N-Q 1 d372346dnq.htm EATON VANCE MUNICIPAL INCOME TRUST Eaton Vance Municipal Income Trust

 

 

UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED

MANAGEMENT INVESTMENT COMPANIES

811-09141

Investment Company Act File Number

Eaton Vance Municipal Income Trust

(Exact Name of Registrant as Specified in Charter)

Two International Place, Boston, Massachusetts 02110

(Address of Principal Executive Offices)

Maureen A. Gemma

Two International Place, Boston, Massachusetts 02110

(Name and Address of Agent for Services)

(617) 482-8260

(Registrant’s Telephone Number, Including Area Code)

November 30

Date of Fiscal Year End

February 28, 2017

Date of Reporting Period

 

 

 

Item 1. Schedule of Investments

Eaton Vance

Municipal Income Trust

February 28, 2017

PORTFOLIO OF INVESTMENTS (Unaudited)

Tax-Exempt Municipal Securities — 164.4%

 

                                                 
Security   Principal
Amount
(000’s omitted)		     Value  

Cogeneration — 0.0%(1)

    

Northampton County Industrial Development Authority, PA, (Northampton Generating), 5.00%, 12/31/23(2)

   $ 252     $ 100,606  
   

 

 

  
    $ 100,606  
   

 

 

  

Education — 8.2%

    

Massachusetts Development Finance Agency, (Boston University), 6.00%, 5/15/59

   $ 5,580     $ 6,901,288  

New York Dormitory Authority, (Cornell University), 5.00%, 7/1/39(3)

     10,500       11,375,385  

New York Dormitory Authority, (The New School), 5.00%, 7/1/37

     1,500       1,675,305  

New York Dormitory Authority, (The New School), 5.00%, 7/1/41

     730       814,673  

New York Dormitory Authority, (The New School), Prerefunded to 7/1/20, 5.75%, 7/1/50

     4,000       4,594,320  
   

 

 

  
    $ 25,360,971  
   

 

 

  

Electric Utilities — 4.3%

    

Apache County Industrial Development Authority, AZ, (Tucson Electric Power Co.), 4.50%, 3/1/30

   $ 1,685     $ 1,770,093  

Hawaii Department of Budget and Finance, (Hawaiian Electric Co.), 6.50%, 7/1/39

     2,540       2,758,389  

Indiana Financing Authority, (Duke Energy Indiana, Inc.), 6.00%, 8/1/39

     1,000       1,096,020  

South Carolina Public Service Authority, 5.50%, 12/1/54

     7,000       7,856,730  
   

 

 

  
    $ 13,481,232  
   

 

 

  

Escrowed/Prerefunded — 7.9%

    

Brooklyn Arena Local Development Corp., NY, (Barclays Center), Prerefunded to 1/15/20, 6.00%, 7/15/30

   $ 785     $ 892,930  

Brooklyn Arena Local Development Corp., NY, (Barclays Center), Prerefunded to 1/15/20, 6.25%, 7/15/40

     880       1,007,204  

Brooklyn Arena Local Development Corp., NY, (Barclays Center), Prerefunded to 1/15/20, 6.375%, 7/15/43

     480       551,078  

Illinois Finance Authority, (Provena Healthcare), Prerefunded to 8/15/19, 7.75%, 8/15/34

     3,250       3,773,282  

Massachusetts Health and Educational Facilities Authority, (Harvard University), Prerefunded to 10/1/17, 5.00%, 10/1/38(3)

     2,490       2,553,993  

Miami-Dade County, FL, (Miami International Airport), Prerefunded to 10/1/19, 5.50%, 10/1/36

     3,715       4,131,972  

Onondaga Civic Development Corp., NY, (St. Joseph’s Hospital Health Center), Prerefunded to 7/1/22, 5.00%, 7/1/42

     1,675       1,971,090  

Triborough Bridge and Tunnel Authority, NY, Prerefunded to 5/15/18, 5.00%, 11/15/37(3)

     9,300       9,775,509  
   

 

 

  
    $ 24,657,058  
   

 

 

  

General Obligations — 14.9%

    

Chicago, IL, 5.75%, 1/1/33

   $ 1,500     $ 1,524,660  

Frisco Independent School District, TX, (PSF Guaranteed), 5.00%, 8/15/37(3)

     9,000       10,227,510  

Illinois, 5.00%, 5/1/33

     5,000       5,038,600  

Klein Independent School District, TX, (PSF Guaranteed), 5.00%, 2/1/36(3)

     3,250       3,621,767  

Leander Independent School District, TX, (PSF Guaranteed), 0.00%, 8/15/39

     17,900       6,755,102  

New York, 5.00%, 2/15/34(3)

     2,500       2,814,825  

Port of Houston Authority of Harris County, TX, (AMT), 5.625%, 10/1/38(3)

     2,340       2,481,500  

Wylie Independent School District, TX, (PSF Guaranteed), 0.00%, 8/15/36

     7,980       3,937,332  

Wylie Independent School District, TX, (PSF Guaranteed), 0.00%, 8/15/37

     7,500       3,534,150  

 

1

 

 

                                                 
Security   Principal
Amount
(000’s omitted)		     Value  

Wylie Independent School District, TX, (PSF Guaranteed), 0.00%, 8/15/38

   $ 8,500     $ 3,805,960  

Wylie Independent School District, TX, (PSF Guaranteed), 0.00%, 8/15/39

     6,035       2,556,064  
   

 

 

  
    $ 46,297,470  
   

 

 

  

Hospital — 20.8%

    

California Health Facilities Financing Authority, (Providence Health System), 5.50%, 10/1/39(3)

   $ 10,000     $ 10,884,800  

California Health Facilities Financing Authority, (St. Joseph Health System), 5.00%, 7/1/37

     440       491,264  

California Health Facilities Financing Authority, (Sutter Health Obligation Group), 5.00%, 8/15/52(3)

     10,000       10,812,600  

Camden County Improvement Authority, NJ, (Cooper Health System), 5.75%, 2/15/42

     1,335       1,481,757  

Hawaii Department of Budget and Finance, (Hawaii Pacific Health Obligated Group), 5.50%, 7/1/40

     1,870       2,009,502  

Illinois Finance Authority, (Presence Health Network), 4.00%, 2/15/41

     2,500       2,097,675  

Lehigh County General Purpose Authority, PA, (Lehigh Valley Health Network), 4.00%, 7/1/35

     1,185       1,187,702  

Massachusetts Development Finance Agency, (Children’s Hospital), 5.00%, 10/1/46(3)

     10,000       11,261,800  

Massachusetts Development Finance Agency, (Tufts Medical Center), 6.75%, 1/1/36

     1,535       1,744,712  

New York Dormitory Authority, (Orange Regional Medical Center), 5.00%, 12/1/36(4)

     800       856,984  

New York Dormitory Authority, (Orange Regional Medical Center), Prerefunded to 12/1/18, 6.125%, 12/1/29

     1,465       1,596,806  

New York Dormitory Authority, (Orange Regional Medical Center), Prerefunded to 12/1/18, 6.25%, 12/1/37

     2,930       3,200,000  

North Carolina Medical Care Commission, (North Carolina Baptist Hospital), 5.25%, 6/1/29(3)

     11,400       12,460,428  

South Lake County Hospital District, FL, (South Lake Hospital), 6.25%, 4/1/39

     1,570       1,691,549  

Southeastern Ohio Port Authority, (Memorial Health System Obligated Group), 5.00%, 12/1/43

     785       792,481  

Southeastern Ohio Port Authority, (Memorial Health System Obligated Group), 5.50%, 12/1/43

     670       714,776  

West Virginia Hospital Finance Authority, (West Virginia United Health System Obligated Group), 5.375%, 6/1/38

     1,000       1,116,410  
   

 

 

  
    $ 64,401,246  
   

 

 

  

Housing — 1.6%

    

Centerline Equity Issuer Trust, TN, 6.00%, 10/31/52(4)

   $ 4,000     $ 4,341,680  

New Hope Cultural Education Facilities Finance Corp., TX, (CHF-Collegiate Housing Stephenville III, LLC - Tarleton State University), 5.00%, 4/1/47

     555       578,815  

Texas Student Housing Corp., (University of Northern Texas), 6.85%, 7/1/31

     180       176,190  
   

 

 

  
    $ 5,096,685  
   

 

 

  

Industrial Development Revenue — 5.5%

    

Clayton County Development Authority, GA, (Delta Air Lines, Inc.), 8.75%, 6/1/29

   $ 400     $ 473,760  

Denver City and County, CO, (United Airlines), (AMT), 5.75%, 10/1/32

     1,370       1,391,660  

Essex County Improvement Authority, NJ, (Covanta), (AMT), 5.25%, 7/1/45(4)

     4,390       4,370,421  

Luzerne County Industrial Development Authority, PA, (Pennsylvania-American Water Co.), 5.50%, 12/1/39

     1,600       1,745,552  

Maine Finance Authority, (Casella Waste Systems, Inc.), (AMT), 5.125% to 8/1/25 (Put Date), 8/1/35(4)

     1,075       1,034,741  

New Jersey Economic Development Authority, (Continental Airlines), (AMT), 5.25%, 9/15/29

     4,680       4,942,501  

New Jersey Economic Development Authority, (Continental Airlines), Series 2000A, (AMT), 5.625%, 11/15/30

     1,005       1,095,259  

New Jersey Economic Development Authority, (Continental Airlines), Series 2000B, (AMT), 5.625%, 11/15/30

     1,715       1,869,024  
   

 

 

  
    $ 16,922,918  
   

 

 

  

 

2

 

 

                                                 
Security   Principal
Amount
(000’s omitted)		     Value  

Insured-Electric Utilities — 0.7%

    

Puerto Rico Electric Power Authority, (AGM), 1.189%, 7/1/29(5)

   $ 3,000     $ 2,305,830  
   

 

 

  
    $ 2,305,830  
   

 

 

  

Insured-Escrowed/Prerefunded — 2.0%

    

Iowa Finance Authority, Health Facilities, (Iowa Health System), (AGC), Prerefunded to 8/15/19, 5.625%, 8/15/37

   $ 2,625     $ 2,914,485  

San Diego County Water Authority, CA, Certificates of Participation, (AGM), Prerefunded to 5/1/18, 5.00%, 5/1/38(3)

     3,000       3,149,940  
   

 

 

  
    $ 6,064,425  
   

 

 

  

Insured-General Obligations — 1.1%

    

Arcadia Unified School District, CA, (Election of 2006), (AGM), 0.00%, 8/1/38

   $ 10,000     $ 3,509,400  
   

 

 

  
    $ 3,509,400  
   

 

 

  

Insured-Hospital — 3.1%

    

New Jersey Health Care Facilities Financing Authority, (Meridian Health System), Series I, (AGC), 5.00%, 7/1/38(3)

   $ 9,400     $ 9,739,948  
   

 

 

  
    $ 9,739,948  
   

 

 

  

Insured-Other Revenue — 0.6%

    

Harris County-Houston Sports Authority, TX, (AGM), (NPFG), 0.00%, 11/15/34

   $ 4,210     $ 1,887,385  
   

 

 

  
    $ 1,887,385  
   

 

 

  

Insured-Special Tax Revenue — 8.7%

    

Miami-Dade County, FL, Professional Sports Franchise Facilities, (AGC), 0.00%, 10/1/37

   $ 31,800     $ 12,987,438  

Puerto Rico Sales Tax Financing Corp., (NPFG), 0.00%, 8/1/43

     29,510       6,463,575  

Puerto Rico Sales Tax Financing Corp., (NPFG), 0.00%, 8/1/45

     10,510       2,040,727  

Puerto Rico Sales Tax Financing Corp., (NPFG), 0.00%, 8/1/46

     30,000       5,483,100  
   

 

 

  
    $ 26,974,840  
   

 

 

  

Insured-Student Loan — 1.1%

    

Maine Educational Loan Authority, (AGC), 5.625%, 12/1/27

   $ 1,720     $ 1,842,017  

Massachusetts Educational Financing Authority, (AGC), (AMT), 6.35%, 1/1/30

     275       287,972  

New Jersey Higher Education Student Assistance Authority, (AGC), (AMT), 6.125%, 6/1/30

     1,245       1,293,679  
   

 

 

  
    $ 3,423,668  
   

 

 

  

Insured-Transportation — 15.3%

    

Alameda Corridor Transportation Authority, CA, (NPFG), 0.00%, 10/1/33

   $ 12,425     $ 6,498,275  

Chicago, IL, (O’Hare International Airport), (AGM), 5.50%, 1/1/43

     935       1,046,069  

Clark County, NV, (Las Vegas-McCarran International Airport), (AGM), 5.25%, 7/1/39

     3,850       4,177,173  

Miami-Dade County, FL, (Miami International Airport), (AGM), (AMT), 5.25%, 10/1/41

     1,990       2,087,430  

New York Transportation Development Corp., (LaGuardia Airport Terminal B Redevelopment), (AGM), (AMT), 4.00%, 7/1/41

     1,480       1,473,088  

North Carolina Turnpike Authority, (AGC), 0.00%, 1/1/34

     15,000       7,807,650  

Puerto Rico Highway and Transportation Authority, (AGC), 5.25%, 7/1/41

     9,820       10,435,223  

Puerto Rico Highway and Transportation Authority, (AGM), 5.50%, 7/1/31

     2,370       2,628,922  

San Jose, CA, Airport Revenue, (AGM), (AMBAC), (BHAC), (AMT), 5.00%, 3/1/37

     2,425       2,433,391  

San Jose, CA, Airport Revenue, (AMBAC), (AMT), 5.50%, 3/1/32

     8,805       8,838,283  
   

 

 

  
    $ 47,425,504  
   

 

 

  

Insured-Water and Sewer — 12.3%

    

DeKalb County, GA, Water and Sewerage Revenue, (AGM), 5.00%, 10/1/35(3)

   $ 17,985     $ 20,914,577  

Jefferson County, AL, Sewer Revenue, (AGM), 0.00%, 10/1/34

     6,000       2,343,300  

Jefferson County, AL, Sewer Revenue, (AGM), 0.00%, 10/1/35

     6,680       2,436,329  

Jefferson County, AL, Sewer Revenue, (AGM), 0.00%, 10/1/36

     7,000       2,384,270  

 

3

 

 

                                                 
Security   Principal
Amount
(000’s omitted)		     Value  

Jefferson County, AL, Sewer Revenue, (AGM), 5.00%, 10/1/44

   $ 3,750     $ 4,171,275  

Puerto Rico Aqueduct and Sewer Authority, (AGC), 5.00%, 7/1/28

     3,640       3,720,881  

Puerto Rico Aqueduct and Sewer Authority, (AGC), 5.125%, 7/1/47

     2,000       2,038,980  
   

 

 

  
    $ 38,009,612  
   

 

 

  

Lease Revenue/Certificates of Participation — 1.4%

    

Hudson Yards Infrastructure Corp., NY, 5.75%, 2/15/47

   $ 2,135     $ 2,428,925  

New Jersey Health Care Facilities Financing Authority, (Hospital Asset Transformation Program), 5.75%, 10/1/31

     1,735       1,857,630  
   

 

 

  
    $ 4,286,555  
   

 

 

  

Other Revenue — 2.4%

    

Central Falls Detention Facility Corp., RI, 7.25%, 7/15/35(6)

   $ 1,925     $ 476,746  

Otero County, NM, Jail Project Revenue, 5.75%, 4/1/18

     60       59,569  

Salt Verde Financial Corp., AZ, Senior Gas Revenue, 5.00%, 12/1/37

     5,000       5,708,000  

White Earth Band of Chippewa Indians, MN, 6.375%, 12/1/26

     1,080       1,087,625  
   

 

 

  
    $ 7,331,940  
   

 

 

  

Senior Living/Life Care — 6.0%

    

Douglas County Hospital Authority No. 2, NE, (Immanuel Obligated Group), 5.50%, 1/1/30

   $ 535     $ 573,568  

Douglas County Hospital Authority No. 2, NE, (Immanuel Obligated Group), 5.625%, 1/1/40

     1,075       1,144,015  

Logan County, CO, (TLC Care Choices, Inc.), 6.875%, 12/1/23(6)

     3,109       759,601  

Multnomah County Hospital Facilities Authority, OR, (Mirabella at South Waterfront), 5.40%, 10/1/44

     1,480       1,572,707  

Palm Beach County Health Facilities Authority, FL, (Sinai Residences of Boca Raton), 7.25%, 6/1/39

     740       870,011  

Palm Beach County Health Facilities Authority, FL, (Sinai Residences of Boca Raton), 7.50%, 6/1/49

     3,650       4,328,535  

Savannah Economic Development Authority, GA, (Marshes Skidaway), 7.125%, 1/1/38

     4,960       5,513,883  

Tarrant County Cultural Education Facilities Finance Corp., TX, (Trinity Terrace), 5.00%, 10/1/49

     2,500       2,553,925  

Tempe Industrial Development Authority, AZ, (Friendship Village of Tempe), 6.00%, 12/1/32

     335       353,495  

Tempe Industrial Development Authority, AZ, (Friendship Village of Tempe), 6.25%, 12/1/42

     985       1,042,879  
   

 

 

  
    $ 18,712,619  
   

 

 

  

Special Tax Revenue — 14.6%

    

New River Community Development District, FL, (Capital Improvements), 5.00%, 5/1/13(7)

   $ 90     $ 0  

New River Community Development District, FL, (Capital Improvements), 5.35%, 5/1/38(7)

     35       0  

New River Community Development District, FL, (Capital Improvements), Series 2010A-2, 5.75%, 5/1/38

     155       141,815  

New York City Transitional Finance Authority, NY, Future Tax Revenue, 5.00%, 8/1/39(3)

     12,400       14,021,920  

New York City Transitional Finance Authority, NY, Future Tax Revenue, 5.50%, 11/1/35

     1,500       1,708,305  

New York City Transitional Finance Authority, NY, Future Tax Revenue, 5.50%, 11/1/35(3)

     5,000       5,694,350  

New York Dormitory Authority, Personal Income Tax Revenue, 5.00%, 3/15/34(3)

     10,000       11,443,400  

Southern Hills Plantation I Community Development District, FL, Series A1, 5.80%, 5/1/35

     258       258,175  

Southern Hills Plantation I Community Development District, FL, Series A2, 5.80%, 5/1/35

     185       167,649  

Sterling Hill Community Development District, FL, 6.20%, 5/1/35

     580       405,913  

Texas Transportation Commission, 5.00%, 4/1/33(3)

     10,000       11,412,800  
   

 

 

  
    $ 45,254,327  
   

 

 

  

Transportation — 24.5%

    

Central Texas Regional Mobility Authority, Prerefunded to 1/1/21, 5.75%, 1/1/31

   $ 435     $ 506,057  

Central Texas Regional Mobility Authority, Series 2015A, 5.00%, 1/1/40

     1,395       1,510,534  

Chicago, IL, (Midway International Airport), (AMT), 5.00%, 1/1/41

     10,000       10,623,600  

Dallas and Fort Worth, TX, (Dallas/Fort Worth International Airport), 5.25%, 11/1/30

     1,030       1,196,458  

Dallas and Fort Worth, TX, (Dallas/Fort Worth International Airport), 5.25%, 11/1/31

     1,735       2,011,559  

 

4

 

 

                                                 
Security   Principal
Amount
(000’s omitted)		     Value  

Dallas and Fort Worth, TX, (Dallas/Fort Worth International Airport), (AMT), 5.00%, 11/1/38

   $ 3,200     $ 3,393,504  

Los Angeles Department of Airports, CA, (Los Angeles International Airport), (AMT), 5.375%, 5/15/33

     1,000       1,043,980  

Memphis-Shelby County Airport Authority, TN, (AMT), 5.75%, 7/1/24

     400       440,400  

New Jersey Transportation Trust Fund Authority, (Transportation Program), 1.84%, 12/15/21 (Put Date), 6/15/34(5)

     7,250       7,054,323  

New York Liberty Development Corp., (1 World Trade Center Port Authority Construction), 5.00%, 12/15/41(3)

     7,880       8,757,517  

New York Transportation Development Corp., (LaGuardia Airport Terminal B Redevelopment), (AMT), 5.00%, 7/1/46

     1,055       1,110,788  

North Texas Tollway Authority, Prerefunded to 1/1/18, 5.75%, 1/1/38

     1,515       1,578,282  

Pennsylvania Economic Development Financing Authority, (Amtrak), (AMT), 5.00%, 11/1/41

     3,910       4,130,954  

Pennsylvania Turnpike Commission, 5.375%, (0.00% until 12/1/17), 12/1/38

     2,500       3,026,075  

Port Authority of New York and New Jersey, (AMT), 4.00%, 9/1/33(3)

     7,200       7,479,288  

Port Authority of New York and New Jersey, (AMT), 4.50%, 4/1/37(3)

     8,500       8,913,270  

Port Authority of New York and New Jersey, (AMT), 5.75%, 3/15/35(3)

     7,290       7,588,088  

Texas Private Activity Bond Surface Transportation Corp., (LBJ Express Managed Lanes Project), 7.00%, 6/30/34

     1,885       2,153,386  

Texas Private Activity Bond Surface Transportation Corp., (North Tarrant Express Managed Lanes Project), 6.875%, 12/31/39

     1,725       1,951,855  

Texas Transportation Commission, (Central Texas Turnpike System), 5.00%, 8/15/37

     850       924,375  

Texas Transportation Commission, (Central Texas Turnpike System), 5.00%, 8/15/42

     640       694,259  
   

 

 

  
    $ 76,088,552  
   

 

 

  

Water and Sewer — 7.4%

    

Atlanta, GA, Water and Wastewater Revenue, 5.00%, 11/1/40(3)

   $ 10,000     $ 11,308,400  

Detroit, MI, Sewage Disposal System, 5.25%, 7/1/39

     1,860       2,008,781  

Detroit, MI, Water Supply System, 5.25%, 7/1/41

     4,730       5,046,768  

Michigan Finance Authority, (Detroit Water and Sewerage Department), 5.00%, 7/1/34

     4,130       4,505,500  
   

 

 

  
    $ 22,869,449  
   

 

 

  

Total Tax-Exempt Municipal Securities — 164.4%
(identified cost $474,269,987)

     $ 510,202,240  
   

 

 

  

Taxable Municipal Securities — 5.0%

    
Security   Principal
Amount
(000’s omitted)		     Value  

Cogeneration — 0.0%(1)

    

Northampton County Industrial Development Authority, PA, (Northampton Generating), 5.00%, 12/31/23(2)

   $ 25     $ 9,816  
   

 

 

  
    $ 9,816  
   

 

 

  

General Obligations — 2.7%

    
Atlantic City, NJ, 7.50%, 3/1/40   $ 5,000     $ 5,316,400  
Chicago, IL, 7.75%, 1/1/42     2,885       2,972,242  
   

 

 

  
    $ 8,288,642  
   

 

 

  

Hospital — 2.0%

    

California Statewide Communities Development Authority, (Loma Linda University Medical Center), 6.00%, 12/1/24

   $ 6,000     $ 6,349,740  
   

 

 

  
    $ 6,349,740  
   

 

 

  

 

5

 

 

                                                 
Security   Principal
Amount
(000’s omitted)		     Value  

Insured-Transportation — 0.3%

    
Alameda Corridor Transportation Authority, CA, (AMBAC), 0.00%, 10/1/32   $ 1,285     $ 564,578  
Alameda Corridor Transportation Authority, CA, (AMBAC), 0.00%, 10/1/33     1,000       410,770  
   

 

 

  
    $ 975,348  
   

 

 

  

Total Taxable Municipal Securities — 5.0%
(identified cost $14,615,296)

     $ 15,623,546  
   

 

 

  

Institutional MuniFund Term Preferred Shares — 1.0%

    
Security   Shares     Value  
Nuveen Texas Quality Income Municipal Fund, (AMT), 1.54%, 11/1/18(4)(8)     600     $ 3,003,270  
   

 

 

  

Total Institutional MuniFund Term Preferred Shares — 1.0%
(identified cost $3,000,000)

     $ 3,003,270  
   

 

 

  

Total Investments — 170.4%
(identified cost $491,885,283)

     $ 528,829,056  
   

 

 

  

Auction Preferred Shares Plus Cumulative Unpaid Dividends — (4.8)%

     $ (14,777,706 ) 
   

 

 

  

Institutional MuniFund Term Preferred Shares, at Liquidation Value — (21.9)%

     $ (68,000,000 ) 
   

 

 

  

Other Assets, Less Liabilities — (43.7)%

     $ (135,633,170 ) 
   

 

 

  

Net Assets Applicable to Common Shares — 100.0%

     $ 310,418,180  
   

 

 

  

The percentage shown for each investment category in the Portfolio of Investments is based on net assets applicable to common shares.

At February 28, 2017, the concentration of the Trust’s investments in the various states and territories, determined as a percentage of total investments, is as follows:

 

                        

New York

      21.1 % 

Texas

      13.7 % 

California

      10.4 % 

Others, representing less than 10% individually

      54.8 % 

The Trust invests primarily in debt securities issued by municipalities. The ability of the issuers of the debt securities to meet their obligations may be affected by economic developments in a specific industry or municipality. In order to reduce the risk associated with such economic developments, at February 28, 2017, 26.5% of total investments are backed by bond insurance of various financial institutions and financial guaranty assurance agencies. The aggregate percentage insured by an individual financial institution or financial guaranty assurance agency ranged from 0.5% to 10.8% of total investments.

 

(1) Amount is less than 0.05%.

 

(2) Represents a payment-in-kind security which may pay interest in additional principal at the issuer’s discretion.

 

(3) Security represents the municipal bond held by a trust that issues residual interest bonds.

 

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(4) Security exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended. These securities may be sold in certain transactions in reliance on an exemption from registration (normally to qualified institutional buyers). At February 28, 2017, the aggregate value of these securities is $13,607,096 or 4.4% of the Trust’s net assets applicable to common shares.

 

(5) Variable rate security. The stated interest rate represents the rate in effect at February 28, 2017.

 

(6) Security is in default and making only partial interest payments.

 

(7) Defaulted security. Issuer has defaulted on the payment of interest and/or principal.

 

(8) Variable rate security. The stated dividend rate represents the rate in effect at February 28, 2017. Maturity date represents the mandatory redemption date. Each share represents $5,000 par value.

Abbreviations:

AGC

   -   Assured Guaranty Corp.

AGM

   -   Assured Guaranty Municipal Corp.

AMBAC

   -   AMBAC Financial Group, Inc.

AMT

   -   Interest earned from these securities may be considered a tax preference item for purposes of the Federal Alternative Minimum Tax.

BHAC

   -   Berkshire Hathaway Assurance Corp.

NPFG

   -   National Public Finance Guaranty Corp.

PSF

   -   Permanent School Fund
 

 

The Trust did not have any open financial instruments at February 28, 2017.

The cost and unrealized appreciation (depreciation) of investments of the Trust at February 28, 2017, as determined on a federal income tax basis, were as follows:

 

Aggregate cost

    $     341,279,152  
  

 

 

  

Gross unrealized appreciation

    $ 45,972,480  

Gross unrealized depreciation

      (5,807,576 ) 
  

 

 

  

Net unrealized appreciation

    $ 40,164,904  
  

 

 

  

Under generally accepted accounting principles for fair value measurements, a three-tier hierarchy to prioritize the assumptions, referred to as inputs, is used in valuation techniques to measure fair value. The three-tier hierarchy of inputs is summarized in the three broad levels listed below.

 

•   Level 1 — quoted prices in active markets for identical investments

 

•   Level 2 — other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, etc.)

 

•   Level 3 — significant unobservable inputs (including a fund’s own assumptions in determining the fair value of investments)

In cases where the inputs used to measure fair value fall in different levels of the fair value hierarchy, the level disclosed is determined based on the lowest level input that is significant to the fair value measurement in its entirety. The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

At February 28, 2017, the hierarchy of inputs used in valuing the Trust’s investments, which are carried at value, were as follows:

 

Asset Description    Level 1      Level 2      Level 3      Total  

Tax-Exempt Municipal Securities

    $ —      $ 510,202,240      $ —      $ 510,202,240  

Taxable Municipal Securities

      —        15,623,546        —        15,623,546  

Institutional MuniFund Term Preferred Shares

      —        3,003,270        —        3,003,270  

Total Investments

    $ —      $     528,829,056      $ —      $     528,829,056  

 

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The Trust held no investments or other financial instruments as of November 30, 2016 whose fair value was determined using Level 3 inputs. At February 28, 2017, there were no investments transferred between Level 1 and Level 2 during the fiscal year to date then ended.

For information on the Trust’s policy regarding the valuation of investments and other significant accounting policies, please refer to the Trust’s most recent financial statements included in its semiannual or annual report to shareholders.

 

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Item 2. Controls and Procedures

(a) It is the conclusion of the registrant’s principal executive officer and principal financial officer that the effectiveness of the registrant’s current disclosure controls and procedures (such disclosure controls and procedures having been evaluated within 90 days of the date of this filing) provide reasonable assurance that the information required to be disclosed by the registrant on this Form N-Q has been recorded, processed, summarized and reported within the time period specified in the Commission’s rules and forms and that the information required to be disclosed by the registrant on this Form N-Q has been accumulated and communicated to the registrant’s principal executive officer and principal financial officer in order to allow timely decisions regarding required disclosure.

(b) There have been no changes in the registrant’s internal controls over financial reporting during the fiscal quarter for which the report is being filed that have materially affected, or are reasonably likely to materially affect the registrant’s internal control over financial reporting.

Item 3. Exhibits

A separate certification for each principal executive officer and principal financial officer of the registrant as required by Rule 30a-2(a) under the 1940 Act is attached hereto.

Signatures

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

Eaton Vance Municipal Income Trust

 

By:   /s/ Payson F. Swaffield
  Payson F. Swaffield
  President
Date:   April 27, 2017

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

 

By:   /s/ Payson F. Swaffield
  Payson F. Swaffield
  President
Date:   April 27, 2017
By:   /s/ James F. Kirchner
  James F. Kirchner
  Treasurer
Date:   April 27, 2017