BlackRock Municipal Income Investment Trust

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED

MANAGEMENT INVESTMENT COMPANY

Investment Company Act file number 811-10333

Name of Fund:  BlackRock Municipal Income Investment Trust (BBF)

Fund Address:   100 Bellevue Parkway, Wilmington, DE 19809

Name and address of agent for service: John M. Perlowski, Chief Executive Officer, BlackRock Municipal

Income Investment Trust, 55 East 52nd Street, New York, NY 10055

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

Date of fiscal year end: 07/31/2016

Date of reporting period: 04/30/2016


Item 1 – Schedule of Investments


Schedule of Investments April 30, 2016 (Unaudited)

  

BlackRock Municipal Income Investment Trust (BBF)

(Percentages shown are based on Net Assets)

 

Municipal Bonds   

Par  

(000)

    Value  

Alabama — 0.3%

  

City of Selma Alabama IDB, RB, Gulf Opportunity Zone, International Paper Co. Project, Series A, 5.38%, 12/01/35

   $ 275      $ 306,570   

Alaska — 0.3%

  

Northern Tobacco Securitization Corp., Refunding RB, Tobacco Settlement, Asset-Backed, Series A, 5.00%, 6/01/46

     330        308,741   

California — 15.0%

  

California Educational Facilities Authority, RB, University of Southern California, Series A, 5.25%, 10/01/38

     1,315        1,452,575   

California Health Facilities Financing Authority, Refunding RB, Catholic Healthcare West, Series A, 6.00%, 7/01/39

     890        1,017,475   

California Statewide Communities Development Authority, RB, Loma Linda University Medical Center, Series A, 5.25%, 12/01/56 (a)(b)

     360        391,352   

City of Los Angeles California Department of Water & Power, RB, Power System, Sub-Series A-1, 5.25%, 7/01/38

     1,300        1,418,703   

Kern Community College District, GO, Safety, Repair & Improvement, Series C, 5.50%, 11/01/33

     775        977,957   

San Diego Regional Building Authority, RB, County Operations Center & Annex, Series A, 5.38%, 2/01/19 (c)

     1,600        1,797,984   

State of California, GO, Various Purposes, 6.00%, 3/01/33

     1,275        1,515,542   

State of California Public Works Board, LRB, Various Capital Projects, Series I:

    

5.50%, 11/01/31

     1,600        1,987,232   

5.50%, 11/01/33

     1,500        1,861,845   

State of California Public Works Board, RB, Department of Corrections & Rehabilitation, Series F, 5.25%, 9/01/33

     400        490,148   

Township of Washington California Health Care District, GO, Election of 2004, Series B, 5.50%, 8/01/40

     300        364,998   
Municipal Bonds   

Par  

(000)

    Value  

California (continued)

  

University of California, Refunding RB, The Regents of Medical Center, Series J, 5.25%, 5/15/38

   $ 1,780      $ 2,142,159   
    

 

 

 
               15,417,970   

Colorado — 2.4%

  

City & County of Denver Colorado Airport System, ARB, Sub-System, Series B, 5.25%, 11/15/32

     1,000        1,208,250   

Colorado Health Facilities Authority, Refunding RB, Catholic Health Initiative, Series A, 5.50%, 7/01/34

     1,095        1,231,820   
    

 

 

 
               2,440,070   

Florida — 8.3%

  

City of Jacksonville Florida, Refunding RB, Series A, 5.25%, 10/01/33

     265        322,494   

County of Miami-Dade Florida, RB, Seaport, Series A, 6.00%, 10/01/38

     3,800        4,681,334   

County of Miami-Dade Florida Educational Facilities Authority, Refunding RB, University of Miami, Series A, 5.00%, 4/01/45

     2,490        2,877,245   

Reedy Creek Improvement District, GO, Series A, 5.25%, 6/01/32

     570        683,521   
    

 

 

 
               8,564,594   

Georgia — 1.7%

  

Municipal Electric Authority of Georgia, Refunding RB, Project One, Sub-Series D, 6.00%, 1/01/23

     1,565        1,742,252   

Illinois — 20.6%

  

City of Chicago Illinois, GARB, O’Hare International Airport, 3rd Lien, Series C, 6.50%, 1/01/41

     2,955        3,583,469   

City of Chicago Illinois Transit Authority, RB:

    

5.25%, 12/01/31

     1,060        1,178,964   

Sales Tax Receipts, 5.25%, 12/01/36

     1,000        1,100,900   

Sales Tax Receipts, 5.25%, 12/01/40

     1,000        1,092,350   

County of Cook Illinois Community College District No. 508, GO, City College of Chicago:

    

5.50%, 12/01/38

     1,000        1,136,530   

 

 

 

                
   BLACKROCK MUNICIPAL INCOME INVESTMENT TRUST    APRIL 30, 2016    1


Schedule of Investments (continued)

  

BlackRock Municipal Income Investment Trust (BBF)

 

Municipal Bonds   

Par  

(000)

    Value  

Illinois (continued)

  

County of Cook Illinois Community College District No. 508, GO, City College of Chicago (continued):

    

5.25%, 12/01/43

   $ 3,500      $ 3,887,765   

Illinois Finance Authority, RB:

    

Carle Foundation, Series A, 6.00%, 8/15/41

     1,000        1,186,700   

Rush University Medical Center, Series B, 7.25%, 11/01/18 (c)

     1,600        1,856,352   

Illinois Finance Authority, Refunding RB, Northwestern Memorial Hospital, Series A, 6.00%, 8/15/39

     1,900        2,200,371   

Railsplitter Tobacco Settlement Authority, RB:

    

5.50%, 6/01/23

     690        813,551   

6.00%, 6/01/28

     195        233,027   

State of Illinois, GO:

    

5.25%, 2/01/31

     475        520,529   

5.25%, 2/01/32

     1,000        1,093,040   

5.50%, 7/01/33

     1,000        1,103,150   

5.50%, 7/01/38

     210        229,461   
    

 

 

 
               21,216,159   

Indiana — 2.4%

  

Indiana Municipal Power Agency, RB, Series B, 6.00%, 1/01/19 (c)

     2,210        2,509,411   

Kansas — 1.8%

  

Kansas Development Finance Authority, Refunding RB, Adventist Health System/Sunbelt Obligated Group, Series C, 5.50%, 11/15/29

     1,600        1,836,544   

Kentucky — 0.6%

  

County of Louisville & Jefferson Kentucky Metropolitan Government Parking Authority, RB, Series A, 5.75%, 12/01/34

     500        581,250   

Louisiana — 1.5%

  

Louisiana Local Government Environmental Facilities & Community Development Authority, RB, Westlake Chemical Corp. Project, Series A-1, 6.50%, 11/01/35

     715        860,152   
Municipal Bonds   

Par  

(000)

    Value  

Louisiana (continued)

  

Tobacco Settlement Financing Corp., Refunding RB, Asset-Backed, Series A, 5.50%, 5/15/29

   $ 600      $ 658,974   
    

 

 

 
               1,519,126   

Maine — 1.5%

  

Maine Health & Higher Educational Facilities Authority, RB, Maine General Medical Center, 7.50%, 7/01/32

     1,270        1,519,631   

Massachusetts — 1.1%

  

Massachusetts Health & Educational Facilities Authority, RB, Tufts University, Series O, 5.38%, 8/15/18 (c)

     1,000        1,105,550   

Michigan — 3.3%

  

City of Lansing Michigan, RB, Board of Water & Light Utilities System, Series A, 5.50%, 7/01/41

     915        1,080,972   

Michigan State Building Authority, Refunding RB, Facilities Program Series:

    

6.00%, 10/15/18 (c)

     605        681,781   

6.00%, 10/15/38

     395        441,894   

Royal Oak Hospital Finance Authority Michigan, Refunding RB, William Beaumont Hospital, Series V, 8.25%, 9/01/18 (c)

     995        1,167,334   
    

 

 

 
               3,371,981   

Mississippi — 1.3%

  

Mississippi Development Bank, RB, Jackson Water & Sewer System Project (AGM), 6.88%, 12/01/40

     1,000        1,345,270   

Nevada — 3.8%

  

City of Las Vegas Nevada, GO, Limited Tax, Performing Arts Center, 6.00%, 4/01/19 (c)

     1,600        1,837,312   

County of Clark Nevada Airport System, ARB, Series B, 5.75%, 7/01/42

     1,825        2,118,113   
    

 

 

 
               3,955,425   

New Jersey — 4.2%

  

New Jersey Housing & Mortgage Finance Agency, RB, S/F Housing, Series CC, 5.25%, 10/01/29

     1,140        1,212,538   
 

 

                
2    BLACKROCK MUNICIPAL INCOME INVESTMENT TRUST    APRIL 30, 2016   


Schedule of Investments (continued)

  

BlackRock Municipal Income Investment Trust (BBF)

 

Municipal Bonds   

Par  

(000)

    Value  

New Jersey (continued)

  

New Jersey Transportation Trust Fund Authority, RB, Transportation System:

    

Series A, 5.88%, 12/15/38

   $ 1,295      $ 1,426,300   

Series AA, 5.50%, 6/15/39

     1,485        1,643,227   
    

 

 

 
               4,282,065   

New York — 6.4%

  

Counties of New York Tobacco Trust IV, Refunding RB, Settlement Pass-Through Turbo, Series A, 6.25%, 6/01/41 (a)

     600        632,106   

Hudson Yards Infrastructure Corp., RB, Series A, 5.75%, 2/15/47

     1,000        1,175,730   

New York Liberty Development Corp., Refunding RB, 2nd Priority, Bank of America Tower at One Bryant Park Project, Class 3, 6.38%, 7/15/49

     980        1,102,814   

State of New York Dormitory Authority, ERB, Series B, 5.25%, 3/15/38

     3,250        3,636,880   
    

 

 

 
               6,547,530   

Ohio — 2.7%

  

County of Allen Ohio Hospital Facilities, Refunding RB, Catholic Healthcare Partners, Series A, 5.25%, 6/01/38

     1,565        1,756,509   

State of Ohio Turnpike Commission, RB, Junior Lien, Infrastructure Projects, Series A-1, 5.25%, 2/15/31

     885        1,069,354   
    

 

 

 
               2,825,863   

Pennsylvania — 4.6%

  

Pennsylvania Economic Development Financing Authority, RB, American Water Co. Project, 6.20%, 4/01/39

     500        567,750   

Pennsylvania Turnpike Commission, RB, Sub-Series A:

    

6.00%, 12/01/16 (c)

     1,500        1,548,135   

5.63%, 12/01/31

     1,250        1,462,013   

Township of Bristol Pennsylvania School District, GO, 5.25%, 6/01/37

     1,000        1,160,700   
    

 

 

 
               4,738,598   

Puerto Rico — 0.2%

  

Children’s Trust Fund, Refunding RB:

    

5.50%, 5/15/39

     120        120,000   
Municipal Bonds   

Par  

(000)

    Value  

Puerto Rico (continued)

  

Children’s Trust Fund, Refunding RB (continued):

    

Asset-Backed, 5.63%, 5/15/43

   $ 80      $ 79,909   
    

 

 

 
               199,909   

Rhode Island — 1.9%

  

Tobacco Settlement Financing Corp., Refunding RB, Series B, 4.50%, 6/01/45

     1,880        1,949,522   

South Carolina — 3.6%

  

County of Charleston South Carolina, RB, Special Source, 5.25%, 12/01/38

     1,190        1,441,447   

South Carolina State Public Service Authority, Refunding RB:

    

Series C, 5.00%, 12/01/46

     1,000        1,143,090   

Series E, 5.25%, 12/01/55

     1,000        1,172,610   
    

 

 

 
               3,757,147   

Texas — 12.5%

  

Central Texas Regional Mobility Authority, Refunding RB, Senior Lien, 6.00%, 1/01/41 (c)

     1,670        1,977,965   

City of Beaumont Texas, GO, Certificates of Obligation, 5.25%, 3/01/37

     745        889,038   

Conroe Texas ISD, GO, School Building, Series A, 5.75%, 2/15/18 (c)

     890        969,833   

County of Tarrant Texas Cultural Education Facilities Finance Corp., RB, Scott & White Healthcare (c):

    

6.00%, 8/15/20

     140        169,172   

6.00%, 8/15/20

     1,765        2,135,262   

Lower Colorado River Authority, Refunding RB:

    

5.50%, 5/15/19 (c)

     5        5,682   

5.50%, 5/15/19 (c)

     80        90,910   

5.50%, 5/15/19 (c)

     5        5,682   

5.50%, 5/15/33

     1,910        2,139,850   

North Texas Tollway Authority, RB, Special Projects, Series A, 5.50%, 9/01/41

     1,000        1,182,480   

North Texas Tollway Authority, Refunding RB, 1st Tier, Series K-1 (AGC), 5.75%, 1/01/19 (c)

     1,000        1,114,520   

Red River Education Financing Corp., RB, Texas Christian University Project, 5.25%, 3/15/38

     340        405,606   
 

 

                
   BLACKROCK MUNICIPAL INCOME INVESTMENT TRUST    APRIL 30, 2016    3


Schedule of Investments (continued)

  

BlackRock Municipal Income Investment Trust (BBF)

 

Municipal Bonds   

Par  

(000)

    Value  

Texas (continued)

  

Texas Private Activity Bond Surface Transportation Corp., RB, Senior Lien, NTE Mobility Partners LLC, North Tarrant Express Managed Lanes Project, 6.88%, 12/31/39

   $ 1,505      $ 1,773,808   
    

 

 

 
               12,859,808   

Virginia — 1.4%

  

City of Lexington Virginia IDA, RB, Washington & Lee University, 5.00%, 1/01/43

     280        322,392   

Virginia Public School Authority, RB, Fluvanna County School Financing, 6.50%, 12/01/18 (c)

     1,000        1,147,050   
    

 

 

 
               1,469,442   

Wisconsin — 2.1%

  

Wisconsin Health & Educational Facilities Authority, Refunding RB:

    

Froedtert & Community Health, Inc., Series C, 5.25%, 4/01/39

     1,675        1,817,308   

Medical College of Wisconsin, Inc., 4.00%, 12/01/46 (b)

     385        403,823   
    

 

 

 
               2,221,131   
Total Municipal Bonds — 105.5%              108,591,559   
    
   
Municipal Bonds Transferred to
Tender Option Bond Trusts (d)
              

California — 19.0%

    

California Educational Facilities Authority, RB, University of Southern California, Series B, 5.25%, 10/01/39 (e)

     1,995        2,203,717   

Grossmont Union High School District, GO, Election of 2008, Series B, 5.00%, 8/01/40

     2,400        2,755,944   

Los Angeles Community College District California, GO, Election of 2008, Series C, 5.25%, 8/01/39 (e)

     2,630        3,069,723   

Los Angeles Community College District California, GO, Refunding, Election of 2008, Series A, 6.00%, 8/01/19 (c)

     3,898        4,548,574   

Los Angeles Unified School District California, GO, Series I, 5.00%, 1/01/34

     400        450,036   
Municipal Bonds Transferred to
Tender Option Bond Trusts (d)
  

Par  

(000)

    Value  

California (continued)

    

San Diego Public Facilities Financing Authority Water, RB, Series B, 5.50%, 8/01/39

   $ 4,214      $ 4,808,064   

University of California, RB, Series O, 5.75%, 5/15/19 (c)

     1,500        1,724,640   
    

 

 

 
               19,560,698   

District of Columbia — 3.5%

  

District of Columbia, RB, Series A, 5.50%, 12/01/30 (e)

     1,395        1,617,112   

District of Columbia Water & Sewer Authority, Refunding RB, Senior Lien, Series A, 5.50%, 10/01/18 (c)

     1,799        2,002,469   
    

 

 

 
               3,619,581   

Illinois — 3.0%

  

State of Illinois Finance Authority, RB, University of Chicago, Series B, 6.25%, 7/01/18 (c)

     2,800        3,130,512   

Nevada — 4.9%

  

County of Clark Nevada Water Reclamation District, GO:

    

Limited Tax, 6.00%, 7/01/18 (c)

     2,500        2,782,825   

Series B, 5.50%, 7/01/29

     1,994        2,265,591   
    

 

 

 
               5,048,416   

New Hampshire — 1.2%

  

New Hampshire Health & Education Facilities Authority, RB, Dartmouth College, 5.25%, 6/01/39 (e)

     1,094        1,236,240   

New Jersey — 3.8%

  

New Jersey Transportation Trust Fund Authority, RB, Transportation System:

    

Series A (AMBAC), 5.00%, 12/15/32

     2,000        2,096,340   

Series B, 5.25%, 6/15/36 (e)

     1,640        1,766,015   
    

 

 

 
               3,862,355   

New York — 13.3%

  

City of New York New York Municipal Water Finance Authority, RB, Water & Sewer System, Fiscal 2009, Series A, 5.75%, 6/15/40

     1,410        1,557,315   
 

 

                
4    BLACKROCK MUNICIPAL INCOME INVESTMENT TRUST    APRIL 30, 2016   


Schedule of Investments (continued)

  

BlackRock Municipal Income Investment Trust (BBF)

 

Municipal Bonds Transferred to
Tender Option Bond Trusts (d)
  

Par  

(000)

    Value  

New York (continued)

  

City of New York New York Municipal Water Finance Authority, Refunding RB, Water & Sewer System, 2nd General Resolution:

    

Series FF, 5.00%, 6/15/45

   $ 1,500      $ 1,751,133   

Series FF-2, 5.50%, 6/15/40

     1,995        2,261,318   

City of New York New York Transitional Finance Authority, BARB, Fiscal 2009, Series S-3, 5.25%, 1/15/39

     1,500        1,660,110   

New York Liberty Development Corp., RB, 1 World Trade Center Port Authority Consolidated Bonds, 5.25%, 12/15/43

     2,205        2,619,397   

New York Liberty Development Corp., Refunding RB, 4 World Trade Center Project, 5.75%, 11/15/51 (e)

     1,300        1,551,699   

New York State Dormitory Authority, ERB, Personal Income Tax, Series B, 5.25%, 3/15/38

     2,000        2,238,080   
    

 

 

 
               13,639,052   

Texas — 5.2%

  

City of San Antonio Texas Public Service Board, Refunding RB, Series A, 5.25%, 2/01/31 (e)

     2,025        2,252,075   

County of Harris Texas Cultural Education Facilities Finance Corp., RB, Texas Children’s Hospital Project, 5.50%, 10/01/39

     2,750        3,121,250   
    

 

 

 
               5,373,325   

Virginia — 1.0%

  

County of Fairfax Virginia IDA, Refunding RB, Health Care, Inova Health System, Series A, 5.50%, 5/15/35

     899        1,015,534   
    
    
          Value  
Total Municipal Bonds Transferred to
Tender Option Bond Trusts — 54.9%
      $ 56,485,713   
Total Long-Term Investments
(Cost — $146,503,080) — 160.4%
        165,077,272   
    
   
Short-Term Securities    Shares         

BlackRock Liquidity Funds, MuniCash, 0.19% (f)(g)

     441,584        441,584   
Total Short-Term Securities
(Cost — $441,584) — 0.4%
        441,584   
Total Investments (Cost — $146,944,664*) — 160.8%        165,518,856   
Other Assets Less Liabilities — 1.3%        1,301,958   

Liability for TOB Trust Certificates, Including Interest
Expense and Fees Payable — (28.9)%

   

    (29,698,681
VRDP Shares, at Redemption Value — (33.2)%        (34,200,000
    

 

 

 
Net Assets Applicable to Common Shares — 100.0%      $ 102,922,133   
    

 

 

 

 

*   As of period end, gross unrealized appreciation and depreciation based on cost for federal income tax purposes were as follows:

 

Tax cost

  $ 117,686,420   
 

 

 

 

Gross unrealized appreciation

  $ 18,574,279   

Gross unrealized depreciation

    (424,070
 

 

 

 

Net unrealized appreciation

  $ 18,150,209   
 

 

 

 
 
Notes to Schedule of Investments

 

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

 

(b)   When-issued security.

 

(c)   U.S. 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)   Represent bonds transferred to a TOB Trust in exchange of cash and residual certificates received by the Trust. These bonds serve as collateral in a secured borrowing.

 

(e)   All or a portion of security is subject to a recourse agreement. The aggregate maximum potential amount the Trust could ultimately be required to pay under the agreements, which expire between October 1, 2016 to November 15, 2019 is $7,891,026.

 

                
   BLACKROCK MUNICIPAL INCOME INVESTMENT TRUST    APRIL 30, 2016    5


Schedule of Investments (continued)

  

BlackRock Municipal Income Investment Trust (BBF)

 

(f)   During the period ended April 30, 2016, investments in issuers considered to be affiliates of the Trust for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

Affiliate     

Shares Held
at July 31,

2015

      

Net

Activity

      

Shares Held

at April 30,

2016

       Income  

BlackRock Liquidity Funds, MuniCash

                 441,584           441,584         $ 81   

FFI Institutional Tax-Exempt Fund

       478,351           (478,351                  85   

Total

                 441,584         $ 166   
              

 

 

 

 

(g)   Current yield as of period end.

For Trust compliance purposes, the Trust’s sector classifications refer to any one or more of the sector sub-classifications used by one or more widely recognized market indexes or rating group indexes, and/or as defined by the investment advisor. These definitions may not apply for purposes of this report, which may combine such sector sub-classifications for reporting ease.

 

Derivative Financial Instruments Outstanding as of Period End

Futures Contracts

 

Contracts

Short

    Issue   Expiration   Notional
Value
    Unrealized
Appreciation
 
  (14   5-Year U.S. Treasury Note   June 2016   $ 1,692,797      $ 5,305   
  (20   10-Year U.S. Treasury Note   June 2016   $ 2,601,250        21,741   
  (6   Long U.S. Treasury Bond   June 2016   $ 979,875        12,083   
  (1   Ultra U.S. Treasury Bond   June 2016   $ 171,344        3,903   
  Total            $ 43,032   
       

 

 

 

 

Portfolio Abbreviations

 

AGC    Assured Guarantee Corp.
AGM    Assured Guaranty Municipal Corp.
AMBAC    American Municipal Bond Assurance Corp.
ARB    Airport Revenue Bonds
BARB    Building Aid Revenue Bonds
ERB    Education Revenue Bonds
GARB    General Airport Revenue Bonds
GO    General Obligation Bonds
IDA    Industrial Development Authority
IDB    Industrial Development Board
ISD    Independent School District
LRB    Lease Revenue Bonds
RB    Revenue Bonds
S/F    Single-Family

 

Fair Value Hierarchy as of Period End

 

                
6    BLACKROCK MUNICIPAL INCOME INVESTMENT TRUST    APRIL 30, 2016   


Schedule of Investments (continued)

  

BlackRock Municipal Income Investment Trust (BBF)

 

Various inputs are used in determining the fair value of investments and derivative financial instruments. These inputs to valuation techniques are categorized into a fair value hierarchy consisting of three broad levels for financial reporting purposes as follows:

 

   

Level 1 — unadjusted price quotations in active markets/exchanges for identical assets or liabilities that the Trust has the ability to access

 

   

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 Trust’s own assumptions used in determining the fair value of investments and derivative financial instruments)

The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). Accordingly, the degree of judgment exercised in determining fair value is greatest for instruments categorized in Level 3. The inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the fair value hierarchy classification is determined based on the lowest level input that is significant to the fair value measurement in its entirety. The significant unobservable inputs used by the Global Valuation Committee in determining the price for Fair Valued Investments are typically categorized as level 3.

Changes in valuation techniques may result in transfers into or out of an assigned level within the hierarchy. In accordance with the Trust’s policy, transfers between different levels of the fair value hierarchy are deemed to have occurred as of the beginning of the reporting period. The categorization of a value determined for investments and derivative financial instruments is based on the pricing transparency of the investments and derivative financial instruments and is not necessarily an indication of the risks associated with investing in those securities. For information about the Trust’s policy regarding valuation of investments and derivative financial instruments, refer to the Trust’s most recent financial statements as contained in its semi-annual report.

The following tables summarize the Trust’s investments and derivative financial instruments categorized in the disclosure hierarchy:

 

     Level 1        Level 2        Level 3      Total  

Assets:

                
Investments:                 

Long-Term Investments1

            $ 165,077,272              $ 165,077,272   

Short-Term Securities

  $ 441,584                          441,584   
 

 

 

 

Total

  $ 441,584         $ 165,077,272              $ 165,518,856   
 

 

 

 

    

                                    
Derivative Financial Instruments2   

Assets:

                

Interest rate contracts

  $ 43,032                        $ 43,032   

1    See above Schedule of Investments for values in each state and political divisons.

 

2    Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument.

       

       

 

                
   BLACKROCK MUNICIPAL INCOME INVESTMENT TRUST    APRIL 30, 2016    7


Schedule of Investments (concluded)

  

BlackRock Municipal Income Investment Trust (BBF)

 

The Trust may hold assets and/or liabilities in which the fair value approximates the carrying amount for financial reporting purposes. As of period end, such assets and/or liabilities are categorized within the disclosure hierarchy as follows:

 

     Level 1        Level 2        Level 3      Total  

Assets:

                

Cash pledged for futures contracts

  $ 62,850                        $ 62,850   

Liabilities:

                

Bank overdraft

            $ (37,694             (37,694

TOB Trust Certificates

              (29,682,227             (29,682,227

VRDP Shares

              (34,200,000             (34,200,000
 

 

 

 

Total

  $ 62,850         $ (63,919,921           $ (63,857,071
 

 

 

 

During the period ended April 30, 2016, there were no transfers between levels.

 

                
8    BLACKROCK MUNICIPAL INCOME INVESTMENT TRUST    APRIL 30, 2016   


Item 2 –   Controls and Procedures
2(a) –   The registrant’s principal executive and principal financial officers, or persons performing similar functions, have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the “1940 Act”)) are effective as of a date within 90 days of the filing of this report based on the evaluation of these controls and procedures required by Rule 30a-3(b) under the 1940 Act and Rule 13a-15(b) under the Securities Exchange Act of 1934, as amended.
2(b) –   There were no changes in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act) that occurred during the registrant’s last fiscal quarter that have materially affected, or are reasonably likely to materially affect, the registrant’s internal control over financial reporting.
Item 3 –   Exhibits
  Certifications – Attached hereto

 


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

BlackRock Municipal Income Investment Trust

 

By:   

/s/ John M. Perlowski

  
   John M. Perlowski   
   Chief Executive Officer (principal executive officer) of 
   BlackRock Municipal Income Investment Trust

Date: June 22, 2016

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

 

By:   

/s/ John M. Perlowski

  
   John M. Perlowski   
   Chief Executive Officer (principal executive officer) of 
   BlackRock Municipal Income Investment Trust
Date: June 22, 2016   
By:   

/s/ Neal J. Andrews

  
   Neal J. Andrews   
   Chief Financial Officer (principal financial officer) of
   BlackRock Municipal Income Investment Trust

Date: June 22, 2016