Edgar Filing: BLACKROCK MUNI INTERMEDIATE DURATION FUND INC

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT INVESTMENT COMPANIES

Investment Company Act file number 811-21348

Name of Fund: BlackRock Muni Intermediate Duration Fund, Inc. (MUI)

Fund Address: 100 Bellevue Parkway, Wilmington, DE 19809

Name and address of agent for service: John M. Perlowski, Chief Executive Officer, BlackRock Muni Intermediate Duration Fund, Inc., 55 East 52^nd Street, New York, NY 10055

Registrant’s telephone number, including area code: (800) 882-0052, Option 4

Date of fiscal year end: 04/30/2011

Date of reporting period: 04/30/2011

Item 1 – Report to Stockholders


	April 30, 2011


	Annual Report

	BlackRock MuniAssets Fund, Inc. (MUA)

	BlackRock MuniEnhanced Fund, Inc. (MEN)

	BlackRock MuniHoldings Fund, Inc. (MHD)

	BlackRock MuniHoldings Fund II, Inc. (MUH)

	BlackRock MuniHoldings Quality Fund, Inc. (MUS)

	BlackRock Muni Intermediate Duration Fund, Inc. (MUI)

	BlackRock MuniVest Fund II, Inc. (MVT)

Not FDIC Insured § No Bank Guarantee § May Lose Value

Table of Contents



	Page

Dear Shareholder	3
Annual Report:
Municipal Market Overview	4
Fund Summaries	5
The Benefits and Risks of Leveraging	12
Derivative Financial Instruments	12
Financial Statements:
Schedules of Investments	13
Statements of Assets and Liabilities	49
Statements of Operations	51
Statements of Changes in Net Assets	52
Statements of Cash Flows	54
Financial Highlights	55
Notes to Financial Statements	62
Report of Independent Registered Public Accounting Firm	71
Important Tax Information	72
Automatic Dividend Reinvestment Plans	73
Officers and Directors	74
Additional Information	78




2	ANNUAL REPORT	APRIL 30, 2011

Dear Shareholder

Time and again, we have seen how various global events and developing trends can have significant influence on financial markets. I hope you find that the following review of recent market conditions provides additional perspective on the performance of your investments as you read this shareholder report.

Over the past 12 months, we have seen a sluggish, stimulus-driven economic recovery at long last gain real traction, accelerate, and transition into a consumption-driven expansion. For the most part, 2010 was plagued with widely fluctuating economic data, but as the year drew to a close, it became clear that cyclical stimulus had beaten out structural problems as economic data releases generally became more positive and financial markets showed signs of continuing improvement. Although the sovereign debt crisis in Europe and high inflation in developing markets that troubled the global economy in 2010 remain challenges today, overall investor confidence has improved considerably. During the first four months of 2011, that confidence was shaken by political turmoil in the Middle East/North Africa region, soaring prices of oil and other commodities, tremendous natural disasters in Japan and a change in the ratings outlook for US debt. However, strong corporate earnings prevailed and financial markets resumed their course while the global economy continued to garner strength.

Equity markets experienced uneven growth and high volatility in 2010, but ended the year with gains. Following a strong start to 2011, the series of confidence-shaking events brought spurts of heightened volatility to markets worldwide, but was not enough to derail the bull market. Overall, global equities posted strong returns over the past 12 months. Emerging market equities, which had outperformed developed markets earlier in the period, fell prey to heightened inflationary pressures and underperformed developed markets later in the period. In the United States, strong corporate earnings and positive signals from the labor market were sources of encouragement for equity investors, although the housing market did not budge from its slump. Early in 2011, the US Federal Reserve announced that it would continue its Treasury purchase program (“QE2”) through to completion and keep interest rates low for an extended period. This compelled investors to continue buying riskier assets, furthering the trend of small cap stocks outperforming large caps.

While fixed income markets saw yields trend lower (pushing bond prices higher) through most of 2010, the abrupt reversal in investor sentiment and risk tolerance in the fourth quarter drove yields sharply upward. Global credit markets were surprisingly resilient in the face of recent headwinds and yields regained relative stability as the period came to a close. Yield curves globally remained steep by historical standards and higher-risk sectors continued to outperform higher-quality assets. The tax-exempt municipal market enjoyed a powerful rally during the period of low yields in 2010, but when that trend reversed, the market was dealt an additional blow as it became evident that the Build America Bond program would not be extended. Meanwhile, municipal finance troubles raised credit concerns among investors and tax-exempt mutual funds experienced heavy outflows, resulting in wider spreads and falling prices. The new year brought relief from these headwinds and a rebound in the tax-exempt municipal market.

Cash investments, as represented by the 3-month Treasury bill, returned only a fraction over 0% for the 12-month period as short-term interest rates remained low. Yields on money market securities remain near all-time lows.


Risk Assets Rallied on Growing Investor Confidence: Total Returns as of April 30, 2011	6-month			12-month

US large cap equities (S&P 500^® Index)		16.36	%		17.22	%

US small cap equities (Russell 2000^® Index)		23.73			22.20

International equities (MSCI Europe, Australasia, Far East Index)		12.71			19.18

Emerging market equities (MSCI Emerging Markets Index)		9.74			20.67

3-month Treasury bill (BofA Merrill Lynch 3-Month Treasury Bill Index)		0.09			0.17

US Treasury securities (BofA Merrill Lynch 10-Year US Treasury Index)		(3.85	)		6.37

US investment grade bonds (Barclays Capital US Aggregate Bond Index)		0.02			5.36

Tax-exempt municipal bonds (Barclays Capital Municipal Bond Index)		(1.68	)		2.20

US high yield bonds (Barclays Capital US Corporate High Yield 2% Issuer Capped Index)		6.18			13.32


	Past performance is no guarantee of future results. Index performance shown for illustrative purposes only. You cannot invest directly in an index.

While no one can peer into a crystal ball and eliminate the uncertainties presented by the economic landscape and financial markets, BlackRock can offer investors the next best thing: partnership with the world’s largest asset management firm that delivers consistent long-term investment results with fewer surprises. For additional market perspective and investment insight, visit www.blackrock.com/shareholdermagazine, where you’ll find the most recent issue of our award-winning Shareholder^® magazine, as well as its quarterly companion newsletter, Shareholder Perspectives. As always, we thank you for entrusting BlackRock with your investments, and we look forward to your continued partnership in the months and years ahead.


Sincerely,


Rob Kapito
President, BlackRock Advisors, LLC




THIS PAGE NOT PART OF YOUR FUND REPORT		3

Municipal Market Overview

For the Period Ended April 30, 2011

Twelve months ago, the municipal yield curve was much flatter than it is today, as investor concerns were focused on the possibility of deflation and a double-dip in the US economy. From April through September 2010, rates moved lower (and prices higher) across the curve, reaching historic lows in August when the yield on 5-year issues touched 1.06%, the 10-year reached 2.18%, and the 30-year was 3.67%. The market took a turn in October, with yields drifting higher (and prices lower) amid a “perfect storm” of events that ultimately resulted in the worst quarterly performance the municipal market had seen since the Fed tightening cycle of 1994. Treasury yields lost their support as concerns over the US deficit raised the question whether foreign investors would continue to purchase Treasury securities at historically low yields. Municipal valuations also suffered a quick and severe setback as it became evident that the Build America Bond (“BAB”) program would expire at the end of 2010. The program opened the taxable market to municipal issuers, which had successfully alleviated supply pressure in the traditional tax-exempt marketplace, bringing down yields in that space.

(LINE GRAPH)

The financial media has been replete with interviews, articles and presentations depicting the stress experienced in municipal finance. This has resulted in a loss of confidence among retail investors, the traditional buyers of individual municipal bonds and mutual funds. From the middle of November through year-end, mutual funds specializing in tax-exempt bonds witnessed weekly outflows averaging over $2.5 billion. Long-term and high-yield funds saw the greatest redemptions, followed by state-specific funds at a slower, yet still significant, pace. Political uncertainty surrounding the midterm elections and the approach taken by the new Congress on issues such as income tax rates, alternative minimum tax and the previously mentioned BAB expiration exacerbated the situation. All these conditions, combined with the seasonal illiquidity surrounding year-end holidays and dealers closing their fiscal books, sapped willing market participation from the trading community. December brought declining demand for municipal securities with no comparable reduction in supply. As it became evident that the BAB program would be retired, issuers rushed deals to market in the taxable and, to a lesser degree, traditional tax-exempt space. This imbalance in the supply/demand technicals provided the classic market reaction: wider quality spreads and higher bond yields.

Demand usually is strong at the beginning of a new year, but retail investors continued to move away from municipal mutual funds, with AMG Data Services showing $19.9 billion of redemptions in the first four months of 2011. Since mid-November, outflows persisted for 24 consecutive weeks, totaling $33.4 billion. Fortunately, lower supply in 2011 is offsetting the decline in demand. According to Thomson Reuters, through April, year-to-date new issuance was down 53% compared to the same period last year. Issuers have been reluctant to bring new deals to the market due to a number of factors, including higher interest rates, fiscal policy changes and a reduced need for municipal borrowing given the acceleration of some issuance into 2010 prior to the BAB program’s expiration. Accordingly, estimates for 2011 issuance have ratcheted down more than $100 billion since the beginning of the year, when the initial consensus was $350 billion.

Overall, the municipal yield curve steepened during the period from April 30, 2010 to April 30, 2011.As measured by Thomson Municipal Market Data, 30-year yields on AAA-rated municipals rose 53 basis points (“bps”) to 4.58%, while yields for 5-year maturities rallied by 22 bps to 1.50%, and 10-year maturities rallied by 9 bps to 2.85%.With the exception of the 2- to 5-year range, the spread between maturities increased over the past year, with the greatest increase seen in the 5- to 30-year range, where the spread widened by 75 bps, while overall the slope between 2- and 30-year maturities increased by 66 bps to 402 bps.

The fundamental picture for municipalities will be subject to scrutiny for months to come, as the challenges to state and local budgets are real and need to be addressed with significant cuts to expenses and tax revenue increases. The debates around austerity measures needed to succeed in balancing these budgets are not over whether action needs to be taken, but over the magnitude, approach and political will to accomplish these needs. The heightened attention on municipal finance has the potential to improve this market for the future, especially if these efforts result in greater means toward disclosure and accuracy (and timeliness) of reporting. Progress toward these fundamental changes may be tested in the near future, as California, Illinois and Puerto Rico will soon need to take austerity measures and access financing in the municipal market to address immediate-term fiscal imbalances before their new fiscal year begins in July. As the economy improves, tax receipts for states are rising and have begun to exceed budget projections. BlackRock maintains a constructive view of the municipal market as we look beyond the interim challenges faced by states working to close their June 30 year-end shortfalls.



4	ANNUAL REPORT	APRIL 30, 2011




Fund Summary as of April 30, 2011	BlackRock MuniAssets Fund, Inc.

Fund Overview

BlackRock MuniAssets Fund, Inc.’s (MUA) (the “Fund”) investment objective is to provide high current income exempt from federal income taxes by investing primarily in a portfolio of medium- to lower-grade or unrated municipal obligations, the interest on which, in the opinion of bond counsel, is exempt from federal income taxes. The Fund seeks to achieve its investment objective by investing, under normal market conditions, at least 80% of its assets in municipal bonds exempt from federal income taxes (except that the interest may be subject to the federal alternative minimum tax). The Fund invests at least 65% of its assets in municipal bonds that are rated in the medium to lower categories by nationally recognized rating services (for example, Baa or lower by Moody’s Investors Service, Inc. or BBB or lower by Standard & Poor’s Corporation) or non-rated securities which are of comparable quality. The Fund may invest directly in such securities or synthetically through the use of derivatives.

No assurance can be given that the Fund’s investment objective will be achieved.

Performance

For the 12 months ended April 30, 2011, the Fund returned (5.17)% based on market price and 2.31% based on net asset value (“NAV”). For the same period, the closed-end Lipper High Yield Municipal Debt Funds category posted an average return of (1.08)% based on market price and 1.40% based on NAV. All returns reflect reinvestment of dividends. The Fund moved from a premium to NAV to a discount by period end, which accounts for the difference between performance based on price and performance based on NAV. The following discussion relates to performance based on NAV. The Fund’s concentrated holdings in corporate-related industrial development bonds and low exposure to the underperforming tobacco sector contributed positively to performance. Additional benefits were derived from seasoned portfolio holdings with shorter remaining terms to their maturity, which exhibited lower price volatility compared to longer-dated bonds during the period. As interest rates rose and the yield curve steepened in the later part of the period, holdings of longer-dated bonds detracted from performance. In addition, certain investments in development district (special district) bonds hurt returns as scheduled construction fell significantly below expectations due to the continuing slump in real estate values.


	The views expressed reflect the opinions of BlackRock as of the date of this report and are subject to change based on changes in market, economic or other conditions. These views are not intended to be a forecast of future events and are no guarantee of future results.

Fund Information


Symbol on New York Stock Exchange (“NYSE”)			MUA
Initial Offering Date			June 25, 1993
Yield on Closing Market Price as of April 30, 2011 ($11.27)¹			6.65%
Tax Equivalent Yield²			10.23%
Current Monthly Distribution per Common Share³			$0.0625
Current Annualized Distribution per Common Share³			$0.7500
Leverage as of April 30, 2011⁴			5%


	¹	Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance does not guarantee future results.

	²	Tax equivalent yield assumes the maximum federal tax rate of 35%.

	³	The distribution rate is not constant and is subject to change.

	⁴	Represents tender option bond trusts (“TOBs”) as a percentage of total managed assets, which is the total assets of the Fund, including any assets attributable to TOBs, minus the sum of accrued liabilities. For a discussion of leveraging techniques used by the Fund, please see The Benefits and Risks of Leveraging on page 12.

The table below summarizes the changes in the Fund’s market price and NAV per share:



	4/30/11		4/30/10		Change			High		Low

Market Price	$	11.27	$	12.65		(10.91	)%	$	13.21	$	10.90
Net Asset Value	$	12.14	$	12.63		(3.88	)%	$	13.12	$	11.84

The following charts show the sector and credit quality allocations of the Fund’s long-term investments:

Sector Allocations


	4/30/11		4/30/10

Health	27	%	29	%
Corporate	22		24
Transportation	15		11
County/City/Special District/School District	14		13
Utilities	8		4
Education	6		6
Housing	4		4
State	3		4
Tobacco	1		5

Credit Quality Allocations⁵


	4/30/11		4/30/10

AAA/Aaa	3	%	6	%
AA/Aa	8		3
A	12		14
BBB/Baa	28		26
BB/Ba	7		8
B	5		7
CCC/Caa	5		4
CC/Ca	1		—
Not Rated⁶	31		32


	⁵	Using the higher of Standard & Poor’s (“S&P’s”) or Moody’s Investors Service (“Moody’s”) ratings.

	⁶	The investment advisor has deemed certain of these securities to be of investment grade quality. As of April 30, 2011 and April 30, 2010, the market value of these securities was $25,268,218 representing 6% and $15,867,930 representing 6%, respectively, of the Fund’s long-term investments.



ANNUAL REPORT	APRIL 30, 2011	5




Fund Summary as of April 30, 2011	BlackRock MuniEnhanced Fund, Inc.

Fund Overview

BlackRock MuniEnhanced Fund, Inc.’s (MEN) (the “Fund”) investment objective is to provide shareholders with as high a level of current income exempt from federal income taxes as is consistent with its investment policies and prudent investment management. The Fund seeks to achieve its investment objective by investing at least 80% of its assets in municipal bonds exempt from federal income taxes (except that the interest may be subject to the federal alternative minimum tax). Under normal market conditions, the Fund invests primarily in long-term municipal bonds that are investment grade quality at the time of investment. The Fund may invest directly in such securities or synthetically through the use of derivatives.

No assurance can be given that the Fund’s investment objective will be achieved.

Performance

Effective November 9, 2010, the Fund’s investment policy was changed by the removal of the insurance investment policy that required at least 80% of its assets to be invested in insured municipal securities. Accordingly, the Fund was moved from the Lipper Insured Municipal Debt Funds (Leveraged) category into the Lipper General Municipal Debt Funds (Leveraged) category. For the 12 months ended April 30, 2011, the Fund returned (1.44)% based on market price and 0.78% based on NAV. For the same period, the closed-end Lipper General Municipal Debt Funds (Leveraged) category posted an average return of (0.60)% based on market price and 0.10% based on NAV, and the closed-end Lipper Insured Municipal Debt Funds (Leveraged) category posted an average return of 0.17% based on market price and 0.85% based on NAV. All returns reflect reinvestment of dividends. The Fund’s discount to NAV, which widened during the period, accounts for the difference between performance based on price and performance based on NAV. The following discussion relates to performance based on NAV. The Fund’s performance was positively impacted by its shorter duration holdings (those with lower sensitivity to interest rate movements) such as advanced refunded bonds and higher coupon bonds pricing to shorter call dates. Shorter duration securities performed well during the period as the shorter end of the yield curve rallied while long-term rates rose. The Fund also benefited from its exposure to the housing and corporate sectors, which performed well during the period. Detracting from performance was the Fund’s exposure to the long end of the yield curve, where interest rates rose sharply. Exposure to lower quality spread sectors also had a negative impact as credit spreads generally widened over the period. The Fund uses interest rate futures contracts to hedge portfolio risk related to movements in interest rates. This strategy had a modestly negative impact on performance during the period.


	The views expressed reflect the opinions of BlackRock as of the date of this report and are subject to change based on changes in market, economic or other conditions. These views are not intended to be a forecast of future events and are no guarantee of future results.

Fund Information


Symbol on NYSE			MEN
Initial Offering Date			March 2, 1989
Yield on Closing Market Price as of April 30, 2011 ($9.99)¹			6.85%
Tax Equivalent Yield²			10.54%
Current Monthly Distribution per Common Share³			$ 0.057
Current Annualized Distribution per Common Share³			$ 0.684
Leverage as of April 30, 2011⁴			40%


	¹	Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance does not guarantee future results.

	²	Tax equivalent yield assumes the maximum federal tax rate of 35%.

	³	The distribution rate is not constant and is subject to change.

	⁴	Represents Auction Market Preferred Shares (“AMPS”) and TOBs as a percentage of total managed assets, which is the total assets of the Fund, including any assets attributable to AMPS and TOBs, minus the sum of accrued liabilities. For a discussion of leveraging techniques used by the Fund, please see The Benefits and Risks of Leveraging on page 12.

The table below summarizes the changes in the Fund’s market price and NAV per share:



	4/30/11		4/30/10		Change			High		Low

Market Price	$	9.99	$	10.81		(7.59	)%	$	11.70	$	9.52
Net Asset Value	$	10.30	$	10.90		(5.50	)%	$	11.47	$	9.54

The following charts show the sector and credit quality allocations of the Fund’s long-term investments:

Sector Allocations


	4/30/11		4/30/10

County/City/Special District/School District	29	%	28	%
Transportation	23		24
State	19		19
Utilities	14		14
Health	6		7
Education	5		3
Corporate	2		2
Housing	2		3

Credit Quality Allocations⁵


	4/30/11		4/30/10

AAA/Aaa	12	%	46	%
AA/Aa	59		23
A	25		26
BBB/Baa	4		5


	⁵	Using the higher of S&P’s or Moody’s ratings.



6	ANNUAL REPORT	APRIL 30, 2011




Fund Summary as of April 30, 2011	BlackRock MuniHoldings Fund, Inc.

Fund Overview

BlackRock MuniHoldings Fund, Inc.’s (MHD) (the “Fund”) investment objective is to provide shareholders with current income exempt from federal income taxes. The Fund seeks to achieve its investment objective by investing at least 80% of its assets in municipal bonds exempt from federal income taxes (except that the interest may be subject to the federal alternative minimum tax). The Fund invests, under normal market conditions, at least 75% of its assets in municipal bonds rated investment grade and invests primarily in long-term municipal bonds with a maturity of more than ten years at the time of investment. The Fund may invest directly in such securities or synthetically through the use of derivatives.

No assurance can be given that the Fund’s investment objective will be achieved.

Performance

For the 12 months ended April 30, 2011, the Fund returned (0.21)% based on market price and 0.57% based on NAV. For the same period, the closed-end Lipper General Municipal Debt Funds (Leveraged) category posted an average return of (0.60)% based on market price and 0.10% based on NAV. All returns reflect reinvestment of dividends. The Fund’s discount to NAV, which widened during the period, accounts for the difference between performance based on price and performance based on NAV. The following discussion relates to performance based on NAV. Security selection and sector allocation among corporates, transportation and education as well as tax-backed issues in the Great Lakes region drove the Fund’s positive performance. Additional benefits were derived from seasoned portfolio holdings with shorter remaining terms to their maturity, which exhibited lower price volatility compared to longer-dated bonds during the period. As interest rates rose and the yield curve steepened in the later part of the period, holdings of longer-dated bonds detracted from performance. In addition, the Fund’s high exposure to the health care sector and low exposure to tax-backed issues in the Far West and Mid-Atlantic regions had a negative impact on performance. The Fund uses interest rate futures contracts to hedge portfolio risk related to movements in interest rates. This strategy had a modestly negative impact on performance during the period.


	The views expressed reflect the opinions of BlackRock as of the date of this report and are subject to change based on changes in market, economic or other conditions. These views are not intended to be a forecast of future events and are no guarantee of future results.

Fund Information


Symbol on NYSE			MHD
Initial Offering Date			May 2, 1997
Yield on Closing Market Price as of April 30, 2011 ($14.51)¹			7.48%
Tax Equivalent Yield²			11.51%
Current Monthly Distribution per Common Share³			$0.0905
Current Annualized Distribution per Common Share³			$1.0860
Leverage as of April 30, 2011⁴			38%


	¹	Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance does not guarantee future results.

	²	Tax equivalent yield assumes the maximum federal tax rate of 35%.

	³	The distribution rate is not constant and is subject to change.

	⁴	Represents AMPS and TOBs as a percentage of total managed assets, which is the total assets of the Fund, including any assets attributable to AMPS and TOBs, minus the sum of accrued liabilities. For a discussion of leveraging techniques used by the Fund, please see The Benefits and Risks of Leveraging on page 12.

The table below summarizes the changes in the Fund’s market price and NAV per share:



	4/30/11		4/30/10		Change			High		Low

Market Price	$	14.51	$	15.70		(7.58	)%	$	17.05	$	13.80
Net Asset Value	$	14.67	$	15.75		(6.86	)%	$	16.55	$	13.80

The following charts show the sector and credit quality allocations of the Fund’s long-term investments:

Sector Allocations


	4/30/11		4/30/10

Health	23	%	23	%
Transportation	16		11
State	12		12
Corporate	12		14
Utilities	11		11
County/City/Special District/School District	10		11
Education	9		9
Housing	6		7
Tobacco	1		2



Credit Quality Allocations⁵


	4/30/11		4/30/10

AAA/Aaa	12	%	19	%
AA/Aa	40		32
A	22		23
BBB/Baa	13		11
BB/Ba	2		2
B	2		2
CCC/Caa	1		2
Not Rated⁶	8		9


	⁵	Using the higher of S&P’s or Moody’s ratings.

	⁶	The investment advisor has deemed certain of these securities to be of investment grade quality. As of April 30, 2011 and April 30, 2010, the market value of these securities was $3,863,321 representing 1% and $2,973,600 representing 1%, respectively, of the Fund’s long-term investments.



ANNUAL REPORT	APRIL 30, 2011	7




Fund Summary as of April 30, 2011	BlackRock MuniHoldings Fund II, Inc.

Fund Overview

BlackRock MuniHoldings Fund II, Inc.’s (MUH) (the “Fund”) investment objective is to provide shareholders with current income exempt from federal income taxes. The Fund seeks to achieve its investment objective by investing, under normal market conditions, at least 80% of its assets in municipal bonds exempt from federal income taxes (except that the interest may be subject to the federal alternative minimum tax). The Fund invests, under normal market conditions, at least 75% of its assets in municipal bonds rated investment grade and invests primarily in long-term municipal bonds with a maturity of more than ten years at the time of investment. The Fund may invest directly in such securities or synthetically through the use of derivatives.

No assurance can be given that the Fund’s investment objective will be achieved.

Performance

For the 12 months ended April 30, 2011, the Fund returned (2.14)% based on market price and 0.92% based on NAV. For the same period, the closed-end Lipper General Municipal Debt Funds (Leveraged) category posted an average return of (0.60)% based on market price and 0.10% based on NAV. All returns reflect reinvestment of dividends. The Fund moved from a premium to NAV to a discount by period end, which accounts for the difference between performance based on price and performance based on NAV. The following discussion relates to performance based on NAV. Security selection and sector allocation among corporates, transportation and housing as well as tax-backed issues in the Great Lakes region drove the Fund’s positive performance. Additional benefits were derived from seasoned portfolio holdings with shorter remaining terms to their maturity, which exhibited lower price volatility compared to longer-dated bonds during the period. As interest rates rose and the yield curve steepened in the later part of the period, holdings of longer-dated bonds detracted from performance. In addition, the Fund’s high exposure to the health care sector and low exposure to tax-backed issues in the Far West and Mid-Atlantic regions had a negative impact on performance. The Fund uses interest rate futures contracts to hedge portfolio risk related to movements in interest rates. This strategy had a modestly negative impact on performance during the period.


	The views expressed reflect the opinions of BlackRock as of the date of this report and are subject to change based on changes in market, economic or other conditions. These views are not intended to be a forecast of future events and are no guarantee of future results.

Fund Information


Symbol on NYSE			MUH
Initial Offering Date			February 27, 1998
Yield on Closing Market Price as of April 30, 2011 ($13.35)¹			7.33%
Tax Equivalent Yield²			11.28%
Current Monthly Distribution per Common Share³			$0.0815
Current Annualized Distribution per Common Share³			$0.9780
Leverage as of April 30, 2011⁴			37%


	¹	Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance does not guarantee future results.

	²	Tax equivalent yield assumes the maximum federal tax rate of 35%.

	³	The distribution rate is not constant and is subject to change.

	⁴	Represents AMPS and TOBs as a percentage of total managed assets, which is the total assets of the Fund, including any assets attributable to AMPS and TOBs, minus the sum of accrued liabilities. For a discussion of leveraging techniques used by the Fund, please see The Benefits and Risks of Leveraging on page 12.

The table below summarizes the changes in the Fund’s market price and NAV per share:



	4/30/11		4/30/10		Change			High		Low

Market Price	$	13.35	$	14.68		(9.06	)%	$	16.48	$	12.27
Net Asset Value	$	13.74	$	14.65		(6.21	)%	$	15.39	$	12.87

The following charts show the sector and credit quality allocations of the Fund’s long-term investments:

Sector Allocations


	4/30/11		4/30/10

Health	22	%	21	%
Transportation	14		10
County/City/Special District/School District	14		15
Corporate	13		15
State	13		12
Education	9		10
Utilities	9		8
Housing	5		7
Tobacco	1		2



Credit Quality Allocations⁵


	4/30/11		4/30/10

AAA/Aaa	13	%	18	%
AA/Aa	42		37
A	20		20
BBB/Baa	13		12
BB/Ba	1		2
B	1		1
CCC/Caa	2		2
Not Rated⁶	8		8


	⁵	Using the higher of S&P’s or Moody’s ratings.

	⁶	The investment advisor has deemed certain of these securities to be of investment grade quality. As of April 30, 2011 and April 30, 2010, the market value of these securities was $1,064,679 representing 0% and $4,406,945 representing 2%, respectively, of the Fund’s long-term investments.



8	ANNUAL REPORT	APRIL 30, 2011




Fund Summary as of April 30, 2011	BlackRock MuniHoldings Quality Fund, Inc.

Fund Overview

Effective November 9, 2010, BlackRock MuniHoldings Insured Fund, Inc. changed its name to BlackRock MuniHoldings Quality Fund, Inc.

BlackRock MuniHoldings Quality Fund, Inc.’s (MUS) (the “Fund”) investment objective is to provide shareholders with current income exempt from federal income taxes. The Fund seeks to achieve its investment objective by investing primarily in municipal obligations exempt from federal income taxes (except that the interest may be subject to the federal alternative minimum tax). Under normal market conditions, the Fund invests at least 80% of its assets in investment grade municipal obligations with remaining maturities of one year or more at the time of investment. The Fund may invest directly in such securities or synthetically through the use of derivatives.

No assurance can be given that the Fund’s investment objective will be achieved.

Performance

Effective November 9, 2010, the Fund’s investment policy was changed by the removal of the insurance investment policy that required at least 80% of its assets to be invested in insured municipal securities. Accordingly, the Fund was moved from the Lipper Insured Municipal Debt Funds (Leveraged) category into the Lipper General Municipal Debt Funds (Leveraged) category. For the 12 months ended April 30, 2011, the Fund returned (1.60)% based on market price and 0.21% based on NAV. For the same period, the closed-end Lipper General Municipal Debt Funds (Leveraged) category posted an average return of (0.60)% based on market price and 0.10% based on NAV, and the closed-end Lipper Insured Municipal Debt Funds (Leveraged) category posted an average return of 0.17% based on market price and 0.85% based on NAV. All returns reflect reinvestment of dividends. The Fund moved from a premium to NAV to a discount by period end, which accounts for the difference between performance based on price and performance based on NAV. The following discussion relates to performance based on NAV. The Fund’s holdings of higher quality essential service bonds with high coupon rates (6% or higher) contributed positively to performance as interest rates rose during the period. Higher coupon bonds typically outperform lower coupon bonds in a rising interest rate environment as higher coupon bonds are priced to a shorter call date, while lower coupon bonds are priced to maturity. The Fund maintained a fully invested posture during the period, which enhanced the Fund’s total return by boosting its income accrual. Detracting from performance was the Fund’s exposure to long duration bonds (those with greater sensitivity to interest rate movements) and long-dated bonds as long-term interest rates rose sharply. The surprise non-extension of the Build America Bond (“BAB”) program at the end of 2010 put upward pressure on the long end of the yield curve, where most of the BAB supply was issued. Additionally, the yield curve steepened during the period as a result of the general perception among investors that the economy is improving, along with higher inflation expectations. The Fund uses interest rate futures contracts to hedge portfolio risk related to movements in interest rates. This strategy had a modestly negative impact on performance during the period.


	The views expressed reflect the opinions of BlackRock as of the date of this report and are subject to change based on changes in market, economic or other conditions. These views are not intended to be a forecast of future events and are no guarantee of future results.

Fund Information


Symbol on NYSE			MUS
Initial Offering Date			May 1, 1998
Yield on Closing Market Price as of April 30, 2011 ($12.31)¹			7.21%
Tax Equivalent Yield²			11.09%
Current Monthly Distribution per Common Share³			$0.074
Current Annualized Distribution per Common Share³			$0.888
Leverage as of April 30, 2011⁴			42%


	¹	Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance does not guarantee future results.

	²	Tax equivalent yield assumes the maximum federal tax rate of 35%.

	³	The distribution rate is not constant and is subject to change.

	⁴	Represents AMPS and TOBs as a percentage of total managed assets, which is the total assets of the Fund, including any assets attributable to AMPS and TOBs, minus the sum of accrued liabilities. For a discussion of leveraging techniques used by the Fund, please see The Benefits and Risks of Leveraging on page 12.

The table below summarizes the changes in the Fund’s market price and NAV per share:



	4/30/11		4/30/10		Change			High		Low

Market Price	$	12.31	$	13.40		(8.13	)%	$	14.73	$	10.87
Net Asset Value	$	12.48	$	13.34		(6.45	)%	$	13.94	$	11.54

The following charts show the sector and credit quality allocations of the Fund’s long-term investments:

Sector Allocations


	4/30/11		4/30/10

County/City/Special District/School District	26	%	33	%
Utilities	24		22
Transportation	21		16
State	12		13
Health	9		9
Housing	5		5
Education	2		—
Corporate	1		2



Credit Quality Allocations⁵


	4/30/11		4/30/10

AAA/Aaa	9	%	58	%
AA/Aa	69		16
A	18		24
BBB/Baa	4		1
Not Rated	—		1	⁶


	⁵	Using the higher of S&P’s or Moody’s ratings.

	⁶	The investment advisor has deemed certain of these securities to be of investment grade quality. As of April 30, 2010, the market value of these securities was $2,342,435 representing 1% of the Fund’s long-term investments.



ANNUAL REPORT	APRIL 30, 2011	9




Fund Summary as of April 30, 2011	BlackRock Muni Intermediate Duration Fund, Inc.

Fund Overview

BlackRock Muni Intermediate Duration Fund, Inc.’s (MUI) (the “Fund”) investment objective is to provide common shareholders with high current income exempt from federal income taxes taxes. The Fund seeks to achieve its investment objective by investing at least 80% of its assets in municipal bonds exempt from federal income taxes (except that the interest may be subject to the federal alternative minimum tax). Under normal market conditions, the Fund invests at least 75% of its assets in municipal bonds rated investment grade and invests at least 80% of its assets in municipal bonds with a duration of three to ten years at the time of investment. The Fund may invest directly in such securities or synthetically through the use of derivatives.

No assurance can be given that the Fund’s investment objective will be achieved.

Performance

For the 12 months ended April 30, 2011, the Fund returned 2.41% based on market price and 3.86% based on NAV. For the same period, the closed-end Lipper Intermediate Municipal Debt Funds category posted an average return of 3.14% based on market price and 3.98% based on NAV. All returns reflect reinvestment of dividends. The Fund’s discount to NAV, which widened during the period, accounts for the difference between performance based on price and performance based on NAV. The following discussion relates to performance based on NAV. The Fund benefited from its heavy weighting in the tax-backed sector, which was among the strongest performing sectors during the period. A significant exposure to the corporate sector also had a positive impact on performance. The Fund’s strong bias toward higher quality issues proved beneficial, as did its holdings issued by New York, which was one of the better performing states during the period. Detracting from performance was the Fund’s overexposure to hospital bonds, which underperformed the market, and underexposure to the strong-performing housing sector. Traditionally, municipal bonds issued in high-tax states tend to provide a better store of value and liquidity than lower-taxing states when markets are declining. However, under the current economic conditions, higher-taxing states are more severely impacted by heavy deficits and suffer the most credit deterioration. As a result, the Fund’s overexposure to California and New Jersey credits, and the traditionally higher-yielding state of Illinois, negatively impacted returns.


	The views expressed reflect the opinions of BlackRock as of the date of this report and are subject to change based on changes in market, economic or other conditions. These views are not intended to be a forecast of future events and are no guarantee of future results.

Fund Information


Symbol on NYSE			MUI
Initial Offering Date			August 1, 2003
Yield on Closing Market Price as of April 30, 2011 ($13.65)¹			6.29%
Tax Equivalent Yield²			9.68%
Current Monthly Distribution per Common Share³			$0.0715
Current Annualized Distribution per Common Share³			$0.8580
Leverage as of April 30, 2011⁴			39%


	¹	Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance does not guarantee future results.

	²	Tax equivalent yield assumes the maximum federal tax rate of 35%.

	³	The distribution rate is not constant and is subject to change.

	⁴	Represents Variable Rate Demand Preferred Shares (“VRDP Shares”) and TOBs as a percentage of total managed assets, which is the total assets of the Fund, including any assets attributable to VRDP Shares and TOBs, minus the sum of accrued liabilities. For a discussion of leveraging techniques used by the Fund, please see The Benefits and Risks of Leveraging on page 12.

The table below summarizes the changes in the Fund’s market price and NAV per share:



	4/30/11		4/30/10		Change			High		Low

Market Price	$	13.65	$	14.13		(3.40	)%	$	16.17	$	12.76
Net Asset Value	$	14.45	$	14.75		(2.03	)%	$	15.59	$	13.68

The following charts show the sector and credit quality allocations of the Fund’s long-term investments:

Sector Allocations



	4/30/11		4/30/10

State	22	%	23	%
County/City/Special District/School District	21		21
Health	15		12
Corporate	11		12
Transportation	8		8
Education	8		6
Tobacco	7		6
Utilities	5		8
Housing	3		4



Credit Quality Allocations⁵


	4/30/11		4/30/10

AAA/Aaa	14	%	28	%
AA/Aa	39		25
A	25		23
BBB/Baa	11		11
BB/Ba	1		1
B	1		2
CCC/Caa	1		3
Not Rated⁶	8		7


	⁵	Using the higher of S&P’s or Moody’s ratings.

	⁶	The investment advisor has deemed certain of these securities to be of investment grade quality. As of April 30, 2011 and April 30, 2010, the market value of these securities was $21,293,420 representing 2% and $11,900,188 representing 1%, respectively, of the Fund’s long-term investments.



10	ANNUAL REPORT	APRIL 30, 2011




Fund Summary as of April 30, 2011	BlackRock MuniVest Fund II, Inc.

Fund Overview

BlackRock MuniVest Fund II, Inc.’s (MVT) (the “Fund”) investment objective is to provide shareholders with as high a level of current income exempt from federal income taxes as is consistent with its investment policies and prudent investment management. The Fund seeks to achieve its investment objective by investing at least 80% of its assets in municipal bonds exempt from federal income taxes (except that the interest may be subject to the federal alternative minimum tax). The Fund invests, under normal market conditions, at least 75% of its assets in municipal bonds rated investment grade and invests primarily in long-term municipal bonds with a maturity of more than ten years at the time of investment. The Fund may invest directly in such securities or synthetically through the use of derivatives.

No assurance can be given that the Fund’s investment objective will be achieved.

Performance

For the 12 months ended April 30, 2011, the Fund returned (1.04)% based on market price and 0.73% based on NAV. For the same period, the closed-end Lipper General Municipal Debt Funds (Leveraged) category posted an average return of (0.60)% based on market price and 0.10% based on NAV. All returns reflect reinvestment of dividends. The Fund’s premium to NAV, which narrowed during the period, accounts for the difference between performance based on price and performance based on NAV. Security selection and sector allocation among corporates and transportation as well as tax-backed issues in the Great Lakes region drove the Fund’s positive performance. Additional benefits were derived from seasoned portfolio holdings with shorter remaining terms to their maturity, which exhibited lower price volatility compared to longer-dated bonds during the period. As interest rates rose and the yield curve steepened in the later part of the period, holdings of longer-dated bonds detracted from performance. In addition, the Fund’s high exposure to the health care sector and low exposure to tax-backed issues in the Far West and Mid-Atlantic regions had a negative impact on performance. The Fund uses interest rate futures contracts to hedge portfolio risk related to movements in interest rates. This strategy had a modestly negative impact on performance during the period.


	The views expressed reflect the opinions of BlackRock as of the date of this report and are subject to change based on changes in market, economic or other conditions. These views are not intended to be a forecast of future events and are no guarantee of future results.

Fund Information


Symbol on NYSE			MVT
Initial Offering Date			March 29, 1993
Yield on Closing Market Price as of April 30, 2011 ($13.72)¹			7.74%
Tax Equivalent Yield²			11.91%
Current Monthly Distribution per Common Share³			$0.0885
Current Annualized Distribution per Common Share³			$1.0620
Leverage as of April 30, 2011⁴			42%


	¹	Yield on closing market price is calculated by dividing the current annualized distribution per share by the closing market price. Past performance does not guarantee future results.

	²	Tax equivalent yield assumes the maximum federal tax rate of 35%.

	³	The distribution rate is not constant and is subject to change.

	⁴	Represents AMPS and TOBs as a percentage of total managed assets, which is the total assets of the Fund, including any assets attributable to AMPS and TOBs, minus the sum of accrued liabilities. For a discussion of leveraging techniques used by the Fund, please see The Benefits and Risks of Leveraging on page 12.

The table below summarizes the changes in the Fund’s market price and NAV per share:



	4/30/11		4/30/10		Change			High		Low

Market Price	$	13.72	$	14.94		(8.17	)%	$	15.84	$	12.30
Net Asset Value	$	13.47	$	14.41		(6.52	)%	$	15.12	$	12.55

The following charts show the sector and credit quality allocations of the Fund’s long-term investments:

Sector Allocations


	4/30/11		4/30/10

Health	25	%	22	%
Corporate	16		18
Transportation	15		12
State	14		14
Utilities	10		10
County/City/Special District/School District	9		10
Education	7		6
Housing	3		5
Tobacco	1		3



Credit Quality Allocations⁵


	4/30/11		4/30/10

AAA/Aaa	10	%	18	%
AA/Aa	45		39
A	21		18
BBB/Baa	10		11
BB/Ba	2		—
B	2		3
CCC/Caa	1		1
Not Rated⁶	9		10


	⁵	Using the higher of S&P’s or Moody’s ratings.

	⁶	The investment advisor has deemed certain of these securities to be of investment grade quality. As of April 30, 2011 and April 30, 2010, the market value of these securities was $4,588,089 representing 1% and $5,505,082 representing 1%, respectively, of the Fund’s long-term investments.



ANNUAL REPORT	APRIL 30, 2011	11

The Benefits and Risks of Leveraging

The Funds may utilize leverage to seek to enhance the yield and NAV of their common shares (“Common Shares”). However, these objectives cannot be achieved in all interest rate environments.

To leverage, all of the Funds, except MUA, issue AMPS or VRDP Shares (collectively “Preferred Shares”), which pay dividends at prevailing short-term interest rates, and invest the proceeds in long-term municipal bonds. In general, the concept of leveraging is based on the premise that the cost of assets to be obtained from leverage, which will be based on short-term interest rates, will normally be lower than the income earned by each Fund on its longer-term portfolio investments. To the extent that the total assets of each Fund (including the assets obtained from leverage) are invested in higher-yielding portfolio investments, each Fund’s holders of Common Shares (“Common Shareholders”) will benefit from the incremental net income.

To illustrate these concepts, assume a Fund’s Common Shares capitalization is $100 million and it issues Preferred Shares for an additional $50 million, creating a total value of $150 million available for investment in long-term municipal bonds. If prevailing short-term interest rates are 3% and long-term interest rates are 6%, the yield curve has a strongly positive slope. In this case, the Fund pays dividends on the $50 million of Preferred Shares based on the lower short-term interest rates. At the same time, the securities purchased by the Fund with assets received from the Preferred Shares issuance earn the income based on long-term interest rates. In this case, the dividends paid to holders of Preferred Shares are significantly lower than the income earned on the Fund’s long-term investments, and therefore the Common Shareholders are the beneficiaries of the incremental net income.

If short-term interest rates rise, narrowing the differential between short-term and long-term interest rates, the incremental net income pickup on the Common Shares will be reduced or eliminated completely. Furthermore, if prevailing short-term interest rates rise above long-term interest rates of 6%, the yield curve has a negative slope. In this case, the Fund pays dividends on the higher short-term interest rates whereas the Fund’s total portfolio earns income based on lower long-term interest rates.

Furthermore, the value of a Fund’s portfolio investments generally varies inversely with the direction of long-term interest rates, although other factors can influence the value of portfolio investments. In contrast, the redemption value of the Funds’ Preferred Shares does not fluctuate in relation to interest rates. As a result, changes in interest rates can influence the Funds’ NAV positively or negatively in addition to the impact on Fund performance from leverage from Preferred Shares discussed above.

The Funds may also leverage their assets through the use of TOBs, as described in Note 1 of the Notes to Financial Statements. TOB investments generally will provide the Funds with economic benefits in periods of declining short-term interest rates, but expose the Funds to risks during periods of rising short-term interest rates similar to those associated with Preferred Shares issued by the Funds, as described above. Additionally, fluctuations in the market value of municipal bonds deposited into the TOB trust may adversely affect each Fund’s NAV per share.

The use of leverage may enhance opportunities for increased income to the Funds and Common Shareholders, but as described above, it also creates risks as short or long-term interest rates fluctuate. Leverage also will generally cause greater changes in the Funds’ NAVs, market prices and dividend rates than comparable portfolios without leverage. If the income derived from securities purchased with assets received from leverage exceeds the cost of leverage, the Funds’ net income will be greater than if leverage had not been used. Conversely, if the income from the securities purchased is not sufficient to cover the cost of leverage, each Fund’s net income will be less than if leverage had not been used, and therefore the amount available for distribution to Common Shareholders will be reduced. Each Fund may be required to sell portfolio securities at inopportune times or at distressed values in order to comply with regulatory requirements applicable to the use of leverage or as required by the terms of leverage instruments, which may cause a Fund to incur losses. The use of leverage may limit each Fund’s ability to invest in certain types of securities or use certain types of hedging strategies, such as in the case of certain restrictions imposed by ratings agencies that rate Preferred Shares issued by the Funds. Each Fund will incur expenses in connection with the use of leverage, all of which are borne by Common Shareholders and may reduce income to the Common Shares.

Under the Investment Company Act of 1940, the Funds are permitted to issue Preferred Shares in an amount up to 50% of their total managed assets at the time of issuance. Under normal circumstances, each Fund anticipates that the total economic leverage from Preferred Shares and/or TOBs will not exceed 50% (45% for MUI) of its total managed assets at the time such leverage is incurred. As of April 30, 2011, the Funds had economic leverage from Preferred Shares and/or TOBs as a percentage of their total managed assets as follows:



	Percent of Leverage

MUA	5	%
MEN	40	%
MHD	38	%
MUH	37	%
MUS	42	%
MUI	39	%
MVT	42	%

Derivative Financial Instruments

The Funds may invest in various derivative financial instruments, including financial futures contracts, as specified in Note 2 of the Notes to Financial Statements, which may constitute forms of economic leverage. Such instruments are used to obtain exposure to a market without owning or taking physical custody of securities or to hedge market and/or interest rate risks. Such derivative financial instruments involve risks, including the imperfect correlation between the value of a derivative instrument and the underlying asset or illiquidity of the derivative instrument. The Funds’ ability to use a derivative instrument successfully depends on the investment advisor’s ability to predict pertinent market movements accurately, which cannot be assured. The use of derivative financial instruments may result in losses greater than if they had not been used, may require the Funds to sell or purchase portfolio investments at inopportune times or for distressed values, may limit the amount of appreciation a Fund can realize on an investment, may result in lower dividends paid to shareholders or may cause the Funds to hold an investment that they might otherwise sell. The Funds’ investments in these instruments are discussed in detail in the Notes to Financial Statements.



12	ANNUAL REPORT	APRIL 30, 2011




Schedule of Investments April 30, 2011	BlackRock MuniAssets Fund, Inc. (MUA)
Schedule of Investments April 30, 2011	(Percentages shown are based on Net Assets)


Municipal Bonds	Par (000)			Value

Alabama — 0.7%
Alabama State Docks Department, Refunding RB, 6.00%, 10/01/40	$	2,165	$	2,155,972
County of Jefferson Alabama, RB, Series A, 5.25%, 1/01/17		895		818,692

				2,974,664

Alaska — 0.6%
Alaska Industrial Development & Export Authority, RB, Williams Lynxs, Alaska Cargoport, AMT:
7.80%, 5/01/14		395		394,996
8.00%, 5/01/23		2,000		1,999,980

				2,394,976

Arizona — 4.5%
Maricopa County IDA Arizona, RB, Arizona Charter Schools Project, Series A, 6.63%, 7/01/20		2,320		1,774,498
Phoenix IDA Arizona, Refunding RB, America West Airlines Inc. Project, AMT, 6.30%, 4/01/23		7,750		6,426,067
Pima County IDA, RB:
Arizona Charter Schools Project, Series E, 7.25%, 7/01/31		2,300		2,200,157
Tucson Electric Power Co., Series A, 5.25%, 10/01/40		4,015		3,501,642
Pima County IDA, Refunding RB, Charter Schools II, Series A, 6.75%, 7/01/31		670		605,559
Salt Verde Financial Corp., RB, Senior:
5.00%, 12/01/32		1,840		1,584,958
5.00%, 12/01/37		1,350		1,118,867
Show Low Improvement District, Special Assessment Bonds, District No. 5, 6.38%, 1/01/15		575		575,725
University Medical Center Corp. Arizona, RB:
6.25%, 7/01/29		820		839,918
6.50%, 7/01/39		500		511,055
Yavapai County IDA Arizona, RB, Yavapai Regional Medical Center, Series A, 6.00%, 8/01/33		500		482,700

				19,621,146

Arkansas — 0.4%
County of Little River Arkansas, Refunding RB, Georgia-Pacific Corp. Project, AMT, 5.60%, 10/01/26		1,740		1,599,130

California — 4.0%
California Statewide Communities Development Authority, Refunding RB:
American Baptist Homes of the West, 6.25%, 10/01/39		2,175		2,051,221
Senior Living, Southern California, 7.00%, 11/15/29		1,000		1,042,980
Senior Living, Southern California, 7.25%, 11/15/41		3,500		3,660,545


Municipal Bonds		Par (000)		Value

California (concluded)
City of Fontana California, Special Tax Bonds, Refunding, Community Facilities District No. 22-Sierra, Series H, 6.00%, 9/01/34	$	2,320	$	2,069,440
City of San Jose California, RB, Convention Center Expansion & Renovation Project:
6.50%, 5/01/36		900		908,559
6.50%, 5/01/42		2,220		2,228,081
State of California, GO, Various Purpose, 6.00%, 3/01/33		5,195		5,550,597

				17,511,423

Colorado — 1.6%
Colorado Health Facilities Authority, Refunding RB, Total Longterm Care National Obligated Group Project, Series A, 6.00%, 11/15/30		610		572,650
E-470 Public Highway Authority, Refunding RB, CAB, 7.08%, 9/01/35 (a)		3,695		573,870
Plaza Metropolitan District No. 1 Colorado, Tax Allocation Bonds, Tax Increment:
Public Improvement Fee, 8.00%, 12/01/25		4,850		4,756,492
Subordinate Public Improvement Fee, 8.13%, 12/01/25		1,025		918,431

				6,821,443

Connecticut — 2.0%
Connecticut State Development Authority, RB, AFCO Cargo BDL LLC Project, AMT, 8.00%, 4/01/30		3,450		2,244,570
Harbor Point Infrastructure Improvement District, Tax Allocation Bonds, Harbor Point Project, Series A, 7.88%, 4/01/39		1,865		1,949,522
Mohegan Tribe of Indians of Connecticut, RB, Public Improvement, Priority Distribution:
6.25%, 1/01/31		4,395		3,464,183
5.25%, 1/01/33 (b)		1,500		1,017,390

				8,675,665

Delaware — 1.1%
County of Sussex Delaware, RB, NRG Energy, Inc., Indian River Project, 6.00%, 10/01/40		1,000		975,670
Delaware State EDA, RB, Exempt Facilities, Indian River Power, 5.38%, 10/01/45		4,225		3,628,050

				4,603,720

Portfolio Abbreviations

To simplify the listings of portfolio holdings in the Schedules of Investments, the names and descriptions of many of the securities have been abbreviated according to the following list:


ACA	ACA Financial Guaranty Corp.
AGC	Assured Guaranty Corp.
AGM	Assured Guaranty Municipal Corp.
AMBAC	American Municipal Bond Assurance Corp.
AMT	Alternative Minimum Tax (subject to)
ARB	Airport Revenue Bonds
BHAC	Berkshire Hathaway Assurance Corp.
CAB	Capital Appreciation Bonds
COP	Certificates of Participation
EDA	Economic Development Authority
EDC	Economic Development Corp.
ERB	Education Revenue Bonds
FGIC	Financial Guaranty Insurance Co.
FHA	Federal Housing Administration
GARB	General Airport Revenue Bonds
GO	General Obligation Bonds
HDA	Housing Development Authority
HFA	Housing Finance Agency
HRB	Housing Revenue Bonds
HUD	U.S. Department of Housing and Urban Development
IDA	Industrial Development Authority
IDB	Industrial Development Board
IDRB	Industrial Development Revenue Bonds
ISD	Independent School District
LRB	Lease Revenue Bonds
M/F	Multi-Family
MRB	Mortgage Revenue Bonds
NPFGC	National Public Finance Guarantee Corp.
PSF-GTD	Permanent School Fund Guaranteed
RB	Revenue Bonds
S/F	Single-Family
SAN	State Aid Notes
TE	Tax Exempt
TIF	Tax Increment Financing


See Notes to Financial Statements.

ANNUAL REPORT	APRIL 30, 2011	13




Schedule of Investments (continued)	BlackRock MuniAssets Fund, Inc. (MUA)
Schedule of Investments (continued)	(Percentages shown are based on Net Assets)


Municipal Bonds	Par (000)		Value

District of Columbia — 2.9%
District of Columbia, RB, Methodist Home District of Columbia, Series A:
7.38%, 1/01/30	$	1,665	$	1,632,566
7.50%, 1/01/39		2,725		2,662,543
District of Columbia, Refunding RB, Howard University, Series A, 6.50%, 10/01/41		3,725		3,685,776
District of Columbia Tobacco Settlement Financing Corp., Refunding RB, Asset-Backed, 6.50%, 5/15/33		1,785		1,744,105
Metropolitan Washington Airports Authority, RB, CAB, 2nd Senior Lien, Series B (AGC) (a):
6.55%, 10/01/30		7,000		2,002,000
6.77%, 10/01/39		5,000		733,150

				12,460,140

Florida — 10.0%
County of Miami-Dade Florida, Refunding RB, Miami International Airport, Series A-1, 5.38%, 10/01/41		1,065		1,009,620
Greater Orlando Aviation Authority Florida, RB, Special Purpose, JetBlue Airways Corp., AMT, 6.38%, 11/15/26		1,180		1,105,129
Harbor Bay Community Development District Florida, Special Assessment Bonds, Series A, 7.00%, 5/01/33		455		426,954
Hillsborough County IDA, RB, AMT, National Gypsum Co.:
Series A, 7.13%, 4/01/30		4,500		3,939,795
Series B, 7.13%, 4/01/30		3,100		2,714,081
Jacksonville Economic Development Commission, RB, Gerdau Ameristeel US Inc., AMT, 5.30%, 5/01/37		2,200		1,807,784
Jacksonville Economic Development Commission, Refunding RB, Florida Proton Therapy Institute, Series A, 6.00%, 9/01/17		1,515		1,506,198
Mid-Bay Bridge Authority, RB, Series A, 7.25%, 10/01/40		4,550		4,530,981
Midtown Miami Community Development District, Special Assessment Bonds, Series A:
6.00%, 5/01/24		1,370		1,284,224
6.25%, 5/01/37		4,605		4,098,818
Palm Beach County Health Facilities Authority, RB, Acts Retirement Life Community, 5.50%, 11/15/33		3,500		3,103,800
Santa Rosa Bay Bridge Authority, RB, 6.25%, 7/01/28 (c)(d)		5,180		1,868,530
Sarasota County Health Facilities Authority, Refunding RB, Village On The Isle Project:
5.50%, 1/01/27		955		833,018
5.50%, 1/01/32		1,345		1,126,142
Sarasota County Public Hospital District, RB, Sarasota Memorial Hospital Project, Series A, 5.63%, 7/01/39		615		614,514
Sumter Landing Community Development District Florida, RB, Sub-Series B, 5.70%, 10/01/38		3,935		2,990,994
Tampa Palms Open Space & Transportation Community Development District, RB, Capital Improvement, Richmond Place Project, 7.50%, 5/01/18		1,905		1,904,771
Tolomato Community Development District, Special Assessment Bonds, Special Assessment, 6.65%, 5/01/40		4,525		3,011,749
Village Community Development District No. 9, Special Assessment Bonds:
6.75%, 5/01/31		2,000		2,021,700
7.00%, 5/01/41		3,230		3,285,685

				43,184,487

Georgia — 3.4%
City of Atlanta Georgia, Tax Allocation Bonds, Princeton Lakes Project, 5.50%, 1/01/31		1,035		871,366
Clayton County Development Authority, RB, Delta Air Lines Inc. Project, Series A, 8.75%, 6/01/29		3,365		3,707,927
County of Clayton Georgia, Tax Allocation Bonds, Ellenwood Project, 7.50%, 7/01/33		2,780		2,532,302


Municipal Bonds	Par (000)		Value

Georgia (concluded)
DeKalb County Hospital Authority Georgia, RB, DeKalb Medical Center Inc. Project, 6.13%, 9/01/40	$	2,905	$	2,629,693
Gainesville & Hall County Development Authority, Refunding RB, Acts Retirement Life Community, Series A-2:
6.38%, 11/15/29		700		709,856
6.63%, 11/15/39		880		888,237
Rockdale County Development Authority, RB, Visy Paper Project, Series A, AMT, 6.13%, 1/01/34		4,115		3,572,314

				14,911,695

Guam — 1.5%
Guam Government Waterworks Authority, Refunding RB, Water, 6.00%, 7/01/25		1,265		1,197,904
Territory of Guam, GO, Series A:
6.00%, 11/15/19		615		615,388
6.75%, 11/15/29		1,075		1,071,915
7.00%, 11/15/39		1,115		1,139,352
Territory of Guam, RB, Section 30, Series A, 5.63%, 12/01/29		2,460		2,389,496

				6,414,055

Illinois — 5.7%
City of Chicago Illinois, Refunding RB, American Airlines Inc. Project, 5.50%, 12/01/30		7,000		5,037,620
Illinois Finance Authority, RB:
Roosevelt University Project, 6.50%, 4/01/44		4,170		4,152,861
Rush University Medical Center Obligation Group, Series A, 7.25%, 11/01/30		2,000		2,158,060
Rush University Medical Center Obligation Group, Series B, 7.25%, 11/01/30		1,170		1,262,465
Illinois Finance Authority, Refunding RB:
CAB, Clare Water Tower, Series B, 0.04%, 5/15/50 (a)		1,500		9,450
Clare Water Tower, Series A-7, 6.13%, 5/15/41		3,500		1,470,350
Friendship Village of Schaumburg, 7.25%, 2/15/45		4,000		3,747,480
Primary Health Care Centers Program, 6.60%, 7/01/24		1,175		998,915
Metropolitan Pier & Exposition Authority, Refunding RB, CAB, McCormick Place Expansion Project, Series B (AGM), 6.25%, 6/15/46 (a)		9,860		912,938
Railsplitter Tobacco Settlement Authority, RB:
5.50%, 6/01/23		1,400		1,350,832
6.00%, 6/01/28		710		682,835
Village of Lincolnshire Illinois, Special Tax Bonds, Sedgebrook Project, 6.25%, 3/01/34		1,825		1,521,904
Village of Wheeling Illinois, Tax Allocation Bonds, North Milwaukee/Lake-Cook TIF Project, 6.00%, 1/01/25		1,465		1,304,143

				24,609,853

Indiana — 0.4%
Vigo County Hospital Authority Indiana, RB, Union Hospital Inc. (b):
5.70%, 9/01/37		1,055		799,996
5.75%, 9/01/42		1,310		976,461

				1,776,457

Kentucky — 0.3%
Kentucky Economic Development Finance Authority, Refunding RB, Owensboro Medical Health System, Series A, 6.38%, 6/01/40		1,580		1,499,072

Louisiana — 1.2%
Louisiana Local Government Environmental Facilities & Community Development Authority, RB, Westlake Chemical Corp. Projects, 6.75%, 11/01/32		5,000		5,093,500


See Notes to Financial Statements.

14	ANNUAL REPORT	APRIL 30, 2011




Schedule of Investments (continued)	BlackRock MuniAssets Fund, Inc. (MUA)
Schedule of Investments (continued)	(Percentages shown are based on Net Assets)


Municipal Bonds	Par (000)		Value

Maryland — 2.9%
Maryland EDC, RB, Transportation Facilities Project, Series A, 5.75%, 6/01/35	$	3,615	$	3,306,641
Maryland EDC, Refunding RB, CNX Marine Terminals, Inc., 5.75%, 9/01/25		4,110		3,932,571
Maryland Health & Higher Educational Facilities Authority, RB, Washington Christian Academy, 5.50%, 7/01/38 (c)(d)		1,000		399,530
Maryland Health & Higher Educational Facilities Authority, Refunding RB, Doctor’s Community Hospital, 5.75%, 7/01/38		3,110		2,534,059
Maryland State Energy Financing Administration, RB, Cogeneration, AES Warrior Run, AMT, 7.40%, 9/01/19		2,580		2,579,561

				12,752,362

Massachusetts — 1.0%
Massachusetts Development Finance Agency, RB, Foxborough Regional Charter School, Series A, 7.00%, 7/01/42		1,025		1,022,284
Massachusetts Development Finance Agency, Refunding RB:
Eastern Nazarene College, 5.63%, 4/01/19		40		38,023
Eastern Nazarene College, 5.63%, 4/01/29		80		66,231
Tufts Medical Center, Series I, 6.75%, 1/01/36		1,490		1,475,681
Massachusetts Health & Educational Facilities Authority, RB, Jordan Hospital, Series E, 6.75%, 10/01/33		2,000		1,809,240

				4,411,459

Michigan — 2.7%
Advanced Technology Academy, RB, 6.00%, 11/01/37		1,525		1,206,656
County of Wayne Michigan, GO, Building Improvement, Series A, 6.75%, 11/01/39		900		909,846
Monroe County Hospital Finance Authority, Refunding RB, Mercy Memorial Hospital Corp. Obligation, 5.50%, 6/01/35		3,000		2,482,500
Royal Oak Hospital Finance Authority Michigan, Refunding RB, William Beaumont Hospital, 8.25%, 9/01/39		6,310		7,154,089

				11,753,091

Minnesota — 0.4%
City of Minneapolis Minnesota, Refunding RB, Fairview Health Services, Series A, 6.75%, 11/15/32		1,785		1,905,327

Missouri — 0.5%
Kirkwood IDA Missouri, RB, Aberdeen Heights, Series A, 8.25%, 5/15/39		2,315		2,333,867

Multi-State — 0.3%
MuniMae TE Bond Subsidiary LLC, 7.50%, 6/30/49 (b)(e)(f)		1,524		1,417,238

Nevada — 0.2%
County of Clark Nevada, Special Assessment Bonds, Special Improvement District No. 142, Local Improvement, 6.38%, 8/01/23		965		956,402

New Hampshire — 0.4%
New Hampshire Health & Education Facilities Authority, RB, Catholic Medical Center, 5.00%, 7/01/36		2,000		1,628,400


Municipal Bonds	Par (000)		Value

New Jersey — 6.6%
New Jersey EDA, RB:
Cigarette Tax, 5.75%, 6/15/29	$	1,300	$	1,181,505
Continental Airlines Inc. Project, AMT, 6.63%, 9/15/12		4,050		4,081,023
Continental Airlines Inc. Project, AMT, 6.25%, 9/15/19		2,000		1,891,420
Continental Airlines Inc. Project, AMT, 6.40%, 9/15/23		1,000		942,800
Continental Airlines Inc. Project, AMT, 6.25%, 9/15/29		4,330		3,946,752
Continental Airlines Inc. Project, AMT, 9.00%, 6/01/33 (f)		1,250		1,298,700
New Jersey EDA, Refunding RB, Newark Airport Marriott Hotel, 7.00%, 10/01/14		4,000		4,014,680
New Jersey Educational Facilities Authority, Refunding RB, University of Medicine & Dentistry, Series B:
7.13%, 12/01/23		670		763,585
7.50%, 12/01/32		3,575		3,953,485
New Jersey Health Care Facilities Financing Authority, RB:
AHS Hospital Corp., 5.50%, 7/01/31 (g)		1,250		1,230,425
Pascack Valley Hospital Association, 6.63%, 7/01/36 (c)(d)		3,870		39
New Jersey Health Care Facilities Financing Authority, Refunding RB, St. Joseph’s Healthcare System, 6.63%, 7/01/38		4,090		3,986,523
New Jersey Transportation Trust Fund Authority, RB, CAB, Transportation System, Series C (AMBAC), 5.05%, 12/15/35 (a)		6,210		1,145,683

				28,436,620

New York — 6.2%
Chautauqua County Industrial Development Agency, RB, Nrg Dunkirk Power Project, 5.88%, 4/01/42		4,195		3,899,672
Dutchess County Industrial Development Agency New York, RB, St. Francis Hospital, Series B, 7.50%, 3/01/29		1,000		944,630
Dutchess County Industrial Development Agency New York, Refunding RB, St. Francis Hospital, Series A, 7.50%, 3/01/29		1,400		1,322,482
Metropolitan Transportation Authority, RB, Series 2008C, 6.50%, 11/15/28		5,685		6,389,940
New York City Industrial Development Agency, RB:
American Airlines Inc., JFK International Airport, AMT, 8.00%, 8/01/28 (f)		1,765		1,809,619
British Airways Plc Project, AMT, 7.63%, 12/01/32		4,130		4,144,414
Series C, 6.80%, 6/01/28		860		886,737
Special Needs Facilities Pooled Program, Series C-1, 6.50%, 7/01/24		610		554,868
Special Needs Facilities Pooled Program, Series C-1, 6.63%, 7/01/29		1,100		959,915
New York Liberty Development Corp., Refunding RB, Second Priority, Bank of America Tower at One Bryant Park Project, 6.38%, 7/15/49		1,270		1,271,194
Port Authority of New York & New Jersey, RB, JFK International Air Terminal:
6.00%, 12/01/36		1,340		1,293,261
6.00%, 12/01/42		1,305		1,247,058
Yonkers Industrial Development Agency New York, RB, Sarah Lawrence College Project, Series A, 6.00%, 6/01/41		2,090		2,109,834

				26,833,624


See Notes to Financial Statements.

ANNUAL REPORT	APRIL 30, 2011	15




Schedule of Investments (continued)	BlackRock MuniAssets Fund, Inc. (MUA)
Schedule of Investments (continued)	(Percentages shown are based on Net Assets)


Municipal Bonds	Par (000)		Value

North Carolina — 1.6%
North Carolina Medical Care Commission, RB, First Mortgage, Whitestone, Series A:
7.75%, 3/01/31	$	1,000	$	998,840
7.75%, 3/01/41		1,420		1,388,320
North Carolina Medical Care Commission, Refunding RB, First Mortgage, Deerfield, Series A, 6.13%, 11/01/38		4,565		4,380,756

				6,767,916

Ohio — 1.6%
Buckeye Tobacco Settlement Financing Authority, RB, Asset-Backed, Senior Series A-2, 5.13%, 6/01/24		3,350		2,579,332
State of Ohio, RB, Ford Motor Co. Project, AMT, 5.75%, 4/01/35		4,880		4,493,358

				7,072,690

Pennsylvania — 7.3%
Allegheny County Hospital Development Authority, Refunding RB, Health System, West Penn, Series A, 5.38%, 11/15/40		5,345		3,972,457
Bucks County IDA, RB, Ann’s Choice Inc. Facility, Series A:
6.13%, 1/01/25		1,360		1,275,503
6.25%, 1/01/35		1,550		1,355,165
Cumberland County Municipal Authority, RB, Diakon Lutheran, 6.38%, 1/01/39		6,165		5,996,572
Lancaster County Hospital Authority, RB, Brethren Village Project, Series A:
6.25%, 7/01/26		1,160		1,104,796
6.50%, 7/01/40		1,665		1,548,234
Montgomery County IDA Pennsylvania, MRB, Whitemarsh Continuing Care, 6.13%, 2/01/28		2,330		1,952,866
Pennsylvania Economic Development Financing Authority, RB, National Gypsum Co., Series A, AMT, 6.25%, 11/01/27		3,250		2,687,328
Philadelphia Authority for Industrial Development, RB, AMT:
Commercial Development, 7.75%, 12/01/17		8,000		8,003,840
Subordinate, Air Cargo, Series A, 7.50%, 1/01/25		3,870		3,599,642

				31,496,403

Puerto Rico — 0.8%
Puerto Rico Sales Tax Financing Corp., RB, First Sub-Series A, 6.50%, 8/01/44		2,650		2,764,745
Puerto Rico Sales Tax Financing Corp., Refunding RB, CAB, First Sub-Series C, 6.52%, 8/01/38 (a)		4,445		683,285

				3,448,030

Rhode Island — 0.8%
Central Falls Detention Facility Corp., Refunding RB, 7.25%, 7/15/35		4,245		3,396,764

South Carolina — 0.3%
South Carolina Jobs-EDA, Refunding RB, Palmetto Health, 5.50%, 8/01/26		1,175		1,109,306

Tennessee — 0.3%
Knox County Health Educational & Housing Facilities Board Tennessee, Refunding RB, Covenant, Series A (AGM), 4.69%, 1/01/40 (a)		5,820		1,010,410
Shelby County Health Educational & Housing Facilities Board, RB, Village at Germantown, 6.25%, 12/01/34		600		483,702

				1,494,112

Texas — 12.2%
Bexar County Health Facilities Development Corp., RB, Army Retirement Residence Project, 6.20%, 7/01/45		5,040		4,852,966
Brazos River Authority, Refunding RB, Texas Utility Co., Series, AMT, 7.70%, 4/01/33		5,080		2,135,835

Municipal Bonds	Par (000)		Value

Texas (concluded)
Central Texas Regional Mobility Authority, RB:
CAB, 7.48%, 1/01/28 (a)	$	1,000	$	296,330
CAB, 7.56%, 1/01/29 (a)		2,000		545,360
CAB, 7.65%, 1/01/30 (a)		1,170		293,237
CAB, 7.71%, 1/01/31 (a)		2,000		460,180
CAB, 7.77%, 1/01/32 (a)		3,500		737,030
CAB, 7.78%, 1/01/33 (a)		3,690		714,642
CAB, 7.79%, 1/01/34 (a)		4,000		715,040
Senior Lien, 5.75%, 1/01/25		675		666,144
City of Houston Texas, RB, Special Facilities, Continental Airlines, Series E, AMT, 6.75%, 7/01/21		4,550		4,457,908
Danbury Higher Education Authority Inc., RB, A.W. Brown Fellowship Charter, Series A (ACA), 5.13%, 8/15/36		1,000		1,150,790
Harris County Health Facilities Development Corp., Refunding RB, Memorial Hermann Healthcare System, Series B:
7.13%, 12/01/31		1,500		1,629,135
7.25%, 12/01/35		1,110		1,204,061
La Vernia Higher Education Finance Corp., RB, KIPP Inc., 6.38%, 8/15/44		860		845,320
Love Field Airport Modernization Corp., RB, Southwest Airlines Co. Project, 5.25%, 11/01/40		4,600		4,005,910
Matagorda County Navigation District No. 1 Texas, Refunding RB, Central Power & Light Co. Project, Series A, 6.30%, 11/01/29		2,090		2,172,492
North Texas Tollway Authority, RB:
CAB, Special Projects System, Series B, 7.55%, 9/01/37 (a)		2,110		345,091
Toll, 2nd Tier, Series F, 6.13%, 1/01/31		4,425		4,520,757
Sabine River Authority Texas, Refunding RB, TXU Electric Co. Project, Series A, Mandatory Put Bonds, 5.50%, 5/01/22 (f)		3,730		3,652,976
Tarrant County Cultural Education Facilities Finance Corp., RB, Series A:
CC Young Memorial Home, , 8.00%, 2/15/38		1,745		1,692,353
Senior Living Center Project, 8.25%, 11/15/44		4,200		4,034,478
Texas Private Activity Bond Surface Transportation Corp., RB, Senior Lien:
LBJ Infrastructure Group LLC, LBJ Freeway Managed Lanes Project, 7.00%, 6/30/40		4,455		4,539,110
NTE Mobility Partners LLC, North Tarrant Express Managed Lanes Project, 6.88%, 12/31/39		3,935		4,036,917
Texas State Public Finance Authority, Refunding, ERB, KIPP Inc., Series A (ACA):
5.00%, 2/15/28		2,825		2,492,893
5.00%, 2/15/36		850		698,428

				52,895,383

U.S. Virgin Islands — 1.1%
United States Virgin Islands, Refunding RB, Senior Secured, Hovensa Coker Project, AMT, 6.50%, 7/01/21		5,100		4,933,587

Utah — 0.9%
County of Carbon Utah, Refunding RB, Laidlaw Environmental, Series A, AMT, 7.45%, 7/01/17		3,900		3,909,048

Vermont — 0.3%
Vermont Economic Development Authority, Refunding MRB, Wake Robin Corp. Project, Series A (ACA), 6.30%, 3/01/33		1,600		1,416,896


See Notes to Financial Statements.

16	ANNUAL REPORT	APRIL 30, 2011




Schedule of Investments (continued)	BlackRock MuniAssets Fund, Inc. (MUA)
Schedule of Investments (continued)	(Percentages shown are based on Net Assets)


Municipal Bonds	Par (000)		Value

Virginia — 1.0%
Dulles Town Center Community Development Authority, Special Assessment Bonds, Dulles Town Center Project, 6.25%, 3/01/26	$	3,635	$	3,518,716
Fairfax County EDA, Refunding RB, Goodwin House Inc.:
5.13%, 10/01/37		585		501,725
5.13%, 10/01/42		450		378,000
Lexington IDA, Refunding MRB, Kendal at Lexington, Series A, 5.38%, 1/01/28		40		33,066

				4,431,507

Wisconsin — 2.1%
Wisconsin Health & Educational Facilities Authority, RB:
New Castle Place Project, Series A, 7.00%, 12/01/31		3,175		2,524,792
Wheaton Franciscan Healthcare, 5.25%, 8/15/34		6,235		5,332,110
Wisconsin Health & Educational Facilities Authority, Refunding RB, St. John’s Communities Inc., Series A:
7.25%, 9/15/29		425		419,942
7.63%, 9/15/39		855		851,640

				9,128,484

Total Municipal Bonds — 91.8%				398,079,942




Municipal Bonds Transferred to Tender Option Bond Trusts (h)

District of Columbia — 1.7%
District of Columbia Water & Sewer Authority, RB, Series A, 6.00%, 10/01/35		6,681		7,311,551

Florida — 3.3%
County of Miami-Dade Florida, RB, Miami International Airport, Series A, AMT (AGC), 5.25%, 10/01/33		15,000		14,260,050

New York — 1.8%
New York City Municipal Water Finance Authority, Water & Sewer, RB, Second General Resolution, Series EE, 5.50%, 6/15/43		7,605		7,932,877

Virginia — 3.3%
Virginia HDA, RB, Sub-Series H-1 (NPFGC), 5.38%, 7/01/36		14,400		14,406,336

Total Municipal Bonds Transferred to Tender Option Bond Trusts — 10.1%				43,910,814

Total Long-Term Investments (Cost — $463,033,218) — 101.9%				441,990,756




Short-Term Securities	Shares

FFI Institutional Tax-Exempt Fund, 0.23% (i)(j)		1,560,240		1,560,240


	Par (000)

Michigan Finance Authority, RB, SAN, Detroit Schools, Series A-1, 6.45%, 2/02/12	$	3,400		3,421,318

Total Short-Term Securities (Cost — $4,960,240) — 1.1%				4,981,558

*Total Investments (Cost — $467,993,458) — 103.0%**				446,972,314
Other Assets Less Liabilities — 2.3%				10,036,880
Liability for Trust Certificates, Including Interest Expense and Fees Payable — (5.3)%				(23,118,383	)

Net Assets — 100.0%			$	433,890,811


*	The cost and unrealized appreciation (depreciation) of investments as of April 30, 2011, as computed for federal income tax purposes, were as follows:


Aggregate cost	$	444,123,855

Gross unrealized appreciation	$	14,160,930
Gross unrealized depreciation		(34,423,563	)

Net unrealized depreciation	$	(20,262,633	)


(a)	Represents a zero-coupon bond. Rate shown reflects the current yield as of report date.

(b)	Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration to qualified institutional investors.

(c)	Issuer filed for bankruptcy and/or is in default of interest payments.

(d)	Non-income producing security.

(e)	Security represents a beneficial interest in a trust. The collateral deposited into the trust is federally tax-exempt revenue bonds issued by various state or local governments, or their respective agencies or authorities. The security is subject to remarketing prior to its stated maturity.

(f)	Variable rate security. Rate shown is as of report date.

(g)	When-issued security. Unsettled when-issued transactions were as follows:



Counterparty	Value		Unrealized Appreciation

Goldman Sachs	$	1,230,425	$	2,887


(h)	Securities represent bonds transferred to a TOB in exchange for which the Fund acquired residual interest certificates. These securities serve as collateral in a financing transaction. See Note 1 of the Notes to Financial Statements for details of municipal bonds transferred to TOBs.

(i)	Investments in companies considered to be an affiliate of the Fund during the year, for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:



Affiliate	Shares Held at April 30, 2010		Net Activity		Shares Held at April 30, 2011		Income

FFI Institutional Tax-Exempt Fund		149,925		1,410,315		1,560,240	$	4,801


(j)	Represents the current yield as of report date.

•	Financial futures contracts sold as of April 30, 2011 were as follows:



Contracts	Issue	Exchange	Expiration	Notional Value		Unrealized Depreciation

116	10-Year U.S. Treasury Note	Chicago Board of Trade	June 2011	$	13,747,592	$	(304,720	)


See Notes to Financial Statements.

ANNUAL REPORT	APRIL 30, 2011	17




Schedule of Investments (concluded)	BlackRock MuniAssets Fund, Inc. (MUA)


•	Fair Value Measurements — Various inputs are used in determining the fair value of investments and derivative financial instruments. These inputs are summarized in three broad level for financial statement purposes as follows:

	•	Level 1 — price quotations in active markets/exchanges for identical assets and liabilities

	•	Level 2 — other observable inputs (including, but not limited to: quoted prices for similar assets or liabilities in markets that are active, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the assets or liabilities (such as interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and default rates) or other market-corroborated inputs)

	•	Level 3 — unobservable inputs based on the best information available in the circumstances, to the extent observable inputs are not available (including the Fund’s own assumptions used in determining the fair value of investments and derivative financial instruments)

	The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. For information about the Fund’s policy regarding valuation of investments and derivative financial instruments and other significant accounting policies, please refer to Note 1 of the Notes to Financial Statements. The following tables summarize the inputs used as of April 30, 2011 in determining the fair valuation of the Fund’s investments and derivative financial instruments:



Valuation Inputs	Level 1		Level 2		Level 3		Total

Assets:
Investments:
Long-Term Investments¹		—	$	441,990,756		—	$	441,990,756
Short-Term Securities	$	1,560,240		3,421,318		—		4,981,558

Total	$	1,560,240	$	445,412,074		—	$	446,972,314


	¹	See above Schedule of Investments for values in each state or political subdivision.



Valuation Inputs	Level 1			Level 2		Level 3		Total

Derivative Financial Instruments²
Liabilities:
Interest rate contracts	$	(304,720	)		—		—	$	(304,720	)


	²	Derivative financial instruments are financial futures contracts, which are valued at the unrealized appreciation/depreciation on the instrument.


See Notes to Financial Statements.

18	ANNUAL REPORT	APRIL 30, 2011




Schedule of Investments April 30, 2011	BlackRock MuniEnhanced Fund, Inc. (MEN)
Schedule of Investments April 30, 2011	(Percentages shown are based on Net Assets)


Municipal Bonds	Par (000)		Value

Alabama — 1.4%
County of Jefferson Alabama, RB, Series A:
5.50%, 1/01/22	$	2,750	$	2,414,940
4.75%, 1/01/25		2,200		1,771,352

				4,186,292

Alaska — 0.6%
Alaska Housing Finance Corp., RB, General Housing, Series B (NPFGC), 5.25%, 12/01/30		400		402,172
Borough of Matanuska-Susitna Alaska, RB, Goose Creek Correctional Center (AGC), 6.00%, 9/01/28		1,200		1,330,080

				1,732,252

Arizona — 1.6%
State of Arizona, COP, Department of Administration, Series A (AGM):
5.00%, 10/01/27		3,250		3,296,735
5.25%, 10/01/28		1,000		1,026,650
5.00%, 10/01/29		400		401,620

				4,725,005

California — 23.3%
Alameda Corridor Transportation Authority, Refunding RB, CAB, Subordinate Lien, Series A (AMBAC) (a):
5.65%, 10/01/24		10,185		8,160,833
5.57%, 10/01/25		6,000		4,717,260
Anaheim Public Financing Authority California, RB, Senior, Public Improvements Project, Series A (AGM), 6.00%, 9/01/24		5,000		5,545,400
Antelope Valley Community College District, GO, Election of 2004, Series B (NPFGC), 5.25%, 8/01/39		600		585,792
Cabrillo Community College District, GO, CAB, Election of 2004, Series B (NPFGC), 5.18%, 8/01/37 (b)		2,400		384,888
California Health Facilities Financing Authority, Refunding RB:
St. Joseph Health System, Series A, 5.75%, 7/01/39		550		514,404
Sutter Health, Series B, 5.88%, 8/15/31		1,200		1,228,776
California State University, RB, Systemwide, Series A (NPFGC), 5.00%, 11/01/35		1,405		1,284,620
California State University, Refunding RB, Systemwide, Series A (AGM), 5.00%, 11/01/37		2,000		1,817,360
Chino Valley Unified School District, GO, Election of 2002, Series C (NPFGC), 5.25%, 8/01/30		850		859,614
City of Redding California, COP, Refunding, Series A (AGM), 5.00%, 6/01/30		1,420		1,409,577
Fresno Unified School District California, GO, Election of 2001, Series E (AGM), 5.00%, 8/01/30		900		869,697
Los Angeles Community College District California, GO, Election of 2001, Series A (AGM), 5.00%, 8/01/32		1,300		1,289,808
Los Angeles Department of Water & Power, RB, Series C (NPFGC), 5.00%, 7/01/29		5,160		5,233,633
Metropolitan Water District of Southern California, RB, Series B-1 (NPFGC):
5.00%, 10/01/29		2,965		3,011,491
5.00%, 10/01/36		1,655		1,659,799
Norco Redevelopment Agency California, Tax Allocation Bonds, Refunding, Project Area No. 1 (NPFGC), 5.13%, 3/01/30		5,000		4,312,400
Orange County Sanitation District, COP, Series B (AGM):
5.00%, 2/01/30		1,500		1,536,030
5.00%, 2/01/31		900		918,414
Poway Redevelopment Agency California, Tax Allocation Bonds, Refunding, Paguay Redevelopment Project (AMBAC), 5.13%, 6/15/33		1,750		1,415,243


Municipal Bonds	Par (000)		Value

California (concluded)
Sacramento Unified School District California, GO, Election of 2002 (NPFGC), 5.00%, 7/01/30	$	4,150	$	4,155,893
San Diego Unified School District California, GO, CAB, Election of 2008, Series C, 6.85%, 7/01/38 (b)		1,600		253,280
San Joaquin County Transportation Authority, RB, Limited Tax, Measure K, Series A, 6.00%, 3/01/36		2,175		2,293,798
San Mateo County Community College District, GO, CAB, Election of 2001, Series C (NPFGC), 5.53%, 9/01/30 (b)		12,740		3,908,632
State of California, GO:
5.13%, 6/01/27		20		20,003
5.13%, 6/01/31		60		59,737
Stockton Public Financing Authority California, RB, Parking & Capital Projects (NPFGC), 5.13%, 9/01/30		6,145		5,993,649
Ventura County Community College District, GO, Election of 2002, Series B (NPFGC), 5.00%, 8/01/30		2,325		2,324,814
West Basin Municipal Water District California, COP, Refunding, Series B (AGC), 5.00%, 8/01/30		5,035		5,028,454

				70,793,299

Colorado — 1.3%
Colorado Health Facilities Authority, RB, Covenant Retirement Communities, Series A (Radian):
5.50%, 12/01/27		1,200		1,098,540
5.50%, 12/01/33		675		588,404
Colorado Housing & Finance Authority, Refunding RB, S/F Program, Senior Series A-2, AMT, 7.50%, 4/01/31		315		327,109
Regional Transportation District, COP, Series A, 5.38%, 6/01/31		2,000		2,029,340

				4,043,393

District of Columbia — 1.7%
District of Columbia, RB, Series B-1 (NPFGC), 5.00%, 2/01/31		5,530		5,154,790

Florida — 14.6%
Broward County School Board Florida, COP, Series A (AGM), 5.25%, 7/01/33		1,600		1,579,248
City of Tallahassee Florida, RB (NPFGC), 5.00%, 10/01/32		4,000		3,958,360
Collier County School Board, COP (AGM), 5.00%, 2/15/23		3,000		3,080,640
County of Broward Florida, RB, Series A, 5.25%, 10/01/34		850		860,906
County of Duval Florida, COP, Master Lease Program (AGM), 5.00%, 7/01/33		3,000		2,871,900
County of Miami-Dade Florida, GO, Building Better Communities Program, Series B-1, 5.75%, 7/01/33		1,400		1,461,670
County of Miami-Dade Florida, RB, Water & Sewer System (AGM), 5.00%, 10/01/39		4,950		4,803,678
County of Miami-Dade Florida, Refunding RB, Miami International Airport, AMT (AGC), 5.00%, 10/01/40		9,900		8,625,078
County of Orange Florida, Refunding RB, Series B (NPFGC), 5.13%, 1/01/32		4,200		4,139,142
Highlands County Health Facilities Authority, RB, Adventist Health System/Sunbelt, Series B, 6.00%, 11/15/37		1,450		1,482,987
Hillsborough County Aviation Authority Florida, RB, Series A, AMT (AGC), 5.38%, 10/01/33		1,750		1,691,322


See Notes to Financial Statements.

ANNUAL REPORT	APRIL 30, 2011	19




Schedule of Investments (continued)	BlackRock MuniEnhanced Fund, Inc. (MEN)
	(Percentages shown are based on Net Assets)


Municipal Bonds	Par (000)		Value

Florida (concluded)
Miami-Dade County School Board, COP, Refunding, Series B (AGC), 5.00%, 5/01/33	$	2,000	$	1,922,600
Orange County School Board, COP, Series A:
(AGC), 5.50%, 8/01/34		3,550		3,577,761
(NPFGC), 5.00%, 8/01/31		2,000		1,977,260
Sarasota County Public Hospital District, RB, Sarasota Memorial Hospital Project, Series A, 5.63%, 7/01/39		275		274,783
South Florida Water Management District, COP (AGC), 5.00%, 10/01/22		2,000		2,081,920

				44,389,255

Georgia — 4.1%
Augusta-Richmond County Georgia, RB (AGM), 5.25%, 10/01/39		2,300		2,312,765
Gwinnett County Hospital Authority, Refunding RB, Gwinnett Hospital System, Series D (AGM), 5.50%, 7/01/41		825		793,262
Municipal Electric Authority of Georgia, Refunding RB, Series EE (AMBAC), 7.00%, 1/01/25		7,475		9,384,713

				12,490,740

Illinois — 22.5%
Chicago Board of Education Illinois, GO, Refunding, Series A:
(AGM), 5.50%, 12/01/31		3,000		3,231,600
Chicago School Reform Board, (NPFGC), 5.50%, 12/01/26		1,000		1,008,140
Chicago Park District, GO, Harbor Facilities, Series C, 5.25%, 1/01/40		550		547,536
City of Chicago Illinois, ARB, General, Third Lien, Series B-2, AMT:
(AGM), 5.75%, 1/01/23		5,670		5,813,167
(Syncora), 6.00%, 1/01/29		2,500		2,529,200
City of Chicago Illinois, RB, Series A (AGC), 5.00%, 1/01/38		2,000		1,906,460
City of Chicago Illinois, Refunding RB, General Airport, Third Lien, Series A, AMT (NPFGC), 5.75%, 1/01/21		9,000		9,052,200
County of Cook Illinois, GO, Capital Improvement, Series C (AMBAC), 5.50%, 11/15/12 (c)		2,460		2,648,387
County of Cook Illinois, GO, Refunding, Series A, 5.25%, 11/15/33		1,350		1,350,972
Illinois Municipal Electric Agency, RB, Series A (NPFGC), 5.25%, 2/01/35		1,000		987,880
Illinois Sports Facilities Authority, RB, State Tax Supported (AMBAC), 5.50%, 6/15/30		20,120		20,000,890
Metropolitan Pier & Exposition Authority, RB, CAB, McCormick Place Expansion Project, Series A (NPFGC), 5.96%, 12/15/33 (b)		9,950		2,274,271
Metropolitan Pier & Exposition Authority, Refunding RB, CAB, McCormick Place Expansion Project, Series B (AGM) (b):
5.83%, 6/15/27		1,300		498,693
6.25%, 6/15/44		3,450		368,150
Railsplitter Tobacco Settlement Authority, RB, 6.00%, 6/01/28		675		649,174
Regional Transportation Authority, RB, Series A (AMBAC), 7.20%, 11/01/20		9,480		11,238,540
State of Illinois, RB, Build Illinois, Series B, 5.25%, 6/15/34		4,400		4,256,736

				68,361,996


Municipal Bonds	Par (000)		Value

Indiana — 1.0%
Indiana Municipal Power Agency, RB, Series B, 5.75%, 1/01/34	$	400	$	404,100
Indianapolis Local Public Improvement Bond Bank, Refunding RB, Waterworks Project, Series A (AGC):
5.25%, 1/01/29		600		622,578
5.50%, 1/01/38		1,825		1,854,510

				2,881,188

Iowa — 1.9%
Iowa Finance Authority, RB, Series A (AGC), 5.63%, 8/15/37		5,725		5,756,488

Louisiana — 0.4%
Louisiana Public Facilities Authority, Refunding RB, Christus Health, Series B (AGC), 6.50%, 7/01/30		1,250		1,349,975

Massachusetts — 2.5%
Massachusetts HFA, RB, AMT (AGM):
Rental Mortgage, Series F, 5.25%, 1/01/46		1,700		1,611,753
S/F Housing, Series 128, 4.80%, 12/01/27 (d)		1,600		1,509,664
Massachusetts HFA, Refunding RB, AMT:
Rental Housing, Series A (AGM), 5.15%, 7/01/26		655		669,076
Series C, 5.35%, 12/01/42		1,150		1,050,640
Massachusetts Water Resources Authority, Refunding RB, General, Series A (NPFGC), 5.00%, 8/01/34		2,700		2,747,655

				7,588,788

Michigan — 5.1%
City of Detroit Michigan, RB, Series B:
Second Lien, (AGM), 6.25%, 7/01/36		400		425,720
Second Lien, (AGM), 7.00%, 7/01/36		200		224,126
Senior Lien, (AGM), 7.50%, 7/01/33		700		816,669
System, Second Lien, (NPFGC), 5.00%, 7/01/36		3,600		3,203,496
City of Detroit Michigan, Refunding RB, Second Lien, Series E (BHAC), 5.75%, 7/01/31		2,500		2,555,725
Kalamazoo Hospital Finance Authority, RB, Bronson Methodist Hospital (AGM), 5.25%, 5/15/36		425		395,900
Michigan Higher Education Student Loan Authority, Refunding RB, Student Loan, Series XVII-G, AMT (AMBAC), 5.20%, 9/01/20		1,500		1,507,710
Michigan State HDA, RB, Series C, AMT, 5.50%, 12/01/28		1,100		1,059,157
Michigan Strategic Fund, Refunding RB, Detroit Edison Co. Project, AMT (Syncora):
Series A, 5.50%, 6/01/30		1,300		1,245,140
Series C, 5.45%, 12/15/32		4,300		4,045,483

				15,479,126

Minnesota — 0.9%
City of Minneapolis Minnesota, Refunding RB, Fairview Health Services, Series B (AGC), 6.50%, 11/15/38		2,500		2,663,700

Nevada — 5.2%
City of Carson City Nevada, RB, Carson-Tahoe Hospital Project, Series A (Radian), 5.50%, 9/01/33		3,100		2,675,052
City of Las Vegas Nevada, GO, Limited Tax, Performing Arts Center, 6.00%, 4/01/34		850		902,717


See Notes to Financial Statements.

20	ANNUAL REPORT	APRIL 30, 2011




Schedule of Investments (continued)	BlackRock MuniEnhanced Fund, Inc. (MEN)
Schedule of Investments (continued)	(Percentages shown are based on Net Assets)



Municipal Bonds	Par (000)		Value

Nevada (concluded)
County of Clark Nevada, RB:
Las Vegas-McCarran International Airport, Series A (AGC), 5.25%, 7/01/39	$	3,800	$	3,566,338
Southwest Gas Corp. Project, Series A, AMT (FGIC), 4.75%, 9/01/36		75		60,991
Southwest Gas Corp. Project, Series D, AMT (NPFGC), 5.25%, 3/01/38		1,200		1,060,992
Subordinate Lien, Series A-2 (NPFGC), 5.00%, 7/01/30		1,500		1,421,925
Subordinate Lien, Series A-2 (NPFGC), 5.00%, 7/01/36		3,200		2,898,304
System, Subordinate Lien, Series C (AGM), 5.00%, 7/01/26		1,475		1,471,784
Las Vegas Valley Water District, GO, Refunding, Series A (NPFGC), 5.00%, 6/01/24		1,600		1,660,752

				15,718,855

New Jersey — 9.1%
New Jersey EDA, RB:
Cigarette Tax (Radian), 5.50%, 6/15/31		600		523,998
Cigarette Tax (Radian), 5.75%, 6/15/34		305		270,169
Motor Vehicle Surcharge, Series A (NPFGC), 5.25%, 7/01/31		9,325		9,337,775
Motor Vehicle Surcharge, Series A (NPFGC), 5.25%, 7/01/33		7,800		7,748,910
School Facilities Construction, Series O, 5.13%, 3/01/28		2,250		2,258,010
School Facilities Construction, Series Z (AGC), 6.00%, 12/15/34		2,000		2,108,560
New Jersey EDA, Refunding RB, School Facilities Construction, Series N-1 (AGM), 5.50%, 9/01/25		5,000		5,348,700

				27,596,122

New York — 3.9%
Erie County Industrial Development Agency, RB, City School District of Buffalo Project, Series A (AGM), 5.75%, 5/01/28		1,500		1,615,680
Metropolitan Transportation Authority, RB, Series 2008C, 6.50%, 11/15/28		4,000		4,496,000
New York City Transitional Finance Authority, RB, Fiscal 2009, Series S-4:
5.50%, 1/15/33		1,600		1,662,992
5.50%, 1/15/34		2,750		2,852,905
New York State Dormitory Authority, ERB, Series B, 5.75%, 3/15/36		1,200		1,296,024

				11,923,601

North Carolina — 0.5%
North Carolina Medical Care Commission, RB, Novant Health Obligation, Series A, 4.75%, 11/01/43		1,700		1,375,096

Ohio — 0.5%
County of Lucas Ohio, Refunding RB, Promedica Healthcare, Series A, 6.50%, 11/15/37		530		552,991
Ohio Higher Educational Facility Commission, Refunding RB, Summa Health System, 2010 Project (AGC), 5.25%, 11/15/40		1,025		964,013

				1,517,004


Municipal Bonds	Par (000)		Value

Pennsylvania — 1.4%
Pennsylvania HFA, Refunding RB, Series 99A, AMT, 5.25%, 10/01/32	$	1,500	$	1,458,585
Pennsylvania Turnpike Commission, RB:
CAB, Sub-Series E, 6.48%, 12/01/38 (a)		2,750		1,899,040
Subordinate, Special Motor License Fund, 6.00%, 12/01/36		575		617,895
Philadelphia School District, GO, Series E, 6.00%, 9/01/38		400		413,372

				4,388,892

Puerto Rico — 1.9%
Puerto Rico Sales Tax Financing Corp., RB, First Sub-Series A, 6.38%, 8/01/39		3,200		3,316,864
Puerto Rico Sales Tax Financing Corp., Refunding RB:
CAB, Series A (NPFGC), 5.69%, 8/01/41 (b)		8,500		1,135,600
First Sub-Series C, 6.00%, 8/01/39		1,180		1,183,186

				5,635,650

Rhode Island — 0.8%
Rhode Island Health & Educational Building Corp., Refunding RB, Public Schools Financing Program, Series E (AGC), 6.00%, 5/15/29		2,375		2,548,541

South Carolina — 1.4%
South Carolina Jobs-EDA, Refunding RB, Palmetto Health, Series A (AGM), 6.50%, 8/01/39 (e)		240		243,557
South Carolina State Public Service Authority, RB, Santee Cooper, Series A, 5.50%, 1/01/38		1,000		1,048,340
South Carolina Transportation Infrastructure Bank, RB, Series A, 5.25%, 10/01/40		3,000		2,960,040

				4,251,937

Tennessee — 1.8%
Knox County Health Educational & Housing Facilities Board Tennessee, Refunding RB, Covenant Health, Series A, 5.04%, 1/01/38 (b)		600		103,806
Metropolitan Government of Nashville & Davidson County Health & Educational Facilities Board, Refunding RB, Vanderbilt University, Series B, 5.50%, 10/01/29		5,000		5,497,850

				5,601,656

Texas — 12.4%
City of Houston Texas, Refunding RB, Combined, First Lien, Series A (AGC):
6.00%, 11/15/35		2,100		2,300,193
5.38%, 11/15/38		1,350		1,391,270
Dallas-Fort Worth International Airport Facilities Improvement Corp., RB, Series A, AMT (NPFGC), 5.50%, 11/01/33		13,000		12,465,960
Lewisville ISD Texas, GO, Refunding, CAB, School Building (NPFGC), 4.67%, 8/15/24 (b)		4,475		2,339,664
Mansfield ISD Texas, GO, School Building (PSF-GTD), 5.00%, 2/15/33		1,725		1,775,543
North Texas Tollway Authority, RB (AGC), System, First Tier:
Series K-1, 5.75%, 1/01/38		3,800		3,841,914
Series K-2, 6.00%, 1/01/38		4,015		4,111,159
North Texas Tollway Authority, Refunding RB, First Tier:
Series A, 6.00%, 1/01/28		2,795		2,951,017
System, (NPFGC), 5.75%, 1/01/40		1,600		1,553,936
Texas State Turnpike Authority, RB, First Tier, Series A (AMBAC), 5.50%, 8/15/39		5,150		4,827,455

				37,558,111


See Notes to Financial Statements.

ANNUAL REPORT	APRIL 30, 2011	21




Schedule of Investments (continued)	BlackRock MuniEnhanced Fund, Inc. (MEN)
Schedule of Investments (continued)	(Percentages shown are based on Net Assets)


Municipal Bonds	Par (000)		Value

Utah — 1.7%
Utah Transit Authority, RB, Series A (AGM), 5.00%, 6/15/36	$	5,000	$	5,056,450

Virginia — 0.5%
Virginia HDA, RB, Sub-Series H-1 (NPFGC), 5.35%, 7/01/31		1,530		1,530,536

Washington — 1.4%
Washington Health Care Facilities Authority, RB, Providence Health & Services, Series A:
5.00%, 10/01/39		900		799,119
5.25%, 10/01/39		625		576,556
Washington Health Care Facilities Authority, Refunding RB, Providence Health, Series D (AGM), 5.25%, 10/01/33		2,800		2,785,272

				4,160,947

Wisconsin — 0.4%
Wisconsin Health & Educational Facilities Authority, RB, Ascension Health Senior Credit Group, 5.00%, 11/15/33		1,375		1,293,518

Total Municipal Bonds — 125.8%				381,753,203




Municipal Bonds Transferred to Tender Option Bond Trusts (f)

Arizona — 0.4%
Phoenix Civic Improvement Corp., RB, Junior Lien, Series A, 5.00%, 7/01/34		1,200		1,222,488

California — 5.5%
Anaheim Public Financing Authority California, RB, Electric System Distribution Facilities, Series A (AGM), 5.00%, 10/01/31		959		957,023
Los Angeles Community College District California, GO, Election of 2001, Series A (AGM), 5.00%, 8/01/32		2,500		2,480,400
Orange County Sanitation District, COP (NPFGC), 5.00%, 2/01/33		7,458		7,482,947
San Diego Community College District California, GO, Election of 2002, 5.25%, 8/01/33		404		410,538
San Diego County Water Authority, COP, Refunding, Series 2008-A (AGM), 5.00%, 5/01/33		2,810		2,813,288
Tamalpais Union High School District California, GO, Election of 2001 (AGM), 5.00%, 8/01/28		1,605		1,608,290
University of California, RB, Series O, 5.75%, 5/15/34		840		893,869

				16,646,355

Colorado — 0.3%
Colorado Health Facilities Authority, Refunding RB, Catholic Health, Series A, 5.50%, 7/01/34		900		900,859

District of Columbia — 1.0%
District of Columbia, RB, Series A, 5.50%, 12/01/30		1,005		1,093,058
District of Columbia Water & Sewer Authority, RB, Series A, 6.00%, 10/01/35		1,770		1,937,342

				3,030,400

Florida — 6.0%
City of Tallahassee Florida Energy System, RB (NPFGC), 5.00%, 10/01/37		7,500		7,285,500
Florida State Board of Education, GO, Series D, 5.00%, 6/01/37		1,349		1,361,360
Miami-Dade County School Board, COP, Refunding, Series B (AGC), 5.00%, 5/01/33		10,000		9,613,000

				18,259,860


Municipal Bonds Transferred to Tender Option Bond Trusts (f)	Par (000)		Value

Georgia — 5.7%
City of Atlanta Georgia, RB, General, Series B (AGM), 5.25%, 1/01/33	$	17,356	$	17,369,826

Illinois — 0.6%
Illinois State Toll Highway Authority, RB, Series B, 5.50%, 1/01/33		1,880		1,900,429

Louisiana — 1.8%
State of Louisiana Gas & Fuels, RB, Series A (AGM), 5.00%, 5/01/36		5,400		5,400,000

Massachusetts — 3.6%
Massachusetts School Building Authority, RB, Series A (AGM), 5.00%, 8/15/30		10,600		10,857,853

Nevada — 3.5%
City of Las Vegas Nevada, GO, Limited Tax, Performing Arts Center, 6.00%, 4/01/39		3,778		3,989,397
Clark County Water Reclamation District, GO, Series B:
5.50%, 7/01/29		4,499		4,771,549
5.75%, 7/01/34		1,829		1,971,237

				10,732,183

New Hampshire — 2.5%
New Hampshire Health & Education Facilities Authority, RB, Dartmouth-Hitchcock Obligation (AGM), 5.50%, 8/01/27		7,390		7,557,162

New York — 1.9%
New York City Municipal Water & Sewer Finance Authority, RB, Fiscal 2009, Series A, 5.75%, 6/15/40		1,260		1,351,563
New York State Thruway Authority, RB, Series G (AGM), 5.00%, 1/01/32		3,100		3,118,321
Triborough Bridge & Tunnel Authority, RB, General, Series A-2, 5.25%, 11/15/34		1,300		1,330,017

				5,799,901

Ohio — 0.2%
State of Ohio, RB, Cleveland Clinic Health, Series B, 5.50%, 1/01/34		580		576,978

South Carolina — 2.8%
Charleston Educational Excellence Finance Corp., RB, Charleston County School (AGC):
5.25%, 12/01/28		3,120		3,184,802
5.25%, 12/01/29		2,765		2,812,171
5.25%, 12/01/30		1,010		1,023,080
South Carolina State Public Service Authority, RB, Santee Cooper, Series A, 5.50%, 1/01/38		1,275		1,336,633

				8,356,686

Texas — 0.8%
Clear Creek ISD Texas, GO, Refunding, School Building (PSF-GTD), 5.00%, 2/15/33		2,200		2,296,690

Virginia — 0.1%
Fairfax County IDA Virginia, Refunding RB, Health Care, Inova Health System, Series A, 5.50%, 5/15/35		350		351,096

Washington — 1.4%
Central Puget Sound Regional Transit Authority, RB, Series A (AGM), 5.00%, 11/01/32		4,004		4,077,605

Wisconsin — 0.4%
Wisconsin Health & Educational Facilities Authority, Refunding RB, Froedtert & Community Health Inc., 5.25%, 4/01/39		1,430		1,308,634

Total Municipal Bonds Transferred to Tender Option Bond Trusts — 38.5%				116,645,005

Total Long-Term Investments (Cost — $506,317,873) — 164.3%				498,398,208


See Notes to Financial Statements.

22	ANNUAL REPORT	APRIL 30, 2011




Schedule of Investments (concluded)	BlackRock MuniEnhanced Fund, Inc. (MEN)
	(Percentages shown are based on Net Assets)


Short-Term Securities	Shares		Value

FFI Institutional Tax-Exempt Fund, 0.23% (g)(h)		3,470,954	$	3,470,954

Total Short-Term Securities (Cost — $3,470,954) — 1.1%				3,470,954

*Total Investments (Cost — $509,788,827) — 165.4%**				501,869,162
Other Assets Less Liabilities — 1.9%				5,624,385
Liability for Trust Certificates, Including Interest Expense and Fees Payable — (20.3)%				(61,641,263	)
AMPS, at Redemption Value — (47.0)%				(142,588,554	)

Net Assets Applicable to Common Shares — 100.0%			$	303,263,730



*	The cost and unrealized appreciation (depreciation) of investments as of April 30, 2011, as computed for federal income tax purposes, were as follows:


Aggregate cost	$	448,710,246

Gross unrealized appreciation	$	8,551,270
Gross unrealized depreciation		(16,975,261	)

Net unrealized depreciation	$	(8,423,991	)


(a)	Represents a step-up bond that pays an initial coupon rate for the first period and then a higher coupon rate for the following periods. Rate shown reflects the current yield as of report date.

(b)	Represents a zero-coupon bond. Rate shown reflects the current yield as of report date.

(c)	US government securities, held in escrow, are used to pay interest on this security as well as to retire the bond in full at the date indicated, typically at a premium to par.

(d)	Variable rate security. Rate shown is as of report date.

(e)	When-issued security. Unsettled when-issued transactions were as follows:



Counterparty	Value		Unrealized Appreciation

Merrill Lynch and Co., Inc.	$	243,557	$	7,399


(f)	Securities represent bonds transferred to a TOB in exchange for which the Fund acquired residual interest certificates. These securities serve as collateral in a financing transaction. See Note 1 of the Notes to Financial Statements for details of municipal bonds transferred to TOBs.

(g)	Investments in companies considered to be an affiliate of the Fund during the year, for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:



Affiliate	Shares Held at April 30, 2010		Net Activity			Shares Held at April 30, 2011		Income

FFI Institutional Tax-Exempt Fund		7,207,423		(3,736,469	)		3,470,954	$	9,877


(h)	Represents the current yield as of report date.

•	Financial futures contracts sold as of April 30, 2011 were as follows:

Contracts

Issue

Exchange

Expiration

Notional
Value

Unrealized
Depreciation

170

10-Year U.S.

Chicago Board

June 2011

20,147,333

(446,573

)

Treasury Note

of Trade


•	Fair Value Measurements — Various inputs are used in determining the fair value of investments and derivative financial instruments. These inputs are summarized in three broad levels for financial statement purposes as follows:

	•	Level 1 — price quotations in active markets/exchanges for identical assets and liabilities

	•	Level 2 — other observable inputs (including, but not limited to: quoted prices for similar assets or liabilities in markets that are active, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the assets or liabilities (such as interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and default rates) or other market-corroborated inputs)

	•	Level 3 — unobservable inputs based on the best information available in the circumstances, to the extent observable inputs are not available (including the Fund’s own assumptions used in determining the fair value of investments and derivative financial instruments)

The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. For information about the Fund’s policy regarding valuation of investments and derivative financial instruments and other significant accounting policies, please refer to Note 1 of the Notes to Financial Statements.

The following tables summarize the inputs used as of April 30, 2011 in determining the fair valuation of the Fund’s investments and derivative financial instruments:



Valuation Inputs	Level 1		Level 2		Level 3		Total

Assets:
Investments:
Long-Term Investments¹		—	$	498,398,208		—	$	498,398,208
Short-Term Securities	$	3,470,954		—		—		3,470,954

Total	$	3,470,954	$	498,398,208		—	$	501,869,162


	¹	See above Schedule of Investments for values in each state or political subdivision.



Valuation Inputs		Level 1		Level 2	Level 3		Total

Derivative Financial Instruments²
Liabilities:
Interest rate contracts	$	(446,573	)	—	—	$	(446,573	)


	²	Derivative financial instruments are financial futures contracts, which are valued at the unrealized appreciation/depreciation on the instrument.


See Notes to Financial Statements.

ANNUAL REPORT	APRIL 30, 2011	23




Schedule of Investments April 30, 2011	BlackRock MuniHoldings Fund, Inc. (MHD) (Percentages shown are based on Net Assets)


Municipal Bonds	Par (000)		Value

Alabama — 1.9%
County of Jefferson Alabama, RB, Series A, 5.00%, 1/01/24	$	4,550	$	3,878,556

Arizona — 4.6%
Maricopa County IDA Arizona, RB, Arizona Charter Schools Project, Series A, 6.75%, 7/01/29		2,200		1,449,778
Phoenix IDA Arizona, Refunding RB, America West Airlines Inc. Project, AMT, 6.30%, 4/01/23		2,215		1,836,612
Pima County IDA, Refunding IDRB, Tucson Electric Power, 5.75%, 9/01/29		770		767,682
Salt River Project Agricultural Improvement & Power District, RB, Series A, 5.00%, 1/01/38		1,370		1,381,508
Salt Verde Financial Corp., RB, Senior:
5.00%, 12/01/32		2,000		1,722,780
5.00%, 12/01/37		2,360		1,955,944
Show Low Improvement District, Special Assessment Bonds, District No. 5, 6.38%, 1/01/15		260		260,328

				9,374,632

Arkansas — 0.5%
County of Little River Arkansas, Refunding RB, Georgia-Pacific Corp. Project, AMT, 5.60%, 10/01/26		1,155		1,061,491

California — 16.4%
Agua Caliente Band of Cahuilla Indians, RB, 5.60%, 7/01/13 (a)		255		248,640
California Health Facilities Financing Authority, Refunding RB:
St. Joseph Health System, Series A, 5.75%, 7/01/39		1,530		1,430,978
Sutter Health, Series B, 6.00%, 8/15/42		2,200		2,231,042
California State Public Works Board, RB, Various Capital Projects, Sub-Series I-1, 6.38%, 11/01/34		820		847,134
California Statewide Communities Development Authority, RB:
Health Facility, Memorial Health Services, Series A, 6.00%, 10/01/23		3,870		3,972,710
John Muir Health, 5.13%, 7/01/39		1,510		1,365,372
Los Angeles Department of Airports, RB, Series A, 5.25%, 5/15/39		555		552,564
Los Angeles Department of Airports, Refunding RB, Senior, Los Angeles International Airport, Series A, 5.00%, 5/15/40		4,115