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 811-06660

 

Name of Fund: BlackRock MuniYield Quality Fund, Inc. (MQY)

 

Fund Address: 100 Bellevue Parkway, Wilmington, DE 19809

 

Name and address of agent for service: John M. Perlowski, Chief Executive Officer, BlackRock MuniYield Quality Fund, Inc., 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: 04/30/2013

 

Date of reporting period: 07/31/2012

 

Item 1 – Schedule of Investments

 

 

 

 

Schedule of Investments July 31, 2012 (Unaudited)

BlackRock MuniYield Quality Fund, Inc. (MQY)

(Percentages shown are based on Net Assets)


 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

Alabama — 2.1%

 

 

 

 

 

 

 

County of Jefferson Alabama, RB,
Series A, 4.75%, 1/01/25

 

$

3,000

 

$

2,862,960

 

University of Alabama, RB, Series A
(NPFGC), 5.00%, 7/01/34

 

 

7,125

 

 

7,575,514

 

 

 

 

 

 

 

10,438,474

 

Alaska — 1.6%

 

 

 

 

 

 

 

Alaska Housing Finance Corp., RB:

 

 

 

 

 

 

 

General Housing, Series B, (NPFGC),
5.25%, 12/01/30

 

 

600

 

 

628,884

 

Series A, 4.13%, 12/01/37

 

 

810

 

 

821,656

 

Alaska Industrial Development & Export
Authority, RB, Providence Health
Services, Series A, 5.50%, 10/01/41

 

 

1,400

 

 

1,616,692

 

Borough of Matanuska-Susitna Alaska,
RB, Goose Creek Correctional Center
(AGC), 6.00%, 9/01/32

 

 

4,425

 

 

5,272,564

 

 

 

 

 

 

 

8,339,796

 

Arizona — 0.8%

 

 

 

 

 

 

 

Greater Arizona Development Authority,
RB, Series B (NPFGC), 5.00%,
8/01/35

 

 

1,600

 

 

1,728,304

 

State of Arizona, COP, Department of
Administration, Series A (AGM):

 

 

 

 

 

 

 

5.00%, 10/01/27

 

 

1,850

 

 

2,108,038

 

5.25%, 10/01/28

 

 

250

 

 

287,412

 

 

 

 

 

 

 

4,123,754

 

California — 18.6%

 

 

 

 

 

 

 

Alameda Corridor Transportation
Authority, Refunding RB, CAB,
Subordinate Lien, Series A (AMBAC),
0.00%, 10/01/25 (a)

 

 

4,150

 

 

4,457,390

 

Cabrillo Community College District, GO,
CAB, Election of 2004, Series B
(NPFGC) (b):

 

 

 

 

 

 

 

5.39%, 8/01/37

 

 

3,250

 

 

859,008

 

5.42%, 8/01/38

 

 

7,405

 

 

1,843,104

 

California Health Facilities Financing
Authority, RB, Sutter Health, Series B,
5.88%, 8/15/31

 

 

1,500

 

 

1,811,940

 

California Health Facilities Financing
Authority, Refunding RB, St. Joseph
Health System, Series A, 5.75%,
7/01/39

 

 

775

 

 

895,172

 

California State University, RB,
Systemwide, Series A (NPFGC),
5.00%, 5/01/13

 

 

1,680

 

 

1,728,569

 

California Statewide Communities
Development Authority, RB, 5.00%,
4/01/42

 

 

2,000

 

 

2,189,160

 

Carlsbad Unified School District, GO,
Election of 2006, Series B, 0.00%,
5/01/34 (a)

 

 

5,000

 

 

3,935,950

 

 

 

 

 

 

 

 

 

Municipal Bonds

 

 

Par
(000)

 

 

Value

 

California (continued)

 

 

 

 

 

 

 

City of San Jose California, Refunding
ARB, AMT:

 

 

 

 

 

 

 

Series A, (AMBAC), 5.50%, 3/01/32

 

$

5,100

 

$

5,456,949

 

Series A-1, 5.75%, 3/01/34

 

 

1,150

 

 

1,321,983

 

Coast Community College District
California, GO, CAB, Election of 2002,
Series C (AGM), 0.00%, 8/01/31 (a)

 

 

2,800

 

 

2,762,620

 

El Monte Union High School District
California, GO, Election of 2002,
Series C (AGM), 5.25%, 6/01/28

 

 

6,110

 

 

6,948,292

 

Grossmont Union High School District,
GO, 4.69%, 8/01/31 (b)

 

 

5,000

 

 

2,072,250

 

Grossmont-Cuyamaca Community
College District California, GO,
Refunding, CAB, Election of 2002,
Series C (AGC), 4.74%, 8/01/30 (b)

 

 

10,030

 

 

4,319,821

 

Hartnell Community College District
California, GO, CAB, Election of 2002,
Series D, 0.00%, 8/01/34 (a)

 

 

4,125

 

 

2,965,297

 

Los Angeles Community College District
California, GO, Election of 2001,
Series A (NPFGC), 5.00%, 8/01/32

 

 

770

 

 

868,052

 

Metropolitan Water District of Southern
California, RB, Series B-1 (NPFGC) (c):

 

 

 

 

 

 

 

5.00%, 10/01/13

 

 

3,465

 

 

3,658,278

 

5.00%, 10/01/13

 

 

2,035

 

 

2,148,512

 

Orange County Sanitation District, COP:

 

 

 

 

 

 

 

(NPFGC), 5.00%, 8/01/13 (c)

 

 

2,750

 

 

2,880,295

 

Series B, (AGM), 5.00%, 2/01/30

 

 

3,500

 

 

3,920,875

 

Series B, (AGM), 5.00%, 2/01/31

 

 

1,200

 

 

1,344,852

 

Poway Unified School District, GO,
Refunding, CAB, School Facilities
Improvement, Election of 2007-1,
4.96%, 8/01/36 (b)

 

 

5,000

 

 

1,542,750

 

San Bernardino Community College
District California, GO, CAB, Election of
2008, Series B, 0.00%, 8/01/34 (a)

 

 

10,000

 

 

8,074,800

 

San Diego County Water Authority, COP,
Refunding, Series 2008-A (AGM),
5.00%, 5/01/38

 

 

3,000

 

 

3,292,980

 

San Diego Unified School District
California, GO, CAB, Election of 2008,
Series C, 5.02%, 7/01/38 (b)

 

 

2,200

 

 

608,498

 

San Diego Unified School District
California, GO, Refunding, CAB,
Series R-1, 4.64%, 7/01/31 (b)

 

 

1,725

 

 

724,759

 

San Joaquin County Transportation
Authority, Refunding RB, Limited Tax,
Measure K, Series A, 6.00%, 3/01/36

 

 

900

 

 

1,102,194

 

San Jose Unified School District Santa
Clara County California, GO, Election
of 2002, Series B (NPFGC), 5.00%,
8/01/29

 

 

2,825

 

 

3,094,787

 

 

 

 

 

 

 

 

 

 

BLACKROCK MUNIYIELD QUALITY FUND, INC.

JULY 31, 2012

1

 

 

 

 

Schedule of Investments (continued)

BlackRock MuniYield Quality Fund, Inc. (MQY)

(Percentages shown are based on Net Assets)

 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

California (concluded)

 

 

 

 

 

 

 

San Marcos Unified School District, GO,
Election of 2010, Series A:

 

 

 

 

 

 

 

5.00%, 8/01/34

 

$

900

 

$

1,018,296

 

5.00%, 8/01/38

 

 

760

 

 

849,855

 

State of California, GO:

 

 

 

 

 

 

 

5.50%, 4/01/28

 

 

5

 

 

5,320

 

Various Purpose, 5.50%,
3/01/40

 

 

2,000

 

 

2,295,900

 

Various Purpose, 5.00%,
4/01/42

 

 

1,500

 

 

1,641,870

 

State of California, GO, Refunding:

 

 

 

 

 

 

 

5.13%, 6/01/27

 

 

30

 

 

30,099

 

5.00%, 2/01/38

 

 

2,000

 

 

2,193,240

 

Various Purpose, 5.00%,
9/01/41

 

 

2,300

 

 

2,508,426

 

Various Purpose, 5.00%,
10/01/41

 

 

1,300

 

 

1,418,677

 

Ventura County Community College
District, GO, Election of 2002,
Series B (NPFGC), 5.00%, 8/01/30

 

 

1,825

 

 

2,020,202

 

Yosemite Community College District,
GO, CAB, Election of 2004, Series D,
5.12%, 8/01/36 (b)

 

 

15,000

 

 

4,462,200

 

 

 

 

 

 

 

95,273,222

 

Colorado — 0.7%

 

 

 

 

 

 

 

Colorado Health Facilities Authority, RB,
Covenant Retirement Communities,
Series A (Radian), 5.50%, 12/01/27

 

 

1,500

 

 

1,519,530

 

Regional Transportation District, COP,
Refunding, Series A, 5.38%, 6/01/31

 

 

1,885

 

 

2,148,787

 

 

 

 

 

 

 

3,668,317

 

Florida — 9.0%

 

 

 

 

 

 

 

City of Jacksonville, Refunding RB,
Series A, 5.00%, 10/01/30

 

 

380

 

 

435,039

 

County of Duval Florida, COP, Master
Lease Program (AGM), 5.00%,
7/01/33

 

 

4,765

 

 

5,174,790

 

County of Lee Florida, Refunding ARB,
Series A, AMT:

 

 

 

 

 

 

 

5.63%, 10/01/26

 

 

1,280

 

 

1,457,267

 

5.38%, 10/01/32

 

 

1,700

 

 

1,871,751

 

County of Miami-Dade Florida, GO,
Building Better Communities Program,
Series B, 6.38%, 7/01/28

 

 

3,300

 

 

3,985,047

 

County of Miami-Dade Florida, RB,
Water and Sewer System (AGM),
5.00%, 10/01/39

 

 

4,000

 

 

4,461,920

 

County of Miami-Dade Florida,
Refunding RB:

 

 

 

 

 

 

 

Miami International Airport, AMT
(AGC), 5.00%, 10/01/40

 

 

8,200

 

 

8,606,228

 

Series A, 5.50%, 10/01/36

 

 

6,490

 

 

7,434,425

 

 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

Florida (concluded)

 

 

 

 

 

 

 

Florida Ports Financing Commission,
Refunding RB, State Transportation
Trust Fund, Series B, AMT:

 

 

 

 

 

 

 

5.13%, 6/01/27

 

$

1,395

 

$

1,604,780

 

5.38%, 10/01/29

 

 

1,900

 

 

2,194,937

 

Florida State Department of
Environmental Protection, RB,
Series B (NPFGC), 5.00%, 7/01/27

 

 

1,350

 

 

1,505,858

 

Highlands County Health Facilities
Authority, RB, Adventist Health
System/Sunbelt, Series B, 6.00%,
11/15/37

 

 

1,250

 

 

1,467,000

 

Hillsborough County Aviation Authority
Florida, RB, Series A, AMT (AGC),
5.38%, 10/01/33

 

 

2,700

 

 

2,919,348

 

Sarasota County Public Hospital District,
RB, Sarasota Memorial Hospital
Project, Series A, 5.63%, 7/01/39

 

 

375

 

 

412,680

 

South Florida Water Management
District, COP:

 

 

 

 

 

 

 

(AGC), 5.00%, 10/01/22

 

 

700

 

 

800,261

 

(AMBAC), 5.00%, 10/01/36

 

 

1,500

 

 

1,593,045

 

 

 

 

 

 

 

45,924,376

 

Georgia — 1.7%

 

 

 

 

 

 

 

Burke County Development Authority,
Refunding RB, Oglethorpe Power,
Vogtle Project, Series C, 5.70%,
1/01/43

 

 

3,150

 

 

3,431,074

 

City of Atlanta Georgia, Refunding GARB,
Subordinate Lien, Series C (AGM),
5.00%, 1/01/33

 

 

5,000

 

 

5,293,200

 

 

 

 

 

 

 

8,724,274

 

Illinois — 19.2%

 

 

 

 

 

 

 

Chicago Board of Education Illinois, GO,
Series A, 5.50%, 12/01/39

 

 

3,180

 

 

3,707,308

 

Chicago Board of Education Illinois, GO,
Refunding, Chicago School Reform
Board, Series A (NPFGC), 5.50%,
12/01/26

 

 

2,000

 

 

2,486,960

 

Chicago Transit Authority, RB, Sales Tax
Receipts, 5.25%, 12/01/36

 

 

840

 

 

959,742

 

City of Chicago Illinois, ARB, General,
Third Lien, Series B-2, AMT (AGM),
5.75%, 1/01/24

 

 

4,000

 

 

4,196,320

 

City of Chicago Illinois, GARB, AMT:

 

 

 

 

 

 

 

O’Hare International Airport, Third
Lien, Series B-2, (AGM), 5.75%,
1/01/23

 

 

3,400

 

 

3,566,872

 

Third Lien, Series B-2, (Syncora),
6.00%, 1/01/29

 

 

3,300

 

 

3,494,370

 

City of Chicago Illinois, GO:

 

 

 

 

 

 

 

CAB, City Colleges, (NPFGC), 4.57%,
1/01/31 (b)

 

 

13,000

 

 

5,656,300

 

 

 

 

 

 

 

 

 

 

BLACKROCK MUNIYIELD QUALITY FUND, INC.

JULY 31, 2012

2

 

 

 

 

Schedule of Investments (continued)

BlackRock MuniYield Quality Fund, Inc. (MQY)

(Percentages shown are based on Net Assets)


 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

Illinois (concluded)

 

 

 

 

 

 

 

City of Chicago Illinois, GO (concluded):

 

 

 

 

 

 

 

Harbor Facilities, Series C,
5.25%, 1/01/40

 

$

750

 

$

847,868

 

City of Chicago Illinois, Refunding GARB,
AMT:

 

 

 

 

 

 

 

O’Hare International Airport, Third
Lien, Series A, (NPFGC), 5.75%,
1/01/21

 

 

5,500

 

 

5,520,845

 

Third Lien, Series A, (NPFGC),
5.38%, 1/01/32

 

 

5,000

 

 

5,013,650

 

Third Lien, Series A-2, (AGM),
5.75%, 1/01/21

 

 

2,665

 

 

2,802,701

 

City of Chicago Illinois, Refunding RB,
Waterworks Revenue, Second Lien,
Series A (AMBAC), 5.00%, 11/01/36

 

 

1,500

 

 

1,616,940

 

City of Chicago Illinois O’Hare
International Airport, RB, Third Lien,
Series A, 5.75%, 1/01/39

 

 

5,500

 

 

6,483,070

 

Cook County Forest Preserve District,
GO, Series C, 5.00%, 12/15/37

 

 

440

 

 

492,725

 

Cook County Forest Preserve District,
GO, Refunding, Limited Tax Project,
Series B, 5.00%, 12/15/37

 

 

380

 

 

425,535

 

County of Cook Illinois, GO, CAB, Series C
(AMBAC), 5.50%, 11/15/12 (c)

 

 

5,080

 

 

5,158,080

 

Illinois Finance Authority, RB, Carle
Foundation, Series A, 5.75%,
8/15/34

 

 

850

 

 

944,171

 

Illinois HDA, RB, Housing Bonds, Liberty
Arms Senior Apartments, Series D,
AMT (AMBAC), 4.88%, 7/01/47

 

 

2,785

 

 

2,818,448

 

Illinois Sports Facilities Authority, RB,
State Tax Supported (AMBAC), 5.50%,
6/15/30

 

 

26,525

 

 

28,975,114

 

Metropolitan Pier & Exposition Authority,
RB, CAB, McCormick Place Expansion
Project, Series A (NPFGC), 4.53%,
6/15/30 (b)

 

 

15,000

 

 

6,736,050

 

Metropolitan Pier & Exposition Authority,
Refunding RB, CAB, McCormick Place
Expansion Project, Series B (AGM),
5.12%, 6/15/44 (b)

 

 

4,625

 

 

923,242

 

Railsplitter Tobacco Settlement
Authority, RB, 6.00%, 6/01/28

 

 

900

 

 

1,047,339

 

Regional Transportation Authority, RB,
Series B (NPFGC), 5.75%, 6/01/33

 

 

3,200

 

 

4,185,440

 

 

 

 

 

 

 

98,059,090

 

Indiana — 1.5%

 

 

 

 

 

 

 

Indiana Finance Authority, RB, First Lien,
CWA Authority, Series A, 5.25%,
10/01/38

 

 

1,400

 

 

1,620,360

 

Indiana Municipal Power Agency, RB:

 

 

 

 

 

 

 

Series A, (NPFGC), 5.00%, 1/01/37

 

 

1,150

 

 

1,235,583

 

 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

Indiana (concluded)

 

 

 

 

 

 

 

Indiana Municipal Power Agency, RB
(concluded):

 

 

 

 

 

 

 

Series B, 5.75%, 1/01/34

 

$

550

 

$

581,680

 

Indianapolis Local Public Improvement
Bond Bank, Refunding RB,
Waterworks Project, Series A:

 

 

 

 

 

 

 

5.75%, 1/01/38

 

 

1,300

 

 

1,485,211

 

(AGC), 5.25%, 1/01/29

 

 

2,350

 

 

2,665,276

 

 

 

 

 

 

 

7,588,110

 

Iowa — 3.6%

 

 

 

 

 

 

 

Iowa Finance Authority, RB, Series A
(AGC), 5.63%, 8/15/37

 

 

7,700

 

 

8,743,735

 

Iowa Student Loan Liquidity Corp., RB,
Senior, Series A-2, AMT:

 

 

 

 

 

 

 

5.60%, 12/01/26

 

 

2,360

 

 

2,647,566

 

5.70%, 12/01/27

 

 

2,360

 

 

2,649,572

 

5.80%, 12/01/29

 

 

1,595

 

 

1,787,740

 

5.85%, 12/01/30

 

 

2,150

 

 

2,404,925

 

 

 

 

 

 

 

18,233,538

 

Louisiana — 1.1%

 

 

 

 

 

 

 

Louisiana Public Facilities Authority,
Refunding RB, Christus Health,
Series B (AGC), 6.50%, 7/01/30

 

 

1,800

 

 

2,131,722

 

Parish of Saint John the Baptist
Louisiana, RB, Marathon Oil Corp.,
Series A, 5.13%, 6/01/37

 

 

1,000

 

 

1,062,030

 

Parish of St. Charles Louisiana, RB,
Valero Energy Corp. Project, 4.00%,
12/01/40 (d)

 

 

2,110

 

 

2,232,190

 

 

 

 

 

 

 

5,425,942

 

Maine — 0.1%

 

 

 

 

 

 

 

Maine State Housing Authority,
Refunding RB, Series B-1, AMT,
4.25%, 11/15/27

 

 

455

 

 

468,796

 

Massachusetts — 3.0%

 

 

 

 

 

 

 

Massachusetts HFA, RB, AMT:

 

 

 

 

 

 

 

Rental Mortgage, Series C, (AGM),
5.60%, 1/01/45

 

 

4,000

 

 

4,004,000

 

S/F Housing, Series 128, (AGM),
4.88%, 12/01/38

 

 

1,370

 

 

1,407,853

 

S/F, Series 124, 5.00%,
12/01/31

 

 

2,770

 

 

2,858,114

 

Massachusetts HFA, Refunding RB,
Series C, AMT:

 

 

 

 

 

 

 

5.00%, 12/01/30

 

 

3,000

 

 

3,216,570

 

5.35%, 12/01/42

 

 

1,525

 

 

1,635,364

 

Massachusetts Water Resources
Authority, Refunding RB, General,
Series A (NPFGC), 5.00%, 8/01/34

 

 

1,800

 

 

2,055,726

 

 

 

 

 

 

 

15,177,627

 

 

 

 

 

 

 

 

 

 

BLACKROCK MUNIYIELD QUALITY FUND, INC.

JULY 31, 2012

3

 

 

 

 

Schedule of Investments (continued)

BlackRock MuniYield Quality Fund, Inc. (MQY)

(Percentages shown are based on Net Assets)


 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

Michigan — 8.7%

 

 

 

 

 

 

 

City of Detroit Michigan, Refunding RB:

 

 

 

 

 

 

 

Second Lien, Series E, (BHAC),
5.75%, 7/01/31

 

$

8,300

 

$

9,509,393

 

Series D, (NPFGC), 5.00%, 7/01/28

 

 

3,500

 

 

3,601,290

 

Series D, (NPFGC), 5.00%, 7/01/33

 

 

1,000

 

 

1,020,250

 

Kalamazoo Hospital Finance Authority,
RB, Bronson Methodist Hospital
(AGM), 5.25%, 5/15/36

 

 

445

 

 

492,232

 

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

 

 

2,500

 

 

2,962,100

 

Michigan Higher Education Student
Loan Authority, Refunding RB,
Series XVII-G, AMT (AMBAC), 5.20%,
9/01/20

 

 

2,140

 

 

2,142,932

 

Michigan State Building Authority,
Refunding RB, Facilities Program:

 

 

 

 

 

 

 

Series I-A, 5.38%, 10/15/36

 

 

1,200

 

 

1,382,844

 

Series I-A, 5.38%, 10/15/41

 

 

1,000

 

 

1,149,820

 

Series II-A, (AGM), 5.25%,
10/15/36

 

 

4,270

 

 

4,893,335

 

Michigan State HDA, RB, Series C, AMT,
5.50%, 12/01/28

 

 

1,375

 

 

1,490,321

 

Michigan Strategic Fund, Refunding RB,
Detroit Edison Co. Project, AMT
(Syncora):

 

 

 

 

 

 

 

Series A, 5.50%, 6/01/30

 

 

1,700

 

 

1,728,033

 

Series C, 5.45%, 12/15/32

 

 

5,800

 

 

5,824,708

 

Royal Oak Hospital Finance Authority
Michigan, Refunding RB, William
Beaumont Hospital, 8.25%, 9/01/39

 

 

3,510

 

 

4,527,584

 

State of Michigan, RB, GAB (AGM),
5.25%, 9/15/26

 

 

3,350

 

 

3,742,218

 

 

 

 

 

 

 

44,467,060

 

Minnesota — 0.6%

 

 

 

 

 

 

 

City of Minneapolis Minnesota,
Refunding RB, Fairview Health
Services, Series B (AGC), 6.50%,
11/15/38

 

 

2,700

 

 

3,236,085

 

Mississippi — 0.2%

 

 

 

 

 

 

 

Medical Center Educational Building
Corp., RB, University of Mississippi
Medical Center Facilities, Expansion &
Renovation Project, Series A, 5.00%,
6/01/41

 

 

1,000

 

 

1,127,390

 

Nebraska — 0.2%

 

 

 

 

 

 

 

Central Plains Energy Project Nebraska,
RB, Gas Project No. 3, 5.25%,
9/01/37

 

 

1,000

 

 

1,061,130

 

Nevada — 3.0%

 

 

 

 

 

 

 

City of Carson City Nevada, RB, Carson-
Tahoe Hospital Project, Series A
(Radian), 5.50%, 9/01/33

 

 

2,900

 

 

3,121,560

 

 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

Nevada (concluded)

 

 

 

 

 

 

 

City of Las Vegas Nevada, GO, Limited
Tax, Performing Arts Center, 6.00%,
4/01/34

 

$

1,150

 

$

1,354,723

 

County of Clark Nevada, ARB,
Subordinate Lien, Series A-2 (NPFGC):

 

 

 

 

 

 

 

5.00%, 7/01/30

 

 

1,000

 

 

1,053,020

 

5.00%, 7/01/36

 

 

9,350

 

 

9,898,284

 

 

 

 

 

 

 

15,427,587

 

New Jersey — 4.8%

 

 

 

 

 

 

 

New Jersey EDA, RB:

 

 

 

 

 

 

 

Cigarette Tax, (Radian), 5.50%,
6/15/14 (c)

 

 

1,285

 

 

1,408,232

 

Motor Vehicle Surcharge, Series A,
(NPFGC), 5.25%, 7/01/31

 

 

12,375

 

 

13,247,190

 

New Jersey Higher Education Student
Assistance Authority, Refunding RB,
Series 1, AMT:

 

 

 

 

 

 

 

5.50%, 12/01/25

 

 

800

 

 

922,496

 

5.75%, 12/01/27

 

 

375

 

 

433,965

 

5.75%, 12/01/28

 

 

400

 

 

459,768

 

5.88%, 12/01/33

 

 

1,980

 

 

2,227,262

 

New Jersey Transportation Trust Fund
Authority, RB, Series B, 5.25%,
6/15/36

 

 

2,585

 

 

2,978,463

 

New Jersey Transportation Trust Fund
Authority, RB, Transportation System,
Series A (NPFGC), 5.75%, 6/15/25

 

 

2,000

 

 

2,586,620

 

 

 

 

 

 

 

24,263,996

 

New York — 2.5%

 

 

 

 

 

 

 

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

 

 

1,000

 

 

1,172,070

 

New York HFA, RB, Affordable Housing,
Series B, 5.30%, 11/01/37

 

 

3,350

 

 

3,529,862

 

New York State Dormitory Authority,
ERB, Series B, 5.75%, 3/15/36

 

 

2,000

 

 

2,417,340

 

New York State Thruway Authority, RB,
Series I, 5.00%, 1/01/37

 

 

2,815

 

 

3,187,396

 

Port Authority of New York & New Jersey,
Refunding RB, Consolidated Bonds,
Series 172, AMT, 4.50%, 4/01/37

 

 

2,270

 

 

2,439,274

 

 

 

 

 

 

 

12,745,942

 

Ohio — 0.5%

 

 

 

 

 

 

 

County of Allen Ohio, Refunding RB,
Hospital Facilities, Catholic Health
Partners, Series A, 5.00%, 5/01/42

 

 

1,000

 

 

1,090,990

 

County of Lucas Ohio, Refunding RB,
Promedica Healthcare, Series A,
6.50%, 11/15/37

 

 

725

 

 

905,967

 

Kent State University, ERB, General
Receipts, Series A, 5.00%, 5/01/37

 

 

570

 

 

645,115

 

 

 

 

 

 

 

2,642,072

 

 

 

 

 

 

 

 

 

 

BLACKROCK MUNIYIELD QUALITY FUND, INC.

JULY 31, 2012

4

 

 

 

 

Schedule of Investments (continued)

BlackRock MuniYield Quality Fund, Inc. (MQY)
(Percentages shown are based on Net Assets)

 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

Pennsylvania — 1.6%

 

 

 

 

 

 

 

Pennsylvania HFA, Refunding RB, S/F,
Series 99A, AMT, 5.25%, 10/01/32

 

$

350

 

$

354,396

 

Pennsylvania Turnpike Commission, RB,
Subordinate, Special Motor License
Fund:

 

 

 

 

 

 

 

6.00%, 12/01/36

 

 

775

 

 

952,979

 

5.50%, 12/01/41

 

 

6,000

 

 

7,026,120

 

 

 

 

 

 

 

8,333,495

 

Puerto Rico — 4.1%

 

 

 

 

 

 

 

Puerto Rico Electric Power Authority, RB,
Series A, 5.00%, 7/01/42

 

 

1,000

 

 

1,029,120

 

Puerto Rico Sales Tax Financing Corp.,
RB, First Sub-Series A:

 

 

 

 

 

 

 

6.38%, 8/01/39

 

 

4,700

 

 

5,567,761

 

6.00%, 8/01/42

 

 

5,000

 

 

5,654,150

 

Puerto Rico Sales Tax Financing Corp.,
Refunding RB:

 

 

 

 

 

 

 

CAB, Series A, (NPFGC), 5.55%,
8/01/41 (b)

 

 

28,000

 

 

5,722,080

 

First Sub-Series C, 6.00%,
8/01/39

 

 

1,050

 

 

1,204,171

 

First Sub-Series C, 5.50%,
8/01/40

 

 

1,630

 

 

1,764,671

 

 

 

 

 

 

 

20,941,953

 

South Carolina — 0.6%

 

 

 

 

 

 

 

South Carolina Jobs-EDA, Refunding RB,
Palmetto Health, Series A (AGM),
6.50%, 8/01/39

 

 

320

 

 

386,966

 

South Carolina Transportation
Infrastructure Bank, RB, Series A,
5.25%, 10/01/40

 

 

2,500

 

 

2,790,175

 

 

 

 

 

 

 

3,177,141

 

Tennessee — 0.8%

 

 

 

 

 

 

 

Memphis Center City Revenue Finance
Corp., RB, Subordinate, Pyramid &
Pinch District, Series B, 5.25%,
11/01/30

 

 

3,520

 

 

4,177,325

 

Texas — 9.3%

 

 

 

 

 

 

 

Bell County Health Facility Development
Corp. Texas, RB, Lutheran General
Health Care System, 6.50%,
7/01/19 (e)

 

 

1,000

 

 

1,259,630

 

City of Houston Texas, Refunding RB,
Combined, First Lien, Series A (AGC),
6.00%, 11/15/35

 

 

2,850

 

 

3,475,148

 

Comal ISD, GO, School Building (PSF-
GTD), 5.00%, 2/01/36

 

 

2,500

 

 

2,776,475

 

Dallas-Fort Worth International Airport
Facilities Improvement Corp.,
Refunding RB, Joint Series A, AMT
(NPFGC):

 

 

 

 

 

 

 

5.88%, 11/01/17

 

 

520

 

 

521,981

 

 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

Texas (concluded)

 

 

 

 

 

 

 

Dallas-Fort Worth International Airport
Facilities Improvement Corp.,
Refunding RB, Joint Series A, AMT
(NPFGC) (concluded):

 

 

 

 

 

 

 

5.88%, 11/01/18

 

$

610

 

$

612,324

 

5.88%, 11/01/19

 

 

680

 

 

682,489

 

Lone Star College System, GO, 5.00%,
8/15/33

 

 

4,800

 

 

5,570,832

 

Mansfield ISD Texas, GO, School
Building (PSF-GTD), 5.00%, 2/15/33

 

 

2,300

 

 

2,620,459

 

North Texas Tollway Authority,
Refunding RB:

 

 

 

 

 

 

 

Series A, 6.00%, 1/01/28

 

 

3,380

 

 

3,991,543

 

System, (NPFGC), 5.75%, 1/01/40

 

 

12,300

 

 

13,770,219

 

Texas State Turnpike Authority, RB,
First Tier, Series A (AMBAC):

 

 

 

 

 

 

 

5.75%, 8/15/38

 

 

7,200

 

 

7,260,048

 

5.00%, 8/15/42

 

 

5,045

 

 

5,046,312

 

 

 

 

 

 

 

47,587,460

 

Utah — 3.2%

 

 

 

 

 

 

 

City of Salt Lake City Utah, Refunding
RB, IHC Hospitals Inc. (NPFGC),
6.30%, 2/15/15 (e)

 

 

15,000

 

 

16,299,300

 

Vermont — 0.0%

 

 

 

 

 

 

 

Vermont HFA, Refunding RB, Multiple
Purpose, Series C, AMT (AGM), 5.50%,
11/01/38

 

 

60

 

 

63,854

 

Washington — 1.5%

 

 

 

 

 

 

 

Central Puget Sound Regional Transit
Authority, RB, Series A, 5.00%,
11/01/36

 

 

2,000

 

 

2,278,160

 

Washington Health Care Facilities
Authority, RB:

 

 

 

 

 

 

 

Multicare Health System,
Series A, 5.00%, 8/15/44

 

 

1,315

 

 

1,427,353

 

Providence Health & Services,
Series A, 5.00%, 10/01/39

 

 

1,525

 

 

1,656,211

 

Providence Health & Services,
Series A, 5.25%, 10/01/39

 

 

850

 

 

943,194

 

Washington Health Care Facilities
Authority, Refunding RB, Providence
Health & Services, Series A, 5.00%,
10/01/42

 

 

1,155

 

 

1,288,472

 

 

 

 

 

 

 

7,593,390

 

Wisconsin — 0.4%

 

 

 

 

 

 

 

Wisconsin Health & Educational
Facilities Authority, RB, Ascension
Health Senior Credit Group, 5.00%,
11/15/33

 

 

1,850

 

 

2,050,929

 

Total Municipal Bonds – 105.0%

 

 

 

 

  

536,641,425

 

 

 

 

 

 

 

 

 

 

BLACKROCK MUNIYIELD QUALITY FUND, INC.

JULY 31, 2012

5

 

 

 

 

Schedule of Investments (continued)

BlackRock MuniYield Quality Fund, Inc. (MQY)
(Percentages shown are based on Net Assets)

 

 

 

 

 

 

 

 

Municipal Bonds Transferred to Tender Option Bond (TOB) Trusts (f)

 

Par
(000)

 

Value

 

Arizona — 2.3%

 

 

 

 

 

 

 

Phoenix Civic Improvement Corp., RB,
Subordinate, Civic Plaza Expansion
Project, Series A, 5.00%, 7/01/37

 

$

8,000

 

$

8,697,920

 

Salt River Project Agricultural
Improvement & Power District, RB,
Series A, 5.00%, 1/01/38

 

 

2,750

 

 

3,056,433

 

 

 

 

 

 

 

11,754,353

 

California — 4.8%

 

 

 

 

 

 

 

California State University, Refunding
RB, Systemwide, Series A (AGM),
5.00%, 11/01/32

 

 

7,000

 

 

7,947,870

 

Los Angeles Community College District
California, GO, Election of 2001,
Series A (AGM), 5.00%, 8/01/32

 

 

6,120

 

 

6,899,321

 

Los Angeles Community College District
California, GO, Refunding, Election of
2008, Series A, 6.00%, 8/01/33

 

 

2,639

 

 

3,213,425

 

San Diego Community College District
California, GO, Election of 2002,
5.25%, 8/01/33

 

 

509

 

 

596,387

 

San Diego County Water Authority, COP,
Refunding, Series 2008-A (AGM),
5.00%, 5/01/33

 

 

5,170

 

 

5,740,975

 

 

 

 

 

 

 

24,397,978

 

Colorado — 0.3%

 

 

 

 

 

 

 

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

 

 

1,220

 

 

1,394,136

 

District of Columbia — 1.1%

 

 

 

 

 

 

 

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

 

 

1,320

 

 

1,649,833

 

Metropolitan Washington Airports
Authority, Refunding ARB, AMT,
5.00%, 10/01/30

 

 

3,400

 

 

3,905,138

 

 

 

 

 

 

 

5,554,971

 

Florida — 13.4%

 

 

 

 

 

 

 

City of Tallahassee Florida, RB, Energy
System (NPFGC):

 

 

 

 

 

 

 

5.00%, 10/01/32

 

 

2,700

 

 

2,921,616

 

5.00%, 10/01/37

 

 

6,000

 

 

6,483,600

 

County of Miami-Dade Florida, RB:

 

 

 

 

 

 

 

Transit System Sales, Surtax
Revenue, 5.00%, 7/01/42

 

 

2,390

 

 

2,681,747

 

Water & Sewer System, (AGM),
5.00%, 10/01/39

 

 

8,728

 

 

9,736,063

 

County of Seminole Florida, Refunding
RB, Series B (NPFGC), 5.25%,
10/01/31

 

 

6,300

 

 

8,044,848

 

 

 

 

 

 

 

 

 

Municipal Bonds Transferred to Tender Option Bond (TOB) Trusts (f)

 

Par
(000)

 

Value

 

Florida (concluded)

 

 

 

 

 

 

 

Florida State Board of Education, GO,
Series D, 5.00%, 6/01/37

 

$

2,399

 

$

2,757,876

 

Highlands County Health Facilities
Authority, RB, Adventist, Series C,
5.25%, 11/15/36

 

 

5,990

 

 

6,403,789

 

Jacksonville Electric Authority Florida,
RB, Sub-Series A, 5.63%, 10/01/32

 

 

4,310

 

 

4,975,464

 

Miami-Dade County School Board, COP,
Refunding, Series B (AGC), 5.25%,
5/01/27

 

 

11,350

 

 

12,874,986

 

Orange County School Board, COP,
Series A:

 

 

 

 

 

 

 

(AGC), 5.50%, 8/01/34

 

 

3,545

 

 

4,101,324

 

(NPFGC), 5.00%, 8/01/30

 

 

2,000

 

 

2,204,440

 

(NPFGC), 5.00%, 8/01/31

 

 

5,000

 

 

5,393,850

 

 

 

 

 

 

 

68,579,603

 

Georgia — 1.1%

 

 

 

 

 

 

 

Augusta-Richmond County Georgia, RB,
Water & Sewer (AGM), 5.25%,
10/01/34

 

 

5,000

 

 

5,394,450

 

Hawaii — 1.3%

 

 

 

 

 

 

 

Honolulu City & County Board of Water
Supply, RB, Series A (NPFGC), 5.00%,
7/01/14 (c)

 

 

6,000

 

 

6,537,300

 

Illinois — 6.1%

 

 

 

 

 

 

 

City of Chicago Illinois, RB, Motor Fuel
Tax, Series A (AGC), 5.00%, 1/01/38

 

 

4,000

 

 

4,253,000

 

City of Chicago Illinois, Refunding RB:

 

 

 

 

 

 

 

Sales Tax Revenue, Series A,
5.00%, 1/01/41

 

 

1,140

 

 

1,281,006

 

Waterworks, Second Lien, (AGM),
5.25%, 11/01/33

 

 

14,429

 

 

16,187,180

 

Illinois State Toll Highway Authority,
Refunding RB, Series B, 5.50%,
1/01/33

 

 

2,000

 

 

2,216,213

 

Metropolitan Pier & Exposition Authority,
RB, Series A, 5.00%, 6/15/42

 

 

360

 

 

400,241

 

State of Illinois, RB, Build Illinois,
Series B, 5.25%, 6/15/34

 

 

6,198

 

 

7,041,675

 

 

 

 

 

 

 

31,379,315

 

Massachusetts — 3.6%

 

 

 

 

 

 

 

Massachusetts School Building
Authority, RB, Sale Tax, Series A
(AGM), 5.00%, 8/15/30

 

 

16,500

 

 

18,260,622

 

Michigan — 1.7%

 

 

 

 

 

 

 

Michigan Finance Authority, Refunding
RB, Refunding Trinity Health, 5.00%,
12/01/39

 

 

8,100

 

 

8,971,479

 

Nevada — 1.7%

 

 

 

 

 

 

 

City of Las Vegas Nevada, GO, Limited
Tax, Performing Arts Center, 6.00%,
4/01/39

 

 

5,007

 

 

5,855,968

 

 

 

 

 

 

 

 

 

 

BLACKROCK MUNIYIELD QUALITY FUND, INC.

JULY 31, 2012

6

 

 

 

 

Schedule of Investments (continued)

BlackRock MuniYield Quality Fund, Inc. (MQY)

(Percentages shown are based on Net Assets)


 

 

 

 

 

 

 

 

Municipal Bonds Transferred to Tender Option Bond (TOB) Trusts (f)

 

Par
(000)

 

Value

 

Nevada (concluded)

 

 

 

 

 

 

 

Clark County Water Reclamation
District, GO, Series B, 5.75%,
7/01/34

 

$

2,429

 

$

3,057,909

 

 

 

 

 

 

 

8,913,877

 

New York — 6.5%

 

 

 

 

 

 

 

Erie County Industrial Development
Agency, RB, City School District of
Buffalo Project, Series A (AGM),
5.75%, 5/01/28

 

 

2,007

 

 

2,350,336

 

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

 

 

3,509

 

 

4,230,563

 

New York State Dormitory Authority,
ERB, Series B, 5.75%, 3/15/36

 

 

1,545

 

 

1,867,395

 

New York State Thruway Authority,
Refunding RB, Series G (AGM), 5.00%,
1/01/32

 

 

10,000

 

 

11,043,400

 

Port Authority of New York & New Jersey,
RB, Series 169, 5.00%, 10/15/34

 

 

10,830

 

 

12,180,176

 

Triborough Bridge & Tunnel Authority,
RB, General, Series A-2, 5.25%,
11/15/34

 

 

1,500

 

 

1,733,895

 

 

 

 

 

 

 

33,405,765

 

North Carolina — 0.5%

 

 

 

 

 

 

 

North Carolina HFA, RB, Series 31-A,
AMT, 5.25%, 7/01/38

 

 

2,259

 

 

2,354,210

 

Ohio — 0.2%

 

 

 

 

 

 

 

State of Ohio, RB, Cleveland Clinic
Health, Series B, 5.50%, 1/01/34

 

 

780

 

 

886,205

 

South Carolina — 1.1%

 

 

 

 

 

 

 

South Carolina State Public Service
Authority, Refunding RB, Santee
Cooper, Series A, 5.50%, 1/01/38

 

 

4,695

 

 

5,593,294

 

South Dakota — 0.7%

 

 

 

 

 

 

 

South Dakota HDA, Refunding RB,
Homeownership Mortgage, Series K,
5.05%, 5/01/36

 

 

3,574

 

 

3,651,026

 

Texas — 2.9%

 

 

 

 

 

 

 

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

 

 

5,900

 

 

7,133,071

 

Cypress-Fairbanks ISD, GO, Refunding,
Schoolhouse (PSF-GTD), 5.00%,
2/15/32

 

 

4,750

 

 

5,440,840

 

North East ISD Texas, GO, School
Building, Series A (PSF-GTD), 5.00%,
8/01/37

 

 

2,000

 

 

2,275,960

 

 

 

 

 

 

 

14,849,871

 

 

 

 

 

 

 

 

 

Municipal Bonds Transferred to Tender Option Bond (TOB) Trusts (f)

 

Par
(000)

 

Value

 

Virginia — 0.1%

 

 

 

 

 

 

 

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

 

$

450

 

$

513,817

 

Washington — 0.6%

 

 

 

 

 

 

 

Central Puget Sound Regional Transit
Authority, RB, Series A (AGM), 5.00%,
11/01/32

 

 

2,504

 

 

2,855,722

 

Wisconsin — 0.4%

 

 

 

 

 

 

 

Wisconsin Health & Educational
Facilities Authority, Refunding RB,
Froedtert & Community Health Inc.,
5.25%, 4/01/39

 

 

2,000

 

 

2,218,960

 

Total Municipal Bonds Transferred to Tender Option
Bond (TOB) Trusts – 50.4%

 

 

 

 

 

257,466,954

 

Total Long-Term Investments
(Cost – $717,865,771) – 155.4%

 

 

 

 

 

794,108,379

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Short-Term Securities

 

Shares

 

 

 

 

FFI Institutional Tax-Exempt Fund,
0.01%, 8/01/12 (g)(h)

 

 

8,153,239

 

 

8,153,239

 

Total Short-Term Securities
(Cost – $8,153,239) – 1.6%

 

 

 

 

 

8,153,239

 

Total Investments (Cost - $726,019,010*) – 157.0%

 

 

 

 

 

802,261,618

 

Other Assets Less Liabilities – 0.9%

 

 

 

 

 

4,473,626

 

Liability for TOB Trust Certificates, Including Interest
Expense and Fees Payable – (23.3)%

 

 

 

 

 

(119,079,504

)

VRDP Shares, at Liquidation Value – (34.6)%

 

 

 

 

 

(176,600,000

)

Net Assets Applicable to Common Shares– 100.0%

 

 

 

 

$

511,055,740

 

 

 

 

 

*

As of July 31, 2012, gross unrealized appreciation and gross unrealized depreciation based on cost for federal income tax purposes were as follows:


 

 

 

 

 

Tax cost

 

$

607,429,404

 

Gross unrealized appreciation

 

$

76,714,453

 

Gross unrealized depreciation

 

 

(889,878

)

Net unrealized appreciation

 

$

75,824,575

 

 

 

(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 is as of report date.


 

 

 

 

 

 

 

 

 

BLACKROCK MUNIYIELD QUALITY FUND, INC.

JULY 31, 2012

7

 

 

 

 

Schedule of Investments (concluded)

BlackRock MuniYield Quality Fund, Inc. (MQY)

 

 

(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)

Security is collateralized by Municipal or US Treasury obligations.

 

 

(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.

 

 

(g)

Investments in companies considered to be an affiliate of the Fund during the period, 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, 2012

 

Net
Activity

 

Shares
Held at
July 31, 2012

 

Income

 

FFI Institutional
Tax-Exempt
Fund

 

 

13,586,175

 

 

(5,432,936

)

 

8,153,239

 

$

713

 

 

 

(h)

Represents the current yield as of report date.


 

Portfolio Abbreviations

 

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


 

 

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

ERB

Education Revenue Bonds

GAB

Grant Anticipation Bonds

GARB

General Airport Revenue Bonds

GO

General Obligation Bonds

HDA

Housing Development Authority

HFA

Housing Finance Agency

IDA

Industrial Development Authority

ISD

Independent School District

NPFGC

National Public Finance Guarantee Corp.

PSF-GTD

Permanent School Fund Guaranteed

RB

Revenue Bonds

Radian

Radian Financial Guaranty

S/F

Single-Family

Syncora

Syncora Guarantee

 

 

 

•

Fair Value Measurements - Various inputs are used in determining the fair value of investments. These inputs to valuation techniques are categorized into a disclosure hierarchy consisting of three broad levels for financial reporting purposes as follows:

 

 

 

 

•

Level 1 — unadjusted 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)

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

The following table summarizes the Fund’s investments categorized in the disclosure hierarchy as of July 31, 2012:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Level 1

 

Level 2

 

Level 3

 

Total

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

Investments:

 

 

 

 

 

 

 

 

 

 

 

 

 

Long Term
Investments1.

 

 

—

 

$

794,108,379

 

 

—

 

$

794,108,379

 

Short-Term
Securities

 

$

8,153,239

 

 

—

 

 

—

 

 

8,153,239

 

Total

 

$

8,153,239

 

$

794,108,379

 

 

—

 

$

802,261,618

 

 

 

1

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

Certain of the Fund’s liabilities are held at carrying amount, which approximates fair value for financial reporting purposes. As of July 31, 2012, such liabilities are categorized within the disclosure hierarchy as follows:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Level 1

 

Level 2

 

Level 3

 

Total

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

TOB trust
certificates

 

 

—

 

$

(119,007,639

)

 

—

 

$

(119,007,639

)

VRDP
shares

 

 

—

 

 

(176,600,000

)

 

—

 

 

(176,600,000

)

Total

 

 

—

 

$

(295,607,639

)

 

—

 

$

(295,607,639

)

There were no transfers between levels during the period ended July 31, 2012.

 

 

 

 

 

 

 

 

 

BLACKROCK MUNIYIELD QUALITY FUND, INC.

JULY 31, 2012

8

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 MuniYield Quality Fund, Inc.

 

 
   
  By: /s/ John M. Perlowski  
    John M. Perlowski
    Chief Executive Officer (principal executive officer) of
    BlackRock MuniYield Quality Fund, Inc.
   
  Date: September 25, 2012
   
  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 MuniYield Quality Fund, Inc.
   
  Date: September 25, 2012
   
  By: /s/ Neal J. Andrews  
    Neal J. Andrews
    Chief Financial Officer (principal financial officer) of
    BlackRock MuniYield Quality Fund, Inc.
     
  Date: September 25, 2012