UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-Q
QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number 811-7868
Van Kampen Advantage Municipal Income Trust II
(Exact name of registrant as specified in charter)
522 Fifth Avenue, New York, New York 10036
(Address of principal executive offices) (Zip code)
Jerry W. Miller
522 Fifth Avenue, New York, New York 10036
(Name and address of agent for service)
Registrant's telephone number, including area code: 212-762-4000
Date of fiscal year end: 10/31
Date of reporting period: 7/31/08
Item 1. Schedule of Investments.
The Trust's schedule of investments as of the close of the reporting period
prepared pursuant to Rule 12-12 of Regulation S-X is as follows:
VAN KAMPEN ADVANTAGE MUNICIPAL INCOME TRUST II
PORTFOLIO OF INVESTMENTS - JULY 31, 2008 (UNAUDITED)
PAR
AMOUNT
(000) DESCRIPTION COUPON MATURITY VALUE
------------------------------------------------------------------------------------------------------------------------------------
MUNICIPAL BONDS 209.2%
ALABAMA 1.8%
$ 2,375 Bessemer, AL Governmental Util
Svc Corp Wtr Supply Rev Rfdg,
Ser A (AGL Insd) (a) .............................................. 5.000% 06/01/39 $ 2,394,412
3,000 Birmingham Baptist Med Ctr AL
Spl Care Fac Fin Auth Rev
Baptist Hlth Sys, Ser A ........................................... 5.000 11/15/30 2,587,410
2,000 Birmingham Baptist Med Ctr AL
Spl Care Fac Fin Auth Rev
Baptist Hlth Sys, Ser A ........................................... 5.875 11/15/24 1,989,440
1,900 Huntsville-Redstone Vlg, AL Spl
Care Fac Fin Auth Redstone Vlg
Proj .............................................................. 5.500 01/01/43 1,513,521
4 Mobile, AL Indl Dev Brd Solid
Waste Disp Rev Mobile Energy
Svc Co Proj Rfdg .................................................. 6.950 01/01/20 346
1,000 Valley, AL Spl Care Fac Fin Auth
Rev Lanier Mem Hosp, Ser A ........................................ 5.600 11/01/16 1,001,350
---------------
9,486,479
---------------
ALASKA 0.6%
4,250 Northern Tob Sec Corp AK Tob
Settlement, Ser A ................................................. 5.000 06/01/46 3,011,593
---------------
ARIZONA 3.4%
5,000 Glendale, AZ Indl Dev Auth John
C Lincoln Hlth Rfdg, Ser B ........................................ 5.000 12/01/37 4,240,700
4,500 Maricopa Cnty, AZ Hosp Rev Sun
Hlth Corp ......................................................... 5.000 04/01/35 3,899,295
1,555 Pima Cnty, AZ Indl Dev Auth Indl
Rev Lease Oblig Irvington Proj
Tucson Rfdg, Ser A (FSA
Insd) ............................................................. 7.250 07/15/10 1,564,594
1
ARIZONA (CONTINUED)
$ 2,500 Pima Cnty, AZ Indl Dev Auth Wtr
& Wastewtr Rev Global Wtr
Resh LLC Proj (AMT) ............................................... 6.550% 12/01/37 $ 2,228,400
2,685 South Campus Group LLC AZ Std
Hsg Rev AZ St Univ South
Campus Proj (MBIA Insd) ........................................... 5.625 09/01/35 2,660,889
4,000 University Med Ctr Corp AZ Hosp
Rev ............................................................... 5.000 07/01/35 3,497,760
---------------
18,091,638
---------------
ARKANSAS 0.6%
1,930 Arkansas St Cap Apprec College
Svg (b) ........................................................... * 06/01/16 1,408,591
2,000 Arkansas St Dev Fin Auth Rev St
Agy Fac Donaghey Plaza Proj
(FSA Insd) ........................................................ 5.000 06/01/34 1,999,860
---------------
3,408,451
---------------
CALIFORNIA 30.4%
725 Aliso Viejo, CA Cmnty Fac Dist
Spl Tax No 2005-01 Glenwood
at Aliso .......................................................... 6.000 09/01/38 711,587
6,000 Anaheim, CA Pub Fin Auth Lease
Rev Cap Apprec Sub Pub Impt
Proj, Ser C (FSA Insd) ............................................ * 09/01/19 3,505,980
7,195 Anaheim, CA Pub Fin Auth Lease
Rev Cap Apprec Sub Pub Impt
Proj, Ser C (FSA Insd) ............................................ * 09/01/21 3,703,914
1,300 Anaheim, CA Pub Fin Auth Lease
Rev Pub Impt Proj, Ser C (FSA
Insd) ............................................................. 6.000 09/01/16 1,480,908
2,095 Bay Area Govt Assn CA Rev Tax
Alloc CA Redev Pool, Ser A
(XLCA Insd) ....................................................... 5.250 09/01/35 1,968,336
2
CALIFORNIA (CONTINUED)
$ 1,160 Bay Area Toll Auth CA Toll Brdg
Rev San Francisco Bay Area,
Ser C (AMBAC Insd) (c)(d) ......................................... 7.000% 04/01/37 $ 1,160,000
3,000 California Cnty, CA Tob Sec Agy
Tob LA Cnty Sec (e) ............................................... 0.000/5.250 06/01/21 2,249,580
2,050 California Cnty, CA Tob Sec Agy
Tob Merced Cnty Rfdg, Ser A ....................................... 5.125 06/01/38 1,548,652
1,000 California Cnty, CA Tob Sec Agy
Tob Merced Cnty Rfdg, Ser A ....................................... 5.250 06/01/45 757,220
6,000 California Hsg Fin Agy Rev Home
Mtg, Ser G (AMT) (a) .............................................. 4.950 08/01/23 5,634,570
4,000 California Hsg Fin Agy Rev Home
Mtg, Ser G (AMT) (a) .............................................. 5.050 02/01/29 3,756,380
7,100 California Hsg Fin Agy Rev Home
Mtg, Ser I (AMT) (a) .............................................. 4.800 08/01/36 6,573,807
3,550 California Hsg Fin Agy Rev Home
Mtg, Ser K (AMT) (a) .............................................. 5.300 08/01/23 3,433,905
4,100 California Hsg Fin Agy Rev Home
Mtg, Ser K (AMT) (a) .............................................. 5.450 08/01/28 3,965,919
3,000 California Pollutn Ctl Fin Auth
Solid Waste Disp Rev Waste
Mgmt Inc Proj, Ser C (AMT) (d) .................................... 5.125 11/01/23 2,571,840
95 California St (AMBAC Insd) ........................................... 5.125 10/01/27 95,036
850 California St Dept Wtr Res Wtr
Rev Cent Vly Proj, Ser AE (a) ..................................... 5.000 12/01/24 880,355
1,075 California St Dept Wtr Res Wtr
Rev Cent Vly Proj, Ser AE (a) ..................................... 5.000 12/01/25 1,113,391
1,075 California St Dept Wtr Res Wtr
Rev Cent Vly Proj, Ser AE (a) ..................................... 5.000 12/01/26 1,113,391
650 California St Dept Wtr Res Wtr
Rev Cent Vly Proj, Ser AE (a) ..................................... 5.000 12/01/27 673,212
1,075 California St Dept Wtr Res Wtr
Rev Cent Vly Proj, Ser AE (a) ..................................... 5.000 12/01/28 1,113,391
3
CALIFORNIA (CONTINUED)
$ 25 California St (Prerefunded @
2/01/12) .......................................................... 5.000% 02/01/19 $ 26,863
5,000 California St Pub Wks Brd Dept
Gen Svc Cap East End, Ser A
(AMBAC Insd) ...................................................... 5.125 12/01/21 5,082,500
4,000 California St Pub Wks Brd Lease
Rev Dept of Corrections St
Prisons Rfdg, Ser A (AMBAC
Insd) ............................................................. 5.000 12/01/19 4,125,920
6,000 California St Pub Wks Brd Lease
Rev Dept of Corrections St
Prisons Rfdg, Ser A (AMBAC
Insd) ............................................................. 5.250 12/01/13 6,314,580
3,750 California St Pub Wks Brd Lease
Rev Dept of Mental Hlth
Coalinga, Ser A ................................................... 5.000 06/01/24 3,764,812
4,600 California St Pub Wks Brd Lease
Rev Var Univ CA Proj Rfdg, Ser A .................................. 5.500 06/01/10 4,773,144
5,905 California St Pub Wks Brd Lease
Rev Var Univ CA Proj Rfdg, Ser A .................................. 5.500 06/01/14 6,410,055
8,920 California St Vet, Ser CD
(AMT) (a) ......................................................... 4.600 12/01/32 8,193,928
6,500 California Statewide Cmnty Dev
Auth Rev Daughters of Charity
Hlth, Ser A ....................................................... 5.250 07/01/30 6,021,405
1,000 California Statewide Cmnty Dev
Auth Rev Front Porch Cmnty &
Svc, Ser A (f) .................................................... 5.125 04/01/37 861,410
450 Daly City, CA Hsg Dev Fin Agy
Mobile Home Pk Rev Third Tier
Franciscan Rfdg, Ser C ............................................ 6.500 12/15/47 394,519
4
CALIFORNIA (CONTINUED)
$ 2,000 Florin, CA Res Consv Dist Cap
Impt Elk Grove Wtr Svc, Ser A
(MBIA Insd) ....................................................... 5.000% 09/01/33 $ 1,919,860
30,000 Foothill/Eastern Corridor Agy CA
Toll Rd Rev Cap Apprec Rfdg,
Ser A ............................................................. * 01/15/22 13,012,800
5,000 Foothill/Eastern Tran Corridor Agy
CA Toll Rd Rev (MBIA Insd) ........................................ * 01/15/18 2,844,550
4,000 Golden St Tob Sec Corp CA Tob
Settlement Rev Asset Bkd Sr,
Ser A-1 ........................................................... 5.750 06/01/47 3,285,200
3,850 Golden St Tob Sec Corp CA Tob
Settlement Rev Asset Bkd Sr,
Ser A-1 (a) ....................................................... 5.750 06/01/47 3,160,257
1,000 Hesperia, CA Pub Fin Auth Rev
Redev & Hsg Proj, Ser A (XLCA
Insd) ............................................................. 5.000 09/01/31 902,400
3,350 Imperial Irr Dist CA Ctf Part Elec
Sys Proj (FSA Insd) (g) ........................................... 5.250 11/01/19 3,521,219
3,950 Los Angeles, CA Dept Wtr & Pwr,
Ser A (FGIC Insd) ................................................. 5.125 07/01/40 3,950,514
500 Morongo Band of Mission Indians
CA Enterprise Rev Indians
Enterprise Casino, Ser B (f) ...................................... 5.500 03/01/18 487,735
5,500 Port Oakland, CA, Ser L (FGIC
Insd) (AMT) ....................................................... 5.000 11/01/32 4,950,275
2,600 Quechan Indian Tribe Ft Yuma
Indian Reservation CA & Govt
Proj .............................................................. 7.000 12/01/27 2,485,366
9,000 Riverside Cnty, CA Asset Leasing
Corp Leasehold Rev Riverside
Cnty Hosp Proj (MBIA Insd) ........................................ * 06/01/21 4,686,480
5
CALIFORNIA (CONTINUED)
$ 13,880 San Joaquin Hills, CA Trans
Corridor Agy Toll Rd Rev Cap
Apprec Rfdg, Ser A (MBIA
Insd) ............................................................. * 01/15/28 $ 4,279,482
4,300 Tobacco Sec Auth Northn CA Tob
Settlement Rev Asset Bkd Bd,
Ser A-1 ........................................................... 5.500% 06/01/45 3,395,538
4,200 Tobacco Sec Auth Northn CA Tob
Settlement Rev, Ser A-1 ........................................... 5.375 06/01/38 3,302,166
1,000 Tobacco Sec Auth Southn CA
Tob Settlement Sr, Ser A-1 ........................................ 5.000 06/01/37 742,720
14,000 Tobacco Sec Auth Southn CA
Tob Settlement Sr, Ser A-1 ........................................ 5.125 06/01/46 10,353,840
---------------
161,260,912
---------------
COLORADO 5.1%
1,945 Colorado Ed & Cultural Fac Auth
Rev Charter Sch Pinnacle Impt
& Rfdg (XLCA Insd) ................................................ 5.250 06/01/23 1,942,860
1,200 Colorado Hlth Fac Auth Hlth &
Residential Care Fac Volunteers
of Amer Care, Ser A ............................................... 5.300 07/01/37 975,432
3,000 Colorado Hlth Fac Auth Rev
Catholic Hlth Initiatives, Ser A (b) .............................. 5.500 03/01/32 3,157,950
5,425 Colorado Hlth Fac Auth Rev
Catholic Hlth, Ser C5 (FSA
Insd) (a) ......................................................... 5.000 09/01/36 5,368,334
4,250 Colorado Hlth Fac Auth Rev
Covenant Retirement Cmnty Inc ..................................... 5.000 12/01/35 3,486,105
2,700 Colorado Hlth Fac Auth Rev Hlth
Fac Evangelical Lutheran .......................................... 5.000 06/01/35 2,371,167
6
COLORADO (CONTINUED)
$ 2,000 Colorado Hlth Fac Auth Rev Hosp
North CO Med Ctr (MBIA
Insd) (c)(d) ...................................................... 8.000% 05/15/20 $ 2,000,000
2,250 Colorado Hlth Fac Auth Rev Hosp
Portercare Adventist Hlth
(Prerefunded @ 11/15/11) .......................................... 6.500 11/15/31 2,529,113
1,500 Colorado Hlth Fac Auth Rev Hosp
Valley View Assn Proj ............................................. 5.125 05/15/37 1,300,800
30 Colorado Hsg Fin Auth Single
Family Pgm Sr, Ser A2 (AMT) ....................................... 7.250 05/01/27 30,499
9 Colorado Hsg Fin Auth Single
Family Pgm Sr, Ser B1 (AMT) ....................................... 7.650 11/01/26 9,174
1,330 Denver, CO City & Cnty Arpt Rev,
Ser D (AMT) ....................................................... 7.750 11/15/13 1,440,536
1,700 Salida, CO Hosp Dist Rev ............................................. 5.250 10/01/36 1,356,107
1,500 University CO Hosp Auth Rev,
Ser A ............................................................. 5.000 11/15/37 1,310,850
---------------
27,278,927
---------------
CONNECTICUT 0.3%
900 Connecticut St Dev Auth Solid
Waste Disp Fac Rev Pseg Pwr
LLC Proj, Ser A (AMT) ............................................. 5.750 11/01/37 855,405
675 Mashantucket Western Pequot
Tribe CT 2006 Sub Spl Rev Bd,
Ser A (f) ......................................................... 5.500 09/01/36 568,964
---------------
1,424,369
---------------
DISTRICT OF COLUMBIA 2.5%
850 District Columbia Wtr & Swr Auth
Pub Util Rev Rfdg Sub Lien, Ser
A (AGL Insd) (a) .................................................. 5.000 10/01/29 848,755
7
DISTRICT OF COLUMBIA (CONTINUED)
$ 1,725 District Columbia Wtr & Swr Auth
Pub Util Rev Rfdg Sub Lien, Ser
A (AGL Insd) (a) .................................................. 5.000% 10/01/34 $ 1,722,472
5,500 District Columbia Wtr & Swr Auth
Pub Util Rev Sub Lien, Ser A
(FSA Insd) (a) .................................................... 5.500 10/01/41 5,716,260
5,000 Metropolitan Washington DC Arpt
Auth Sys, Ser A (FGIC Insd)
(AMT) ............................................................. 5.250 10/01/32 4,725,100
---------------
13,012,587
---------------
FLORIDA 13.4%
1,000 Alachua Cnty, FL Indl Dev Rev
North FL Retirement Vlg ........................................... 5.875 11/15/36 870,910
700 Alachua Cnty, FL Indl Dev Rev
North FL Retirement Vlg ........................................... 5.875 11/15/42 602,847
375 Beacon Lakes, FL Cmnty Dev FL
Spl Assmt, Ser A .................................................. 6.000 05/01/38 313,493
250 Beacon Lakes, FL Cmnty Dev FL
Spl Assmt Sub, Ser B .............................................. 6.200 05/01/38 209,070
1,450 Brevard Cnty, FL Hlth Fac Auth
Residential Care Fac Rev Buena
Vida Estates Inc .................................................. 6.750 01/01/37 1,390,797
570 Escambia Cnty, FL Hlth Fac Auth
Rev (AMBAC Insd) .................................................. 5.950 07/01/20 602,963
3,425 Florida Hsg Fin Corp Rev, Ser 6
(AMT) (a) ......................................................... 4.625 07/01/31 3,200,639
2,455 Florida Hsg Fin Corp Rev, Ser 6
(AMT) (a) ......................................................... 4.700 07/01/37 2,294,180
1,305 Florida St Tpk Auth Tpk Rev Dept
Trans Rfdg, Ser A (a) ............................................. 5.000 07/01/26 1,326,912
1,325 Florida St Tpk Auth Tpk Rev Dept
Trans Rfdg, Ser A (a) ............................................. 5.000 07/01/27 1,347,247
8
FLORIDA (CONTINUED)
$ 1,440 Florida St Tpk Auth Tpk Rev Dept
Trans Rfdg, Ser A (a) ............................................. 5.000% 07/01/28 $ 1,464,178
2,500 Florida St Tpk Auth Tpk Rev Dept
Trans Rfdg, Ser A (a) ............................................. 5.000 07/01/32 2,541,977
6,450 Fort Lauderdale, FL Wtr & Swr
Rev (a) ........................................................... 5.000 09/01/32 6,516,958
3,000 Halifax Hosp Med Ctr FL Hosp
Rev Impt Rfdg, Ser A .............................................. 5.250 06/01/26 2,814,720
960 Highlands, FL Cmnty Dev Dist Spl
Assmt ............................................................. 5.550 05/01/36 742,176
1,075 Hillsborough Cnty, FL Aviation
Auth Rev, Ser A (AGL Insd)
(AMT) (a) ......................................................... 5.375 10/01/33 1,078,733
2,425 Hillsborough Cnty, FL Aviation
Auth Rev, Ser A (AGL Insd)
(AMT) (a) ......................................................... 5.500 10/01/38 2,433,420
800 Hillsborough Cnty, FL Indl Dev
Auth Pollutn Ctl Rev
Hillsborough Cnty Ida Rfdg
(AMBAC Insd) (d) .................................................. 5.000 12/01/34 808,480
900 Hillsborough Cnty, FL Indl Dev
Auth Pollutn Ctl Rev Tampa
Elec, Ser B (d) ................................................... 5.150 09/01/25 913,410
3,980 Jacksonville, FL Port Auth (MBIA
Insd) (AMT) ....................................................... 5.700 11/01/30 3,881,654
2,780 Jacksonville, FL Port Auth (MBIA
Insd) (Prerefunded @ 11/01/10)
(AMT) ............................................................. 5.700 11/01/30 2,968,345
750 Main Str Cmnty Dev Dist FL Cap
Impt Rev, Ser A ................................................... 6.800 05/01/38 704,175
475 Main Str Cmnty Dev Dist FL Cap
Impt Rev, Ser B ................................................... 6.900 05/01/17 463,842
9
FLORIDA (CONTINUED)
$ 11,500 Miami-Dade Cnty, FL Aviation Rev
Miami Intl Arpt (AGL Insd)
(AMT) ............................................................. 5.375% 10/01/32 $ 11,099,570
695 Midtown Miami, FL Cmnty Dev FL
Spl Assmt Rev, Ser A .............................................. 6.000 05/01/24 636,335
5,000 Ocoee, FL Wtr & Swr Sys Rev
Impt & Rfdg (AMBAC Insd) .......................................... 5.125 10/01/33 5,018,750
900 Orange Cnty, FL Hlth Fac Auth
Rev First Mtg Orlando Lutheran
Tower ............................................................. 5.500 07/01/32 752,922
925 Orange Cnty, FL Hlth Fac Auth
Rev Hlthcare Orlando Lutheran
Rfdg .............................................................. 5.375 07/01/20 830,687
1,250 Palm Beach Cnty, FL Hlth Fac
Auth Rev Wtrford Proj ............................................. 5.875 11/15/37 1,154,250
2,100 Port Saint Lucie, FL Spl Assmt
Rev Southwest Annexation Dist,
Ser 1-B (MBIA Insd) ............................................... 5.000 07/01/33 2,061,759
3,500 Putnam Cnty, FL Dev Auth Pollutn
Ctl Rev Rfdg Seminole Proj, Ser
A (AMBAC Insd) (d) ................................................ 5.350 03/15/42 3,470,355
495 Reunion East Cmnty Dev Dist FL
Spl Assmt ......................................................... 5.800 05/01/36 404,880
500 Seminole Tribe, FL Spl Oblig Rev,
Ser A (f) ......................................................... 5.250 10/01/27 446,960
1,050 Seven Oaks, FL Cmnty Dev Dist II
Spl Assmt Rev, Ser A .............................................. 5.875 05/01/35 860,811
900 Sterling Hill Cmnty Dev Dist FL
Cap Impt Rev, Ser A ............................................... 6.200 05/01/35 901,827
1,000 Tolomato Cmnty, FL Dev Dist Spl
Assmt ............................................................. 6.550 05/01/27 996,130
1,550 Tolomato Cmnty, FL Dev Dist Spl
Assmt ............................................................. 6.650 05/01/40 1,542,684
10
FLORIDA (CONTINUED)
$ 1,180 Volusia Cnty, FL Ed Fac Auth Rev
Ed Fac Embry Riddle Aero, Ser A ................................... 5.750% 10/15/29 $ 1,159,326
575 World Comm Cmnty Dev Dist FL
Spl Assmt ......................................................... 5.500 05/01/38 450,806
---------------
71,279,178
---------------
GEORGIA 4.1%
4,000 Atlanta, GA Arpt Passenger Fac
Charge Rev Gen Sub Lien, Ser
C (FSA Insd) (a) .................................................. 5.000 01/01/33 4,002,120
5,000 Georgia Muni Elec Auth Pwr Rev,
Ser B (FGIC Insd) (b) ............................................. 5.700 01/01/19 5,642,200
2,000 Georgia St Rd & Twy Auth Rev ......................................... 5.000 10/01/19 2,101,840
595 Marietta, GA Dev Auth Rev First
Mtg Life College, Ser B (FSA
Insd) ............................................................. 5.375 09/01/09 596,517
6,740 Municipal Elec Auth GA Comb
Turbine Proj, Ser A (MBIA
Insd) ............................................................. 5.250 11/01/20 7,011,824
1,700 Putnam Cnty, GA Dev Auth
Pollutn Ctl Rev GA Pwr Co, Ser 1 .................................. 5.100 06/01/23 1,677,271
1,000 Richmond Cnty, GA Dev Auth
ASU Jaguar Student Hsg LLC,
Ser A ............................................................. 5.250 02/01/35 929,840
---------------
21,961,612
---------------
HAWAII 2.0%
10,430 Hawaii St Dept Budget & Fin Spl
Purp Rev Hawaiian Elec Co Inc,
Ser A (MBIA Insd) (AMT) ........................................... 5.650 10/01/27 10,404,864
---------------
11
IDAHO 0.2%
$ 995 Idaho Hlth Fac Auth Rev Vly Vista
Care Corp Rfdg .................................................... 6.125% 11/15/27 $ 914,504
---------------
ILLINOIS 19.0%
1,450 Bartlett, IL Tax Increment Rev
Quarry Redev Proj Rfdg ............................................ 5.600 01/01/23 1,372,396
1,710 Bolingbrook, IL Cap Apprec Rfdg,
Ser C (MBIA Insd) (g) ............................................. * 01/01/29 575,005
1,365 Bolingbrook, IL Cap Apprec, Ser B
(MBIA Insd) ....................................................... * 01/01/32 351,378
8,675 Chicago, IL Brd Ed Rfdg, Ser C
(FSA Insd) (a) .................................................... 5.000 12/01/27 8,885,664
6,000 Chicago, IL Lakefront Millenium
Pkg Fac (MBIA Insd)
(Prerefunded @ 1/01/12) ........................................... 5.750 01/01/29 6,645,420
7,200 Chicago, IL O'Hare Intl Arpt Rev
Gen Arpt Third Lien, Ser A
(AGC Insd) (a) .................................................... 5.250 01/01/24 7,408,944
17,000 Chicago, IL O'Hare Intl Arpt Rev
Gen Arpt Third Lien, Ser A
(AGC Insd) (a) .................................................... 5.250 01/01/25 17,429,335
1,290 Chicago, IL O'Hare Intl Arpt Rev
Gen Arpt Third Lien, Ser A
(AGC Insd) (a) .................................................... 5.250 01/01/26 1,321,206
4,400 Chicago, IL O'Hare Intl Arpt Rev,
Ser A (FSA Insd) (a) .............................................. 5.000 01/01/33 4,332,790
3,500 Chicago, IL, Ser A (AGL Insd) (a) .................................... 5.250 01/01/25 3,657,185
2,700 Chicago, IL, Ser A (AGL Insd) ........................................ 5.250 01/01/25 2,813,913
3,345 Cook Cnty, IL Sch Dist No. 100
Berwyn South, Ser D (FSA
Insd) ............................................................. 5.500 12/01/23 3,568,914
1,000 Illinois Dev Fin Auth Rev Cmnty
Rehab Providers Fac, Ser A ........................................ 7.375 07/01/25 1,048,750
12
ILLINOIS (CONTINUED)
$ 1,200 Illinois Fin Auth Rev Christian
Homes Inc Rfdg, Ser A ............................................. 5.750% 05/15/26 $ 1,055,784
250 Illinois Fin Auth Rev Christian
Homes Inc Rfdg, Ser A ............................................. 5.750 05/15/31 213,753
1,000 Illinois Fin Auth Rev IL Fin Auth
Roosevelt Univ .................................................... 5.500 04/01/37 944,920
1,500 Illinois Fin Auth Rev IL Inst of
Technology, Ser A ................................................. 5.000 04/01/31 1,388,760
5,000 Illinois Fin Auth Rev Osf Hlthcare
Sys, Ser A ........................................................ 5.750 11/15/37 4,992,450
2,000 Illinois Fin Auth Rev Resurrection
Hlthcare, Ser A (FSA Insd) ........................................ 5.500 05/15/24 2,019,420
1,000 Illinois Fin Auth Rev Sherman Hlth
Sys 2007, Ser A ................................................... 5.500 08/01/37 925,230
1,335 Illinois Fin Auth Solid Waste Rev
Disp Waste Mgmt Inc Proj, Ser
A (AMT) ........................................................... 5.050 08/01/29 1,098,905
2,725 Illinois Hlth Fac Auth Rev
Children's Mem Hosp (MBIA
Insd) ............................................................. 6.250 08/15/13 2,924,361
1,485 Illinois Hlth Fac Auth Rev
Evangelical Hosp Rfdg, Ser A
(FSA Insd) (b)(g) ................................................. 6.750 04/15/17 1,739,336
825 Illinois Hlth Fac Auth Rev
Evangelical Hosp, Ser C (FSA
Insd) ............................................................. 6.750 04/15/17 966,298
3,400 Illinois St First Ser (FSA Insd) ..................................... 5.250 04/01/27 3,488,910
2,070 Northern IL Univ Ctf Part Hoffman
Estates Ctr Proj (FSA Insd) ....................................... 5.400 09/01/16 2,249,179
130 Peoria, Moline & Freeport, IL Coll
Mtg, Ser A (GNMA
Collateralized) (AMT) ............................................. 7.600 04/01/27 132,483
13
ILLINOIS (CONTINUED)
$ 5,000 Regional Trans Auth IL, Ser A
(AMBAC Insd) ...................................................... 8.000% 06/01/17 $ 6,405,900
10,000 Will Cnty, IL Sch Dist No. 122
Rfdg, Ser B (FGIC Insd) ........................................... 5.250 11/01/20 10,363,800
575 Will-Kankakee Regl Dev Auth IL
Multi-Family Hsg Rev Sr Estates
Supportive Living (AMT) ........................................... 7.000 12/01/42 546,060
---------------
100,866,449
---------------
INDIANA 6.4%
1,535 Indiana Hlth & Ed Fac Fin Auth
Hosp Rev Clarian Hlth Oblig,
Ser A ............................................................. 5.000 02/15/36 1,382,621
4,600 Indiana Hlth & Ed Fac Fin Auth
Rev Ascension Hlth Sr Cr
B-6 (a) ........................................................... 5.000 11/15/36 4,437,781
3,000 Indiana Hlth Fac Fin Auth Hosp
Rev Columbus Regl Hosp Rfdg
(FSA Insd) ........................................................ 7.000 08/15/15 3,411,510
1,500 Indiana St Dev Fin Auth Rev
Exempt Fac Conv Rfdg (AMT) ........................................ 5.950 08/01/30 1,452,675
10,000 Indiana St Hsg & Cmnty Dev Auth
Single Family Mtg Rev Mtg, Ser
D-1 (GNMA Collateralized)
(AMT) (a) ......................................................... 4.625 07/01/38 9,414,519
2,000 Petersburg, IN Pollutn Ctl Rev IN
Pwr & Lt (AMT) .................................................... 5.950 12/01/29 1,894,740
8,500 Saint Joseph Cnty, IN Hosp Auth
Hlth Sys Rev Rfdg Mem Hlth
Sys (AMBAC Insd) (c)(d) ........................................... 7.000 08/15/33 8,500,000
2,850 Southwest Parke Cmnty Sch Bldg
First Mtg (FGIC Insd) (g) ......................................... 5.250 07/15/21 2,984,007
14
INDIANA (CONTINUED)
$ 500 Vigo Cnty, IN Hosp Auth Rev Un
Hosp Inc (f) ...................................................... 5.750% 09/01/42 $ 428,630
---------------
33,906,483
---------------
IOWA 0.9%
1,600 Pottawattamie Cnty, IA Rev
Christian Homes Inc Rfdg, Ser E ................................... 5.750 05/15/26 1,395,024
375 Sibley, IA Hlthcare Fac Rev
Osceola Cmnty Hosp Proj ........................................... 6.000 12/01/37 334,230
1,500 Tobacco Settlement Auth IA Tob
Settlement Rev Asset Bkd, Ser C ................................... 5.375 06/01/38 1,165,725
2,500 Tobacco Settlement Auth IA Tob
Settlement Rev, Ser C ............................................. 5.500 06/01/42 1,945,400
---------------
4,840,379
---------------
KANSAS 1.8%
1,500 Burlington, KS Environmental Impt
Rev KC Rfdg Pwr LT, Ser B
(XLCA Insd) (d) ................................................... 5.000 12/01/23 1,527,615
3,430 Kansas St Dev Fin Auth Rev KS
Proj, Ser N (AMBAC Insd) (g) ...................................... 5.250 10/01/20 3,567,611
3,615 Kansas St Dev Fin Auth Rev KS
Proj, Ser N (AMBAC Insd) (g) ...................................... 5.250 10/01/21 3,789,460
800 Olathe, KS Sr Living Fac Rev
Catholic Care Campus Inc, Ser A ................................... 6.000 11/15/38 715,864
---------------
9,600,550
---------------
KENTUCKY 1.0%
5,430 Louisville & Jefferson Cnty, KY
Metro Govt Hlth Sys Rev Norton
Hlthcare Inc (a) .................................................. 5.000 10/01/30 4,892,451
15
KENTUCKY (CONTINUED)
$ 500 Mount Sterling, KY Lease Rev KY
League Cities Fdg, Ser B .......................................... 6.100% 03/01/18 $ 565,570
---------------
5,458,021
---------------
LOUISIANA 6.2%
5,000 Lafayette, LA Util Rev (MBIA Insd) ................................... 5.250 11/01/21 5,233,850
2,500 Louisiana Loc Govt Environment
Fac Pkg Fac Corp Garage Proj,
Ser A (AMBAC Insd) ................................................ 5.375 10/01/31 2,528,425
5,970 Louisiana Loc Govt Environment
Southeastn LA Student Hsg,
Ser A (MBIA Insd) (g) ............................................. 5.250 08/01/24 6,052,744
1,400 Louisiana Pub Fac Auth Rev Hlth
Fac Glen Retirement, Ser A ........................................ 6.700 12/01/25 1,400,812
5,600 Louisiana St Gas & Fuels Tax
Rev, Ser A (FSA Insd) (a) ......................................... 5.000 05/01/36 5,586,504
4,000 New Orleans, LA Rfdg (FGIC Insd) ..................................... 5.500 12/01/21 3,904,520
6,000 New Orleans, LA Rfdg (MBIA Insd) ..................................... 5.125 09/01/21 5,946,180
2,100 Rapides Fin Auth LA Rev Cleco
Pwr Proj (AMT) (d) ................................................ 5.250 11/01/37 2,080,134
---------------
32,733,169
---------------
MARYLAND 2.6%
5,000 Maryland St Econ Dev Corp MD
Aviation Admin Fac (FSA Insd)
(AMT) ............................................................. 5.375 06/01/20 4,950,050
2,000 Maryland St Hlth & Higher Ed Fac
Auth Rev MD Inst College of Art ................................... 5.000 06/01/40 1,750,420
2,350 Maryland St Hlth & Higher Ed Fac
Auth Rev Mercy Med Ctr, Ser A ..................................... 5.500 07/01/42 2,171,799
16
MARYLAND (CONTINUED)
$ 1,000 Maryland St Hlth & Higher Ed Fac
Auth Rev Washington Cnty Hosp ..................................... 5.750% 01/01/38 $ 961,590
4,000 Maryland St Trans Auth Arpt
Baltimore/WA Intl Arpt, Ser B
(AMBAC Insd) (AMT) ................................................ 5.125 03/01/24 3,814,000
---------------
13,647,859
---------------
MASSACHUSETTS 4.5%
1,200 Massachusetts Bay Tran Auth MA
Gen Tran Sys Rfdg, Ser A .......................................... 6.250 03/01/12 1,332,828
2,000 Massachusetts Muni Whsl Elec
Co Pwr Supply Sys Rev Proj
No. 6-A, Ser A (MBIA Insd) ........................................ 5.250 07/01/16 2,085,040
450 Massachusetts St Dev Fin Agy
Rev Linden Ponds Inc Fac, Ser A ................................... 5.750 11/15/35 388,935
370 Massachusetts St Hlth & Ed Fac
Auth Rev Hlthcare Sys
Covenant (Prerefunded @
1/01/12) .......................................................... 6.000 07/01/31 409,823
1,380 Massachusetts St Hlth & Ed Fac
Auth Rev Hlthcare Sys
Covenant (Prerefunded @
1/01/12) .......................................................... 6.000 07/01/31 1,410,567
1,930 Massachusetts St Hlth & Ed Fac
Auth Rev Saint Mem Med Ctr,
Ser A ............................................................. 6.000 10/01/23 1,860,096
5,450 Massachusetts St Hlth & Ed Fac
Auth Rev Univ MA Mem Issue,
Ser D ............................................................. 5.000 07/01/33 4,718,065
2,500 Massachusetts St Hsg Fin Agy
Hsg Rev Single Family, Ser 130
(AMT) ............................................................. 5.000 12/01/37 2,141,425
17
MASSACHUSETTS (CONTINUED)
$ 925 Massachusetts St Indl Fin Agy
Wtr Treatment Amern Hingham
(AMT) ............................................................. 6.900% 12/01/29 $ 926,702
925 Massachusetts St Indl Fin Agy
Wtr Treatment Amern Hingham
(AMT) ............................................................. 6.950 12/01/35 926,739
7,750 Massachusetts St Sch Bldg Auth
Dedicated Sales Tax Rev, Ser A
(AMBAC Insd) (a) .................................................. 4.500 08/15/35 7,529,889
---------------
23,730,109
---------------
MICHIGAN 3.5%
2,790 Detroit, MI Wtr Supply Sys Rev Sr
Lien Rfdg, Ser C (MBIA
Insd) (g) ......................................................... 5.250 07/01/19 2,865,805
2,000 Grand Rapids, MI Wtr Supply
(FGIC Insd) ....................................................... 5.750 01/01/15 2,111,420
4,000 Kent Hosp Fin Auth MI Rev Metro
Hosp Proj, Ser A .................................................. 6.000 07/01/35 3,699,440
1,000 Kent Hosp Fin Auth MI Rev
Spectrum Hlth, Ser A (d) .......................................... 5.250 01/15/47 1,043,120
500 Kent Hosp Fin Auth MI Rev
Spectrum Hlth, Ser A (d) .......................................... 5.500 01/15/47 525,930
3,000 Michigan Tob Settlement Fin Auth
Tob Settlement Asset Sr, Ser A .................................... 6.000 06/01/48 2,506,050
2,285 Taylor, MI Bldg Auth (AMBAC
Insd) (g) ......................................................... 6.000 03/01/13 2,520,309
3,090 Troy, MI Downtown Dev Auth Dev
Rfdg (MBIA Insd) .................................................. 5.500 11/01/15 3,280,344
---------------
18,552,418
---------------
MINNESOTA 1.0%
475 Chisago, MN Hlthcare Fac Rev
Cdl Homes LLC Proj ................................................ 6.000 08/01/42 439,874
18
MINNESOTA (CONTINUED)
$ 1,065 Duluth, MN Econ Dev Auth
Hlthcare Fac Rev Benedictine
Hlth Sys Saint Marys
(Prerefunded @ 2/15/14) ........................................... 5.250% 02/15/33 $ 1,166,399
1,000 Meeker Cnty, MN Gross Rev
Hosp Fac Mem Hosp Proj ............................................ 5.625 11/01/22 969,620
225 North Oaks, MN Sr Hsg Rev
Presbyterian Homes North
Oaks .............................................................. 6.000 10/01/27 214,047
650 North Oaks, MN Sr Hsg Rev
Presbyterian Homes North
Oaks .............................................................. 6.000 10/01/33 603,492
210 North Oaks, MN Sr Hsg Rev
Presbyterian Homes North
Oaks .............................................................. 6.125 10/01/39 196,127
900 Saint Paul, MN Hsg & Redev Auth
Hlthcare Fac Rev Hlth Partners
Oblig Grp Proj .................................................... 5.250 05/15/36 795,933
1,075 Saint Paul, MN Hsg & Redev Auth
Hosp Rev Hlth East Proj ........................................... 6.000 11/15/35 1,061,380
---------------
5,446,872
---------------
MISSISSIPPI 1.0%
1,405 Mississippi Dev Bk Spl Oblig Cap
Proj & Equip Acquisition, Ser A2
(AMBAC Insd) ...................................................... 5.000 07/01/24 1,376,254
1,550 Mississippi Dev Bk Spl Oblig
Madison Cnty Hosp Proj
(Prerefunded @ 7/01/09) ........................................... 6.400 07/01/29 1,646,999
2,595 Mississippi Dev Bk Spl Oblig MS
Ltd Oblig Hosp Impt (MBIA
Insd) (g) ......................................................... 5.250 07/01/32 2,519,226
---------------
5,542,479
---------------
19
MISSOURI 4.5%
$ 325 Cape Girardeau Cnty, MO Indl
Dev Auth Hlthcare Fac Rev
Southeast MO Hosp Assoc ........................................... 5.625% 06/01/27 $ 311,681
1,700 Cass Cnty, MO Hosp Rev ............................................... 5.625 05/01/38 1,550,672
1,250 Cole Cnty, MO Indl Dev Auth Sr
Living Fac Rev Lutheran Sr Svc
Heisinger Proj .................................................... 5.500 02/01/35 1,191,437
975 Maryland Heights, MO Tax
Increment Rev South Heights
Redev Proj Rfdg, Ser A ............................................ 5.500 09/01/18 943,829
4,625 Missouri Jt Mun Elec Util Comnty
Pwr Proj Rev Plum Point Proj
(MBIA Insd) ....................................................... 5.000 01/01/27 4,273,408
1,000 Missouri Jt Muni Elec Util Comnty
Pwr Proj Rev Plum Point Proj
(MBIA Insd) ....................................................... 5.000 01/01/26 933,750
2,500 Missouri St Dev Fin Brd
Infrastructure Fac Rev
Crackerneck Creek Proj, Ser C ..................................... 5.000 03/01/26 2,434,300
2,195 Missouri St Hlth & Ed Fac Rev
Univ MO Columbia Arena
Proj (g) .......................................................... 5.000 11/01/16 2,315,440
2,500 Platte Cnty, MO Neighborhood
Impt Parkville, Ser B (MBIA
Insd) ............................................................. 5.000 02/01/25 2,545,800
1,500 Saint Louis Cnty, MO Mtg Rev Ctf
Rcpt, Ser H (AMT) (b) ............................................. 5.400 07/01/18 1,612,575
700 Saint Louis, MO Indl Dev Auth
Tax Increment & Cmnty Impt
Dist Loughborough Com Rfdg ........................................ 5.750 11/01/27 653,268
20
MISSOURI (CONTINUED)
$ 570 Springfield, MO Pub Bldg Corp
Leasehold Rev Springfield
Branson Arpt, Ser B (AMBAC
Insd) (AMT) ....................................................... 4.550% 07/01/29 $ 478,561
2,030 Springfield, MO Pub Bldg Corp
Leasehold Rev Springfield
Branson Arpt, Ser B (AMBAC
Insd) (AMT) (a) ................................................... 4.550 07/01/29 1,687,529
3,360 Springfield, MO Pub Bldg Corp
Leasehold Rev Springfield
Branson Arpt, Ser B (AMBAC
Insd) (AMT) (a) ................................................... 4.600 07/01/36 2,793,151
---------------
23,725,401
---------------
NEBRASKA 1.8%
5,235 Omaha Pub Pwr Dist NE Elec
Rev Sys, Ser A (a) ................................................ 5.000 02/01/34 5,252,476
4,260 University NE Univ Rev Lincoln
Student Fees & Fac, Ser B ......................................... 5.000 07/01/23 4,353,379
---------------
9,605,855
---------------
NEVADA 3.1%
2,000 Clark Cnty, NV Econ Dev Rev
Alexander Dawson Sch Proj ......................................... 5.375 05/15/33 1,974,200
7,000 Clark Cnty, NV Indl Dev Rev
Southwest Gas Corp Proj, Ser A
(AMBAC Insd) (AMT) ................................................ 5.250 07/01/34 5,726,070
4,375 Las Vegas Vly, NV Wtr Dist Rfdg,
Ser B (MBIA Insd) ................................................. 5.000 06/01/27 4,423,912
3,000 Nevada Hsg Div Single Family
Mtg Rev, Ser A (GNMA
Collateralized) (AMT) ............................................. 5.875 04/01/38 2,943,960
1,750 Reno, NV Hosp Rev Renown Regl
Med Ctr Proj, Ser A (a) ........................................... 5.250 06/01/37 1,605,900
---------------
16,674,042
---------------
21
NEW HAMPSHIRE 0.6%
$ 1,000 New Hampshire Hlth & Ed Fac
Auth Rev Derryfield Sch
(Prerefunded @ 7/01/10) ........................................... 7.000% 07/01/30 $ 1,017,490
1,400 New Hampshire Hlth & Ed Fac
Hlthcare Sys Covenant Hlth ........................................ 5.500 07/01/34 1,303,260
950 New Hampshire St Bus Fin Auth
Wtr Fac Rev Pennichuck
Wtrwks Inc (AMBAC Insd)
(AMT) ............................................................. 6.300 05/01/22 955,691
---------------
3,276,441
---------------
NEW JERSEY 10.9%
1,000 New Jersey Econ Dev Auth Rev
Cig Tax ........................................................... 5.500 06/15/31 907,030
1,900 New Jersey Econ Dev Auth Rev
Cig Tax ........................................................... 5.750 06/15/29 1,785,696
1,225 New Jersey Econ Dev Auth Rev
Cig Tax ........................................................... 5.750 06/15/34 1,129,205
6,625 New Jersey Econ Dev Auth Rev
Mtr Veh Rev, Ser A (BHAC
Insd) (a) ......................................................... 5.250 07/01/26 7,139,235
2,210 New Jersey Econ Dev Auth Wtr
Fac Rev NJ Amern Wtr Co Inc,
Ser B (FGIC Insd) (AMT) ........................................... 5.375 05/01/32 2,040,051
4,350 New Jersey Econ Dev Wtr NJ
Amern Wtr Co Inc, Ser A (FGIC
Insd) (AMT) ....................................................... 5.250 07/01/38 4,035,060
2,500 New Jersey Hlthcare Fac Fin Auth
Rev Gen Hosp Ctr at Passaic
(FSA Insd) (b) .................................................... 6.750 07/01/19 2,996,175
1,650 New Jersey Hlthcare Fac Fin Auth
Rev Saint Peters Univ Hosp
Oblig ............................................................. 5.750 07/01/37 1,576,195
22
NEW JERSEY (CONTINUED)
$ 4,000 New Jersey St Hsg & Mtg Fin Agy
Rev Single Family Hsg, Ser X
(AMT) ............................................................. 5.100% 10/01/23 $ 3,828,600
10,750 Salem Cnty, NJ Indl Pollutn Ctl
Fin Auth Rev Pollutn Ctl Pub
Svc Elec & Gas, Ser A (MBIA
Insd) (AMT) ....................................................... 5.450 02/01/32 10,754,408
30,000 Tobacco Settlement Fin Corp NJ,
Ser 1A (a) ........................................................ 5.000 06/01/41 21,528,300
---------------
57,719,955
---------------
NEW MEXICO 0.3%
1,500 Jicarilla, NM Apache Nation Rev
Adj, Ser A (Acquired 10/23/03,
Cost $1,514,910) (h) .............................................. 5.000 09/01/18 1,541,640
---------------
NEW YORK 12.0%
7,000 Metropolitan Trans Auth NY Rev
Rfdg, Ser A (FGIC Insd) ........................................... 5.250 11/15/31 7,026,040
2,775 New York City Indl Dev Agy Rev
Liberty 7 World Trade Ctr Proj,
Ser B ............................................................. 6.750 03/01/15 2,822,203
5,000 New York, NY City Muni Wtr Fin
Auth Wtr & Swr Sys Rev, Ser D (a) ................................. 5.000 06/15/38 5,028,512
5,440 New York, NY Sub, Ser I-1 (a) ........................................ 5.000 02/01/26 5,555,573
7,575 New York St Dorm Auth Rev City
Univ Sys Cons, Ser A .............................................. 5.625 07/01/16 8,351,134
1,520 New York St Dorm Auth Rev Insd
John T Mather Mem Hosp
(Connie Lee Insd) (g) ............................................. 6.500 07/01/09 1,585,634
3,845 New York St Dorm Auth Rev Secd
Hosp Gen Hosp Rfdg ................................................ 5.750 02/15/20 4,100,154
23
NEW YORK (CONTINUED)
$ 1,000 New York St Mtg Agy Homeowner
Mtg Rev 145 (AMT) ................................................. 5.125% 10/01/37 $ 877,970
5,000 New York St Urban Dev Corp Rev
St Fac Rfdg ....................................................... 5.700 04/01/20 5,629,250
21,900 Port Auth NY & NJ Cons 144th
Ser (a) ........................................................... 5.000 10/01/35 22,162,382
675 Seneca Nation Indians Cap Impt
Auth NY Spl Oblig, Ser A (f) ...................................... 5.000 12/01/23 580,824
---------------
63,719,676
---------------
NORTH CAROLINA 0.5%
1,500 North Carolina Eastn Muni Pwr
Agy Pwr Sys Rev, Ser D ............................................ 6.700 01/01/19 1,561,125
1,000 North Carolina Med Care Commn
Retirement Fac Rev First Mtg
Southminster Proj, Ser A .......................................... 5.750 10/01/37 933,820
---------------
2,494,945
---------------
OHIO 7.0%
6,000 Buckeye, OH Tob Settlement Fin
Auth Asset Bkd Sr Turbo, Ser A-2 .................................. 5.750 06/01/34 4,967,160
5,000 Buckeye, OH Tob Settlement Fin
Auth Asset Bkd Sr Turbo, Ser A-2 .................................. 6.500 06/01/47 4,461,950
3,150 Cuyahoga Cnty, OH Hosp Fac
Rev Canton Inc Proj ............................................... 7.500 01/01/30 3,337,299
1,000 Dayton, OH Arpt Rev James M
Cox Dayton Rfdg, Ser C
(Radian Insd) (AMT) ............................................... 5.250 12/01/27 912,640
3,325 Lorain Cnty, OH Hosp Rev Fac
Catholic, Ser A (FSA Insd) (a) .................................... 5.000 02/01/24 3,396,845
3,350 Lorain Cnty, OH Hosp Rev Fac
Catholic, Ser B (FSA Insd) (a) .................................... 5.000 02/01/24 3,422,727
24
OHIO (CONTINUED)
$ 3,600 Lorain Cnty, OH Hosp Rev Fac
Catholic, Ser C-1 (FSA
Insd) (a) ......................................................... 5.000% 04/01/24 $ 3,677,922
1,625 Montgomery Cnty, OH Rev
Catholic Hlth, Ser C-1 (FSA
Insd) (a) ......................................................... 5.000 10/01/41 1,597,148
5,130 Muskingum Cnty, OH Hosp Fac
Rev Bethesda Care Sys Impt &
Rfdg (Connie Lee Insd) (g) ........................................ 6.250 12/01/10 5,195,766
5,000 Ohio St Air Quality Dev Auth Rev
Dayton Pwr (FGIC Insd)
(AMT) (a) ......................................................... 4.800 09/01/36 4,865,497
895 Toledo Lucas Cnty, OH Port Auth
Dev Rev Northwest OH Bd Fd,
Ser C (AMT) (g) ................................................... 6.600 11/15/15 912,739
440 Toledo Lucas Cnty, OH Port Auth
Northwest Bd Fd, Ser A
(AMT) (b) ......................................................... 6.000 05/15/11 450,534
---------------
37,198,227
---------------
OKLAHOMA 1.2%
1,650 Chickasaw Nation, OK Hlth Sys (f) .................................... 6.250 12/01/32 1,680,624
1,500 Jenks, OK Aquarium Auth Rev
First Mtg (MBIA Insd)
(Prerefunded @ 7/01/10) ........................................... 6.100 07/01/30 1,621,935
2,755 Tulsa Cnty, OK Pub Fac Auth
Cap Impt Rev (AMBAC Insd)
(Prerefunded @ 11/01/09) .......................................... 6.250 11/01/22 2,958,347
---------------
6,260,906
---------------
OREGON 2.2%
2,010 Emerald Peoples Util Dist OR
Rfdg (FGIC Insd) (g) .............................................. 7.350 11/01/09 2,119,424
25
OREGON (CONTINUED)
$ 4,000 Oregon Hlth Sciences Univ Insd,
Ser A (MBIA Insd) ................................................. 5.250% 07/01/22 $ 4,104,280
5,000 Oregon St Dept Admin Rfdg, Ser
C (MBIA Insd) ..................................................... 5.250 11/01/18 5,228,600
---------------
11,452,304
---------------
PENNSYLVANIA 3.7%
3,000 Allegheny Cnty, PA Hosp Dev
Auth Rev Hlth Sys West PA,
Ser A ............................................................. 5.000 11/15/28 2,394,690
1,125 Pennsylvania Econ Dev Fin Auth
Exempt Fac Rev Reliant Energy,
Ser B (AMT) (d) ................................................... 6.750 12/01/36 1,130,501
16,755 Pennsylvania St Pub Sch Bldg
Auth Lease Rev Sch Dist
Philadelphia Proj, Ser B (FSA
Insd) (a) ......................................................... 4.500 06/01/32 15,898,761
---------------
19,423,952
---------------
SOUTH CAROLINA 6.1%
3,125 Charleston Ed Excellence Fin
Corp SC Rev Charleston Cnty
Sch Dist (a) ...................................................... 5.250 12/01/25 3,169,844
9,375 Charleston Ed Excellence Fin
Corp SC Rev Charleston Cnty
Sch Dist (a) ...................................................... 5.250 12/01/26 9,509,531
3,115 Greenville, SC Impt & Rfdg (MBIA
Insd) (g) ......................................................... 5.250 04/01/21 3,208,201
1,015 Rock Hill, SC Util Sys Rev Comb
Rfdg, Ser C (FSA Insd) (g) ........................................ 5.000 01/01/11 1,054,098
1,100 South Carolina Jobs Econ Dev
Auth Hlth Fac Rev First Mtg
Wesley Com Rfdg ................................................... 5.300 10/01/36 876,293
26
SOUTH CAROLINA (CONTINUED)
$ 550 South Carolina Jobs Econ Dev
Auth Hlthcare Fac Rev First Mtg
Lutheran Homes Rfdg ............................................... 5.500% 05/01/28 $ 473,126
400 South Carolina Jobs Econ Dev
Auth Hlthcare Fac Rev First Mtg
Lutheran Homes Rfdg ............................................... 5.625 05/01/42 328,648
2,200 South Carolina Jobs Econ Dev
Auth Hosp Fac Rev Palmetto
Hlth Alliance Rfdg, Ser A ......................................... 6.250 08/01/31 2,224,398
6,500 South Carolina Jobs Econ Dev
Auth Indl Rev Elec & Gas Co
Proj, Ser A (AMBAC Insd) .......................................... 5.200 11/01/27 6,570,980
3,750 South Carolina Jobs Econ Dev
Auth Indl Rev Elec & Gas Co
Proj, Ser B (AMBAC Insd)
(AMT) ............................................................. 5.450 11/01/32 3,590,250
750 South Carolina Jobs Econ Dev
Auth Rev Woodlands At Furman
Proj, Ser A ....................................................... 6.000 11/15/42 645,600
1,000 Tobacco Settlement Rev Mgmt
Auth SC Tob Settlement Rev
Rfdg .............................................................. 5.000 06/01/18 969,720
---------------
32,620,689
---------------
SOUTH DAKOTA 0.5%
1,375 Deadwood, SD Ctf Partn (ACA
Insd) ............................................................. 6.375 11/01/20 1,440,849
1,000 South Dakota St Hlth & Ed Fac
Auth Rev Children's Care Hosp
Rfdg (Prerefunded @
11/01/09) ......................................................... 6.125 11/01/29 1,061,340
---------------
2,502,189
---------------
27
TENNESSEE 5.7%
$ 2,130 Chattanooga, TN Hlth Ed & Hsg
Fac Brd Rev CDFI Phase I LLC
Proj Rfdg, Ser A .................................................. 5.000% 10/01/25 $ 1,824,856
2,595 Chattanooga, TN Hlth Ed & Hsg
Fac Brd Rev CDFI Phase I LLC
Proj Rfdg, Ser A .................................................. 5.125 10/01/35 2,135,296
1,270 Elizabethton, TN Hlth & Ed Fac
Brd Rev Hosp First Mtg Impt &
Rfdg, Ser B (Prerefunded @
7/01/12) .......................................................... 8.000 07/01/33 1,440,446
6,000 Jackson, TN Hosp Rev Rfdg
Jackson Madison Hosp, Ser B
(AMBAC Insd) (c)(d) ............................................... 7.000 04/01/41 6,000,000
12,525 Johnson City, TN Hlth & Ed Fac
Brd Hosp Rev Cap Apprec First
Mtg Rfdg, Ser A (MBIA Insd) ....................................... * 07/01/26 4,855,191
4,800 Johnson City, TN Hlth & Ed Fac
Brd Hosp Rev First Mtg Mtn St
Hlth Rfdg, Ser A (MBIA-IBC
Insd) (Prerefunded @ 7/01/12) ..................................... 7.500 07/01/25 5,507,616
5,625 Johnson City, TN Hlth & Ed Fac
Brd Hosp Rev First Mtg Mtn St
Hlth, Ser A ....................................................... 5.500 07/01/36 5,118,919
3,100 Shelby Cnty, TN Hlth Ed & Hsg
Fac Brd Rev Methodist, Ser B
(FSA Insd) (a) .................................................... 5.250 09/01/27 3,170,153
---------------
30,052,477
---------------
TEXAS 20.6%
1,750 Alliance Arpt Auth Inc TX Spl Fac
Rev Rfdg FedEx Corp Proj
(AMT) ............................................................. 4.850 04/01/21 1,522,080
28
TEXAS (CONTINUED)
$ 2,335 Beaumont, TX Wtrwks & Swr Sys
(FGIC Insd) (Prerefunded @
9/01/10) .......................................................... 6.250% 09/01/14 $ 2,522,407
2,000 Brazos Cnty, TX Hlth Fac Dev
Oblig Grp ......................................................... 5.375 01/01/32 1,918,940
495 Brownsville, TX Util Sys Rev (b) ..................................... 7.375 01/01/10 521,012
890 Dallas Cnty, TX Flood Ctl Dist
Rfdg .............................................................. 6.750 04/01/16 938,149
775 Dallas-Fort Worth, TX Intl Arpt
Rev Jt, Ser C (MBIA Insd)
(AMT) ............................................................. 5.750 11/01/18 778,798
1,500 Dallas-Fort Worth, TX Intl Arpt
Rev Jt, Ser C (MBIA Insd)
(AMT) ............................................................. 6.000 11/01/23 1,506,450
8,000 Dallas-Fort Worth, TX Intl Arpt
Rev Rfdg & Impt, Ser A (BHAC
Insd) (AMT) ....................................................... 5.500 11/01/31 8,001,600
5,850 El Paso Cnty, TX Hosp Dist, Ser
A (AGL Insd) (a) .................................................. 5.000 08/15/37 5,763,689
2,750 Fort Bend, TX Indpt Sch Dist
Rfdg & Sch Bldg (PSF Gtd) (a) ..................................... 5.000 08/15/27 2,801,950
1,000 Harris Cnty, TX Hlth Fac Dev
Corp Hosp Rev Mem Hermann
Hlthcare, Ser A (Prerefunded @
6/01/11) .......................................................... 6.375 06/01/29 1,099,150
3,000 Houston, TX Arpt Sys Rev Sub
Lien, Ser A (FSA Insd) (AMT) ...................................... 5.625 07/01/30 3,008,190
5,000 Houston, TX Util Sys Rev Comb
First Lien, Ser A (FSA Insd) ...................................... 5.250 05/15/20 5,276,200
9,425 Houston, TX Util Sys Rev Rfdg
Comb First Lien, Ser A (FSA
Insd) (a) ......................................................... 5.000 11/15/36 9,353,926
29
TEXAS (CONTINUED)
$ 3,700 Judson, TX Indpt Sch Dist Sch
Bldg (AGL Insd) (a) ............................................... 5.000% 02/01/37 $ 3,639,302
5,000 Matagorda Cnty, TX Navig Dist
No. 1 Rev Houston Lt Rfdg
(AMBAC Insd) (AMT) ................................................ 5.125 11/01/28 4,531,400
2,000 Mesquite, TX Hlth Fac Dev Corp
Retirement Fac Christian Care
Ctr, Ser A (Prerefunded @
2/15/10) .......................................................... 7.625 02/15/28 2,176,840
1,500 Mesquite, TX Hlth Fac Dev
Retirement Fac Christian Care Ctr ................................. 5.625 02/15/35 1,335,000
3,500 Metropolitan Hlth Fac Dev Corp
TX Wilson N Jones Mem Hosp
Proj .............................................................. 7.250 01/01/31 3,544,555
1,000 Mission, TX Econ Dev Corp Solid
Waste Disp Rev Waste Mgmt
Inc Proj (AMT) (d) ................................................ 6.000 08/01/20 1,003,200
3,325 North Central, TX Hlth Fac Dev
Corp Rev Hosp Baylor Hlthcare
Sys Proj, Ser A ................................................... 5.125 05/15/29 3,289,123
1,250 North TX Twy Auth Rev Rfdg Sys
First Tier, Ser A ................................................. 5.625 01/01/33 1,244,175
1,000 North TX Twy Auth Rev Rfdg Sys
First Tier, Ser B ................................................. 5.625 01/01/28 1,012,710
1,000 North TX Twy Auth Rev Rfdg Sys
First Tier, Ser B ................................................. 6.000 01/01/26 1,046,040
1,250 North TX Twy Auth Rev Rfdg Sys
First Tier, Ser B ................................................. 6.000 01/01/27 1,302,850
3,200 North TX Twy Auth Rev Toll
Second Tier Rfdg, Ser F ........................................... 5.750 01/01/33 3,121,984
3,000 Prosper, TX Indpt Sch Dist (PSF
Gtd) .............................................................. 5.500 08/15/33 3,098,640
30
TEXAS (CONTINUED)
$ 3,960 Stafford, TX Econ Dev Corp
(FGIC Insd) ....................................................... 5.500% 09/01/30 $ 4,020,073
1,990 Stafford, TX Econ Dev Corp
(FGIC Insd) (g) ................................................... 6.000 09/01/19 2,191,806
1,000 Tarrant Cnty, TX Cultural Ed Fac
Fin Corp Retirement Fac
Buckingham Sr Living Cmnty Inc .................................... 5.625 11/15/27 891,080
2,800 Tarrant Cnty, TX Cultural Ed Fac
Fin Corp Retirement Fac
Buckingham Sr Living Cmnty Inc .................................... 5.750 11/15/37 2,407,888
8,500 Tarrant Cnty, TX Cultural Ed Fac
Fin Corp Retirement Fac
Buckner Retirement Svcs Inc
Proj .............................................................. 5.250 11/15/37 7,487,140
500 Tarrant Cnty, TX Cultural Ed Fac
Fin Corp Retirement Fac CC
Young Mem Hom Proj ................................................ 5.750 02/15/25 450,615
2,780 Tarrant Cnty, TX Hlth Fac Dev
Corp Hosp Rev Rfdg Cook
Childrens Med Ctr, Ser B (FSA
Insd) (a) ......................................................... 5.000 12/01/30 2,783,100
1,000 Texas St Dept Hsg & Cmnty
Affairs Single Family Rev Mtg,
Ser B (GNMA Collaterized) (AMT) ................................... 5.300 09/01/39 899,270
6,450 Texas St Trans Commn Mobility
Fd (a) ............................................................ 5.000 04/01/28 6,583,276
3,510 Texas St Wtr Fin Assistance .......................................... 5.500 08/01/35 3,574,935
31
TEXAS (CONTINUED)
$ 3,100 Tyler, TX Hlth Fac Dev Corp Hosp
Rev Rfdg & Impt East TX Med
Ctr Rfdg, Ser A ................................................... 5.375% 11/01/37 $ 2,678,183
---------------
109,325,726
---------------
UTAH 0.8%
4,950 Intermountain Pwr Agy UT Pwr
Supply Rev Rfdg, Ser A (FGIC
Insd) (b) ......................................................... * 07/01/17 3,389,364
875 Utah St Charter Sch Fin Auth
Charter Sch Rev Summit
Academy, Ser A .................................................... 5.800 06/15/38 812,499
---------------
4,201,863
---------------
VIRGINIA 2.4%
2,000 Fairfax Cnty, VA Ctf Partn ........................................... 5.300 04/15/23 2,047,240
550 Lexington, VA Indl Dev Auth
Residential Care Fac Rev Mtg
Kendal at Lexington, Ser A ........................................ 5.500 01/01/37 460,240
1,465 Richmond, VA Indl Dev Auth Govt
Fac Rev Bd (AMBAC Insd) ........................................... 5.000 07/15/17 1,541,971
1,520 Tobacco Settlement Fin Corp VA ....................................... 5.500 06/01/26 1,681,181
5,950 Virginia St Hsg Dev Auth Comwlth
Mtg, Ser B (AMT) (a) .............................................. 4.850 01/01/36 5,060,035
2,000 White Oak Vlg Shops VA Cmnty
Dev Auth Spl Assmt Rev
Special Assmt ..................................................... 5.300 03/01/17 1,908,960
---------------
12,699,627
---------------
WASHINGTON 3.0%
1,500 Kalispel Tribe Indians Priority Dist
WA Rev ............................................................ 6.625 01/01/28 1,416,690
3,000 Spokane, WA Pub Fac Dist Hotel
Motel & Sales Use Tax (MBIA
Insd) ............................................................. 5.250 09/01/33 3,019,170
32
WASHINGTON (CONTINUED)
$ 1,720 Washington St Hsg Fin Commn
Nonprofit Rev Custodial Rcpt
Wesley Homes, Ser
2007A-2027 (Acquired
05/07/08, Cost $1,720,000) (h) .................................... 6.000% 01/01/27 $ 1,673,233
9,855 Washington St Mtr Veh Fuel Tax
2007 B (FSA Insd) (g) ............................................. 5.000 07/01/27 10,041,654
---------------
16,150,747
---------------
WEST VIRGINIA 0.9%
2,500 Harrison Cnty, WV Cmnty Solid
Waste Disp Rev Allegheny
Energy Rfdg, Ser D (AMT) .......................................... 5.500 10/15/37 2,307,525
1,100 West Virginia St Hosp Fin Auth
Hosp Rev Thomas Hlth Sys .......................................... 6.000 10/01/20 1,083,588
1,500 West Virginia St Hosp Fin Auth
Hosp Rev Thomas Hlth Sys .......................................... 6.250 10/01/23 1,483,935
---------------
4,875,048
---------------
WISCONSIN 4.1%
10,000 Wisconsin Hsg & Econ Dev Auth
Home Ownership Rev, Ser A
(AMT) (a) ......................................................... 4.750 09/01/33 8,287,900
3,100 Wisconsin Hsg & Econ Dev Auth
Home Ownership Rev, Ser A
(AMT) (a) ......................................................... 5.300 09/01/23 3,004,009
3,600 Wisconsin Hsg & Econ Dev Auth
Home Ownership Rev, Ser A
(AMT) (a) ......................................................... 5.500 09/01/28 3,488,525
4,285 Wisconsin St Hlth & Ed Fac Auth
Rev Ministry Hlth (FSA Insd) (a) .................................. 5.000 08/01/34 4,145,358
33
WISCONSIN (CONTINUED)
$ 2,675 Wisconsin St Hlth & Ed Fac FH
Hlthcare Dev Inc Proj
(Prerefunded @ 11/15/09) .......................................... 6.250% 11/15/28 $ 2,846,735
---------------
21,772,527
---------------
WYOMING 0.5%
2,790 Sweetwater Cnty, WY Solid
Waste Disp Rev FMC Corp Proj
Rfdg (AMT) ........................................................ 5.600 12/01/35 2,480,701
---------------
PUERTO RICO 4.5%
21,000 Puerto Rico Comwlth Hwy &
Trans Auth Hwy Rev, Ser Y
(FSA Insd) (a) .................................................... 6.250 07/01/21 23,959,635
---------------
TOTAL LONG-TERM INVESTMENTS 209.2%
(Cost $1,147,110,931) ....................................................................................... 1,109,594,475
TOTAL SHORT-TERM INVESTMENTS 0.7%
(Cost $3,700,000) ........................................................................................... 3,700,000
---------------
TOTAL INVESTMENTS 209.9%
(Cost $1,150,810,931) ....................................................................................... 1,113,294,475
LIABILITY FOR FLOATING RATE NOTE OBLIGATIONS RELATED TO SECURITIES HELD (50.4%)
(Cost ($267,266,000))
(267,266) Notes with interest rates ranging from 2.23% to 2.76% at
July 31, 2008 and contractual maturities of collateral
ranging from 2021 to 2047(i) ...................................................................... (267,266,000)
---------------
TOTAL NET INVESTMENT 159.5%
(Cost $883,544,931) ......................................................................................... 846,028,475
OTHER ASSETS IN EXCESS OF LIABILITIES 3.9% .................................................................. 20,697,675
PREFERRED SHARES (INCLUDING ACCRUED DISTRIBUTIONS) (63.4%) ................................................... (336,190,911)
---------------
NET ASSETS APPLICABLE TO COMMON SHARES 100.0% ............................................................... $ 530,535,239
===============
Percentages are calculated as a percentage of net assets applicable to common
shares.
34
* Zero coupon bond
(a) Underlying security related to Inverse Floaters entered into by the Trust.
(b) Escrowed to Maturity
(c) Security includes a feature allowing the Fund an option on any interest
rate payment date to offer the security for sale at par. The sale is
contingent upon market conditions.
(d) Variable Rate Coupon
(e) Security is a "step-up" bond where the coupon increases or steps up at a
predetermined date.
(f) 144A-Private Placement security which is exempt from registration under
Rule 144A of the Securities Act of 1933, as amended. This security may only
be resold in transactions exempt from registration which are normally those
transactions with qualified institutional buyers.
(g) The Trust owns 100% of the outstanding bond issuance.
(h) Securities are restricted and may be resold only in transactions exempt
from registration which are normally those transactions with qualified
institutional buyers. Restricted securities comprise 0.6% of net assets
applicable to common shares.
(i) Floating rate notes. The interest rate shown reflects the rates in effect
at July 31, 2008.
ACA - American Capital Access
AGC - AGC Insured Custody Certificates
AGL - Assured Guaranty Ltd.
AMBAC - AMBAC Indemnity Corp.
AMT - Alternative Minimum Tax
BHAC - Berkshire Hathaway Assurance Corp.
Connie Lee - Connie Lee Insurance Co.
FGIC - Financial Guaranty Insurance Co.
FSA - Financial Security Assurance Inc.
GNMA - Government National Mortgage Association
MBIA - Municipal Bond Investors Assurance Corp.
MBIA-IBC - MBIA Insured Bond Certificates
PSF - Public School Fund
Radian - Radian Asset Assurance
XLCA - XL Capital Assurance Inc.
35
Item 2. Controls and Procedures.
(a) The Trust's principal executive officer and principal financial officer have
concluded that the Trust's disclosure controls and procedures are sufficient to
ensure that information required to be disclosed by the Trust in this Form N-Q
was recorded, processed, summarized and reported within the time periods
specified in the Securities and Exchange Commission's rules and forms, based
upon such officers' evaluation of these controls and procedures as of a date
within 90 days of the filing date of the report.
(b) There were no changes in the Trust's internal control over financial
reporting that occurred during the registrant's fiscal quarter that has
materially affected, or is reasonably likely to materially affect, the Trust's
internal control over financial reporting.
Item 3. Exhibits.
(a) A certification for the Principal Executive Officer of the registrant is
attached hereto as part of EX-99.cert.
(b) A certification for the Principal Financial Officer of the registrant is
attached hereto as part of EX-99.cert.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, the registrant has duly caused this report to be
signed on its behalf by the undersigned, thereunto duly authorized.
(Registrant) Van Kampen Advantage Municipal Income Trust II
By: /s/ Jerry W. Miller
---------------------------------
Name: Jerry W. Miller
Title: Principal Executive Officer
Date: September 18, 2008
Pursuant to the requirements of the Securities Exchange Act of 1934 and the
Investment Company Act of 1940, this report has been signed by the following
persons on behalf of the registrant and in the capacities and on the dates
indicated.
By: /s/ Jerry W. Miller
---------------------------------
Name: Jerry W. Miller
Title: Principal Executive Officer
Date: September 18, 2008
By: /s/ Stuart N. Schuldt
---------------------
Name: Stuart N. Schuldt
Title: Principal Financial Officer
Date: September 18, 2008