-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, PxpKwHg5BWdwRvkgiwcjZ8QPG9SfO7mqd5R0JihulSPdvIgzQ6st4Ue1zsOUUCbf PfipCAyNXkTc3IipJnMw2A== 0000891804-97-000314.txt : 19970912 0000891804-97-000314.hdr.sgml : 19970912 ACCESSION NUMBER: 0000891804-97-000314 CONFORMED SUBMISSION TYPE: N-30D PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 19970630 FILED AS OF DATE: 19970905 SROS: NYSE FILER: COMPANY DATA: COMPANY CONFORMED NAME: NUVEEN PENNSYLVANIA INVESTMENT QUALITY MUNICIPAL FUND INC CENTRAL INDEX KEY: 0000870780 STANDARD INDUSTRIAL CLASSIFICATION: UNKNOWN SIC - 0000 [0000] IRS NUMBER: 363743025 STATE OF INCORPORATION: MA FISCAL YEAR END: 0630 FILING VALUES: FORM TYPE: N-30D SEC ACT: SEC FILE NUMBER: 811-06265 FILM NUMBER: 97675695 BUSINESS ADDRESS: STREET 1: 333 W WACKER DRIVE CITY: CHICAGO STATE: IL ZIP: 60606 BUSINESS PHONE: 3129178200 MAIL ADDRESS: STREET 1: 333 W WACKER CITY: CHICAGO STATE: IL ZIP: 60606 N-30D 1 NUVEEN PENNSYLVANIA INVEST QUALITY MUNI FUND(NQP) Nuveen Exchange-Traded Funds JUNE 30, 1997 Annual Report DEPENDABLE, TAX-FREE INCOME TO HELP YOU KEEP MORE OF WHAT YOU EARN. NQJ NNJ New Jersey NQP NPY Pennsylvania Photographic image of woman and man gardening. Build Your Wealth Automatically 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 add to your tax-free portfolio and earn the tax-free income you need to achieve your financial goals. Nuveen exchange-traded funds 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 can be 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. 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 fractional shares and are kept in non-certificated form by the Plan Agent, Chase Manhattan Bank. 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. Income or capital gains taxes may be payable on dividends or distributions that are reinvested. 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 (continued on inside back cover) Contents 2 DEAR SHAREHOLDER 4 ANSWERING YOUR QUESTIONS 6 NEW JERSEY INVESTMENT QUALITY OVERVIEW 7 NEW JERSEY PREMIUM INCOME OVERVIEW 8 PENNSYLVANIA INVESTMENT QUALITY OVERVIEW 9 PENNSYLVANIA PREMIUM INCOME 2 OVERVIEW 10 INDEPENDENT AUDITOR'S REPORT 11 PORTFOLIO OF INVESTMENTS 40 STATEMENT OF NET ASSETS 42 STATEMENT OF OPERATIONS 44 STATEMENT OF CHANGES IN NET ASSETS 46 NOTES TO FINANCIAL STATEMENTS 54 FINANCIAL HIGHLIGHTS 56 FUND INFORMATION Screened image of woman and man gardening. Dear Shareholder Photographic image of Timothy R. Schwertfeger, CEO. "In addition to solid returns, shareholders continue to enjoy very attractive current yields generated by portfolios of quality bonds." It's a pleasure to report to you on the performance of the New Jersey and Pennsylvania exchange-traded funds. For the fiscal year ended June 30, 1997, the value of your investment rose between 8.01% and 10.61% if you chose to reinvest your tax-free income dividends and capital gain distribution, if any. Over this 12-month period, the total return performance for three out of four of these funds outpaced the 8.25% increase (with income reinvested) produced by the Lehman Brothers Municipal Bond Index, which represents the municipal bond market on an unmanaged basis. In addition to solid returns, shareholders in the New Jersey and Pennsylvania funds continued to enjoy very attractive current yields generated by a portfolio of quality bonds, which provide excellent income for investors. As of June 30, 1997, shareholders were receiving annual tax-free yields on net asset value that ranged from 5.75% to 5.97%. To match these yields, investors in the 31% federal income tax bracket would have had to earn at least 8.33% on taxable alternatives of comparable quality. Factoring in the after-tax advantage of single-state municipal bond funds makes the yield comparison even more dramatic. These results were produced in an environment of continued economic expansion and the lowest unemployment rates in almost two decades, a combination that in the past has predictably been accompanied by an increase in inflation. Current conditions, however, give every indication that inflation is well under control. After tightening short-term interest rates by 0.25% in March, the Federal Reserve demonstrated its confidence in the path the economy is taking by maintaining the status quo at subsequent meetings in May and July. In the first half of the year, investors and the markets focused their attention on fiscal issues such as the federal budget accord and tax cut measures, including a reduction in the capital gains tax. As the economy showed evidence of moderation, corporate earnings reports continued to exhibit strength, and interest rates fell in the second quarter. of this is positive news. The net effect is that, although we have experienced some volatility, the markets have performed very well this year and continue to improve. Recently, the need for diversification and a renewed emphasis on asset allocation - as well as attractive tax-free yields - have sparked increased interest in municipal bonds. The current level of the stock market reminds investors to re-allocate profits to other segments of the market in order to limit risk. Nuveen exchange-traded funds provide an excellent alternative, and their current yields make them very attractive. On behalf of everyone at Nuveen, I thank you for your confidence in us and our family of investments. We will continue to strive to provide you with high-quality investments that withstand the test of time. We look forward to reporting to you again in six months. Sincerely, TIMOTHY R. SCHWERTFEGER Chairman of the Board August 15, 1997 Answering Your Questions Photographic image of Tom Spalding, Portfolio Manager. Tom Spalding, head of Nuveen's Chicago-based portfolio management team, talks about the municipal bond market and offers insights into factors that affected fund performance over the past year. What are the investment objectives of these funds? The primary investment objective of these funds is to maintain a high level of current tax-free income consistent with the preservation of capital. Their secondary objective is to enhance portfolio value through investments in state tax-exempt municipal bonds that are either underrated or undervalued, or that represent undervalued sectors of the municipal market. What is your strategy for meeting these objectives? To meet these funds' objectives of income and enhanced value, our portfolio management strategy relies on conservative value investing principles, sound research and credit surveillance activities, and senior management involvement. At Nuveen, value investing means taking a fundamental approach to finding bonds that offer the best balance of return and low risk. This approach focuses on the characteristics of individual bonds, such as sector, geographic region, structure, and intrinsic credit quality, rather than the direction of interest rates. The idea behind this philosophy is that we, as investment managers, can control the selection process, but not the direction of the market overall. Our goal is to determine whether an issue is undervalued by the market, that is, whether the bond's current market value, or price, is lower than its long-term value, as evidenced by its yield, maturity, and credit quality. We also assess whether the issue has the potential to reach that intrinsic value. For example, we may find an opportunity to purchase bonds that offer extended call protection at prices similar to bonds with shorter calls. If interest rates move down, the bonds with longer call protection will appreciate in value more than those with shorter calls. Such determinations require in-depth knowledge and understanding of the municipal market, the issuers, and the characteristics of specific bonds. Proper implementation of this strategy creates well-constructed portfolios designed to provide shareholders with a dependable stream of tax-free income. What role does research play in helping you achieve the funds' objectives? As an integral part of our portfolio management strategy, Nuveen Research provides portfolio managers with objective appraisals of the creditworthiness of new municipal issues while maintaining surveillance of the credit performance for all portfolio holdings. Creditworthiness is evaluated through our research into factors such as the credit history of the issuer, capital structure, total debt load, revenue sources and projections, call provisions, and local economic forecasts. To track the credit performance of individual holdings, each Nuveen Research analyst is responsible for a specific surveillance portfolio, which is defined in terms of geography and sector (e.g., healthcare, housing). Specialization by sector enables members of our Research team to focus their credit quality evaluation efforts and complement the vantage point of each portfolio manager. What is the current outlook for the municipal market? As we make our way through the seventh year of the current expansion, some observers believe that a fundamental shift may have occurred in our economy. Based on past experience and months of reports of economic growth, especially employment statistics, the markets have long been anticipating an increase in inflation. However, even with almost full employment, we have not seen the expected rise in hourly wages that would be considered inflationary. This change in the traditional economic cause-and-effect relationship has been variously attributed to the globalization of the economy, to increased efficiency through the use of technology, and to corporations' recent ability to downsize as necessary. Whatever the reason, inflation has not ignited. Although structural changes in the economy appear to have suspended the usual relationship between faster growth and higher inflation, the risk remains that inflation may reassert itself if capacity constraints are reached and resources are stretched too thin. Given these conditions, speculation about Fed tightening may continue. If the Fed does act to increase interest rates, it will be perceived as a pre-emptive move against inflation. If the Fed does not tighten, it will be seen as an indication that the economy is moving at a moderate, non-inflationary pace. Under either scenario, the outlook for the remainder of 1997 shows the municipal market continuing to offer the attractive yields and tax advantages that make it a good alternative if and when a correction in the stock market occurs. While money continues to flow into equity mutual funds, investors are beginning to evaluate the effect of the huge run-up in stock prices on their asset alloca- tion, and many are rebalancing their portfolios by shifting some assets into bonds. Nuveen New Jersey Investment Quality Municipal Fund, Inc. June 30, 1997 Annual Report New Jersey Investment Quality NQJ Fund Highlights - ---------------------------------------------------------- Inception Date 2/91 - ---------------------------------------------------------- Share Price 16 5/16 - ---------------------------------------------------------- Net Asset Value $15.41 - ---------------------------------------------------------- Current Yield 5.85% - ---------------------------------------------------------- Taxable Equivalent Yield (Federal Only)(1) 8.48% - ---------------------------------------------------------- Taxable Equivalent Yield (Federal and State)(1) 9.07% - ---------------------------------------------------------- Annualized Total Return - ---------------------------------------------------------- 1-Year 8.92% - ---------------------------------------------------------- 3-Year 8.27% - ---------------------------------------------------------- 5-Year 7.71% - ---------------------------------------------------------- Since Inception 8.23% - ---------------------------------------------------------- Taxable Equivalent Total Return(2) - ---------------------------------------------------------- 1-Year 12.50% - ---------------------------------------------------------- 3-Year 11.94% - ---------------------------------------------------------- 5-Year 11.45% - ---------------------------------------------------------- Since Inception 11.87% - ---------------------------------------------------------- 1 Taxable equivalent rate represents the yield on a taxable investment necessary to equal the after-tax yield of the Nuveen fund. The federal only rate is based on the current yield and a federal tax rate of 31%. The rate shown for federal and state highlights the added value of owning shares that are also exempt from state taxes. It is based on a combined federal and state tax rate of 35.5%. 2 Taxable equivalent total return is based on the annualized total return and a federal and state income tax rate of 35.5%. It represents the return on a taxable investment necessary to equal the after-tax return of the Nuveen fund. PIE CHART: Credit Quality AAA 59% AA 18% A 7% BBB 7% BB 3% NR 6% PIE CHART: Diversification General Obligation 10% Water & Sewer 8% Health Care Facilities 12% Transportation 11% Utilities 5% Housing Facilities 19% Lease Rental 4% Escrowed Bonds 21% Other 10% BAR CHART: Dividend History July 1996 .0785 August 1996 .0785 September 1996 .0785 October 1996 .0785 November 1996 .0795 December 1996 .0795 January 1997 .0795 February 1997 .0795 March 1997 .0795 April 1997 .0795 May 1997 .0795 June 1997 .0795 Nuveen New Jersey Premium Income Municipal Fund, Inc. June 30, 1997 Annual Report New Jersey Premium Income NNJ Fund Highlights - ----------------------------------------------------------- Inception Date 12/92 - ----------------------------------------------------------- Share Price 14 13/16 - ----------------------------------------------------------- Net Asset Value $14.71 - ----------------------------------------------------------- Current Yield 5.75% - ----------------------------------------------------------- Taxable Equivalent Yield (Federal Only)(1) 8.33% - ----------------------------------------------------------- Taxable Equivalent Yield (Federal and State)(1) 8.91% - ----------------------------------------------------------- Annualized Total Return - ----------------------------------------------------------- 1-Year 9.94% - ----------------------------------------------------------- 3-Year 9.20% - ----------------------------------------------------------- Since Inception 6.70% - ----------------------------------------------------------- Taxable Equivalent Total Return(2) - ----------------------------------------------------------- 1-Year 13.30% - ----------------------------------------------------------- 3-Year 12.54% - ----------------------------------------------------------- Since Inception 9.83% - ----------------------------------------------------------- 1 Taxable equivalent rate represents the yield on a taxable investment necessary to equal the after-tax yield of the Nuveen fund. The federal only rate is based on the current yield and a federal tax rate of 31%. The rate shown for federal and state highlights the added value of owning shares that are also exempt from state taxes. It is based on a combined federal and state tax rate of 35.5%. 2 Taxable equivalent total return is based on the annualized total return and a federal and state income tax rate of 35.5%. It represents the return on a taxable investment necessary to equal the after-tax return of the Nuveen fund. PIE CHART: Credit Quality AAA 50% AA 12% A 19% BBB 7% BB 8% NR 4% PIE CHART: Diversification General Obligation 18% Lease Rental 4% Health Care Facilities 8% Other 15% Transportation 23% Educational Facilities 8% Escrowed Bonds 7% Water & Sewer 6% Housing Facilities 11% BAR CHART: Dividend History July 1996 .0690 August 1996 .0690 September 1996 .0690 October 1996 .0690 November 1996 .0710 December 1996 .0710 January 1997 .0710 February 1997 .0710 March 1997 .0710 April 1997 .0710 May 1997 .0710 June 1997 .0710 Nuveen Pennsylvania Investment Quality Municipal Fund June 30, 1997 Annual Report Pennsylvania Investment Quality NQP Fund Highlights - --------------------------------------------------------- Inception Date 2/91 - --------------------------------------------------------- Share Price 16 7/8 - --------------------------------------------------------- Net Asset Value $15.91 - --------------------------------------------------------- Current Yield 5.97% - --------------------------------------------------------- Taxable Equivalent Yield (Federal Only)(1) 8.65% - --------------------------------------------------------- Taxable Equivalent Yield (Federal and State)(1) 8.91% - --------------------------------------------------------- Annualized Total Return - --------------------------------------------------------- 1-Year 8.01% - --------------------------------------------------------- 3-Year 7.90% - --------------------------------------------------------- 5-Year 8.22% - --------------------------------------------------------- Since Inception 9.04% - --------------------------------------------------------- Taxable Equivalent Total Return(1) - --------------------------------------------------------- 1-Year 11.28% - --------------------------------------------------------- 3-Year 11.27% - --------------------------------------------------------- 5-Year 11.72% - --------------------------------------------------------- Since Inception 12.44% - --------------------------------------------------------- 1 Taxable equivalent rate represents the yield on a taxable investment necessary to equal the after-tax yield of the Nuveen fund. The federal only rate is based on the current yield and a federal tax rate of 31%. The rate shown for federal and state highlights the added value of owning shares that are also exempt from state taxes. It is based on a combined federal and state tax rate of 33%. 2 Taxable equivalent total return is based on the annualized total return and a federal and state income tax rate of 33%. It represents the return on a taxable investment necessary to equal the after-tax return of the Nuveen fund. PIE CHART: Credit Quality AAA 59% AA 22% A 6% BBB/NR 13% PIECHART: Diversification Housing Facilities 12% General Obligation 4% Health Care Facilities 7% Transportation 5% Escrowed Bonds 46% Pollution Control 6% Utilities 4% Other 5% Educational Facilities 11% BAR CHART: Dividend History July 1996 .0865 August 1996 .0840 September 1996 .0840 October 1996 .0840 November 1996 .0840 December 1996 .0840 January 1997 .0840 February 1997 .0840 March 1997 .0840 April 1997 .0840 May 1997 .0840 June 1997 .0840 Nuveen Pennsylvania Premium Income Municipal Fund 2 June 30, 1997 Annual Report Pennsylvania Premium Income 2 NPY Fund Highlights - --------------------------------------------------------- Inception Date 3/93 - --------------------------------------------------------- Share Price 13 3/8 - --------------------------------------------------------- Net Asset Value $14.20 - --------------------------------------------------------- Current Yield 5.83% - --------------------------------------------------------- Taxable Equivalent Yield (Federal Only)(1) 8.45% - --------------------------------------------------------- Taxable Equivalent Yield (Federal and State)(1) 8.70% - --------------------------------------------------------- Annualized Total Return - --------------------------------------------------------- 1-Year 10.61% - --------------------------------------------------------- 3-Year 10.58% - --------------------------------------------------------- Since Inception 5.98% - --------------------------------------------------------- Taxable Equivalent Total Return(2) - --------------------------------------------------------- 1-Year 13.50% - --------------------------------------------------------- 3-Year 13.63% - --------------------------------------------------------- Since Inception 8.83% - --------------------------------------------------------- 1 Taxable equivalent rate represents the yield on a taxable investment necessary to equal the after-tax yield of the Nuveen fund. The federal only rate is based on the current yield and a federal tax rate of 31%. The rate shown for federal and state highlights the added value of owning shares that are also exempt from state taxes. It is based on a combined federal and state tax rate of 33%. 2 Taxable equivalent total return is based on the annualized total return and a federal and state income tax rate of 33%. It represents the return on a taxable investment necessary to equal the after-tax return of the Nuveen fund. PIE CHART: Credit Quality AAA 73% AA 16% A 6% BBB/NR 5% PIE CHART: Diversification General Obligations 12% Escrowed Bonds 7% Health Care Facilities 16% Utilities 4% Educational Facilities 17% Water & Sewer 6% Pollution Control 11% Housing Facilities 16% Other 11% BAR CHART: Dividend History July 1996 .0640 August 1996 .0640 September 1996 .0640 October 1996 .0640 November 1996 .0650 December 1996 .0650 January 1997 .0650 February 1997 .0650 March 1997 .0650 April 1997 .0650 May 1997 .0650 June 1997 .0650 Independent Auditor's Report THE BOARDS OF DIRECTORS, TRUSTEES AND SHAREHOLDERS NUVEEN NEW JERSEY INVESTMENT QUALITY MUNICIPAL FUND, INC. NUVEEN NEW JERSEY PREMIUM INCOME MUNICIPAL FUND, INC. NUVEEN PENNSYLVANIA INVESTMENT QUALITY MUNICIPAL FUND NUVEEN PENNSYLVANIA PREMIUM INCOME MUNICIPAL FUND 2 We have audited the accompanying statements of net assets, including the portfolios of investments, of Nuveen New Jersey Investment Quality Municipal Fund, Inc., Nuveen New Jersey Premium Income Municipal Fund, Inc., Nuveen Pennsylvania Investment Quality Municipal Fund and Nuveen Pennsylvania Premium Income Municipal Fund 2 as of June 30, 1997, and the related statements of operations, changes in net assets and the financial highlights for the periods indicated therein. 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 June 30, 1997, 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 positions of Nuveen New Jersey Investment Quality Municipal Fund, Inc., Nuveen New Jersey Premium Income Municipal Fund, Inc., Nuveen Pennsylvania Investment Quality Municipal Fund and Nuveen Pennsylvania Premium Income Municipal Fund 2 at June 30, 1997, 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 August 14, 1997 Portfolio of Investments Nuveen New Jersey Investment Quality Municipal Fund, Inc. (NQJ)
Principal Optional Call Market Amount Description Provisions* Ratings** Value $ 3,100,000 The Delaware River and Bay Authority, Revenue Bonds, 1/06 at 102 Aaa $ 2,969,769 Series 1996, 5.250%, 1/01/26 330,000 Higher Education Assistance Authority (State of New 7/01 at 102 A 345,074 Jersey), Senior Student Loan Revenue Bonds, 1991 Series A, 7.200%, 7/01/09 (Alternative Minimum Tax) 400,000 New Jersey Economic Development Authority, Adjustable - 7/01 at 103 Baa1 431,516 Fixed Rate Pollution Control Revenue Bonds, 1985 Series (Jersey Central Power and Light Company Project), 7.100%, 7/01/15 3,260,000 New Jersey Economic Development Authority, Natural 3/98 at 102 A 3,372,274 Gas Facilities Refunding Revenue Bonds, Series 1991A (New Jersey Natural Gas Company Project), 7.050%, 3/01/16 2,000,000 New Jersey Economic Development Authority, Natural 3/98 at 102 A 2,069,860 Gas Facilities Revenue Bonds, Series 1991B (New Jersey Natural Gas Company Project), 7.250%, 3/01/21 (Alternative Minimum Tax) 5,000,000 New Jersey Economic Development Authority, Gas 10/97 at 101 Baa1 5,083,650 Facilities Revenue Bonds, 1991 Series (Elizabethtown Gas Company Project), 6.625%, 10/01/21 (Alternative Minimum Tax) (Pre-refunded to 10/01/97) 5,600,000 New Jersey Economic Development Authority, Lease 3/02 at 102 Aaa 6,245,288 Rental Bonds, 1992 Series (Liberty State Park Project), 6.800%, 3/15/22 (Pre-refunded to 3/15/02) 1,300,000 New Jersey Economic Development Authority, Economic No Opt. Call N/R 1,345,383 Development Bonds, Bridgewater Resources Inc., Series 1991, 9.500%, 2/01/01 (Alternative Minimum Tax) 3,000,000 New Jersey Economic Development Authority, Economic 11/01 at 102 Baa2 3,240,690 Development Bonds (American Airlines, Inc. Project), 7.100%, 11/01/31 (Alternative Minimum Tax) 5,000,000 New Jersey Economic Development Authority, Water No Opt. Call N/R 5,110,550 Facilities Revenue Bonds, Series 1991 (New Jersey- American Water Company, Inc. Project), 7.400%, 11/01/01 (Alternative Minimum Tax) 7,500,000 New Jersey Economic Development Authority, Water 5/06 at 102 Aaa 7,664,175 Facilities Revenue Bonds, New Jersey-American Water Company, Series 96, 6.000%, 5/01/36 (Alternative Minimum Tax) 5,000,000 New Jersey Economic Development Authority, Economic 12/01 at 100 N/R 5,154,400 Development Revenue Bonds (J&J Snack Foods Corporation of New Jersey Project), Series 91, 7.250%, 12/01/05 (Alternative Minimum Tax) Principal Optional Call Market Amount Description Provisions* Ratings** Value New Jersey Economic Development Authority Revenue Bonds (New Jersey Performing Arts Center Site Acquisition Project), 1991 Series: $ 610,000 6.600%, 6/15/04 (Pre-refunded to 6/15/01) 6/01 at 102 Aaa $ 669,573 3,800,000 6.750%, 6/15/12 (Pre-refunded to 6/15/01) 6/01 at 102 Aaa 4,191,628 New Jersey Educational Facilities Authority, Seton Hall University Project Revenue Bonds, 1991 Series, Project D: 500,000 6.875%, 7/01/10 (Pre-refunded to 7/01/01) 7/01 at 102 Baa1 531,240 2,500,000 7.000%, 7/01/21 (Pre-refunded to 7/01/01) 7/01 at 102 Baa1 2,644,200 300,000 New Jersey Health Care Facilities Financing Authority, 7/00 at 102 Aaa 323,238 Revenue Bonds, Community Medical Center/ Kensington Manor Care Center Issue, Series E, 7.000%, 7/01/20 4,875,000 New Jersey Health Care Facilities Financing Authority, 7/01 at 102 Aaa 5,398,185 Revenue Bonds, St. Peter's Medical Center Issue, Series E, 6.875%, 7/01/11 (Pre-refunded to 7/01/01) 3,600,000 New Jersey Health Care Facilities Financing Authority, 7/02 at 102 A- 3,894,156 Refunding Revenue Bonds, Atlantic City Medical Center Issue, Series C, 6.800%, 7/01/05 7,500,000 New Jersey Health Care Facilities, Financing Authority, 7/01 at 102 Aaa 8,103,300 Revenue Bonds, JFK Health Systems, Obligated Group Issue, Series 1991, 6.600%, 7/01/08 9,300,000 New Jersey Health Care Facilities Financing Authority, 7/01 at 102 Aaa 9,985,968 Revenue Bonds, Centrastate Medical Center Issue, Series A, 6.625%, 7/01/11 3,000,000 New Jersey Health Care Facilities Financing Authority, 7/99 at 100 Aaa 3,092,220 Revenue Bonds, Beth Israel Hospital Association of Passaic Issue, Series B, 6.250%, 7/01/14 2,070,000 New Jersey Health Care Facilities Financing Authority, 7/01 at 102 Aaa 2,222,683 Revenue Bonds, Robert Wood Johnson University Hospital, Series B, 6.625%, 7/01/16 4,350,000 New Jersey Health Care Facilities Financing Authority, 7/01 at 102 Aaa 4,651,368 Revenue Bonds, Mercer Medical Center Issue, Series 1991, 6.500%, 7/01/10 5,025,000 New Jersey Health Care Facilities Financing Authority, 7/01 at 102 BBB+ 5,199,368 Revenue Bonds, Pascack Valley Hospital Association Issue, Series 1991, 6.700%, 7/01/11 New Jersey Health Care Facilities Financing Authority, Refunding Revenue Bonds, Barnert Hospital (FHA Insured Mortgage) Series B: 90,000 6.750%, 8/01/11 (Pre-refunded to 2/01/01) 2/01 at 100 AAA 98,623 755,000 6.750%, 8/01/11 2/01 at 102 AAA 805,736 355,000 6.800%, 8/01/19 (Pre-refunded to 2/01/01) 2/01 at 102 AAA 389,598 2,845,000 6.800%, 8/01/19 2/01 at 102 AAA 3,031,148 Principal Optional Call Market Amount Description Provisions* Ratings** Value $ 4,150,000 New Jersey Health Care Facilities Financing Authority, 7/02 at 102 Ba1 $ 4,326,583 Revenue Bonds, Palisades Medical Center, Obligated Group Issue, Series 1992, 7.500%, 7/01/06 2,800,000 New Jersey Health Care Facilities Financing Authority, 7/02 at 102 A- 3,009,552 Refunding Revenue Bonds, Atlantic City Medical Center Issue, Series C, 6.800%, 7/01/11 2,535,000 New Jersey Health Care Facilities, Financing Authority, 7/03 at 102 Baa1 2,591,860 Revenue Bonds, Deborah Heart and Lung Center Issue, Series of 1993, 6.200%, 7/01/13 3,200,000 New Jersey Health Care Facilities Financing Authority, 7/07 at 102 Aaa 3,046,208 Revenue and Refunding Bonds, Holy Name Hospital Issue, Series 1997, 5.250%, 7/01/20 6,000,000 New Jersey Higher Educational Assistance Authority, 6/07 at 102 AAA 6,048,480 Student Loan Revenue Bonds, NJ Class Loan Program, Series 1997 A, 5.800%, 6/01/16 (Alternative Minimum Tax) 9,300,000 New Jersey Highway Authority (Garden State Parkway), 1/99 at 102 Aaa 9,904,128 Senior Parkway Revenue Bonds, 1989 Series, 7.250%, 1/01/16 (Pre-refunded to 1/01/99) 3,500,000 New Jersey Highway Authority (Garden State Parkway), 1/02 at 102 AA- 3,725,400 Senior Parkway Revenue Refunding Bonds, 1992 Series, 6.250%, 1/01/14 4,500,000 New Jersey Housing Mortgage Finance Agency, Multi- 5/06 at 102 Aaa 4,613,490 Family Housing Revenue Bonds, 1996 Series A, 6.250%, 5/01/28 (Alternative Minimum Tax) 12,000,000 New Jersey Housing and Mortgage Finance Agency, 11/01 at 102 AAA 12,884,160 Multi-Family Housing Revenue Refunding Bonds (Presidential Plaza at Newport Project-FHA-Insured Mortgages), 1991 Series 1, 7.000%, 5/01/30 1,500,000 New Jersey Housing and Mortgage Finance Agency, 5/05 at 102 Aaa 1,537,935 Multi-Family Housing Revenue Bonds, 1995 Series A, 6.000%, 11/01/14 New Jersey Housing and Mortgage Finance Agency, Section 8 Bonds, 1991 Series A: 3,000,000 6.800%, 11/01/05 11/02 at 102 AA+ 3,215,010 2,500,000 6.900%, 11/01/07 11/01 at 103 AA+ 2,668,675 4,700,000 6.950%, 11/01/08 11/01 at 103 AA+ 5,007,286 1,000,000 7.100%, 11/01/11 11/01 at 103 AA+ 1,059,180 3,255,000 New Jersey Housing and Mortgage Finance Agency, 10/99 at 102 Aaa 3,390,017 Home Buyer Revenue Bonds, 1989 Series D, 7.600%, 10/01/09 (Alternative Minimum Tax) 9,650,000 New Jersey Housing and Mortgage Finance Agency, 5/02 at 102 A+ 10,333,510 Housing Revenue Bonds, 1992 Series A, 6.950%, 11/01/13 Principal Optional Call Market Amount Description Provisions* Ratings** Value $ 5,500,000 New Jersey Housing and Mortgage Finance Agency, 10/00 at 102 Aaa $ 5,590,090 Home Buyer Revenue Bonds, 1990 Series F-2, 6.300%, 4/01/25 (Alternative Minimum Tax) 3,250,000 New Jersey Housing and Mortgage Finance Agency, 11/02 at 102 A+ 3,420,463 Housing Revenue Refunding Bonds, 1992 Series One, 6.700%, 11/01/28 2,605,000 New Jersey Housing and Mortgage Finance Agency, 10/05 at 101 1/2 Aaa 2,687,865 Revenue Bonds (Home Buyer), 1995 Series O, 6.350%, 10/01/27 (Alternative Minimum Tax) 10,000,000 New Jersey Housing and Mortgage Finance Agency, 10/07 at 101 1/2 Aaa 9,998,900 Home Buyer Revenue Bonds, 1997 Series U, 5.850%, 4/01/29 (Alternative Minimum Tax) (DD) 5,000,000 New Jersey Housing and Mortgage Finance Agency, 4/07 at 101 1/2 Aaa 5,096,350 Revenue Bonds (Home Buyer), 1996 Series S, 6.050%, 10/01/28 (Alternative Minimum Tax) 2,445,000 New Jersey Sports and Exposition Authority, State 3/02 at 102 Aa 2,615,099 Contract Bonds, 1992 Series A, 6.500%, 3/01/19 5,000,000 New Jersey Turnpike Authority, Turnpike Revenue Bonds, 7/97 at 100 Baa1 5,012,300 Series 1991 A (Refunding Bonds), 6.900%, 1/01/14 New Jersey Turnpike Authority, Turnpike Revenue Bonds, Series 1991 C: 9,000,000 6.500%, 1/01/08 No Opt. Call Aaa 10,127,970 1,675,000 6.500%, 1/01/16 No Opt. Call Baa1 1,854,493 35,000 New Jersey Wastewater Treatment Trust, Wastewater 5/98 at 102 Aaa 36,638 Treatment Insured Bonds, Series 1988 A, 7.375%, 5/15/08 2,250,000 New Jersey Water Supply Authority, Water System 11/98 at 102 A+ 2,385,810 Revenue Bonds, Series 1988 (Delaware and Raritan System), 7.875%, 11/01/13 (Alternative Minimum Tax) State of New Jersey, General Obligation Bonds (Various Bonds): 8,200,000 6.750%, 9/15/07 (Pre-refunded to 9/15/01) 9/01 at 101 1/2 AA+ 9,039,680 850,000 6.800%, 9/15/10 (Pre-refunded to 9/15/01) 9/01 at 101 1/2 AA+ 938,655 5,000,000 6.375%, 8/01/11 8/02 at 101 1/2 Aa1 5,322,850 State of New Jersey, General Obligation Bonds, Series D: 5,000,000 5.750%, 2/15/06 No Opt. Call Aa1 5,362,950 5,000,000 6.000%, 2/15/11 No Opt. Call Aa1 5,435,150 2,500,000 The Atlantic County Utilities Authority (New Jersey), No Opt. Call Aaa 2,409,650 Sewer Revenue Refunding Bonds, 1987 Series, 5.000%, 1/15/13 1,500,000 The Board of Education of the Township of Bedminster, 3/01 at 102 A1 1,644,585 Certificates of Participation, In the county of Somerset, New Jersey, 7.125%, 9/01/10 Principal Optional Call Market Amount Description Provisions* Ratings** Value $ 7,000,000 The Bergen County Utilities Authority, 1992 Water 6/02 at 102 Aaa $ 7,746,270 Pollution Control System Revenue Bonds, Series A, 6.500%, 12/15/12 (Pre-refunded to 6/15/02) 3,700,000 Pollution Control Financing Authority of Camden County 12/01 at 102 Ba 3,727,306 (Camden County, New Jersey), Solid Waste Disposal and Resource Recovery System Revenue Bonds, Series 1991B, 7.500%, 12/01/09 (Alternative Minimum Tax) 3,500,000 Pollution Control Financing Authority of Camden County 12/01 at 102 Ba 3,525,830 (Camden County, New Jersey), Solid Waste Disposal and Resource Recovery System Revenue Bonds, Series 1991A, 7.500%, 12/01/10 (Alternative Minimum Tax) Cape May County Municipal Utilities Authority, Sewer Revenue Refunding Bonds, Series 1992-A: 2,000,000 6.000%, 1/01/11 1/03 at 102 Aaa 2,098,980 7,600,000 5.750%, 1/01/16 1/03 at 102 Aaa 7,717,876 1,000,000 The Board of Education of the Town of Dover, in the 12/01 at 100 Aaa 1,069,430 County of Morris, New Jersey, as Lessee, Certificates of Participation, 6.600%, 6/01/11 1,265,000 Township of East Brunswick, In the County of Middlesex, 4/03 at 101 Aa 1,240,788 New Jersey, General Obligation Refunding Bonds, Series 1993, 5.125%, 4/01/13 County of Essex, New Jersey, General Obligation Refunding Bonds of 1996, Tax-Exempt Bonds of 1996, Series A-1: 3,000,000 6.000%, 11/15/07 No Opt. Call Aaa 3,269,520 1,000,000 5.000%, 11/15/11 8/07 at 101 Aaa 975,420 7,800,000 County of Essex, New Jersey, Fiscal Year Adjustment 12/01 at 101 Aaa 8,530,158 Bonds, Series 1991, 6.500%, 12/01/11 (Pre-refunded to 12/01/01) 4,095,000 The Board of Education of the Township of Evesham, in 9/01 at 102 Aaa 4,552,698 the County of Burlington New Jersey, Certificates of Participation, 6.875%, 9/01/11 (Pre-refunded to 9/01/01) 2,320,000 City of Hoboken, Fiscal Year Adjustment General No Opt. Call Aaa 3,021,058 Obligation Bonds, Series 1991, 8.900%, 8/01/06 5,250,000 Township of Howell, In the County of Monmouth, 1/02 at 102 Aaa 5,725,335 New Jersey, General Obligation Refunding Bonds, Series 1991, 6.800%, 1/01/14 3,790,000 The Hudson County Improvement Authority, Multi-Family 6/04 at 100 AAA 3,963,165 Housing Revenue Bonds, Series 1992 A (Conduit Financing - Observer Park Project), 6.900%, 6/01/22 (Alternative Minimum Tax) Principal Optional Call Market Amount Description Provisions* Ratings** Value $ 3,675,000 The City of New Jersey (Hudson County, New Jersey), No Opt. Call Aaa $ 4,579,712 Fiscal Year Adjustment Bonds, Series B 1991, 8.400%, 5/15/06 8,200,000 The City of Jersey City (Hudson County, New Jersey), 5/01 at 102 Aaa 8,988,184 Fiscal Year Adjustment Bonds, Series A 1991, 6.600%, 5/15/11 (Pre-refunded to 5/15/01) 1,540,000 Housing Finance Corporation of the City of Long Branch, 10/98 at 100 N/R 1,562,961 Long Branch, New Jersey, Section 8 Assisted Housing Revenue Bonds, Washington Manor Associates, Ltd., 1980 Elderly Project, 10.000%, 10/01/11 2,535,000 The Board of Education of the Township of Mansfield, 3/06 at 102 Aaa 2,615,790 in the County of Warren, New Jersey, Certificates of Participation, 5.900%, 3/01/15 The State of New Jersey, as Lessee, and The Mercer County Improvement Authority, as Lessor, Relating to the Richard J. Hughes Justice Complex: 3,000,000 6.050%, 1/01/09 No Opt. Call Aa 3,000,780 1,585,000 6.050%, 1/01/13 No Opt. Call Aa 1,585,190 1,000,000 6.050%, 1/01/14 No Opt. Call Aa 1,000,090 1,720,000 6.050%, 1/01/16 No Opt. Call Aa 1,720,189 2,000,000 6.050%, 1/01/17 No Opt. Call Aa 2,000,200 950,000 The Mercer County Improvement Authority, Mercer 11/00 at 102 Aa2 1,033,809 County, New Jersey, Revenue Bonds (County Courthouse Project, Series 1991), 6.600%, 11/01/14 (Pre-refunded to 11/01/00) 8,000,000 Pollution Control Financing, Authority of Middlesex 12/02 at 102 N/R 8,510,560 County (New Jersey), Pollution Control Revenue Refunding Bonds, Series 1992 (Amerada Hess Corporation Project), 6.875%, 12/01/22 1,000,000 The Monmouth County Improvement Authority 7/07 at 101 AAA 1,025,140 (Monmouth County, New Jersey), Revenue Bonds, Series 1997 (Howell Township Board of Education Project), 5.800%, 7/15/17 3,500,000 The Monmouth County Improvement Authority 2/01 at 102 Aaa 3,839,010 (Monmouth County, New Jersey), Sewage Facilities Revenue Refunding Bonds, Series 1991, 6.750%, 2/01/13 (Pre-refunded to 2/01/01) 2,000,000 Town of Morristown, In the County of Morris, New 8/05 at 102 Aaa 2,196,860 Jersey, General Obligation Refunding Bonds, Series 1995, 6.500%, 8/01/19 1,895,000 North Bergen Township Municipal Utility Authority, No Opt. Call Aaa 2,382,072 Sewer Revenue Refunding Bonds, Series 1993, 7.875%, 12/15/09 1,200,000 County of Passaic, New Jersey, General Improvement 9/99 at 102 N/R 1,283,376 Bonds, 6.700%, 9/01/10 (Pre-refunded to 9/01/99) Principal Optional Call Market Amount Description Provisions* Ratings** Value $ 4,000,000 Passaic Valley Sewerage Commissioners (State of 12/02 at 102 Aaa $ 4,070,880 New Jersey), Sewer System Bonds, Series D, 5.800%, 12/01/18 1,180,000 The Raritan Township Municipal Utilities Authority 5/02 at 102 A+ 1,241,738 (Hunterdon County, New Jersey) (Secured by a Service Contract with the Township of Raritan), Revenue Bonds, Series 1992 (Bank Qualified), 6.450%, 5/01/12 Rutgers, The State University (The State University of New Jersey), General Obligation Refunding Bonds, 1992 Series A: 2,900,000 6.500%, 5/01/13 5/02 at 102 AA 3,112,744 1,725,000 6.500%, 5/01/18 5/02 at 102 AA 1,853,099 6,250,000 The Pollution Control Financing Authority of Salem 11/01 at 102 AA- 6,569,750 County (New Jersey), Waste Disposal Revenue Bonds (E.I. du Pont de Nemours and Company-Chambers Works Project), 1991 Series A, 6.500%, 11/15/21 (Alternative Minimum Tax) 1,465,000 The South Toms River Sewerage Authority (Ocean 11/02 at 102 N/R 1,546,453 County, New Jersey), Sewer Refunding Revenue Bonds, (Series 1992) (Bank-Qualified), 7.400%, 11/01/05 10,000,000 The Union County Utilities Authority (New Jersey), 6/02 at 102 Aaa 10,765,300 Solid Waste System Revenue Bonds, Series D, 6.850%, 6/15/14 (Alternative Minimum Tax) 2,450,000 University of Medicine and Dentistry of New Jersey 12/01 at 102 AA- 2,696,470 Bonds, Series E, 6.500%, 12/01/18 (Pre-refunded to 12/01/01) 1,000,000 Township of West Deptford, County of Gloucester, 3/06 at 102 Aaa 987,360 New Jersey, General Obligation Bonds, Series of 1996, 5.250%, 3/01/14 4,300,000 The Port Authority of New York and New Jersey, 6/02 at 102 Baa3 4,601,902 Special Project Bonds, Series 1R, Delta Air Lines, Inc. Project, LaGuardia Airport Passenger Terminal, 6.950%, 6/01/08 4,500,000 The Port Authority of New York and New Jersey 1/03 at 101 AA- 4,583,070 Consolidated Bonds, Eighty-Fourth Series, 6.000%, 1/15/28 (Alternative Minimum Tax) 3,150,000 The Port Authority of New York and New Jersey 7/04 at 101 AA- 3,217,820 Consolidated Bonds, Ninety-Fifth Series, 6.125%, 7/15/29 (Alternative Minimum Tax) 5,000,000 Port Authority of New York and New Jersey, 10/02 at 101 Aaa 5,079,400 Consolidated Bonds, One Hundred Second Series (Revenue Bonds), Non-Amt Bonds, 5.875%, 10/15/27 Principal Optional Call Market Amount Description Provisions* Ratings** Value $ 4,350,000 The Port Authority of New York and New Jersey, 12/07 at 100 Aaa $ 4,351,435 Special Project Bonds, Series 6, JFK International Air Terminal LLC Project, 5.750%, 12/01/25 (Alternative Minimum Tax) 6,000,000 Puerto Rico Electric Power Authority, Power Revenue No Opt. Call Aaa 7,057,140 Refunding Bonds, Series Y, 7.000%, 7/01/07 6,000,000 Puerto Rico Electric Power Authority, Power Revenue 7/01 at 102 Aaa 6,704,040 Bonds, Series P, 7.000%, 7/01/11 (Pre-refunded to 7/01/01) 710,000 Puerto Rico Housing Finance Corporation, Single Family 10/01 at 102 Aaa 742,710 - ------------- Mortgage Revenue Bonds, Portfolio One, Series C, ------------ 6.750%, 10/15/13 $ 403,465,000 Total Investments - (cost $402,837,627) - 99.2% 428,274,901 ============= ------------ Other Assets Less Liabilities - 0.8% 3,347,072 ------------ Net Assets - 100% $431,621,973 ============ * 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. (DD) Security purchased on a delayed delivery basis (see note 1 of the Notes to Financial Statements).
Portfolio of Investments Nuveen New Jersey Premium Income Municipal Fund, Inc. (NNJ)
Principal Optional Call Market Amount Description Provisions* Ratings** Value $ 5,100,000 The Delaware River and Bay Authority, Revenue Bonds, 1/04 at 102 Aaa $ 4,765,491 Series 1993, 5.000%, 1/01/17 855,000 Higher Education Assistance Authority (State of New 7/02 at 102 A+ 864,687 Jersey), Student Loan Revenue Bonds, 1992 Series A, NJ Class Loan Program, 6.125%, 7/01/09 (Alternative Minimum Tax) 5,110,000 Higher Education Assistance Authority (State of New 7/03 at 102 A+ 5,004,325 Jersey), Student Loan Revenue Bonds, 1993 Series A, NJ Class Loan Program, 5.300%, 7/01/10 (Alternative Minimum Tax) 1,145,000 New Jersey Economic Development Authority, 3/98 at 102 A 1,184,995 Natural Gas Facilities Revenue Bonds, Series 1991B (New Jersey Natural Gas Company Project), 7.250%, 3/01/21 (Alternative Minimum Tax) 4,000,000 New Jersey Economic Development Authority, Gas 10/97 at 101 Baa1 4,068,160 Facilities Revenue Bonds, 1991 Series A (Elizabethtown Gas Company Project), 6.750%, 10/01/21 (Alternative Minimum Tax) (Pre-refunded to 10/01/97) 3,600,000 New Jersey Economic Development Authority, Economic No Opt. Call N/R 4,277,448 Development Bonds (Yeshiva K'Tana of Passaic- 1992 Project), 8.000%, 9/15/18 5,980,000 New Jersey Economic Development Authority, Economic No Opt. Call N/R 6,311,830 Development Bonds (Bridgewater Resources Inc. Project), 1994 Series A, 8.375%, 11/01/04 (Alternative Minimum Tax) 1,485,000 New Jersey Economic Development Authority, Water 8/01 at 102 A 1,573,966 Facilities Refunding Bonds (Elizabeth Water Company Project-1991 Series A), 6.700%, 8/01/21 (Alternative Minimum Tax) 3,100,000 New Jersey Economic Development Authority, Water 3/04 at 102 Aaa 3,125,854 Facilities Revenue Refunding Bonds (Hackensack Water Company Project-1994 Series B), 5.900%, 3/01/24 (Alternative Minimum Tax) 3,255,000 New Jersey Economic Development Authority (Morris 4/03 at 102 A+ 3,374,914 Hall/St. Lawrence, Inc. Project)Series 1993A, 6.150%, 4/01/13 3,485,000 New Jersey Economic Development Authority, Revenue 8/03 at 102 AAA 3,495,908 Bonds (Public Schools Small Project Loan Program) Series 1993, 5.400%, 8/15/12 2,670,000 New Jersey Economic Development Authority, Economic 12/03 at 102 Aa3 2,726,951 Growth Bond, Composite Issue-1992 Second SeriesH, 5.300%, 12/01/07 (Alternative Minimum Tax) Principal Optional Call Market Amount Description Provisions* Ratings** Value $ 1,135,000 New Jersey Economic Development Authority, Economic 10/03 at 102 A $ 1,149,460 Growth Bonds, Richard L. Tauber Composite Issue- 1993 Series H-2, 5.000%, 10/01/05 (Alternative Minimum Tax) 1,245,000 New Jersey Economic Development Authority, Economic 12/03 at 102 Aa3 1,271,556 Growth Bonds, Composite Issue-1992 Second Series T, 5.300%, 12/01/07 (Alternative Minimum Tax) 1,500,000 New Jersey Economic Development Authority, Market No Opt. Cal Aaa 1,698,120 Transition Facility Senior Lien Revenue Bonds, Series 1994A, 7.000%, 7/01/04 945,000 New Jersey Educational Facilities Authority, Trenton 7/97 at 100 A+ 946,928 State College Issue, Revenue Bonds, Series 1976 D, 6.750%, 7/01/08 2,095,000 New Jersey Educational Facilities Authority, Refunding 7/02 at 102 Aaa 2,205,490 Revenue Bonds, Trenton State College Issue, Series 1992 E, 6.000%, 7/01/09 1,500,000 New Jersey Educational Facilities Authority, Higher No Opt. Call Aaa 1,544,460 Education Facilities Trust Fund Bonds, Series 1995 A, 5.125%, 9/01/02 1,000,000 New Jersey Educational Facilities Authority, Revenue 7/04 at 102 Aaa 1,038,360 Bonds, New Jersey Institute of Technology Issue, Series 1994A, 6.000%, 7/01/24 2,500,000 New Jersey Educational Facilities Authority, Revenue 7/06 at 101 Aaa 2,596,925 Bonds, Rowan College of New Jersey Issue, Series 1996 E, 6.000%, 7/01/21 3,330,000 New Jersey Educational Facilities Authority, Revenue 7/06 at 101 Aaa 3,348,382 Bonds, Montclair State University, Series 1996-C (Dormitory/Cafeteria Facility), 5.400%, 7/01/12 1,250,000 New Jersey Health Care Facilities Financing Authority 7/98 at 102 A+ 1,316,025 Revenue Bonds, Community Memorial Hospital Association Issue, Series C, 8.000%, 7/01/14 2,000,000 New Jersey Health Care Facilities Financing Authority, 7/99 at 102 A- 2,117,600 Revenue Bonds, Newton Memorial Hospital Issue, Series A, 7.500%, 7/01/19 NewJersey Health Care Facilities Financing Authority, Revenue Bonds, Dover General Hospital and Medical Center Issue, Series 1994: 1,015,000 7.000%, 7/01/03 No Opt. Call Aaa 1,140,099 800,000 7.000%, 7/01/04 No Opt. Call Aaa 907,952 2,000,000 New Jersey Health Care Facilities Financing Authority, 7/97 at 102 Aaa 2,044,900 Revenue Bonds, The Overlook Hospital Association Issue, Series E, 6.700%, 7/01/13 Principal Optional Call Market Amount Description Provisions* Ratings** Value $ 45,000 New Jersey Health Care Facilities Financing Authority, 7/03 at 102 Aaa $ 43,916 Revenue Bonds, St. Peter's Medical Center Issue, Series F, 5.000%, 7/01/11 935,000 New Jersey Health Care Facilities Financing Authority, 8/04 at 102 AAA 941,190 Refunding Revenue Bonds, Wayne General Hospital Corp. Issue (FHA Insured Mortgage), Series B, 5.750%, 8/01/11 2,000,000 New Jersey Health Care Facilities Financing Authority, 7/04 at 102 Aaa 2,110,460 Revenue Bonds, Monmouth Medical Center Issue, Series C, 6.250%, 7/01/16 2,250,000 New Jersey Housing Finance Agency, Special Pledge 11/97 at 103 A1 2,328,548 Revenue Obligations, 1975 Series One, 9.000%, 11/01/18 2,875,000 New Jersey Housing and Mortgage Finance Agency, 5/05 at 102 Aaa 2,947,709 Multi-Family Housing Revenue Bonds, 1995 Series A, 6.000%, 11/01/14 NewJersey Housing and Mortgage Finance Agency, Housing Revenue Bonds, 1992 Series A: 2,365,000 6.700%, 5/01/05 5/02 at 102 A+ 2,533,790 8,000,000 6.950%, 11/01/13 5/02 at 102 A+ 8,566,640 4,250,000 New Jersey Housing and Mortgage Finance Agency, 11/02 at 102 A+ 4,472,913 Housing Revenue Refunding Bonds, 1992 Series One, 6.700%, 11/01/28 1,000,000 New Jersey Housing and Mortgage Finance Agency, 10/05 at 101 1/2 Aaa 1,029,560 Revenue Bonds (Home Buyer), 1995 Series O, 6.300%, 10/01/23 (Alternative Minimum Tax) 525,000 New Jersey Housing and Mortgage Finance Agency, 4/06 at 101 1/2 Aaa 527,893 Home Buyer Revenue Bonds, Series 1996-P, 5.650%, 4/01/14 1,000,000 New Jersey Housing and Mortgage Finance Agency, 4/06 at 101 1/2 Aaa 1,009,820 Revenue Bonds (Home Buyer), 1996 Series Q, 5.875%, 4/01/17 (Alternative Minimum Tax) 1,500,000 New Jersey Housing and Mortgage Finance Agency Home 10/07 at 101 1/2 Aaa 1,499,835 Buyer Revenue Bonds, 1997 Series U, 5.850%, 4/01/29 (Alternative Minimum Tax) 2,500,000 New Jersey Housing and Mortgage Finance Agency, 4/07 at 101 1/2 Aaa 2,548,175 Revenue Bonds (Home Buyer), 1996 Series S, 6.050%, 10/01/28 (Alternative Minimum Tax) New Jersey Transportation Trust Fund Authority, Transportation System Bonds, 1995 Series A: 750,000 5.500%, 6/15/12 6/05 at 102 Aaa 760,020 5,000,000 5.000%, 6/15/15 6/05 at 102 Aaa 4,763,450 1,100,000 New Jersey Transportation Trust Fund Authority, 6/05 at 102 Aaa 1,104,576 Transportation System Bonds, 1995 Series B, 5.500%, 6/15/15 Principal Optional Call Market Amount Description Provisions* Ratings** Value $ 2,780,000 New Jersey Turnpike Authority, Turnpike Revenue Bonds, No Opt. Call AAA $ 3,281,151 1984 Series, 10.375%, 1/01/03 New Jersey Turnpike Authority, Turnpike Revenue Bonds, Series 1991 C: 1,000,000 6.500%, 1/01/08 No Opt. Call Baa1 1,112,760 7,920,000 6.500%, 1/01/16 No Opt. Call Baa1 8,768,707 8,575,000 6.500%, 1/01/16 No Opt. Call Aaa 9,707,929 State of New Jersey, General Obligation Bonds (Various Bonds): 3,300,000 6.800%, 9/15/10 (Pre-refunded to 9/15/01) 9/01 at 101 1/2 AA+ 3,644,190 2,385,000 6.800%, 9/15/11 (Pre-refunded to 9/15/01) 9/01 at 101 1/2 AA+ 2,633,756 State of New Jersey, General Obligation Bonds, Series D: 5,260,000 5.750%, 2/15/06 No Opt. Call Aa1 5,641,823 4,000,000 5.800%, 2/15/07 No Opt. Call Aa1 4,316,400 2,500,000 6.000%, 2/15/11 No Opt. Call Aa1 2,717,575 1,560,000 6.000%, 2/15/13 No Opt. Call Aa1 1,691,399 1,000,000 The Bergen County Utilities Authority, Bergen County, 3/98 at 100 Aaa 1,027,630 New Jersey, 1988 Solid Waste System Revenue Bonds, Series A, 7.750%, 3/15/13 (Pre-refunded to 3/15/98) 6,600,000 Pollution Control Financing Authority of Camden No Opt. Call Ba 6,774,306 County (Camden County, New Jersey), Solid Waste Disposal and Resource Recovery System Revenue Bonds, Series 1991 C, 7.125%, 12/01/01 (Alternative Minimum Tax) 6,500,000 Pollution Control Financing Authority of Camden 12/01 at 102 Ba 6,713,590 County (Camden County, New Jersey), Solid Waste Disposal and Resource Recovery System Revenue Bonds, Series 1991 D, 7.250%, 12/01/10 1,275,000 Camden County Improvement Authority (Camden 10/05 at 102 Aaa 1,292,735 County, New Jersey), County Guaranteed Lease Revenue Bonds, Series 1995, 5.625%, 10/01/15 5,250,000 Cape May County Municipal Utilities Authority, Sewer 1/03 at 102 Aaa 5,331,428 Revenue Refunding Bonds, Series 1992-A, 5.750%, 1/01/16 1,000,000 The Essex County Utilities Authority (Essex County, 4/06 at 102 Aaa 1,005,120 New Jersey), Solid Waste System Revenue Bonds (Secured by a County Deficiency Agreement with the County of Essex), Solid Waste System Revenue Bonds, Tax Exempt Series 1996A, 5.600%, 4/01/16 250,000 The Board of Education of the Township of Franklin, in 6/99 at 100 Aaa 266,175 the County of Somerset, New Jersey, Certificates of Participation, Series 1989, 6.900%, 12/15/00 (Pre-refunded to 6/15/99) Principal Optional Call Market Amount Description Provisions* Ratings** Value $ 1,000,000 The Jersey City Sewerage Authority (Hudson County, No Opt. Call Aaa $ 1,097,260 New Jersey), Sewer Revenue Refunding Bonds (Series 1993), 6.250%, 1/01/14 945,000 Housing Finance Corporation of the City of Long Branch, 10/98 at 100 N/R 959,090 Long Branch, New Jersey, Section 8 Assisted Housing Revenue Bonds, Washington Manor Associates, Ltd., 1980 Elderly Project, 10.000%, 10/01/11 The State of New Jersey, as Lessee, and The Mercer County Improvement Authority, as Lessor, Relating to the Richard J. Hughes Justice Complex: 750,000 6.050%, 1/01/11 No Opt. Call Aa 750,158 1,000,000 6.050%, 1/01/12 No Opt. Call Aa 1,000,170 1,500,000 6.050%, 1/01/16 No Opt. Call Aa 1,500,165 785,000 County of Morris, New Jersey, General Improvement No Opt. Call Aaa 785,644 Bonds of 1993, 5.125%, 5/13/11 600,000 The Borough of North Arlington, in the County of No Opt. Call Aaa 578,274 Bergen, New Jersey, General and Water Improvement Bonds of 1994, 4.800%, 2/01/10 4,000,000 County of Passaic, State of New Jersey, General No Opt. Call Aaa 3,983,040 Obligation Refunding Bonds, Series 1993, 5.125%, 9/01/12 1,040,000 Passaic Valley Sewerage Commissioners (State of 12/02 at 102 Aaa 1,071,242 New Jersey), Sewer System Bonds, Series D, 5.750%, 12/01/10 240,000 The Pinelands Regional Board of Education, in the No Opt. Call N/R 242,410 Counties of Ocean and Burlington, New Jersey, Certificates of Participation, 5.500%, 4/01/98 510,000 The Board of Education of the Township of Piscataway 6/03 at 102 Aaa 513,927 in the County of Middlesex, New Jersey, Certificates of Participation, 1993 Series, 5.375%, 12/15/10 650,000 The Board of Education of the Southern Gloucester No Opt. Call Aaa 629,863 County, Regional High School District, Gloucester County, New Jersey, School District Bonds, Series 1993, 5.000%, 10/01/14 Sparta Township School District, General Obligation Bonds (Unlimited Tax): 1,100,000 5.800%, 9/01/19 9/06 at 100 Aaa 1,123,342 1,100,000 5.800%, 9/01/20 9/06 at 100 Aaa 1,121,758 1,100,000 5.800%, 9/01/21 9/06 at 100 Aaa 1,120,878 1,000,000 The Stony Brook Regional Sewerage Authority No Opt. Call Aa 1,012,570 (Princeton, New Jersey), Revenue Refunding Bonds, 1993 Series B, 5.450%, 12/01/12 Principal Optional Call Market Amount Description Provisions* Ratings** Value $ 3,500,000 The Sussex County Municipal Utilities Authority, County 12/98 at 102 Aaa $ 3,753,330 of Sussex, New Jersey, Solid Waste Revenue Bonds, Series A, 7.875%, 12/01/13 (Pre-refunded to 12/01/98) 7,425,000 The Union County Utilities Authority (New Jersey), 6/02 at 102 BB 7,501,329 Solid Waste System Revenue Bonds, 1991 Series A, 7.200%, 6/15/14 (Alternative Minimum Tax) 1,500,000 The Wanaque Valley Regional Sewerage Authority No Opt.Call Aaa 1,578,270 (Passaic County, New Jersey), Sewer Revenue Refunding Bonds (1993 Series B), Insured, 5.750%, 9/01/18 1,585,000 The Warren County (Pequest River), Municipal Utilities 12/03 at 101 Aaa 1,587,378 Authority, Wastewater Revenue Refunding Bonds, Series 1993, 5.300%, 12/01/11 2,250,000 Western Monmouth Utilities Authority (Monmouth 2/05 at 102 Aaa 2,282,715 County, New Jersey), Revenue Refunding Bonds, 1995 Series A, 5.600%, 2/01/14 3,000,000 The Port Authority of New York and New Jersey, 10/04 at 101 Aaa 3,247,830 Consolidated Bonds, Ninety Sixth Series, 6.600%, 10/01/23 (Alternative Minimum Tax) The Port Authority of New York and New Jersey, Consolidated Bonds, Ninety-Ninth Series: 1,200,000 5.750%, 11/01/09 (Alternative Minimum Tax) 5/05 at 101 Aaa 1,246,487 2,500,000 5.750%, 11/01/14 (Alternative Minimum Tax) 5/05 at 101 Aaa 2,535,400 1,500,000 Port Authority of New York and New Jersey, 7/06 at 101 AA- 1,552,530 Consolidated Bonds, One Hundred and Sixth Series, 6.000%, 7/01/16 (Alternative Minimum Tax) 2,500,000 Port Authority of New York and New Jersey, One 6/05 at 101 Aaa 2,527,324 Hundredth Series, 5.750%, 12/15/20 The Port Authority of New York and New Jersey, Special Project Bonds, Series 6, JFK International Air Terminal LLC Project: 10,000,000 5.750%, 12/01/22 (Alternative Minimum Tax) 12/07 at 102 Aaa 10,012,600 11,000,000 5.750%, 12/01/25 (Alternative Minimum Tax) 12/07 at 100 Aaa 11,003,630 5,245,000 Delaware River Port Authority, Revenue Bonds, Series 1/06 at 102 Aaa 5,189,140 of 1995, 5.500%, 1/01/26 5,000,000 Commonwealth of Puerto Rico Public Improvement 7/05 at 101 1/2 Aaa 5,089,400 Bonds of 1995 (General Obligation Bonds), 5.750%, 7/01/24 8,160,000 Puerto Rico Public Buildings Authority, Public Education 7/03 at 101 1/2 A 8,193,700 and Health Facilities Refunding Bonds, Series M, Guaranteed by the Commonwealth of Puerto Rico, 5.750%, 7/01/15 Principal Optional Call Market Amount Description Provisions* Ratings** Value $ 3,500,000 Puerto Rico Electric Power Authority, Power Revenue 7/02 at 101 1/2 Baa1 $ 3,666,774 Bonds, Series R, 6.250%, 7/01/17 7,000,000 Puerto Rico Industrial, Medical, Educational, and 12/03 at 103 A2 6,570,270 - ------------ Environmental Pollution Control Facilities Financing ------------ Authority, Adjustable Rate Industrial Revenue Bonds, 1983 Series A (American Home Products Corporation Project), 5.100%, 12/01/18 $253,535,000 Total Investments - (cost $254,247,467) - 98.6% 262,243,853 ============ ------------ Other Assets Less Liabilities - 1.4% 3,829,774 ------------ Net Assets - 100% $266,073,627 ============ * 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.
Portfolio of Investments Nuveen Pennsylvania Investment Quality Municipal Fund (NQP)
Principal Optional Call Market Amount Description Provisions* Ratings** Value $ 6,000,000 Commonwealth of Pennsylvania General Obligation 3/02 at 101 1/2 AA- $ 6,422,220 Bonds, First Series of 1992, 6.375%, 9/15/11 4,970,000 Pennsylvania Higher Education Assistance Agency, No Opt. Call Aaa 5,318,248 Student Loan Adjustable Rate Tender Revenue Refunding Bonds, 1985 Series A, 6.800%, 12/01/00 4,000,000 Pennsylvania Higher Education Assistance Agency 9/01 at 102 Aaa 4,238,360 Student Loan Revenue Bonds, Fixed Rate Bonds, 1991 Series C, 7.150%, 9/01/21 (Alternative Minimum Tax) 3,000,000 Pennsylvania Higher Education Assistance Agency 9/02 at 102 Aaa 3,083,700 Student Loan Revenue Bonds, Fixed Rate Bonds, 1992 Series C, 6.400%, 3/01/22 (Alternative Minimum Tax) 2,000,000 Pennsylvania Higher Educational Facilities Authority 10/98 at 102 N/R 2,143,260 (Commonwealth of Pennsylvania), Lycoming College Revenue Bonds, Series of 1988, 8.375%, 10/01/18 (Pre-refunded to 10/01/98) 10,580,000 Pennsylvania Higher Educational Facilities Authority, 7/99 at 102 Aa 10,682,732 Revenue Bonds (Thomas Jefferson University - Life Sciences Building Project), 1989 Series A, 6.000%, 7/01/19 5,000,000 Pennsylvania Housing Finance Agency, Single Family 10/99 at 102 AA+ 5,231,200 Mortgage Revenue Bonds, Series W, 7.625%, 10/01/10 (Alternative Minimum Tax) 5,615,000 Pennsylvania Housing Finance Agency, Single Family 4/02 at 102 AA+ 5,923,320 Mortgage Revenue Bonds, Series 1992-33, 6.900%, 4/01/17 1,000,000 Pennsylvania Housing Finance Agency, Single Family 4/02 at 102 AA+ 1,051,900 Mortgage Revenue Bonds, Series 1992-34B, 7.000%, 4/01/24 (Alternative Minimum Tax) 2,000,000 Pennsylvania Housing Finance Agency, Single Family 10/05 at 102 AA+ 2,053,180 Mortgage Revenue Bonds, Series 1995-46, 6.200%, 10/01/14 (Alternative Minimum Tax) 1,000,000 Pennsylvania Housing Finance Agency, Single Family 4/06 at 102 AA+ 1,015,610 Mortgage Revenue Bonds, Series 1996-48, 6.150%, 4/01/25 (Alternative Minimum Tax) 5,725,000 Pennsylvania Housing Finance Agency, Single Family 4/06 at 102 AA+ 5,930,871 Mortgage Revenue Bonds, Series 1996-49, 6.450%, 4/01/25 (Alternative Minimum Tax) 4,000,000 Pennsylvania Housing Finance Agency, Single Family 4/06 at 102 AA+ 4,109,280 Mortgage Revenue Bonds, Series 1996-50B, 6.350%, 10/01/27 (Alternative Minimum Tax) 5,000,000 Pennsylvania Housing Finance Agency Single Family 4/06 at 102 AA+ 5,129,300 Mortgage Revenue Bonds, Series 1996-52B, 6.250%, 10/01/24 (Alternative Minimum Tax) Principal Optional Call Market Amount Description Provisions* Ratings** Value $ 8,505,000 Pennsylvania Intergovernmental Cooperation Authority, 6/03 at 100 Aaa $ 7,764,555 Special Tax Revenue Refunding Bonds (City of Philadelphia Funding Program), Series of 1993A, 5.000%, 6/15/22 4,500,000 Pennsylvania Turnpike Commission, Pennsylvania 12/01 at 102 Aaa 5,079,960 Turnpike Revenue Bonds, Series I of 1986, 7.200%, 12/01/17 (Pre-refunded to 12/01/01) 1,650,000 Pennsylvania Turnpike Commission, Pennsylvania 12/01 at 102 A1 1,775,202 Turnpike Revenue Bonds, Series N of 1991, 6.500%, 12/01/13 735,000 Pennsylvania Turnpike Commission, Pennsylvania 12/02 at 102 Aaa 725,643 Turnpike Revenue Bonds, Series O of 1992, 5.500%, 12/01/17 3,825,000 The Pennsylvania State University Bonds, Refunding 3/01 at 102 AA- 4,061,768 Series 1992, 6.250%, 3/01/11 8,000,000 County of Allegheny, Pennsylvania, Airport Revenue 1/98 at 102 Aaa 8,305,440 Bonds, Series 1988C (Greater Pittsburgh International Airport), 8.200%, 1/01/08 (Alternative Minimum Tax) 5,785,000 County of Allegheny, Pennsylvania Airport Revenue 1/98 at 100 Aaa 5,879,874 Bonds, Series 1988D (Greater Pittsburgh International Airport), 7.750%, 1/01/19 (Alternative Minimum Tax) 2,500,000 County of Allegheny, Pennsylvania Airport Revenue 1/02 at 102 Aaa 2,672,225 Bonds, Series 1992A and 1992B (Greater Pittsburgh International Airport), 6.625%, 1/01/22 (Alternative Minimum Tax) 6,300,000 Allegheny County Hospital Development Authority, 10/01 at 100 BBB+ 6,939,450 Hospital Revenue Bonds, Series 1991 A(St. Margaret Memorial Hospital), 7.125%, 10/01/21 (Pre-refunded to 10/01/01) 12,575,000 Allegheny County Residential Finance Authority, Single No Opt. Call Aaa 1,642,421 Family Mortgage Revenue Bonds, 1994 Series Y, 0.000%, 5/01/27 (Alternative Minimum Tax) 255,000 Redevelopment Authority of the City of Altoona (Altoona, 12/01 at 102 A 270,453 Pennsylvania) Home Improvement Loan Revenue Bonds, Series of 1991 (Cities of Altoona and Meadville Program) (FHA Title I Insured Loans), 7.150%, 12/01/09 (Alternative Minimum Tax) 5,000,000 Beaver County Industrial Development Authority 9/99 at 102 Baa3 5,276,800 (Pennsylvania), Pollution Control Revenue Refunding Bonds, 1989 Series A (Ohio Edison Company Beaver Valley Project), 7.750%, 9/01/24 1,355,000 Bensalem Township School District, Bucks County, 7/06 at 100 Aaa 1,404,701 Pennsylvania General Obligation Bonds, Series of 1996, 5.850%, 7/15/12 Principal Optional Call Market Amount Description Provisions* Ratings** Value $ 1,800,000 Berks County Municipal Authority (Commonwealth of 9/97 at 100 Aaa $ 1,808,730 Pennsylvania), Higher Education Revenue Bonds, Series of 1985 (Pennsylvania Higher Education Pooled Financing Program), The Trustees of the University of Pennsylvania Project, 6.700%, 9/01/07 (Pre-refunded to 9/01/97) 2,060,000 Redevelopment Authority of the County of Berks No Opt. Call A+ 2,216,457 (Pennsylvania), Senior Single Family Mortgage Revenue Bonds, 1986 Series A, 8.000%, 12/01/17 (Alternative Minimum Tax) Bethlehem Authority, Northampton and Lehigh Counties, Pennsylvania, Water Revenue Bonds, Series of 1992: 3,045,000 6.250%, 11/15/11 (Pre-refunded to 11/15/01) 11/01 at 100 Aaa 3,269,904 4,000,000 6.250%, 11/15/21 (Pre-refunded to 11/15/01) 11/01 at 100 Aaa 4,295,440 8,250,000 Blair County Hospital Authority, Hospital First Mortgage 2/99 at 102 N/R 8,888,550 Revenue Bonds, Series of 1989 (Mercy Hospital, Sublessee), 8.125%, 2/01/14 (Pre-refunded to 2/01/99) 5,000,000 Butler County Hospital Authority (Butler County, 6/01 at 102 Aaa 5,546,450 Pennsylvania), Hospital Revenue Bonds, Series 1991 A (North Hills Passavant Hospital), 7.000%, 6/01/22 (Pre-refunded to 6/01/01) 4,500,000 Delaware County Authority (Commonwealth of 8/01 at 100 Aaa 4,840,560 Pennsylvania), University Revenue Bonds, Series of 1991 (Villanova University), 6.900%, 8/01/16 3,750,000 Delaware County Industrial Development Authority, 4/01 at 102 Baa1 4,068,600 Pollution Control Revenue Refunding Bonds, 1991 Series A (Philadelphia Electric Company Project), 7.375%, 4/01/21 3,400,000 Erie County Hospital Authority, Hospital Revenue Bonds 2/01 at 102 Aaa 3,687,674 (Hamot Medical Center), 1991 Series A, 7.100%, 2/15/10 4,390,000 Fairview Township Authority, York County, Pennsylvania 11/01 at 100 Aaa 4,718,899 Guaranteed Sewer Revenue Bonds, Series of 1991 (Guaranteed by the Township of Fairview, York County, Pennsylvania), 6.700%, 11/01/21 2,875,000 Franklin County Industrial Development Authority 7/99 at 102 Aaa 3,040,341 Hospital Revenue Refunding Bonds (The Chambersburg Hospital), Series of 1991, 6.700%, 7/01/08 400,000 Greater Lebanon Refuse Authority, Lebanon County, 11/02 at 100 A- 428,712 Pennsylvania Solid Waste Revenue Bonds, Series of 1992, 7.000%, 11/15/04 2,000,000 Hampton Township School District (Allegheny County, 11/04 at 100 Aaa 2,258,880 Pennsylvania), General Obligation Bonds, Series of 1995, 6.750%, 11/15/21 (Pre-refunded to 11/15/04) Principal Optional Call Market Amount Description Provisions* Ratings** Value $ 3,400,000 Lehigh County General Purpose Authority College 6/02 at 100 AAA $ 3,649,866 Revenue Bonds, Series of 1992 (Allentown College of St. Francis de Sales Project), 6.750%, 12/15/12 4,700,000 Lehigh County Industrial Development Authority 2/04 at 102 Aaa 4,556,133 Pollution Control Revenue Bonds (Pennsylvania Power and Light Co.), Series 1994-A, 5.500%, 2/15/27 4,000,000 Lehigh County Industrial Development Authority, 8/05 at 102 Aaa 4,191,120 Pollution Control Revenue Refunding Bonds, 1995 Series A (Pennsylvania Power and Light Company Project), 6.150%, 8/01/29 4,000,000 Lower Pottsgrove Township Authority Montgomery 11/99 at 100 Aaa 4,225,960 County, Pennsylvania, Guaranteed Sewer Revenue Bonds - Series of 1991 (Guaranteed by the Township of Lower Pottsgrove), 6.700%, 11/01/16 (Pre-refunded to 11/01/99) 3,000,000 Luzerne County Industrial Development Authority, Exempt 10/02 at 102 A3 3,253,650 Facilities Revenue Refunding Bonds, 1992 Series A (Pennsylvania Gas and Water Company Project), 7.200%, 10/01/17 (Alternative Minimum Tax) 3,550,000 Luzerne County Industrial Development Authority 12/02 at 102 A3 3,816,712 Exempt Facilities Revenue Bonds, 1992 Series B (Pennsylvania Gas and Water Company Project), 7.125%, 12/01/22 (Alternative Minimum Tax) 5,000,000 Luzerne County Industrial Development Authority 12/04 at 102 Aaa 5,568,700 Exempt Facilities Revenue Refunding Bonds, 1994 Series A (Pennsylvania Gas and Water Company Project), 7.000%, 12/01/17 (Alternative Minimum Tax) 3,130,000 McKean County Solid Waste Authority (McKean County, 1/02 at 100 Aaa 3,418,179 Pennsylvania), Guaranteed Solid Waste Revenue Bonds, Series of 1992, 6.650%, 1/01/12 (Pre-refunded to 1/01/02) 3,225,000 Montgomery County Higher Education and Health 1/06 at 101 BBB 3,264,861 Authority Mortgage Revenue Bonds, Series of 1996 (Waverly Heights Project), 6.375%, 1/01/26 5,500,000 Montgomery County Industrial Development Authority 1/03 at 100 A- 5,984,440 (Pennsylvania), Resource Recovery Revenue Bonds (Montgomery County Project), Series 1989, 7.500%, 1/01/12 (Mandatory put 1/01/99) 1,000,000 Philadelphia Authority for Industrial Development 7/99 at 102 Aaa 1,072,550 Convertible Project Revenue Bonds (PGH Development Corporation), Series of 1989, 7.000%, 7/01/17 (Pre-refunded to 7/01/99) 4,885,000 Philadelphia Authority for Industrial Development 7/99 at 102 AA 5,248,102 Convertible Project Revenue Bonds (PGH/CHDC Parking Facilities), Series of 1989, 7.125%, 7/01/17 (Pre-refunded to 7/01/99) Principal Optional Call Market Amount Description Provisions* Ratings** Value $ 1,250,000 Philadelphia Authority for Industrial Development 5/02 at 102 A+ $ 1,358,188 Revenue Bonds, Series of 1992 (National Board of Medical Examiners Project), 6.750%, 5/01/12 4,270,000 CIty of Philadelphia, Pennsylvania Gas Works Revenue 6/01 at 102 Aaa 4,852,727 Bonds, Thirteenth Series, 7.700%, 6/15/21 (Pre-refunded to 6/15/01) 8,530,000 The Hospitals and Higher Education Facilities Authority 8/01 at 102 Aa 9,296,762 of Philadelphia Refunding Revenue Bonds, Saint Agnes Medical Center Project (FHA Insured Mortgage), Series 1991, 7.250%, 8/15/31 (Pre-refunded to 8/15/01) 3,250,000 The School District of Philadelphia, Pennsylvania General 7/01 at 102 Aaa 3,564,925 Obligation Bonds, Series B of 1991, 7.000%, 7/01/05 (Pre-refunded to 7/01/01) 850,000 The School District of Philadelphia, Pennsylvania 5/02 at 100 3/4 Aaa 930,113 General Obligation Bonds, Series A of 1992, 6.500%, 5/15/05 (Pre-refunded to 5/15/02) 10,625,000 City of Philadelphia, Pennsylvania, Water and Sewer 8/01 at 100 AAA 11,657,750 Revenue Bonds, Sixteenth Series, 7.000%, 8/01/18 (Pre-refunded to 8/01/01) 8,800,000 The Hospitals and Higher Education Facilities Authority of 12/01 at 102 N/R 9,913,728 Philadelphia Hospital Revenue Bonds, Series of 1991 (Presbyterian Medical Center of Philadelphia), 7.250%, 12/01/21 (Pre-refunded to 12/01/01) 3,520,000 The Hospitals and Higher Education Facilities Authority of 12/01 at 102 Aaa 3,848,803 Philadelphia Hospital Revenue Refunding Bonds, Series of 1991 (Magee Rehabilitation Hospital Project), 7.000%, 12/01/10 4,100,000 The Hospitals and Higher Education Facilities Authority of 2/02 at 102 Aaa 4,506,351 Philadelphia Hospital Revenue Bonds (The Children's Hospital of Philadelphia Project), Series A of1992, 6.500%, 2/15/21 (Pre-refunded to 2/15/02) 630,000 The Hospitals and Higher Education Facilities Authority of 8/02 at 102 A- 691,205 Philadelphia Hospital Revenue Bonds (Children's Seashore House), Series 1992A, 7.000%, 8/15/03 1,250,000 The Hospitals and Higher Education Facilities Authority of 2/03 at 102 Aa 1,143,913 Philadelphia, Hospital Revenue Refunding Bonds (The Children's Hospital of Philadelphia Project), Series A of 1993, 5.000%, 2/15/21 The Philadelphia Municipal Authority, Philadelphia, Pennsylvania, Justice Lease Revenue Bonds, 1991 Series B: 1,500,000 7.100%, 11/15/11 (Pre-refunded to 11/15/01) 11/01 at 102 Aaa 1,685,880 9,900,000 7.125%, 11/15/18 (Pre-refunded to 11/15/01) 11/01 at 102 Aaa 11,136,510 Principal Optional Call Market Amount Description Provisions* Ratings** Value $ 2,865,000 Urban Redevelopment Authority of Pittsburgh Mortgage 10/01 at 102 AAA $ 3,004,382 Revenue Bonds, 1991 Series G, 7.050%, 4/01/23 (Alternative Minimum Tax) 1,000,000 Urban Redevelopment Authority of Pittsburgh, 8/02 at 102 AAA 1,047,120 Redevelopment Mortgage Revenue Bonds, 1992 Series C, 7.125%, 8/01/13 (Alternative Minimum Tax) 1,635,000 Urban Redevelopment Authority of Pittsburgh Mortgage 4/06 at 102 AAA 1,702,673 Revenue Bonds, 1996 Series C, 6.550%, 4/01/28 (Alternative Minimum Tax) 1,450,000 Urban Redevelopment Authority of Pittsburgh Mortgage 10/07 at 102 AAA 1,483,771 Revenue Bonds, 1997 Series A, 6.250%, 10/01/28 (Alternative Minimum Tax) 3,000,000 The Pittsburgh Water and Sewer Authority, Water and No Opt. Call Aaa 3,453,300 Sewer System Revenue Refunding Bonds, Series of 1986, 7.625%, 9/01/04 3,250,000 The Pittsburgh Water and Sewer Authority Water and 9/01 at 102 Aaa 3,564,633 Sewer System Revenue Refunding Bonds, Series A of 1991, 6.500%, 9/01/14 (Pre-refunded to 9/01/01) 2,500,000 Saint Mary Hospital Authority Hospital Revenue Bonds, 7/02 at 102 Aaa 2,693,425 Series 1992A (Franciscan Health System/Saint Mary Hospital of Langhorne, Inc.), 6.500%, 7/01/12 5,500,000 Health Care Facilities Authority of Sayre, Variable Rate 12/01 at 103 Aaa 6,056,325 Hospital Revenue Bonds (VHA of Pennsylvania, Inc. Capital Asset Financing Program), Series of 1985E (Guthrie Healthcare System Conversion), 7.200%, 12/01/20 3,730,000 Scranton-Lackawanna Health and Welfare Authority, 6/00 at 102 N/R 4,104,343 City of Scranton, Lackawanna County, Pennsylvania, University Revenue Bonds (University of Scranton Project), 1990 Series A, 7.400%, 6/15/10 (Pre-refunded to 6/15/00) 2,900,000 Scranton-Lackawanna Health and Welfare Authority, 3/02 at 102 A- 3,058,978 City of Scranton, Lackawanna County, Pennsylvania, University Revenue Bonds, (University of Scranton Project), 1992 Series A, 6.500%, 3/01/13 8,475,000 Somerset County General Authority, Commonwealth of 10/01 at 100 Aaa 9,336,145 Pennsylvania, Commonwealth Lease Revenue Bonds, Series of 1991, 7.000%, 10/15/13 (Pre-refunded to 10/15/01) 5,000,000 State Public School Building Authority (Commonwealth 3/01 at 100 Aaa 5,309,200 of Pennsylvania), School Revenue Bonds (Hazelton Area School District Project), Series J of 1991, 6.500%, 3/01/08 Principal Optional Call Market Amount Description Provisions* Ratings** Value $ 2,545,000 Temple University of the Commonwealth System of Higher 8/98 at 100 Aaa $ 2,635,449 Education Hospital Revenue Bonds (FHA Insured Mortgage), Series A, 7.250%, 8/01/11 (Pre-refunded to 8/01/98) 3,500,000 Upper Merion Area School District, Montgomery County, 9/01 at 100 Aa 3,829,035 Pennsylvania General Obligation Bonds, Series of 1993, 6.900%, 9/01/16 (Pre-refunded to 9/01/01) 3,000,000 Warrington Township Municipal Authority, Bucks County, 11/15 at 100 Aaa 3,550,049 Pennsylvania, Water and Sewer Revenue Bonds, Series of 1991, 7.100%, 12/01/21 (Pre-refunded to 11/15/15) 5,000,000 West Chester Area School District, Chester and Delaware 1/01 at 100 Aa1 5,377,449 Counties, Pennsylvania, General Obligation Bonds, Series A of 1991, 6.700%, 1/15/11 (Pre-refunded to 1/15/01) 5,450,000 The Municipal Authority of the Borough of West View No Opt. Call Aaa 7,708,915 (Allegheny County, Pennsylvania), Special Obligation Bonds, Series of 1985A, 9.500%, 11/15/14 5,000,000 County of Westmoreland, Commonwealth of Pennsylvania, 8/01 at 100 Aaa 5,430,449 General Obligation Bonds, Series of 1992, 6.700%, 8/01/09 (Pre-refunded to 8/01/01) 645,000 The General Municipal Authority of the City of Wilkes-Barre, 12/00 at 100 N/R 688,724 College Misericordia Revenue Bonds, Refunding Series A of 1992, 7.750%, 12/01/12 620,000 The General Municipal Authority of the City of Wilkes-Barre, 12/02 at 102 N/R 662,029 - ------------- College Misericordia Revenue Bonds, Refunding Series ------------ B of 1992, 7.750%, 12/01/12 $ 337,275,000 Total Investments - (cost $323,450,175) - 97.2% 350,734,392 ============= ------------ Other Assets Less Liabilities - 2.8% 10,014,416 ------------ Net Assets - 100% $360,748,808 ============ * 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.
Portfolio of Investments Nuveen Pennsylvania Premium Income Municipal Fund 2 (NPY)
Principal Optional Call Market Amount Description Provisions* Ratings** Value $ 1,650,000 Pennsylvania Housing Finance Agency Single Family 4/07 at 101 1/2 AA+ $ 1,659,521 Mortgage Revenue Bonds, Series 1997-58A, 5.950%, 10/01/28 (Alternative Minimum Tax) (WI) 10,000,000 Pennsylvania Higher Education Assistance Agency, 1/03 at 102 Aaa 10,161,400 Student Loan Revenue Bonds, 1988 Series D, 6.050%, 1/01/19 (Alternative Minimum Tax) 10,000,000 Pennsylvania Higher Education Assistance Agency, Student No Opt. Call AAA 10,076,700 Loan Revenue Bonds, 1984 Series A, 4.625%, 12/01/00 1,715,000 Pennsylvania Higher Educational Facilities Authority, No Opt. Call Aaa 2,015,262 College and University Revenue Bonds, 9th Series, 7.625%, 7/01/15 1,640,000 Pennsylvania Higher Educational Facilities Authority 9/03 at 102 Aaa 1,596,934 (Commonwealth of Pennsylvania), University Revenue and Refunding Bonds (Duquesne University Project), Series A of 1993, 5.500%, 9/01/20 4,700,000 Pennsylvania Higher Educational Facilities Authority 1/06 at 101 Aa 4,734,968 (Commonwealth of Pennsylvania), The University of Pennsylvania Health Services Revenue Bonds, Series A of 1996, 5.750%, 1/01/22 6,365,000 Pennsylvania Higher Educational Facilities Authority, 7/99 at 102 Aa 6,426,804 Revenue Bonds (Thomas Jefferson University - Life Sciences Building Project), 1989 Series A, 6.000%, 7/01/19 7,000,000 Pennsylvania Higher Educational Facilities Authority 6/03 at 100 Aaa 7,066,220 (Commonwealth of Pennsylvania), Revenue Bonds, State System of High Education, Series I, 5.700%, 6/15/15 4,615,000 Pennsylvania Higher Educational Facilities Authority 7/03 at 102 AAA 4,556,297 (Commonwealth of Pennsylvania), Revenue Bonds (Widener University), 1993 Series A, 5.250%, 7/15/11 5,000,000 Pennsylvania Housing Finance Agency, Single Family 10/03 at 102 AA+ 4,861,350 Mortgage Revenue Bonds, Series 1993-37B, 5.600%, 10/01/25 (Alternative Minimum Tax) 5,000,000 Pennsylvania Housing Finance Agency, Rental Housing 7/02 at 102 Aaa 5,214,400 Refunding Bonds, Issue 1992, 6.400%, 7/01/12 9,000,000 Pennsylvania Housing Finance Agency, Rental Housing 7/03 at 102 Aaa 9,057,150 Refunding Bonds, Issue 1993, 5.800%, 7/01/18 2,000,000 Pennsylvania Housing Finance Agency, Single Family 10/03 at 102 AA+ 1,970,880 Mortgage Revenue Bonds, Series 1993 - 37A, 5.450%, 10/01/17 1,120,000 Pennsylvania Housing Finance Agency, Single Family No Opt. Call AA+ 1,252,216 Mortgage Revenue Bonds, Series 1996-47, 6.750%, 10/01/06 (Alternative Minimum Tax) Principal Optional Call Market Amount Description Provisions* Ratings** Value $ 3,305,000 Pennsylvania Housing Finance Agency, Single Family 4/06 at 102 AA+ $ 3,401,770 Mortgage Revenue Bonds, Series 1996-51, 6.375%, 4/01/28 (Alternative Minimum Tax) 2,750,000 Pennsylvania Housing Finance Agency, Single Family 10/06 at 102 AA+ 2,801,123 Mortgage Revenue Bonds, Series 1997-54A, 6.150%, 10/01/22 (Alternative Minimum Tax) Pennsylvania Housing Finance Agency, Single Family Mortgage Revenue Bonds, Series 1997-56A: 1,500,000 6.050%, 10/01/16 (Alternative Minimum Tax) 4/07 at 102 AA+ 1,525,080 4,000,000 6.150%, 10/01/27 (Alternative Minimum Tax) 4/07 at 102 AA+ 4,076,680 Pennsylvania Industrial Development Authority, Economic Development Revenue Bonds, Series 1994: 2,000,000 7.000%, 7/01/06 No Opt. Call Aaa 2,311,460 1,550,000 7.000%, 1/01/07 No Opt. Call Aaa 1,795,582 1,000,000 7.000%, 7/01/07 No Opt. Call Aaa 1,164,930 4,895,000 Pennsylvania Turnpike Commission, Pennsylvania Turnpike 12/02 at 102 Aaa 4,832,687 Revenue Bonds, Series O of 1992, 5.500%, 12/01/17 8,850,000 The Pennsylvania State University Bonds, Second 8/02 at 102 AA- 8,720,790 Refunding Series 1992, 5.500%, 8/15/16 750,000 Allegheny County Hospital Development Authority 6/02 at 102 BBB 788,708 (Allegheny County, Pennsylvania), Health and Education Revenue Bonds, Series 1992 (The Rehabilitation Institute of Pittsburgh Project), 7.000%, 6/01/22 3,000,000 Allegheny County Hospital Development Authority 11/02 at 100 Aaa 3,113,070 (Pennsylvania), Health Center Revenue Bonds, Series 1992A (Presbyterian University Health System, Inc. Project), 6.250%, 11/01/23 8,500,000 Allegheny County Hospital Development Authority 5/06 at 102 Aaa 8,607,950 (Allegheny County, Pennsylvania), Hospital Revenue Bonds, Series A of 1996 (South Hills Health System), 5.875%, 5/01/26 14,000,000 Allegheny County Hospital Development Authority Health 4/07 at 102 Aaa 13,839,140 Center Revenue Bonds, Series 1997A (University of Pittsburgh Medical Center System), 5.625%, 4/01/27 2,000,000 Bangor Area School District Northampton County, 3/06 at 100 Aaa 1,988,820 Pennsylvania, General Obligation Bonds, Series B of 1996, 5.500%, 3/15/18 2,500,000 Bensalem Township School District, Bucks County, 7/06 at 100 Aaa 2,565,125 Pennsylvania General Obligation Bonds, Series of 1996, 5.875%, 7/15/16 9,065,000 Bethlehem Area School District, Northampton and Lehigh 3/01 at 100 Aaa 9,152,387 Counties, Pennsylvania, General Obligation Bonds, Series of 1993, 5.600%, 9/01/12 Principal Optional Call Market Amount Description Provisions* Ratings** Value Bethlehem Authority, Northampton and Lehigh Counties, Pennsylvania, Water Revenue Bonds, Series A of 1992: $ 3,785,000 6.100%, 11/15/18 (Pre-refunded to 11/15/02) 11/02 at 100 Aaa $ 4,077,618 3,100,000 6.100%, 11/15/21 (Pre-refunded to 11/15/02) 11/02 at 100 Aaa 3,339,661 4,345,000 Bucks County Redevelopment Authority, Pennsylvania, 8/03 at 100 A 4,388,493 Second Lien Multifamily Mortgage Revenue Bonds, Section 8 Assisted (Country Commons Apartments), Series 1993A, 6.200%, 8/01/14 (Alternative Minimum Tax) Delaware County Authority (Commonwealth of Pennsylvania), Hospital Revenue Bonds Series of 1993 (Crozer-Chester Medical Center): 1,000,000 6.000%, 12/15/09 12/03 at 102 Baa1 1,021,290 2,085,000 6.000%, 12/15/20 12/03 at 102 Baa1 2,074,033 2,100,000 Delaware County Authority (Commonwealth of Pennsylvania), 12/03 at 102 Aaa 2,074,905 Hospital Revenue Bonds, Series of 1994 (Crozer-Chester Medical Center), 5.300%, 12/15/11 1,975,000 Delaware County Industrial Development Authority, Water 6/02 at 102 Aaa 2,150,380 Facilities Revenue Refunding Bonds (Philadelphia Suburban Water Company Project), Series of 1992, 6.500%, 6/01/10 4,060,000 Delaware Valley Regional Finance Authority Local 4/06 at 100 Aaa 4,192,478 Government Revenue Bonds, Series A, 6.000%, 4/15/26 1,500,000 Fort LeBoeuf School District (Erie County, Pennsylvania), 1/03 at 100 Aaa 1,520,760 General Obligation Bonds, Series A of 1993, 5.800%, 1/01/16 17,900,000 The Harrisburg Authority, Dauphin County, Pennsylvania 9/07 at 100 AAA 17,925,776 Tax-Exempt Revenue Bonds (The City of Harrisburg Project), Series II of 1997, 5.625%, 9/15/22 3,500,000 Hollidaysburg Sewer Authority Guaranteed Sewer Revenue 1/03 at 100 Aaa 3,592,715 Bonds, Series of 1993, 6.100%, 1/01/23 7,590,000 Indiana County Industrial Development Authority 5/07 at 102 Aaa 7,669,619 (Pennsylvania), Pollution Control Revenue Bonds, 1997 Series A (Metropolitan Edison Company Project), 5.950%, 5/01/27 (Alternative Minimum Tax) 1,350,000 Lancaster Higher Education Authority City of Lancaster, 4/03 at 100 Aaa 1,370,129 Pennsylvania, College Revenue Bonds, Series of 1993 (Franklin and Marshall College Project), 5.700%, 4/15/13 Lehigh County General Purpose Authority, Hospital Revenue Bonds, Series 1993 (Saint Luke's Hospital of Bethlehem, Pennsylvania Project): 1,335,000 5.300%, 11/15/05 No Opt. Call Aaa 1,372,166 500,000 5.300%, 11/15/07 No Opt. Call Aaa 508,900 Principal Optional Call Market Amount Description Provisions* Ratings** Value $ 15,000,000 Lehigh County Industrial Development Authority Pollution 11/02 at 102 Aaa $ 16,257,300 Control Revenue Refunding Bonds, 1992 Series A (Pennsylvania Power and Light Company Project), 6.400%, 11/01/21 1,500,000 Ligonier Valley School District (Westmoreland County, 3/04 at 100 Aaa 1,539,165 Pennsylvania), General Obligation Bonds, Series of 1994, 6.000%, 3/01/23 1,770,000 Luzerne County Housing Corporation Mortgage Revenue 7/03 at 100 Aaa 1,794,727 Refunding Bonds, Series 1993 (FHA Insured Mortgage Loan - Freeland Apartments Section 8 Assisted Project), 6.125%, 7/15/23 7,350,000 Luzerne County Industrial Development Authority, Exempt 10/02 at 102 A3 7,971,443 Facilities Revenue Refunding Bonds, 1992 Series A (Pennsylvania Gas and Water Company Project), 7.200%, 10/01/17 (Alternative Minimum Tax) 4,500,000 Luzerne County Industrial Development Authority Exempt 12/02 at 102 A3 4,838,085 Facilities Revenue Bonds, 1992 Series B (Pennsylvania Gas and Water Company Project), 7.125%, 12/01/22 (Alternative Minimum Tax) 4,305,000 County of Montgomery, Pennsylvania, General Obligation 10/06 at 100 Aaa 4,179,638 Bonds, Series B of 1996, 5.735%, 10/15/21 2,500,000 Montgomery County Higher Educational and Health 6/03 at 102 Aaa 2,551,125 Authority (Pennsylvania), Hospital Revenue Bonds, Series A of 1993 (Abington Memorial Hospital), 6.000%, 6/01/22 2,165,000 Montgomery County Industrial Development Authority 6/03 at 102 N/R 2,249,673 Health Facilities Revenue Bonds, Series of 1993 (ECRI Project), 6.850%, 6/01/13 7,175,000 Montgomery County Industrial Development Authority, 12/01 at 102 Aaa 7,811,566 Pollution Control Revenue Refunding Bonds, 1991 Series B (Philadelphia Electric Company Project), 6.700%, 12/01/21 2,000,000 New Morgan Industrial Development Authority 4/04 at 102 A 2,075,640 (Pennsylvania), Solid Waste Disposal Revenue Bonds (New Morgan Landfill Company, Inc. Project), Series 1994, 6.500%, 4/01/19 (Alternative Minimum Tax) 5,500,000 Northumberland County Industrial Development Authority 10/03 at 102 N/R 5,501,100 Exempt Facilities Revenue Bonds, 1993 Series (Roaring Creek Water Company Project), 6.375%, 10/15/23 (Alternative Minimum Tax) 4,830,000 Philadelphia Authority for Industrial Development Project 7/03 at 102 AA 4,613,036 Revenue Refunding Bonds (PGH Development Corporation), Series of 1993, 5.250%, 7/01/17 Principal Optional Call Market Amount Description Provisions* Ratings** Value $ 4,000,000 Philadelphia Hospital and Higher Educational Facilities 8/03 at 102 BBB+ $ 4,085,240 Authority of Philadelphia, Revenue Refunding Bonds, Series of 1992 (Philadelphia MRProject), 5.625%, 8/01/04 1,005,000 The Hospitals and Higher Education Facilities Authority 5/04 at 102 Aaa 1,067,541 of Philadelphia, Community College Revenue Bonds (Community College of Philadelphia), Series of 1994, 6.100%, 5/01/10 2,000,000 The School District of Philadelphia, Pennsylvania, General No Opt. Call Aaa 2,213,160 Obligation Refunding Bonds, Series A of 1995, 6.250%, 9/01/09 5,500,000 The School District of Philadelphia, Pennsylvania, General No Opt. Call Aaa 5,645,255 Obligation Refunding Bonds, Series A of 1993, 5.200%, 7/01/03 1,000,000 City of Philadelphia, Pennsylvania, Water and Sewer 8/01 at 102 AAA 1,132,480 Revenue Bonds, Sixteenth Series, 7.500%, 8/01/10 (Pre-refunded to 8/01/01) City of Philadelphia, Pennsylvania, Water and Wastewater Revenue Bonds, Series 1995: 3,000,000 6.750%, 8/01/05 No Opt. Call Aaa 3,382,710 2,730,000 6.250%, 8/01/10 No Opt. Call Aaa 3,031,092 City of Philadelphia, Pennsylvania, Water and Wastewater Revenue Bonds, Series 1993: 2,335,000 5.750%, 6/15/13 6/03 at 102 Aaa 2,383,451 2,300,000 5.500%, 6/15/14 6/03 at 102 Aaa 2,284,912 The Hospitals and Higher Education Facilities Authority of Philadelphia Hospital Revenue Bonds, Series of 1993 (Presbyterian Medical Center of Philadelphia): 1,000,000 6.500%, 12/01/11 12/03 at 102 AAA 1,093,790 3,690,000 6.650%, 12/01/19 12/03 at 102 AAA 4,192,873 3,000,000 The Hospitals and Higher Education Facilities Authority 2/03 at 102 Aa 2,919,480 of Philadelphia, Hospital Revenue Refunding Bonds (The Children's Hospital of Philadelphia Project), Series A of 1993, 5.375%, 2/15/14 1,750,000 Pine-Richland School District (Allegheny County, 9/03 at 100 Aaa 1,893,868 Pennsylvania), General Obligation Bonds, Series A of 1993, 6.100%, 9/01/18 (Pre-refunded to 9/01/03) 2,460,000 Urban Redevelopment Authority of Pittsburgh Mortgage 4/03 at 102 AAA 2,578,720 Revenue Bonds, 1992 Series C-1, 6.800%, 10/01/25 (Alternative Minimum Tax) 1,375,000 Urban Redevelopment Authority of Pittsburgh Mortgage 4/03 at 102 AAA 1,424,720 Revenue Bonds, 1992 Series D, 6.500%, 4/01/17 Principal Optional Call Market Amount Description Provisions* Ratings** Value $ 615,000 Urban Redevelopment Authority of Pittsburgh Mortgage 4/04 at 102 AAA $ 652,540 Revenue Bonds, 1994 Series B, 6.950%, 10/01/10 (Alternative Minimum Tax) 1,500,000 Urban Redevelopment Authority of Pittsburgh Mortgage 4/06 at 102 AAA 1,556,220 Revenue Bonds, 1996 Series C, 6.500%, 10/01/23 (Alternative Minimum Tax) Urban Redevelopment Authority of Pittsburgh Mortgage Revenue Bonds, 1997 Series A: 1,100,000 6.150%, 10/01/16 (Alternative Minimum Tax) 10/07 at 102 AAA 1,125,762 1,000,000 6.200%, 10/01/21 (Alternative Minimum Tax) 10/07 at 102 AAA 1,023,360 3,660,000 Rose Tree Media School District, Delaware County, 9/01 at 100 Aaa 3,983,544 Pennsylvania, General Obligation Bonds, Series of 1993, 6.700%, 3/15/12 (Pre-refunded to 9/15/01) 2,500,000 Schuylkill Valley School District Berks County, Pennsylvania, 4/03 at 100 Aaa 2,557,200 General Obligation Bonds, Series of 1993, 5.850%, 4/15/13 1,850,000 South Fork Municipal Authority (Cambria County, 7/03 at 102 A- 1,791,244 Pennsylvania), Hospital Revenue Bonds, Series 1993A (Lee Hospital Project), 5.500%, 7/01/11 3,340,000 State Public School Building Authority (Commonwealth of 3/03 at 100 Aaa 3,397,114 Pennsylvania), College Revenue Bonds (Northampton County Area Community College Project), Series U of 1993, 5.850%, 3/15/15 2,345,000 Swissvale Housing Development Corporation (An 7/03 at 100 Aa 2,360,196 Instrumentality of the Allegheny County Housing Authority), Multifamily Mortgage Revenue Refunding Bonds, Series 1993C (FHA Insured Mortgage Loan - Section 8 Assisted Swissvale Project), 6.100%, 7/01/22 2,000,000 Titusville Area School District, Venango, Crawford and 7/07 at 100 Aaa 1,936,260 Warren Counties, Pennsylvania, General Obligation Bonds, Series of 1997, 5.250%, 7/01/17 (WI) 4,000,000 Walenpaupack Area School District, Wayne and Pike 4/01 at 100 Aaa 4,032,640 Counties, Pennsylvania, General Obligation Bonds, Series of 1993, 5.500%, 4/01/11 1,650,000 The Municipal Authority of the Borough of West View No Opt. Call Aaa 2,333,891 (Allegheny County, Pennsylvania), Special Obligation Bonds, Series of 1985A, 9.500%, 11/15/14 1,615,000 The General Municipal Authority of the City of Wilkes-Barre, 12/02 at102 N/R 1,724,480 - ------------ College Misericordia Revenue Bonds, Refunding Series ------------ B of 1992, 7.750%, 12/01/12 $318,510,000 Total Investments - (cost $317,429,935) - 95.9% 327,800,568 ============ Principal Optional Call Market Amount Description Provisions* Ratings** Value Temporary Investments in Short-Term Municipal Securities - 2.3% $ 1,125,000 Washington County Authority, Pennsylvania, Lease Revenue A-1+ $ 1,125,000 ============ Bonds (Higher Education Pooled Equipment Leasing Program), Series 1985-A, Variable Rate Demand Bonds, 4.200%, 12/15/18+ Other Assets Less Liabilities - 3.8% 12,825,893 Net Assets - 100% $341,751,461 ============ * 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. (WI) Security purchased on a when-issued basis (see note 1 of the Notes to Financial Statements). + The security has a maturity of more than one year, but has variable rate and demand features which qualify it as a short-term security. The rate disclosed is that currently in effect. This rate changes periodically based on market conditions or a specified market index.
Statement of Net Assets June 30, 1997
New Jersey New Jersey Investment Quality Premium Income Assets Investments in municipal securities, at market value (note 1) $428,274,901 $262,243,853 Temporary investments in short-term municipal securities, at amortized cost, which approximates market value (note 1) -- -- Cash 82,010 69,409 Receivables: Interest 7,959,402 4,907,351 Investments sold 7,390,000 55,000 Other assets 12,391 36,164 ------------ ------------ Total assets 443,718,704 267,311,777 ------------ ------------ Liabilities Payable for investments purchased 10,048,750 -- Accrued expenses: Management fees (note 6) 225,694 140,704 Other 189,341 216,601 Preferred share dividends payable 77,189 38,892 Common share dividends payable 1,555,757 841,953 ------------ ------------ Total liabilities 12,096,731 1,238,150 ------------ ------------ Net assets (note 7) $431,621,973 $266,073,627 ============ ============ Preferred shares, at liquidation value $130,000,000 $ 91,600,000 ============ ============ Preferred shares outstanding 5,200 3,664 ============ ============ Common shares outstanding 19,569,269 11,858,499 ============ ============ Net asset value per Common share outstanding (net assets less Preferred shares at liquidation value, divided by Common shares outstanding) $ 15.41 $ 14.71 ============ ============
Statement of Net Assets June 30, 1997
Pennsylvania Pennsylvania Investment Quality Premium Income 2 Assets Investments in municipal securities, at market value (note 1) $350,734,392 $327,800,568 Temporary investments in short-term municipal securities, at amortized cost, which approximates market value (note 1) -- 1,125,000 Cash 459,749 33,911 Receivables: Interest 6,500,386 5,256,917 Investments sold 4,821,900 12,577,255 Other assets 27,605 35,500 ------------ ------------ Total assets 362,544,032 346,829,151 ------------ ------------ Liabilities Payable for investments purchased -- 3,602,788 Accrued expenses: Management fees (note 6) 189,226 179,638 Other 228,147 230,964 Preferred share dividends payable 54,379 40,715 Common share dividends payable 1,323,472 1,023,585 ------------ ------------ Total liabilities 1,795,224 5,077,690 ------------ ------------ Net assets (note 7) $360,748,808 $341,751,461 ============ ============ Preferred shares, at liquidation value $110,000,000 $118,100,000 ============ ============ Preferred shares outstanding 4,400 4,724 ============ ============ Common shares outstanding 15,755,615 15,747,463 ============ ============ Net asset value per Common share outstanding (net assets less Preferred shares at liquidation value, divided by Common shares outstanding) $ 15.91 $ 14.20 ============ ============
Statement of Operations Year ended June 30, 1997
New Jersey New Jersey Investment Quality Premium Income Investment Income Tax-exempt interest income (note 1) $26,358,983 $15,096,743 ----------- ----------- Expenses: Management fees (note 6) 2,721,593 1,690,720 Preferred shares - auction fees 324,630 228,738 Preferred shares - dividend disbursing agent fees 20,112 35,878 Shareholders' servicing agent fees and expenses 57,179 32,213 Custodian's fees and expenses 70,643 54,102 Directors'/Trustees' fees and expenses (note 6) 3,458 2,222 Professional fees 17,850 15,724 Shareholders' reports - printing and mailing expenses 108,712 73,642 Stock exchange listing fees 24,307 16,818 Investor relations expense 29,395 17,666 Other expenses 29,148 17,818 ----------- ----------- Total expenses 3,407,027 2,185,541 ----------- ----------- Net investment income 22,951,956 12,911,202 ----------- ----------- Realized and Unrealized Gain (Loss) from Investments Net realized gain (loss) from investment transaction (notes 1 and 4) 626,155 (823,979) Net change in unrealized appreciation or depreciation of investments 6,063,373 7,032,022 ----------- ----------- Net gain from investments 6,689,528 6,208,043 ----------- ----------- Net increase in net assets from operations $29,641,484 $19,119,245 =========== ===========
Statement of Operations Year ended June 30, 1997
Pennsylvania Pennsylvania Investment Quality Premium Income 2 Investment Income Tax-exempt interest income (note 1) $22,699,187 $19,151,741 ----------- ----------- Expenses: Management fees (note 6) 2,288,982 2,154,294 Preferred shares - auction fees 274,687 294,912 Preferred shares - dividend disbursing agent fees 23,003 35,878 Shareholders' servicing agent fees and expenses 64,558 49,960 Custodian's fees and expenses 63,683 62,868 Directors'/Trustees' fees and expenses (note 6) 2,969 2,742 Professional fees 17,148 15,990 Shareholders' reports - printing and mailing expenses 105,453 109,663 Stock exchange listing fees 17,120 24,906 Investor relations expense 26,844 23,878 Other expenses 24,398 17,680 ----------- ----------- Total expenses 2,908,845 2,792,771 ----------- ----------- Net investment income 19,790,342 16,358,970 ----------- ----------- Realized and Unrealized Gain (Loss) from Investments Net realized gain (loss) from investment transactions (notes 1 and 4) 360,973 (266,763) Net change in unrealized appreciation or depreciation of investments 2,891,910 10,125,469 ----------- ----------- Net gain from investments 3,252,883 9,858,706 ----------- ----------- Net increase in net assets from operations $23,043,225 $26,217,676 =========== ===========
Statement of Changes in Net Assets
New Jersey Investment Quality Year ended Year ended 6/30/97 6/30/96 Operations Net investment income $ 22,951,956 $ 22,681,854 Net realized gain (loss) from investment transactions (notes 1 and 4) 626,155 (380,328) Net change in unrealized appreciation or depreciation of investments 6,063,373 373,323 ------------- ------------- Net increase in net assets from operations 29,641,484 22,674,849 ------------- ------------- Distributions to Shareholders (note 1) From undistributed net investment income: Common shareholders (18,519,904) (18,289,306) Preferred shareholders (4,188,974) (4,447,642) From accumulated net realized gains from investment transactions: Common shareholders -- -- Preferred shareholders -- -- ------------- ------------- Decrease in net assets from distributions to shareholders (22,708,878) (22,736,948) ------------- ------------- Capital Share Transactions (note 2) Net proceeds from Common shares issued to shareholders due to reinvestment of distributions 2,351,238 1,456,662 ------------- ------------- Net increase in net assets from capital share transactions 2,351,238 1,456,662 ------------- ------------- Net increase (decrease) in net assets 9,283,844 1,394,563 Net assets at beginning of year 422,338,129 420,943,566 ------------- ------------- Net assets at end of year $ 431,621,973 $ 422,338,129 ============= ============= Balance of undistributed net investment income at end of year $ 948,937 $ 705,859 ============= ============= New Jersey Premium Income Year ended Year ended 6/30/97 6/30/96 Operations Net investment income $ 12,911,202 $ 12,823,792 Net realized gain (loss) from investment transactions (notes 1 and 4) (823,979) 278,325 Net change in unrealized appreciation or depreciation of investments 7,032,022 2,009,677 ------------- ------------- Net increase in net assets from operations 19,119,245 15,111,794 ------------- ------------- Distributions to Shareholders (note 1) From undistributed net investment income: Common shareholders (10,008,574) (9,623,156) Preferred shareholders (2,744,682) (3,031,790) From accumulated net realized gains from investment transactions: Common shareholders -- -- Preferred shareholders -- -- ------------- ------------- Decrease in net assets from distributions to shareholders (12,753,256) (12,654,946) ------------- ------------- Capital Share Transactions (note 2) Net proceeds from Common shares issued to shareholders due to reinvestment of distributions -- -- ------------- ------------- Net increase in net assets from capital share transactions -- -- ------------- ------------- Net increase (decrease) in net assets 6,365,989 2,456,848 Net assets at beginning of year 259,707,638 257,250,790 ------------- ------------- Net assets at end of year $ 266,073,627 $ 259,707,638 ============= ============= Balance of undistributed net investment income at end of year $ 837,324 $ 679,378 ============= =============
Statement of Changes in Net Assets
Pennsylvania Investment Quality Year ended Year ended 6/30/97 6/30/96 Operations Net investment income $ 19,790,342 $ 19,852,780 Net realized gain (loss) from investment transactions (notes 1 and 4) 360,973 955,976 Net change in unrealized appreciation or depreciation of investments 2,891,910 (2,273,958) ------------- ------------- Net increase in net assets from operations 23,043,225 18,534,798 ------------- ------------- Distributions to Shareholders (note 1) From undistributed net investment income: Common shareholders (15,875,077) (16,324,381) Preferred shareholders (3,710,061) (3,855,705) From accumulated net realized gains from investment transactions: Common shareholders (395,040) (473,871) Preferred shareholders (90,536) (132,928) ------------- ------------- Decrease in net assets from distributions to shareholders (20,070,714) (20,786,885) ------------- ------------- Capital Share Transactions (note 2) Net proceeds from Common shares issued to shareholders due to reinvestment of distributions 1,952,811 2,244,579 ------------- ------------- Net increase in net assets from capital share transactions 1,952,811 2,244,579 ------------- ------------- Net increase (decrease) in net assets 4,925,322 (7,508) Net assets at beginning of year 355,823,486 355,830,994 ------------- ------------- Net assets at end of year $ 360,748,808 $ 355,823,486 ============= ============= Balance of undistributed net investment income at end of year $ 710,085 $ 504,881 ============= ============= Pennsylvania Premium Income 2 Year ended Year ended 6/30/97 6/30/96 Operations Net investment income $ 16,358,970 $ 16,353,600 Net realized gain (loss) from investment transactions (notes 1 and 4) (266,763) 289,626 Net change in unrealized appreciation or depreciation of investments 10,125,469 5,015,802 ------------- ------------- Net increase in net assets from operations 26,217,676 21,659,028 ------------- ------------- Distributions to Shareholders (note 1) From undistributed net investment income: Common shareholders (12,220,049) (12,306,677) Preferred shareholders (4,109,035) (4,260,276) From accumulated net realized gains from investment transactions: Common shareholders -- -- Preferred shareholders -- -- ------------- ------------- Decrease in net assets from distributions to shareholders (16,329,084) (16,566,953) ------------- ------------- Capital Share Transactions (note 2) Net proceeds from Common shares issued to shareholders due to reinvestment of distributions -- -- ------------- ------------- Net increase in net assets from capital share transactions -- -- ------------- ------------- Net increase (decrease) in net assets 9,888,592 5,092,075 Net assets at beginning of year 331,862,869 326,770,794 ------------- ------------- Net assets at end of year $ 341,751,461 $ 331,862,869 ============= ============= Balance of undistributed net investment income at end of year $ 313,586 $ 283,700 ============= =============
Notes to Financial Statements 1. GENERAL INFORMATION AND SIGNIFICANT ACCOUNTING POLICIES The state Funds (the "Funds") covered in this report and their corresponding New York Stock Exchange symbols are Nuveen New Jersey Investment Quality Municipal Fund, Inc. (NQJ), Nuveen New Jersey Premium Income Municipal Fund, Inc. (NNJ), Nuveen Pennsylvania Investment Quality Municipal Fund (NQP) and Nuveen Pennsylvania Premium Income Municipal Fund 2 (NPY). Each Fund invests primarily in a diversified portfolio of municipal obligations issued by state and local government authorities within a single state. The Funds are registered under the Investment Company Act of 1940 as closed-end, diversified management investment companies. The following is a summary of significant accounting policies followed by the Funds in the preparation of their financial statements in accordance with generally accepted accounting principles. Securities Valuation The prices of municipal bonds in each Fund's investment portfolio are provided by a pricing service approved by the Fund's Board of Directors/Trustees. When price quotes are not readily available (which is usually the case for municipal securities), the pricing service establishes fair market value based on yields or prices of municipal bonds of comparable quality, type of issue, coupon, maturity and rating, indications of value from securities dealers and general market conditions. Temporary investments in securities that have variable rate and demand features qualifying them as short-term securities are valued at amortized cost, which approximates market value. 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 have extended settlement periods. 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 when-issued and delayed delivery purchase commitments. At June 30, 1997, New Jersey Investment Quality and Pennsylvania Premium Income 2 had such outstanding purchase commitments of $10,048,750 and $3,602,788, respectively. There were no such purchase commitments in either of the other Funds. Interest Income Interest income is determined on the basis of interest accrued, adjusted for amortization of premiums and accretion of discounts on long-term debt securities when required for federal income tax purposes. Income Taxes Each Fund is a separate tax payer for federal income tax purposes. Each Fund intends to comply with the requirements of the Internal Revenue Code applicable to regulated investment companies and to distribute all of its tax-exempt net investment income, in addition to any significant amounts of net realized capital gains and/or market discount realized from investment transactions. The Funds currently consider significant net realized capital gains and/or market discount as amounts in excess of $.01 per Common share. Furthermore, each New Jersey Fund intends to satisfy conditions which will enable interest from municipal securities, which is exempt from regular federal and New Jersey state income taxes, to retain such tax-exempt status when distributed to the shareholders of the New Jersey Funds. Each Pennsylvania Fund intends to satisfy conditions which will enable interest from municipal securities, which is exempt from regular federal, Pennsylvania state personal income and the Philadelphia School District Investment Income taxes, to retain such tax-exempt status when distributed to shareholders of the Pennsylvania Funds. All income dividends paid during the fiscal year ended June 30, 1997, have been designated Exempt Interest Dividends. Net realized capital gain and market discount distributions are subject to federal taxation. Dividends and Distributions to Shareholders Tax-exempt net investment income is declared as a dividend monthly and payment is made or reinvestment is credited to shareholder accounts on the first business day after month-end. Net realized capital gains and/or market discount from investment transactions are distributed to shareholders not less frequently than annually. Furthermore, capital gains are distributed only to the extent they exceed available capital loss carryovers. Distributions to shareholders of tax-exempt net investment income, net realized capital gains and/or market discount, if any, are recorded on the ex-dividend date. The amount and timing of distributions are determined in accordance with federal income tax regulations, which may differ from generally accepted accounting principles. Accordingly, temporary over-distributions as a result of these differences may occur and will be classified as either distributions in excess of net investment income, distributions in excess of net realized gains and/or distributions in excess of net ordinary taxable income from investment transactions, where applicable. Preferred Shares The Funds have issued and outstanding $25,000 stated value Preferred shares. Each Fund's Preferred shares are issued in more than one 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, were as follows:
New Jersey New Jersey Investment Quality Premium Income Number of Shares: Series M 3,200 -- Series T -- 624 Series W -- 1,440 Series Th 2,000 1,600 Series F -- -- ----- ----- Total 5,200 3,664 ===== ===== Pennsylvania Pennsylvania Investment Quality Premium Income 2 Number of Shares: Series M -- 844 Series T -- -- Series W 2,400 -- Series Th 2,000 2,080 Series F -- 1,800 ----- ----- Total 4,400 4,724 ===== =====
Derivative Financial Instruments The Funds may invest in 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 June 30, 1997. Use of Estimates The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. 2. FUND SHARES Transactions in Common shares were as follows:
New Jersey Investment Quality New Jersey Premium Income Year ended Year ended Year ended Year ended 6/30/97 6/30/96 6/30/97 6/30/96 Shares issued to shareholders due to reinvestment of distributions 150,625 94,142 -- -- ======= ====== ==== ==== Pennsylvania Investment Quality Pennsylvania Premium Income 2 Year ended Year ended Year ended Year ended 6/30/97 6/30/96 6/30/97 6/30/96 Shares issued to shareholders due to reinvestment of distributions 118,967 134,874 -- -- ======= ====== ==== ====
3. DISTRIBUTIONS TO COMMON SHAREHOLDERS On July 1, 1997, the Funds declared Common share dividend distributions from their tax-exempt net investment income which were paid August 1, 1997, to shareholders of record on July 15, 1997, as follows:
New Jersey New Jersey Investment Quality Premium Income Dividend per share $.0795 $.0710 ====== ====== Pennsylvania Pennsylvania Investment Quality Premium Income 2 Dividend per share $.0840 $.0650 ====== ======
4. SECURITIES TRANSACTIONS Purchases and sales (including maturities) of investments in municipal securities and temporary municipal investments during the fiscal year ended June 30, 1997, were as follows:
New Jersey New Jersey Investment Quality Premium Income Purchases Investments in municipal securities $69,903,891 $48,953,984 Temporary municipal investments 32,500,000 22,600,000 Sales and Maturities Investments in municipal securities 65,142,364 47,304,121 Temporary municipal investments 32,500,000 23,300,000 ========== ========== Pennsylvania Pennsylvania Investment Quality Premium Income 2 Purchases Investments in municipal securities $28,513,236 $97,754,299 Temporary municipal investments 34,900,000 46,800,000 Sales and Maturities Investments in municipal securities 29,857,189 110,450,499 Temporary municipal investments 34,900,000 55,175,000 ========== ==========
At June 30, 1997, the identified cost of investments owned for federal income tax purposes was the same as the cost for financial reporting purposes for each Fund. At June 30, 1997, the following Funds had unused capital loss carryovers available for federal income tax purposes to be applied against future capital gains, if any. If not applied, the carryovers will expire as follows:
New Jersey Pennsylvania Premium Income Premium Income 2 Expiration year: 2001 $ 1,784 $ 1,545 2002 4,076,151 1,489,452 2003 129,409 669,824 2004 650,143 40,999 2005 174,583 169,168 ---------- ---------- Total $5,032,070 $2,370,988 ========== ==========
5. UNREALIZED APPRECIATION (DEPRECIATION) Gross unrealized appreciation and gross unrealized depreciation of investments at June 30, 1997, were as follows:
New Jersey New Jersey Investment Quality Premium Income Gross unrealized: appreciation $25,444,033 $8,704,134 depreciation (6,759) (707,748) ----------- ---------- Net unrealized appreciation $25,437,274 $7,996,386 =========== ========== Pennsylvania Pennsylvania Investment Quality Premium Income 2 Gross unrealized: appreciation $27,284,217 $10,611,923 depreciation -- (241,290) ----------- ---------- Net unrealized appreciation $27,284,217 $10,370,633 =========== ==========
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 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:
Average daily net asset value Management fee For the first $125 million .6500 of 1% For the next $125 million .6375 of 1 For the next $250 million .6250 of 1 For the next $500 million .6125 of 1 For the next $1 billion .6000 of 1 For net assets over $2 billion .5875 of 1
The fee compensates the Adviser for overall investment advisory and administrative services and general office facilities. The Funds pay no compensation directly to those Directors/Trustees who are affiliated with the Adviser or to their officers, all of whom receive remuneration for their services to the Funds from the Adviser. 7. COMPOSITION OF NET ASSETS At June 30, 1997, net assets consisted of:
New Jersey New Jersey Investment Quality Premium Income Preferred shares, $25,000 stated value per share, at liquidation value $ 130,000,000 $ 91,600,000 Common shares, $.01 par value per share 195,693 118,585 Paid-in surplus 274,858,088 171,205,098 Balance of undistributed net investment income 948,937 837,324 Accumulated net realized gain (loss) from investment transactions 181,981 (5,683,766) Net unrealized appreciation of investments 25,437,274 7,996,386 ------------- ------------- Net assets $ 431,621,973 $ 266,073,627 ============= ============= Authorized shares: Common 200,000,000 200,000,000 Preferred 1,000,000 1,000,000 ============= ============= Pennsylvania Pennsylvania Investment Quality Premium Income 2 Preferred shares, $25,000 stated value per share, at liquidation value $ 110,000,000 $ 118,100,000 Common shares, $.01 par value per share 157,556 157,475 Paid-in surplus 222,260,090 215,278,352 Balance of undistributed net investment income 710,085 313,586 Accumulated net realized gain (loss) from investment transactions 336,860 (2,468,585) Net unrealized appreciation of investments 27,284,217 10,370,633 ------------- ------------- Net assets $ 360,748,808 $ 341,751,461 ============= ============= Authorized shares: Common Unlimited Unlimited Preferred Unlimited Unlimited ============= =============
8. INVESTMENT COMPOSITION Each Fund invests in municipal securities which include general obligation, escrowed and revenue bonds. At June 30, 1997, the revenue sources by municipal purpose for these investments, expressed as a percent of total investments, were as follows:
New Jersey New Jersey Investment Quality Premium Income Revenue Bonds: Transportation 11% 23% Housing Facilities 19 11 Educational Facilities 3 8 Health Care Facilities 12 8 Pollution Control Facilities -- 2 Water / Sewer Facilities 8 6 Electric Utilities 5 2 Lease Rental Facilities 4 4 Industrial Development 3 2 Other 4 9 General Obligation Bonds 10 18 Escrowed Bonds 21 7 ---- ---- 100% 100% ==== ==== Pennsylvania Pennsylvania Investment Quality Premium Income 2 Revenue Bonds: Transportation 5% 2% Housing Facilities 12 16 Educational Facilities 11 17 Health Care Facilities 7 16 Pollution Control Facilities 6 11 Water / Sewer Facilities 1 6 Electric Utilities 4 4 Lease Rental Facilities -- -- Industrial Development -- -- Other 4 9 General Obligation Bonds 4 12 Escrowed Bonds 46 7 ---- ---- 100% 100% ==== ====
Certain long-term and intermediate-term investments owned by the Funds are either covered by insurance issued by several private insurers or are backed by an escrow or trust containing U.S. Government or U.S. Government agency securities, both of which ensure the timely payment of principal and interest in the event of default (58% for New Jersey Investment Quality, 52% for New Jersey Premium Income, 72% for Pennsylvania Investment Quality and 61% for Pennsylvania Premium Income 2). 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. Financial Highlights Selected data for a common share outstanding throughout each period is as follows:
Dividends from tax-exempt Operating performance net investment income Net asset Net realized value Net and unrealized beginning investment gain (loss) To Common To Preferred of period income from investments Shareholders Shareholders+ New Jersey Investment Quality Year ended 6/30: 1997 $15.05 $1.18 $ .34 $ (.95) $(.21) 1996 15.06 1.17 (.01) (.94) (.23) 1995 14.73 1.20 .40 (1.01) (.24) 1994 15.88 1.20 (1.07) (1.07) (.14) 1993 14.82 1.21 1.05 (1.00) (.17) Eight months ended 6/30/92 14.32 .82 .46 (.62) (.16) 2/21/91 to 10/31/91 14.05 .61 .46 (.49) (.12) New Jersey Premium Income Year ended 6/30: 1997 14.18 1.09 .51 (.84) (.23) 1996 13.97 1.08 .20 (.81) (.26) 1995 13.46 1.06 .55 (.81) (.28) 11 mos. ended 6/30/94 14.52 .94 (1.12) (.71) (.17) 12/17/92 to 7/31/93 14.05 .40 .68 (.34) (.06) Pennsylvania Investment Quality Year ended 6/30: 1997 15.72 1.26 .22 (1.01) (.24) 1996 15.86 1.28 (.08) (1.05) (.25) 1995 15.49 1.29 .41 (1.07) (.26) 1994 16.42 1.30 (.86) (1.16) (.16) 1993 15.14 1.31 1.27 (1.12) (.18) Eight months ended 6/30/92 14.60 .88 .49 (.66) (.17) 2/21/91 to 10/31/91 14.05 .68 .71 (.50) (.12) Pennsylvania Premium Income 2 Year ended 6/30: 1997 13.57 1.04 .63 (.78) (.26) 1996 13.25 1.04 .33 (.78) (.27) 1995 12.53 1.05 .77 (.81) (.29) 1994 14.35 1.00 (1.71) (.79) (.18) 3/18/93 to 6/30/93 14.05 .11 .31 (.07) -- Distributions from capital gains Organization and offering costs and Per common Preferred share Net asset share To Common To Preferred underwriting value market value Shareholders Shareholders+ discounts end of period end of period New Jersey Investment Quality Year ended 6/30: 1997 $ -- $ -- $ -- $15.41 $16.3125 1996 -- -- -- 15.05 14.8750 1995 (.02) -- -- 15.06 14.6250 1994 (.06) (.01) -- 14.73 15.2500 1993 (.02) (.01) -- 15.88 17.1250 Eight months ended 6/30/92 -- -- -- 14.82 15.3750 2/21/91 to 10/31/91 -- -- (.19) 14.32 15.5000 New Jersey Premium Income Year ended 6/30: 1997 -- -- -- 14.71 14.8125 1996 -- -- -- 14.18 13.0000 1995 (.01) -- -- 13.97 13.2500 11 mos. ended 6/30/94 -- -- -- 13.46 12.3750 12/17/92 to 7/31/93 -- -- (.21) 14.52 15.0000 Pennsylvania Investment Quality Year ended 6/30: 1997 (.03) (.01) -- 15.91 16.8750 1996 (.03) (.01) -- 15.72 16.3750 1995 -- -- -- 15.86 15.5000 1994 (.04) (.01) -- 15.49 16.2500 1993 -- -- -- 16.42 17.5000 Eight months ended 6/30/92 -- -- -- 15.14 15.7500 2/21/91 to 10/31/91 -- -- (.22) 14.60 15.5000 Pennsylvania Premium Income 2 Year ended 6/30: 1997 -- -- -- 14.20 13.3750 1996 -- -- -- 13.57 12.3750 1995 -- -- -- 13.25 12.8750 1994 -- -- (.14) 12.53 12.3750 3/18/93 to 6/30/93 -- -- (.05) 14.35 14.6250 Ratios/Supplemental data Ratio of net Total Ratio of investment investment Total return Net assets expenses to income to Portfolio return on on net end of period average average turnover market value** asset value** (in thousands) net assets++ net assets++ rate New Jersey Investment Quality Year ended 6/30: 1997 16.50% 8.92% $431,622 .80% 5.36% 15% 1996 8.17 6.28 422,338 .81 5.33 16 1995 3.03 9.71 420,944 .85 5.57 13 1994 (4.63) (.27) 259,718 .82 5.39 5 1993 18.71 14.57 270,878 .83 5.53 12 Eight months ended 6/30/92 3.29 8.03 255,602 .76* 5.84* 6 2/21/91 to 10/31/91 6.61 5.52 248,154 .76* 5.06* 1 New Jersey Premium Income Year ended 6/30: 1997 20.95 9.94 266,074 .83 4.91 18 1996 4.24 7.37 259,708 .86 4.90 32 1995 14.60 10.39 257,251 .94 5.08 15 11 mos. ended 6/30/94 (13.16) (2.61) 113,458 .91* 4.72* 12 12/17/92 to 7/31/93 2.27 5.78 118,885 .97* 3.75* 5 Pennsylvania Investment Quality Year ended 6/30: 1997 9.75 8.01 360,749 .81 5.52 8 1996 12.74 6.00 355,823 .82 5.53 12 1995 2.32 9.77 355,831 .87 5.70 9 1994 (.39) 1.23 191,718 .84 5.54 3 1993 18.83 16.50 197,920 .86 5.73 2 Eight months ended 6/30/92 5.97 8.48 185,576 .78* 6.04* -- 2/21/91 to 10/31/91 6.71 7.61 180,203 .81* 5.50* -- Pennsylvania Premium Income 2 Year ended 6/30: 1997 14.82 10.61 341,751 .83 4.85 29 1996 2.21 8.39 331,863 .84 4.90 19 1995 11.50 12.87 326,771 .92 5.20 5 1994 (10.29) (7.60) 139,053 .90 4.70 11 3/18/93 to 6/30/93 (2.08) 2.60 99,561 .92* 2.99* -- * Annualized. ** Total Investment Return on Market Value is the combination of reinvested dividend income, reinvested capital gains distributions, if any, and changes in stock price per share. Total Return on Net Asset Value is the combination of reinvested dividend income, reinvested capital gains distributions, if any, and changes in net asset value per share. + The amounts shown are based on Common share equivalents. ++ Ratios do not reflect the effect of dividend payments to Preferred shareholders.
Fund Information BOARD OF DIRECTORS/TRUSTEES Lawrence H. Brown Anthony T. Dean Anne E. Impellizzeri Peter R. Sawers Timothy R. Schwertfeger Judith M. Stockdale FUND MANAGER Nuveen Advisory Corp. 333 West Wacker Drive Chicago, IL 60606 CUSTODIAN The Chase Manhattan Bank 4 New York Plaza New York, NY 10004-2413 LEGAL COUNSEL Fried, Frank, Harris Shriver & Jacobson Washington, D.C. INDEPENDENT AUDITORS Ernst & Young LLP Chicago, Illinois "At Nuveen, we make reinvesting easy. A phone call is all it takes to set up your reinvestment account." (continued from inside front cover) 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. You may, 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 can also 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. Although the Fund reserves the right to amend the Plan to include a service charge payable by the participants, there is no direct service charge to participants in the Plan at this time. For more information on the Nuveen Automatic Reinvestment Plan or to enroll in or withdraw from the Plan, speak with your financial adviser or call us toll-free at (800) 257-8787. Serving Investors for Generations Photographic image of John Nuveen, Sr. Since our founding in 1898, John Nuveen &Co. has been synonymous with investments that withstand the test of time. Today, we offer a broad range of investments designed for mature investors whose portfolios are the principal source of their ongoing financial security. More than 1.3 million investors have trusted Nuveen to help them maintain the lifestyle they currently enjoy. A value investing approach - purchasing securities of strong companies and communities that represent good long-term value - is the cornerstone of Nuveen's investment philosophy. It is a careful, long-term strategy that offers the potential for attractive returns with moderated risk. Successful value investing begins with in-depth research and a discerning eye for marketplace opportunity. Nuveen's team of investment professionals is backed by the discipline, resources and expertise of almost a century of investment experience, including one of the most recognized research departments in the industry. To meet the unique circumstances and financial planning needs of mature investors, Nuveen offers a wide array of equity and fixed-income mutual funds, unit trusts, exchange-traded funds, individual managed account services, and cash management products, including many that generate tax-free income. To find out more about how Nuveen investment products and services can help you preserve your financial security, talk with your financial adviser, or call us at (800) 257-8787 for more information, including a prospectus where applicable. Please read that information carefully before you invest. NUVEEN John Nuveen &Co. Incorporated 333 West Wacker Drive Chicago, IL 60606-1286 (800) 257-8787 www.nuveen.com FAN-2-6.97 -----END PRIVACY-ENHANCED MESSAGE-----