Nuveen Exchange-Traded Funds
Providing tax-free income
to help you live your dreams.
NUVEEN GEORGIA PREMIUM INCOME MUNICIPAL FUND
NUVEEN MARYLAND PREMIUM INCOME MUNICIPAL FUND
NUVEEN NORTH CAROLINA PREMIUM INCOME MUNICIPAL FUND
NUVEEN VIRGINIA PREMIUM INCOME MUNICIPAL FUND
ANNUAL REPORT/MAY 31, 1995
Photographic image of man seated at breakfast table with wife standing behind
him.
Photographic image of Nuveen Research Department. Four people around a table
working.
Research: a foundation
Your financial plan is in place. You and your adviser have made asset
allocation decisions. For the tax-free portion of your portfolio, you want
dependable income, safety of principal, and diversification. Solid, reliable
research helps to keep your tax-free investments on the path you have chosen.
<PAGE>
The strength of Nuveen's Research Department is illustrated by the numerous
awards and press coverage we receive. Annual industry polls consistently
recognize the quality and depth of Nuveen Research.
Photographic image of a grouping of awards/statuettes.
At Nuveen, we believe that attention to detail combined with years of
experience is the foundation for sound research. Sound research means finding
quality bonds that deliver timely and dependable income over many decades.
Beyond this, it means adding hidden value by identifying bonds whose credit
strengths are not yet understood.
USING RESEARCH TO TRACK INVESTMENT VALUE
With tens of thousands of bonds available for investment today, the municipal
market is one of the nation's largest--and most complex--securities markets.
At the same time, the number of analysts devoted to researching the municipal
market is comparatively small. While more than 23,000 analysts research the
7,500 common stocks available in the equity market, fewer than 1,000 analysts
cover 60,000 municipal bond issues.
Selecting those bonds that will outperform the market and help you achieve
your investment goals depends upon an ability to analyze and understand the
complexities of every single bond issue, ranging from analyzing the demand for
a new highway or airport to understanding the impact of an industry closure on
the financial position of a town's water and sewer system.
Today we have the largest research staff in the investment banking industry
devoted exclusively to the analysis of municipal bonds. Our award-winning team
of more than 30 research professionals provides invaluable support to our
portfolio managers, assisting them in careful analysis of every bond issue
considered for purchase--even those rated AAA. We do not rely on others'
ratings, however high. We always do our own homework.
On a daily basis, our research analysts prepare credit reviews to assist in
the selection of bonds that offer the best combination of yields and security,
conduct ongoing surveillance that monitors the continued creditworthiness of
portfolio holdings, and analyze economic, political, and demographic trends
affecting the markets.
The scope of this analysis goes beyond the obvious and well publicized
information. It can involve, for example, assessing the results of local
elections in small towns, or gaining an understanding of the world market in
wood pulp in order to understand the feasibility of a municipal issue in
Alaska. For example, a financial adviser visiting the office of one Nuveen
analyst noticed a large number of clippings on salmon fishing. In response to
an inquiry prompted by their own interest in fishing, the analyst explained
that each of the articles provided information on salmon spawning habits, one
of the conservation issues having a major impact on river flows and hence on
how much power the public hydroelectric projects in the Pacific Northwest can
generate. Having the largest research staff in the industry enables us to
examine subtle but essential facts and trends--and to apply this information
to monitor and enhance the performance of your portfolios.
<PAGE>
BENEFITING OUR INVESTORS
The Nuveen Research Department supports the investment goals of fund investors
through two major activities:
Primary research and surveillance
Every year, our research staff reviews thousands of tax-exempt issues valued
at more than $100 billion to provide our portfolio managers with the most
appropriate bonds based on current yield, price, credit quality, and future
prospects. Rather than forecasting inflation, interest rates, or the general
economy--all factors beyond our control--we use research to focus on the
principles of value investing, a strategy designed to deliver above-market
performance by identifying securities that are underpriced or undervalued.
Nuveen's years of experience and range and involvement in the industry give us
insights into individual issuers that other bond fund managers don't have, and
help us add value by finding these overlooked investments.
A recent example of the way our research benefits our shareholders was our
successful investment in Philadelphia water and sewer bonds. When the city of
Philadelphia decided to issue bonds to fund badly needed capital improvements
for its water and sewer system, the city's fiscal difficulties resulted in an
issue that was priced below that of other cities for similar bonds, generating
higher income. However, Nuveen's proprietary rating system--based on our own
research performed independently from the rating agencies--led us to the
conclusion that the city water and sewer system was economically sound and
that adequate legal safeguards would be put in place to protect the
investment. Our judgment was justified when following the completion of the
improvements, the prices for these bonds rose to a level consistent with those
of other municipal issuers, resulting in a sizable portfolio gain to our
shareholders.
Research reports
Just as you rely on your financial adviser for seasoned, prudent advice, so
too, financial advisers rely on Nuveen's research to keep informed on
developments in the municipal markets. Available reports range from credit
reports on specific states, to comprehensive examinations of tax-free
investment strategies, to the impact of national and state elections on
municipal issues. (For a list of research reports currently available to you
and your adviser, please refer to the attached reply card.)
At Nuveen, quality research is one of the core elements of our disciplined
approach to providing you with dependable income, credit quality, and
diversification--key elements of a successful investment program.
Nuveen's research reports are used by the press when they cover the municipal
market in depth.
Photographic image of a grouping of research reports and newspapers.
<PAGE>
Photographic image of man seated at breakfast table with wife standing behind
him.
CONTENTS
6 Municipal market perspective
7 Dear shareholder
9 Answering your questions
13 Fund performance
15 Amendment to dividend reinvestment plan
16 Commonly used terms
18 Portfolio of investments
29 Statement of net assets
30 Statement of operations
31 Statement of changes in net assets
33 Notes to financial statements
42 Financial highlights
44 Report of independent auditors
45 Nuveen Exchange-Traded Funds dividend reinvestment program
<PAGE>
Municipal market perspective
The year ending May 31, 1995, was an eventful one for the municipal bond
market. During the latter half of 1994, as the Federal Reserve Board steadily
raised short-term interest rates in an effort to forestall inflation, the
prices of all bonds and bond funds moved lower. Then, the year concluded with
the sudden announcement of the bankruptcy of Orange County, California, in
December.
During the first five months of 1995, as it appeared that the economy was
indeed headed for a soft landing and that inflation had been thwarted, the
bond market rebounded. In July, the Federal Reserve Board reversed its
anti-inflation monetary policy, easing short-term interest rates. We're
already beginning to see positive effects from the Fed's program. Since the
beginning of the year, interest rates have moved closer to the levels
prevailing before the Fed's tightenings began. However, a strong stock market
and continued debate about tax reform, including a proposed flat-tax, has had
a tempering effect on the performance of the municipal bond market.
<PAGE>
Dear shareholder
Photographic image of Richard Franke, Chairman of Nuveen.
"Over time, municipal bonds have proven to be a valuable and dependable
component of successful investment programs."
Over the past 12 months, we have endured something of a roller-coaster ride in
the municipal bond market. First, we saw the conclusion of one of the worst
periods in recent bond market history, capped by the December bankruptcy of a
major municipal issuer with a seemingly healthy credit rating. Then, in early
1995, we experienced a welcome rebound in the bond markets.
Throughout this turbulent time, we have kept our sights focused on
successfully meeting the objectives of your funds: providing you with a source
of stable current income, credit quality, and enhanced share price relative to
the market as a whole.
As of May 31, 1995, current yields on share prices for the funds covered in
this report ranged from 5.69% to 6.06%. To match these yields, an investor in
the 36% federal income tax bracket would have had to earn at least 8.89% on
taxable alternatives of comparable quality; when state taxes are added to this
equation, the tax advantage provided by municipal bonds is even greater. And,
as we all know, taxable yields at this level can be difficult to achieve in
today's markets.
These yields remind us of the important role that municipal bonds--and
tax-free income--play as part of a successful investment strategy focused on
diversification and long-term performance. Although, as we saw in 1994,
fluctuations in interest rates, the markets, and the economy in general can
cause us to reconsider our investment strategies. It is performance over the
long term that is the true measure of an investment--and, over time, municipal
bonds have proven to be a valuable and dependable component of successful
investment programs.
It is your long-term goals--including secure retirement, accumulation
through reinvestment, and prudent tax-advantaged strategies--that prompted you
to make the initial choice to include municipal bonds as an integral part of
your investment portfolio. As part of that long-term strategy, Nuveen offers
you not only the income and credit safety of municipal bonds, but also the
convenience of packaged investment products that provide direct access to
diversification, professional management, and liquidity. Our exchange-traded
funds make it easier for you to be diversified across market sectors, while
saving you the time and effort required to structure and monitor a portfolio
of individual municipal bonds yourself.
<PAGE>
As 1995 unfolds, we will be keeping a close eye on credit trends. With the
expansion of the economy, the financial strength of municipal issuers is
continuing to improve. By now, most observers have concluded that the Orange
County default was an anomaly, related to an unusually speculative investment
approach rather than any inherent weakness in the municipal bond market
itself. If you are interested in credit quality, you may want to read the
article at the beginning of this report to learn more about the role and
activities of our award-winning research department, including the tracking
and monitoring of developments in the credit arena.
The supply and demand situation also warrants our attention. While supplies
of municipal bonds are currently running below those of last year, we still
anticipate strengthening demand because of attractive tax-equivalent yields
and a scarcity of alternative tax-advantaged investments.
In closing, I'd like to take this opportunity to assure you that your choice
of Nuveen as your fund manager is a wise one. We appreciate your continued
confidence in Nuveen and look forward to many years of a mutually beneficial
relationship.
Sincerely,
Richard J. Franke
Chairman of the Board
July 15, 1995
<PAGE>
Answering your questions
Photographic image of montage of letters received by Nuveen.
Tom Spalding, head of Nuveen's portfolio management team, offers insights into
recent developments in the municipal market and the outlook for Nuveen's
Premium Income Funds.
I have read that some of Nuveen's Funds are "leveraged." How exactly does
leverage work? What are the advantages of leverage to me as a common
shareholder?
All Nuveen exchange-traded funds issue common shares and provide an attractive
stream of monthly tax-free income. Many of our funds are able to generate a
higher level of income for common shareholders through a strategy called
leverage.
Here's how leverage works: Some investors look for investments offering
short-term liquidity. To meet the needs of these investors, some Nuveen
exchange-traded funds issue preferred shares paying a short-term rate that is
lower than the rate earned on the fund's long-term portfolio. Proceeds from
the issuance of the preferred shares are used to buy additional
investment-grade long-term bonds. Common shareholders benefit from these
additional holdings through the extra income generated by the difference
between the long-term rates earned by the fund and the short-term rates paid
to preferred shareholders.
For example, if we pay out 4% to investors who want short-term liquidity
while investing for the long term at 7%, we can use the difference of 3% to
purchase additional bonds and increase the income available to the common
shareholders.
However, leverage can add volatility to a portfolio because all changes in
value are attributed to the common shareholder--both up and down. At Nuveen,
we take a prudent approach to leverage, carefully balancing risk and return,
limiting the percentage of leverage in a given portfolio, and moderating
portfolio fluctuations through conservative portfolio management.
What do you see happening to dividends over the next few months?
Over the past year, despite the uneven markets, the monthly dividend paid by
Nuveen's exchange-traded funds has remained relatively stable. This is mainly
due to two factors: our dividend policy and our emphasis on credit quality.
At Nuveen, we set our core dividend rates at levels that we consider
sustainable over time, factoring in such influences as short-term interest
rate trends, the expected number of bond calls, and reinvestment. Nonetheless,
eventually changes in dividend rates should be expected in response to
interest rate movements.
<PAGE>
What impact have interest rates had on bond portfolios? Where are these rates
trending over the next year?
Over the past 15 months, all bond investors, including holders of
exchange-traded municipal bond funds, have felt the effect of rising interest
rates on the value of their fixed income portfolios.
At Nuveen, we don't attempt to forecast directions in interest rates or the
economy as a whole. We take the view that we cannot control these factors, but
we can exercise some control over factors that directly impact bond fund
performance: credit quality, relative value, and diversification.
If you are concerned about the direction of interest rates, you may want to
consider "laddering" your portfolio. Laddering is a strategy in which an
investor purchases three or more funds with varying average maturities. Mixing
the maturity dates and yields within a total portfolio reduces the overall
effect of increases and decreases in interest rates.
Photographic image of Tom Spalding, Portfolio Manager of Nuveen.
Tom Spalding, head of Nuveen's portfolio management team, answers investors'
questions on developments in the municipal market.
What is the outlook for municipal bonds in 1995?
At Nuveen, we recommend viewing your investment as part of a long-term
strategy. The benefits of taking the long view are two-fold. First, market
timing is rarely successful. That is the attempt to buy when the market is at
its lowest point and to sell at its peak. Statistics show that, over time, the
rewards of investing tend to go to those who set and maintain clear investment
objectives and strategies, rather than to those who change their approach with
every change in the markets.
Second, you must also consider your long-term needs for diversification and
dependable income, the reasons you chose Nuveen's exchange-traded municipal
funds in the first place. While the markets may fluctuate, your investment
needs are more constant. With municipal bonds being one of the last remaining
tax shelters, Nuveen's exchange-traded funds continue to provide the
risk/reward balance and the steady source of tax-free income that are an
element of a prudent investment program.
<PAGE>
<TABLE>
NUVEEN GEORGIA PREMIUM INCOME MUNICIPAL FUND
NPG
The dividend of NPG was adjusted in January to reflect changing earnings
rates.
<CAPTION>
12 MONTH DIVIDEND HISTORY
Date Monthly Dividends Supplemental Dividends Capital Gains
<S> <C> <C> <C>
6/94 $0.0620
7/94 $0.0620
8/94 $0.0620
9/94 $0.0620
10/94 $0.0620
11/94 $0.0620
12/94 $0.0620
1/95 $0.0620
2/95 $0.0580
3/95 $0.0580
4/95 $0.0580
5/95 $0.0580
<CAPTION>
FUND HIGHLIGHTS 5/31/95
<S> <C>
Yield 6.05%
Taxable-equivalent yield 10.08%
Total return on NAV 15.78%
Taxable-equivalent total return 19.85%
Share price $11.50
NAV $13.35
The price, net asset value and dividend history used in this chart constitute
past performance and do not necessarily predict the future price, net asset
value or dividends of the Fund or of any other Nuveen Fund.
</TABLE>
<PAGE>
<TABLE>
NUVEEN MARYLAND PREMIUM INCOME MUNICIPAL FUND
NMY
In keeping with the Fund's objective of providing steady 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>
6/94 $0.0615
7/94 $0.0615
8/94 $0.0615
9/94 $0.0615
10/94 $0.0615
11/94 $0.0615
12/95 $0.0615
1/95 $0.0615
2/95 $0.0615
3/95 $0.0615
4/95 $0.0615
5/95 $0.0615
<CAPTION>
FUND HIGHLIGHTS 5/31/95
<S> <C>
Yield 6.02%
Taxable-equivalent yield 10.03%
Total return on NAV 12.07%
Taxable-equivalent total return 16.06%
Share price $12.25
NAV $13.36
The price, net asset value and dividend history used in this chart constitute
past performance and do not necessarily predict the future price, net asset
value or dividends of the Fund or of any other Nuveen Fund.
</TABLE>
<PAGE>
<TABLE>
NUVEEN NORTH CAROLINA PREMIUM INCOME MUNICIPAL FUND
NNC
The dividend of NNC was adjusted throughout the year, reflecting changing
earnings rates.
<CAPTION>
12 MONTH DIVIDEND HISTORY
Date Monthly Dividends Supplemental Dividends Capital Gains
<S> <C> <C> <C>
6/94 $0.0600
7/94 $0.0600
8/94 $0.0625
9/94 $0.0625
10/94 $0.0625
11/94 $0.0625
12/94 $0.0625
1/95 $0.0625
2/95 $0.0575
3/95 $0.0575
4/95 $0.0575
5/95 $0.0575
<CAPTION>
FUND HIGHLIGHTS 5/31/95
<S> <C>
Yield 5.69%
Taxable-equivalent yield 9.64%
Annual total return on NAV 13.64%
Taxable-equivalent total return 17.84%
Share price $12.125
NAV $13.19
The price, net asset value and dividend history used in this chart constitute
past performance and do not necessarily predict the future price, net asset
value or dividends of the Fund or of any other Nuveen Fund.
</TABLE>
<PAGE>
<TABLE>
NUVEEN VIRGINIA PREMIUM INCOME MUNICIPAL FUND
NPV
In keeping with the Fund's objective of providing steady tax-free income,
shareholders enjoyed 12 months of steady dividends. In addition, the Fund paid
two supplemental dividends.
<CAPTION>
12 MONTH DIVIDEND HISTORY
Date Monthly Dividends Supplemental Dividends Capital Gains
<S> <C> <C> <C>
6/94 $0.0650
7/94 $0.0650
8/94 $0.0650 $0.0100
9/94 $0.0650
10/94 $0.0650
11/93 $0.0650 $0.0100
12/93 $0.0650
1/95 $0.0650
2/95 $0.0650
3/95 $0.0650
4/95 $0.0650
5/95 $0.0650
<CAPTION>
FUND HIGHLIGHTS 5/31/95
<S> <C>
Yield 6.06%
Taxable-equivalent yield 10.02%
Annual total return on NAV 13.58%
Taxable-equivalent total return 17.79%
Share price $12.875
NAV $13.61
The price, net asset value and dividend history used in this chart constitute
past performance and do not necessarily predict the future price, net asset
value or dividends of the Fund or of any other Nuveen Fund.
</TABLE>
Amendment to Dividend Reinvestment Plan
Effective November 1, 1995, your Fund's Dividend Reinvestment Plan will be
amended in order to enhance the ability of the Plan Agent to obtain the best
execution when making open-market purchases of Fund shares in connection with
the Plan. As of the effective date, the Plan Agent, United States Trust
Company of New York, may make Plan purchases in advance of the payment date of
the applicable Fund distribution, provided that settlement for such purchases
shall occur no earlier than the payment date for such distribution.
<PAGE>
Commonly used terms
Yield
An exchange-traded fund's annualized monthly dividend on a given date (in the
case of this report, May 31, 1995) 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 40% for GA and MD, 41% for NC, and 39.5% for VA, based on
incomes of $117,950-$256,500 if investors filing singly, $143,600-$256,500 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.
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, 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 12-month period ended May 31, 1995. Any future
repur-chases will be reported to shareholders.
<PAGE>
<TABLE>
PORTFOLIO OF INVESTMENTS
NUVEEN GEORGIA PREMIUM INCOME MUNICIPAL FUND (NPG)
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION PROVISIONS* RATINGS** VALUE
<S> <C> <C> <C> <C>
$ 3,000,000 Georgia Housing and Finance Authority, Single Family
Mortgage, Alternative Minimum Tax, 6.500%, 12/01/17 12/04 at 102 AA+ $ 3,089,070
Georgia Municipal Electric Authority:
1,750,000 6.400%, 1/01/09 No Opt. Call A+ 1,874,915
1,900,000 5.500%, 1/01/18 1/03 at 100 Aaa 1,844,919
1,500,000 Albany-Dougherty County Hospital Authority (Phoebe
Putney Memorial Hospital), 5.000%, 9/01/20 9/03 at 102 Aaa 1,352,805
3,115,000 Albany Sewerage System, 6.625%, 7/01/17 7/02 at 102 Aaa 3,362,424
Atlanta General Obligation:
2,625,000 5.600%, 12/01/18 12/03 at 102 AA 2,584,549
500,000 6.100%, 12/01/19 12/04 at 102 AA 513,725
1,000,000 Atlanta Airport System, 6.500%, 1/01/09 No Opt. Call Aaa 1,108,940
1,500,000 Atlanta Airport Facilities (Atlanta International Airport),
Alternative Minimum Tax, 6.250%, 1/01/21 1/01 at 102 Aaa 1,531,620
Atlanta Urban Residential Finance Authority (Morehouse
College):
1,210,000 5.750%, 12/01/20 12/05 at 102 Aaa 1,206,781
1,375,000 5.750%, 12/01/25 12/05 at 102 Aaa 1,379,854
3,450,000 Atlanta Water and Sewer System, 5.000%, 1/01/15 1/04 at 102 AA- 3,159,476
3,000,000 Burke County Development Authority, Pollution Control
(Oglethorpe Power Corporation), 7.700%, 1/01/06 1/03 at 103 Aaa 3,574,050
1,150,000 Clayton County Water Authority, Water and Sewerage
System, 5.250%, 5/01/12 5/03 at 102 Aaa 1,103,264
1,000,000 Columbus Medical Center Hospital Authority,
7.750%, 7/01/10 No Opt. Call AAA 1,184,140
1,555,000 DeKalb County Development Authority (Emory
University), 6.000%, 10/01/14 10/04 at 102 Aa1 1,602,567
3,400,000 DeKalb County Housing Authority (The Lakes at
Indian Creek Apartments Project), Alternative
Minimum Tax, 7.150%, 1/01/25 1/05 at 102 Aaa 3,586,150
2,500,000 DeKalb County Hospital Authority (DeKalb Medical
Center), 5.000%, 9/01/14 9/03 at 102 Aaa 2,327,200
1,250,000 DeKalb County School District, General Obligation,
6.250%, 7/01/11 No Opt. Call AA 1,346,375
2,280,000 Douglasville-Douglas County Water and Sewer
Authority, 5.625%, 6/01/15 No Opt. Call Aaa 2,289,530
3,400,000 Downtown Savannah Authority (Chatham County
Projects), 5.000%, 1/01/11 1/03 at 102 AA 3,230,272
1,000,000 Floyd County Hospital Authority, 5.200%, 7/01/11 7/03 at 102 Aaa 967,160
4,000,000 Floyd County Water System, 5.100%, 11/01/13 11/03 at 102 Aaa 3,802,640
2,000,000 Fulton County Hospital Authority (Georgia Baptist
Health Care System), 6.375%, 9/01/22 9/02 at 102 Baa1 1,892,560
3,000,000 Fulton County Housing Authority, Alternative Minimum
Tax, 6.550%, 3/01/18 3/05 at 102 AAA 3,063,720
500,000 Fulton County School District, General Obligation,
6.375%, 5/01/17 No Opt. Call AA 551,900
2,250,000 Fulton-DeKalb Hospital Authority (Grady Memorial),
5.500%, 1/01/20 7/03 at 102 Aaa 2,187,855
Metropolitan Atlanta Rapid Transit Authority:
1,750,000 8.000%, 7/01/12 (Pre-refunded to 7/01/98) 7/98 at 102 Aaa 1,963,535
2,150,000 5.125%, 7/01/12 7/03 at 102 Aaa 2,065,914
1,000,000 6.250%, 7/01/20 No Opt. Call Aaa 1,083,410
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION PROVISIONS* RATINGS** VALUE
<S> <C> <C> <C> <C>
$ 2,000,000 Monroe County Development Authority, Pollution
Control (Gulf Power Company), 6.300%, 9/01/24 9/99 at 102 A1 $ 2,019,260
5,935,000 Monroe County Development Authority, Pollution
Control (Georgia Power Company), 5.750%, 9/01/23 9/98 at 102 A1 5,686,917
1,000,000 Paulding County School District, General Obligation,
5.500%, 2/01/15 2/05 at 102 Aaa 999,910
3,295,000 Private Colleges and University Facilities Authority
(Agnes Scott College), 5.625%, 6/01/23 6/03 at 102 AA- 3,247,025
1,000,000 Savannah Hospital Authority (Saint Joseph's Hospital),
6.200%, 7/01/23 7/03 at 102 A 984,250
2,000,000 Puerto Rico Highway and Transportation Authority,
5.250%, 7/01/20 7/03 at 101 1/2 A 1,845,520
$75,340,000 Total Investments - (cost $74,517,267) - 97.8% 75,614,202
===========
TEMPORARY INVESTMENTS IN SHORT-TERM
MUNICIPAL SECURITIES - 0.5%
$ 200,000 Georgia Hospital Financing Authority, Pooled Hospital
Program, Variable Rate Demand Bonds,
4.300%, 3/01/01t VMIG-1 200,000
200,000 Georgia Health and Education Finance Authority,
Hospital Equipment Loan Program, Variable Rate
Demand Bonds, 4.300%, 12/01/95t Aaa 200,000
$ 400,000 Total Temporary Investments - 0.5% 400,000
Other Assets Less Liabilities - 1.7% 1,319,984
Net Assets - 100% $77,334,186
===========
<CAPTION>
NUMBER MARKET MARKET
STANDARD & POOR'S MOODY'S OF ISSUES VALUE PERCENT
<S> <C> <C> <C> <C> <C>
SUMMARY OF AAA Aaa 21 $41,985,821 55%
RATINGS** AA+, AA, AA- Aa1, Aa, Aa2, Aa3 9 19,324,959 26
PORTFOLIO OF A+ A1 3 9,581,092 13
INVESTMENTS A, A- A, A2, A3 2 2,829,770 4
(EXCLUDING BBB+, BBB, BBB- Baa1, Baa, Baa2, Baa3 1 1,892,560 2
TEMPORARY
INVESTMENTS):
TOTAL 36 $75,614,202 100%
<FN>
* Optional Call Provisions (not covered by the report of independent
auditors): 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.
** Ratings (not covered by the report of independent auditors): Using the
higher of Standard & Poor's or Moody's rating.
t 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.
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
PORTFOLIO OF INVESTMENTS
NUVEEN MARYLAND PREMIUM INCOME MUNICIPAL FUND (NMY)
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION PROVISIONS* RATINGS** VALUE
<S> <C> <C> <C> <C>
Maryland Community Development Administration
Multi-Family Housing:
$ 1,000,000 8.750%, 5/15/05 5/96 at 101 AA $ 1,032,800
1,150,000 6.625%, 5/15/23 5/03 at 102 Aa 1,204,993
3,075,000 6.050%, 5/15/24 5/03 at 102 Aa 3,058,241
7,040,000 5.600%, 5/15/26 5/03 at 102 Aa 6,497,568
1,000,000 6.850%, 5/15/33 5/02 at 102 Aa 1,031,990
Maryland Community Development Administration,
Single Family Mortgage:
1,750,000 4.950%, 4/01/06 4/04 at 102 Aa 1,678,985
1,900,000 5.900%, 4/01/11 4/04 at 102 Aa 1,917,974
1,500,000 7.250%, 4/01/16 4/96 at 103 Aa 1,560,930
Maryland Community Development Administration,
Single Family Mortgage, Alternative Minimum Tax:
990,000 6.800%, 4/01/22 4/03 at 102 Aa 1,022,096
1,000,000 7.375%, 4/01/26 4/99 at 102 Aa 1,050,680
2,650,000 6.750%, 4/01/26 4/04 at 102 Aa 2,738,086
1,000,000 Maryland Community Development Administration,
6.450%, 4/01/14 4/04 at 102 Aa 1,041,020
Maryland Department of Transportation:
4,000,000 4.600%, 12/15/02 No Opt. Call AA 3,942,360
4,800,000 4.625%, 9/15/07 9/02 at 102 AA 4,493,232
3,000,000 Maryland General Obligation, 4.600%, 7/15/07 7/03 at 101 1/2 Aaa 2,839,440
1,875,000 Maryland Health and Higher Educational Facilities
Authority (Good Samaritan Hospital), 5.750%, 7/01/19 7/03 at 102 A 1,783,538
4,500,000 Maryland Health and Higher Educational Facilities
Authority (Johns Hopkins Hospital), 5.000%, 7/01/23 7/03 at 100 AA- 4,003,650
2,350,000 Maryland Health and Higher Educational Facilities
Authority (Sinai Hospital of Baltimore),
5.500%, 7/01/13 7/03 at 102 Aaa 2,316,795
2,200,000 Maryland Health and Higher Educational Facilities
Authority (Francis Scott Key Medical Center),
5.000%, 7/01/13 7/03 at 102 Aaa 2,050,994
3,125,000 Maryland Health and Higher Educational Facilities
Authority (Howard County General Hospital),
5.500%, 7/01/25 7/03 at 102 Baa1 2,556,281
4,415,000 Maryland Stadium Authority Sports Facility, Alternative
Minimum Tax, 7.500%, 12/15/10 12/99 at 102 AA- 4,853,012
Maryland National Capital Park and Planning
Commission General Obligation:
880,000 5.300%, 7/01/09 7/03 at 102 AA 874,782
800,000 5.300%, 7/01/10 7/03 at 102 AA 785,304
950,000 5.300%, 7/01/11 7/03 at 102 AA 929,841
950,000 5.300%, 7/01/12 7/03 at 102 AA 925,994
Maryland Transportation Authority (Baltimore/
Washington International Airport), Alternative
Minimum Tax:
5,500,000 6.250%, 7/01/14 7/04 at 102 Aaa 5,745,685
3,000,000 6.400%, 7/01/19 7/04 at 102 Aaa 3,163,020
Maryland Transportation Authority:
3,000,000 6.500%, 7/01/06 7/01 at 102 A1 3,272,820
2,985,000 5.750%, 7/01/15 7/02 at 100 A1 2,991,686
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION PROVISIONS* RATINGS** VALUE
<S> <C> <C> <C> <C>
Anne Arundel County General Obligation:
$ 2,730,000 5.250%, 4/15/12 4/03 at 102 AA+ $ 2,649,547
3,175,000 5.300%, 4/15/15 4/03 at 102 AA+ 3,061,430
1,330,000 5.300%, 4/15/17 4/03 at 102 AA+ 1,275,084
1,435,000 5.300%, 4/15/18 4/03 at 102 AA+ 1,370,856
4,000,000 Anne Arundel County Multi-Family Housing (Woodside
Project), Alternative Minimum Tax, 7.450%, 12/01/24
(Mandatory put 12/01/03) No Opt. Call BBB+ 4,218,480
6,000,000 Anne Arundel County Pollution Control (Baltimore Gas
and Electric Company), 6.000%, 4/01/24 4/04 at 102 A2 6,051,720
3,600,000 Baltimore County General Obligation, 7.750%, 7/01/16
(Pre-refunded to 1/01/96) 1/96 at 102 Aaa 3,744,000
2,000,000 Baltimore County Metropolitan District General
Obligation, 4.900%, 8/01/11 8/03 at 102 Aaa 1,876,500
2,435,000 Baltimore County Revenue Authority, 5.375%, 7/01/18 7/03 at 102 A 2,263,211
Baltimore General Obligation:
1,200,000 7.375%, 10/15/03 No Opt. Call Aaa 1,408,164
1,130,000 6.000%, 10/15/03 No Opt. Call Aaa 1,219,270
5,000,000 7.250%, 10/15/04 No Opt. Call Aaa 5,865,950
1,305,000 6.000%, 10/15/05 No Opt. Call Aaa 1,405,146
1,415,000 6.000%, 10/15/06 No Opt. Call Aaa 1,522,498
1,000,000 6.375%, 10/15/07 No Opt. Call Aaa 1,104,220
1,000,000 7.150%, 10/15/08 No Opt. Call A1 1,166,090
3,000,000 Baltimore Water System, 5.000%, 7/01/24 No Opt. Call Aaa 2,742,900
2,350,000 Baltimore Parking System, 5.100%, 7/01/13 7/03 at 102 Aaa 2,184,513
3,000,000 Baltimore Wastewater Project, 6.500%, 7/01/20
(Pre-refunded to 7/01/00) 7/00 at 100 Aaa 3,262,680
2,410,000 Calvert County Sanitary District General Obligation,
5.000%, 7/15/19 7/03 at 102 Aa 2,096,387
4,500,000 Calvert County Pollution Control (Baltimore Gas and
Electric Company), 5.550%, 7/15/14 7/04 at 102 A2 4,411,395
2,000,000 Howard County General Obligation, 5.250%, 8/15/11 8/03 at 102 Aa1 1,946,640
Montgomery County General Obligation:
2,500,000 5.000%, 10/01/08 10/03 at 102 Aaa 2,452,150
3,000,000 5.000%, 10/01/11 10/03 at 102 Aaa 2,811,780
2,000,000 Montgomery County Housing Opportunity Commission,
Single Family Mortgage, 6.600%, 7/01/14 7/04 at 102 Aa 2,102,600
815,000 Montgomery County Housing Opportunities Commission,
Single Family Mortgage, 7.000%, 7/01/14 7/95 at 100 Aa 820,950
9,600,000 Montgomery County Solid Waste Resource Recovery
Project, 5.875%, 6/01/13 6/03 at 102 Aaa 9,697,536
9,445,000 Morgan State University, 6.100%, 7/01/20 No Opt. Call Aaa 10,116,540
Northeast Maryland Waste Disposal Authority, Resource
Recovery:
1,625,000 6.900%, 1/01/00 No Opt. Call Aaa 1,766,603
3,000,000 7.150%, 1/01/04 No Opt. Call Aaa 3,407,370
1,000,000 Prince George's County General Obligation,
5.750%, 3/15/09 3/03 at 102 Aaa 1,042,460
Prince George's County Housing Authority (Cherry
Hill Apartments):
1,500,000 5.900%, 9/20/10 9/03 at 102 AAA 1,530,015
2,500,000 6.000%, 9/20/15 9/03 at 102 Aaa 2,520,750
1,000,000 Prince George's County Housing Authority (GNMA),
6.350%, 7/20/20 1/03 at 102 AAA 1,023,770
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION PROVISIONS* RATINGS** VALUE
<S> <C> <C> <C> <C>
$ 1,250,000 Prince George's County Housing Authority (GNMA and
FNMA), Single Family Mortgage, Alternative Minimum
Tax, 6.350%, 6/01/11 6/04 at 102 AAA $ 1,299,150
1,500,000 Prince George's County Housing Authority (Riverview
Terrace), 6.700%, 6/20/20 12/04 at 102 AAA 1,581,405
5,000,000 Prince George's County, Pollution Control (Potomac
Electric Project), 6.375%, 1/15/23 1/03 at 102 A+ 5,194,350
6,000,000 Prince George's County (Dimensions Health Corporation),
5.300%, 7/01/24 7/04 at 102 A 5,112,540
3,750,000 Prince George's County, Solid Waste Management System,
5.250%, 6/15/13 6/03 at 102 Aaa 3,577,500
1,510,000 Rockville General Obligation, 4.600%, 4/15/03 No Opt. Call Aa1 1,483,031
1,030,000 Rockville FHA-Insured Mortgage (Summit Apartments),
5.250%, 7/01/09 1/04 at 102 Aaa 1,002,963
1,500,000 Salisbury College Lane Apartments (FHA Insured),
6.600%, 12/01/26 12/05 at 102 AAA 1,551,315
University of Maryland:
3,000,000 5.000%, 10/01/10 10/03 at 101 AA+ 2,830,890
4,500,000 5.000%, 10/01/11 10/03 at 101 AA+ 4,226,850
1,000,000 5.500%, 4/01/12 4/03 at 102 AA+ 1,002,170
1,780,000 Washington County Sanitary District, 5.375%, 1/01/15 1/03 at 102 Aaa 1,722,364
Washington Metropolitan Area Transit Authority:
1,000,000 4.800%, 1/01/04 No Opt. Call Aaa 982,710
2,000,000 6.000%, 7/01/07 No Opt. Call Aaa 2,143,960
1,500,000 5.250%, 7/01/14 1/04 at 102 AAA 1,437,150
Washington Suburban Sanitary District:
1,000,000 7.100%, 12/01/02 (Pre-refunded to 12/01/98) 12/98 at 102 Aaa 1,107,320
1,250,000 6.100%, 1/01/04 1/02 at 102 Aa1 1,350,175
1,115,000 6.200%, 6/01/09 6/02 at 102 Aa1 1,187,731
1,500,000 5.375%, 6/01/12 6/03 at 102 Aa1 1,472,954
1,000,000 Washington Suburban Sanitary District, Water Supply
System, 5.250%, 12/01/11 12/03 at 102 Aa1 971,000
1,000,000 Puerto Rico Aqueduct and Sewer Authority,
7.875%, 7/01/17 7/98 at 102 A 1,114,759
2,200,000 Puerto Rico Public Buildings Authority, 5.750%, 7/01/15 7/03 at 101 1/2 A 2,171,509
1,010,000 Puerto Rico Telephone Authority, 5.500%, 1/01/22 1/03 at 101 1/2 A+ 975,760
$212,780,000 Total Investments - (cost $213,002,988) - 98.1% 213,002,558
============
TEMPORARY INVESTMENTS IN SHORT-TERM
MUNICIPAL SECURITIES - 0.4%
$ 800,000 Maryland Energy Financing Administration (Baltimore
Ferst Project), Alternative Minimum Tax, Variable
Rate Demand Bonds, 4.000%, 7/01/11t VMIG-1 800,000
Other Assets Less Liabilities - 1.5% 3,359,570
Net Assets - 100% $217,162,128
============
<PAGE>
<CAPTION>
NUMBER MARKET MARKET
STANDARD & POOR'S MOODY'S OF ISSUES VALUE PERCENT
<S> <C> <C> <C> <C> <C>
SUMMARY OF AAA Aaa 36 $ 95,226,586 45%
RATINGS** AA+, AA, AA- Aa1, Aa, Aa2, Aa3 36 74,491,833 35
PORTFOLIO OF A+ A1 5 13,600,706 6
INVESTMENTS A, A- A, A2, A3 7 22,908,672 11
(EXCLUDING BBB+, BBB, BBB- Baa1, Baa, Baa2, Baa3 2 6,774,761 3
TEMPORARY
INVESTMENTS):
TOTAL 86 $213,002,558 100%
<FN>
* Optional Call Provisions (not covered by the report of independent
auditors): 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.
** Ratings (not covered by the report of independent auditors): Using the
higher of Standard & Poor's or Moody's rating.
t 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.
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
PORTFOLIO OF INVESTMENTS
NUVEEN NORTH CAROLINA PREMIUM INCOME MUNICIPAL FUND (NNC)
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION PROVISIONS* RATINGS** VALUE
<S> <C> <C> <C> <C>
North Carolina Eastern Municipal Power Agency:
$ 5,000,000 5.600%, 1/01/16 1/03 at 102 A- $ 4,593,700
1,500,000 5.750%, 12/01/16 9/03 at 102 1/2 A- 1,406,895
North Carolina Housing Finance Agency, Alternative
Minimum Tax:
3,185,000 6.800%, 9/01/25 9/02 at 102 Aa 3,297,179
6,000,000 6.700%, 9/01/26 3/04 at 102 Aa 6,194,040
1,075,000 7.850%, 9/01/28 3/00 at 102 Aa 1,143,295
North Carolina Housing Finance Agency:
650,000 5.800%, 7/01/14 1/03 at 102 AA 633,146
1,000,000 5.900%, 7/01/26 1/03 at 102 AA 974,930
North Carolina Medical Care Commission (Mercy
Hospital Project):
3,300,000 9.625%, 8/01/15 (Pre-refunded to 8/01/95) 8/95 at 102 AAA 3,397,086
2,000,000 6.500%, 8/01/15 8/02 at 102 A- 2,038,440
3,000,000 North Carolina Medical Care Commission (Carolina
Medicorp), 5.500%, 5/01/15 5/02 at 102 AA 2,897,760
1,000,000 North Carolina Medical Care Commission (Presbyterian
Health Services), 5.500%, 10/01/20 10/03 at 102 AA 968,070
1,850,000 North Carolina Medical Care Commission (Memorial
Mission Hospital), 5.500%, 10/01/18 10/03 at 102 Aaa 1,816,460
North Carolina Municipal Power Agency, No. 1 Catawba:
2,775,000 10.500%, 1/01/10 No Opt. Call Aaa 3,977,102
5,955,000 7.625%, 1/01/14 (Pre-refunded to 1/01/98) 1/98 at 102 Aaa 6,535,970
4,000,000 5.750%, 1/01/15 1/03 at 100 A 3,845,400
3,000,000 7.000%, 1/01/16 1/98 at 102 A 3,143,400
2,000,000 8.500%, 1/01/17 (Pre-refunded to 1/01/96) 1/96 at 102 Aaa 2,088,680
5,250,000 Buncombe County Metropolitan Sewer District,
5.500%, 7/01/22 7/03 at 102 Aaa 5,213,145
2,015,000 Cabarrus County General Obligation, 4.800%, 3/01/09 3/03 at 102 Aaa 1,870,807
3,500,000 Charlotte-Mecklenburg Hospital Authority,
5.750%, 1/01/12 1/02 at 102 AA 3,523,345
Charlotte General Obligation:
2,600,000 5.250%, 2/01/17 2/03 at 102 Aaa 2,521,272
2,755,000 5.250%, 2/01/18 2/03 at 102 Aaa 2,662,680
4,000,000 Charlotte Convention Facility, Certificates of Participation,
5.250%, 12/01/20 12/03 at 102 Aaa 3,832,040
1,000,000 Charlotte FHA-Insured Mortgage (Tryon Hills
Apartments), 5.875%, 1/01/25 1/03 at 105 Aaa 967,950
3,000,000 Craven Regional Medical Authority, 5.625%, 10/01/17 10/03 at 102 Aaa 2,994,060
1,250,000 Cumberland County (Cumberland County Hospital
System), 5.500%, 10/01/14 10/03 at 100 Aaa 1,244,000
4,225,000 Duplin County Certificates of Participation,
5.250%, 8/01/14 8/03 at 102 Aaa 3,999,977
2,885,000 Durham General Obligation, 4.800%, 2/01/10 2/04 at 102 AAA 2,705,380
3,000,000 Durham Certificates of Participation, Water Utility
Improvements, 6.375%, 7/15/12 7/02 at 102 AA 3,094,890
7,000,000 Fayetteville Public Works Commission, 4.750%, 3/01/14 3/03 at 100 Aaa 6,295,310
Greenville General Obligation:
1,100,000 5.000%, 3/01/10 3/03 at 102 Aa 1,043,757
1,100,000 5.000%, 3/01/11 3/03 at 102 Aa 1,039,126
1,300,000 Mecklenberg County Industrial Facilities and Pollution
Control Financing Authority (Fluor Corporation),
5.250%, 12/01/09 12/01 at 102 A 1,228,084
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION PROVISIONS* RATINGS** VALUE
<S> <C> <C> <C> <C>
$ 1,195,000 Morganton General Obligation, Water and Sewer Public
Improvement, 5.700%, 6/01/11 (WI) 6/05 at 102 Aaa $ 1,231,782
2,975,000 New Hanover County (New Hanover Regional Medical
Center), 4.750%, 10/01/23 10/03 at 102 Aaa 2,583,550
3,000,000 Orange County General Obligation, 5.500%, 2/01/11 2/05 at 102 Aaa 3,069,510
4,485,000 Orange Water and Sewer Authority, 5.200%, 7/01/16 7/03 at 102 AA 4,312,641
2,010,000 Rutherford County General Obligation, 5.100%, 6/01/11 6/03 at 102 Aaa 1,943,831
3,235,000 Wake County (Wake Medical Center), 5.125%, 10/01/26 10/03 at 102 Aaa 3,008,938
3,000,000 Wake County Industrial Facilities and Pollution Control
Finance Authority (Carolina Power and Light Company),
6.900%, 4/01/09 4/00 at 102 A2 3,172,140
Wilmington General Obligation:
1,365,000 4.800%, 3/01/07 3/03 at 102 A1 1,321,989
1,335,000 4.800%, 3/01/08 3/03 at 102 A1 1,279,557
Puerto Rico Highway and Transportation Authority:
6,550,000 5.500%, 7/01/19 7/03 at 101 1/2 A 6,271,756
5,000,000 5.250%, 7/01/20 7/03 at 101 1/2 Aaa 4,758,945
$127,420,000 Total Investments - (cost $126,988,766) - 97.9% 126,142,015
============
TEMPORARY INVESTMENTS IN SHORT-TERM
MUNICIPAL SECURITIES - 0.3%
$ 400,000 North Carolina Medical Care Commission Hospital,
Pooled Financing (Duke University Hospital), Variable
Rate Demand Bonds, 4.050%, 10/01/20t VMIG-1 400,000
Other Assets Less Liabilities - 1.8% 2,272,667
Net Assets - 100% $128,814,682
============
<CAPTION>
NUMBER MARKET MARKET
STANDARD & POOR'S MOODY'S OF ISSUES VALUE PERCENT
<S> <C> <C> <C> <C> <C>
SUMMARY OF AAA Aaa 22 $ 68,718,475 55%
RATINGS** AA+, AA, AA- Aa1, Aa, Aa2, Aa3 12 29,122,179 23
PORTFOLIO OF A+ A1 2 2,601,546 2
INVESTMENTS A, A- A, A2, A3 8 25,699,815 20
(EXCLUDING
TEMPORARY
INVESTMENTS):
TOTAL 44 $126,142,015 100%
<FN>
* Optional Call Provisions (not covered by the report of independent
auditors): 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.
** Ratings (not covered by the report of independent auditors): Using the
higher of Standard & Poor's or Moody's rating.
(WI) Security purchased on a when-issued basis (note 1).
t 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.
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
PORTFOLIO OF INVESTMENTS
NUVEEN VIRGINIA PREMIUM INCOME MUNICIPAL FUND (NPV)
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION PROVISIONS* RATINGS** VALUE
<S> <C> <C> <C> <C>
$ 5,500,000 Virginia College Building Authority (University of
Richmond Project), 5.550%, 11/01/19 (Mandatory
put 11/01/04) 11/04 at 100 Aa $ 5,588,385
2,750,000 Virginia College Building Authority (The Washington
and Lee University), 5.800%, 1/01/24 1/04 at 102 AA 2,758,443
2,640,000 Virginia Education Loan Authority, Student Loan,
Alternative Minimum Tax, 5.050%, 9/01/03 No Opt. Call Aaa 2,629,229
Virginia Housing Development Authority, Alternative
Minimum Tax:
1,000,000 6.750%, 7/01/21 1/02 at 102 Aa 1,028,080
4,000,000 6.200%, 7/01/21 1/02 at 102 Aa 3,923,720
5,000,000 6.550%, 1/01/27 1/02 at 102 Aa 5,081,550
3,240,000 6.300%, 1/01/27 1/02 at 102 Aa 3,239,773
2,945,000 6.250%, 1/01/27 1/02 at 102 Aa 2,900,913
7,035,000 Virginia Transportation Board (Northern Virginia
Transportation District), 6.250%, 5/15/17 5/04 at 101 AA 7,271,517
1,500,000 Albemarle County Service Authority, Water and Sewer
System, 5.750%, 8/01/11 8/02 at 102 Aa 1,513,140
1,000,000 Alexandria Industrial Development Authority
(Community Hospital), 5.500%, 7/01/14 7/03 at 102 Aaa 984,850
1,660,000 Bedford Electric System, 5.250%, 6/01/25 6/04 at 102 Aaa 1,564,567
5,250,000 Chesapeake Bay Bridge and Tunnel Commission,
6.375%, 7/01/22 7/01 at 102 Aaa 5,455,958
Cumberland County Certificates of Participation:
3,440,000 6.000%, 7/15/97 No Opt. Call N/R 3,439,553
2,000,000 5.480%, 7/15/97 No Opt. Call N/R 1,999,780
2,750,000 Fairfax County General Obligation, 5.400%, 5/01/11 5/03 at 102 Aaa 2,712,325
2,500,000 Fairfax County Economic Development Authority
(Ogden Martin Systems Project), Alternative
Minimum Tax, 7.750%, 2/01/11 2/99 at 103 A1 2,729,025
7,350,000 Fairfax County Industrial Development Authority
(Inova Health System), 5.000%, 8/15/23 No Opt. Call AA- 6,427,428
500,000 Fairfax County Redevelopment and Housing Authority,
5.750%, 8/01/25 8/03 at 102 Aaa 483,970
2,050,000 Fairfax County Water Authority, 5.750%, 4/01/29 4/02 at 100 AA- 2,025,687
5,060,000 Halifax County Industrial Development Authority (Old
Dominion Electric Cooperative), Alternative Minimum
Tax, 6.350%, 12/01/07 12/02 at 102 A+ 5,291,141
1,500,000 Hampton Roads Sanitation District, Wastewater System,
5.000%, 10/01/23 10/03 at 102 AA 1,355,085
4,445,000 Hampton Redevelopment and Housing Authority (Chase
Hampton II Apartments), 7.000%, 7/01/24
(Mandatory put 7/01/04) 7/02 at 104 N/R 4,818,469
3,250,000 Harrisburg Industrial Development Authority
(Rockingham Memorial Hospital), 5.250%, 12/01/22 12/02 at 102 Aaa 3,043,820
2,000,000 Henrico County General Obligation, 5.350%, 1/15/11 1/03 at 102 Aaa 1,985,220
1,000,000 Henrico County Water and Sewer System, 6.250%, 5/01/13 5/02 at 100 A1 1,025,280
1,800,000 Loudoun County General Obligation, 5.500%, 10/01/13 10/03 at 102 AA- 1,741,338
3,000,000 Louisa Industrial Development Authority, Pollution
Control (Virginia Electric and Power Company),
5.450%, 1/01/24 1/04 at 102 A2 2,703,960
Lynchburg Industrial Development Authority
(Randolph-Macon Women's College):
2,940,000 5.875%, 9/01/13 9/03 at 102 A 2,934,767
3,000,000 5.875%, 9/01/23 9/03 at 102 A 2,948,910
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION PROVISIONS* RATINGS** VALUE
<S> <C> <C> <C> <C>
$ 2,185,000 Newport News General Obligation, 5.250%, 6/01/11 6/03 at 102 AA- $ 2,122,837
4,350,000 Norfolk General Obligation, 7.000%, 10/01/08
(Pre-refunded to 10/01/98) 10/98 at 102 Aaa 4,777,692
2,500,000 Norfolk Industrial Development Authority (Sentara
Hospitals-Norfolk), 6.500%, 11/01/13 11/04 at 102 AA 2,644,475
Portsmouth General Obligation:
2,000,000 5.500%, 8/01/13 8/03 at 102 AA- 1,963,800
2,500,000 5.500%, 8/01/19 8/03 at 102 AA- 2,406,075
Prince William County General Obligation:
2,290,000 5.100%, 8/01/09 8/03 at 102 AA- 2,224,598
1,750,000 5.250%, 8/01/10 8/03 at 102 AA- 1,705,235
3,000,000 Prince William County Park Authority, 6.875%, 10/15/16 10/04 at 102 A- 3,206,160
2,740,000 Prince William County Service Authority, Water and
Sewer System, 5.000%, 7/01/21 7/03 at 102 Aaa 2,498,332
Richmond General Obligation:
4,265,000 6.250%, 1/15/18 1/01 at 102 AA 4,360,451
3,000,000 6.250%, 1/15/21 1/01 at 102 AA 3,059,760
2,125,000 Richmond Metropolitan Authority Expressway,
5.750%, 7/15/22 7/02 at 100 Aaa 2,121,940
1,415,000 Rivanna Water and Sewer Authority, 4.750%, 10/01/07 10/03 at 101 1/2 Aa 1,334,062
3,800,000 Roanoke County General Obligation, 5.000%, 6/01/21 6/03 at 100 AA 3,460,698
1,825,000 Roanoke County Water System, 5.125%, 7/01/13 7/03 at 102 Aaa 1,719,205
3,000,000 Roanoke Industrial Development Authority (Roanoke
Memorial), 5.000%, 7/01/24 7/03 at 102 Aaa 2,699,370
1,250,000 Rockingham County Industrial Development Authority
(Bridgewater College), 6.000%, 10/01/23 10/03 at 102 Baa1 1,210,225
6,150,000 Southeastern Public Service Authority, Regional Solid
Waste System, Alternative Minimum Tax,
6.000%, 7/01/17 7/03 at 102 A- 5,895,821
2,355,000 Suffolk Redevelopment and Housing Authority (Wilson
Pines Apartments), 6.125%, 1/01/23 1/01 at 100 Aaa 2,366,091
4,345,000 Upper Occoquan Sewer Authority, 5.000%, 7/01/21 1/04 at 102 Aaa 3,967,288
Virginia Beach Development Authority (Sentara
Bayside Hospital):
1,000,000 6.600%, 11/01/09 11/01 at 102 AA 1,053,300
5,000,000 6.300%, 11/01/21 11/01 at 102 AA 5,091,050
835,000 Virginia Beach Development Authority, GNMA
(Pembroke Lake Apartments), 6.200%, 6/20/28 6/03 at 102 AAA 836,286
2,000,000 Virginia Beach Water and Sewer System, 5.125%, 2/01/19 2/04 at 102 Aaa 1,851,420
4,250,000 Washington D. C. Airports Authority, 5.250%, 10/01/22 10/03 at 102 Aaa 3,975,153
3,150,000 Washington D. C. Airports Authority, Alternative
Minimum Tax, 6.625%, 10/01/19 10/02 at 102 Aaa 3,332,606
2,000,000 Winchester General Obligation, 5.500%, 1/15/14 1/04 at 102 AA 1,979,180
Puerto Rico Highway Transportation Authority:
1,700,000 5.500%, 7/01/19 7/03 at 101 1/2 A 1,627,783
3,000,000 5.250%, 7/01/20 7/03 at 101 1/2 Aaa 2,855,370
1,165,000 5.250%, 7/01/20 7/03 at 101 1/2 A 1,075,014
3,500,000 6.500%, 7/01/22 (Pre-refunded to 7/01/02) 7/02 at 101 1/2 AAA 3,945,060
$176,550,000 Total Investments - (cost $174,220,214) - 98.1% 174,972,220
============
<PAGE>
<CAPTION>
PRINCIPAL OPT. CALL MARKET
AMOUNT DESCRIPTION PROVISIONS* RATINGS** VALUE
<S> <C> <C> <C> <C>
TEMPORARY INVESTMENTS IN SHORT-TERM
MUNICIPAL SECURITIES - 0.4%
$ 700,000 Henrico County Industrial Development Health Facility
Revenue, Series 1994 (The Hermitage at Cedarfield),
Variable Rate Demand Bonds, 4.450%, 5/01/24t VMIG-1 $ 700,000
Other Assets Less Liabilities - 1.5% 2,722,129
Net Assets - 100% $178,394,349
============
<CAPTION>
NUMBER MARKET MARKET
STANDARD & POOR'S MOODY'S OF ISSUES VALUE PERCENT
<S> <C> <C> <C> <C> <C>
SUMMARY OF AAA Aaa 21 $ 55,805,752 32%
RATINGS** AA+, AA, AA- Aa1, Aa, Aa2, Aa3 26 78,260,580 45
PORTFOLIO OF A+ A1 3 9,045,446 5
INVESTMENTS A, A- A, A2, A3 7 20,392,415 11
(EXCLUDING BBB+, BBB, BBB- Baa1, Baa, Baa2, Baa3 1 1,210,225 1
TEMPORARY Non-rated Non-rated 3 10,257,802 6
INVESTMENTS):
TOTAL 61 $174,972,220 100%
<FN>
* Optional Call Provisions (not covered by the report of independent
auditors): 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.
** Ratings (not covered by the report of independent auditors): Using the
higher of Standard & Poor's or Moody's rating.
N/R - Investment is not rated.
t 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.
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
STATEMENT OF NET ASSETS
<CAPTION>
NPG NMY NNC NPV
<S> <C> <C> <C> <C>
ASSETS
Investments in municipal securities, at market value (note 1) $75,614,202 $213,002,558 $126,142,015 $174,972,220
Temporary investments in short-term municipal securities,
at amortized cost (note 1) 400,000 800,000 400,000 700,000
Cash 47,717 51,976 290,533 238,241
Receivables:
Interest 1,600,517 4,193,525 2,576,642 3,269,948
Investments sold -- -- 1,151,400 --
Other assets 8,784 31,466 8,312 36,455
----------- ----------- ----------- -----------
Total assets 77,671,220 218,079,525 130,568,902 179,216,864
----------- ----------- ----------- -----------
LIABILITIES
Payable for investments purchased -- -- 1,213,188 --
Accrued expenses:
Management fees (note 6) 41,872 116,844 69,759 96,321
Other 64,930 113,260 82,115 148,285
Preferred share dividends payable 15,079 51,669 31,546 30,556
Common share dividends payable 215,153 635,624 357,612 547,353
----------- ----------- ----------- -----------
Total liabilities 337,034 917,397 1,754,220 822,515
----------- ----------- ----------- -----------
Net assets (note 7) $77,334,186 $217,162,128 $128,814,682 $178,394,349
=========== ============ ============ ============
Preferred shares, at liquidation value $27,800,000 $ 79,100,000 $ 46,800,000 $ 63,800,000
=========== ============ ============ ============
Preferred shares outstanding 1,112 3,164 1,872 2,552
=========== ============ ============ ============
Common shares outstanding 3,709,530 10,335,349 6,219,344 8,420,809
=========== ============ ============ ============
Net asset value per Common share outstanding (net assets less
Preferred shares at liquidation value, divided by Common
shares outstanding) $ 13.35 $ 13.36 $ 13.19 $ 13.61
=========== ============ ============ ============
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
STATEMENT OF OPERATIONS
Year ended May 31, 1995
<CAPTION>
NPG NMY NNC NPV
<S> <C> <C> <C> <C>
INVESTMENT INCOME
Interest income (note 1) $ 4,304,272 $ 9,324,076 $ 7,067,980 $ 8,566,101
----------- ----------- ----------- -----------
Expenses:
Management fees (note 6) 469,466 1,022,722 785,441 908,729
Preferred shares--auction fees 69,691 151,831 117,000 132,289
Preferred shares--dividend disbursing agent fees 15,041 22,151 15,000 22,151
Shareholders' servicing agent fees and expenses 10,551 38,966 17,333 26,062
Custodian's fees and expenses 47,088 54,386 47,454 48,357
Trustees' fees and expenses (note 6) 732 2,282 1,641 2,175
Professional fees 20,897 58,583 19,336 55,231
Shareholders' reports--printing and mailing expenses 22,513 109,813 23,019 119,573
Stock exchange listing fees 1,784 24,175 17,425 18,515
Investor relations expense 6,800 20,105 7,631 11,065
Other expenses 20,808 35,835 20,766 31,346
----------- ----------- ----------- -----------
Total expenses 685,371 1,540,849 1,072,046 1,375,493
----------- ----------- ----------- -----------
Net investment income 3,618,901 7,783,227 5,995,934 7,190,608
----------- ----------- ----------- -----------
REALIZED AND UNREALIZED GAIN (LOSS) FROM INVESTMENTS
Net realized gain (loss) from investment transactions, net of
taxes, if applicable (notes 1 and 3) (2,231,213) (2,689,366) (2,628,350) (2,482,462)
Net change in unrealized appreciation or depreciation
of investments 6,282,723 17,300,496 7,880,370 13,682,593
----------- ----------- ----------- -----------
Net gain from investments 4,051,510 14,611,130 5,252,020 11,200,131
----------- ----------- ----------- -----------
Net increase in net assets from operations $ 7,670,411 $22,394,357 $11,247,954 $18,390,739
============ ============ ============ ============
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
STATEMENT OF CHANGES IN NET ASSETS
<CAPTION>
NPG NMY
Year ended Year ended Year ended Year ended
5/31/95 5/31/94 5/31/95 5/31/94
<S> <C> <C> <C> <C>
Operations
Net investment income $ 3,618,901 $ 2,848,507 $ 7,783,227 $ 5,151,818
Net realized gain (loss) from investment transactions,
net of taxes, if applicable (2,231,213) (689,743) (2,689,366) (608,585)
Net change in unrealized appreciation or depreciation
of investments 6,282,723 (5,200,904) 17,300,496 (6,980,805)
----------- ----------- ------------ ------------
Net increase (decrease) in net assets from operations 7,670,411 (3,042,140) 22,394,357 (2,437,572)
----------- ----------- ------------ ------------
Distributions to Shareholders (note 1)
From undistributed net investment income:
Common shareholders (2,696,507) (2,281,188) (5,677,248) (4,342,608)
Preferred shareholders (913,003) (493,811) (2,055,328) (926,651)
----------- ----------- ------------ ------------
Decrease in net assets from distributions to shareholders (3,609,510) (2,774,999) (7,732,576) (5,269,259)
----------- ----------- ------------ ------------
CAPITAL SHARE TRANSACTIONS (note 2)
Common shares:
Net proceeds from sale of Common shares -- 2,102,933 -- --
Net proceeds from sale of Common shares issued
in acquisition of NDM (note 1) -- -- 84,880,037 --
Net proceeds from Common shares issued to shareholders
due to reinvestment of distributions from net investment
income and from net realized gains from investment
transactions 230,989 296,717 114,722 311,250
Preferred shares--net proceeds from sale of shares -- 27,241,063 -- 43,177,256
----------- ----------- ------------ ------------
Net increase in net assets derived from capital
share transactions 230,989 29,640,713 84,994,759 43,488,506
----------- ----------- ------------ ------------
Net increase in net assets 4,291,890 23,823,574 99,656,540 35,781,675
Net assets at beginning of year 73,042,296 49,218,722 117,505,588 81,723,913
----------- ----------- ------------ ------------
Net assets at end of year $77,334,186 $73,042,296 $217,162,128 $117,505,588
=========== =========== ============ ============
Balance of undistributed net investment income at end of year $ 85,622 $ 76,231 $ 439,185 $ 281,444
=========== =========== ============ ============
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
STATEMENT OF CHANGES IN NET ASSETS
<CAPTION>
NNC NPV
Year ended Year ended Year ended Year ended
5/31/95 5/31/94 5/31/95 5/31/94
<S> <C> <C> <C> <C>
Operations
Net investment income $ 5,995,934 $ 4,638,798 $ 7,190,608 $ 5,420,819
Net realized gain (loss) from investment transactions,
net of taxes, if applicable (2,628,350) (755,496) (2,482,462) (636,209)
Net change in unrealized appreciation or depreciation
of investments 7,880,370 (8,844,390) 3,682,593 (6,740,245)
------------ ------------ ------------ ------------
Net increase (decrease) in net assets from operations 11,247,954 (4,961,088) 18,390,739 (1,955,635)
------------ ------------ ------------ ------------
Distributions to Shareholders (note 1)
From undistributed net investment income:
Common shareholders (4,501,634) (3,706,157) (5,490,944) (4,545,450)
Preferred shareholders (1,487,023) (828,176) (1,828,391) (853,540)
------------ ------------ ------------ ------------
Decrease in net assets from distributions to shareholders (5,988,657) (4,534,333) (7,319,335) (5,398,990)
------------ ------------ ------------ ------------
CAPITAL SHARE TRANSACTIONS (note 2)
Common shares:
Net proceeds from sale of Common shares -- 3,934,000 -- --
Net proceeds from sale of Common shares issued
in acquisition of NVI (note 1) -- -- 49,584,292 --
Net proceeds from Common shares issued to shareholders
due to reinvestment of distributions from net investment
income and from net realized gains from investment
transactions 373,994 361,480 834,752 833,955
Preferred shares--net proceeds from sale of shares -- 45,932,337 -- 42,197,835
------------ ------------ ------------ ------------
Net increase in net assets derived from capital share transactions 373,994 50,227,817 50,419,044 43,031,790
------------ ------------ ------------ ------------
Net increase in net assets 5,633,291 40,732,396 61,490,448 35,677,165
Net assets at beginning of year 123,181,391 82,448,995 116,903,901 81,226,736
------------ ------------ ------------ ------------
Net assets at end of year $128,814,682 $123,181,391 $178,394,349 $116,903,901
============ ============ ============ ============
Balance of undistributed net investment income at end of year $ 124,459 $ 117,182 $ 395,052 $ 412,744
============ ============ ============ ============
See accompanying notes to financial statements.
</TABLE>
<PAGE>
NOTES TO FINANCIAL STATEMENTS
1. GENERAL INFORMATION AND SIGNIFICANT ACCOUNTING POLICIES
At May 31, 1995, the state Funds (the "Funds") covered in this report and
their corresponding stock exchange symbols are Nuveen Georgia Premium Income
Municipal Fund (NPG), Nuveen Maryland Premium Income Municipal Fund (NMY),
Nuveen North Carolina Premium Income Municipal Fund (NNC) and Nuveen Virginia
Premium Income Municipal Fund (NPV). NMY, NNC and NPV are traded on the New
York Stock Exchange while NPG is traded on the American Stock Exchange.
The Funds are registered under the Investment Company Act of 1940 as
closed-end, diversified management investment companies.
On December 8, 1994, NMY acquired all of the net assets of NDM pursuant to a
plan of reorganization approved by the shareholders of the Funds on November
18, 1994. The acquisition was accomplished by a tax-free exchange of 4,525,908
shares of NMY (valued at $84,880,037 which includes the $35,100,000
liquidation value of NDM's preferred shares) for the 4,616,257 shares of NDM
outstanding on December 8, 1994. NDM's net assets at that date of $84,880,037
included $10,766,392 of unrealized depreciation which was combined with that
of NMY. The combined net assets of NMY immediately after the acquisition were
$192,777,559.
On December 8, 1994, NPV acquired all of the net assets of NVI pursuant to a
plan of reorganization approved by the shareholders of the Funds on November
3, 1994. The acquisition was accomplished by a tax-free exchange of 2,575,679
shares of NPV (valued at $49,584,292 which includes the $20,800,000
liquidation value of NVI's preferred shares) for the 2,730,426 shares of NVI
outstanding on December 8, 1994. NVI's net assets at that date of $49,584,292
included $6,920,156 of unrealized depreciation which was combined with that of
NPV. The combined net assets of NPV immediately after the acquisition were
$157,658,536.
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 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 May 31, 1995, NNC had outstanding purchase commitments of
$1,213,188. 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 accretions 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 all of their net
investment income, in addition to any significant amounts of net realized
gains from investments, to shareholders. The Funds currently consider
significant net realized gains 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 and
designated state income taxes, to retain such tax exempt status when
distributed to shareholders of the Funds. All income dividends paid during the
fiscal year ended May 31, 1995, have been designated Exempt Interest
Dividends.
Dividends and Distributions to Shareholders
Net investment income is declared as a dividend monthly and payment is made or
reinvestment is credited to shareholder accounts after month-end. Net realized
gains from securities transactions are distributed to shareholders not less
frequently than annually only to the extent they exceed available capital loss
carryovers.
Distributions to shareholders of net investment income and net realized
capital gains are recorded on the ex-dividend date. The amount and timing of
such 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
result and will be classified as either distributions in excess of net
investment income or distributions in excess of accumulated net realized
gains, if applicable.
<PAGE>
<TABLE>
Preferred Shares
The following 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, at
May 31, 1995, for each Fund is as follows:
<CAPTION>
NPG NMY NNC NPV
Number of shares:
<S> <C> <C> <C> <C>
Series T -- -- -- 832
Series W -- 1,404 -- --
Series Th 1,112 1,760 1,872 1,720
----- ----- ----- -----
Total 1,112 3,164 1,872 2,552
===== ===== ===== =====
Derivative Financial Instruments
In October 1994, the Financial Accounting Standards Board (FASB) issued
Statement of Financial Accounting Standards No. 119 Disclosure about
Derivative Financial Instruments and Fair Value of Financial Instruments which
prescribes disclosure requirements for transactions in certain 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 fiscal year
ended May 31, 1995, other than occasional purchases of high quality synthetic
money market securities which were held temporarily pending the re-investment
in long-term portfolio securities.
</TABLE>
<PAGE>
<TABLE>
2. FUND SHARES
Transactions in Common and Preferred shares were as follows:
<CAPTION>
NPG NMY
Year ended Year ended Year ended Year ended
5/31/95 5/31/94 5/31/95 5/31/94
<S> <C> <C> <C> <C>
Common shares:
Shares sold -- 145,000* -- --
Shares issued in acquisition of NDM (see note 1) -- -- 4,525,908 --
Shares issued to shareholders due to reinvestment of
distributions from net investment income and from
net realized gains from investment transactions 19,021 20,891 9,407 17,916
------ -------- --------- ------
Net increase 19,021 165,891 4,535,315 17,916
====== ======== ========= ======
Preferred shares sold -- 1,112 -- 1,760
====== ======== ========= ======
Preferred shares acquired from NDM (see note 1) -- -- 1,404 --
====== ======== ========= ======
<CAPTION>
NNC NPV
Year ended Year ended Year ended Year ended
5/31/95 5/31/94 5/31/95 5/31/94
<S> <C> <C> <C> <C>
Common shares:
Shares sold -- 280,000* -- --
Shares issued in acquisition of NVI (see note 1) -- -- 2,575,679 --
Shares issued to shareholders due to reinvestment of
distributions from net investment income and from
net realized gains from investment transactions 30,917 21,309 65,082 52,930
------ -------= --------- ------
Net increase 30,917 301,309 2,640,761 52,930
====== ======== ========= ======
Preferred shares sold -- 1,872 -- 1,720
====== ======== ========= ======
Preferred shares acquired from NVI (see note 1) -- -- 832 --
====== ======== ========= ======
<FN>
*Amounts shown reflect overallotments for shares sold in the initial public
offering, which occurred during the Fund's initial period ended May 31, 1993.
</TABLE>
<PAGE>
<TABLE>
3. SECURITIES TRANSACTIONS
Purchase and sales (including maturities) of investments in municipal
securities and temporary municipal investments during the fiscal year ended
May 31, 1995, were as follows:
<CAPTION>
NPG NMY NNC NPV
<S> <C> <C> <C> <C>
PURCHASES
Investments in municipal securities $24,590,262 $40,557,041 $38,413,377 $63,067,947
Investments in municipal securities in
acquisition of NDM (see note 1) -- 92,850,890 -- --
Investments in municipal securities in
acquisition of NVI (see note 1) -- -- -- 55,392,168
Temporary municipal investments 10,158,000 22,000,000 9,800,000 24,500,000
Temporary municipal investments in
acquisition of NVI (see note 1) -- -- -- 100,000
SALES AND MATURITIES
Investments in municipal securities 24,646,007 38,641,231 38,206,606 61,020,485
Temporary municipal investments 9,758,000 21,700,000 9,400,000 23,900,000
=========== =========== =========== ===========
At May 31, 1995, 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 May 31, 1995, the Funds had unused capital loss carryovers available for
federal income tax purposes to be applied against future security gains, if
any. If not applied, the carryovers will expire as follows:
<CAPTION>
NPG NMY NNC NPV
<S> <C> <C> <C> <C>
Expiration year:
2002 $ -- $3,285,718* $ 10,562 $1,946,517t
2003 1,288,994 1,019,929 2,478,557 1,577,464
---------- ----------- ---------- ----------
Total $1,288,994 $4,305,647 $2,489,119 $3,523,981
========== =========== ========== ==========
<FN>
*Due to the acquisition of NDM by NMY (see note 1), NDM had net realized
losses from investment transactions of $3,285,718 which were carried forward
by NMY, as permitted under applicable tax regulations.
tDue to the acquisition of NVI by NPV (see note 1), NVI had net realized
losses from investment transactions of $1,890,231 which were carried forward
by NPV, as permitted under applicable tax regulations.
</TABLE>
<PAGE>
<TABLE>
4. DISTRIBUTIONS TO COMMON SHAREHOLDERS
On June 1, 1995, the Funds declared Common share dividend distributions from
their ordinary income which were paid July 3, 1995, to shareholders of record
on June 15, 1995, as follows:
<CAPTION>
NPG NMY NNC NPV
<S> <C> <C> <C> <C>
Dividend per share $.0580 $.0615 $.0575 $.0650
====== ===== ====== ======
5. UNREALIZED APPRECIATION (DEPRECIATION)
Gross unrealized appreciation and gross unrealized depreciation of investments
at May 31, 1995, were as follows:
<CAPTION>
NPG NMY NNC NPV
<S> <C> <C> <C> <C>
Gross unrealized:
Appreciation $2,046,055 $ 3,106,931 $ 1,352,419 $2,891,414
Depreciation (949,120) (3,107,361) (2,199,170) (2,139,408)
---------- ----------- ----------- -----------
Net unrealized appreciation (depreciation) $1,096,935 $ (430) $ (846,751) $ 752,006
========== =========== =========== ===========
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:
<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
The fee compensates the Adviser for overall investment advisory and
administrative services and general office facilities. The Funds pay no
compensation directly to those 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.
</TABLE>
<PAGE>
<TABLE>
7. COMPOSITION OF NET ASSETS
At May 31, 1995, net assets consisted of:
<CAPTION>
NPG NMY NNC NPV
<S> <C> <C> <C> <C>
Preferred shares, $25,000 stated value per share, at
liquidation value $27,800,000 $ 79,100,000 $ 46,800,000 $ 63,800,000
Common shares, $.01 par value per share 37,095 103,353 62,193 84,208
Paid-in surplus 51,235,490 144,110,804 86,058,627 118,371,984
Balance of undistributed net investment income 85,622 439,185 124,459 395,052
Accumulated net realized gain (loss) from investment transactions (2,920,956) (6,590,784) (3,383,846) (5,008,901)
Net unrealized appreciation or depreciation of investments 1,096,935 (430) (846,751) 752,006
----------- ----------- ----------- ------------
Net assets $77,334,186 $217,162,128 $128,814,682 $178,394,349
=========== ============ ============ ============
Authorized shares:
Common Unlimited Unlimited Unlimited Unlimited
Preferred Unlimited Unlimited Unlimited Unlimited
=========== ============ ============ ============
</TABLE>
<PAGE>
<TABLE>
8. INVESTMENT COMPOSITION
Each Fund invests in municipal securities which include general obligation,
escrowed and revenue bonds. At May 31, 1995, the revenue sources by municipal
purpose for these investments, expressed as a percent of total investments,
were as follows:
<CAPTION>
NPG NMY NNC NPV
<S> <C> <C> <C> <C>
Revenue Bonds:
Housing Facilities 13% 20% 10% 14%
Water / Sewer Facilities 18 2 8 10
Health Care Facilities 13 8 17 12
Pollution Control Facilities 15 7 3 5
Electric Utilities 5 1 15 1
Transportation 3 11 -- 9
Educational Facilities 10 9 -- 10
Lease Rental Facilities -- 3 9 3
Other 7 12 9 14
General Obligation Bonds 12 23 16 17
Escrowed Bonds 4 4 13 5
----- ----- ----- -----
100% 100% 100% 100%
===== ===== ===== =====
Certain long-term and intermediate-term investments owned by the Funds are
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, either of which ensure the timely payment of principal and
interest in the event of default (51% for NPG, 37% for NMY, 46% for NNC, and
27% for NPV). Such insurance or escrow, however, does not guarantee the market
value of the municipal securities or the value of any of the Funds' shares.
All of the temporary investments in short-term municipal securities have
credit enhancements (letters of credit, guarantees or insurance) issued by
third party domestic or foreign banks or other institutions.
For additional information regarding each investment security, refer to the
Portfolio of Investments of each Fund.
</TABLE>
<PAGE>
<TABLE>
FINANCIAL HIGHLIGHTS
SELECTED DATA FOR A COMMON SHARE OUTSTANDING THROUGHOUT EACH PERIOD IS AS
FOLLOWS:
<CAPTION>
Operating performance Dividends from net
investment income
Net
realized and
Net asset unrealized
value Net gain (loss)
beginning investment from To Common To Preferred
of period income investmentstt shareholders shareholderst
<S> <C> <C> <C> <C> <C>
NPG
Year ended 5/31,
1995 $12.260 $ .977 $ 1.088 $(.728) $(.247)
1994 13.960 .775 (1.568) (.620) (.135)
5/20/93 to
5/31/93 14.050 .001 -- -- --
<CAPTION>
NMY
<S> <C> <C> <C> <C> <C>
Year ended 5/31,
1995 12.670 .992 .696 (.738) (.260)
1994 14.130 .890 (1.298) (.750) (.160)
3/18/93 to
5/31/93 14.050 .069 .073 -- --
<CAPTION>
NNC
<S> <C> <C> <C> <C> <C>
Year ended 5/31,
1995 12.340 .966 .849 (.725) (.240)
1994 14.000 .752 (1.535) (.600) (.135)
5/20/93 to
5/31/93 14.050 .002 .015 -- --
<CAPTION>
NPV
<S> <C> <C> <C> <C> <C>
Year ended 5/31,
1995 12.790 1.037 .844 (.800) (.261)
1994 14.180 .942 (1.255) (.790) (.148)
3/18/93 to
5/31/93 14.050 .068 .125 -- --
<PAGE>
<CAPTION>
Distributions from capital gains
Organization Per
and offering Common
costs and share
Preferred share Net asset market
To Common To Preferred underwriting value end value end
shareholders shareholderst discounts of period of period
<S> <C> <C> <C> <C> <C>
NPG
Year ended 5/31,
1995 $ -- $ -- $ -- $13.350 $11.500
1994 -- -- (.152) 12.260 12.625
5/20/93 to
5/31/93 -- -- (.091) 13.960 15.000
<CAPTION>
NMY
<S> <C> <C> <C> <C> <C>
Year ended 5/31,
1995 -- -- -- 13.360 12.250
1994 -- -- (.142) 12.670 12.500
3/18/93 to
5/31/93 -- -- (.062) 14.130 15.250
<CAPTION>
NNC
<S> <C> <C> <C> <C> <C>
Year ended 5/31,
1995 -- -- -- 13.190 12.125
1994 -- -- (.142) 12.340 12.500
5/20/93 to
5/31/93 -- -- (.067) 14.000 15.125
<CAPTION>
NPV
<S> <C> <C> <C> <C> <C>
Year ended 5/31,
1995 -- -- -- 13.610 12.875
1994 -- -- (.139) 12.790 13.125
3/18/93 to
5/31/93 -- -- (.063) 14.180 15.125
<PAGE>
<CAPTION>
Ratios/Supplemental data
Ratio
Total of net
investment Total Ratio of investment
return return Net assets expenses to income Portfolio
on market on net asset end of period average net to average turnover
value** value** (in thousands) assetsttt net assetsttt rate
<S> <C> <C> <C> <C> <C> <C>
NPG
Year ended 5/31,
1995 (3.00)% 15.78% $ 77,334 .95% 5.01% 35%
1994 (12.09) (8.05) 73,042 .97 3.97 31
5/20/93 to
5/31/93 -- (.64) 49,219 1.61* .50* --
<CAPTION>
NMY
<S> <C> <C> <C> <C> <C> <C>
Year ended 5/31,
1995 4.36 12.07 217,162 .97 4.92 25
1994 (13.62) (5.39) 117,506 .92 4.30 19
3/18/93 to
5/31/93 1.67 .57 81,724 .86* 2.74* --
<CAPTION>
NNC
<S> <C> <C> <C> <C> <C> <C>
Year ended 5/31,
1995 3.04 13.64 128,815 .89 4.96 32
1994 (13.81) (7.79) 123,181 .93 3.85 19
5/20/93 to
5/31/93 .83 (.36) 82,449 1.28* 1.41* --
<CAPTION>
NPV
<S> <C> <C> <C> <C> <C> <C>
Year ended 5/31,
1995 4.66 13.58 178,394 .98 5.13 45
1994 (8.35) (4.58) 116,904 .93 4.56 28
3/18/93 to
5/31/93 .83 .93 81,227 .90* 2.70* --
<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.
t The amounts shown are based on Common share equivalents.
tt Net of taxes, if applicable.
ttt Ratios do not reflect the effect of dividend payments to Preferred
shareholders.
</TABLE>
<PAGE>
REPORT OF INDEPENDENT AUDITORS
The Boards of Trustees and Shareholders
Nuveen Georgia Premium Income Municipal Fund
Nuveen Maryland Premium Income Municipal Fund
Nuveen North Carolina Premium Income Municipal Fund
Nuveen Virginia Premium Income Municipal Fund
We have audited the accompanying statements of net assets, including the
portfolios of investments, of Nuveen Georgia Premium Income Municipal Fund,
Nuveen Maryland Premium Income Municipal Fund, Nuveen North Carolina Premium
Income Municipal Fund, and Nuveen Virginia Premium Income Municipal Fund as of
May 31, 1995, and the related statements of operations, changes in net assets
and the financial highlights for the periods then ended. These financial
statements and financial highlights are the responsibility of the Funds'
management. Our responsibility is to express an opinion on these financial
statements and financial highlights based on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements and
financial highlights are free of material misstatement. An audit includes
examining, on a test basis, evidence supporting the amounts and disclosures in
the financial statements. Our procedures included confirmation of investments
owned as of May 31, 1995, by correspondence with the custodian and brokers. An
audit also includes assessing the accounting principles used and significant
estimates made by management, as well as evaluating the overall financial
statement presentation. We believe that our audits provide a reasonable basis
for our opinion.
In our opinion, the financial statements and financial highlights referred to
above present fairly, in all material respects, the financial position of
Nuveen Georgia Premium Income Municipal Fund, Nuveen Maryland Premium Income
Municipal Fund, Nuveen North Carolina Premium Income Municipal Fund, and
Nuveen Virginia Premium Income Municipal Fund at May 31, 1995, and the results
of their operations, changes in their net assets and financial highlights for
the periods then ended in conformity with generally accepted accounting
principles.
Ernst & Young LLP
Chicago, Illinois
July 12, 1995
<PAGE>
Build your wealth automatically
Photographic image of Customer Service Rep at Nuveen.
Managing your portfolio takes skill, experience, and informed judgment, but
our efforts to help you build your wealth don't stop there. At Nuveen, we
offer a number of convenient ways to build your tax-free portfolio and earn
the tax-free income you need to achieve your financial goals.
Nuveen Exchange-traded Fund Dividend Reinvestment Plan
Your Nuveen exchange-traded fund allows you to conveniently reinvest dividends
and/or capital gains distributions in additional fund shares. If you do not
elect to reinvest distributions, all distributions are paid by check, or are
deposited directly into your bank or brokerage account.
By choosing to reinvest, you'll be able to set aside money regularly and
automatically, and watch your investment grow through the power of tax-free
compounding. Income or capital gains taxes may be payable on dividends or
distributions that are reinvested. You'll also benefit from dollar-cost
averaging, a technique of investing at regular intervals, which allows you to
build a high-quality, tax-free portfolio conveniently and cost effectively
over time. All reinvestments are invested in full and fractional shares and
are kept in non-certificated form by the Plan Agent, U.S. Trust.
To make recordkeeping easy and convenient, each month you'll receive a
statement showing your total dividends and distributions, the date of
investment, the shares acquired and the price per share, and the total number
of shares you own.
The shares you acquire by reinvesting will either be purchased on the open
market or be newly issued by the Fund. If the shares are trading at or above
net asset value at the time of valuation, the Fund will issue new shares at
the then-current market price. If the shares are trading at less than net
asset value, shares for your account will be purchased on the open market.
Dividends and distributions received to purchase shares in the open market
will be invested within 30 days of the dividend payment date; no interest will
be paid on dividends and distributions awaiting reinvestment. Because the
market price of shares may increase before purchases are completed, the
average purchase price per share may exceed the market price at the time of
valuation resulting in the acquisition of fewer shares than if the dividend or
distribution had been paid in shares issued by the Fund. A pro rata portion of
any applicable brokerage commissions on open market purchases will be paid by
Plan participants. These commissions usually will be lower than those charged
on individual transactions.
<PAGE>
You can, of course, change your distribution option or withdraw from the
Plan at any time, should your needs or situation change. Should you withdraw,
you can receive a certificate for all whole shares credited to your
reinvestment account and cash payment for fractional shares, or cash payment
for all reinvestment account shares, less brokerage commissions and a $2.50
service fee.
You also can reinvest if your shares are registered in the name of a
brokerage firm, bank, or other nominee. Just ask your investment adviser if
the firm will participate on your behalf. If not, it's easy to have the shares
registered in your name and to apply for a reinvestment account directly.
Participants whose shares are registered in the name of one firm may not be
able to transfer the shares to another firm and continue to participate in the
Plan.
The Fund reserves the right to amend or terminate the Plan at any time.
There is no direct service charge to participants in the Plan; however, the
Fund reserves the right to amend the Plan to include a service charge payable
by the participants.
For more information on the Nuveen Automatic Reinvestment Plan or to enroll
in the Plan, speak with your investment adviser or call us toll-free at
1.800.257.8787.
Photographic image of Customer Service Rep at Nuveen.
"When questions come up that your investment adviser can't answer, we're happy
to provide the up-to-date information you need."
Photographic image of Customer Service Rep at Nuveen.
"At Nuveen, we make reinvesting easy. A phone call is all it takes to set up
your reinvestment account."
<PAGE>
Photographic image of Customer Service Rep at Nuveen.
"Your investment adviser knows your situation best. And when we can give you
the account information you need, our motto is simple: We're here to help."
Useful numbers
Nuveen Shareholder Services:
1.800.257.8787
Call Monday through Friday, 9 a.m. to 6 p.m., Eastern Time for information on
your Nuveen Fund's current account balance, yield/dividends, net asset
value/closing price, and general information.
Dividend Reinvestment:
1.800.257.8787
Monday through Friday, 9 a.m. to 6 p.m., Eastern Time
Taking Stock Newsletter:
1.800.257.8787
Call Monday through Friday, 9 a.m. to 6 p.m., Eastern Time if you're not
currently getting our quarterly shareholder newsletter and would like to do
so. We will be happy to add your name to our mailing list.
Photographic image of woman seated and man standing behind her representing
Nuveen investors.
Many conservative investors are comfortable with Nuveen's emphasis on long
term value. That's why they depend on Nuveen for the tax-free income they need
to reach their goals.
<PAGE>
Our commitment to you
Photographic image of John Nuveen, Sr., founder of Nuveen.
For nearly 100 years, Nuveen has earned its reputation as a tax-free income
specialist by focusing on municipal bonds.
For almost a century, John Nuveen & Co. Incorporated has concentrated its
resources and expertise on one area: municipal bonds. We are one of the oldest
and largest investment banking firms specializing exclusively in municipal
securities, and we strive to be the best.
Our approach to managing our shareholders' investments endures. We maintain
a sharp focus on the needs of prudent investors and their families, offer
investments of quality, and then work to make them better by seeking out
opportunity. We hold to a dedicated belief in the importance of research. And
we sustain a commitment to sound financial management through value investing.
Our hope is that by providing quality invest-ments we may foster opportunity
for our investors. Through careful research, attention to detail, and our
philosophy of managing for long-term value, we hope to provide our
shareholders with the attractive level of income they need to achieve their
personal goals and aspirations.
John Nuveen & Co. Incorporated
333 West Wacker Drive
Chicago, Illinois 60606-1286
ETF2-MAY 95
