housing Development Authority,
Limited Obligation Revenue Bonds (Walled Lake
Villa Project), Series 1993, 6.000%, 4/15/18 Aaa 4/04 at 103 2,416,128
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 1,500,000 Michigan State Housing Development Authority,
Limited Obligation Revenue Bonds (Brenton Village
Green Project), Series 1993, 5.625%, 10/15/18 Aaa 10/03 at 103 $ 1,453,290
Michigan State Housing Development Authority,
Rental Housing Revenue Bonds, 1992 Series A:
4,000,000 6.500%, 4/01/06 A+ 10/02 at 102 4,221,520
4,300,000 6.600%, 4/01/12 A+ 10/02 at 102 4,442,932
1,000,000 Michigan State Housing Development Authority,
Rental Housing Revenue Bonds, 1993 Series A,
5.875%, 10/01/17 Aaa 4/03 at 102 1,000,870
3,050,000 Michigan Strategic Fund, Limited Obligation
Revenue Bonds (Waste Management, Inc. Project),
Series 1992, 6.625%, 12/01/12 (Alternative
Minimum Tax) A1 12/02 at 102 3,292,963
8,500,000 Michigan Strategic Fund, Limited Obligation
Refunding Revenue Bonds (Consumers Power
Company Project), Collateralized Series 1993B,
5.800%, 6/15/10 Aaa 6/03 at 102 8,766,985
1,000,000 Michigan Strategic Fund, Limited Obligation Revenue
Bonds (WMX Technologies, Inc. Project), Series
1993, 6.000%, 12/01/13 (Alternative Minimum Tax) A1 12/03 at 102 1,019,030
1,000,000 State Building Authority, State of Michigan, 1991
Revenue Bonds, Series II, 6.250%, 10/01/20 AA- 10/01 at 102 1,034,250
2,750,000 State Building Authority, State of Michigan, 1991
Revenue Refunding Bonds, Series I,
6.250%, 10/01/20 AA- 10/01 at 102 2,844,188
3,275,000 State of Michigan, Comprehensive Transportation
Bonds, Series 1992A, 5.750%, 5/15/12 AA- 5/02 at 100 3,291,703
2,500,000 State of Michigan, State Trunk Line Fund Bonds,
Series 1989A, 7.000%, 8/15/17 (Pre-refunded
to 8/15/99) AAA 8/99 at 102 2,716,600
1,750,000 State of Michigan, State Trunk Line Fund Bonds,
Series 1994A, 5.700%, 11/15/15 AA- 11/04 at 102 1,757,000
1,500,000 City of Ann Arbor, County of Washtenaw, State of
Michigan, Water Supply System Revenue Bonds,
Series T, 5.500%, 2/01/13 Aaa 2/03 at 101 1/2 1,497,630
2,400,000 Chippewa Valley Schools, County of Macomb, State
of Michigan, 1993 Refunding Bonds (General
Obligation-Unlimited Tax), 5.000%, 5/01/21 Aaa 5/03 at 102 2,150,064
3,000,000 Clarkston Community Schools, County of Oakland,
State of Michigan, 1993 School Building and Site
and Refunding Bonds, 5.900%, 5/01/16 Aa 5/03 at 102 3,027,930
2,500,000 School District of the City of Detroit Wayne County,
Michigan, School Building and Site Bonds
(Unlimited Tax General Obligation), Series 1992,
6.250%, 5/01/12 Aa 5/01 at 102 2,602,475
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 6,500,000 City of Detroit, Michigan, Convention Facility
Limited Tax Revenue Refunding Bonds (Cobo Hall
Expansion Project), Series 1993, 5.250%, 9/30/12 Aaa 9/03 at 102 $ 6,270,810
4,550,000 City of Detroit, Michigan, Sewage Disposal System
Revenue and Revenue Refunding Bonds, Series
1993-A, 5.700%, 7/01/13 Aaa 7/03 at 102 4,584,489
4,500,000 City of Detroit, Michigan, Water Supply System
Revenue and Revenue Refunding Bonds, Series
1993, 4.750%, 7/01/19 Aaa 7/04 at 102 3,878,415
3,000,000 Dexter Community Schools, Counties of Washtenaw
and Livingston, State of Michigan, 1993 School
Building and Site and Refunding Bonds, (General
Obligation Unlimited Tax), 5.000%, 5/01/17 Aa 5/03 at 102 2,747,670
2,000,000 Board of Control of Ferris State University, General
Revenue Bonds, Series 1993, 6.250%, 10/01/19 Aaa 10/03 at 102 2,101,420
6,750,000 The City of Grand Haven, Michigan, Electric System
Revenue Refunding Bonds, 1993 Series,
5.250%, 7/01/16 Aaa 7/03 at 102 6,339,195
4,000,000 City of Kalamazoo Hospital Finance Authority,
Hospital Revenue Refunding and Improvement
Bonds (Bronson Methodist Hospital), Series 1996,
5.750%, 5/15/16 Aaa 5/06 at 102 3,978,840
1,000,000 Kent Hospital Finance Authority (Michigan), Hospital
Revenue Refunding Bonds (Butterworth Hospital),
Series 1993A, 5.100%, 1/15/07 A1 No Opt. Call 985,790
2,000,000 City of Lansing, Board of Water and Light, Ingham
and Easton Counties, State of Michigan, Water
Supply and Electric Utility System Revenue Bonds,
Series 1994A, 4.900%, 7/01/11 Aa 7/01 at 100 1,880,580
6,000,000 County of Monroe, Michigan, Pollution Control
Revenue Bonds (The Detroit Edison Company
Project), Series A-1994, 6.350%, 12/01/04
(Alternative Minimum Tax) Aaa No Opt. Call 6,519,180
County of Monroe, Michigan, Pollution Control
Revenue Bonds (The Detroit Edison Company
Project), Series CC-1992:
2,500,000 6.550%, 6/01/24 (Alternative Minimum Tax) Aaa 6/03 at 102 2,678,875
1,500,000 6.550%, 9/01/24 (Alternative Minimum Tax) Aaa 9/03 at 103 1,614,240
Mount Clemens Housing Corporation, Multifamily
Housing Refunding Revenue Bonds, Series 1992A
(FHA Insured Mortgage Loan-Section 8 Assisted
Project):
1,000,000 6.660%, 6/01/13 AAA 6/03 at 102 1,045,460
1,500,000 6.600%, 6/01/22 AAA 6/03 at 102 1,549,260
1,130,000 Board of Trustees of Oakland University, Michigan,
General Revenue Bonds, Series 1995,
5.750%, 5/15/15 Aaa 5/05 at 102 1,142,566
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 1,000,000 Reeths-Puffer Schools, County of Muskegon, State of
Michigan, 1995 School Building and Site and
Refunding Bonds, 5.750%, 5/01/15 Aaa 5/05 at 101 $ 1,011,090
3,615,000 Saginaw-Midland Municipal Water Supply
Corporation, State of Michigan, Water Supply
System Revenue Bonds (Limited Tax General
Obligation), Series 1993, 5.250%, 9/01/16 A 9/02 at 101 1/2 3,471,701
2,650,000 Regents of the University of Michigan, Hospital
Revenue Bonds, Series 1990, 6.375%, 12/01/24 Aa 12/00 at 100 2,717,415
3,000,000 Regents of the University of Michigan, Hospital
Revenue Refunding Bonds, Series 1993A,
5.500%, 12/01/21 Aa 12/02 at 102 2,876,370
Charter County of Wayne, Michigan, Detroit
Metropolitan Wayne County Airport, Airport Revenue
Bonds (Detroit Metropolitan Wayne County Airport),
Subordinated Lien, Series 1993B:
1,000,000 4.750%, 12/01/02 (Alternative Minimum Tax) Aaa No Opt. Call 1,001,050
1,000,000 4.800%, 12/01/03 (Alternative Minimum Tax) Aaa No Opt. Call 997,750
3,250,000 Board of Trustees of Western Michigan University,
General Revenue Bonds, Series 1993A,
5.500%, 7/15/16 Aaa 7/03 at 102 3,116,945
1,000,000 Western Townships Utilities Authority, Sewage
Disposal System Refunding Bonds, Series 1991,
6.500%, 1/01/10 Aaa 1/02 at 100 1,065,290
5,625,000 Commonwealth of Puerto Rico, Public Improvement
Refunding Bonds, Series 1993 (General Obligation
Bonds), 5.375%, 7/01/06 Aaa No Opt. Call 5,895,730
1,000,000 Commonwealth of Puerto Rico, Public Improvement
Bonds of 1995 (General Obligation Bonds),
5.750%, 7/01/24 Aaa 7/05 at 101 1/2 1,010,480
5,750,000 Puerto Rico Public Buildings Authority, Public
Education and Health Facilities Refunding Bonds,
Series M, Guaranteed by the Commonwealth of
Puerto Rico, 5.750%, 7/01/15 A 7/03 at 101 1/2 5,694,972
1,000,000 Puerto Rico Ports Authority, Special Facilities
Revenue Bonds, 1993 Series A (American Airlines,
Inc. Project), 6.300%, 6/01/23 (Alternative
Minimum Tax) Baa3 6/03 at 102 1,020,730
- ------------------------------------------------------------------------------------------------------------------
$161,420,000 Total Investments - (cost $157,379,870) - 97.8% 162,879,338
=================-------------------------------------------------------------------------------------------------
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
TEMPORARY INVESTMENTS IN SHORT-TERM
MUNICIPAL SECURITIES - 1.4%
$ 700,000 The Economic Development Corporation of the
County of Delta Michigan, Environmental
Improvement Revenue Refunding Bonds, 1985
Series D (Mead-Escanaba Paper Company Project),
Variable Rate Demand Bonds, 3.600%, 12/01/23+ P-1 $ 700,000
200,000 Regents of The University of Michigan, Adjustable
Rate Demand Hospital Revenue Refunding Bonds,
Series 1992A, Variable Rate Demand Bonds,
3.650%, 12/01/19+ VMIG-1 200,000
1,400,000 Regents of The University of Michigan, Hospital
Revenue Bonds, Series 1995A, Adjustable Rate
Demand Bonds, 3.650%, 12/01/27+ VMIG-1 1,400,000
- ------------------------------------------------------------------------------------------------------------------
$ 2,300,000 Total Temporary Investment - 1.4% 2,300,000
=================-------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 0.8% 1,304,671
- ------------------------------------------------------------------------------------------------------------------
Net Assets - 100% $166,484,009
==================================================================================================================
<CAPTION>
NUMBER OF MARKET MARKET
STANDARD & POOR'S MOODY'S SECURITIES VALUE PERCENT
<S> <C> <C> <C> <C> <C>
SUMMARY OF AAA Aaa 29 $ 84,730,872 52%
RATINGS* AA+, AA, AA- Aa1, Aa, Aa2, A3 16 44,741,619 27
PORTFOLIO OF A+ A1 5 13,962,235 9
INVESTMENTS A, A- A, A2, A3 6 18,423,882 11
(EXCLUDING BBB+, BBB, BBB- Baa1, Baa, Baa2, Baa3 1 1,020,730 1
TEMPORARY
INVESTMENTS):
- -----------------------------------------------------------------------------------------------------------------
TOTAL 57 $162,879,338 100%
=================================================================================================================
<FN>
* Ratings: Using the higher of Standard & Poor's or Moody's rating.
** 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 OHIO QUALITY INCOME MUNICIPAL FUND, INC (NUO)
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 2,250,000 Ohio Air Quality Development Authority, State of
Ohio, Air Quality Development Refunding Revenue
Bonds, Series 1992 (Ashland Oil, Inc.
Project), 6.850%, 4/01/10 Baa1 4/01 at 102 $ 2,341,373
4,000,000 Ohio Air Quality Development Authority, State of
Ohio, Collateralized Pollution Control Revenue
Refunding Bonds, Series 1992 (The Cleveland
Electric Illuminating Company Project),
8.000%, 12/01/13 Aaa 6/02 at 103 4,652,640
2,000,000 Ohio Air Quality Development Authority, Air
Quality Development Revenue Refunding Bonds
(JMGFunding Limited Partnership Project), Series
1994, 6.375%, 1/01/29 (Alternative Minimum Tax) Aaa 10/04 at 102 2,099,840
240,000 Ohio Housing Finance Agency, Single Family
Mortgage Revenue Bonds (GNMA Mortgage-
Backed Securities Program), 1988 Series A,
8.250%, 2/01/16 (Alternative Minimum Tax) AAA 2/98 at 103 250,853
9,475,000 Ohio Housing Finance Agency, Single Family
Mortgage Revenue Bonds (GNMA Mortgage-
Backed Securities Program), 1989 Series A,
7.650%, 3/01/29 (Alternative Minimum Tax) AAA 9/99 at 102 10,002,000
500,000 Ohio Water Development Authority, State of Ohio,
Water Development Revenue Refunding Bonds,
Refunding and Improvement Series,
8.000%, 12/01/18 (Pre-refunded to 12/01/00) AAA 12/00 at 100 530,295
1,000,000 Ohio Water Development Authority, State of Ohio,
Water Development Revenue Bonds, 1995 Fresh
Water Series, 5.900%, 12/01/21 Aaa 6/05 at 102 1,013,420
1,500,000 State of Ohio (OPFC), Higher Education Capital
Facilities Bonds, Series II-1992A, 5.500%, 12/01/06 AA- 12/01 at 102 1,549,650
2,400,000 State of Ohio (Ohio Higher Educational Facility
Commission), Higher Educational Facility Mortgage
Revenue Bonds (University of Dayton 1992 Project),
6.600%, 12/01/17 Aaa 12/03 at 102 2,656,224
2,850,000 State of Ohio (Ohio Higher Educational Facility
Commission), Higher Educational Facility Revenue
Bonds (Oberlin College Project), Series 1993,
5.375%, 10/01/15 AA 10/03 at 102 2,748,939
500,000 State of Ohio (Ohio Higher Educational Facility
Commission), Higher Educational Facility Revenue
Bonds (Kenyon College Project), 5.375%, 12/01/16 A+ 12/03 at 102 474,825
1,350,000 State of Ohio (Ohio Higher Educational Facility
Commission), Higher Educational Facility
Revenue Refunding Bonds (John Carroll University),
5.300%, 11/15/14 A 11/03 at 102 1,312,781
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 1,000,000 State of Ohio (Ohio Higher Educational Facility
Commission), Higher Educational Facility Revenue
Bonds (University of Dayton 1994 Project),
5.800%, 12/01/14 Aaa 12/04 at 102 $ 1,020,110
1,200,000 State of Ohio (Ohio Higher Educational Facility
Commission), Higher Educational Facility Revenue
Bonds (The University of Findlay 1996 Project),
6.125%, 9/01/16 N/R 9/06 at 101 1,179,792
1,000,000 State of Ohio (Ohio Higher Educational Facility
Commission), Higher Educational Facility Revenue
Bonds, Series 1992 (Case Western Reserve
University Project), 6.000%, 10/01/22 Aa 10/02 at 102 1,007,530
3,000,000 State of Ohio Department of Transportation,
Certificates of Participation (Richenbacker Port
Authority Improvements), 6.125%, 4/15/15
(Alternative Minimum Tax) AA- 10/97 at 105 2,902,620
1,000,000 State of Ohio (Ohio Building Authority), State
Facilities Bonds (Juvenile Correctional Building
Fund Projects), 1992 Series B, 6.000%, 10/01/12 AA- 10/02 at 102 1,011,220
3,000,000 State of Ohio (Ohio Building Authority), State
Facilities Bonds (Adult Correctional Building Fund
Projects), 1993 Series A, 6.125%, 10/01/12 AA- 10/03 at 102 3,117,330
1,000,000 State of Ohio, Full Faith and Credit, General
Obligation Infrastructure Improvement Bonds,
Series 1992, 0.000%, 9/01/99 Aa No Opt. Call 895,690
4,000,000 State of Ohio, Ohio Air Quality Development
Authority, Air Quality Development Revenue
Refunding Bonds (JMGFunding, Limited
Partnership Project), Series 1994, 6.375%, 4/01/29
(Alternative Minimum Tax) Aaa 10/04 at 102 4,199,680
1,575,000 The Ohio State University (AState University of
Ohio), General Receipts Bonds, Series 1992 A1,
5.875%, 12/01/12 Aa2 12/02 at 102 1,592,577
500,000 Adams County/Ohio Valley School District, Counties
of Adams and Highland, Ohio, School Improvement
Unlimited Tax General Obligation Bonds, Series
1995, 5.250%, 12/01/21 Aaa 12/05 at 102 476,315
1,500,000 City of Akron, Ohio, Waterworks System Mortgage
Revenue Improvement Bonds, Series 1991,
6.550%, 3/01/12 (Pre-refunded to 3/01/01) Aaa 3/01 at 102 1,645,155
2,000,000 County of Ashtabula, Ohio, Industrial Development
Refunding Revenue Bonds, 1992 Series A (Ashland
Oil, Inc. Project), 6.900%, 5/01/10 Baa1 5/02 at 102 2,120,100
2,000,000 City of Barberton, Ohio Hospital Facilities Revenue
Bonds, Series 1992 (The Barberton Citizens
Hospital Company Project), 7.250%, 1/01/12 A 1/02 at 102 2,242,800
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
Berea City School District, Ohio, School Improvement
Bonds, Series 1993 (General Obligation Unlimited
Tax Bonds):
$ 650,000 7.500%, 12/15/06 Aaa 12/03 at 102 $ 758,745
680,000 7.450%, 12/15/07 Aaa 12/03 at 102 788,759
825,000 Bowling Green State University, Ohio, General
Receipts Bonds, Series 1991, 6.700%, 6/01/07 A 6/01 at 102 886,760
1,750,000 Brecksville-Broadview Heights City School District,
Ohio, School Improvement Bonds, Series 1996
(General Obligation Unlimited Tax Bonds),
6.500%, 12/01/16 Aaa 12/06 at 102 1,920,888
1,000,000 Buckeye Local School District General Obligation,
5.625%, 12/01/11 Aaa 12/03 at 102 1,019,430
1,000,000 County of Butler, Ohio, Hospital Facilities Revenue
Refunding and Improvement Bonds, Series 1991
(Fort Hamilton-Hughes Memorial Hospital Center),
7.500%, 1/01/10 Baa 1/02 at 102 1,065,870
445,000 City of Hamilton and County of Butler, Hospital
Facilities Revenue Refunding, Fort Hamilton-
Hughes Memorial Hospital Center, 7.250%, 1/01/01 Baa No Opt. Call 460,014
City of Cambridge, Ohio, Hospital Revenue
Refunding Bonds, Series 1991 (Guernsey Memorial
Hospital Project):
1,680,000 8.000%, 12/01/06 BBB 12/01 at 102 1,856,887
750,000 8.000%, 12/01/11 BBB 12/01 at 102 825,503
2,000,000 County of Carroll, Ohio, Hospital Improvement
Revenue Bonds, Series 1991 (Timken Mercy Medical
Center), 7.125%, 12/01/18 (Pre-refunded to 12/01/01) AAA 12/01 at 102 2,260,200
2,675,000 County of Clermont, Ohio, Hospital Facilities Revenue
Refunding Bonds, Series 1993 A (Mercy Health
System), 5.875%, 1/01/15 Aaa 1/03 at 102 2,718,817
1,385,000 County of Clermont, Ohio, Mortgage Revenue Bonds,
Series 1994, (GNMA Collateralized-S.E.M. Villa II
Project), Series 1994-A, 5.950%, 2/20/30 Aaa 8/03 at 103 1,380,970
2,500,000 County of Clermont, Ohio, Waterworks System
Revenue Bonds, Series 1991, Clermont County
Sewer District, 6.625%, 12/01/14 (Pre-refunded
to 12/01/01) Aaa 12/01 at 102 2,777,825
1,000,000 City of Cleveland, Ohio, Various Purpose General
Obligation Bonds, Series 1991A, 6.750%, 10/01/11
(Pre-refunded to 10/01/01) Aaa 10/01 at 102 1,113,290
2,075,000 City of Cleveland, Ohio, Airport System Revenue
Bonds, 1990 Series A, 7.400%, 1/01/20 (Alternative
Minimum Tax) Aaa 1/00 at 102 2,257,123
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 3,000,000 City of Cleveland, Ohio, Public Power System
Improvement First Mortgage Revenue Bonds,
Series 1991B, 7.000%, 11/15/17 Aaa 11/01 at 102 $ 3,327,600
2,000,000 City of Cleveland, Ohio, Public Power System First
Mortgage Revenue Bonds, Series 1994A,
7.000%, 11/15/24 (Pre-refunded to 11/15/04) Aaa 11/04 at 102 2,321,240
1,000,000 City of Cleveland, Ohio, Regional Sewer District,
6.750%, 4/01/07 (Pre-refunded to 5/15/04) Aaa 5/04 at 100 1,124,210
500,000 Cleveland State University (AState University of
Ohio), General Receipts Bonds, Series 1993,
5.500%, 6/01/13 Aaa 6/03 at 102 500,455
City of Cleveland, Ohio, Waterworks Improvement
First Mortgage Revenue Refunding Bonds,
Series F, 1992B:
2,965,000 6.500%, 1/01/11 Aaa 1/02 at 102 3,210,532
3,720,000 6.250%, 1/01/16 Aaa 1/02 at 102 3,901,387
1,575,000 City of Cleveland, Ohio, Waterworks Improvement
First Mortgage Revenue Bonds, Series F, 1992 A,
6.500%, 1/01/21 (Pre-refunded to 1/01/02) Aaa 1/02 at 102 1,738,154
1,000,000 City of Cleveland, Ohio, Waterworks Improvement
First Mortgage Refunding Revenue Bonds, Series G,
1993, 5.500%, 1/01/21 Aaa No Opt. Call 995,340
7,335,000 City of Cleveland, Waterworks Improvement and
Refunding Revenue Bonds, 1st Mortgage Series
1996-H, 5.750%, 1/01/26 Aaa 1/06 at 102 7,337,494
35,000 City of Cleveland, Ohio, First Mortgage Revenue
Refunding Bonds, Series F, 1992-B, 6.500%, 1/01/11
(Pre-refunded to 1/01/02) Aaa 1/02 at 102 38,626
2,000,000 City of Columbus, Ohio, General Obligation
Refunding Bonds, Series 1992B, 6.500%, 1/01/10 Aaa 1/02 at 102 2,195,080
1,950,000 City School District of Columbus, Franklin County,
Ohio, School Building Renovation and Improvement
Bonds, Series 1992 (General Obligation-Unlimited
Tax), 6.650%, 12/01/12 (Pre-refunded to 12/01/02) Aaa 12/02 at 102 2,188,544
Columbus Municipal Airport Authority, Airport
Improvement Revenue Bonds, Series 1994A (Port
Columbus International Airport Project):
830,000 5.950%, 1/01/08 (Alternative Minimum Tax) Aaa 1/04 at 102 862,636
1,000,000 6.000%, 1/01/14 (Alternative Minimum Tax) Aaa 1/04 at 102 1,023,490
2,500,000 City of Columbus, Ohio, Sewerage System Revenue
Refunding Bonds, Series 1992, 6.250%, 6/01/08 AA- 6/02 at 102 2,658,925
1,500,000 County of Cuyahoga, Ohio, Hospital Improvement
Revenue Bonds, Series 1992 (University Hospitals
Health System, Inc. Project), 6.500%, 1/15/19 Aa 1/02 at 102 1,551,975
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 1,170,000 County of Cuyahoga, Ohio, Hospital Facilities
Revenue Bonds, Series 1993, Health Cleveland,
Inc. (Fairview General Hospital Project),
6.300%, 8/15/15 A1 2/03 at 102 $ 1,190,966
3,250,000 County of Cuyahoga, Ohio, Hospital Revenue Bonds
(Meridia Health System), Series 1991,
7.000%, 8/15/23 A1 8/01 at 102 3,489,428
1,000,000 County of Cuyahoga, Ohio, Hospital Improvement
and Refunding Revenue Bonds, Series 1997 (The
MetroHealth System Project), 5.625%, 2/15/17 (WI) Aaa 2/07 at 102 991,670
3,200,000 City of Dayton, Ohio, Airport Revenue Refunding
Bonds, Series 1992 (James M. Cox Dayton
International Airport), 5.800%, 12/01/11 Aaa 12/02 at 101 1/2 3,271,808
2,000,000 Dublin City School District, Franklin, Delaware and
Union Counties, Ohio, Various Purpose School
Building Construction and Improvement Bonds
(General Obligation - Unlimited Tax),
6.200%, 12/01/19 Aaa 12/02 at 102 2,096,380
1,300,000 County of Franklin, Ohio, Refunding Bonds, Series
1993 (Limited Tax General Obligation Bonds),
5.375%, 12/01/20 Aaa 12/08 at 102 1,262,495
2,200,000 The Franklin County Convention Facilities Authority,
Tax and Lease Revenue Anticipation Refunding
Bonds, Series 1992, 5.850%, 12/01/19 Aaa 12/02 at 102 2,216,962
3,450,000 County of Franklin, Ohio, First Mortgage Revenue,
Series 1979 (OCLC Inc Project), 7.500%, 6/01/09 Aaa No Opt. Call 3,873,281
1,365,000 County of Franklin, Ohio, Health Care Facilities
Revenue Bonds, Series 1993 (Ohio Presbyterian
Retirement Services), 6.500%, 7/01/23 N/R 7/03 at 102 1,304,681
1,500,000 County of Franklin, Ohio, Hospital Revenue
Refunding and Improvement Bonds, 1992 Series A
(The Children's Hospital Project), 6.600%, 5/01/13 Aa 11/02 at 102 1,619,565
3,000,000 County of Franklin, Ohio, Hospital Facilities
Refunding Revenue Bonds, Series 1993A (Riverside
United Methodist Hospital Project), 5.750%, 5/15/20 Aa 5/03 at 102 2,967,450
County of Franklin, Ohio, Hospital Refunding and
Improvement Revenue Bonds, 196 Series A (The
Children's Hospital Project):
1,000,000 5.750%, 11/01/20 Aa 11/06 at 101 989,050
1,500,000 5.875%, 11/01/25 Aa 11/06 at 101 1,499,835
990,000 County of Franklin, Ohio, Multifamily Housing
Mortgage Revenue Bonds, Series 1994A (FHA
Insured Mortgage Loan-Hamilton Creek
Apartments Project), 5.550%, 7/01/24 (Alternative
Minimum Tax) Aa 1/05 at 103 927,858
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 6,180,000 County of Franklin, Ohio, Mortgage Revenue Bonds,
Series 1992A, (FHA Insured Mortgage Loan -
Kensington Place Project), 6.750%, 1/01/34 Aa 1/02 at 103 $ 6,370,220
500,000 County of Franklin, Ohio, Revenue Bonds, Series
1993 (Oclc Online Computer Library Center,
Incorporated Project), 6.000%, 4/15/13 N/R 4/03 at 100 494,690
3,250,000 City of Garfield Heights, Ohio, Hospital Improvement
and Refunding Revenue Bonds, Series 1992B
(Marymount Hospital Project), 6.650%, 11/15/11 A 11/02 at 102 3,463,720
1,250,000 City of Hamilton, Ohio, Electric System Mortgage
Revenue Bonds, 1992 Series B, 6.300%, 10/15/25 Aaa 10/02 at 102 1,321,238
1,000,000 Hamilton County, Ohio, Sewer System Improvement
and Refunding Revenue Bonds, 1991 Series A
(The Metropolitan Sewer District of Greater
Cincinnati), 6.700%, 12/01/13 AAA 6/01 at 102 1,105,370
2,700,000 Indian Lake Local School District, Logan and Auglaize
Counties, Ohio, School Facilities Construction and
Improvement Bonds (General Obligation-
Unlimited Tax), 5.375%, 12/01/23 Aaa 12/06 at 101 2,614,113
3,000,000 Kent State University (A State University of Ohio),
General Receipts Bonds, Series 1992,
6.500%, 5/01/22 Aaa 5/02 at 102 3,253,710
1,500,000 Kent State University, General Receipts Bonds,
Series 1996, 5.500%, 5/01/28 Aaa 11/06 at 102 1,459,515
1,000,000 City of Lakewood, Ohio, Various Purpose General
Obligation Bonds, Series 1992 (Limited Tax
Obligation), 6.500%, 12/01/12 Aa 12/02 at 102 1,089,200
2,100,000 Lakota Local School District, County of Butler, Ohio,
School Improvement Unlimited Tax General
Obligation Bonds, Series 1994, 6.250%, 12/01/14 Aaa 12/05 at 100 2,217,117
1,000,000 County of Marion, Ohio, Health Care Facilities
Refunding and Improvement Revenue Bonds,
Series 1993 (United Church Homes, Inc. Project),
6.300%, 11/15/15 BBB- 11/03 at 102 1,001,220
2,500,000 County of Marion, Ohio, Hospital Refunding and
Improvement Revenue Bonds, Series 1996 (The
Community Hospital), 6.375%, 5/15/11 BBB+ 5/06 at 102 2,535,450
1,400,000 City of Middleburg Heights, Ohio, Hospital
Improvement Revenue Bonds, Series 1991
(Southwest General Hospital Project),
6.750%, 8/15/21 (Pre-refunded to 8/15/01) AAA 8/01 at 102 1,553,006
1,800,000 Montgomery County, Ohio, Sewer System Revenue
Refunding Bonds, Greater Moraine Beavercreek
Sewer District, Series 1993, 5.600%, 9/01/11 Aaa 9/02 at 102 1,823,742
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 1,500,000 County of Montgomery, Ohio, Hospital Facilities
Revenue Refunding and Improvement Bonds,
Series 1996 (Kettering Medical Center),
5.625%, 4/01/16 Aaa 4/06 at 102 $ 1,489,440
1,000,000 County of Montgomery, Ohio, Water Revenue Bonds,
Greater Moraine-Beavercreek Sewer District Series
1992, 6.250%, 11/15/17 Aaa 11/02 at 102 1,053,690
2,500,000 City of Mount Vernon, Ohio, Hospital Refunding
Revenue Bonds, Series 1986A (Knox Community
Hospital), 7.875%, 6/01/12 N/R 6/02 at 100 2,577,300
1,000,000 City of Newark, Ohio, Water System Improvement
Bonds (Limited Tax General Obligation),
6.000%, 12/01/18 Aaa 12/03 at 102 1,028,540
North Canton City School District, Ohio, School
Improvement Bonds, Series 1994 (General
Obligation Unlimited Tax):
650,000 9.750%, 12/01/03 Aaa No Opt. Call 838,559
715,000 9.700%, 12/01/04 Aaa No Opt. Call 939,832
2,000,000 Northeast Ohio Regional Sewer District, Wastewater
Improvement Revenue Refunding Bonds, Series
1995, 5.600%, 11/15/16 Aaa 11/05 at 101 1,989,160
1,250,000 City of Oxford, Ohio, Water Supply System Mortgage
Revenue, Series 1992 Refunding Bonds,
6.000%, 12/01/14 Aaa 12/02 at 102 1,295,263
1,000,000 Pickerington Local School District, Fairfield and
Franklin Counties, Ohio, School Building
Construction and Improvement Bonds (General
Obligation-Unlimited Tax), 5.375%, 12/01/19 Aaa 12/04 at 102 958,080
1,000,000 Revere Local School District, Ohio, School
Improvement Bonds, Series 1993 (General
Obligation Unlimited Tax Bonds), 6.000%, 12/01/16 Aaa 12/03 at 102 1,032,760
1,400,000 Reynoldsburg City School District, Franklin, Fairfield
and Licking Counties, Ohio, General Obligation
Bonds (Unlimited Tax), For School Building
Construction and Improvement, 6.550%, 12/01/17 Aaa 12/02 at 102 1,526,896
1,000,000 Solon City School District, Ohio, School
Improvement Bonds, Series 1990, General
Obligation Unlimited Tax Bonds, 7.150%, 12/01/13
(Pre-refunded to 12/01/01) N/R 12/01 at 102 1,128,380
2,000,000 Southwest Regional Water District (Ohio),
Waterworks System Revenue Bonds, Series 1995,
6.000%, 12/01/20 Aaa 12/05 at 101 2,058,920
2,870,000 City of Strongsville, Ohio, Various Purpose
Improvement Bonds, Series 1996 (General
Obligation-Limited Tax), 5.950%, 12/01/21 Aa 12/06 at 102 2,924,702
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 3,895,000 The Student Loan Funding Corporation, Cincinnati,
Ohio, Student Loan Subordinated Revenue
Refunding Bonds, Series 1992 D, 6.600%, 7/01/05
(Alternative Minimum Tax) A 7/02 at 100 $ 4,014,692
1,700,000 The Student Loan Funding Corporation, Cincinnati,
Ohio, Student Loan Senior Subordinated Revenue
Bonds, Series 1993 A, 6.150%, 8/01/10 (Alternative
Minimum Tax) A1 8/03 at 100 1,713,106
1,000,000 Sylvania City School District, General Obligation
(Unlimited Tax), Series 1995, 5.800%, 12/01/15 Aaa 12/05 at 101 1,020,110
3,000,000 Toledo-Lucas County, Lodging Tax Convention
Center, Series 1996, 5.700%, 10/01/15 Aaa 10/06 at 102 3,039,300
1,135,000 City of Toledo, Ohio, General Obligation (Limited
Tax), Various Purpose Improvement Bonds, Series
1994, 7.000%, 12/01/03 Aaa No Opt. Call 1,291,300
750,000 County of Tuscarawas, Ohio, Hospital Facilities
Revenue Bonds, Series 1993A (Union Hospital
Project), 6.500%, 10/01/21 Baa 10/03 at 102 746,084
3,500,000 University of Cincinnati, General Receipts Bonds,
Series D, 6.300%, 6/01/12 AA- 12/02 at 102 3,693,024
1,000,000 The University of Toledo (A State University of Ohio),
General Receipts Bonds, Series 1992B,
5.900%, 6/01/20 Aaa 12/02 at 102 1,010,830
1,000,000 Upper Arlington City School District, General
Obligation Bonds, Series 1996, 5.250%, 12/01/22 Aaa 12/06 at 101 951,770
1,000,000 City of Washington, Ohio, Water System Mortgage
Revenue Bonds, Series 1993, 5.375%, 12/01/19 Aaa 12/03 at 101 947,100
2,000,000 Board of Education, Wayne Local School District,
County of Warren, Ohio, School Improvement
Bonds, Series 1996 (Unlimited Tax General
Obligation), 6.100%, 12/01/24 Aaa 12/06 at 102 2,077,740
3,000,000 Board of Education, West Clermont Local School
District, County of Clermont, Ohio, School
Improvement Bonds, Series 1995 (Unlimited Tax
General Obligation), 6.000%, 12/01/18 Aaa 12/05 at 100 3,083,490
1,820,000 Worthington City School District, Franklin County,
Ohio, General Obligation Refunding Bonds
(Unlimited Tax), 6.375%, 12/01/12 Aaa 6/02 at 102 1,962,378
1,500,000 Commonwealth of Puerto Rico, Public Improvement
Refunding Bonds, Series 1987 (General Obligation
Bonds), 3.000%, 7/01/06 A 7/97 at 100 1,243,320
2,500,000 Commonwealth of Puerto Rico, Public Improvement
Bonds of 1992 (General Obligation Bonds),
6.600%, 7/01/13 (Pre-refunded to 7/01/02) Aaa 7/02 at 101 1/2 2,792,150
2,000,000 Commonwealth of Puerto Rico, Public Improvement
Bonds of 1996 (General Obligation Bonds),
5.400%, 7/01/25 A 7/06 at 101 1/2 1,890,460
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 1,300,000 Puerto Rico Public Buildings Authority, Public
Education and Health Facilities Refunding Bonds,
Series M, Guaranteed by the Commonwealth of
Puerto Rico, 5.750%, 7/01/15 A 7/03 at 101 1/2 $ 1,287,558
1,000,000 Puerto Rico Industrial, Medical and Environmental
Pollution Control Facilities Financing Authority,
Adjustable Rate Industrial Revenue Bonds, 1983
Series A (Motorola, Inc. Project), 6.750%, 1/01/14 AA 1/02 at 103 1,095,240
- ------------------------------------------------------------------------------------------------------------------
$213,255,000 Total Investments - (cost $213,178,732) - 99.2% 222,815,442
=================-------------------------------------------------------------------------------------------------
TEMPORARY INVESTMENTS IN SHORT-TERM
MUNICIPAL SECURITIES - 0.4%
$ 800,000 Ohio Air Quality Development Authority, State of
================ Ohio, Air Quality Development Revenue Refunding
Bonds (The Cincinnati Gas and Electric Company
Project), 1995 Series B, Variable Rate Demand
Bonds, 3.650%, 9/01/30+ VMIG-1 800,000
- ------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 0.4% 1,089,815
- ------------------------------------------------------------------------------------------------------------------
Net Assets - 100% $224,705,257
==================================================================================================================
<CAPTION>
NUMBER OF MARKET MARKET
STANDARD & POOR'S MOODY'S SECURITIES VALUE PERCENT
<S> <C> <C> <C> <C> <C>
SUMMARY OF AAA Aaa 70 $137,755,082 62%
RATINGS* AA+, AA, AA- Aa1, Aa, Aa2, Aa3 20 42,212,600 19
PORTFOLIO OF A+ A1 4 6,868,325 3
INVESTMENTS A, A- A, A2, A3 8 16,342,091 7
(EXCLUDING BBB+, BBB, BBB- Baa1, Baa, Baa2, Baa3 9 12,952,501 6
TEMPORARY Non-rated Non-rated 5 6,684,843 3
INVESTMENTS):
- -----------------------------------------------------------------------------------------------------------------
TOTAL 116 $222,815,442 100%
=================================================================================================================
<FN>
* Ratings: Using the higher of Standard & Poor's or Moody's rating.
N/R - Investment is not rated.
(WI) Security purchased on a when-issued basis (note 1).
** 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>
NUVEEN TEXAS QUALITY INCOME MUNICIPAL FUND (NTX)
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 4,490,000 Board of Regents of Texas Southern University,
Consolidated Revenue Refunding Bonds, Series
1993-A, 5.750%, 8/01/18 Aaa 8/03 at 101 $ 4,459,872
4,900,000 Board of Regents of Texas Tech University, Revenue
Financing System Refunding and Improvement
Bonds, Third Series (1996), 5.375%, 2/15/17 Aaa 2/06 at 100 4,736,634
3,070,000 State of Texas, Veterans' Bonds, Series 1985, General
Obligation Bonds, 8.300%, 12/01/16
(Pre-refunded to 12/01/99) AAA 12/99 at 100 3,405,183
4,595,000 State of Texas, Veterans' Housing Assistance Bonds,
Series 1993, General Obligation Bonds,
6.800%, 12/01/23 (Alternative Minimum Tax) Aa 12/03 at 102 4,789,369
2,000,000 State of Texas, Veteran's Land Bonds, Series 1994,
General Obligation Bonds, 6.400%, 12/01/24
(Alternative Minimum Tax) Aa 12/04 at 100 2,098,220
5,000,000 Texas Department of Housing and Community
Affairs, Single Family Mortgage Revenue Bonds,
1996 Series E, 6.000%, 9/01/17 Aaa 9/06 at 102 5,007,950
1,500,000 Texas Health Facilities Development Corporation,
Hospital Revenue Bonds (All Saints Episcopal
Hospitals of Fort Worth Project), Series 1993B,
6.250%, 8/15/22 Aaa 8/03 at 102 1,568,010
625,000 Texas Municipal Power Agency, Refunding Revenue
Bonds, Series 1992, 5.750%, 9/01/12
(Pre-refunded to 9/01/02) Aaa 9/02 at 100 662,063
2,015,000 Texas Turnpike Authority, Dallas North Tollway
Revenue Bonds, Series 1989, 6.000%, 1/01/20 A 1/98 at 100 2,017,277
3,500,000 Abilene Health Facilities Development Corporation,
Hospital Revenue Refunding and Improvement
Bonds (Hendrick Medical Center Project), Series
1995C, 6.150%, 9/01/25 Aaa 9/05 at 102 3,622,255
345,000 Abilene Housing Development Corporation, First
Lien Revenue Bonds, Series 1978, 7.000%, 7/01/08 N/R No Opt. Call 343,661
Alamo Community College District, General
Obligation Bonds, Series 1992:
1,000,000 5.000%, 2/15/10 Aa 2/00 at 100 965,150
1,000,000 5.000%, 2/15/11 Aa 2/00 at 100 958,590
5,295,000 Alliance Airport Authority, Inc., Special Facilities
Revenue Bonds, Series 1990 (American Airlines,
Inc. Project), 7.500%, 12/01/29 (Alternative
Minimum Tax) Baa2 12/00 at 102 5,653,948
4,500,000 Amarillo Health Facilities Corporation Hospital
Revenue Bonds (High Plains Baptist Hospital
Project), Series 1992C, 6.500%, 1/01/07 Aaa 1/02 at 102 4,887,090
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 3,500,000 City of Austin, Texas, Combined Utility Systems
Revenue Refunding Bonds, Series 1991,
6.750%, 5/15/12 (Pre-refunded to 5/15/01) A 5/01 at 102 $ 3,847,865
2,500,000 City of Austin, Texas, Combined Utility Systems
Revenue Refunding Bonds, Series 1992,
5.750%, 11/15/16 Aaa 11/02 at 100 2,507,675
1,885,000 Baytown Housing Finance Corporation, Single Family
Mortgage Revenue Refunding Bonds, Series
1992-A, 8.500%, 9/01/11 A1 9/02 at 103 2,096,610
1,000,000 The City of Beaumont, Texas, Public Improvement
Bonds, Series 1992, 6.250%, 3/01/10
(Pre-refunded to 3/01/02) Aaa 3/02 at 100 1,077,980
1,000,000 Bexar Metropolitan Water District, Waterworks
System Revenue Bonds, Series 1994,
5.000%, 5/01/19 (Pre-refunded to 5/01/15) Aaa 5/15 at 100 955,530
1,225,000 Brazos River Authority (Texas), Collateralized
Pollution Control Revenue Bonds (Texas Utilities
Electric Company Project), Series 1990A,
8.125%, 2/01/20 (Alternative Minimum Tax) BBB+ 2/00 at 102 1,339,378
2,110,000 Brazos River Authority (Texas), Collateralized
Pollution Control Revenue Bonds (Texas Utilities
Electric Company Project), Series 1987A,
9.875%, 10/01/17 (Alternative Minimum Tax) BBB+ 10/97 at 102 2,220,205
2,000,000 Brazos River Authority (Texas), Collateralized
Pollution Control Revenue Bonds (Texas Utilities
Electric Company Project), Series 1994A,
7.875%, 3/01/21 (Alternative Minimum Tax) BBB+ 3/01 at 102 2,192,060
1,500,000 Brazos River Authority (Texas), Collateralized
Pollution, Control Revenue Refunding Bonds (Texas
Utilities Electric Company Project), Series 1992,
6.500%, 12/01/27 (Alternative Minimum Tax) Aaa 12/02 at 102 1,606,200
5,500,000 Brazos River Authority (Texas), Collateralized
Revenue Refunding Bonds (Houston Lighting and
Power Company Project), Series 1988D,
7.750%, 10/01/15 A2 10/98 at 102 5,848,040
1,200,000 Brazos River Authority (Texas), Collateralized
Revenue Refunding Bonds (Houston Lighting and
Power Company Project), Series 1993,
5.600%, 12/01/17 Aaa 12/03 at 102 1,168,968
2,300,000 Brazos Higher Education Authority, Inc., Student
Loan Revenue Refunding Bonds, Series 1992-A,
6.875%, 9/01/04 (Alternative Minimum Tax) A 3/02 at 102 2,485,081
1,055,000 Brazos Higher Education Authority, Inc., Student
Loan Revenue Refunding Bonds, Series 1992C-1,
6.650%, 11/01/04 (Alternative Minimum Tax) Aa No Opt. Call 1,129,367
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 250,000 Brazos Higher Education Authority, Inc. Student
Loan Revenue Refunding Bonds, Subordinate
Series 1993A-2, 6.800%, 12/01/04 (Alternative
Minimum Tax) A No Opt. Call $ 272,258
2,000,000 City of Brownsville, Texas, General Obligation
Refunding Bonds, Series 1991, 6.750%, 2/15/12
(Pre-refunded to 2/15/01) Aaa 2/01 at 100 2,170,980
3,500,000 City of Brownsville, Texas Utilities System Priority
Revenue Bonds, Series 1990, 6.500%, 9/01/17
(Pre-refunded to 9/01/00) Aaa 9/00 at 102 3,808,875
4,035,000 City of Bryan, Texas (Brazos County), Lease Revenue
Bonds (Blinn College Project), Series 1995,
5.300%, 10/01/16 Aaa 10/05 at 100 3,847,574
2,500,000 Burleson Independent School District (Johnson and
Tarrant Counties, Texas), Unlimited Tax Refunding
Bonds, Series 1995, 5.375%, 8/01/19 Aaa 8/06 at 100 2,399,225
1,000,000 Caddo Mills Independent School District (Hunt
County, Texas), Unlimited Tax School Building and
Refunding Bonds, Series 1995, 6.375%, 8/15/25 AAA 2/05 at 100 1,053,220
4,130,000 Coppell Independent School District (Dallas County,
Texas), Unlimited Tax School Building and
Refunding Bonds, Series 1992, 0.000%, 8/15/14 Aaa 8/09 at 75 10/32 1,474,369
City of Corpus Christi, Texas, General Improvement
and Refunding Bonds, Series 1992:
1,975,000 6.700%, 3/01/08 (Pre-refunded to 3/01/02) Aaa 3/02 at 100 2,168,214
1,475,000 6.700%, 3/01/08 Aaa 3/02 at 100 1,587,277
5,020,000 Dallas-Fort Worth International Airport, Facility
Improvement Corporation, United Parcel Service,
Inc. Revenue Bonds, Series 1992, 6.600%, 5/01/32
(Alternative Minimum Tax) Aaa 5/02 at 102 5,325,316
1,500,000 City of Dallas, Texas (Dallas, Denton and Collin
Counties), Combination Tax and Surplus Revenue,
Certificates of Obligation, Series 1992,
6.250%, 1/01/20 AAA 1/02 at 100 1,546,830
1,000,000 City of Dallas, Texas (Dallas County), Civic Center
Convention Complex, Senior Lien Revenue Bonds,
1985 Series, 8.000%, 1/01/09 A 7/97 at 100 1,015,930
2,130,000 City of Dallas, Texas (Dallas, Denton and Collin
Counties), Waterworks and Sewer System Revenue
Refunding and Improvement Bonds, Series 1995,
4.500%, 4/01/14 Aa 4/02 at 101 1/2 1,838,637
1,645,000 El Paso Housing Finance Corporation, Single Family
Mortgage Revenue Refunding Bonds, Series 1991A,
8.750%, 10/01/11 A 4/01 at 103 1,836,741
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 2,800,000 City of Ennis, Texas (Ennis County), General
Obligation Refunding and Improvement Bonds,
Series 1992, 6.500%, 8/01/13 Aaa 8/02 at 100 $ 3,001,880
1,185,000 Fort Bend County Levee Improvement District
No. 11 (APolitical Subdivision of the State of
Texas, located within Fort Bend County), Unlimited
Tax Levee Improvement Bonds, Series 1994,
6.900%, 9/01/17 Aaa 9/04 at 100 1,311,807
1,450,000 Industrial Development Corporation of The City of
Galveston, Sales Tax Revenue Bonds, Series 1995,
5.750%, 9/01/15 Aaa 9/05 at 100 1,458,207
1,120,000 City of Galveston Property Finance Authority, Inc.,
Single Family Mortgage Revenue Bonds, Series
1991A, 8.500%, 9/01/11 A 9/01 at 103 1,214,461
1,000,000 City of Georgetown Higher Eduction, Finance
Corporation, Higher Education Revenue Bonds,
Series 1994 (Southwestern University Project),
6.300%, 2/15/14 A1 2/04 at 100 1,029,980
3,000,000 Guadalupe-Blanco River Authority, Sewage and
Solid Waste Disposal Facility Bonds (E.I. du Pont
de Nemours and Company Project), Series 1996,
6.400%, 4/01/26 (Alternative Minimum Tax) AA- 4/06 at 102 3,146,910
2,000,000 Harris County, Texas, Toll Road Unlimited Tax and
Subordinate Lien, Revenue Refunding Bonds, Series
1992A, 6.500%, 8/15/15 Aa 8/02 at 102 2,150,580
3,500,000 Harris County, Texas, Toll Road Senior Lien, Revenue
Refunding Bonds, Series 1994, 5.375%, 8/15/20 Aaa 8/04 at 102 3,312,330
Harris County, Texas, Toll Road Senior Lien Revenue
Refunding Bonds, Series 1992A:
1,780,000 6.500%, 8/15/17 (Pre-refunded to 8/15/02) Aaa 8/02 at 102 1,979,218
320,000 6.500%, 8/15/17 Aaa 8/02 at 102 348,077
Harris County, Texas, Toll Road Senior Lien Revenue
Refunding Bonds, Series 1992B:
1,680,000 6.625%, 8/15/17 (Pre-refunded to 8/15/97) Aaa 8/97 at 102 1,740,967
320,000 6.625%, 8/15/17 Aaa 8/97 at 102 331,190
4,000,000 Harris County Health Facilities Development
Corporation, Hospital Revenue Bonds (Texas
Children's Hospital Project), Series 1989A,
7.000%, 10/01/19 (Pre-refunded to 10/01/99) Aaa 10/99 at 102 4,355,840
6,110,000 Harris County Health Facilities Development
Corporation (Texas), Hospital Revenue Bonds
(Memorial Hospital System Project), Series 1992,
7.125%, 6/01/15 A2 6/02 at 102 6,611,631
3,070,000 The Harrison County Finance Corporation, Single
Family Mortgage Revenue Refunding Bonds, Series
1991, 8.875%, 12/01/11 A 12/01 at 103 3,244,929
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 1,000,000 City of Houston, Texas, Airport System Subordinate
Lien, Revenue Bonds, 8.000%, 7/01/08 (Alternative
Minimum Tax) A 7/98 at 102 1/2 $ 1,064,000
5,000,000 City of Houston, Texas, Airport System Subordinate
Lien Revenue Bonds, Series 1991A, 6.750%, 7/01/21
(Alternative Minimum Tax) Aaa 7/01 at 102 5,341,850
1,760,000 Houston Housing Finance Corporation, Single Family
Mortgage Revenue Refunding Bonds, Series 1993A,
5.950%, 12/01/10 Aaa 6/03 at 102 1,787,069
4,000,000 City of Houston, Texas, Water and Sewer System,
Junior Lien Revenue Refunding Bonds, Series
1991C, 6.375%, 12/01/17 Aaa 12/01 at 102 4,230,560
1,000,000 City of Houston, Texas, Water and Sewer System,
Prior Lien Revenue Refunding Bonds, Series 1992B,
6.375%, 12/01/14 A 12/02 at 102 1,048,830
800,000 City of Laredo, Texas (Webb County), Combination
Tax and Waterworks System, Revenue Certificates
of Obligation, Series 1994, 5.625%, 8/15/11 Aaa 8/04 at 100 810,760
1,125,000 City of Laredo, Texas (Webb County), International
Toll Bridge System, Revenue Bonds, Series 1996,
5.700%, 10/01/10 Aaa 10/06 at 100 1,156,118
1,850,000 Lubbock Health Facilities Development Corporation,
Hospital Revenue Bonds (Methodist Hospital,
Lubbock, Texas Project), 5.500%, 12/01/14 Aaa 12/03 at 102 1,753,264
1,500,000 Matagorda County Navigation District Number
One (Texas), Pollution Control Revenue Refunding
Bonds (Central Power and Light Company Project),
Series 1993, 6.000%, 7/01/28 A- 7/03 at 102 1,503,150
1,800,000 Matagorda County, Navigation District Number One
(Texas), Collateralized Pollution Control Revenue
Bonds (Houston Lighting and Power Company
Project Series 1989A, 7.875%, 2/01/19 (Alternative
Minimum Tax) A 2/98 at 102 1,887,588
5,750,000 Midland County Hospital District, Hospital Revenue
Bonds, Series 1992, 0.000%, 6/01/11 BBB No Opt. Call 2,332,143
1,000,000 North Central Texas Health Facilities Development
Corporation, Hospital Revenue Bonds (Presbyterian
Healthcare System Project), Series 1996-A,
5.750%, 6/01/26 Aaa 6/06 at 102 986,650
2,500,000 North Texas Higher Educational Authority, Inc.
Student Loan Revenue Bonds, Series 1993C,
6.100%, 4/01/08 (Alternative Minimum Tax) Aa 4/03 at 102 2,519,725
1,500,000 North Texas Municipal Water District, Regional
Solid Waste Disposal System, Refunding and
Improvement Revenue Bonds, Series 1993,
5.250%, 9/01/12 Aaa 9/03 at 100 1,471,005
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 1,085,000 Port Arthur Housing Finance Corporation, Single
Family Mortgage Revenue Refunding Bonds,
Series 1992, 8.700%, 3/01/12 A 9/02 at 103 $ 1,190,516
4,500,000 Port of Corpus Christi Authority of Nueces County
(Texas), Pollution Control Revenue Bonds (Hoechst
Celanese Corporation), Series 1992,
6.875%, 4/01/17 (Alternative Minimum Tax) A+ 4/02 at 102 4,804,380
2,000,000 City of San Antonio, Texas, Electric and Gas Systems
Revenue Refunding Bonds, New Series 1992,
5.000%, 2/01/17 Aa1 2/02 at 101 1,813,160
4,580,000 City of San Antonio, Texas, Hotel Occupancy Tax
Revenue Bonds (Henry B Gonzalez Convention
Center Project), 5.700%, 8/15/26 Aaa 8/06 at 102 4,512,308
4,500,000 City of San Antonio, Texas, Water System Revenue
Refunding Bonds, Series 1992, 6.500%, 5/15/10 Aaa 5/02 at 102 4,882,500
1,825,000 Socorro Independent School District (El Pasco,
County, Texas), Unlimited Tax School Building
Bonds, Series 1996, 5.750%, 2/15/21 Aaa 2/06 at 100 1,821,405
2,500,000 Tarrant County Water Control and Improvement
District Number One (Tarrant County, Texas),
Water Revenue Refunding and Improvement Bonds,
Series 1992, 5.750%, 3/01/13 (Pre-refunded
to 3/01/01) Aaa 3/01 at 100 2,622,400
2,500,000 City of Terrell Hills, Texas, Higher Education
Facilities Corporation, Higher Education Revenue
and Refunding Bonds (Incarnate Word College
Project), Series 1993, 5.750%, 3/15/13 AAA 3/03 at 101 1/2 2,494,600
5,400,000 Travis County Health Facilities Development
Corporation, Hospital Revenue Bonds (Daughters
of Charity National Health System - Daughters of
Charity Health Services of Austin), Series 1993B,
6.000%, 11/15/22 Aa 11/03 at 102 5,441,418
3,310,000 Travis County Housing Finance Corporation (Texas),
Residential Mortgage Bonds (GNMA and FNMA
Mortgage-Backed Securities Program), Senior Bonds,
Series 1991A, 7.050%, 12/01/25 AAA 12/01 at 103 3,522,204
1,445,000 Tyler Junior College District (Smith and Van Zanlt
Counties, Texas), Combined Fee Improvement
Revenue and Refunding Bonds, Series 1994,
5.900%, 8/15/13 Aaa 8/04 at 100 1,483,017
2,000,000 Board of Regents of The University of Houston
System, Consolidated Revenue Bonds, Series 1995,
6.000%, 2/15/17 Aaa 2/05 at 100 2,049,200
1,850,000 Victoria Housing Finance Corporation, Single Family
Mortgage Revenue Refunding Bonds, Series 1995,
8.125%, 1/01/11 Aaa No Opt. Call 1,993,097
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION RATINGS* PROVISIONS** VALUE
<S> <C> <C> <C> <C>
$ 1,500,000 City of Weatherford, Texas (Parker County), Utility
System Revenue Bonds, Series 1994,
5.700%, 9/01/13 Aaa 9/04 at 100 $ 1,513,230
1,225,000 Weslaco Independent School District Permanent
School Fund Guarantee, Series 1996 General
Obligation Refunding Bonds, 5.700%, 2/15/15 Aaa 2/06 at 100 1,233,991
- ------------------------------------------------------------------------------------------------------------------
$206,910,000 Total Investments - (cost $198,126,735) - 98.1% 208,503,822
=================-------------------------------------------------------------------------------------------------
TEMPORARY INVESTMENTS IN SHORT-TERM
MUNICIPAL SECURITIES - 0.3%
$ 600,000 Harris County Health Facilities Development
================= Corporation, Hospital Revenue Bonds (The
Methodist Hospital), Series 1994, Variable Rate
Demand Bonds, 3.650%, 12/01/25+ A-1+ 600,000
- ------------------------------------------------------------------------------------------------------------------
Other Assets Less Liabilities - 1.6% 3,340,719
- ------------------------------------------------------------------------------------------------------------------
Net Assets - 100% $212,444,541
==================================================================================================================
<PAGE>
<CAPTION>
NUMBER OF MARKET MARKET
STANDARD & POOR'S MOODY'S SECURITIES VALUE PERCENT
<S> <C> <C> <C> <C> <C>
SUMMARY OF AAA Aaa 51 $124,552,034 60%
RATINGS* AA+, AA, AA- Aa1, Aa, Aa2, Aa3 11 26,851,126 13
PORTFOLIO OF A+ A1 3 7,930,970 4
INVESTMENTS A, A- A, A2, A3 15 35,088,297 16
(EXCLUDING BBB+, BBB, BBB- Baa1, Baa, Baa2, Baa3 5 13,737,734 6
TEMPORARY Non-rated Non-rated 1 343,661 1
INVESTMENTS):
- ----------------------------------------------------------------------------------------------------------------
TOTAL 86 $208,503,822 100%
================================================================================================================
<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>
STATEMENT OF NET ASSETS
(Unaudited)
NAZ NUM NMP NUO
<S> <C> <C> <C> <C>
ASSETS
Investments in municipal securities, at market
value (note 1) $ 92,087,369 $249,464,887 $162,879,338 $222,815,442
Temporary investments in short-term municipal
securities, at amortized cost (note 1) 400,000 1,000,000 2,300,000 800,000
Cash 160,185 -- -- 234,669
Receivables:
Interest 691,108 3,932,443 2,131,335 2,788,370
Investments sold 35,000 -- -- 5,000
Other assets 2,643 5,708 3,913 11,362
------------ ------------ ------------ ------------
Total assets 93,376,305 254,403,038 167,314,586 226,654,843
------------ ------------ ------------ ------------
LIABILITIES
Cash overdraft -- 79,720 144,508 --
Payable for investments purchased -- -- -- 986,001
Accrued expenses:
Management fees (note 6) 51,267 138,220 91,311 122,814
Other 38,834 67,854 78,253 86,486
Preferred share dividends payable 2,465 7,342 9,778 12,185
Common share dividends payable 288,937 894,172 506,727 742,100
------------ ------------ ------------ ------------
Total liabilities 381,503 1,187,308 830,577 1,949,586
------------ ------------ ------------ ------------
Net assets (note 7) $ 92,994,802 $253,215,730 $166,484,009 $224,705,257
============ ============ ============ ============
Preferred shares, at liquidation value $ 30,000,000 $ 80,000,000 $ 56,000,000 $ 77,000,000
============ ============ ============ ============
Preferred shares outstanding 1,200 3,200 2,240 3,080
============ ============ ============ ============
Common shares outstanding 4,280,555 11,247,450 7,677,686 9,276,249
============ ============ ============ ============
Netasset value per Common share outstanding
(net assets less Preferred
shares at liquidation value,
divided by Common shares outstanding) $ 14.72 $ 15.40 $ 14.39 $ 15.92
============ ============ ============ ============
See accompanying notes to financial statements.
<PAGE>
<CAPTION>
NTX
<S> <C>
ASSETS
Investments in municipal securities, at market
value (note 1) $208,503,822
Temporary investments in short-term municipal
securities, at amortized cost (note 1) 600,000
Cash 357,507
Receivables:
Interest 3,878,071
Investments sold 15,438
Other assets 7,198
------------
Total assets 213,362,036
------------
LIABILITIES
Cash overdraft --
Payable for investments purchased --
Accrued expenses:
Management fees (note 6) 116,140
Other 56,738
Preferred share dividends payable 12,007
Common share dividends payable 732,610
------------
Total liabilities 917,495
------------
Net assets (note 7) $212,444,541
============
Preferred shares, at liquidation value $ 69,000,000
============
Preferred shares outstanding 2,760
============
Common shares outstanding 9,392,432
============
Netasset value per Common share
outstanding (net assets less Preferred
shares at liquidation value, divided by
Common shares outstanding) $ 15.27
============
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
STATEMENT OF OPERATIONS
Six months ended January 31, 1997
(Unaudited)
NAZ NUM NMP NUO
<S> <C> <C> <C> <C>
INVESTMENT INCOME
Tax-exempt interest income (note 1) $ 2,662,448 $ 7,683,994 $ 4,739,277 $ 6,652,273
----------- ----------- ----------- -----------
Expenses:
Management fees (note 6) 304,047 821,244 541,965 728,005
Preferred shares--auction fees 37,499 99,999 70,000 96,249
Preferred shares--dividend disbursing agent fees 7,500 7,500 13,333 22,500
Shareholders' servicing agent fees and expenses 3,738 17,504 12,068 18,713
Custodian's fees and expenses 19,956 27,919 23,116 26,978
Directors'/Trustees' fees and expenses (note 6) 704 1,228 943 1,131
Professional fees 8,766 9,253 7,159 8,526
Shareholders' reports--printing and mailing expenses 5,507 30,362 22,723 26,734
Stock exchange listing fees 8,121 12,280 12,975 16,433
Investor relations expense 3,156 9,681 6,653 8,999
Other expenses 6,155 9,922 10,590 10,108
----------- ----------- ----------- -----------
Total expenses 405,149 1,046,892 721,525 964,376
----------- ----------- ----------- -----------
Net investment income 2,257,299 6,637,102 4,017,752 5,687,897
----------- ----------- ----------- -----------
REALIZED AND UNREALIZED GAIN
(LOSS) FROM INVESTMENTS
Net realized gain (loss) from investment transactions
(notes 1 and 3) 5,523 177,697 (15,513) 77,444
Net change in unrealized appreciation or depreciation
of investments 849,572 1,532,044 1,746,138 2,032,193
----------- ----------- ----------- -----------
Net gain from investments 855,095 1,709,741 1,730,625 2,109,637
----------- ----------- ----------- -----------
Net increase in net assets from operations $ 3,112,394 $ 8,346,843 $ 5,748,377 $ 7,797,534
=========== =========== =========== ===========
See accompanying notes to financial statements.
<PAGE>
<CAPTION>
NTX
<S> <C>
INVESTMENT INCOME
Tax-exempt interest income (note 1) $ 6,500,896
-----------
Expenses:
Management fees (note 6) 689,310
Preferred shares--auction fees 86,250
Preferred shares--dividend disbursing agent fees 15,000
Shareholders' servicing agent fees and expenses 8,338
Custodian's fees and expenses 26,008
Directors'/Trustees' fees and expenses (note 6) 1,094
Professional fees 8,320
Shareholders' reports--printing and mailing expenses 21,168
Stock exchange listing fees 12,053
Investor relations expense 6,797
Other expenses 9,945
-----------
Total expenses 884,283
-----------
Net investment income 5,616,613
-----------
REALIZED AND UNREALIZED GAIN
(LOSS) FROM INVESTMENTS
Net realized gain (loss) from investment transactions
(notes 1 and 3) (134,321)
Net change in unrealized appreciation or depreciation
of investments 2,139,865
-----------
Net gain from investments 2,005,544
-----------
Net increase in net assets from operations $ 7,622,157
===========
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
STATEMENT OF CHANGES
IN NET ASSETS
(Unaudited)
NAZ NUM
Six months ended Year ended Six months ended Year ended
1/31/97 7/31/96 1/31/97 7/31/96
<S> <C> <C> <C> <C>
OPERATIONS
Net investment income $ 2,257,299 $ 4,505,540 $ 6,637,102 $ 13,315,397
Net realized gain (loss) from investment transactions
(notes 1 and 3) 5,523 54,640 177,697 208,789
Net change in unrealized appreciation or depreciation
of investments 849,572 1,535,012 1,532,044 2,733,144
------------- ------------- ------------- -------------
Net increase in net assets from operations 3,112,394 6,095,192 8,346,843 16,257,330
------------- ------------- ------------- -------------
DISTRIBUTIONS TO SHAREHOLDERS (note 1)
From undistributed net investment income:
Common shareholders (1,733,626) (3,403,044) (5,370,455) (10,639,239)
Preferred shareholders (478,557) (1,031,544) (1,331,387) (2,634,651)
From accumulated net realized gains from investment
transactions:
Common shareholders -- -- (270,793) (756,492)
Preferred shareholders -- -- (65,600) (208,288)
In excess of net realized gains:
Common shareholders -- -- -- --
Preferred shareholders -- -- -- --
------------- ------------- ------------- -------------
Decrease in net assets from distributions
to shareholders (2,212,183) (4,434,588) (7,038,235) (14,238,670)
------------- ------------- ------------- -------------
CAPITAL SHARE TRANSACTIONS (note 2)
Net proceeds from Common shares issued to
shareholders due to reinvestment of distributions -- -- 874,134 1,107,040
------------- ------------- ------------- -------------
Net increase in net assets derived from capital
share transactions -- -- 874,134 1,107,040
------------- ------------- ------------- -------------
Net increase in net assets 900,211 1,660,604 2,182,742 3,125,700
Net assets at beginning of period 92,094,591 90,433,987 251,032,988 247,907,288
------------- ------------- ------------- -------------
Net assets at end of period $ 92,994,802 $ 92,094,591 $ 253,215,730 $ 251,032,988
============= ============= ============= =============
Balance of undistributed net investment income at
end of period $ 246,311 $ 201,195 $ 528,063 $ 592,803
============= ============= ============= =============
See accompanying notes to financial statements.
<PAGE>
<CAPTION>
NMP NUO
Six months ended Year ended Six months ended Year ended
1/31/97 7/31/96 1/31/97 7/31/96
<S> <C> <C> <C> <C>
OPERATIONS
Net investment income $ 4,017,752 $ 8,038,253 $ 5,687,897 $ 11,313,562
Net realized gain (loss) from investment transactions
(notes 1 and 3) (15,513) (8,455) 77,444 (201,089)
Net change in unrealized appreciation or depreciation
of investments 1,746,138 3,077,375 2,032,193 3,376,371
------------- ------------- ------------- -------------
Net increase in net assets from operations 5,748,377 11,107,173 7,797,534 14,488,844
------------- ------------- ------------- -------------
DISTRIBUTIONS TO SHAREHOLDERS (note 1)
From undistributed net investment income:
Common shareholders (3,040,365) (5,919,781) (4,448,277) (8,787,207)
Preferred shareholders (911,740) (1,913,660) (1,242,393) (2,468,189)
From accumulated net realized gains from
investment transactions:
Common shareholders -- -- -- --
Preferred shareholders -- -- -- --
In excess of net realized gains:
Common shareholders -- -- -- --
Preferred shareholders -- -- -- --
------------- ------------- ------------- -------------
Decrease in net assets from distributions
to shareholders (3,952,105) (7,833,441) (5,690,670) (11,255,396)
------------- ------------- ------------- -------------
CAPITAL SHARE TRANSACTIONS (note 2)
Net proceeds from Common shares issued to
shareholders due to reinvestment of distributions -- -- 447,583 582,118
------------- ------------- ------------- -------------
Net increase in net assets derived from capital
share transactions -- -- 447,583 582,118
------------- ------------- ------------- -------------
Net increase in net assets 1,796,272 3,273,732 2,554,447 3,815,566
Net assets at beginning of period 164,687,737 161,414,005 222,150,810 218,335,244
------------- ------------- ------------- -------------
Net assets at end of period $ 166,484,009 $ 164,687,737 $ 224,705,257 $ 222,150,810
============= ============= ============= =============
Balance of undistributed net investment income at
end of period $ 470,493 $ 404,846 $ 674,589 $ 677,362
============= ============= ============= =============
See accompanying notes to financial statements.
<PAGE>
<CAPTION>
NTX
Six months ended Year ended
1/31/97 7/31/96
<S> <C> <C>
OPERATIONS
Net investment income $ 5,616,613 $ 11,325,508
Net realized gain (loss) from investment transactions
(notes 1 and 3) (134,321) (107,896)
Net change in unrealized appreciation or depreciation
of investments 2,139,865 1,979,168
------------- -------------
Net increase in net assets from operations 7,622,157 13,196,780
------------- -------------
DISTRIBUTIONS TO SHAREHOLDERS (note 1)
From undistributed net investment income:
Common shareholders (4,395,658) (8,899,833)
Preferred shareholders (1,204,776) (2,485,682)
From accumulated net realized gains from investment transactions:
Common shareholders -- (270,977)
Preferred shareholders -- (85,046)
In excess of net realized gains:
Common shareholders -- (72,545)
Preferred shareholders -- (22,768)
------------- -------------
Decrease in net assets from distributions
to shareholders (5,600,434) (11,836,851)
------------- -------------
CAPITAL SHARE TRANSACTIONS (note 2)
Net proceeds from Common shares issued to
shareholders due to reinvestment of
distributions -- 138,670
------------- -------------
Net increase in net assets derived from capital
share transactions -- 138,670
------------- -------------
Net increase in net assets 2,021,723 1,498,599
Net assets at beginning of period 210,422,818 208,924,219
------------- -------------
Net assets at end of period $ 212,444,541 $ 210,422,818
============= =============
Balance of undistributed net investment income at
end of period $ 307,904 $ 291,725
============= =============
See accompanying notes to financial statements.
</TABLE>
<PAGE>
NOTES TO FINANCIAL STATEMENTS
(Unaudited)
1. GENERAL INFORMATION AND SIGNIFICANT
ACCOUNTING POLICIES
At January 31, 1997, the state Funds (the "Funds")
covered in this report and their corresponding New
York Stock Exchange symbols are Nuveen Arizona Premium
Income Municipal Fund, Inc. (NAZ), Nuveen Michigan
Quality Income Municipal Fund, Inc. (NUM), Nuveen
Michigan Premium Income Municipal Fund, Inc. (NMP),
Nuveen Ohio Quality Income Municipal Fund, Inc. (NUO)
and Nuveen Texas Quality Income Municipal Fund (NTX).
Each Fund invests primarily in a diversified portfolio
of municipal obligations issued by state and local
government authorities within a single state. The
Funds are registered under the Investment Company Act
of 1940 as closed-end, diversified management
investment companies.
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/Trustees. Temporary investments in
securities that have variable rate and demand features
qualifying them as short-term securities are traded
and valued at amortized cost.
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
January 31, 1997, NUO had an outstanding purchase
commitment of $986,001. There were no such purchase
commitments in any of the other Funds.
<PAGE>
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 by distributing 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 $.01 per Common
share. Furthermore, each Fund intends to satisfy
conditions which will enable interest from municipal
securities, which is exempt from regular federal
income tax, 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 net
ordinary taxable income from investment transactions,
where applicable.
<PAGE>
Preferred Shares The Funds 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 on each Series may change every seven days, as
set by the Auction Agent. The number of shares
outstanding, by Series and in total, for each Fund, at
January 31, 1997, were
as follows:
<TABLE>
<CAPTION>
NAZ NUM NMP NUO
<S> <C> <C> <C> <C>
Number of shares:
Series M -- -- 840 680
Series Th 1,200 3,200 1,400 1,400
Series Th2 -- -- -- 1,000
----- ----- ----- -----
Total 1,200 3,200 2,240 3,080
===== ===== ===== =====
<CAPTION>
NTX
<S> <C>
Number of shares:
Series M 760
Series Th 2,000
Series Th2 --
-----
Total 2,760
=====
</TABLE>
Derivative Financial The Funds may engage 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 so in
the future, they did not make any such investments
during the six months ended January 31, 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>
NAZ NUM
<S> <C> <C> <C> <C>
Six months ended Year ended Six months ended Year ended
1/31/97 7/31/96 1/31/97 7/31/96
Shares issued to shareholders due to reinvestment
of distributions -- -- 55,759 70,927
------ ------ ------ ------
Net increase -- -- 55,759 70,927
====== ====== ====== ======
<CAPTION>
NMP NUO
Six months ended Year ended Six months ended Year ended
1/31/97 7/31/96 1/31/97 7/31/96
<S> <C> <C> <C> <C>
Shares issued to shareholders due to reinvestment
of distributions -- -- 27,595 31,404
------ ------ ------ ------
Net increase -- -- 27,595 31,404
====== ====== ====== ======
<CAPTION>
NTX
Six months ended Year ended
1/31/97 7/31/96
<S> <C> <C>
Shares issued to shareholders due to reinvestment
of distributions -- 6,593
------ ------
Net increase -- 6,593
====== ======
</TABLE>
<PAGE>
3. SECURITIES TRANSACTIONS
Purchase and sales (including maturities) of
investments in municipal securities and temporary
municipal investments during the six months ended
January 31, 1997, were as follows:
<TABLE>
<CAPTION>
NAZ NUM NMP NUO
<S> <C> <C> <C> <C>
PURCHASES
Investments in municipal securities $4,533,500 $12,964,746 $ -- $16,464,885
Temporary municipal investments 5,100,000 5,700,000 2,300,000 5,700,000
SALES AND MATURITIES
Investments in municipal securities 4,519,485 12,442,785 1,497,600 14,300,494
Temporary municipal investments 4,900,000 8,600,000 500,000 6,000,000
========== =========== ========== ===========
<CAPTION>
NTX
<S> <C>
PURCHASES
Investments in municipal securities $19,544,515
Temporary municipal investments 8,300,000
SALES AND MATURITIES
Investments in municipal securities 20,042,407
Temporary municipal investments 8,000,000
===========
</TABLE>
At January 31, 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.
At July 31, 1996, the Funds' last fiscal year end, the
following Funds had unused capital loss carryovers
available for federal income tax purposes to be
applied against future capital gains, if any. If not
applied, the carryovers will expire as follows:
<TABLE>
<CAPTION>
NAZ NMP NUO
<S> <C> <C> <C>
Expiration year:
2002 $ -- $ 347,424 $1,566,076
2003 1,426,173 627,148 16,493
2004 -- 1,807,234 622,243
---------- ---------- ----------
Total $1,426,173 $2,781,806 $2,204,812
=========== =========== ===========
</TABLE>
<PAGE>
4. DISTRIBUTIONS TO COMMON SHAREHOLDERS
On February 3, 1997, the Funds declared Common share
dividend distributions from their tax-exempt net
investment income which were paid March 3, 1997, to
shareholders of record on February 15, 1997,
as follows:
<TABLE>
<CAPTION>
NAZ NUM NMP NUO
<S> <C> <C> <C> <C>
Dividend per share $.0690 $.0795 $.0670 $.0800
====== ====== ====== ======
<CAPTION>
NTX
<S> <C>
Dividend per share $.0780
======
</TABLE>
5. UNREALIZED APPRECIATION (DEPRECIATION)
Gross unrealized appreciation and gross unrealized
depreciation of investments at January 31, 1997, were
as follows:
<TABLE>
<CAPTION>
NAZ NUM NMP NUO
<S> <C> <C> <C> <C>
Gross unrealized:
Appreciation $4,984,981 $15,967,266 $5,758,042 $9,983,769
Depreciation (23,760) (34,918) (258,574) (347,059)
---------- ------------ ---------- ----------
Net unrealized appreciation $4,961,221 $15,932,348 $5,499,468 $9,636,710
=========== =========== =========== ===========
<CAPTION>
NTX
<S> <C>
Gross unrealized:
Appreciation $10,579,119
Depreciation (202,032)
-----------
Net unrealized appreciation $10,377,087
============
</TABLE>
<PAGE>
6. MANAGEMENT FEE AND OTHER TRANSACTIONS
WITH AFFILIATES
Under the Funds' investment management agreements with
Nuveen Advisory Corp. (the "Adviser"), a wholly owned
subsidiary of The John Nuveen Company, 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 $125,000,000 .65 of 1%
For the next $125,000,000 .6375 of 1
For the next $250,000,000 .625 of 1
For the next $500,000,000 .6125 of 1
For the next $1,000,000,000 .6 of 1
For net assets over $2,000,000,000 .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/Trustees 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 January 31, 1997, net
assets consisted of:
<TABLE>
<CAPTION>
NAZ NUM NMP NUO
<S> <C> <C> <C> <C>
Preferred shares, $25,000 stated value per share, at
liquidation value $ 30,000,000 $ 80,000,000 $ 56,000,000 $ 77,000,000
Common shares, $.01 par value per share 42,806 112,475 76,777 92,762
Paid-in surplus 59,162,933 156,594,179 107,234,590 139,685,085
Balance of undistributed net investment income 246,311 528,063 470,493 674,589
Accumulated net realized gain (loss) from investment
transactions (1,418,469) 48,665 (2,797,319) (2,383,889)
In excess of net realized gains -- -- -- --
Net unrealized appreciation of investments 4,961,221 15,932,348 5,499,468 9,636,710
------------- ------------- ------------- -------------
Net assets $ 92,994,802 $ 253,215,730 $ 166,484,009 $ 224,705,257
============= ============= ============= =============
Authorized shares:
Common 200,000,000 200,000,000 200,000,000 200,000,000
Preferred 1,000,000 1,000,000 1,000,000 1,000,000
============= ============= ============= =============
<CAPTION>
NTX
<S> <C>
Preferred shares, $25,000 stated value per share, at
liquidation value $ 69,000,000
Common shares, $.01 par value per share 93,924
Paid-in surplus 133,003,155
Balance of undistributed net investment income 307,904
Accumulated net realized gain (loss) from
investment transactions (242,216)
In excess of net realized gains (95,313)
Net unrealized appreciation of investments 10,377,087
------------
Net assets $212,444,541
============
Authorized shares:
Common Unlimited
Preferred Unlimited
============
</TABLE>
<PAGE>
8. INVESTMENT COMPOSITION
Each Fund invests in municipal securities which
include general obligation, escrowed and revenue
bonds. At January 31, 1997, the revenue sources by
municipal purpose for these investments, expressed as
a percent of total investments, were as follows:
<TABLE>
C
NAZ NUM NMP NUO
<S> <C> <C> <C> <C>
Revenue Bonds:
Health Care Facilities 11% 15% 21% 17%
Pollution Control Facilities 6 8 15 7
Housing Facilities 5 12 13 8
Water / Sewer Facilities 12 4 8 13
Educational Facilities 4 3 5 13
Electric Utilities 5 3 8 2
Transportation 6 1 1 3
Lease Rental Facilities 5 4 2 4
Other 6 4 7 2
General Obligation Bonds 22 27 18 19
Escrowed Bonds 18 19 2 12
--- --- --- ---
100% 100% 100% 100%
=== === === ===
<CAPTION>
NTX
<S> <C>
Revenue Bonds:
Health Care Facilities 13%
Pollution Control Facilities 17
Housing Facilities 11
Water / Sewer Facilities 6
Educational Facilities 11
Electric Utilities 3
Transportation 6
Lease Rental Facilities 2
Other 4
General Obligation Bonds 13
Escrowed Bonds 14
---
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 (63% for NAZ, 62% for NUM, 50% for NMP, 56%
for NUO and 53% for NTX). Such insurance or escrow,
however, does not guarantee the market value of the
municipal securities or the value of any of the Funds'
shares.
Certain 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 (100%
for NAZ, 100% for NUM, 91% for NMP, 100% for NUO and
100% for NTX).
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+
NAZ
<S> <C> <C> <C> <C> <C>
Six months ended
1/31/97 $14.510 $ .528 $ .199 $ (.405) $(.112)
Year ended 7/31,
1996 14.120 1.053 .373 (.795) (.241)
1995 13.610 1.065 .491 (.780) (.266)
1994 14.490 1.067 (.835) (.789) (.257)
11/19/92 to
7/31/93 14.050 .524 .694 (.420) (.114)
<CAPTION>
NUM
<S> <C> <C> <C> <C> <C>
Six months ended
1/31/97 15.280 .590 .158 (.477) (.119)
Year ended 7/31,
1996 15.100 1.193 .264 (.954) (.236)
1995 15.020 1.212 .183 (.999) (.259)
1994 15.850 1.210 (.817) (1.051) (.172)
1993 15.230 1.205 .583 (.970) (.172)
2 mos. ended
7/31/92 14.290 .201 .923 (.151) (.033)
10/17/91 to
5/31/92 14.050 .473 .402 (.378) (.067)
<CAPTION>
NMP
<S> <C> <C> <C> <C> <C>
Six months ended
1/31/97 14.160 .524 .221 (.396) (.119)
Year ended 7/31,
1996 13.730 1.047 .409 (.777) (.249)
1995 13.460 1.042 .305 (.801) (.276)
1994 14.470 1.033 (1.015) (.810) (.170)
12/17/92 to
7/31/93 14.050 .405 .622 (.338) (.054)
<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
NAZ
<S> <C> <C> <C> <C> <C>
Six months ended
1/31/97 $ -- $ -- $ -- $14.720 $14.125
Year ended 7/31,
1996 -- -- -- 14.510 13.875
1995 -- -- -- 14.120 13.625
1994 (.053) (.013) -- 13.610 13.125
11/19/92 to
7/31/93 -- -- (.244) 14.490 15.750
<CAPTION>
NUM
<S> <C> <C> <C> <C> <C>
Six months ended
1/31/97 (.026) (.006) -- 15.400 15.625
Year ended 7/31,
1996 (.068) (.019) -- 15.280 15.500
1995 (.049) (.008) -- 15.100 14.875
1994 -- -- -- 15.020 15.250
1993 (.022) (.004) -- 15.850 16.000
2 mos. ended
7/31/92 -- -- -- 15.230 15.500
10/17/91 to
5/31/92 -- -- (.190) 14.290 15.125
<CAPTION>
NMP
<S> <C> <C> <C> <C> <C>
Six months ended
1/31/97 -- -- -- 14.390 12.750
Year ended 7/31,
1996 -- -- -- 14.160 12.875
1995 -- -- -- 13.730 12.000
1994 (.040) (.008) -- 13.460 12.500
12/17/92 to
7/31/93 -- -- (.215) 14.470 15.000
<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
<S> <C> <C> <C> <C> <C> <C>
NAZ
Six months ended
1/31/97 4.81% 4.27% $ 92,995 .87%* 4.82%* 5%
Year ended 7/31,
1996 7.83 8.48 92,095 .90 4.88 15
1995 10.42 9.98 90,434 .86 5.21 11
1994 (11.66) (.43) 88,263 .84 4.97 21
11/19/92 to
7/31/93 7.92 6.19 91,363 .91* 4.22* 40
<CAPTION>
NUM
<S> <C> <C> <C> <C> <C> <C>
Six months ended
1/31/97 4.07 4.10 253,216 .82* 5.20* 5
Year ended 7/31,
1996 11.32 8.07 251,033 .83 5.29 15
1995 4.77 8.02 247,907 .84 5.54 18
1994 1.82 1.33 246,082 .85 5.27 4
1993 9.97 11.09 253,881 .88 5.36 6
2 mos. ended
7/31/92 3.51 7.69 244,930 .85* 5.45* --
10/17/91 to
5/31/92 3.38 4.46 234,439 .82* 4.54* 1
<CAPTION>
NMP
<S> <C> <C> <C> <C> <C> <C>
Six months ended
1/31/97 2.08 4.45 166,484 .86* 4.79* --
Year ended 7/31,
1996 14.00 8.88 164,688 .87 4.87 17
1995 2.59 8.45 161,414 1.01 5.02 32
1994 (11.43) (1.27) 100,888 .94 4.82 17
12/17/92 to
7/31/93 2.25 5.44 105,494 .92* 3.73* 15
</TABLE>
See notes on page 70.
<PAGE>
<TABLE>
FINANCIAL HIGHLIGHTS
(Unaudited)
<CAPTION>
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+
NUO
<S> <C> <C> <C> <C> <C>
Six months ended
1/31/97 $15.690 $ .613 $ .231 $ (.480) $(.134)
Year ended 7/31,
1996 15.330 1.227 .354 (.953) (.268)
1995 14.840 1.220 .514 (.945) (.299)
1994 15.720 1.193 (.830) (1.027) (.175)
1993 15.020 1.175 .697 (.925) (.194)
2 mos. ended
7/31/92 14.070 .197 .935 (.146) (.036)
10/17/91 to
5/31/92 14.050 .464 .261 (.365) (.071)
<CAPTION>
NTX
<S> <C> <C> <C> <C> <C>
Six months ended
1/31/97 15.060 .598 .208 (.468) (.128)
Year ended 7/31,
1996 14.910 1.207 .204 (.948) (.265)
1995 14.530 1.215 .428 (.980) (.283)
1994 15.410 1.206 (.820) (1.062) (.174)
1993 15.090 1.204 .304 (.973) (.181)
2 mos. ended
7/31/92 14.190 .203 .883 (.151) (.035)
10/17/91 to
5/31/92 14.050 .494 .309 (.378) (.067)
<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
NUO
<S> <C> <C> <C> <C> <C>
Six months ended
1/31/97 $ -- $ -- $ -- $15.920 $16.500
Year ended 7/31,
1996 -- -- -- 15.690 16.000
1995 -- -- -- 15.330 15.125
1994 (.034) (.007) -- 14.840 15.125
1993 (.042) (.011) -- 15.720 15.750
2 mos. ended
7/31/92 -- -- -- 15.020 15.250
10/17/91 to
5/31/92 -- -- (.269) 14.070 15.000
<CAPTION>
NTX
<S> <C> <C> <C> <C> <C>
Six months ended
1/31/97 -- -- -- 15.270 15.000
Year ended 7/31,
1996 (.037)+++ (.011)+++ -- 15.060 14.875
1995 -- -- -- 14.910 13.875
1994 (.026) (.004) -- 14.530 14.750
1993 (.028) (.006) -- 15.410 15.875
2 mos. ended
7/31/92 -- -- -- 15.090 15.375
10/17/91 to
5/31/92 -- -- (.218) 14.190 14.875
<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
NUO
<S> <C> <C> <C> <C> <C> <C>
Six months ended
1/31/97 6.20% 4.56% $224,705 .85%* 5.03%* 6%
Year ended 7/31,
1996 12.39 8.68 222,151 .87 5.09 19
1995 6.80 10.16 218,335 .94 5.24 19
1994 2.72 1.06 101,335 .94 5.09 2
1993 9.89 11.64 104,507 1.00 5.13 23
2 mos. ended
7/31/92 2.66 7.84 100,696 1.00* 5.25* 5
10/17/91 to
5/31/92 2.43 2.79 96,465 .89* 4.40* 4
<CAPTION>
NTX
<S> <C> <C> <C> <C> <C> <C>
Six months ended
1/31/97 4.04 4.54 212,445 .83* 5.25* 9
Year ended 7/31,
1996 14.60 7.72 210,423 .83 5.36 17
1995 1.14 9.89 208,924 .91 5.54 8
1994 (.27) 1.28 153,724 .86 5.43 10
1993 10.24 9.19 159,329 .89 5.49 6
2 mos. ended
7/31/92 4.44 7.46 156,031 .86* 5.60* 4
10/17/91 to
5/31/92 1.68 3.74 149,694 .86* 5.65* --
<FN>
* Annualized.
** 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 are based on Common share equivalents.
++ Ratios do not reflect the effect of dividend payments to Preferred shareholders.
+++ The amounts shown include distributions in excess of capital gains of
$.008 for Common shareholders and $.002 for Preferred shareholders.
</FN>
</TABLE>
<PAGE>
Your
investment
partner
Photographic image of John Nuveen Sr., founder of Nuveen.
For nearly 100 years, Nuveen has earned
its reputation as a tax-free income specialist.
Since 1898, John Nuveen & Co. Incorporated has worked to bring together the
various participants in the municipal bond industry and build strong
partnerships that benefit all concerned. Investors, financial advisers,
municipal officials, investment bankers--Nuveen believes that forging
relationships with these groups based on trust and value is the key to
successful investing.
As the oldest and largest municipal bond specialist in the United States,
Nuveen's investment bankers work with issuers to understand and meet their
needs in structuring and selling their bond issues.
Nuveen also works closely with financial advisers around the country,
including brokerage firms, banks, insurance companies, and independent financial
planners, to bring the benefits of tax-free investing to you. These advisers are
experts at identifying your needs and recommending the best solutions for your
situation. Together we make a powerful team, helping you create a successful
investment plan that meets your needs today and in the future.
John Nuveen & Co. Incorporated
333 West Wacker Drive
Chicago, Illinois 60606-1286
FSA-1-1.97
