num.htm
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 811-6383

Nuveen Michigan Quality Income Municipal Fund, Inc.
(Exact name of registrant as specified in charter)

Nuveen Investments
333 West Wacker Drive
Chicago, IL 60606
(Address of principal executive offices) (Zip code)

Kevin J. McCarthy
Nuveen Investments
333 West Wacker Drive
Chicago, IL 60606
(Name and address of agent for service)

Registrant's telephone number, including area code: (312) 917-7700

Date of fiscal year end: February 28

Date of reporting period: August 31, 2012

Form N-CSR is to be used by management investment companies to file reports with the Commission not later than 10 days after the transmission to stockholders of any report that is required to be transmitted to stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may use the information provided on Form N-CSR in its regulatory, disclosure review, inspection, and policymaking roles.

A registrant is required to disclose the information specified by Form N-CSR, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-CSR unless the Form displays a currently valid Office of Management and Budget ("OMB") control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to Secretary, Securities and Exchange Commission, 450 Fifth Street, NW, Washington, DC 20549-0609. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. ss. 3507.


 
 

 


ITEM 1. REPORTS TO STOCKHOLDERS.
 
 
 
 

 
 
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Table of Contents

Chairman’s Letter to Shareholders
4
   
Portfolio Manager’s Comments
5
   
Fund Leverage and Other Information
10
   
Common Share Dividend and Price Information
12
   
Performance Overviews
14
   
Shareholder Meeting Report
21
   
Portfolios of Investments
22
   
Statement of Assets and Liabilities
61
   
Statement of Operations
63
   
Statement of Changes in Net Assets
65
   
Statement of Cash Flows
68
   
Financial Highlights
70
   
Notes to Financial Statements
82
   
Annual Investment Management Agreement Approval Process
96
   
Reinvest Automatically, Easily and Conveniently
105
   
Glossary of Terms Used in this Report
107
   
Additional Fund Information
111

 
 

 
 
Chairman’s
Letter to Shareholders
 
 
Dear Shareholders,
 
Investors have many reasons to remain cautious. The challenges in the Euro area are casting a shadow over global economies and financial markets. The political support for addressing fiscal issues is eroding as the economic and social impacts become more visible. At the same time, member nations appear unwilling to provide adequate financial support or to surrender sufficient sovereignty to strengthen the banks or unify the Euro area financial system. The gains made in reducing deficits, and the hard-won progress on winning popular acceptance of the need for economic austerity, are at risk. To their credit, European political leaders press on to find compromise solutions, but there is increasing concern that time will begin to run out.
 
In the U.S., strong corporate earnings have enabled the equity markets to withstand much of the downward pressures coming from weakening job creation, slower economic growth and political uncertainty. The Fed remains committed to low interest rates and announced on September 13, 2012 (after the close of this reporting period) another program of quantitative easing (QE3) to continue until mid-2015. Pre-election maneuvering has added to the already highly partisan atmosphere in Congress. The end of the Bush-era tax cuts and implementation of the spending restrictions of the Budget Control Act of 2011, both scheduled to take place at year-end, loom closer.
 
During the last year, U.S. based investors have experienced a sharp decline and a strong recovery in the equity markets. The experienced investment teams at Nuveen keep their eye on a longer time horizon and use their practiced investment disciplines to negotiate through market peaks and valleys to achieve long-term goals for investors. Experienced professionals pursue investments that will weather short-term volatility and at the same time, seek opportunities that are created by markets that overreact to negative developments. Monitoring this process is an important consideration for the Fund Board as it oversees your Nuveen Fund on your behalf.
 
As always, I encourage you to contact your financial consultant if you have any questions about your investment in a Nuveen Fund. On behalf of the other members of your Fund Board, we look forward to continuing to earn your trust in the months and years ahead.
 
Sincerely,
 
 
Robert P. Bremner
Chairman of the Board
October 22, 2012

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Portfolio Manager’s Comments

Nuveen Michigan Quality Income Municipal Fund, Inc. (NUM)
Nuveen Michigan Premium Income Municipal Fund, Inc. (NMP)
Nuveen Michigan Dividend Advantage Municipal Fund (NZW)
Nuveen Ohio Quality Income Municipal Fund, Inc. (NUO)
Nuveen Ohio Dividend Advantage Municipal Fund (NXI)
Nuveen Ohio Dividend Advantage Municipal Fund 2 (NBJ)
Nuveen Ohio Dividend Advantage Municipal Fund 3 (NVJ)
 
Portfolio manager Daniel Close reviews key investment strategies and the six-month performance of the Nuveen Michigan and Ohio Funds. Dan, who joined Nuveen in 2000, assumed portfolio management responsibility for these seven Funds in 2007.
 
What key strategies were used to manage the Michigan and Ohio Funds during the six-month reporting period ended August 31, 2012?
 
During this reporting period, municipal bond prices generally rallied, as strong demand and tight supply combined to create favorable market conditions for municipal bonds. Although the availability of tax-exempt supply improved over that of the same six-month period a year earlier, the pattern of new issuance remained light compared with long-term historical trends. This supply/demand dynamic served as a key driver of performance. Concurrent with rising prices, yields continued to decline across most maturities, especially at the longer end of the municipal yield curve, and the yield curve flattened. During this period, we saw an increasing number of borrowers come to market seeking to take advantage of the low rate environment, with approximately 60% of new municipal paper issued by borrowers that were calling existing debt and refinancing at lower rates.
 
In this environment, we continued to take a bottom-up approach to discovering sectors that appeared undervalued as well as individual credits that had the potential to perform well over the long term and helped us keep the Funds fully invested. During this period, the Michigan Funds found value in several areas of the market, including water and sewer, health care, local general obligation (GO) bonds, Michigan tobacco credits, and, in NUM, a higher education issue. We also added Michigan unemployment obligation assessment revenue bonds issued in June 2012 by the Michigan Finance Authority as a successor to short-term financing completed in December 2011. The new bonds, which were rated AAA by all three national rating agencies, were part of a $3 billion issue backed by a special tax on employers, with the proceeds used to eliminate the debt incurred when the state borrowed money from the federal government to pay unemployment benefits beginning in 2007.
 
Certain statements in this report are forward-looking statements. Discussions of specific investments are for illustration only and are not intended as recommendations of individual investments. The forward-looking statements and other views expressed herein are those of the portfolio manager as of the date of this report. Actual future results or occurrences may differ significantly from those anticipated in any forward-looking statements, and the views expressed herein are subject to change at any time, due to numerous market and other factors. The Funds disclaim any obligation to update publicly or revise any forward-looking statements or views expressed herein.
 
Ratings shown are the highest rating given by one of the following national rating agencies: Standard & Poor’s Group, Moody’s Investors Service, Inc. or Fitch, Inc. Credit ratings are subject to change. AAA, AA, A and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below investment grade ratings. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities. Holdings designated N/R are not rated by these national rating agencies.

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5

 
 

 
 
In the Ohio Funds, we also purchased water and sewer credits and local GOs as well as appropriation and dedicated tax issues. In addition, based on recent tobacco consumption data, NUO swapped some of its higher dollar-priced Buckeye tobacco holdings for tobacco bonds with lower dollar prices.
 
In general during this period, we focused on bonds with long intermediate to longer maturities. This enabled us to take advantage of attractive yields at the longer end of the municipal yield curve and also provided some protection for the Funds’ duration and yield curve positioning. We also purchased lower-rated bonds when we found attractive opportunities, as we believed these bonds continued to offer relative value.
 
Cash for new purchases during this period was generated primarily by the proceeds from a meaningful number of bond calls resulting from the increase in refinancings. During this period, we worked to redeploy these proceeds to keep the Funds as fully invested as possible. Overall, selling was minimal because the bonds in our portfolios generally offered higher yields than those available in the current marketplace. The Michigan Funds sold selected pre-refunded bonds to help finance the purchase of the Michigan unemployment bonds, while the Ohio Funds had only two sales of pre-refunded bonds during this period.
 
As of August 31, 2012, all seven of these Funds continued to use inverse floating rate securities. We employ inverse floaters for a variety of reasons, including duration management, income enhancement and total return enhancement.
 
How did the Funds perform?
 
Individual results for the Nuveen Michigan and Ohio Funds, as well as relevant index and peer group information, are presented in the accompanying table.
 
Average Annual Total Returns on Common Share Net Asset Value*
For periods ended 8/31/12

 
6-Month
1-Year
5-Year
10-Year
Michigan Funds
       
NUM
4.48%
13.71%
7.55%
6.27%
NMP
5.12%
13.38%
7.34%
6.04%
NZW
4.68%
13.91%
7.15%
6.28%
         
S&P Michigan Municipal Bond Index**
3.56%
9.87%
5.93%
5.23%
S&P Municipal Bond Index**
3.24%
9.35%
6.00%
5.28%
Lipper Michigan Municipal Debt Funds Classification Average**
4.81%
14.99%
7.18%
6.12%
         
Ohio Funds
       
NUO
4.37%
13.42%
7.81%
6.30%
NXI
4.27%
13.61%
7.51%
6.57%
NBJ
3.84%
13.14%
7.45%
6.41%
NVJ
4.43%
13.60%
7.51%
6.39%
         
S&P Ohio Municipal Bond Index**
4.42%
10.45%
5.50%
4.98%
S&P Municipal Bond Index**
3.24%
9.35%
6.00%
5.28%
Lipper Other States Municipal Debt Funds Classification Average**
4.63%
14.84%
7.25%
6.24%
 
 
Past performance is not predictive of future results. Current performance may be higher or lower than the data shown. Returns do not reflect the deduction of taxes that shareholders may have to pay on Fund distributions or upon the sale of Fund shares.
   
 
For additional information, see the Performance Overview for your Fund in this report.
   
*
Six-month returns are cumulative; all other returns are annualized.
   
**
Refer to Glossary of Terms Used in this Report for definitions. Indexes and Lipper averages are not available for direct investment.
 
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For the six months ended August 31, 2012, the cumulative returns on common share net asset value (NAV) for the three Michigan Funds exceeded the return for the S&P Michigan Municipal Bond Index. Among the Ohio Funds, NVJ, NUO and NXI performed in line with the S&P Ohio Municipal Bond Index, and NBJ trailed the S&P Ohio return. All seven Funds outperformed the S&P Municipal Bond Index. For the same period, NMP exceeded the average return for the Lipper Michigan Municipal Debt Funds Classification Average, NZW performed in line with this classification and NUM underperformed the Lipper Michigan average, while the Ohio Funds trailed the average return for the Lipper Other States Municipal Debt Funds Classification Average. Shareholders of the Ohio Funds should note that the performance of the Lipper Other States Classification represents the overall average of returns for funds from ten different states with a wide variety of municipal market conditions, which may make direct comparisons less meaningful.
 
Key management factors that influenced the Funds’ returns during this period included duration and yield curve positioning, credit exposure and sector allocation. The use of regulatory leverage also was an important positive factor affecting the Funds’ performance. Leverage is discussed in more detail later in this report.
 
In an environment of declining rates and flattening yield curve, municipal bonds with longer maturities generally outperformed those with shorter maturities during this period. Overall, credits at the longest end of the municipal yield curve posted the strongest returns, while bonds at the shortest end produced the weakest results. For the period, duration and yield curve positioning was a positive contributor to the performance of all of these Funds, which had heavier exposures to the outperforming longer segments of the yield curve and correspondingly smaller weightings in the shorter parts of the curve that produced weaker returns. All of the Funds also benefited from their holdings of zero coupon bonds, which generally outperformed the market during this period due to their longer durations.
 
Credit exposure was another important factor in the Funds’ performance during these six months, as lower quality bonds generally outperformed higher quality bonds. This outperformance was due in part to the greater demand for lower rated bonds as investors looked for investment vehicles offering higher yields. As investors became more comfortable taking on additional investment risk, credit spreads, or the difference in yield spreads between U.S. Treasury securities and comparable investments such as municipal bonds, narrowed through a variety of rating categories. As a result of this spread compression, the Funds generally benefited from their holdings of lower rated credits. Among the Michigan Funds, this was especially true in NMP, which had the highest allocation of bonds rated BBB, while NUM’s heavier weighting in AAA bonds detracted from its performance.
 
During this period, revenue bonds as a whole outperformed the general municipal market. Holdings that generally made positive contributions to the Funds’ returns included health care (together with hospitals), education, housing and transportation credits. Tobacco credits backed by the 1998 master tobacco settlement agreement also performed very well, as these bonds benefited from several market developments, including increased demand for higher yielding investments by investors who had become less risk-averse. In addition, based on recent data showing that cigarette sales

Nuveen Investments
 
7

 
 

 
 
had fallen less steeply than anticipated, the 46 states participating in the agreement, including Michigan and Ohio, stand to receive increased payments from the tobacco companies. As of August 31, 2012, all three of the Michigan Funds were overweight in tobacco bonds relative to the S&P Michigan Index, which benefited their performance as these bonds rallied. Although the Ohio Funds’ participation in this rally was restrained by their underweight relative to the S&P Ohio Index’s weighting in tobacco bonds, NUO benefited from having the largest allocation of tobacco credits among these Funds, while NBJ held the fewest of these bonds.
 
In contrast, pre-refunded bonds, which are often backed by U.S. Treasury securities, were the poorest performing market segment during this period. The underperformance of these bonds can be attributed primarily to their shorter effective maturities and higher credit quality. On the whole, the Ohio Funds held heavier weightings of pre-refunded bonds than the Michigan Funds, with NUO having the largest allocation of these bonds as of August 31, 2012, while NMP held the fewest pre-refunded bonds overall. General obligation (GO) bonds and utilities credits also lagged the performance of the general municipal market for this period.
 
APPROVED FUND REORGANIZATIONS
 
On April 18, 2012, the Funds’ Board of Directors/Trustees approved a series of reorganizations for all the Michigan and Ohio Funds included in this report. The reorganizations are intended to create a single larger state Fund, which would potentially offer shareholders the following benefits:

Lower Fund expense ratios (excluding the effects of leverage), as fixed costs are spread over a larger asset base;
   
Enhanced secondary market trading, as larger Funds potentially make it easier for investors to buy and sell Fund shares;
   
Lower per share trading costs through reduced bid/ask spreads due to a larger common share float; and
   
Increased Fund flexibility in managing the structure and cost of leverage over time.
 
The approved reorganizations are as follows:

 
Acquired Fund
Symbol
Acquiring Fund
Symbol
Nuveen Michigan Premium
NMP
Nuveen Michigan Quality
NUM
 
Income Municipal Fund, Inc.
 
Income Municipal Fund, Inc.
 
Nuveen Michigan3 Dividend
NZW
   
 
Advantage Municipal Fund
     
Nuveen Ohio Dividend
NXI
   
 
Advantage Municipal Fund
 
Nuveen Ohio Quality
 
Nuveen Ohio Dividend
NBJ
Income Municipal Fund, Inc.
NUO
 
Advantage Municipal Fund 2
     
Nuveen Ohio Dividend
NVJ
   
 
Advantage Municipal Fund 3
     
 
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If shareholders approve the reorganizations, and upon the closing of the reorganizations, the Acquired Funds will transfer their assets to the Acquiring Funds in exchange for common and preferred shares of the Acquiring Funds, and the assumption by the Acquiring Funds of the liabilities of the Acquired Funds. The Acquired Funds will then be liquidated, dissolved and terminated in accordance with their Declaration of Trust.In addition, shareholders of the Acquired Funds will become shareholders of the Acquiring Funds. Holders of common shares will receive newly issued common shares of the Acquiring Funds, the aggregate net asset value of which will be equal to the aggregate net asset value of the common shares of the Acquired Funds held immediately prior to the reorganizations (including for this purpose fractional Acquiring Fund shares to which shareholders would be entitled). Fractional shares will be sold on the open market and shareholders will receive cash in lieu of such fractional shares. Holders of preferred shares of each Acquired Fund will receive on a one-for-one basis newly issued preferred shares of their Acquiring Fund, in exchange for preferred shares of their Acquired Fund held immediately prior to the reorganization.

Nuveen Investments
 
9

 
 

 
 
Fund Leverage and
Other Information
 
IMPACT OF THE FUNDS’ LEVERAGE STRATEGIES ON PERFORMANCE
 
One important factor impacting the return of the Funds relative to their benchmarks was the Funds’ use of leverage. The Funds use leverage because their managers believe that, over time, leveraging provides opportunities for additional income and total return for common shareholders. However, use of leverage also can expose common shareholders to additional volatility. For example, as the prices of securities held by a Fund decline, the negative impact of these valuation changes on common share net asset value and common shareholder total return is magnified by the use of leverage. Conversely, leverage may enhance common share returns during periods when the prices of securities held by a Fund generally are rising. Leverage had a positive impact on the performance of the Funds over this reporting period.
 
THE FUNDS’ REGULATORY LEVERAGE
 
As of August 31, 2012, the Funds have issued and outstanding MuniFund Term Preferred (MTP) Shares or Variable Rate MuniFund Term Preferred (VMTP) Shares as shown in the accompanying tables.
 
MTP Shares

     
MTP Shares Issued
 
Annual
 
NYSE
Fund
Series
 
at Liquidation Value
 
Interest Rate
 
Ticker
NZW
2015
 
$  16,313,000
 
2.30%
 
NZW PrC
NXI
2015
 
$  19,450,000
 
2.35%
 
NXI PrC
NXI
2016
 
$  11,653,400
 
2.95%
 
NXI PrD
NBJ
2014
 
$  24,244,000
 
2.35%
 
NBJ PrA
NVJ
2014
 
$  18,470,150
 
2.35%
 
NVJ PrA
 
VMTP Shares
       
VMTP Shares Issued
Fund
 
Series
 
at Liquidation Value
NUM
 
2014
 
$  87,900,000
NMP
 
2014
 
$  53,900,000
NUO
 
2014
 
$  73,500,000
 
(Refer to Notes to Financial Statements, Footnote 1 – General Information and Significant Accounting Policies for further details on MTP and VMTP Shares.)

10
 
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RISK CONSIDERATIONS
 
Fund shares are not guaranteed or endorsed by any bank or other insured depository institution, and are not federally insured by the Federal Deposit Insurance Corporation. Past performance is no guarantee of future results. Fund common shares are subject to a variety of risks, including:
 
Investment and Market Risk. An investment in common shares is subject to investment risk, including the possible loss of the entire principal amount that you invest. Your investment in common shares represents an indirect investment in the municipal securities owned by the Fund, which generally trade in the over-the-counter markets. Your common shares at any point in time may be worth less than your original investment, even after taking into account the reinvestment of Fund dividends and distributions.
 
Price Risk. Shares of closed-end investment companies like these Funds frequently trade at a discount to their NAV. Your common shares at any point in time may be worth less than your original investment, even after taking into account the reinvestment of Fund dividends and distributions.
 
Leverage Risk. Each Fund’s use of leverage creates the possibility of higher volatility for the Fund’s per share NAV, market price, distributions and returns. There is no assurance that a Fund’s leveraging strategy will be successful.
 
Tax Risk. The tax treatment of Fund distributions may be affected by new IRS interpretations of the Internal Revenue Code and future changes in tax laws and regulations.
 
Issuer Credit Risk. This is the risk that a security in a Fund’s portfolio will fail to make dividend or interest payments when due.
 
Interest Rate Risk. Fixed-income securities such as bonds, preferred, convertible and other debt securities will decline in value if market interest rates rise.
 
Reinvestment Risk. If market interest rates decline, income earned from a Fund’s portfolio may be reinvested at rates below that of the original bond that generated the income.
 
Call Risk or Prepayment Risk. Issuers may exercise their option to prepay principal earlier than scheduled, forcing a Fund to reinvest in lower-yielding securities.
 
Inverse Floater Risk. The Funds invest in inverse floaters. Due to their leveraged nature, these investments can greatly increase a Fund’s exposure to interest rate risk and credit risk. In addition, investments in inverse floaters involve the risk that the Fund could lose more than its original principal investment.

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11

 
 

 
 
Common Share Dividend
and Price Information
 
DIVIDEND INFORMATION
 
During the six-month reporting period ended August 31, 2012, NVJ, NXI and NZW each had one monthly dividend reduction, while the dividends of NBJ, NMP, NUM and NUO remained stable throughout the reporting period.
 
All of the Funds in this report seek to pay stable dividends at rates that reflect each Fund’s past results and projected future performance. During certain periods, each Fund may pay dividends at a rate that may be more or less than the amount of net investment income actually earned by the Fund during the period. If a Fund has cumulatively earned more than it has paid in dividends, it holds the excess in reserve as undistributed net investment income (UNII) as part of the Fund’s NAV. Conversely, if a Fund has cumulatively paid dividends in excess of its earnings, the excess constitutes negative UNII that is likewise reflected in the Fund’s NAV. Each Fund will, over time, pay all of its net investment income as dividends to shareholders. As of August 31, 2012, all of the Funds in this report had positive UNII balances, based upon our best estimate, for tax purposes and positive UNII balances for financial reporting purposes.
 
COMMON SHARE REPURCHASES AND PRICE INFORMATION
 
As of August 31, 2012 and the since inception of the Funds’ repurchase programs, the Funds have cumulatively repurchased and retired their common shares as shown in the accompanying table. Since the inception of the Funds’ repurchase programs, NUO and NBJ have not repurchased any of their outstanding common shares.

 
Common Shares
 
% of Outstanding
Fund
Repurchased and Retired
 
Common Shares
NUM
160,700
 
1.4%
 
NMP
145,400
 
1.9%
 
NZW
13,900
 
0.7%
 
NUO
 
 
NXI
600
 
0.0%
*
NBJ
 
 
NVJ
1,700
 
0.1%
 
         
* Rounds to less than 0.1%.
       
 
12
 
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During the six-month reporting period, the Funds did not repurchase any of their outstanding common shares.
 
As of August 31, 2012, and during the current reporting period, the Funds’ common share prices were trading at (+) premiums and/or (-) discounts to their common share NAVs as shown in the accompanying table.

 
8/31/12
 
Six-Month Average
Fund
(+)Premium/(-) Discount
 
(+)Premium/(-) Discount
NUM
(-)4.07%
 
(-)3.42%
NMP
(-)4.38%
 
(-)3.87%
NZW
(-)5.92%
 
(-)5.73%
NUO
(+)6.77%
 
(+)2.90%
NXI
(+)1.55%
 
(-)1.09%
NBJ
(+)1.52%
 
(-)2.11%
NVJ
(+)1.93%
 
(-)0.59%
 
Nuveen Investments
 
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NUM
 
Nuveen Michigan
Performance
 
Quality Income
OVERVIEW
 
Municipal Fund, Inc.
   
as of August 31, 2012
 
               
Fund Snapshot
             
Common Share Price
       
$
15.55
 
Common Share Net Asset Value (NAV)
       
$
16.21
 
Premium/(Discount) to NAV
         
-4.07
%
Market Yield
         
5.71
%
Taxable-Equivalent Yield1
         
8.29
%
Net Assets Applicable to Common Shares ($000)
       
$
187,258
 
               
Leverage
             
Regulatory Leverage
         
31.95
%
Effective Leverage
         
34.70
%
               
Average Annual Total Returns
             
(Inception 10/17/91)
             
     
On Share Price
 
On NAV
6-Month (Cumulative)
   
3.89
%
 
4.48
%
1-Year
   
19.84
%
 
13.71
%
5-Year
   
8.75
%
 
7.55
%
10-Year
   
6.39
%
 
6.27
%
               
Portfolio Composition3
             
(as a % of total investments)
             
Tax Obligation/General
         
33.6
%
U.S. Guaranteed
         
15.4
%
Tax Obligation/Limited
         
12.7
%
Water and Sewer
         
11.2
%
Health Care
         
9.2
%
Utilities
         
6.7
%
Other
         
11.2
%
 
 
Refer to the Glossary of Terms Used in this Report for further definition of the terms used within this Fund’s Performance Overview page.
1
Taxable-Equivalent Yield represents the yield that must be earned on a fully taxable investment in order to equal the yield of the Fund on an after-tax basis. It is based on a combined federal and state income tax rate of 31.1%. When comparing this Fund to investments that generate qualified dividend income, the Taxable-Equivalent Yield is lower.
2
Ratings shown are the highest rating given by one of the following national rating agencies: Standard & Poor’s Group, Moody’s Investors Service, Inc. or Fitch, Inc. Credit ratings are subject to change. AAA, AA, A and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below-investment grade ratings. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities. Holdings designated N/R are not rated by these national rating agencies.
3
Holdings are subject to change.
 
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Nuveen Investments

 
 

 
 
NMP
 
Nuveen Michigan
Performance
 
Premium Income
OVERVIEW
 
Municipal Fund, Inc.
   
as of August 31, 2012
 
               
Fund Snapshot
             
Common Share Price
       
$
15.05
 
Common Share Net Asset Value (NAV)
       
$
15.74
 
Premium/(Discount) to NAV
         
-4.38
%
Market Yield
         
5.82
%
Taxable-Equivalent Yield1
         
8.45
%
Net Assets Applicable to Common Shares ($000)
       
$
119,693
 
               
Leverage
             
Regulatory Leverage
         
31.05
%
Effective Leverage
         
34.08
%
               
Average Annual Total Returns
             
(Inception 12/17/92)
             
     
On Share Price
 
On NAV
6-Month (Cumulative)
   
3.65
%
 
5.12
%
1-Year
   
19.42
%
 
13.38
%
5-Year
   
8.52
%
 
7.34
%
10-Year
   
6.37
%
 
6.04
%
               
Portfolio Composition3
             
(as a % of total investments)
             
Tax Obligation/General
         
33.8
%
Water and Sewer
         
14.4
%
Health Care
         
13.5
%
Tax Obligation/Limited
         
9.6
%
U.S. Guaranteed
         
9.2
%
Utilities
         
9.0
%
Other
         
10.5
%
 
 
Refer to the Glossary of Terms Used in this Report for further definition of the terms used within this Fund’s Performance Overview page.
1
Taxable-Equivalent Yield represents the yield that must be earned on a fully taxable investment in order to equal the yield of the Fund on an after-tax basis. It is based on a combined federal and state income tax rate of 31.1%. When comparing this Fund to investments that generate qualified dividend income, the Taxable-Equivalent Yield is lower.
2
Ratings shown are the highest rating given by one of the following national rating agencies: Standard & Poor’s Group, Moody’s Investors Service, Inc. or Fitch, Inc. Credit ratings are subject to change. AAA, AA, A and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below-investment grade ratings. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities. Holdings designated N/R are not rated by these national rating agencies.
3
Holdings are subject to change.
 
Nuveen Investments
 
15

 
 

 
 
NZW
 
Nuveen Michigan
Performance
 
Dividend Advantage
OVERVIEW
 
Municipal Fund
   
as of August 31, 2012
 
               
Fund Snapshot
             
Common Share Price
       
$
14.63
 
Common Share Net Asset Value (NAV)
       
$
15.55
 
Premium/(Discount) to NAV
         
-5.92
%
Market Yield
         
5.25
%
Taxable-Equivalent Yield1
         
7.62
%
Net Assets Applicable to Common Shares ($000)
       
$
31,928
 
               
Leverage
             
Regulatory Leverage
         
33.82
%
Effective Leverage
         
37.00
%
               
Average Annual Total Returns
             
(Inception 9/25/01)
             
     
On Share Price
 
On NAV
6-Month (Cumulative)
   
5.05
%
 
4.68
%
1-Year
   
18.34
%
 
13.91
%
5-Year
   
5.48
%
 
7.15
%
10-Year
   
6.12
%
 
6.28
%
               
Portfolio Composition3
             
(as a % of total investments)
             
Tax Obligation/General
         
23.1
%
Water and Sewer
         
13.6
%
Tax Obligation/Limited
         
13.5
%
U.S. Guaranteed
         
11.6
%
Health Care
         
9.2
%
Education and Civic Organizations
         
7.8
%
Utilities
         
7.8
%
Housing/Multifamily
         
5.0
%
Other
         
8.4
%
 
 
Refer to the Glossary of Terms Used in this Report for further definition of the terms used within this Fund’s Performance Overview page.
1
Taxable-Equivalent Yield represents the yield that must be earned on a fully taxable investment in order to equal the yield of the Fund on an after-tax basis. It is based on a combined federal and state income tax rate of 31.1%. When comparing this Fund to investments that generate qualified dividend income, the Taxable-Equivalent Yield is lower.
2
Ratings shown are the highest rating given by one of the following national rating agencies: Standard & Poor’s Group, Moody’s Investors Service, Inc. or Fitch, Inc. Credit ratings are subject to change. AAA, AA, A and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below-investment grade ratings. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities. Holdings designated N/R are not rated by these national rating agencies.
3
Holdings are subject to change.
 
16
 
Nuveen Investments

 
 

 

NUO
 
Nuveen Ohio
Performance
 
Quality Income
OVERVIEW
 
Municipal Fund, Inc.
   
as of August 31, 2012
 
               
Fund Snapshot
             
Common Share Price
       
$
18.61
 
Common Share Net Asset Value (NAV)
       
$
17.43
 
Premium/(Discount) to NAV
         
6.77
%
Market Yield
         
5.16
%
Taxable-Equivalent Yield1
         
7.58
%
Net Assets Applicable to Common Shares ($000)
       
$
170,518
 
               
Leverage
             
Regulatory Leverage
         
30.12
%
Effective Leverage
         
34.15
%
               
Average Annual Total Returns
             
(Inception 10/17/91)
             
     
On Share Price
 
On NAV
6-Month (Cumulative)
   
13.32
%
 
4.37
%
1-Year
   
27.52
%
 
13.42
%
5-Year
   
11.04
%
 
7.81
%
10-Year
   
6.32
%
 
6.30
%
               
Portfolio Composition3
             
(as a % of total investments)
             
U.S. Guaranteed
         
20.4
%
Tax Obligation/General
         
18.6
%
Health Care
         
16.4
%
Tax Obligation/Limited
         
13.8
%
Education and Civic Organizations
         
8.2
%
Consumer Staples
         
5.5
%
Water and Sewer
         
4.3
%
Other
         
12.8
%
 
 
Refer to the Glossary of Terms Used in this Report for further definition of the terms used within this Fund’s Performance Overview page.
1
Taxable-Equivalent Yield represents the yield that must be earned on a fully taxable investment in order to equal the yield of the Fund on an after-tax basis. It is based on a combined federal and state income tax rate of 31.9%. When comparing this Fund to investments that generate qualified dividend income, the Taxable-Equivalent Yield is lower.
2
Ratings shown are the highest rating given by one of the following national rating agencies: Standard & Poor’s Group, Moody’s Investors Service, Inc. or Fitch, Inc. Credit ratings are subject to change. AAA, AA, A and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below-investment grade ratings. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities. Holdings designated N/R are not rated by these national rating agencies.
3
Holdings are subject to change.
 
Nuveen Investments
 
17

 
 

 
 
NXI
 
Nuveen Ohio
Performance
 
Dividend Advantage
OVERVIEW
 
Municipal Fund
   
as of August 31, 2012
 
 
Fund Snapshot
             
Common Share Price
       
$
16.34
 
Common Share Net Asset Value (NAV)
       
$
16.09
 
Premium/(Discount) to NAV
         
1.55
%
Market Yield
         
5.07
%
Taxable-Equivalent Yield1
         
7.44
%
Net Assets Applicable to Common Shares ($000)
       
$
68,354
 
               
Leverage
             
Regulatory Leverage
         
31.27
%
Effective Leverage
         
35.12
%
               
Average Annual Total Returns
             
(Inception 3/27/01)
             
     
On Share Price
 
On NAV
6-Month (Cumulative)
   
8.17
%
 
4.27
%
1-Year
   
24.34
%
 
13.61
%
5-Year
   
9.63
%
 
7.51
%
10-Year
   
6.62
%
 
6.57
%
               
Portfolio Composition3
             
(as a % of total investments)
             
Tax Obligation/Limited
         
19.9
%
Tax Obligation/General
         
19.2
%
Health Care
         
17.8
%
U.S. Guaranteed
         
14.0
%
Education and Civic Organizations
         
6.6
%
Utilities
         
5.5
%
Water and Sewer
         
5.0
%
Other
         
12.0
%
 
 
Refer to the Glossary of Terms Used in this Report for further definition of the terms used within this Fund’s Performance Overview page.
1
Taxable-Equivalent Yield represents the yield that must be earned on a fully taxable investment in order to equal the yield of the Fund on an after-tax basis. It is based on a combined federal and state income tax rate of 31.9%. When comparing this Fund to investments that generate qualified dividend income, the Taxable-Equivalent Yield is lower.
2
Ratings shown are the highest rating given by one of the following national rating agencies: Standard & Poor’s Group, Moody’s Investors Service, Inc. or Fitch, Inc. Credit ratings are subject to change. AAA, AA, A and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below-investment grade ratings. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities. Holdings designated N/R are not rated by these national rating agencies.
3
Holdings are subject to change.
 
18
 
Nuveen Investments

 
 

 
 
NBJ
 
Nuveen Ohio
Performance
 
Dividend Advantage
OVERVIEW
 
Municipal Fund 2
   
as of August 31, 2012
 
               
Fund Snapshot
             
Common Share Price
       
$
16.01
 
Common Share Net Asset Value (NAV)
       
$
15.77
 
Premium/(Discount) to NAV
         
1.52
%
Market Yield
         
5.25
%
Taxable-Equivalent Yield1
         
7.71
%
Net Assets Applicable to Common Shares ($000)
       
$
49,241
 
               
Leverage
             
Regulatory Leverage
         
32.99
%
Effective Leverage
         
37.24
%
               
Average Annual Total Returns
             
(Inception 9/25/01)
             
     
On Share Price
 
On NAV
6-Month (Cumulative)
   
10.04
%
 
3.84
%
1-Year
   
24.06
%
 
13.14
%
5-Year
   
9.79
%
 
7.45
%
10-Year
   
6.56
%
 
6.41
%
               
Portfolio Composition3
             
(as a % of total investments)
             
Tax Obligation/General
         
29.6
%
Tax Obligation/Limited
         
16.7
%
Health Care
         
14.9
%
U.S. Guaranteed
         
14.7
%
Utilities
         
6.5
%
Education and Civic Organizations
         
4.9
%
Other
         
12.7
%
 
 
Refer to the Glossary of Terms Used in this Report for further definition of the terms used within this Fund’s Performance Overview page.
1
Taxable-Equivalent Yield represents the yield that must be earned on a fully taxable investment in order to equal the yield of the Fund on an after-tax basis. It is based on a combined federal and state income tax rate of 31.9%. When comparing this Fund to investments that generate qualified dividend income, the Taxable-Equivalent Yield is lower.
2
Ratings shown are the highest rating given by one of the following national rating agencies: Standard & Poor’s Group, Moody’s Investors Service, Inc. or Fitch, Inc. Credit ratings are subject to change. AAA, AA, A and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below-investment grade ratings. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities. Holdings designated N/R are not rated by these national rating agencies.
3
Holdings are subject to change.
 
Nuveen Investments
 
19

 
 

 
 
NVJ
 
Nuveen Ohio
Performance
 
Dividend Advantage
OVERVIEW
 
Municipal Fund 3
   
as of August 31, 2012
 
               
Fund Snapshot
             
Common Share Price
       
$
16.35
 
Common Share Net Asset Value (NAV)
       
$
16.04
 
Premium/(Discount) to NAV
         
1.93
%
Market Yield
         
5.17
%
Taxable-Equivalent Yield1
         
7.59
%
Net Assets Applicable to Common Shares ($000)
       
$
34,624
 
               
Leverage
             
Regulatory Leverage
         
34.79
%
Effective Leverage
         
37.46
%
               
Average Annual Total Returns
             
(Inception 3/25/02)
             
     
On Share Price
 
On NAV
6-Month (Cumulative)
   
3.78
%
 
4.43
%
1-Year
   
21.27
%
 
13.60
%
5-Year
   
8.77
%
 
7.51
%
10-Year
   
6.46
%
 
6.39
%
 
Portfolio Composition3
       
(as a % of total investments)
       
Tax Obligation/General
   
25.5
%
U.S. Guaranteed
   
17.4
%
Health Care
   
16.0
%
Tax Obligation/Limited
   
12.3
%
Education and Civic Organizations
   
6.3
%
Consumer Staples
   
4.8
%
Water and Sewer
   
4.8
%
Other
   
12.9
%
 
 
Refer to the Glossary of Terms Used in this Report for further definition of the terms used within this Fund’s Performance Overview page.
1
Taxable-Equivalent Yield represents the yield that must be earned on a fully taxable investment in order to equal the yield of the Fund on an after-tax basis. It is based on a combined federal and state income tax rate of 31.9%. When comparing this Fund to investments that generate qualified dividend income, the Taxable-Equivalent Yield is lower.
2
Ratings shown are the highest rating given by one of the following national rating agencies: Standard & Poor’s Group, Moody’s Investors Service, Inc. or Fitch, Inc. Credit ratings are subject to change. AAA, AA, A and BBB are investment grade ratings; BB, B, CCC, CC, C and D are below-investment grade ratings. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities. Holdings designated N/R are not rated by these national rating agencies.
3
Holdings are subject to change.
 
20
 
Nuveen Investments

 
 

 
 
   
Shareholder Meeting Report
NBJ
   
   
The annual meeting of shareholders for NBJ was held in the offices of Nuveen Investments on November 15, 2011; at this meeting the shareholders were asked to vote on the election of Board Members, the elimination of Fundamental Investment Policies and the approval of new Fundamental Investment Policies. The meeting was subsequently adjourned to December 16, 2011. The meeting was additionally adjourned to January 31, 2012, March 5, 2012 and March 14, 2012.

 
NBJ
 
Common and
   
 
Preferred
 
Preferred
 
shares voting
 
shares voting
 
together
 
together
 
as a class
 
as a class
To approve the elimination of the fundamental policies relating to the Fund’s ability to make loans.
     
For
2,565,246
 
794,267
Against
393,173
 
205,300
Abstain
98,512
 
25,500
Broker Non-Votes
732,662
 
523,932
Total
3,789,593
 
1,548,999
To approve the new fundamental policy relating to the Fund’s ability to make loans.
     
For
2,515,564
 
778,267
Against
416,010
 
221,300
Abstain
125,357
 
25,500
Broker Non-Votes
732,662
 
523,932
Total
3,789,593
 
1,548,999
 
Nuveen Investments
 
21

 
 

 
 
   
Nuveen Michigan Quality Income Municipal Fund, Inc.
NUM
 
Portfolio of Investments
   
August 31, 2012 (Unaudited)

 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
Consumer Staples – 4.3% (2.9% of Total Investments)
           
$
8,000
 
Michigan Tobacco Settlement Finance Authority, Tobacco Settlement Asset-Backed Revenue Bonds, Series 2008A, 6.875%, 6/01/42
6/18 at 100.00
 
BB–
$
8,058,718
 
     
Education and Civic Organizations – 3.3% (2.3% of Total Investments)
           
 
250
 
Conner Creek Academy East, Michigan, Public School Revenue Bonds, Series 2007, 5.250%, 11/01/36
11/16 at 100.00
 
BB–
 
208,175
 
 
755
 
Detroit Community High School, Michigan, Public School Academy Revenue Bonds, Series 2005, 5.750%, 11/01/30
11/15 at 100.00
 
B+
 
590,017
 
 
385
 
Michigan Finance Authority, Public School Academy Limited Obligation Revenue and Refunding Bonds, Detroit Service Learning Academy Project, Series 2011, 7.000%, 10/01/31
10/21 at 100.00
 
BBB–
 
424,386
 
 
1,685
 
Michigan Higher Education Facilities Authority, Limited Obligation Revenue Refunding Bonds, Kettering University, Series 2001, 5.500%, 9/01/17 – AMBAC Insured
3/13 at 100.00
 
N/R
 
1,686,601
 
 
2,000
 
Michigan State University, General Revenue Bonds, Refunding Series 2010C, 5.000%, 2/15/40
2/20 at 100.00
 
Aa1
 
2,226,560
 
 
1,000
 
Michigan Technological University, General Revenue and Refunding Bonds, Series 2012A, 5.000%, 10/01/34
10/21 at 100.00
 
Aa3
 
1,129,530
 
 
6,075
 
Total Education and Civic Organizations
       
6,265,269
 
     
Health Care – 13.5% (9.2% of Total Investments)
           
 
2,000
 
Grand Traverse County Hospital Financial Authority, Michigan, Revenue Bonds, Munson Healthcare, Refunding Series 2011A, 5.000%, 7/01/29
7/21 at 100.00
 
AA–
 
2,165,300
 
 
1,080
 
Jackson County Hospital Finance Authority, Michigan, Hospital Revenue Bonds, Alligiance Health, Refunding Series 2010A, 5.000%, 6/01/37 – AGM Insured
6/20 at 100.00
 
AA–
 
1,173,409
 
     
Kent Hospital Finance Authority, Michigan, Revenue Refunding Bonds, Spectrum Health System, Refunding Series 2011C:
           
 
3,000
 
5.000%, 1/15/31
1/22 at 100.00
 
AA
 
3,383,640
 
 
750
 
5.000%, 1/15/42
1/22 at 100.00
 
AA
 
823,170
 
     
Michigan Finance Authority, Revenue Bonds, Oakwood Obligated Group, Refunding Series 2012:
           
 
500
 
5.000%, 11/01/25
11/22 at 100.00
 
A
 
569,780
 
 
2,500
 
5.000%, 11/01/42
11/22 at 100.00
 
A
 
2,701,600
 
 
4,000
 
Michigan Finance Authority, Revenue Bonds, Trinity Health Credit Group, Refunding Series 2011, 5.000%, 12/01/39
12/21 at 100.00
 
AA
 
4,432,080
 
 
4,100
 
Michigan State Hospital Finance Authority, Hospital Revenue Bonds, Henry Ford Health System, Refunding Series 2009, 5.750%, 11/15/39
11/19 at 100.00
 
A1
 
4,706,718
 
 
2,500
 
Michigan State Hospital Finance Authority, Hospital Revenue Bonds,MidMichigan Obligated Group, Series 2009A, 5.875%, 6/01/39 – AGC Insured
6/19 at 100.00
 
AA–
 
2,825,350
 
 
1,000
 
Michigan State Hospital Finance Authority, Hospital Revenue Refunding Bonds, Memorial Healthcare Center Obligated Group, Series 1999, 5.875%, 11/15/21
11/12 at 100.00
 
BBB
 
1,001,470
 
 
1,150
 
Royal Oak Hospital Finance Authority, Michigan, Hospital Revenue Bonds, William Beaumont Hospital, Refunding Series 2009V, 8.250%, 9/01/39
9/18 at 100.00
 
A1
 
1,481,833
 
 
22,580
 
Total Health Care
       
25,264,350
 
     
Housing/Multifamily – 5.7% (3.9% of Total Investments)
           
 
2,675
 
Michigan Housing Development Authority, FNMA Limited Obligation Multifamily Housing Revenue Bonds, Parkview Place Apartments, Series 2002A, 5.550%, 12/01/34 (Alternative Minimum Tax)
12/20 at 101.00
 
AA+
 
3,008,118
 
     
Michigan Housing Development Authority, Multifamily Housing Revenue Bonds, Series 1988A:
           
 
210
 
3.375%, 11/01/16 (Alternative Minimum Tax)
11/14 at 101.00
 
AA
 
216,495
 
 
1,860
 
3.875%, 11/01/17 (Alternative Minimum Tax)
11/14 at 101.00
 
AA
 
1,919,799
 
 
140
 
Michigan Housing Development Authority, Rental Housing Revenue Bonds, Series 1999A, 5.300%, 10/01/37 – NPFG Insured (Alternative Minimum Tax)
10/12 at 100.00
 
AA
 
140,122
 
 
1,300
 
Michigan Housing Development Authority, Rental Housing Revenue Bonds, Series 2006D, 5.125%, 4/01/31 – AGM Insured (Alternative Minimum Tax)
7/15 at 100.00
 
AA
 
1,344,798
 
 
200
 
Michigan Housing Development Authority, Rental Housing Revenue Bonds, Series 2009A, 5.700%, 10/01/39
10/18 at 100.00
 
AA
 
217,854
 
 
22
 
Nuveen Investments
 
 
 

 
 
 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
Housing/Multifamily (continued)
           
$
1,825
 
Michigan Housing Development Authority, Rental Housing Revenue Bonds, Series 2010A, 5.000%, 10/01/35
10/20 at 100.00
 
AA
$
1,961,674
 
 
1,725
 
Michigan Housing Development Authority, Rental Housing Revenue Bonds, Series 2012A-2, 4.625%, 10/01/41
4/22 at 100.00
 
AA
 
1,810,077
 
 
9,935
 
Total Housing/Multifamily
       
10,618,937
 
     
Housing/Single Family – 1.6% (1.1% of Total Investments)
           
 
1,890
 
Michigan Housing Development Authority, Single Family Homeownership Revenue Bonds, Series 2010C, 5.500%, 12/01/28 (Alternative Minimum Tax)
6/20 at 100.00
 
AA+
 
2,050,329
 
 
785
 
Michigan Housing Development Authority, Single Family Homeownership Revenue Bonds, Series 2011A, 4.600%, 12/01/26
6/21 at 100.00
 
AA+
 
870,282
 
 
2,675
 
Total Housing/Single Family
       
2,920,611
 
     
Tax Obligation/General – 49.4% (33.6% of Total Investments)
           
 
1,620
 
Ann Arbor Public School District, Washtenaw County, Michigan, General Obligation Bonds, Refunding Series 2012, 5.000%, 5/01/29
5/22 at 100.00
 
Aa2
 
1,949,621
 
 
1,000
 
Ann Arbor, Michigan, General Obligation Bonds, Court & Police Facilities Capital Improvement Series 2008, 5.000%, 5/01/38
5/18 at 100.00
 
AA+
 
1,097,730
 
 
1,000
 
Byron Center Public Schools, Kent County, Michigan, General Obligation Bonds, Series 2012, 4.000%, 5/01/32
5/21 at 100.00
 
AA–
 
1,035,170
 
 
2,110
 
Caledonia Community Schools, Kent, Allegan and Barry Counties, Michigan, General Obligation Bonds, Series 2003, 5.250%, 5/01/20
5/13 at 100.00
 
Aa2
 
2,175,283
 
 
1,000
 
Caledonia Community Schools, Kent, Allegan and Barry Counties, Michigan, General Obligation Bonds, Series 2005, 5.000%, 5/01/25 – NPFG Insured
5/15 at 100.00
 
Aa2
 
1,062,870
 
 
2,319
 
Caledonia Community Schools, Kent, Allegan and Barry Counties, Michigan, General Obligation Bonds, Tender Option Bond Trust 2008-1096, 7.861%, 5/01/32 – NPFG Insured (IF)
5/17 at 100.00
 
Aa2
 
2,602,869
 
 
875
 
Charlotte Public School District, Easton County, Michigan, General Obligation Bonds, Refunding Series 2012, 5.000%, 5/01/20
No Opt. Call
 
AA–
 
1,059,450
 
 
1,900
 
Comstock Park Public Schools, Kent County, Michigan, General Obligation Bonds, School Building & Site, Series 2011B, 5.500%, 5/01/41
5/21 at 100.00
 
AA–
 
2,188,762
 
 
2,000
 
Detroit City School District, Wayne County, Michigan, General Obligation Bonds, Series 2002A, 6.000%, 5/01/19 – FGIC Insured
No Opt. Call
 
Aa2
 
2,457,940
 
 
700
 
Detroit-Wayne County Stadium Authority, Michigan, Limited Tax General Obligation Building Authority Stadium Bonds, Series 1997, 5.500%, 2/01/17 – FGIC Insured
2/13 at 100.00
 
BBB+
 
701,974
 
     
Grand Rapids and Kent County Joint Building Authority, Michigan, Limited Tax General Obligation Bonds, Devos Place Project, Series 2001:
           
 
8,900
 
0.000%, 12/01/25
No Opt. Call
 
AAA
 
5,736,050
 
 
3,000
 
0.000%, 12/01/26
No Opt. Call
 
AAA
 
1,851,660
 
 
100
 
0.000%, 12/01/27
No Opt. Call
 
AAA
 
58,956
 
 
5,305
 
0.000%, 12/01/29
No Opt. Call
 
AAA
 
2,825,761
 
 
1,700
 
Grand Rapids, Michigan, General Obligation Bonds, Capital Improvement Series 2007, 5.000%, 9/01/27 – NPFG Insured
9/17 at 100.00
 
AA
 
1,879,061
 
 
1,935
 
Kalamazoo Public Schools, Michigan, General Obligation Bonds, Series 2006, 5.000%, 5/01/25 – AGM Insured
5/16 at 100.00
 
Aa2
 
2,169,522
 
 
200
 
L’Anse Creuse Public Schools, Macomb County, Michigan, General Obligation Bonds, Series 2005, 5.000%, 5/01/35 – AGM Insured
5/15 at 100.00
 
AA
 
208,264
 
 
2,505
 
Lincoln Consolidated School District, Washtenaw and Wayne Counties, Michigan, General Obligation Bonds, Series 2006, 5.000%, 5/01/25 – NPFG Insured
5/16 at 100.00
 
Aa2
 
2,718,902
 
 
2,810
 
Livonia Public Schools, Wayne County, Michigan, General Obligation Bonds, Series 2004A, 5.000%, 5/01/21 – NPFG Insured
5/14 at 100.00
 
Aa3
 
2,975,003
 
 
865
 
Lowell Area Schools, Kent and Ionia Counties, Michigan, General Obligation Bonds, Series 2007, 5.000%, 5/01/37 – AGM Insured
5/17 at 100.00
 
Aa2
 
923,638
 
 
1,500
 
Marshall Public Schools, Calhoun County, Michigan, General Obligation Bonds, Series 2007, 5.000%, 5/01/30 – SYNCORA GTY Insured
5/17 at 100.00
 
AA–
 
1,622,535
 

Nuveen Investments
 
23
 
 
 

 

   
Nuveen Michigan Quality Income Municipal Fund, Inc. (continued)
NUM
 
Portfolio of Investments
August 31, 2012 (Unaudited)

 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
Tax Obligation/General (continued)
           
$
550
 
Michigan Finance Authority, Revenue Bonds, Detroit City School District, Series 2012, 5.000%, 6/01/20
No Opt. Call
 
A+
$
625,537
 
 
1,000
 
Michigan State, General Obligation Bonds, Environmental Program, Refunding Series 2011A, 5.000%, 12/01/22
12/21 at 100.00
 
Aa2
 
1,230,520
 
 
100
 
Michigan State, General Obligation Bonds, Environmental Program, Series 2009A, 5.500%, 11/01/25
5/19 at 100.00
 
Aa2
 
118,597
 
 
2,500
 
Montrose School District, Michigan, School Building and Site Bonds, Series 1997, 6.000%, 5/01/22 – NPFG Insured
No Opt. Call
 
Aa3
 
3,136,175
 
 
3,950
 
Oakland Intermediate School District, Oakland County, Michigan, General Obligation Bonds, Series 2007, 5.000%, 5/01/36 – AGM Insured
5/17 at 100.00
 
Aaa
 
4,244,236
 
 
1,595
 
Oakridge Public Schools, Muskegon County, Michigan, General Obligation Bonds, Series 2005, 5.000%, 5/01/22 – NPFG Insured
5/15 at 100.00
 
AA–
 
1,764,325
 
     
Ottawa County, Michigan, Water Supply System, General Obligation Bonds, Series 2007:
           
 
4,330
 
5.000%, 8/01/26 – NPFG Insured (UB)
8/17 at 100.00
 
Aaa
 
5,070,776
 
 
1,120
 
5.000%, 8/01/30 – NPFG Insured (UB)
8/17 at 100.00
 
Aaa
 
1,225,146
 
 
1,245
 
Parchment School District, Kalamazoo County, Michigan, General Obligation Bonds, Tender Option Bond Trust 2836, 10.934%, 5/01/15 – AGM Insured (IF)
No Opt. Call
 
Aa2
 
1,427,604
 
 
4,340
 
Plymouth-Canton Community School District, Wayne and Washtenaw Counties, Michigan, General Obligation Bonds, Series 2004, 5.000%, 5/01/26 – FGIC Insured
5/14 at 100.00
 
Aa2
 
4,600,487
 
     
Port Huron, Michigan, General Obligation Bonds, Refunding & Capital Improvement Series 2011:
           
 
1,585
 
5.000%, 10/01/31 – AGM Insured
10/21 at 100.00
 
AA–
 
1,774,471
 
 
640
 
5.250%, 10/01/37 – AGM Insured
10/21 at 100.00
 
AA–
 
712,525
 
     
Port Huron, Michigan, General Obligation Bonds, Series 2011B:
           
 
530
 
5.000%, 10/01/31 – AGM Insured
10/21 at 100.00
 
AA–
 
593,356
 
 
800
 
5.250%, 10/01/40 – AGM Insured
10/21 at 100.00
 
AA–
 
890,000
 
 
300
 
Rockford Public Schools, Kent County, Michigan, General Obligation Bonds, Refunding Series 2012, 5.000%, 5/01/19
No Opt. Call
 
AA–
 
364,440
 
 
1,000
 
Rockford Public Schools, Kent County, Michigan, General Obligation Bonds, Series 2008, 5.000%, 5/01/33 – AGM Insured
5/18 at 100.00
 
Aa2
 
1,092,840
 
 
200
 
South Haven, Van Buren County, Michigan, General Obligation Bonds, Capital Improvement Series 2009, 5.125%, 12/01/33 – AGC Insured
12/19 at 100.00
 
AA–
 
230,098
 
 
3,175
 
South Redford School District, Wayne County, Michigan, General Obligation Bonds, School Building and Site, Series 2005, 5.000%, 5/01/30 – NPFG Insured
5/15 at 100.00
 
Aa2
 
3,327,718
 
 
1,655
 
Southfield Library Building Authority, Michigan, General Obligation Bonds, Series 2005, 5.000%, 5/01/26 – NPFG Insured
5/15 at 100.00
 
AA
 
1,756,716
 
 
1,000
 
Thornapple Kellogg School District, Barry County, Michigan, General Obligation Bonds, Series 2007, 5.000%, 5/01/32 – NPFG Insured
5/17 at 100.00
 
Aa2
 
1,114,620
 
 
2,000
 
Trenton Public Schools District, Michigan, General Obligation Bonds, Series 2008, 5.000%, 5/01/34 – AGM Insured
5/18 at 100.00
 
Aa2
 
2,178,100
 
 
2,275
 
Troy City School District, Oakland County, Michigan, General Obligation Bonds, Series 2006, 5.000%, 5/01/19 – NPFG Insured
5/16 at 100.00
 
Aa1
 
2,550,730
 
     
Van Dyke Public Schools, Macomb County, Michigan, General Obligation Bonds, School Building and Site, Series 2008:
           
 
310
 
5.000%, 5/01/31 – AGM Insured
5/18 at 100.00
 
Aa2
 
340,805
 
 
575
 
5.000%, 5/01/38 – AGM Insured
5/18 at 100.00
 
Aa2
 
620,954
 
 
1,205
 
Wayne Charter County, Michigan, General Obligation Bonds, Building Improvements, Series 2009A, 6.750%, 11/01/39
12/19 at 100.00
 
BBB+
 
1,389,148
 
 
5,000
 
Wayne Charter County, Michigan, Limited Tax General Obligation Airport Hotel Revenue Bonds, Detroit Metropolitan Wayne County Airport, Series 2001A, 5.000%, 12/01/21 – NPFG Insured
12/12 at 100.00
 
BBB+
 
5,011,850
 
 
3,350
 
Wayne Westland Community Schools, Michigan, General Obligation Bonds, Series 2004, 5.000%, 5/01/17 – AGM Insured
11/14 at 100.00
 
Aa2
 
3,661,316
 
 
1,725
 
Williamston Community School District, Michigan, Unlimited Tax General Obligation QSBLF Bonds, Series 1996, 5.500%, 5/01/25 – NPFG Insured
No Opt. Call
 
Aa3
 
2,132,997
 
 
91,399
 
Total Tax Obligation/General
       
92,487,108
 

24
 
Nuveen Investments

 
 

 

 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
Tax Obligation/Limited – 18.6% (12.7% of Total Investments)
           
$
1,305
 
Government of Guam, Business Privilege Tax Bonds, Series 2011A, 5.125%, 1/01/42
1/22 at 100.00
 
A
$
1,452,204
 
 
1,000
 
Grand Rapids Building Authority, Kent County, Michigan, Limited Tax General Obligation Bonds, Series 1998, 5.000%, 4/01/16
No Opt. Call
 
AA
 
1,144,060
 
 
2,635
 
Michigan Finance Authority, Unemployment Obligation Assessment Revenue Bonds, Series 2012B, 5.000%, 7/01/22
7/16 at 100.00
 
AAA
 
3,020,948
 
 
2,135
 
Michigan State Building Authority, Revenue Bonds, Facilities Program, Series 2005II, 5.000%, 10/15/33 – AMBAC Insured
10/15 at 100.00
 
Aa3
 
2,336,373
 
     
Michigan State Building Authority, Revenue Bonds, Refunding Series 2006IA:
           
 
7,000
 
0.000%, 10/15/27 – AGM Insured
10/16 at 58.27
 
AA–
 
3,457,650
 
 
6,200
 
0.000%, 10/15/28 – AGM Insured
10/16 at 55.35
 
AA–
 
2,901,166
 
 
4,440
 
5.000%, 10/15/36 – FGIC Insured
10/16 at 100.00
 
Aa3
 
4,710,041
 
     
Michigan State Building Authority, Revenue Refunding Bonds, Facilities Program, Series 2003II:
           
 
5,100
 
5.000%, 10/15/22 – NPFG Insured
10/13 at 100.00
 
Aa3
 
5,336,181
 
 
5,000
 
5.000%, 10/15/23 – NPFG Insured
10/13 at 100.00
 
Aa3
 
5,231,550
 
 
700
 
Michigan State Trunk Line Fund Refunding Bonds, Series 2009, 5.000%, 11/15/36
11/21 at 100.00
 
AA+
 
810,936
 
 
17,000
 
Puerto Rico Sales Tax Financing Corporation, Sales Tax Revenue Bonds, Series 2007A, 0.000%, 8/01/44 – NPFG Insured
No Opt. Call
 
AA–
 
2,922,980
 
 
1,000
 
Virgin Islands Public Finance Authority, Matching Fund Loan Notes Revenue Bonds, Series 2009B, 5.000%, 10/01/25
10/19 at 100.00
 
BBB+
 
1,096,120
 
 
420
 
Virgin Islands Public Finance Authority, Revenue Bonds, Senior Lien Matching Fund Loan Notes,Series 2009A-1, 5.000%, 10/01/39
10/19 at 100.00
 
BBB+
 
438,946
 
 
53,935
 
Total Tax Obligation/Limited
       
34,859,155
 
     
Transportation – 1.5% (1.0% of Total Investments)
           
 
500
 
Wayne County Airport Authority, Michigan, Revenue Bonds, Detroit Metropolitan Airport, Refunding Series 2007, 5.000%, 12/01/12 – FGIC Insured
No Opt. Call
 
A
 
505,905
 
 
2,000
 
Wayne County Airport Authority, Michigan, Revenue Bonds, Detroit Metropolitan Airport, Refunding Series 2011A, 5.000%, 12/01/21 (Alternative Minimum Tax)
No Opt. Call
 
A
 
2,282,040
 
 
2,500
 
Total Transportation
       
2,787,945
 
     
U.S. Guaranteed – 22.6% (15.4% of Total Investments) (4)
           
 
1,200
 
Birmingham, Michigan, General Obligation Bonds, Series 2002, 5.000%, 10/01/20 (Pre-refunded 10/01/12)
10/12 at 100.50
 
AAA
 
1,210,836
 
 
935
 
Detroit, Michigan, Senior Lien Sewerage Disposal System Revenue Bonds, Series 2003A, 5.000%, 7/01/17 (Pre-refunded 7/01/13) – AGM Insured
7/13 at 100.00
 
AA– (4)
 
972,063
 
     
Detroit, Michigan, Senior Lien Water Supply System Revenue Bonds, Series 2003A:
           
 
4,025
 
5.000%, 7/01/24 (Pre-refunded 7/01/13) – NPFG Insured
7/13 at 100.00
 
A+ (4)
 
4,184,551
 
 
1,500
 
5.000%, 7/01/25 (Pre-refunded 7/01/13) – NPFG Insured
7/13 at 100.00
 
A+ (4)
 
1,559,460
 
 
1,400
 
Howell Public Schools, Livingston County, Michigan, General Obligation Bonds, Series 2003, 5.000%, 5/01/21 (Pre-refunded 11/01/13)
11/13 at 100.00
 
Aa2 (4)
 
1,478,232
 
 
1,065
 
Jackson Public Schools, Jackson County, Michigan, General Obligation School Building and Site Bonds, Series 2004, 5.000%, 5/01/22 (Pre-refunded 5/01/14) – AGM Insured
5/14 at 100.00
 
Aa2 (4)
 
1,148,933
 
 
1,790
 
Lansing Building Authority, Michigan, General Obligation Bonds, Series 2003A, 5.000%, 6/01/26 (Pre-refunded 6/01/13) – NPFG Insured
6/13 at 100.00
 
AA (4)
 
1,854,655
 
 
3,880
 
Mayville Community Schools, Tuscola County, Michigan, General Obligation Bonds, School Building and Site Project, Series 2004, 5.000%, 5/01/34 (Pre-refunded 11/01/14) – FGIC Insured
11/14 at 100.00
 
Aa2 (4)
 
4,273,354
 
 
575
 
Michigan State Hospital Finance Authority, Hospital Revenue Bonds, Oakwood Obligated Group, Series 2002A, 5.750%, 4/01/32 (Pre-refunded 4/01/13)
4/13 at 100.00
 
AA+ (4)
 
593,716
 
 
1,500
 
Michigan State Hospital Finance Authority, Hospital Revenue Refunding Bonds, Henry Ford Health System, Series 2003A, 5.625%, 3/01/17 (Pre-refunded 3/01/13)
3/13 at 100.00
 
A1 (4)
 
1,540,845
 
 
3,460
 
Michigan State Hospital Finance Authority, Hospital Revenue Refunding Bonds, St. John’s Health System, Series 1998A, 5.000%, 5/15/28 – AMBAC Insured (ETM)
11/12 at 100.00
 
Aaa
 
3,472,802
 

Nuveen Investments
 
25
 
 
 

 


   
Nuveen Michigan Quality Income Municipal Fund, Inc. (continued)
NUM
 
Portfolio of Investments
August 31, 2012 (Unaudited)
 
 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
U.S. Guaranteed (4) (continued)
           
     
Michigan State Hospital Finance Authority, Hospital Revenue Refunding Bonds, Trinity Health Credit Group, Series 2002C:
           
$
125
 
5.375%, 12/01/30 (Pre-refunded 12/01/12)
12/12 at 100.00
 
Aa2 (4)
$
126,625
 
 
1,375
 
5.375%, 12/01/30 (Pre-refunded 12/01/12)
12/12 at 100.00
 
AA (4)
 
1,392,820
 
     
Michigan State Hospital Finance Authority, Revenue Bonds, Chelsea Community Hospital, Series 2005:
           
 
1,025
 
5.000%, 5/15/30 (Pre-refunded 5/15/15)
5/15 at 100.00
 
AA+ (4)
 
1,151,003
 
 
500
 
5.000%, 5/15/37 (Pre-refunded 5/15/15)
5/15 at 100.00
 
AA+ (4)
 
561,465
 
     
Michigan State Hospital Finance Authority, Revenue Bonds, Marquette General Hospital, Series 2005A:
           
 
1,500
 
5.000%, 5/15/26 (Pre-refunded 5/15/15)
5/15 at 100.00
 
Baa3 (4)
 
1,516,140
 
 
2,080
 
5.000%, 5/15/34 (Pre-refunded 5/15/15)
5/15 at 100.00
 
Baa3 (4)
 
2,081,934
 
 
3,500
 
Michigan State Trunk Line, Fund Refunding Bonds, Series 2002, 5.250%, 10/01/21 (Pre-refunded 10/01/12) – AGM Insured
10/12 at 100.00
 
AA+ (4)
 
3,514,805
 
 
2,000
 
Michigan State, General Obligation Bonds, Environmental Protection Program, Series 2003A, 5.250%, 5/01/20 (Pre-refunded 5/01/13)
5/13 at 100.00
 
Aa2 (4)
 
2,067,460
 
 
1,115
 
Michigan Technological University, General Revenue Bonds, Series 2004A, 5.000%, 10/01/22 (Pre-refunded 10/01/13) – NPFG Insured
10/13 at 100.00
 
Aa3 (4)
 
1,172,322
 
     
Puerto Rico Public Finance Corporation, Commonwealth Appropriation Bonds, Series 2002E:
           
 
85
 
6.000%, 8/01/26 (ETM)
No Opt. Call
 
Baa2 (4)
 
122,346
 
 
915
 
6.000%, 8/01/26 (ETM)
No Opt. Call
 
AA+ (4)
 
1,317,024
 
 
4,100
 
Puerto Rico, Highway Revenue Bonds, Highway and Transportation Authority, Series 1996Y, 5.500%, 7/01/36 (Pre-refunded 7/01/16)
7/16 at 100.00
 
Aaa
 
4,907,618
 
 
39,650
 
Total U.S. Guaranteed
       
42,221,009
 
     
Utilities – 9.8% (6.7% of Total Investments)
           
     
Lansing Board of Water and Light, Michigan, Steam and Electric Utility System Revenue Bonds, Series 2008A:
           
 
215
 
5.000%, 7/01/28
7/18 at 100.00
 
AA–
 
238,515
 
 
5,000
 
5.000%, 7/01/32
7/18 at 100.00
 
AA–
 
5,462,700
 
     
Lansing Board of Water and Light, Michigan, Utility System Revenue Bonds, Tender Option Bond Trust 4700:
           
 
900
 
17.770%, 7/01/37 (IF) (5)
7/21 at 100.00
 
AA–
 
1,408,428
 
 
500
 
17.924%, 7/01/37 (IF) (5)
7/21 at 100.00
 
AA–
 
782,460
 
 
2,000
 
Michigan Public Power Agency, AFEC Project Revenue Bonds, Series 2012A, 5.000%, 1/01/43 – AGM Insured
1/22 at 100.00
 
A2
 
2,124,760
 
 
500
 
Michigan Public Power Agency, Revenue Bonds, Combustion Turbine 1 Project, Series 2011, 5.000%, 1/01/26 – AGM Insured
1/21 at 100.00
 
AA–
 
573,825
 
 
3,630
 
Michigan Strategic Fund, Limited Obligation Revenue Refunding Bonds, Detroit Edison Company, Series 1991BB, 7.000%, 5/01/21 – AMBAC Insured
No Opt. Call
 
A
 
4,781,400
 
 
3,000
 
Michigan Strategic Fund, Limited Obligation Revenue Refunding Bonds, Detroit Edison Company, Series 2002C, 5.450%, 12/15/32 – SYNCORA GTY Insured (Alternative Minimum Tax)
12/12 at 100.00
 
BBB+
 
3,010,440
 
 
15,745
 
Total Utilities
       
18,382,528
 
     
Water and Sewer – 16.5% (11.2% of Total Investments)
           
 
2,000
 
Detroit Water and Sewerage Department, Michigan, Sewage Disposal System Revenue Bonds, Refunding Senior Lien Series 2012A, 5.000%, 7/01/39 – AGM Insured
7/22 at 100.00
 
AA–
 
2,118,600
 
 
5,500
 
Detroit Water Supply System, Michigan, Water Supply System Revenue Senior Lien Bonds, Series 2006A, 5.000%, 7/01/34 – AGM Insured
7/16 at 100.00
 
AA–
 
5,770,105
 
 
1,500
 
Detroit, Michigan, Senior Lien Sewerage Disposal System Revenue Bonds, Series 2001B, 5.500%, 7/01/29 – FGIC Insured
No Opt. Call
 
A
 
1,658,745
 
 
565
 
Detroit, Michigan, Senior Lien Sewerage Disposal System Revenue Bonds, Series 2003A, 5.000%, 7/01/17 – AGM Insured
7/13 at 100.00
 
AA
 
575,662
 
 
1,500
 
Detroit, Michigan, Senior Lien Water Supply System Revenue Bonds, Series 2003A, 5.000%, 7/01/25 – NPFG Insured
7/13 at 100.00
 
A+
 
1,512,405
 

26
 
Nuveen Investments
 
 
 

 

 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
Water and Sewer (continued)
           
$
425
 
Detroit, Michigan, Sewage Disposal System Revenue Bonds, Second Lien Series 2006A, 5.500%, 7/01/36 – BHAC Insured
7/18 at 100.00
 
AA+
$
482,061
 
 
2,915
 
Detroit, Michigan, Water Supply System Revenue Bonds, Senior Lien Series 2011A, 5.250%, 7/01/41
7/21 at 100.00
 
A+
 
3,071,623
 
 
675
 
Grand Rapids, Michigan, Sanitary Sewer System Revenue Bonds, Series 2008, 5.000%, 1/01/38
1/18 at 100.00
 
AA+
 
732,213
 
 
2,030
 
Grand Rapids, Michigan, Water Supply System Revenue Bonds, Series 2009, 5.100%, 1/01/39 – AGC Insured
1/19 at 100.00
 
AA
 
2,253,747
 
     
Michigan Finance Authority, State Revolving Fund Revenue Bonds, Clean Water Series 2012:
           
 
2,000
 
5.000%, 10/01/31
10/22 at 100.00
 
AAA
 
2,408,540
 
 
710
 
5.000%, 10/01/32
10/22 at 100.00
 
AAA
 
851,560
 
 
4,210
 
Michigan Municipal Bond Authority, Clean Water Revolving Fund Revenue Bonds, Series 2004, 5.000%, 10/01/19
10/14 at 100.00
 
AAA
 
4,583,259
 
 
1,150
 
Michigan Municipal Bond Authority, Drinking Water Revolving Fund Revenue Bonds, Series 2004, 5.000%, 10/01/23
10/14 at 100.00
 
AAA
 
1,249,464
 
 
1,000
 
Michigan Municipal Bond Authority, Water Revolving Fund Revenue Bonds, Series 2007, 5.000%, 10/01/24
10/17 at 100.00
 
AAA
 
1,163,010
 
 
1,000
 
Port Huron, Michigan, Water Supply System Revenue Bonds, Series 2011, 5.625%, 10/01/40
10/21 at 100.00
 
A
 
1,117,460
 
 
1,000
 
Puerto Rico Aqueduct and Sewerage Authority, Revenue Bonds, Senior Lien Series 2008A, 6.000%, 7/01/44
7/18 at 100.00
 
Baa2
 
1,062,180
 
 
300
 
Saginaw, Michigan, Water Supply System Revenue Bonds, Series 2008, 5.250%, 7/01/22 – NPFG Insured
7/18 at 100.00
 
A
 
333,318
 
 
28,480
 
Total Water and Sewer
       
30,943,952
 
$
280,974
 
Total Investments (cost $250,851,129) – 146.8%
       
274,809,582
 
     
Floating Rate Obligations – (1.9)%
       
(3,630,000
)
     
Variable Rate MuniFund Term Preferred Shares, at Liquidation Value – (47.0)% (6)
       
(87,900,000
)
     
Other Assets Less Liabilities – 2.1%
       
3,978,183
 
     
Net Assets Applicable to Common Shares – 100%
     
$
187,257,765
 
 
(1)
 
All percentages shown in the Portfolio of Investments are based on net assets applicable to Common shares unless otherwise noted.
(2)
 
Optional Call Provisions: Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. Certain mortgage-backed securities may be subject to periodic principal paydowns.
 (3)   Ratings: Using the highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. Ratings below BBB by Standard & Poor’s, Baa by Moody’s or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies.
(4)
 
Backed by an escrow or trust containing sufficient U.S. Government or U.S. Government agency securities, which ensure the timely payment of principal and interest. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities.
 (5)   Investment, or portion of investment, has been pledged to collateralize the net payment obligations for investments in inverse floating rate transactions.
 (6)   Variable Rate MuniFund Term Preferred Shares, at Liquidation Value as a percentage of Total Investments is 32.0%.
N/R
 
Not rated.
(ETM)
 
Escrowed to maturity.
(IF)
 
Inverse floating rate investment.
(UB)
 
Underlying bond of an inverse floating rate trust reflected as a financing transaction. See Notes to Financial Statements, Footnote 1 – General Information and Significant Accounting Policies, Inverse Floating Rate Securities for more information.
 
 See accompanying notes to financial statements.
 
Nuveen Investments
 
27

 
 

 
 
   
Nuveen Michigan Premium Income Municipal Fund, Inc.
NMP
 
Portfolio of Investments
   
August 31, 2012 (Unaudited)

 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
Consumer Staples – 3.8% (2.6% of Total Investments)
           
$
4,500
 
Michigan Tobacco Settlement Finance Authority, Tobacco Settlement Asset-Backed Revenue Bonds, Series 2008A, 6.875%, 6/01/42
6/18 at 100.00
 
BB–
$
4,533,030
 
     
Education and Civic Organizations – 2.4% (1.6% of Total Investments)
           
 
500
 
Conner Creek Academy East, Michigan, Public School Revenue Bonds, Series 2007, 5.250%, 11/01/36
11/16 at 100.00
 
BB–
 
416,350
 
 
500
 
Detroit Community High School, Michigan, Public School Academy Revenue Bonds, Series 2005, 5.750%, 11/01/30
11/15 at 100.00
 
B+
 
390,740
 
 
335
 
Michigan Finance Authority, Public School Academy Limited Obligation Revenue and Refunding Bonds, Detroit Service Learning Academy Project, Series 2011, 7.000%, 10/01/31
10/21 at 100.00
 
BBB–
 
369,271
 
 
1,500
 
Michigan State University, General Revenue Bonds, Refunding Series 2010C, 5.000%, 2/15/40
2/20 at 100.00
 
Aa1
 
1,669,920
 
 
2,835
 
Total Education and Civic Organizations
       
2,846,281
 
     
Health Care – 19.5% (13.5% of Total Investments)
           
 
1,500
 
Grand Traverse County Hospital Financial Authority, Michigan, Revenue Bonds, Munson Healthcare, Refunding Series 2011A, 5.000%, 7/01/29
7/21 at 100.00
 
AA–
 
1,623,975
 
 
630
 
Jackson County Hospital Finance Authority, Michigan, Hospital Revenue Bonds, Alligiance Health, Refunding Series 2010A, 5.000%, 6/01/37 – AGM Insured
6/20 at 100.00
 
AA–
 
684,489
 
     
Kent Hospital Finance Authority, Michigan, Revenue Refunding Bonds, Spectrum Health System, Refunding Series 2011C:
           
 
2,000
 
5.000%, 1/15/31
1/22 at 100.00
 
AA
 
2,255,760
 
 
750
 
5.000%, 1/15/42
1/22 at 100.00
 
AA
 
823,170
 
     
Michigan Finance Authority, Revenue Bonds, Oakwood Obligated Group, Refunding Series 2012:
           
 
250
 
5.000%, 11/01/25
11/22 at 100.00
 
A
 
284,890
 
 
1,000
 
5.000%, 11/01/42
11/22 at 100.00
 
A
 
1,080,640
 
 
3,000
 
Michigan Finance Authority, Revenue Bonds, Sparrow Obligated Group, Series 2012, 5.000%, 11/15/42
11/22 at 100.00
 
A+
 
3,250,500
 
 
4,000
 
Michigan Finance Authority, Revenue Bonds, Trinity Health Credit Group, Refunding Series 2011, 5.000%, 12/01/39
12/21 at 100.00
 
AA
 
4,432,080
 
 
2,725
 
Michigan State Hospital Finance Authority, Hospital Revenue Bonds, Henry Ford Health System, Refunding Series 2009, 5.750%, 11/15/39
11/19 at 100.00
 
A1
 
3,128,246
 
 
1,350
 
Michigan State Hospital Finance Authority, Hospital Revenue Bonds,MidMichigan Obligated Group, Series 2009A, 5.875%, 6/01/39 – AGC Insured
6/19 at 100.00
 
AA–
 
1,525,689
 
 
3,500
 
Royal Oak Hospital Finance Authority, Michigan, Hospital Revenue and Refunding Bonds, William Beaumont Hospital Obligated Group, Series 2009W, 6.000%, 8/01/39
8/19 at 100.00
 
A1
 
3,995,215
 
 
250
 
Royal Oak Hospital Finance Authority, Michigan, Hospital Revenue Bonds, William Beaumont Hospital, Refunding Series 2009V, 8.250%, 9/01/39
9/18 at 100.00
 
A1
 
322,138
 
 
20,955
 
Total Health Care
       
23,406,792
 
     
Housing/Multifamily – 6.1% (4.2% of Total Investments)
           
 
820
 
Michigan Housing Development Authority, GNMA Collateralized Limited Obligation Multifamily Housing Revenue Bonds, Burkshire Pointe Apartments, Series 2002A, 5.400%, 10/20/32 (Alternative Minimum Tax)
4/14 at 100.00
 
Aaa
 
837,351
 
 
1,130
 
Michigan Housing Development Authority, Limited Obligation Revenue Bonds, Breton Village Green Project, Series 1993, 5.625%, 10/15/18 – AGM Insured
10/12 at 100.00
 
AA–
 
1,132,689
 
 
1,500
 
Michigan Housing Development Authority, Limited Obligation Revenue Bonds, Walled Lake Villa Project, Series 1993, 6.000%, 4/15/18 – AGM Insured
10/12 at 100.00
 
Aaa
 
1,504,650
 
 
1,260
 
Michigan Housing Development Authority, Multifamily Housing Revenue Bonds, Series 1988A, 3.375%, 11/01/16 (Alternative Minimum Tax)
11/14 at 101.00
 
AA
 
1,298,972
 
 
800
 
Michigan Housing Development Authority, Rental Housing Revenue Bonds, Series 2006D, 5.125%, 4/01/31 – AGM Insured (Alternative Minimum Tax)
7/15 at 100.00
 
AA
 
827,568
 
 
25
 
Michigan Housing Development Authority, Rental Housing Revenue Bonds, Series 2009A, 5.700%, 10/01/39
10/18 at 100.00
 
AA
 
27,232
 

28
 
Nuveen Investments

 
 

 

 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
Housing/Multifamily (continued)
           
     
Mt. Clemens Housing Corporation, Michigan, FHA-Insured Section 8 Assisted Multifamily Housing Revenue Refunding Bonds, Clinton Place Project, Series 1992A:
           
$
130
 
6.600%, 6/01/13
12/12 at 100.00
 
AA+
$
130,611
 
 
1,500
 
6.600%, 6/01/22
12/12 at 100.00
 
AA+
 
1,504,290
 
 
7,165
 
Total Housing/Multifamily
       
7,263,363
 
     
Housing/Single Family – 0.9% (0.6% of Total Investments)
           
 
945
 
Michigan Housing Development Authority, Single Family Homeownership Revenue Bonds, Series 2010C, 5.500%, 12/01/28 (Alternative Minimum Tax)
6/20 at 100.00
 
AA+
 
1,025,164
 
     
Tax Obligation/General – 48.9% (33.8% of Total Investments)
           
 
1,475
 
Anchor Bay School District, Macomb and St. Clair Counties, Michigan, General Obligation Bonds, Series 2003, 5.000%, 5/01/21
11/13 at 100.00
 
Aa2
 
1,549,134
 
 
345
 
Ann Arbor Public School District, Washtenaw County, Michigan, General Obligation Bonds, Refunding Series 2012, 5.000%, 5/01/29
5/22 at 100.00
 
Aa2
 
415,197
 
 
1,000
 
Ann Arbor, Michigan, General Obligation Bonds, Court & Police Facilities Capital Improvement Series 2008, 5.000%, 5/01/38
5/18 at 100.00
 
AA+
 
1,097,730
 
 
100
 
Battle Creek School District, Calhoun County, Michigan, General Obligation Bonds, Series 2007, 5.000%, 5/01/37 – AGM Insured
5/17 at 100.00
 
Aa2
 
107,629
 
 
2,250
 
Caledonia Community Schools, Kent, Allegan and Barry Counties, Michigan, General Obligation Bonds, Series 2005, 5.000%, 5/01/26 – NPFG Insured
5/15 at 100.00
 
Aa2
 
2,385,315
 
 
1,501
 
Caledonia Community Schools, Kent, Allegan and Barry Counties, Michigan, General Obligation Bonds, Tender Option Bond Trust 2008-1096, 7.861%, 5/01/32 – NPFG Insured (IF)
5/17 at 100.00
 
Aa2
 
1,684,737
 
 
1,050
 
Comstock Park Public Schools, Kent County, Michigan, General Obligation Bonds, School Building & Site, Series 2011B, 5.500%, 5/01/36
5/21 at 100.00
 
AA–
 
1,212,131
 
     
Detroit City School District, Wayne County, Michigan, General Obligation Bonds, Series 2002A:
           
 
1,815
 
6.000%, 5/01/20 – FGIC Insured
No Opt. Call
 
Aa2
 
2,254,484
 
 
1,075
 
6.000%, 5/01/21 – FGIC Insured
No Opt. Call
 
Aa2
 
1,349,534
 
     
Detroit-Wayne County Stadium Authority, Michigan, Limited Tax General Obligation Building Authority Stadium Bonds, Series 1997:
           
 
770
 
5.500%, 2/01/17 – FGIC Insured
2/13 at 100.00
 
BBB+
 
772,171
 
 
6,990
 
5.250%, 2/01/27 – FGIC Insured
2/13 at 100.00
 
BBB+
 
6,997,130
 
 
860
 
Grand Rapids, Michigan, General Obligation Bonds, Capital Improvement Series 2007, 5.000%, 9/01/24 – NPFG Insured
9/17 at 100.00
 
AA
 
961,841
 
 
1,650
 
Holly Area School District, Oakland County, Michigan, General Obligation Bonds, Series 2006, 5.125%, 5/01/32 – NPFG Insured
5/16 at 100.00
 
Aa2
 
1,762,299
 
 
1,250
 
Kalamazoo Public Schools, Michigan, General Obligation Bonds, Series 2006, 5.000%, 5/01/25 – AGM Insured
5/16 at 100.00
 
Aa2
 
1,401,500
 
 
1,000
 
Livonia Public Schools, Wayne County, Michigan, General Obligation Bonds, Series 2004A, 5.000%, 5/01/21 – NPFG Insured
5/14 at 100.00
 
Aa3
 
1,058,720
 
 
865
 
Lowell Area Schools, Kent and Ionia Counties, Michigan, General Obligation Bonds, Series 2007, 5.000%, 5/01/37 – AGM Insured
5/17 at 100.00
 
Aa2
 
923,638
 
 
425
 
Marshall Public Schools, Calhoun County, Michigan, General Obligation Bonds, Series 2007, 5.000%, 5/01/30 – SYNCORA GTY Insured
5/17 at 100.00
 
AA–
 
459,718
 
 
340
 
Michigan Finance Authority, Revenue Bonds, Detroit City School District, Series 2012, 5.000%, 6/01/20
No Opt. Call
 
A+
 
386,696
 
 
2,500
 
Michigan State, General Obligation Bonds, Environmental Program, Refunding Series 2011A, 5.000%, 12/01/22
12/21 at 100.00
 
Aa2
 
3,076,300
 
 
800
 
Michigan State, General Obligation Bonds, Environmental Program, Series 2009A, 5.500%, 11/01/25
5/19 at 100.00
 
Aa2
 
948,776
 
 
2,450
 
Oakland Intermediate School District, Oakland County, Michigan, General Obligation Bonds, Series 2007, 5.000%, 5/01/36 – AGM Insured
5/17 at 100.00
 
Aaa
 
2,632,501
 
 
3,500
 
Ottawa County, Michigan, Water Supply System, General Obligation Bonds, Series 2007, 5.000%, 8/01/30 – NPFG Insured (UB)
8/17 at 100.00
 
Aaa
 
3,828,580
 
 
1,100
 
Oxford Area Community Schools, Oakland and Lapeer Counties, Michigan, General Obligation Bonds, Series 2004, 5.000%, 5/01/25 – AGM Insured
5/14 at 100.00
 
Aa2
 
1,141,382
 

Nuveen Investments
 
29

 
 

 
 
   
Nuveen Michigan Premium Income Municipal Fund, Inc. (continued)
NMP
 
Portfolio of Investments
August 31, 2012 (Unaudited)

 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
Tax Obligation/General (continued)
           
$
805
 
Parchment School District, Kalamazoo County, Michigan, General Obligation Bonds, Tender Option Bond Trust 2836, 10.934%, 5/01/15 – AGM Insured (IF)
No Opt. Call
 
Aa2
$
923,069
 
 
1,000
 
Rockford Public Schools, Kent County, Michigan, General Obligation Bonds, Series 2005, 5.000%, 5/01/27 – AGM Insured
5/15 at 100.00
 
Aa2
 
1,084,510
 
 
1,000
 
Rockford Public Schools, Kent County, Michigan, General Obligation Bonds, Series 2008, 5.000%, 5/01/33 – AGM Insured
5/18 at 100.00
 
Aa2
 
1,092,840
 
 
125
 
South Haven, Van Buren County, Michigan, General Obligation Bonds, Capital Improvement Series 2009, 5.125%, 12/01/33 – AGC Insured
12/19 at 100.00
 
AA–
 
143,811
 
 
500
 
Thornapple Kellogg School District, Barry County, Michigan, General Obligation Bonds, Series 2007, 5.000%, 5/01/32 – NPFG Insured
5/17 at 100.00
 
Aa2
 
557,310
 
 
1,500
 
Trenton Public Schools District, Michigan, General Obligation Bonds, Series 2008, 5.000%, 5/01/34 – AGM Insured
5/18 at 100.00
 
Aa2
 
1,633,575
 
     
Van Dyke Public Schools, Macomb County, Michigan, General Obligation Bonds, School Building and Site, Series 2008:
           
 
800
 
5.000%, 5/01/31 – AGM Insured
5/18 at 100.00
 
Aa2
 
879,496
 
 
1,350
 
5.000%, 5/01/38 – AGM Insured
5/18 at 100.00
 
Aa2
 
1,457,892
 
 
2,830
 
Warren Consolidated School District, Macomb and Oakland Counties, Michigan, General Obligation Refunding Bonds, Series 2003, 5.250%, 5/01/20
5/13 at 100.00
 
AA
 
2,892,713
 
 
1,680
 
Wayne Charter County, Michigan, General Obligation Bonds, Building Improvements, Series 2009A, 6.750%, 11/01/39
12/19 at 100.00
 
BBB+
 
1,936,738
 
     
Wayne Charter County, Michigan, Limited Tax General Obligation Airport Hotel Revenue Bonds, Detroit Metropolitan Wayne County Airport, Series 2001A:
           
 
1,500
 
5.500%, 12/01/18 – NPFG Insured
12/12 at 100.00
 
BBB+
 
1,507,290
 
 
4,435
 
5.000%, 12/01/30 – NPFG Insured
12/12 at 100.00
 
BBB+
 
4,437,129
 
 
1,475
 
Willow Run Community Schools, Washtenaw County, Michigan, General Obligation Bonds, Refunding Series 2011, 4.500%, 5/01/31 – AGM Insured
5/21 at 100.00
 
AA–
 
1,592,971
 
 
54,111
 
Total Tax Obligation/General
       
58,546,487
 
     
Tax Obligation/Limited – 13.8% (9.6% of Total Investments)
           
 
915
 
Government of Guam, Business Privilege Tax Bonds, Series 2011A, 5.125%, 1/01/42
1/22 at 100.00
 
A
 
1,018,212
 
 
1,675
 
Michigan Finance Authority, Unemployment Obligation Assessment Revenue Bonds, Series 2012B, 5.000%, 7/01/22
7/16 at 100.00
 
AAA
 
1,920,337
 
 
1,600
 
Michigan State Building Authority, Revenue Bonds, Facilities Program, Series 2005II, 5.000%, 10/15/30 – AMBAC Insured
10/15 at 100.00
 
Aa3
 
1,750,912
 
 
2,880
 
Michigan State Building Authority, Revenue Bonds, Refunding Series 2006IA, 5.000%, 10/15/36 – FGIC Insured
10/16 at 100.00
 
Aa3
 
3,055,162
 
     
Michigan State Building Authority, Revenue Refunding Bonds, Facilities Program, Series 2003II:
           
 
5,000
 
5.000%, 10/15/22 – NPFG Insured
10/13 at 100.00
 
Aa3
 
5,231,550
 
 
2,480
 
5.000%, 10/15/23 – NPFG Insured
10/13 at 100.00
 
Aa3
 
2,594,849
 
 
450
 
Michigan State Trunk Line Fund Refunding Bonds, Series 2009, 5.000%, 11/15/36
11/21 at 100.00
 
AA+
 
521,316
 
 
450
 
Virgin Islands Public Finance Authority, Revenue Bonds, Senior Lien Matching Fund Loan Notes,Series 2009A-1, 5.000%, 10/01/39
10/19 at 100.00
 
BBB+
 
470,300
 
 
15,450
 
Total Tax Obligation/Limited
       
16,562,638
 
     
Transportation – 2.1% (1.5% of Total Investments)
           
 
230
 
Kent County, Michigan, Airport Revenue Bonds, Gerald R. Ford International Airport, Series 2007, 5.000%, 1/01/32
1/17 at 100.00
 
AAA
 
248,018
 
 
2,000
 
Wayne County Airport Authority, Michigan, Revenue Bonds, Detroit Metropolitan Airport, Refunding Series 2011A, 5.000%, 12/01/21 (Alternative Minimum Tax)
No Opt. Call
 
A
 
2,282,040
 
 
2,230
 
Total Transportation
       
2,530,058
 
     
U.S. Guaranteed – 13.3% (9.2% of Total Investments) (4)
           
 
2,500
 
Detroit City School District, Wayne County, Michigan, General Obligation Bonds, Series 2003B, 5.000%, 5/01/23 (Pre-refunded 5/01/13) – FGIC Insured
5/13 at 100.00
 
Aa2 (4)
 
2,580,150
 
 
915
 
Detroit, Michigan, Second Lien Sewerage Disposal System Revenue Bonds, Series 2005A, 5.000%, 7/01/30 (Pre-refunded 7/01/15) – NPFG Insured
7/15 at 100.00
 
A (4)
 
1,031,104
 

30
 
Nuveen Investments
 
 
 

 

 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
U.S. Guaranteed (4) (continued)
           
$
2,000
 
Howell Public Schools, Livingston County, Michigan, General Obligation Bonds, Series 2003, 5.000%, 5/01/22 (Pre-refunded 11/01/13)
11/13 at 100.00
 
Aa2 (4)
$
2,111,760
 
     
Lansing School District, Ingham County, Michigan, General Obligation Bonds, Series 2004:
           
 
500
 
5.000%, 5/01/22 (Pre-refunded 5/01/14)
5/14 at 100.00
 
Aa2 (4)
 
539,230
 
 
500
 
5.000%, 5/01/22 (Pre-refunded 5/01/14)
5/14 at 100.00
 
Aa2 (4)
 
539,230
 
 
1,500
 
Michigan State Hospital Finance Authority, Hospital Revenue Refunding Bonds, Henry Ford Health System, Series 2003A, 5.625%, 3/01/17 (Pre-refunded 3/01/13)
3/13 at 100.00
 
A1 (4)
 
1,540,845
 
 
675
 
Michigan State Hospital Finance Authority, Hospital Revenue Refunding Bonds, St. John’s
11/12 at 100.00
 
N/R (4)
 
684,254
 
     
Hospital, Series 1992A, 6.000%, 5/15/13 – AMBAC Insured (ETM)
           
     
Michigan State Hospital Finance Authority, Hospital Revenue Refunding Bonds, Trinity Health Credit Group, Series 2002C:
           
 
85
 
5.375%, 12/01/30 (Pre-refunded 12/01/12)
12/12 at 100.00
 
Aa2 (4)
 
86,105
 
 
915
 
5.375%, 12/01/30 (Pre-refunded 12/01/12)
12/12 at 100.00
 
AA (4)
 
926,858
 
     
Michigan State Hospital Finance Authority, Revenue Bonds, Chelsea Community Hospital, Series 2005:
           
 
425
 
5.000%, 5/15/25 (Pre-refunded 5/15/15)
5/15 at 100.00
 
AA+ (4)
 
477,245
 
 
150
 
5.000%, 5/15/30 (Pre-refunded 5/15/15)
5/15 at 100.00
 
AA+ (4)
 
168,440
 
     
Michigan State Hospital Finance Authority, Revenue Bonds, Marquette General Hospital, Series 2005A:
           
 
2,435
 
5.000%, 5/15/26 (Pre-refunded 5/15/15)
5/15 at 100.00
 
Baa3 (4)
 
2,461,201
 
 
200
 
5.000%, 5/15/34 (Pre-refunded 5/15/15)
5/15 at 100.00
 
Baa3 (4)
 
200,186
 
 
1,000
 
Otsego Public Schools District, Allegan and Kalamazoo Counties, Michigan, General Obligation Bonds, Series 2004, 5.000%, 5/01/25 (Pre-refunded 5/01/14) – AGM Insured
5/14 at 100.00
 
Aa2 (4)
 
1,078,810
 
 
1,425
 
Walled Lake Consolidated School District, Oakland County, Michigan, General Obligation Bonds, Series 2004, 5.250%, 5/01/20 (Pre-refunded 5/01/14) – NPFG Insured
5/14 at 100.00
 
AA– (4)
 
1,543,218
 
 
15,225
 
Total U.S. Guaranteed
       
15,968,636
 
     
Utilities – 13.0% (9.0% of Total Investments)
           
     
Lansing Board of Water and Light, Michigan, Steam and Electric Utility System Revenue Bonds, Series 2008A:
           
 
125
 
5.000%, 7/01/28
7/18 at 100.00
 
AA–
 
138,671
 
 
2,500
 
5.000%, 7/01/32
7/18 at 100.00
 
AA–
 
2,731,350
 
     
Lansing Board of Water and Light, Michigan, Utility System Revenue Bonds, Tender Option Bond Trust 4700:
           
 
700
 
17.770%, 7/01/37 (IF) (5)
7/21 at 100.00
 
AA–
 
1,095,444
 
 
360
 
17.924%, 7/01/37 (IF) (5)
7/21 at 100.00
 
AA–
 
563,371
 
 
1,250
 
Michigan Public Power Agency, AFEC Project Revenue Bonds, Series 2012A, 5.000%, 1/01/43 – AGM Insured
1/22 at 100.00
 
A2
 
1,327,975
 
     
Michigan Public Power Agency, Revenue Bonds, Combustion Turbine 1 Project, Series 2011:
           
 
1,760
 
5.000%, 1/01/24 – AGM Insured
1/21 at 100.00
 
AA–
 
2,042,392
 
 
1,990
 
5.000%, 1/01/25 – AGM Insured
1/21 at 100.00
 
AA–
 
2,299,704
 
 
1,180
 
5.000%, 1/01/26 – AGM Insured
1/21 at 100.00
 
AA–
 
1,354,227
 
 
3,000
 
Michigan Strategic Fund, Limited Obligation Revenue Refunding Bonds, Detroit Edison Company, Series 2002C, 5.450%, 12/15/32 – SYNCORA GTY Insured (Alternative Minimum Tax)
12/12 at 100.00
 
BBB+
 
3,010,440
 
 
990
 
Puerto Rico Industrial, Tourist, Educational, Medical and Environmental Control Facilities Financing Authority, Co-Generation Facility Revenue Bonds, Series 2000A, 6.625%, 6/01/26 (Alternative Minimum Tax)
12/12 at 100.00
 
Ba1
 
993,990
 
 
13,855
 
Total Utilities
       
15,557,564
 
     
Water and Sewer – 20.8% (14.4% of Total Investments)
           
 
1,250
 
Detroit Water and Sewerage Department, Michigan, Sewage Disposal System Revenue Bonds, Refunding Senior Lien Series 2012A, 5.000%, 7/01/39 – AGM Insured
7/22 at 100.00
 
AA–
 
1,324,125
 
 
3,600
 
Detroit Water Supply System, Michigan, Water Supply System Revenue Senior Lien Bonds, Series 2006A, 5.000%, 7/01/34 – AGM Insured
7/16 at 100.00
 
AA–
 
3,776,796
 
 
1,085
 
Detroit, Michigan, Second Lien Sewerage Disposal System Revenue Bonds, Series 2005A, 5.000%, 7/01/30 – NPFG Insured
7/15 at 100.00
 
A
 
1,103,695
 
 
1,500
 
Detroit, Michigan, Senior Lien Sewerage Disposal System Revenue Bonds, Series 2001B, 5.500%, 7/01/29 – FGIC Insured
No Opt. Call
 
A
 
1,658,745
 

Nuveen Investments
 
31
 
 
 

 


   
Nuveen Michigan Premium Income Municipal Fund, Inc. (continued)
NMP
 
Portfolio of Investments
August 31, 2012 (Unaudited)

 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
Water and Sewer (continued)
           
$
1,120
 
Detroit, Michigan, Senior Lien Sewerage Disposal System Revenue Bonds, Series 2003A, 5.000%, 7/01/17 – AGM Insured
7/13 at 100.00
 
AA
$
1,141,134
 
 
1,945
 
Detroit, Michigan, Water Supply System Revenue Bonds, Senior Lien Series 2011A, 5.250%, 7/01/41
7/21 at 100.00
 
A+
 
2,049,505
 
 
1,330
 
Grand Rapids, Michigan, Sanitary Sewer System Revenue Bonds, Series 2005, 5.000%, 1/01/30 – NPFG Insured
7/15 at 100.00
 
AA+
 
1,416,038
 
 
390
 
Grand Rapids, Michigan, Sanitary Sewer System Revenue Bonds, Series 2008, 5.000%, 1/01/38
1/18 at 100.00
 
AA+
 
423,056
 
 
425
 
Grand Rapids, Michigan, Water Supply System Revenue Bonds, Series 2009, 5.100%, 1/01/39 – AGC Insured
1/19 at 100.00
 
AA
 
471,844
 
 
285
 
Michigan Finance Authority, State Revolving Fund Revenue Bonds, Clean Water Series 2012, 5.000%, 10/01/32
10/22 at 100.00
 
AAA
 
341,823
 
 
1,000
 
Michigan Municipal Bond Authority, Water Revolving Fund Revenue Bonds, Series 2007, 5.000%, 10/01/24
10/17 at 100.00
 
AAA
 
1,163,010
 
 
8,245
 
North Kent Sewer Authority, Michigan, Sewer Revenue Bonds, Series 2006, 5.000%, 11/01/31 – NPFG Insured
11/16 at 100.00
 
Aa3
 
9,058,283
 
 
500
 
Port Huron, Michigan, Water Supply System Revenue Bonds, Series 2011, 5.625%, 10/01/40
10/21 at 100.00
 
A
 
558,730
 
 
350
 
Saginaw, Michigan, Water Supply System Revenue Bonds, Series 2008, 5.250%, 7/01/22 – NPFG Insured
7/18 at 100.00
 
A
 
388,871
 
 
23,025
 
Total Water and Sewer
       
24,875,655
 
$
160,296
 
Total Investments (cost $160,982,881) – 144.6%
       
173,115,668
 
     
Floating Rate Obligations – (1.9)%
       
(2,330,000
     
Variable Rate MuniFund Term Preferred Shares, at Liquidation Value – (45.0)% (6)
       
(53,900,000
     
Other Assets Less Liabilities – 2.3%
       
2,806,949
 
     
Net Assets Applicable to Common Shares – 100%
     
$
119,692,617
 
 
(1)
 
All percentages shown in the Portfolio of Investments are based on net assets applicable to Common shares unless otherwise noted.
(2)
 
Optional Call Provisions: Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. Certain mortgage-backed securities may be subject to periodic principal paydowns.
 (3)   Ratings: Using the highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. Ratings below BBB by Standard & Poor’s, Baa by Moody’s or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies.
(4)
 
Backed by an escrow or trust containing sufficient U.S. Government or U.S. Government agency securities, which ensure the timely payment of principal and interest. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities. 
 (5)   Investment, or portion of investment, has been pledged to collateralize the net payment obligations for investments in inverse floating rate transactions.
 (6)   Variable Rate MuniFund Term Preferred Shares, at Liquidation Value as a percentage of Total Investments is 31.1%.
N/R
 
Not rated.
(ETM)
 
Escrowed to maturity.
(IF)
 
Inverse floating rate investment.
(UB)
 
Underlying bond of an inverse floating rate trust reflected as a financing transaction. See Notes to Financial Statements, Footnote 1 – General Information and Significant Accounting Policies, Inverse Floating Rate Securities for more information.
 
See accompanying notes to financial statements.
 
32
 
Nuveen Investments

 
 

 
 
   
Nuveen Michigan Dividend Advantage Municipal Fund
NZW
 
Portfolio of Investments

August 31, 2012 (Unaudited)

 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
Consumer Staples – 5.5% (3.7% of Total Investments)
           
$
1,750
 
Michigan Tobacco Settlement Finance Authority, Tobacco Settlement Asset-Backed Revenue Bonds, Series 2008A, 6.875%, 6/01/42
6/18 at 100.00
 
BB–
$
1,762,842
 
     
Education and Civic Organizations – 11.8% (7.8% of Total Investments)
           
 
250
 
Conner Creek Academy East, Michigan, Public School Revenue Bonds, Series 2007, 5.250%, 11/01/36
11/16 at 100.00
 
BB–
 
208,175
 
 
85
 
Michigan Finance Authority, Public School Academy Limited Obligation Revenue and Refunding Bonds, Detroit Service Learning Academy Project, Series 2011, 7.000%, 10/01/31
10/21 at 100.00
 
BBB–
 
93,696
 
 
1,150
 
Michigan Higher Education Facilities Authority, Limited Obligation Revenue Refunding Bonds, Kettering University, Series 2001, 5.000%, 9/01/26 – AMBAC Insured
3/13 at 100.00
 
N/R
 
1,149,920
 
 
250
 
Michigan Public Educational Facilities Authority, Charter School Revenue Bonds, American Montessori Academy, Series 2007, 6.500%, 12/01/37
12/17 at 100.00
 
N/R
 
250,298
 
 
1,500
 
Michigan State University, General Revenue Bonds, Refunding Series 2010C, 5.000%, 2/15/40
2/20 at 100.00
 
Aa1
 
1,669,920
 
 
350
 
Michigan Technological University, General Revenue and Refunding Bonds, Series 2012A, 5.000%, 10/01/34
10/21 at 100.00
 
Aa3
 
395,336
 
 
3,585
 
Total Education and Civic Organizations
       
3,767,345
 
     
Health Care – 13.9% (9.2% of Total Investments)
           
 
500
 
Grand Traverse County Hospital Financial Authority, Michigan, Revenue Bonds, Munson Healthcare, Refunding Series 2011A, 5.000%, 7/01/29
7/21 at 100.00
 
AA–
 
541,325
 
 
90
 
Jackson County Hospital Finance Authority, Michigan, Hospital Revenue Bonds, Alligiance Health, Refunding Series 2010A, 5.000%, 6/01/37 – AGM Insured
6/20 at 100.00
 
AA–
 
97,784
 
     
Kent Hospital Finance Authority, Michigan, Revenue Refunding Bonds, Spectrum Health System, Refunding Series 2011C:
           
 
500
 
5.000%, 1/15/31
1/22 at 100.00
 
AA
 
563,940
 
 
500
 
5.000%, 1/15/42
1/22 at 100.00
 
AA
 
548,780
 
     
Michigan Finance Authority, Revenue Bonds, Oakwood Obligated Group, Refunding Series 2012:
           
 
250
 
5.000%, 11/01/25
11/22 at 100.00
 
A
 
284,890
 
 
250
 
5.000%, 11/01/42
11/22 at 100.00
 
A
 
270,160
 
 
1,000
 
Michigan Finance Authority, Revenue Bonds, Trinity Health Credit Group, Refunding Series 2011, 5.000%, 12/01/39
12/21 at 100.00
 
AA
 
1,108,020
 
     
Michigan State Hospital Finance Authority, Hospital Revenue Bonds, Henry Ford Health System, Refunding Series 2009:
           
 
150
 
5.000%, 11/15/20
11/19 at 100.00
 
A1
 
174,882
 
 
475
 
5.750%, 11/15/39
11/19 at 100.00
 
A1
 
545,291
 
 
150
 
Michigan State Hospital Finance Authority, Hospital Revenue Bonds, MidMichigan Obligated Group, Series 2009A, 5.875%, 6/01/39 – AGC Insured
6/19 at 100.00
 
AA–
 
169,521
 
 
100
 
Royal Oak Hospital Finance Authority, Michigan, Hospital Revenue Bonds, William Beaumont Hospital, Refunding Series 2009V, 8.250%, 9/01/39
9/18 at 100.00
 
A1
 
128,855
 
 
3,965
 
Total Health Care
       
4,433,448
 
     
Housing/Multifamily – 7.6% (5.0% of Total Investments)
           
 
1,700
 
Michigan Housing Development Authority, GNMA Collateralized Limited Obligation Multifamily Housing Revenue Bonds, Cranbrook Apartments, Series 2001A, 5.400%, 2/20/31 (Alternative Minimum Tax)
8/14 at 100.00
 
Aaa
 
1,735,955
 
 
370
 
Michigan Housing Development Authority, Multifamily Housing Revenue Bonds, Series 1988A, 3.375%, 11/01/16 (Alternative Minimum Tax)
11/14 at 101.00
 
AA
 
381,444
 
 
200
 
Michigan Housing Development Authority, Rental Housing Revenue Bonds, Series 2006D, 5.125%, 4/01/31 – AGM Insured (Alternative Minimum Tax)
7/15 at 100.00
 
AA
 
206,892
 
 
100
 
Michigan Housing Development Authority, Rental Housing Revenue Bonds, Series 2009A, 5.700%, 10/01/39
10/18 at 100.00
 
AA
 
108,927
 
 
2,370
 
Total Housing/Multifamily
       
2,433,218
 

Nuveen Investments
 
33

 
 

 

   
Nuveen Michigan Dividend Advantage Municipal Fund (continued)
NZW
 
Portfolio of Investments
August 31, 2012 (Unaudited)
 

 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
Housing/Single Family – 2.9% (1.9% of Total Investments)
           
$
470
 
Michigan Housing Development Authority, Single Family Homeownership Revenue Bonds, Series 2010C, 5.500%, 12/01/28 (Alternative Minimum Tax)
6/20 at 100.00
 
AA+
$
509,870
 
 
375
 
Michigan Housing Development Authority, Single Family Homeownership Revenue Bonds, Series 2011A, 4.600%, 12/01/26
6/21 at 100.00
 
AA+
 
415,740
 
 
845
 
Total Housing/Single Family
       
925,610
 
     
Industrials – 1.6% (1.1% of Total Investments)
           
 
500
 
Michigan Strategic Fund, Limited Obligation Revenue Bonds, Republic Services Inc., Series 2001, 4.250%, 8/01/31 (Mandatory put 4/01/14) (Alternative Minimum Tax)
No Opt. Call
 
BBB
 
513,180
 
     
Tax Obligation/General – 34.8% (23.1% of Total Investments)
           
 
345
 
Ann Arbor Public School District, Washtenaw County, Michigan, General Obligation Bonds, Refunding Series 2012, 5.000%, 5/01/29
5/22 at 100.00
 
Aa2
 
415,197
 
 
200
 
Ann Arbor, Michigan, General Obligation Bonds, Court & Police Facilities Capital Improvement Series 2008, 5.000%, 5/01/38
5/18 at 100.00
 
AA+
 
219,546
 
 
500
 
Byron Center Public Schools, Kent County, Michigan, General Obligation Bonds, Series 2012, 4.000%, 5/01/33
5/21 at 100.00
 
AA–
 
514,830
 
 
437
 
Caledonia Community Schools, Kent, Allegan and Barry Counties, Michigan, General Obligation Bonds, Tender Option Bond Trust 2008-1096, 7.861%, 5/01/32 – NPFG Insured (IF)
5/17 at 100.00
 
Aa2
 
490,493
 
     
Comstock Park Public Schools, Kent County, Michigan, General Obligation Bonds, School Building& Site, Series 2011B:
           
 
150
 
5.500%, 5/01/36
5/21 at 100.00
 
AA–
 
173,162
 
 
290
 
5.500%, 5/01/41
5/21 at 100.00
 
AA–
 
334,074
 
 
50
 
Detroit-Wayne County Stadium Authority, Michigan, Limited Tax General Obligation Building Authority Stadium Bonds, Series 1997, 5.500%, 2/01/17 – FGIC Insured
2/13 at 100.00
 
BBB+
 
50,141
 
 
300
 
Grand Rapids, Michigan, General Obligation Bonds, Capital Improvement Series 2007, 5.000%, 9/01/27 – NPFG Insured
9/17 at 100.00
 
AA
 
331,599
 
 
430
 
Lowell Area Schools, Kent and Ionia Counties, Michigan, General Obligation Bonds, Series 2007, 5.000%, 5/01/37 – AGM Insured
5/17 at 100.00
 
Aa2
 
459,150
 
 
100
 
Michigan Finance Authority, Revenue Bonds, Detroit City School District, Series 2012, 5.000%, 6/01/20
No Opt. Call
 
A+
 
113,734
 
 
500
 
Michigan State, General Obligation Bonds, Environmental Program, Refunding Series 2011A, 5.000%, 12/01/22
12/21 at 100.00
 
Aa2
 
615,260
 
 
100
 
Michigan State, General Obligation Bonds, Environmental Program, Series 2009A, 5.500%, 11/01/25
5/19 at 100.00
 
Aa2
 
118,597
 
 
1,410
 
New Haven Community Schools, Macomb County, Michigan, General Obligation Bonds, Series 2006, 5.000%, 5/01/25 – AGM Insured
5/16 at 100.00
 
Aa2
 
1,532,980
 
 
420
 
Oakland Intermediate School District, Oakland County, Michigan, General Obligation Bonds, Series 2007, 5.000%, 5/01/36 – AGM Insured
5/17 at 100.00
 
Aaa
 
451,286
 
 
1,000
 
Ottawa County, Michigan, Water Supply System, General Obligation Bonds, Series 2007, 5.000%, 8/01/30 – NPFG Insured (UB)
8/17 at 100.00
 
Aaa
 
1,093,880
 
 
235
 
Parchment School District, Kalamazoo County, Michigan, General Obligation Bonds, Tender Option Bond Trust 2836, 10.934%, 5/01/15 – AGM Insured (IF)
No Opt. Call
 
Aa2
 
269,467
 
 
750
 
Plainwell Community Schools, Allegan County, Michigan, General Obligation Bonds, School Building & Site, Series 2008, 5.000%, 5/01/28 – AGC Insured
5/18 at 100.00
 
Aa2
 
834,840
 
 
200
 
Rockford Public Schools, Kent County, Michigan, General Obligation Bonds, Refunding Series 2012, 5.000%, 5/01/19
No Opt. Call
 
AA–
 
242,960
 
 
100
 
Rockford Public Schools, Kent County, Michigan, General Obligation Bonds, Series 2008, 5.000%, 5/01/33 – AGM Insured
5/18 at 100.00
 
Aa2
 
109,284
 
 
25
 
South Haven, Van Buren County, Michigan, General Obligation Bonds, Capital Improvement Series 2009, 5.125%, 12/01/33 – AGC Insured
12/19 at 100.00
 
AA–
 
28,762
 
 
35
 
Thornapple Kellogg School District, Barry County, Michigan, General Obligation Bonds, Series 2007, 5.000%, 5/01/32 – NPFG Insured
5/17 at 100.00
 
Aa2
 
39,012
 
 
34
 
Nuveen Investments

 
 

 
 
 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
Tax Obligation/General (continued)
           
$
100
 
Trenton Public Schools District, Michigan, General Obligation Bonds, Series 2008, 5.000%, 5/01/34 – AGM Insured
5/18 at 100.00
 
Aa2
$
108,905
 
 
225
 
Van Dyke Public Schools, Macomb County, Michigan, General Obligation Bonds, School Building and Site, Series 2008, 5.000%, 5/01/38 – AGM Insured
5/18 at 100.00
 
Aa2
 
242,982
 
 
65
 
Wayne Charter County, Michigan, General Obligation Bonds, Building Improvements, Series 2009A, 6.750%, 11/01/39
12/19 at 100.00
 
BBB+
 
74,933
 
 
1,690
 
Wayne Charter County, Michigan, Limited Tax General Obligation Airport Hotel Revenue Bonds, Detroit Metropolitan Wayne County Airport, Series 2001A, 5.000%, 12/01/30 – NPFG Insured
12/12 at 100.00
 
BBB+
 
1,690,811
 
 
500
 
Wayne Westland Community Schools, Michigan, General Obligation Bonds, Series 2004, 5.000%, 5/01/17 – AGM Insured
11/14 at 100.00
 
Aa2
 
546,465
 
 
10,157
 
Total Tax Obligation/General
       
11,102,350
 
     
Tax Obligation/Limited – 20.3% (13.5% of Total Investments)
           
 
265
 
Government of Guam, Business Privilege Tax Bonds, Series 2011A, 5.125%, 1/01/42
1/22 at 100.00
 
A
 
294,892
 
     
Grand Rapids Building Authority, Kent County, Michigan, General Obligation Bonds, Refunding Series 2011:
           
 
560
 
5.000%, 10/01/28
10/21 at 100.00
 
AA
 
636,765
 
 
500
 
5.000%, 10/01/30
10/21 at 100.00
 
AA
 
564,345
 
 
500
 
5.000%, 10/01/31
10/21 at 100.00
 
AA
 
563,095
 
 
330
 
Kalkaska County Hospital Authority, Michigan, Hospital Revenue Bonds, Series 2007, 5.125%, 5/01/14
No Opt. Call
 
A–
 
340,161
 
 
420
 
Michigan Finance Authority, Unemployment Obligation Assessment Revenue Bonds, Series 2012B, 5.000%, 7/01/22
7/16 at 100.00
 
AAA
 
481,517
 
     
Michigan State Building Authority, Revenue Bonds, Refunding Series 2006IA:
           
 
1,520
 
0.000%, 10/15/28 – AGM Insured
10/16 at 55.35
 
AA–
 
711,254
 
 
720
 
5.000%, 10/15/36 – FGIC Insured
10/16 at 100.00
 
Aa3
 
763,790
 
     
Michigan State Trunk Line Fund Refunding Bonds, Series 2009:
           
 
1,160
 
4.000%, 11/15/32
11/21 at 100.00
 
AA+
 
1,240,608
 
 
150
 
5.000%, 11/15/36
11/21 at 100.00
 
AA+
 
173,772
 
 
700
 
Virgin Islands Public Finance Authority, Revenue Bonds, Senior Lien Matching Fund Loan Notes, Series 2009A-1, 5.000%, 10/01/39
10/19 at 100.00
 
BBB+
 
731,577
 
 
6,825
 
Total Tax Obligation/Limited
       
6,501,776
 
     
Transportation – 2.6% (1.7% of Total Investments)
           
 
250
 
Wayne County Airport Authority, Michigan, Revenue Bonds, Detroit Metropolitan Airport, Refunding Series 2007, 5.000%, 12/01/12 – FGIC Insured
No Opt. Call
 
A
 
252,953
 
 
500
 
Wayne County Airport Authority, Michigan, Revenue Bonds, Detroit Metropolitan Airport, Refunding Series 2011A, 5.000%, 12/01/21 (Alternative Minimum Tax)
No Opt. Call
 
A
 
570,510
 
 
750
 
Total Transportation
       
823,463
 
     
U.S. Guaranteed – 17.6% (11.6% of Total Investments) (4)
           
 
720
 
Detroit, Michigan, Senior Lien Sewerage Disposal System Revenue Bonds, Series 2003A, 5.000%, 7/01/17 (Pre-refunded 7/01/13) – AGM Insured
7/13 at 100.00
 
AA– (4)
 
748,541
 
 
500
 
Jackson Public Schools, Jackson County, Michigan, General Obligation School Building and Site Bonds, Series 2004, 5.000%, 5/01/22 (Pre-refunded 5/01/14) – AGM Insured
5/14 at 100.00
 
Aa2 (4)
 
539,405
 
 
525
 
Michigan State Hospital Finance Authority, Hospital Revenue Bonds, Oakwood Obligated Group, Series 2002A, 5.750%, 4/01/32 (Pre-refunded 4/01/13)
4/13 at 100.00
 
AA+ (4)
 
542,089
 
     
Michigan State Hospital Finance Authority, Hospital Revenue Refunding Bonds, Trinity Health Credit Group, Series 2002C:
           
 
85
 
5.375%, 12/01/30 (Pre-refunded 12/01/12)
12/12 at 100.00
 
Aa2 (4)
 
86,105
 
 
915
 
5.375%, 12/01/30 (Pre-refunded 12/01/12)
12/12 at 100.00
 
AA (4)
 
926,858
 
     
Michigan State Hospital Finance Authority, Revenue Bonds, Chelsea Community Hospital, Series 2005:
           
 
425
 
5.000%, 5/15/30 (Pre-refunded 5/15/15)
5/15 at 100.00
 
AA+ (4)
 
477,245
 
 
335
 
5.000%, 5/15/37 (Pre-refunded 5/15/15)
5/15 at 100.00
 
AA+ (4)
 
376,182
 

Nuveen Investments
 
35

 
 

 

   
Nuveen Michigan Dividend Advantage Municipal Fund (continued)
NZW
 
Portfolio of Investments
August 31, 2012 (Unaudited)

 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
U.S. Guaranteed (4) (continued)
           
     
Michigan State Hospital Finance Authority, Revenue Bonds, Marquette General Hospital, Series 2005A:
           
$
500
 
5.000%, 5/15/26 (Pre-refunded 5/15/15)
5/15 at 100.00
 
Baa3 (4)
$
505,380
 
 
400
 
5.000%, 5/15/34 (Pre-refunded 5/15/15)
5/15 at 100.00
 
Baa3 (4)
 
400,372
 
     
Puerto Rico Public Finance Corporation, Commonwealth Appropriation Bonds, Series 2002E:
           
 
85
 
6.000%, 8/01/26 (ETM)
No Opt. Call
 
Baa2 (4)
 
122,346
 
 
615
 
6.000%, 8/01/26 (ETM)
No Opt. Call
 
AA+ (4)
 
885,213
 
 
5,105
 
Total U.S. Guaranteed
       
5,609,736
 
     
Utilities – 11.7% (7.8% of Total Investments)
           
 
1,115
 
Lansing Board of Water and Light, Michigan, Steam and Electric Utility System Revenue Bonds, Series 2003A, 5.000%, 7/01/21 – AGM Insured
7/13 at 100.00
 
AA–
 
1,145,295
 
     
Lansing Board of Water and Light, Michigan, Steam and Electric Utility System Revenue Bonds, Series 2008A:
           
 
50
 
5.000%, 7/01/28
7/18 at 100.00
 
AA–
 
55,469
 
 
750
 
5.000%, 7/01/32
7/18 at 100.00
 
AA–
 
819,405
 
     
Lansing Board of Water and Light, Michigan, Utility System Revenue Bonds, Tender Option Bond Trust 4700:
           
 
100
 
17.770%, 7/01/37 (IF) (5)
7/21 at 100.00
 
AA–
 
156,492
 
 
250
 
17.924%, 7/01/37 (IF) (5)
7/21 at 100.00
 
AA–
 
391,230
 
 
250
 
Michigan Public Power Agency, AFEC Project Revenue Bonds, Series 2012A, 5.000%, 1/01/43 – AGM Insured
1/22 at 100.00
 
A2
 
265,595
 
     
Michigan Public Power Agency, Revenue Bonds, Combustion Turbine 1 Project, Series 2011:
           
 
500
 
5.000%, 1/01/26 – AGM Insured
1/21 at 100.00
 
AA–
 
573,825
 
 
290
 
5.000%, 1/01/27 – AGM Insured
1/21 at 100.00
 
AA–
 
330,525
 
 
3,305
 
Total Utilities
       
3,737,836
 
     
Water and Sewer – 20.5% (13.6% of Total Investments)
           
 
250
 
Detroit Water and Sewerage Department, Michigan, Sewage Disposal System Revenue Bonds, Refunding Senior Lien Series 2012A, 5.000%, 7/01/39 – AGM Insured
7/22 at 100.00
 
AA–
 
264,825
 
 
1,000
 
Detroit Water Supply System, Michigan, Water Supply System Revenue Senior Lien Bonds, Series 2006A, 5.000%, 7/01/34 – AGM Insured
7/16 at 100.00
 
AA–
 
1,049,110
 
 
1,000
 
Detroit, Michigan, Senior Lien Sewerage Disposal System Revenue Bonds, Series 2001B, 5.500%, 7/01/29 – FGIC Insured
No Opt. Call
 
A
 
1,105,830
 
 
280
 
Detroit, Michigan, Senior Lien Sewerage Disposal System Revenue Bonds, Series 2003A, 5.000%, 7/01/17 – AGM Insured
7/13 at 100.00
 
AA
 
285,284
 
 
490
 
Detroit, Michigan, Water Supply System Revenue Bonds, Senior Lien Series 2011A, 5.250%, 7/01/41
7/21 at 100.00
 
A+
 
516,328
 
 
125
 
Grand Rapids, Michigan, Sanitary Sewer System Revenue Bonds, Series 2008, 5.000%, 1/01/38
1/18 at 100.00
 
AA+
 
135,595
 
 
150
 
Grand Rapids, Michigan, Water Supply System Revenue Bonds, Series 2009, 5.100%, 1/01/39 – AGC Insured
1/19 at 100.00
 
AA
 
166,533
 
 
140
 
Michigan Finance Authority, State Revolving Fund Revenue Bonds, Clean Water Series 2012, 5.000%, 10/01/32
10/22 at 100.00
 
AAA
 
167,913
 
 
1,000
 
Michigan Municipal Bond Authority, Clean Water Revolving Fund Revenue Bonds, Series 2005, 5.000%, 10/01/19
10/15 at 100.00
 
AAA
 
1,128,800
 
 
500
 
Michigan Municipal Bond Authority, Water Revolving Fund Revenue Bonds, Series 2007, 5.000%, 10/01/23
10/17 at 100.00
 
AAA
 
583,365
 
 
36
 
Nuveen Investments

 
 

 

 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
Water and Sewer (continued)
           
$
500
 
Port Huron, Michigan, Water Supply System Revenue Bonds, Series 2011, 5.250%, 10/01/31
10/21 at 100.00
 
A
$
555,440
 
 
500
 
Puerto Rico Aqueduct and Sewerage Authority, Revenue Bonds, Senior Lien Series 2008A, 6.000%, 7/01/44
7/18 at 100.00
 
Baa2
 
531,090
 
 
50
 
Saginaw, Michigan, Water Supply System Revenue Bonds, Series 2008, 5.250%, 7/01/22 – NPFG Insured
7/18 at 100.00
 
A
 
55,553
 
 
5,985
 
Total Water and Sewer
       
6,545,666
 
$
45,142
 
Total Investments (cost $44,212,080) – 150.8%
       
48,156,470
 
     
Floating Rate Obligations – (2.1)%
       
(665,000)
 
     
MuniFund Term Preferred Shares, at Liquidation Value – (51.1)% (6)
       
(16,313,000)
 
     
Other Assets Less Liabilities – 2.4%
       
749,098
 
     
Net Assets Applicable to Common Shares – 100%
     
$
31,927,568
 
 
(1)
 
All percentages shown in the Portfolio of Investments are based on net assets applicable to Common shares unless otherwise noted.
(2)
 
Optional Call Provisions: Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. Certain mortgage-backed securities may be subject to periodic principal paydowns.
  (3)   Ratings: Using the highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. Ratings below BBB by Standard & Poor’s, Baa by Moody’s or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies.
(4)
 
Backed by an escrow or trust containing sufficient U.S. Government or U.S. Government agency securities, which ensure the timely payment of principal and interest. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities.
 (5)   Investment, or portion of investment, has been pledged to collateralize the net payment obligations for investments in inverse floating rate transactions.
 (6)   MuniFund Term Preferred Shares, at Liquidation Value as a percentage of Total Investments is 33.9%.
N/R
 
Not rated.
(ETM)
 
Escrowed to maturity.
(IF)
 
Inverse floating rate investment.
(UB)
 
Underlying bond of an inverse floating rate trust reflected as a financing transaction. See Notes to Financial Statements, Footnote 1 – General Information and Significant Accounting Policies, Inverse Floating Rate Securities for more information.
 
See accompanying notes to financial statements.

Nuveen Investments
 
37

 
 

 
 
   
Nuveen Ohio Quality Income Municipal Fund, Inc.
NUO
 
Portfolio of Investments
   
August 31, 2012 (Unaudited)

 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
Consumer Staples – 7.8% (5.5% of Total Investments)
           
     
Buckeye Tobacco Settlement Financing Authority, Ohio, Tobacco Settlement Asset-Backed Revenue Bonds, Senior Lien, Series 2007A-2:
           
$
4,000
 
5.125%, 6/01/24
6/17 at 100.00
 
B
$
3,395,520
 
 
11,945
 
5.875%, 6/01/47
6/17 at 100.00
 
BB
 
9,701,249
 
 
115
 
Puerto Rico, The Children’s Trust Fund, Tobacco Settlement Asset-Backed Refunding Bonds, Series 2002, 5.375%, 5/15/33
11/12 at 100.00
 
BBB+
 
114,998
 
 
16,060
 
Total Consumer Staples
       
13,211,767
 
     
Education and Civic Organizations – 11.6% (8.2% of Total Investments)
           
 
920
 
Miami University of Ohio, General Receipts Bonds, Series 2011, 5.000%, 9/01/36
9/21 at 100.00
 
AA
 
1,060,659
 
 
1,650
 
Ohio Higher Education Facilities Commission, General Revenue Bonds, Kenyon College, Series 2006, 5.000%, 7/01/41
7/16 at 100.00
 
A+
 
1,727,435
 
 
1,750
 
Ohio Higher Education Facilities Commission, General Revenue Bonds, Oberlin College, Series 2003, 5.125%, 10/01/24
10/13 at 100.00
 
AA
 
1,823,850
 
 
1,000
 
Ohio Higher Education Facilities Commission, Revenue Bonds, Wittenberg University, Series 2005, 5.000%, 12/01/29
12/15 at 100.00
 
Ba2
 
955,390
 
 
2,420
 
Ohio Higher Educational Facilities Commission, General Revenue Bonds, University of Dayton, 2006 Project, Series 2006, 5.000%, 12/01/30 – AMBAC Insured
12/16 at 100.00
 
A
 
2,588,214
 
 
935
 
Ohio Higher Educational Facilities Commission, Revenue Bonds, Denison University, Series 2004, 5.000%, 11/01/21
11/14 at 100.00
 
AA
 
1,018,496
 
 
1,320
 
Ohio Higher Educational Facilities Commission, Revenue Bonds, University of Dayton, Series 2004, 5.000%, 12/01/25 – AMBAC Insured
12/14 at 100.00
 
A
 
1,380,720
 
 
1,000
 
Ohio Higher Educational Facilities Commission, Revenue Bonds, Wittenberg University, Series 2001, 5.500%, 12/01/15
12/12 at 100.00
 
Ba2
 
1,001,000
 
 
1,500
 
Ohio State Higher Education Facilities, Revenue Bonds, Case Western Reserve University, Series 2006, 5.000%, 12/01/44 – NPFG Insured
12/16 at 100.00
 
AA–
 
1,601,190
 
 
2,000
 
Ohio State Higher Educational Facility Commission, Higher Education Facility Revenue Bonds, Xavier University 2008C, 5.750%, 5/01/28
11/18 at 100.00
 
A–
 
2,286,280
 
 
1,510
 
University of Akron, Ohio, General Receipts Bonds, Series 2003A, 5.000%, 1/01/21 – AMBAC Insured
1/13 at 100.00
 
AA–
 
1,530,159
 
 
2,605
 
University of Cincinnati, Ohio, General Receipts Bonds, Series 2004D, 5.000%, 6/01/25 – AMBAC Insured
6/14 at 100.00
 
AA–
 
2,770,808
 
 
18,610
 
Total Education and Civic Organizations
       
19,744,201
 
     
Health Care – 23.2% (16.4% of Total Investments)
           
 
1,000
 
Allen County, Ohio, Hospital Facilities Revenue Bonds, Catholic Healthcare Partners, Series 2010A, 5.250%, 6/01/38
6/20 at 100.00
 
AA–
 
1,105,330
 
 
2,500
 
Butler County, Ohio, Hospital Facilities Revenue Bonds, UC Health, Series 2010, 5.500%, 11/01/40
11/20 at 100.00
 
BBB+
 
2,721,675
 
 
3,405
 
Butler County, Ohio, Hospital Facilities Revenue Bonds, Cincinnati Children’s Medical Center Project, Series 2006K, 5.000%, 5/15/31 – FGIC Insured
5/16 at 100.00
 
N/R
 
3,500,306
 
     
Franklin County, Ohio, Hospital Revenue Bonds, Nationwide Children’s Hospital Project, Improvement Series 2009:
           
 
250
 
5.000%, 11/01/34
11/19 at 100.00
 
Aa2
 
274,490
 
 
300
 
5.250%, 11/01/40
11/19 at 100.00
 
Aa2
 
332,106
 
 
1,200
 
Franklin County, Ohio, Hospital Revenue Bonds, Nationwide Children’s Hospital Project, Series 2005, 5.000%, 11/01/40
11/18 at 100.00
 
Aa2
 
1,282,176
 
 
2,400
 
Franklin County, Ohio, Hospital Revenue Bonds, OhioHealth Corporation, Tender Option Bond Trust 11-21B, 9.264%, 11/15/41 (IF) (4)
11/21 at 100.00
 
AA+
 
2,876,928
 

38
 
Nuveen Investments

 
 

 

 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
Health Care (continued)
           
     
Hamilton County, Ohio, Revenue Bonds, Children’s Hospital Medical Center, Series 2004J:
           
$
2,455
 
5.250%, 5/15/16 – FGIC Insured
5/14 at 100.00
 
BBB
$
2,588,184
 
 
1,260
 
5.125%, 5/15/28 – FGIC Insured
5/14 at 100.00
 
BBB
 
1,287,355
 
 
1,000
 
Hancock County, Ohio, Hospital Revenue Bonds, Blanchard Valley Regional Health Center, Series 2011A, 6.250%, 12/01/34
6/21 at 100.00
 
A2
 
1,178,010
 
     
Lucas County, Ohio, Hospital Revenue Bonds, ProMedica Healthcare Obligated Group, Series 2008D:
           
 
90
 
5.000%, 11/15/38
11/18 at 100.00
 
AA–
 
96,301
 
 
40
 
5.125%, 11/15/40
11/18 at 100.00
 
AA–
 
43,029
 
 
2,665
 
Lucas County, Ohio, Hospital Revenue Bonds, ProMedica Healthcare Obligated Group, Series 2011A, 6.000%, 11/15/41
11/21 at 100.00
 
AA–
 
3,223,824
 
 
785
 
Miami County, Ohio, Hospital Facilities Revenue Refunding Bonds, Upper Valley Medical Center Inc., Series 2006, 5.250%, 5/15/21
5/16 at 100.00
 
A2
 
852,125
 
 
430
 
Middleburg Heights, Ohio, Hospital Facilities Revenue Bonds, Southwest General Health Center Project, Refunding Series 2011, 5.250%, 8/01/41
8/21 at 100.00
 
A2
 
470,807
 
     
Montgomery County, Ohio, Revenue Bonds, Catholic Health Initiatives, Series 2004A:
           
 
1,500
 
5.000%, 5/01/30
5/14 at 100.00
 
AA
 
1,552,440
 
 
2,500
 
5.000%, 5/01/32
5/14 at 100.00
 
AA
 
2,580,800
 
 
1,350
 
Montgomery County, Ohio, Revenue Bonds, Miami Valley Hospital, Series 2009A, 6.250%, 11/15/39
11/14 at 100.00
 
Aa3
 
1,432,040
 
 
95
 
Ohio Higher Educational Facilities Commission, Revenue Bonds, University Hospitals Health System Inc., Series 2007A, 5.250%, 1/15/46 – BHAC Insured
1/17 at 100.00
 
AA+
 
107,110
 
     
Ohio State Higher Educational Facilities Commission, Hospital Revenue Bonds, Cleveland Clinic Health System Obligated Group, Series 2008A:
           
 
1,315
 
5.000%, 1/01/25
1/18 at 100.00
 
Aa2
 
1,454,942
 
 
50
 
5.250%, 1/01/33
1/18 at 100.00
 
Aa2
 
55,284
 
 
1,200
 
Ohio State Higher Educational Facilities Commission, Hospital Revenue Bonds, Summa Health System Project, Series 2010, 5.250%, 11/15/40 – AGM Insured
5/20 at 100.00
 
AA–
 
1,318,248
 
 
1,000
 
Ohio State, Hospital Facility Revenue Refunding Bonds, Cleveland Clinic Health System Obligated Group, Series 2009A, 5.500%, 1/01/39
1/19 at 100.00
 
Aa2
 
1,122,030
 
     
Ohio State, Hospital Facility Revenue Refunding Bonds, Cleveland Clinic Health System Obligated Group, Tender Option Bond Trust 3551:
           
 
375
 
19.525%, 1/01/17 (IF)
No Opt. Call
 
Aa2
 
528,540
 
 
2,700
 
20.072%, 1/01/33 (IF)
1/19 at 100.00
 
Aa2
 
4,017,924
 
 
1,100
 
Ohio State, Hospital Facility Revenue Refunding Bonds, Cleveland Clinic Health System Obligated Group, Tender Option Bond Trust 3591, 20.231%, 1/01/17 (IF)
No Opt. Call
 
Aa2
 
1,636,932
 
 
1,200
 
Richland County, Ohio, Hospital Revenue Bonds, MidCentral Health System Group, Series 2006, 5.250%, 11/15/36
11/16 at 100.00
 
A–
 
1,264,824
 
 
600
 
Ross County, Ohio, Hospital Revenue Refunding Bonds, Adena Health System Series 2008, 5.750%, 12/01/35
12/18 at 100.00
 
A2
 
670,344
 
 
34,765
 
Total Health Care
       
39,574,104
 
     
Housing/Multifamily – 5.0% (3.6% of Total Investments)
           
 
1,385
 
Clermont County, Ohio, GNMA Collateralized Mortgage Revenue Bonds, S.E.M. Villa II Project, Series 1994A, 5.950%, 2/20/30
2/13 at 100.00
 
Aaa
 
1,387,853
 
     
Cuyahoga County, Ohio, GNMA Collateralized Multifamily Housing Mortgage Revenue Bonds, Longwood Phase One Associates LP, Series 2001A:
           
 
2,120
 
5.350%, 1/20/21 (Alternative Minimum Tax)
1/13 at 101.00
 
Aaa
 
2,144,740
 
 
2,250
 
5.450%, 1/20/31 (Alternative Minimum Tax)
1/13 at 101.00
 
Aaa
 
2,274,953
 
 
800
 
Montgomery County, Ohio, GNMA Guaranteed Multifamily Housing Revenue Bonds, Canterbury Court Project, Series 2007, 5.500%, 10/20/42 (Alternative Minimum Tax)
10/18 at 101.00
 
Aa1
 
869,472
 
 
695
 
Ohio Housing Finance Agency, FHA-Insured Multifamily Housing Mortgage Revenue Bonds, Madonna Homes, Series 2006M, 4.900%, 6/20/48 (Alternative Minimum Tax)
6/16 at 102.00
 
Aaa
 
724,107
 
 
1,100
 
Summit County Port Authority, Ohio, Multifamily Housing Revenue Bonds, Callis Tower Apartments Project, Series 2007, 5.250%, 9/20/47 (Alternative Minimum Tax)
9/17 at 102.00
 
Aaa
 
1,173,744
 
 
8,350
 
Total Housing/Multifamily
       
8,574,869
 

Nuveen Investments
 
39

 
 

 

   
Nuveen Ohio Quality Income Municipal Fund, Inc. (continued)
NUO
 
Portfolio of Investments
August 31, 2012 (Unaudited)

 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
Housing/Single Family – 0.3% (0.2% of Total Investments)
           
$
570
 
Ohio Housing Finance Agency, Residential Mortgage Revenue Bonds, Mortgage-Backed Securities Program, Series 2006H, 5.000%, 9/01/31 (Alternative Minimum Tax)
9/15 at 100.00
 
Aaa
$
587,670
 
     
Industrials – 1.0% (0.7% of Total Investments)
           
 
660
 
Cleveland-Cuyahoga County Port Authority, Ohio, Development Revenue Bonds, Bond Fund Program – Columbia National Group Project, Series 2005D, 5.000%, 5/15/20 (Alternative Minimum Tax)
11/15 at 100.00
 
BBB–
 
669,194
 
 
970
 
Cleveland-Cuyahoga County Port Authority, Ohio, Development Revenue Bonds, Jergens Inc., Series 1998A, 5.375%, 5/15/18 (Alternative Minimum Tax)
11/12 at 100.00
 
BBB–
 
971,843
 
 
1,630
 
Total Industrials
       
1,641,037
 
     
Long-Term Care – 1.0% (0.7% of Total Investments)
           
 
490
 
Franklin County, Ohio, Healthcare Facilities Revenue Bonds, Ohio Presbyterian Retirement Services, Improvement Series 2010A, 5.625%, 7/01/26
7/21 at 100.00
 
BBB
 
540,813
 
 
1,165
 
Montgomery County, Ohio, Health Care and Multifamily Housing Revenue Bonds, Saint Leonard, Refunding & improvement Series 2010, 6.625%, 4/01/40
4/20 at 100.00
 
BBB–
 
1,244,558
 
 
1,655
 
Total Long-Term Care
       
1,785,371
 
     
Materials – 1.3% (0.9% of Total Investments)
           
 
2,000
 
Toledo-Lucas County Port Authority, Ohio, Port Revenue Bonds, Cargill Inc., Series 2004B, 4.500%, 12/01/15
No Opt. Call
 
A
 
2,149,660
 
     
Tax Obligation/General – 26.2% (18.6% of Total Investments)
           
     
Butler County, Ohio, General Obligation Bonds, Series 2002:
           
 
110
 
5.000%, 12/01/21 – NPFG Insured
12/13 at 100.00
 
Aa1
 
115,803
 
 
100
 
5.000%, 12/01/22 – NPFG Insured
12/13 at 100.00
 
Aa1
 
105,275
 
 
2,630
 
Central Ohio Solid Waste Authority, General Obligation Bonds, Refunding & Improvements, Series 2012, 5.000%, 12/01/28 – AGM Insured
6/22 at 100.00
 
AAA
 
3,176,724
 
 
1,000
 
Cleveland Municipal School District, Cuyahoga County, Ohio, General Obligation Bonds, Series 2004, 5.000%, 12/01/22 – AGM Insured
6/14 at 100.00
 
AA
 
1,073,780
 
 
3,000
 
Columbus City School District, Franklin County, Ohio, General Obligation Bonds, Series 2006, 0.000%, 12/01/28 – AGM Insured
No Opt. Call
 
AA
 
1,656,090
 
 
1,200
 
Cuyahoga County, Ohio, General Obligation Bonds, Series 2004, 5.000%, 12/01/21
12/14 at 100.00
 
AA+
 
1,312,488
 
 
1,000
 
Dayton, Ohio, General Obligation Bonds, Series 2004, 5.250%, 12/01/19 – AMBAC Insured
6/14 at 100.00
 
Aa2
 
1,079,030
 
 
1,195
 
Fairview Park City School District, Cuyahoga County, Ohio, General Obligation Bonds, Series 2005, 5.000%, 12/01/24 – NPFG Insured
6/15 at 100.00
 
Aa2
 
1,318,420
 
 
1,840
 
Franklin County, Ohio, General Obligation Bonds, Series 2007, 5.000%, 12/01/28
12/17 at 100.00
 
AAA
 
2,132,560
 
 
1,500
 
Green, Ohio, General Obligation Bonds, Series 2008, 5.500%, 12/01/32
12/15 at 100.00
 
AA+
 
1,614,990
 
 
1,355
 
Grove City, Ohio, General Obligation Bonds, Construction & Improvement Series 2009, 5.125%, 12/01/36
12/19 at 100.00
 
Aa1
 
1,561,800
 
 
7,020
 
Hamilton City School District, Ohio, General Obligation Bonds, Series 2007, 5.000%, 12/01/34 – AGM Insured
6/17 at 100.00
 
AA–
 
7,522,771
 
 
1,850
 
Hilliard City School District, Franklin County, Ohio, General Obligation Bonds, School Construction, Series 2005, 5.000%, 12/01/26 – NPFG Insured
12/15 at 100.00
 
Aa1
 
2,063,657
 
 
3,000
 
Hilliard School District, Franklin County, Ohio, General Obligation Bonds, Series 2006A, 5.000%, 12/01/25 – NPFG Insured
12/16 at 100.00
 
Aa1
 
3,316,710
 
 
2,580
 
Indian Lake Local School District, Logan and Auglaize Counties, Ohio, School Facilities Improvement and Refunding Bonds, Series 2007, 5.000%, 12/01/34 – NPFG Insured
6/17 at 100.00
 
Aa3
 
2,788,335
 
 
660
 
Kenston Local School District, Geauga County, Ohio, General Obligation Bonds, Series 2011, 0.000%, 12/01/21
No Opt. Call
 
Aa1
 
527,855
 
 
800
 
Lakewood City School District, Cuyahoga County, Ohio, General Obligation Bonds, Series 2007, 5.000%, 12/01/25 – FGIC Insured
12/17 at 100.00
 
Aa2
 
896,840
 

40
 
Nuveen Investments

 
 

 

 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
Tax Obligation/General (continued)
           
$
1,585
 
Lucas County, Ohio, General Obligation Bonds, Various Purpose Series 2010, 5.000%, 10/01/40
10/18 at 100.00
 
Aa2
$
1,722,816
 
 
505
 
Marysville Exempted School District, Union County, Ohio, General Obligation Bonds, Series 2006, 5.000%, 12/01/25 – AGM Insured
12/15 at 100.00
 
AA–
 
542,304
 
 
500
 
Mason City School District, Counties of Warren and Butler, Ohio, General Obligation Bonds, Series 2007, 5.000%, 12/01/31
6/17 at 100.00
 
Aaa
 
570,265
 
 
1,500
 
Middletown City School District, Butler County, Ohio, General Obligation Bonds, Refunding Series 2007, 5.250%, 12/01/31 – AGM Insured
No Opt. Call
 
Aa3
 
1,910,520
 
 
1,350
 
Milford Exempted Village School District, Ohio, General Obligation Bonds, Series 2008, 5.250%, 12/01/36
12/18 at 100.00
 
Aa3
 
1,484,298
 
 
505
 
Monroe Local School District, Butler County, Ohio, General Obligation Bonds, Series 2006, 5.500%, 12/01/24 – AMBAC Insured
No Opt. Call
 
A2
 
621,458
 
 
275
 
Napoleon City School District, Henry County, Ohio, General Obligation Bonds, Facilities Construction & Improvement Series 2012, 5.000%, 12/01/36
6/22 at 100.00
 
Aa3
 
310,387
 
 
1,000
 
Newark City School District, Licking County, Ohio, General Obligation Bonds, Series 2005, 5.000%, 12/01/28 – FGIC Insured
12/15 at 100.00
 
Aa3
 
1,065,120
 
 
1,000
 
Northmor Local School District, Morrow County, Ohio, General Obligation School Facilities Construction and Improvement Bonds, Series 2008, 5.000%, 11/01/36
11/18 at 100.00
 
Aa2
 
1,092,070
 
 
500
 
Olentangy Local School District, Delaware and Franklin Counties, Ohio, General Obligation Bonds, Series 2008, 5.000%, 12/01/36
6/18 at 100.00
 
Aa1
 
548,415
 
 
1,510
 
Painesville City School District, Ohio, General Obligation Bonds, Series 2004, 5.000%, 12/01/22 – FGIC Insured
12/14 at 100.00
 
A1
 
1,631,782
 
 
70
 
Strongsville, Ohio, Limited Tax General Obligation Various Purpose Improvement Bonds, Series 1996, 5.950%, 12/01/21
12/12 at 100.00
 
Aaa
 
70,313
 
 
100
 
Sylvania City School District, Lucas County, Ohio, General Obligation Bonds, School Improvement Series 1995, 5.250%, 12/01/36 – AGC Insured
6/17 at 100.00
 
Aa2
 
108,206
 
 
650
 
Vandalia Butler City School District, Montgomery County, Ohio, General Obligation Bonds, School Improvment Series 2009, 5.125%, 12/01/37
6/19 at 100.00
 
AA
 
721,429
 
 
41,890
 
Total Tax Obligation/General
       
44,662,511
 
     
Tax Obligation/Limited – 19.4% (13.8% of Total Investments)
           
 
1,380
 
Columbus, Ohio, Tax Increment Financing Bonds, Easton Project, Series 2004A, 5.000%, 12/01/25 – AMBAC Insured
6/14 at 100.00
 
BBB+
 
1,428,755
 
 
4,000
 
Cuyhoga County, Ohio, Recovery Zone Facility Economic Development Revenue Bonds, Medical Mart– Convention Center Project, Series 2010F, 5.000%, 12/01/27
12/20 at 100.00
 
AA
 
4,607,479
 
 
3,000
 
Franklin County Convention Facilities Authority, Ohio, Excise Tax and Lease Revenue Anticipation Bonds, Series 2005, 5.000%, 12/01/27 – AMBAC Insured
12/15 at 100.00
 
Aaa
 
3,326,220
 
 
1,305
 
Government of Guam, Business Privilege Tax Bonds, Series 2011A, 5.125%, 1/01/42
1/22 at 100.00
 
A
 
1,452,204
 
 
545
 
Government of Guam, Business Privilege Tax Bonds, Series 2012B-1, 5.000%, 1/01/42
1/22 at 100.00
 
A
 
601,140
 
 
1,010
 
Greater Cleveland Regional Transit Authority, Ohio, Sales Tax Supported Capital Improvement Bonds, Refunding Series 2012, 5.250%, 12/01/27
12/21 at 100.00
 
AAA
 
1,223,767
 
 
1,085
 
Hamilton County Convention Facilities Authority, Ohio, First Lien Revenue Bonds, Series 2004, 5.000%, 12/01/18 – FGIC Insured
6/14 at 100.00
 
A+
 
1,151,337
 
 
4,000
 
Hamilton County, Ohio, Sales Tax Bonds, Subordinate Lien, Series 2006A, 5.000%, 12/01/32 – AMBAC Insured
12/16 at 100.00
 
A+
 
4,330,920
 
 
1,000
 
Hamilton County, Ohio, Sales Tax Bonds, Subordinate Series 2000B, 0.000%, 12/01/28 – AGM Insured
No Opt. Call
 
AA–
 
510,970
 
 
2,000
 
Hamilton County, Ohio, Sales Tax Revenue Bonds, Refunding Series 2011A, 5.000%, 12/01/31
12/21 at 100.00
 
A+
 
2,251,200
 
 
140
 
New Albany Community Authority, Ohio, Community Facilities Revenue Refunding Bonds, Series 2012C, 5.000%, 10/01/24
10/22 at 100.00
 
A1
 
164,671
 

Nuveen Investments
 
41
 
 
 

 
 
   
Nuveen Ohio Quality Income Municipal Fund, Inc. (continued)
NUO
 
Portfolio of Investments
August 31, 2012 (Unaudited)

 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
 
 
 
Tax Obligation/Limited (continued)
           
$
800
 
Ohio State Building Authority, State Facilities Bonds, Administrative Building Fund Projects, Series 2005A, 5.000%, 4/01/25 – AGM Insured
4/15 at 100.00
 
AA
$
876,128
 
 
23,215
 
Puerto Rico Sales Tax Financing Corporation, Sales Tax Revenue Bonds, First Subordinate Series 2009A, 0.000%, 8/01/34
No Opt. Call
 
A+
 
7,032,519
 
 
7,875
 
Puerto Rico Sales Tax Financing Corporation, Sales Tax Revenue Bonds, Series 2010A, 0.000%, 8/01/35
No Opt. Call
 
A+
 
2,214,135
 
 
1,645
 
Riversouth Authority, Ohio, Riversouth Area Redevelopment Bonds, Refunding Series 2012A, 5.000%, 12/01/23
12/22 at 100.00
 
AA+
 
1,990,088
 
 
53,000
 
Total Tax Obligation/Limited
       
33,161,533
 
     
Transportation – 3.9% (2.8% of Total Investments)
           
 
1,000
 
Cleveland, Ohio, Airport System Revenue Bonds, Series 2012A, 5.000%, 1/01/31 – AGM Insured
1/22 at 100.00
 
AA–
 
1,108,840
 
 
3,050
 
Dayton, Ohio, Airport Revenue Bonds, James M. Cox International Airport, Series 2003C, 5.250%, 12/01/23 – RAAI Insured (Alternative Minimum Tax)
12/13 at 100.00
 
A–
 
3,115,301
 
 
2,000
 
Ohio Turnpike Commission, Revenue Refunding Bonds, Series 1998A, 5.500%, 2/15/18 – FGIC Insured
No Opt. Call
 
AA
 
2,447,960
 
 
6,050
 
Total Transportation
       
6,672,101
 
     
U.S. Guaranteed – 28.8% (20.4% of Total Investments) (5)
           
     
Butler County, Ohio, General Obligation Bonds, Series 2002:
           
 
1,235
 
5.000%, 12/01/21 (Pre-refunded 12/01/13) – NPFG Insured
12/13 at 100.00
 
Aa1 (5)
 
1,308,520
 
 
1,100
 
5.000%, 12/01/22 (Pre-refunded 12/01/13) – NPFG Insured
12/13 at 100.00
 
Aa1 (5)
 
1,165,483
 
 
2,030
 
Butler County, Ohio, General Obligation Judgment Bonds, Series 2002, 5.250%, 12/01/21 (Pre-refunded 12/01/12)
12/12 at 101.00
 
Aa1 (5)
 
2,075,959
 
 
1,500
 
Centerville City School District, Montgomery County, Ohio, General Obligation Bonds, Series 2005, 5.000%, 12/01/30 (Pre-refunded 6/01/15) – AGM Insured
6/15 at 100.00
 
Aa1 (5)
 
1,690,935
 
 
1,000
 
Central Ohio Solid Waste Authority, General Obligation Bonds, Series 2004A, 5.000%, 12/01/15 (Pre-refunded 6/01/14) – AMBAC Insured
6/14 at 100.00
 
AAA
 
1,082,580
 
 
2,600
 
Cincinnati City School District, Hamilton County, Ohio, General Obligation Bonds, Series 2002, 5.250%, 6/01/21 (Pre-refunded 12/01/12) – AGM Insured
12/12 at 100.00
 
Aa2 (5)
 
2,632,968
 
     
Cuyahoga County, Ohio, Revenue Refunding Bonds, Cleveland Clinic Health System, Series 2003A:
           
 
1,020
 
6.000%, 1/01/32 (Pre-refunded 7/01/13)
7/13 at 100.00
 
Aa2 (5)
 
1,069,184
 
 
980
 
6.000%, 1/01/32 (Pre-refunded 7/01/13)
7/13 at 100.00
 
Aa2 (5)
 
1,027,256
 
 
1,000
 
Dayton, Ohio, Airport Revenue Bonds, James M. Cox International Airport, Series 2005B, 5.000%, 12/01/14 – SYNCORA GTY Insured (ETM)
No Opt. Call
 
A– (5)
 
1,104,640
 
 
1,000
 
Dublin City School District, Franklin, Delaware and Union Counties, Ohio, General Obligation Bonds, Series 2003, 5.000%, 12/01/22 (Pre-refunded 12/01/13) – AGM Insured
12/13 at 100.00
 
AAA
 
1,059,790
 
 
1,000
 
Hudson City School District, Ohio, Certificates of Participation, Series 2004, 5.000%, 6/01/26 (Pre-refunded 6/01/14) – NPFG Insured
6/14 at 100.00
 
Aa3 (5)
 
1,081,660
 
 
1,160
 
Kenston Local School District, Geauga County, Ohio, General Obligation Bonds, Series 2003, 5.000%, 12/01/22 (Pre-refunded 6/01/13) – NPFG Insured
6/13 at 100.00
 
Aa1 (5)
 
1,201,748
 
 
1,000
 
Lorain County, Ohio, Hospital Revenue Refunding and Improvement Bonds, Catholic Healthcare Partners, Refunding Series 2002, 5.375%, 10/01/30 (Pre-refunded 10/01/12)
10/12 at 100.00
 
AA– (5)
 
1,004,300
 
 
1,515
 
Massillon City School District, Ohio, General Obligation Bonds, Series 2003, 5.250%, 12/01/21 (Pre-refunded 12/01/12) – NPFG Insured
12/12 at 100.00
 
Baa2 (5)
 
1,534,256
 
 
760
 
Middletown City School District, Butler County, Ohio, General Obligation Bonds, Series 2004, 5.000%, 12/01/25 (Pre-refunded 12/01/13) – FGIC Insured
12/13 at 100.00
 
N/R (5)
 
805,243
 
 
480
 
Ohio Higher Educational Facilities Commission, Revenue Bonds, Denison University, Series 2004, 5.000%, 11/01/21 (Pre-refunded 11/01/14)
11/14 at 100.00
 
Aa3 (5)
 
528,110
 
 
2,645
 
Ohio State Building Authority, State Facilities Bonds, Adult Correctional Building Fund Project, Series 2004A, 5.250%, 4/01/15 (Pre-refunded 4/01/14) – NPFG Insured
4/14 at 100.00
 
AA (5)
 
2,852,976
 

42
 
Nuveen Investments

 
 

 

 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
U.S. Guaranteed (5) (continued)
           
$
1,500
 
Ohio State Higher Educational Facilities Commission, Hospital Revenue Bonds, University Hospitals Health System, Series 2009, 6.750%, 1/15/39 (Pre-refunded 1/15/15)
1/15 at 100.00
 
A (5)
$
1,724,460
 
 
1,200
 
Ohio State University, General Receipts Bonds, Series 2002A, 5.125%, 12/01/31 (Pre-refunded 12/01/12)
12/12 at 100.00
 
Aa1 (5)
 
1,214,880
 
     
Ohio State University, General Receipts Bonds, Series 2003B:
           
 
2,450
 
5.250%, 6/01/22 (Pre-refunded 6/01/13)
6/13 at 100.00
 
N/R (5)
 
2,543,076
 
 
550
 
5.250%, 6/01/22 (Pre-refunded 6/01/13)
6/13 at 100.00
 
Aa1 (5)
 
570,823
 
 
525
 
Ohio Water Development Authority, Revenue Bonds, Drinking Water Assistance Fund, State Match, Series 2008, 5.000%, 6/01/28 (Pre-refunded 6/01/18) – AGM Insured
6/18 at 100.00
 
AAA
 
643,204
 
     
Ohio Water Development Authority, Water Pollution Control Loan Fund Revenue Bonds, Water Quality Project, Series 2005B:
           
 
1,225
 
5.000%, 6/01/25 (Pre-refunded 6/01/15)
6/15 at 100.00
 
AAA
 
1,379,497
 
 
275
 
5.000%, 6/01/25 (Pre-refunded 6/01/15)
6/15 at 100.00
 
AAA
 
309,683
 
 
3,000
 
Ohio, General Obligation Bonds, Infrastructure Improvements, Series 2003F, 5.000%, 2/01/23 (Pre-refunded 2/01/13)
2/13 at 100.00
 
AA+ (5)
 
3,060,390
 
 
1,000
 
Ohio, State Appropriation Lease Bonds, Mental Health Capital Facilities, Series 2003B-II, 5.000%, 6/01/16 (Pre-refunded 6/01/13)
6/13 at 100.00
 
AA (5)
 
1,035,760
 
     
Olentangy Local School District, Delaware and Franklin Counties, Ohio, General Obligation Bonds, Series 2004A:
           
 
1,315
 
5.250%, 12/01/23 (Pre-refunded 6/01/14) – FGIC Insured
6/14 at 100.00
 
AA+ (5)
 
1,428,116
 
 
3,380
 
5.250%, 12/01/24 (Pre-refunded 6/01/14) – FGIC Insured
6/14 at 100.00
 
AA+ (5)
 
3,670,748
 
 
1,000
 
Princeton City School District, Butler County, Ohio, General Obligation Bonds, Series 2003, 5.000%, 12/01/30 (Pre-refunded 12/01/13) – NPFG Insured
12/13 at 100.00
 
AA (5)
 
1,059,790
 
 
850
 
University of Cincinnati, Ohio, General Receipts Bonds, Series 2003C, 5.000%, 6/01/22 (Pre-refunded 6/01/13) – FGIC Insured
6/13 at 100.00
 
AA– (5)
 
880,702
 
 
1,200
 
University of Cincinnati, Ohio, General Receipts Bonds, Series 2004D, 5.000%, 6/01/19 (Pre-refunded 6/01/14) – AMBAC Insured
6/14 at 100.00
 
AA– (5)
 
1,297,992
 
     
Warren City School District, Trumbull County, Ohio, General Obligation Bonds, Series 2004:
           
 
2,515
 
5.000%, 12/01/20 (Pre-refunded 6/01/14) – FGIC Insured
6/14 at 100.00
 
AA (5)
 
2,721,758
 
 
1,170
 
5.000%, 12/01/22 (Pre-refunded 6/01/14) – FGIC Insured
6/14 at 100.00
 
AA (5)
 
1,266,186
 
 
1,000
 
West Chester Township, Butler County, Ohio, General Obligation Bonds, Series 2003, 5.000%, 12/01/28 (Pre-refunded 12/01/13) – NPFG Insured
12/13 at 100.00
 
Aaa
 
1,059,920
 
 
46,180
 
Total U.S. Guaranteed
       
49,092,593
 
     
Utilities – 5.5% (3.9% of Total Investments)
           
 
2,500
 
American Municipal Power Ohio Inc., General Revenue Bonds, Prairie State Energy Campus Project Series 2008A, 5.250%, 2/15/43
2/18 at 100.00
 
A1
 
2,729,150
 
     
Cleveland, Ohio, Public Power System Revenue Bonds, Series 2008B-2:
           
 
2,000
 
0.000%, 11/15/28 – NPFG Insured
No Opt. Call
 
A2
 
998,140
 
 
2,105
 
0.000%, 11/15/32 – NPFG Insured
No Opt. Call
 
A2
 
842,274
 
 
2,155
 
0.000%, 11/15/34 – NPFG Insured
No Opt. Call
 
A2
 
773,990
 
 
1,465
 
Ohio Air Quality Development Authority, Revenue Refunding Bonds, Ohio Power Company Project, Series 1999C, 5.150%, 5/01/26 – AMBAC Insured
11/12 at 100.00
 
Baa1
 
1,466,875
 
 
950
 
Ohio Municipal Electric Generation Agency, Beneficial Interest Certificates, Belleville Hydroelectric Project – Joint Venture 5, Series 2001, 0.000%, 2/15/29 – NPFG Insured
No Opt. Call
 
A1
 
482,866
 
 
2,000
 
Ohio Municipal Electric Generation Agency, Beneficial Interest Certificates, Belleville Hydroelectric Project – Joint Venture 5, Series 2004, 5.000%, 2/15/20 – AMBAC Insured
2/14 at 100.00
 
A1
 
2,102,620
 
 
13,175
 
Total Utilities
       
9,395,915
 

Nuveen Investments
 
43

 
 

 


   
Nuveen Ohio Quality Income Municipal Fund, Inc. (continued)
NUO
 
Portfolio of Investments
August 31, 2012 (Unaudited)

 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
Water and Sewer – 6.1% (4.3% of Total Investments)
           
$
4,850
 
Cincinnati, Ohio, Water System Revenue Bonds, Series 2012A, 5.000%, 12/01/37
12/21 at 100.00
 
AAA
$
5,630,364
 
 
430
 
City of Marysville, Ohio, Water System Mortgage Revenue Bonds, Series 2007, 5.000%, 12/01/32 – AMBAC Insured
12/17 at 100.00
 
A1
 
466,352
 
 
1,025
 
Cleveland, Ohio, Waterworks First Mortgage Revenue Refunding and Improvement Bonds, Series 1993G, 5.500%, 1/01/21 – NPFG Insured
No Opt. Call
 
Aa1
 
1,295,047
 
 
1,220
 
Hamilton, Ohio, Wastewater System Revenue Bonds, Series 2005, 5.250%, 10/01/22 – AGM Insured
10/15 at 100.00
 
Aa3
 
1,359,483
 
 
100
 
Ironton, Ohio, Sewer System Improvement Revenue Bonds, Series 2011, 5.250%, 12/01/40 – AGM Insured
12/20 at 100.00
 
Aa3
 
112,784
 
 
225
 
Marysville, Ohio, Wastewater Treatement System Revenue Bonds, Series 2007, 5.000%, 12/01/37 – SYNCORA GTY Insured
12/17 at 100.00
 
A–
 
239,105
 
 
1,170
 
Marysville, Ohio, Wastewater Treatment System Revenue Bonds, Series 2006, 5.250%, 12/01/24 – SYNCORA GTY Insured
12/16 at 100.00
 
A–
 
1,279,535
 
 
9,020
 
Total Water and Sewer
       
10,382,670
 
$
252,955
 
Total Investments (cost $219,211,144) – 141.1%
       
240,636,002
 
     
Variable Rate MuniFund Term Preferred Shares, at Liquidation Value – (43.1)% (6)
       
(73,500,000
     
Other Assets Less Liabilities – 2.0%
       
3,382,124
 
     
Net Assets Applicable to Common Shares – 100%
     
$
170,518,126
 
 
(1)
 
All percentages shown in the Portfolio of Investments are based on net assets applicable to Common shares unless otherwise noted.
(2)
 
Optional Call Provisions: Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. Certain mortgage-backed securities may be subject to periodic principal paydowns.
 (3)   Ratings: Using the highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. Ratings below BBB by Standard & Poor’s, Baa by Moody’s or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies.
(4)
 
Investment, or portion of investment, has been pledged to collateralize the net payment obligations for investments in inverse floating rate transactions.
(5)
 
Backed by an escrow or trust containing sufficient U.S. Government or U.S. Government agency securities, which ensure the timely payment of principal and interest. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities.
(6)
 
Variable Rate MuniFund Term Preferred Shares, at Liquidation Value as a percentage of Total Investments is 30.5%.
N/R
 
Not rated.
(ETM)
 
Escrowed to maturity.
(IF)
 
Inverse floating rate investment.
 
See accompanying notes to financial statements.
 
44
 
Nuveen Investments

 
 

 

   
Nuveen Ohio Dividend Advantage Municipal Fund
NXI
 
Portfolio of Investments
August 31, 2012 (Unaudited)

 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
Consumer Staples – 5.8% (4.1% of Total Investments)
           
     
Buckeye Tobacco Settlement Financing Authority, Ohio, Tobacco Settlement Asset-Backed Revenue Bonds, Senior Lien, Series 2007A-2:
           
$
1,500
 
5.125%, 6/01/24
6/17 at 100.00
 
B
$
1,273,320
 
 
3,300
 
5.875%, 6/01/47
6/17 at 100.00
 
BB
 
2,680,128
 
 
45
 
Puerto Rico, The Children’s Trust Fund, Tobacco Settlement Asset-Backed Refunding Bonds, Series 2002, 5.375%, 5/15/33
11/12 at 100.00
 
BBB+
 
44,999
 
 
4,845
 
Total Consumer Staples
       
3,998,447
 
     
Education and Civic Organizations – 9.4% (6.6% of Total Investments)
           
 
275
 
Miami University of Ohio, General Receipts Bonds, Series 2011, 5.000%, 9/01/36
9/21 at 100.00
 
AA
 
317,045
 
 
700
 
Ohio Higher Education Facilities Commission, General Revenue Bonds, Kenyon College, Series 2006, 5.000%, 7/01/41
7/16 at 100.00
 
A+
 
732,851
 
 
2,650
 
Ohio Higher Education Facilities Commission, Revenue Bonds, Ohio Northern University, Series 2002, 5.000%, 5/01/22
11/12 at 100.00
 
Baa2
 
2,651,776
 
 
500
 
Ohio Higher Education Facilities Commission, Revenue Bonds, Wittenberg University, Series 2005, 5.000%, 12/01/24
12/15 at 100.00
 
Ba2
 
490,095
 
 
1,000
 
Ohio State Higher Educational Facility Commission, Higher Education Facility Revenue Bonds, Xavier University 2008C, 5.750%, 5/01/28
11/18 at 100.00
 
A–
 
1,143,140
 
 
950
 
Ohio State, Higher Educational Facility Revenue Bonds, Otterbein College Project, Series 2008A, 5.500%, 12/01/28
12/18 at 100.00
 
A3
 
1,080,036
 
 
6,075
 
Total Education and Civic Organizations
       
6,414,943
 
     
Health Care – 25.2% (17.8% of Total Investments)
           
 
65
 
Akron, Bath and Copley Joint Township Hospital District, Ohio, Hospital Facilities Revenue Bonds, Summa Health System, Series 2004A, 5.500%, 11/15/34 – RAAI Insured
11/14 at 100.00
 
Baa1
 
66,903
 
 
500
 
Allen County, Ohio, Hospital Facilities Revenue Bonds, Catholic Healthcare Partners, Series 2010A, 5.250%, 6/01/38
6/20 at 100.00
 
AA–
 
552,665
 
 
1,385
 
Butler County, Ohio, Hospital Facilities Revenue Bonds, Cincinnati Children’s Medical Center Project, Series 2006K, 5.000%, 5/15/31 – FGIC Insured
5/16 at 100.00
 
N/R
 
1,423,766
 
 
1,300
 
Franklin County, Ohio, Hospital Revenue Bonds, Nationwide Children’s Hospital Project, Improvement Series 2009, 5.250%, 11/01/40
11/19 at 100.00
 
Aa2
 
1,439,126
 
 
600
 
Franklin County, Ohio, Hospital Revenue Bonds, Nationwide Children’s Hospital Project, Series 2005, 5.000%, 11/01/40
11/18 at 100.00
 
Aa2
 
641,088
 
 
1,280
 
Franklin County, Ohio, Hospital Revenue Bonds, OhioHealth Corporation, Tender Option Bond Trust 11-21B, 9.264%, 11/15/41 (IF) (4)
11/21 at 100.00
 
AA+
 
1,534,362
 
 
2,000
 
Hamilton County, Ohio, Revenue Bonds, Children’s Hospital Medical Center, Series 2004J, 5.125%, 5/15/28 – FGIC Insured
5/14 at 100.00
 
BBB
 
2,043,420
 
 
1,000
 
Hancock County, Ohio, Hospital Revenue Bonds, Blanchard Valley Regional Health Center, Series 2011A, 6.250%, 12/01/34
6/21 at 100.00
 
A2
 
1,178,010
 
 
290
 
Lucas County, Ohio, Hospital Revenue Bonds, ProMedica Healthcare Obligated Group, Series 2011A, 6.000%, 11/15/41
11/21 at 100.00
 
AA–
 
350,810
 
 
330
 
Miami County, Ohio, Hospital Facilities Revenue Refunding Bonds, Upper Valley Medical Center Inc., Series 2006, 5.250%, 5/15/21
5/16 at 100.00
 
A2
 
358,218
 
 
170
 
Middleburg Heights, Ohio, Hospital Facilities Revenue Bonds, Southwest General Health Center Project, Refunding Series 2011, 5.250%, 8/01/41
8/21 at 100.00
 
A2
 
186,133
 
 
1,000
 
Montgomery County, Ohio, Revenue Bonds, Catholic Health Initiatives, Series 2004A, 5.000%, 5/01/30
5/14 at 100.00
 
AA
 
1,034,960
 
 
375
 
Montgomery County, Ohio, Revenue Bonds, Miami Valley Hospital, Series 2009A, 6.250%, 11/15/39
11/14 at 100.00
 
Aa3
 
397,789
 

Nuveen Investments
 
45
 
 
 

 


   
Nuveen Ohio Dividend Advantage Municipal Fund (continued)
NXI
 
Portfolio of Investments
August 31, 2012 (Unaudited)

 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
Health Care (continued)
           
     
Ohio State Higher Educational Facilities Commission, Hospital Revenue Bonds, Cleveland Clinic Health System Obligated Group, Series 2008A:
           
$
1,050
 
5.000%, 1/01/25
1/18 at 100.00
 
Aa2
$
1,161,741
 
 
90
 
5.250%, 1/01/33
1/18 at 100.00
 
Aa2
 
99,511
 
     
Ohio State Higher Educational Facilities Commission, Hospital Revenue Bonds, Summa Health System Project, Series 2010:
           
 
1,100
 
5.750%, 11/15/40 – AGM Insured
5/20 at 100.00
 
AA–
 
1,238,765
 
 
80
 
5.250%, 11/15/40 – AGM Insured
5/20 at 100.00
 
AA–
 
87,883
 
 
200
 
Ohio State, Hospital Facility Revenue Refunding Bonds, Cleveland Clinic Health System Obligated Group, Series 2009A, 5.500%, 1/01/39
1/19 at 100.00
 
Aa2
 
224,406
 
     
Ohio State, Hospital Facility Revenue Refunding Bonds, Cleveland Clinic Health System Obligated Group, Tender Option Bond Trust 3551:
           
 
250
 
19.525%, 1/01/17 (IF)
No Opt. Call
 
Aa2
 
352,360
 
 
1,225
 
20.072%, 1/01/33 (IF)
1/19 at 100.00
 
Aa2
 
1,822,947
 
 
65
 
Ohio State, Hospital Facility Revenue Refunding Bonds, Cleveland Clinic Health System Obligated Group, Tender Option Bond Trust 3591, 20.231%, 1/01/17 (IF)
No Opt. Call
 
Aa2
 
96,728
 
 
500
 
Richland County, Ohio, Hospital Revenue Bonds, MidCentral Health System Group, Series 2006, 5.250%, 11/15/36
11/16 at 100.00
 
A–
 
527,010
 
 
375
 
Ross County, Ohio, Hospital Revenue Refunding Bonds, Adena Health System Series 2008, 5.750%, 12/01/35
12/18 at 100.00
 
A2
 
418,965
 
 
15,230
 
Total Health Care
       
17,237,566
 
     
Housing/Multifamily – 4.1% (2.9% of Total Investments)
           
 
1,165
 
Cleveland-Cuyahoga County Port Authority, Ohio, Lease Revenue Bonds, Euclid Avenue Housing Corporation – Fenn Tower Project, Series 2005, 5.000%, 8/01/23 – AMBAC Insured
8/15 at 100.00
 
N/R
 
1,139,090
 
 
350
 
Montgomery County, Ohio, GNMA Guaranteed Multifamily Housing Revenue Bonds, Canterbury Court Project, Series 2007, 5.500%, 10/20/42 (Alternative Minimum Tax)
10/18 at 101.00
 
Aa1
 
380,394
 
 
275
 
Ohio Housing Finance Agency, FHA-Insured Multifamily Housing Mortgage Revenue Bonds, Madonna Homes, Series 2006M, 4.900%, 6/20/48 (Alternative Minimum Tax)
6/16 at 102.00
 
Aaa
 
286,517
 
 
915
 
Summit County Port Authority, Ohio, Multifamily Housing Revenue Bonds, Callis Tower Apartments Project, Series 2007, 5.250%, 9/20/47 (Alternative Minimum Tax)
9/17 at 102.00
 
Aaa
 
976,342
 
 
2,705
 
Total Housing/Multifamily
       
2,782,343
 
     
Housing/Single Family – 0.2% (0.2% of Total Investments)
           
 
140
 
Ohio Housing Finance Agency, Residential Mortgage Revenue Bonds, Mortgage-Backed Securities Program, Series 2006H, 5.000%, 9/01/31 (Alternative Minimum Tax)
9/15 at 100.00
 
Aaa
 
144,340
 
     
Industrials – 5.2% (3.6% of Total Investments)
           
 
1,500
 
Cleveland-Cuyahoga County Port Authority, Ohio, Common Bond Fund Revenue Bonds, Cleveland Christian Home Project, Series 2002C, 5.950%, 5/15/22
5/14 at 100.00
 
BBB–
 
1,518,480
 
 
275
 
Cleveland-Cuyahoga County Port Authority, Ohio, Development Revenue Bonds, Bond Fund Program – Columbia National Group Project, Series 2005D, 5.000%, 5/15/20 (Alternative Minimum Tax)
11/15 at 100.00
 
BBB–
 
278,831
 
 
1,300
 
Toledo-Lucas County Port Authority, Ohio, Revenue Refunding Bonds, CSX Transportation Inc., Series 1992, 6.450%, 12/15/21
No Opt. Call
 
Baa3
 
1,637,116
 
 
700
 
Western Reserve Port Authority, Ohio, Solid Waste Facility Revenue Bonds, Central Waste Inc., Series 2007A, 6.350%, 7/01/27 (Alternative Minimum Tax) (5)
7/17 at 102.00
 
N/R
 
98,112
 
 
3,775
 
Total Industrials
       
3,532,539
 

46
 
Nuveen Investments
 
 
 

 
 
 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
Long-Term Care – 1.1% (0.8% of Total Investments)
           
$
215
 
Franklin County, Ohio, Healthcare Facilities Revenue Bonds, Ohio Presbyterian Retirement Services, Improvement Series 2010A, 5.625%, 7/01/26
7/21 at 100.00
 
BBB
$
237,296
 
 
470
 
Montgomery County, Ohio, Health Care and Multifamily Housing Revenue Bonds, Saint Leonard, Refunding & improvement Series 2010, 6.625%, 4/01/40
4/20 at 100.00
 
BBB–
 
502,096
 
 
685
 
Total Long-Term Care
       
739,392
 
     
Tax Obligation/General – 27.3% (19.2% of Total Investments)
           
 
125
 
Barberton City School District, Summit County, Ohio, General Obligation Bonds, School Improvement Series 2008, 5.250%, 12/01/31
6/18 at 100.00
 
AA
 
139,921
 
     
Central Ohio Solid Waste Authority, General Obligation Bonds, Refunding & Improvements, Series 2012:
           
 
250
 
5.000%, 12/01/26 – AMBAC Insured
6/22 at 100.00
 
AAA
 
305,128
 
 
160
 
5.000%, 12/01/28 – AGM Insured
6/22 at 100.00
 
AAA
 
193,261
 
 
765
 
5.000%, 12/01/29 – AGM Insured
6/22 at 100.00
 
AAA
 
918,910
 
     
Cincinnati, Ohio, Various Purpose General Obligation Bonds, Series 2012A:
           
 
1,960
 
5.000%, 12/01/31
No Opt. Call
 
AA+
 
2,295,278
 
 
875
 
5.000%, 12/01/32
No Opt. Call
 
AA+
 
1,020,451
 
     
Columbus City School District, Franklin County, Ohio, General Obligation Bonds, Series 2006:
           
 
400
 
0.000%, 12/01/27 – AGM Insured
No Opt. Call
 
AA
 
231,376
 
 
1,735
 
0.000%, 12/01/28 – AGM Insured
No Opt. Call
 
AA
 
957,772
 
 
400
 
Cuyahoga County, Ohio, General Obligation Bonds, Series 2004, 5.000%, 12/01/21
12/14 at 100.00
 
AA+
 
437,496
 
 
1,355
 
Franklin County, Ohio, General Obligation Bonds, Series 2007, 5.000%, 12/01/27
12/17 at 100.00
 
AAA
 
1,568,968
 
 
470
 
Green, Ohio, General Obligation Bonds, Series 2008, 5.500%, 12/01/32
12/15 at 100.00
 
AA+
 
506,030
 
 
2,550
 
Hamilton City School District, Ohio, General Obligation Bonds, Series 2007, 5.000%, 12/01/34 – AGM Insured
6/17 at 100.00
 
AA–
 
2,732,627
 
 
2,000
 
Indian Lake Local School District, Logan and Auglaize Counties, Ohio, School Facilities Improvement and Refunding Bonds, Series 2007, 5.000%, 12/01/34 – NPFG Insured
6/17 at 100.00
 
Aa3
 
2,161,500
 
 
500
 
Kenston Local School District, Geauga County, Ohio, General Obligation Bonds, Series 2011, 0.000%, 12/01/21
No Opt. Call
 
Aa1
 
399,890
 
 
430
 
Lakewood City School District, Cuyahoga County, Ohio, General Obligation Bonds, Series 2007, 5.000%, 12/01/30 – FGIC Insured
12/17 at 100.00
 
Aa2
 
472,673
 
 
400
 
Lucas County, Ohio, General Obligation Bonds, Various Purpose Series 2010, 5.000%, 10/01/40
10/18 at 100.00
 
Aa2
 
434,780
 
 
1,005
 
Marysville Exempted School District, Union County, Ohio, General Obligation Bonds, Series 2006, 5.000%, 12/01/25 – AGM Insured
12/15 at 100.00
 
AA–
 
1,079,239
 
 
200
 
Mason City School District, Counties of Warren and Butler, Ohio, General Obligation Bonds, Series 2007, 5.000%, 12/01/31
6/17 at 100.00
 
Aaa
 
228,106
 
 
1,000
 
Middletown City School District, Butler County, Ohio, General Obligation Bonds, Refunding Series 2007, 5.250%, 12/01/31 – AGM Insured
No Opt. Call
 
Aa3
 
1,273,680
 
 
50
 
Milford Exempted Village School District, Ohio, General Obligation Bonds, Series 2008, 5.250%, 12/01/36
12/18 at 100.00
 
Aa3
 
54,974
 
 
100
 
Monroe Local School District, Butler County, Ohio, General Obligation Bonds, Series 2006, 5.500%, 12/01/24 – AMBAC Insured
No Opt. Call
 
A2
 
123,061
 
 
150
 
Napoleon City School District, Henry County, Ohio, General Obligation Bonds, Facilities Construction & Improvement Series 2012, 5.000%, 12/01/36
6/22 at 100.00
 
Aa3
 
169,302
 
 
750
 
Northmor Local School District, Morrow County, Ohio, General Obligation School Facilities Construction and Improvement Bonds, Series 2008, 5.000%, 11/01/36
11/18 at 100.00
 
Aa2
 
819,053
 
 
50
 
Sylvania City School District, Lucas County, Ohio, General Obligation Bonds, School Improvement Series 1995, 5.250%, 12/01/36 – AGC Insured
6/17 at 100.00
 
Aa2
 
54,103
 
 
50
 
Vandalia Butler City School District, Montgomery County, Ohio, General Obligation Bonds, School Improvment Series 2009, 5.125%, 12/01/37
6/19 at 100.00
 
AA
 
55,495
 
 
17,730
 
Total Tax Obligation/General
       
18,633,074
 

Nuveen Investments
 
47

 
 

 


   
Nuveen Ohio Dividend Advantage Municipal Fund (continued)
NXI
 
Portfolio of Investments
August 31, 2012 (Unaudited)

 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
Tax Obligation/Limited – 28.1% (19.9% of Total Investments)
           
$
125
 
Cincinnati City School District, Ohio, Certificates of Participation, Series 2006, 5.000%, 12/15/32 – AGM Insured
12/16 at 100.00
 
Aa2
$
142,696
 
 
2,000
 
Cuyhoga County, Ohio, Recovery Zone Facility Economic Development Revenue Bonds, Medical Mart– Convention Center Project, Series 2010F, 5.000%, 12/01/27
12/20 at 100.00
 
AA
 
2,303,740
 
 
50
 
Delaware County District Library, Delaware, Franklin, Marion, Morrow and Union Counties, Ohio, Library Fund Library Facilities Special Obligation Notes, Series 2009, 5.000%, 12/01/34
12/19 at 100.00
 
Aa2
 
56,453
 
 
2,000
 
Franklin County Convention Facilities Authority, Ohio, Excise Tax and Lease Revenue Anticipation Bonds, Series 2005, 5.000%, 12/01/27 – AMBAC Insured
12/15 at 100.00
 
Aaa
 
2,217,480
 
 
525
 
Government of Guam, Business Privilege Tax Bonds, Series 2011A, 5.125%, 1/01/42
1/22 at 100.00
 
A
 
584,220
 
 
225
 
Government of Guam, Business Privilege Tax Bonds, Series 2012B-1, 5.000%, 1/01/42
1/22 at 100.00
 
A
 
248,177
 
 
1,090
 
Greater Cleveland Regional Transit Authority, Ohio, Sales Tax Supported Capital Improvement Bonds, Refunding Series 2012, 5.250%, 12/01/28
12/21 at 100.00
 
AAA
 
1,315,630
 
 
1,415
 
Hamilton County Convention Facilities Authority, Ohio, First Lien Revenue Bonds, Series 2004, 5.000%, 12/01/21 – FGIC Insured
6/14 at 100.00
 
A+
 
1,499,235
 
 
1,500
 
Hamilton County, Ohio, Sales Tax Bonds, Subordinate Lien, Series 2006A, 5.000%, 12/01/32 – AMBAC Insured
12/16 at 100.00
 
A+
 
1,624,095
 
 
2,000
 
Hamilton County, Ohio, Sales Tax Bonds, Subordinate Series 2000B, 0.000%, 12/01/28 – AGM Insured
No Opt. Call
 
AA–
 
1,021,940
 
 
1,000
 
Hamilton County, Ohio, Sales Tax Revenue Bonds, Refunding Series 2011A, 5.000%, 12/01/31
12/21 at 100.00
 
A+
 
1,125,600
 
 
685
 
New Albany Community Authority, Ohio, Community Facilities Revenue Refunding Bonds, Series 2012C, 5.000%, 10/01/24
10/22 at 100.00
 
A1
 
805,711
 
 
345
 
Ohio State Building Authority, State Facilities Bonds, Administrative Building Fund Projects, Series 2005A, 5.000%, 4/01/25 – AGM Insured
4/15 at 100.00
 
AA
 
377,830
 
 
1,000
 
Ohio State Building Authority, State Facilities Bonds, Adult Correctional Building Fund Project, Series 2005A, 5.000%, 4/01/23 – AGM Insured
4/15 at 100.00
 
AA
 
1,095,160
 
 
5,220
 
Puerto Rico Sales Tax Financing Corporation, Sales Tax Revenue Bonds, First Subordinate Series 2009A, 0.000%, 8/01/34
No Opt. Call
 
A+
 
1,581,295
 
 
5,250
 
Puerto Rico Sales Tax Financing Corporation, Sales Tax Revenue Bonds, Series 2010A, 0.000%, 8/01/35
No Opt. Call
 
A+
 
1,476,090
 
 
400
 
Riversouth Authority, Ohio, Riversouth Area Redevelopment Bonds, Refunding Series 2012A, 5.000%, 12/01/24
12/22 at 100.00
 
AA+
 
479,816
 
 
1,280
 
Virgin Islands Public Finance Authority, Gross Receipts Taxes Loan Note, Series 1999A, 6.375%, 10/01/19
10/12 at 100.00
 
BBB+
 
1,284,301
 
 
26,110
 
Total Tax Obligation/Limited
       
19,239,469
 
     
Transportation – 0.6% (0.4% of Total Investments)
           
 
425
 
Dayton, Ohio, Airport Revenue Bonds, James M. Cox International Airport, Series 2003C, 5.250%, 12/01/23 – RAAI Insured (Alternative Minimum Tax)
12/13 at 100.00
 
A–
 
434,099
 
     
U.S. Guaranteed – 19.8% (14.0% of Total Investments) (6)
           
 
1,500
 
Centerville City School District, Montgomery County, Ohio, General Obligation Bonds, Series 2005, 5.000%, 12/01/30 (Pre-refunded 6/01/15) – AGM Insured
6/15 at 100.00
 
Aa1 (6)
 
1,690,935
 
     
Cuyahoga County, Ohio, Revenue Refunding Bonds, Cleveland Clinic Health System, Series 2003A:
           
 
560
 
6.000%, 1/01/32 (Pre-refunded 7/01/13)
7/13 at 100.00
 
Aa2 (6)
 
587,003
 
 
540
 
6.000%, 1/01/32 (Pre-refunded 7/01/13)
7/13 at 100.00
 
Aa2 (6)
 
566,039
 
 
1,000
 
Lakewood City School District, Cuyahoga County, Ohio, General Obligation Bonds, Series 2004, 5.250%, 12/01/16 (Pre-refunded 12/01/14) – AGM Insured
12/14 at 100.00
 
Aa2 (6)
 
1,109,520
 

48
 
Nuveen Investments

 
 

 

 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
U.S. Guaranteed (6) (continued)
           
$
500
 
Lorain County, Ohio, Hospital Revenue Refunding and Improvement Bonds, Catholic Healthcare Partners, Refunding Series 2002, 5.375%, 10/01/30 (Pre-refunded 10/01/12)
10/12 at 100.00
 
AA– (6)
$
502,150
 
 
1,000
 
Middletown City School District, Butler County, Ohio, General Obligation Bonds, Series 2004, 5.000%, 12/01/25 (Pre-refunded 12/01/13) – FGIC Insured
12/13 at 100.00
 
N/R (6)
 
1,059,530
 
 
250
 
Ohio State Higher Educational Facilities Commission, Hospital Revenue Bonds, University Hospitals Health System, Series 2009, 6.750%, 1/15/39 (Pre-refunded 1/15/15)
1/15 at 100.00
 
A (6)
 
287,410
 
 
1,760
 
Ohio University at Athens, Subordinate Lien General Receipts Bonds, Series 2004, 5.000%, 12/01/20 (Pre-refunded 6/01/14) – NPFG Insured
6/14 at 100.00
 
Aa3 (6)
 
1,903,722
 
 
325
 
Ohio Water Development Authority, Revenue Bonds, Drinking Water Assistance Fund, State Match, Series 2008, 5.000%, 6/01/28 (Pre-refunded 6/01/18) – AGM Insured
6/18 at 100.00
 
AAA
 
398,174
 
 
645
 
Ohio Water Development Authority, Revenue Bonds, Water Development Community Assistance Program, Series 2003, 5.000%, 12/01/23 (Pre-refunded 12/01/13) – NPFG Insured
12/13 at 100.00
 
Aa1 (6)
 
683,565
 
 
1,900
 
Olentangy Local School District, Delaware and Franklin Counties, Ohio, General Obligation Bonds, Series 2004A, 5.250%, 12/01/23 (Pre-refunded 6/01/14) – FGIC Insured
6/14 at 100.00
 
AA+ (6)
 
2,063,438
 
 
2,415
 
Troy City School District, Miami County, Ohio, General Obligation Bonds, Series 2005, 5.000%, 12/01/28 (Pre-refunded 12/01/14) – AGM Insured
12/14 at 100.00
 
Aa2 (6)
 
2,667,706
 
 
12,395
 
Total U.S. Guaranteed
       
13,519,192
 
     
Utilities – 7.8% (5.5% of Total Investments)
           
     
American Municipal Power Ohio Inc., General Revenue Bonds, Prairie State Energy Campus Project Series 2008A:
           
 
50
 
5.000%, 2/15/38 – AGC Insured
2/18 at 100.00
 
AA–
 
54,069
 
 
1,000
 
5.250%, 2/15/43
2/18 at 100.00
 
A1
 
1,091,660
 
 
2,130
 
Cleveland, Ohio, Public Power System Revenue Bonds, Series 2008B-2, 0.000%, 11/15/32 – NPFG Insured
No Opt. Call
 
A2
 
852,277
 
 
2,265
 
Ohio Air Quality Development Authority, Revenue Refunding Bonds, Ohio Power Company Project, Series 1999C, 5.150%, 5/01/26 – AMBAC Insured
11/12 at 100.00
 
Baa1
 
2,267,899
 
 
1,000
 
Ohio Municipal Electric Generation Agency, Beneficial Interest Certificates, Belleville Hydroelectric Project – Joint Venture 5, Series 2004, 5.000%, 2/15/21 – AMBAC Insured
2/14 at 100.00
 
A1
 
1,051,310
 
 
6,445
 
Total Utilities
       
5,317,215
 
     
Water and Sewer – 7.1% (5.0% of Total Investments)
           
 
1,100
 
Cincinnati, Ohio, Water System Revenue Bonds, Series 2012A, 5.000%, 12/01/37
12/21 at 100.00
 
AAA
 
1,276,990
 
 
175
 
City of Marysville, Ohio, Water System Mortgage Revenue Bonds, Series 2007, 5.000%, 12/01/32 – AMBAC Insured
12/17 at 100.00
 
A1
 
189,795
 
 
925
 
Ironton, Ohio, Sewer System Improvement Revenue Bonds, Series 2011, 5.250%, 12/01/40 – AGM Insured
12/20 at 100.00
 
Aa3
 
1,043,252
 
 
500
 
Marysville, Ohio, Wastewater Treatment System Revenue Bonds, Series 2006, 5.250%, 12/01/24 – SYNCORA GTY Insured
12/16 at 100.00
 
A–
 
546,810
 

Nuveen Investments
 
49

 
 

 
 
   
Nuveen Ohio Dividend Advantage Municipal Fund (continued)
NXI
 
Portfolio of Investments
August 31, 2012 (Unaudited)

                   
 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
Water and Sewer (continued)
           
$
730
 
Ohio Water Development Authority, Revenue Bonds, Water Development Community Assistance Program, Series 2003, 5.000%, 12/01/23 – NPFG Insured
12/13 at 100.00
 
Aa1
$
767,383
 
 
1,000
 
Puerto Rico Aqueduct and Sewerage Authority, Revenue Bonds, Senior Lien Series 2008A, 6.000%, 7/01/44
7/18 at 100.00
 
Baa2
 
1,062,180
 
 
4,430
 
Total Water and Sewer
       
4,886,410
 
$
100,990
 
Total Investments (cost $88,380,933) – 141.7%
       
96,879,029
 
     
MuniFund Term Preferred Shares, at Liquidation Value – (45.5)% (7)
       
(31,103,400
     
Other Assets Less Liabilities – 3.8%
       
2,578,018
 
     
Net Assets Applicable to Common Shares – 100%
     
$
68,353,647
 
 
(1)
 
All percentages shown in the Portfolio of Investments are based on net assets applicable to Common shares unless otherwise noted.
(2)
 
Optional Call Provisions: Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. Certain mortgage-backed securities may be subject to periodic principal paydowns.
  (3)   Ratings: Using the highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating.
   
Ratings below BBB by Standard & Poor’s, Baa by Moody’s or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies.
(4)
 
Investment, or portion of investment, has been pledged to collateralize the net payment obligations for investments in inverse floating rate transactions.
 (5)   At or subsequent to the end of the reporting period, this security is non-income producing. Non-income producing security, in the case of a bond, generally denotes that the issuer has (1) defaulted on the payment of principal or interest, (2) is under the protection of the Federal Bankruptcy Court or (3) the Fund’s Adviser has concluded that the issue is not likely to meet its future interest payment obligations and has directed the Fund’s custodian to cease accruing additional income on the Fund’s records.
(6)
 
Backed by an escrow or trust containing sufficient U.S. Government or U.S. Government agency securities, which ensure the timely payment of principal and interest. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities.
(7)
 
MuniFund Term Preferred Shares, at Liquidation Value as a percentage of Total Investments is 32.1%.
N/R
 
Not rated.
(IF)
 
Inverse floating rate investment.
 
See accompanying notes to financial statements.

50
 
Nuveen Investments

 
 

 
 
   
Nuveen Ohio Dividend Advantage Municipal Fund 2
NBJ
 
Portfolio of Investments
August 31, 2012 (Unaudited)

 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
Consumer Staples – 5.6% (3.8% of Total Investments)
           
$
400
 
Buckeye Tobacco Settlement Financing Authority, Ohio, Tobacco Settlement Asset-Backed Revenue Bonds, Senior Lien, Series 2007A-1, 5.000%, 6/01/16
No Opt. Call
 
A1
$
436,588
 
     
Buckeye Tobacco Settlement Financing Authority, Ohio, Tobacco Settlement Asset-Backed Revenue Bonds, Senior Lien, Series 2007A-2:
           
 
1,000
 
5.125%, 6/01/24
6/17 at 100.00
 
B
 
848,880
 
 
1,750
 
5.875%, 6/01/47
6/17 at 100.00
 
BB
 
1,421,280
 
 
45
 
Puerto Rico, The Children’s Trust Fund, Tobacco Settlement Asset-Backed Refunding Bonds, Series 2002, 5.375%, 5/15/33
11/12 at 100.00
 
BBB+
 
44,999
 
 
3,195
 
Total Consumer Staples
       
2,751,747
 
     
Education and Civic Organizations – 7.0% (4.9% of Total Investments)
           
 
1,345
 
Bowling Green State University, Ohio, General Receipts Bonds, Series 2003, 5.250%, 6/01/18 – AMBAC Insured
6/13 at 100.00
 
A+
 
1,384,328
 
 
490
 
Miami University of Ohio, General Receipts Bonds, Series 2011, 5.000%, 9/01/36
9/21 at 100.00
 
AA
 
564,916
 
 
450
 
Ohio Higher Education Facilities Commission, General Revenue Bonds, Kenyon College, Series 2006, 5.000%, 7/01/41
7/16 at 100.00
 
A+
 
471,119
 
 
1,050
 
Ohio Higher Educational Facilities Commission, Revenue Bonds, Wittenberg University, Series 2001, 5.500%, 12/01/15
12/12 at 100.00
 
Ba2
 
1,051,050
 
 
3,335
 
Total Education and Civic Organizations
       
3,471,413
 
     
Health Care – 21.6% (14.9% of Total Investments)
           
 
250
 
Allen County, Ohio, Hospital Facilities Revenue Bonds, Catholic Healthcare Partners, Series 2010A, 5.250%, 6/01/38
6/20 at 100.00
 
AA–
 
276,333
 
 
1,000
 
Butler County, Ohio, Hospital Facilities Revenue Bonds, UC Health, Series 2010, 5.500%, 11/01/40
11/20 at 100.00
 
BBB+
 
1,088,670
 
 
1,090
 
Butler County, Ohio, Hospital Facilities Revenue Bonds, Cincinnati Children’s Medical Center Project, Series 2006K, 5.000%, 5/15/31 – FGIC Insured
5/16 at 100.00
 
N/R
 
1,120,509
 
 
300
 
Franklin County, Ohio, Hospital Revenue Bonds, Nationwide Children’s Hospital Project, Improvement Series 2009, 5.250%, 11/01/40
11/19 at 100.00
 
Aa2
 
332,106
 
 
250
 
Franklin County, Ohio, Hospital Revenue Bonds, Nationwide Children’s Hospital Project, Series 2005, 5.000%, 11/01/40
11/18 at 100.00
 
Aa2
 
267,120
 
 
480
 
Franklin County, Ohio, Hospital Revenue Bonds, OhioHealth Corporation, Tender Option Bond Trust 11-21B, 9.264%, 11/15/41 (IF) (4)
11/21 at 100.00
 
AA+
 
575,386
 
 
600
 
Hancock County, Ohio, Hospital Revenue Bonds, Blanchard Valley Regional Health Center, Series 2011A, 6.250%, 12/01/34
6/21 at 100.00
 
A2
 
706,806
 
 
865
 
Lake County, Ohio, Hospital Facilities Revenue Bonds, Lake Hospital System, Inc., Refunding Series 2008C, 6.000%, 8/15/43
8/18 at 100.00
 
A3
 
938,447
 
 
460
 
Lucas County, Ohio, Hospital Revenue Bonds, ProMedica Healthcare Obligated Group, Series 2011A, 6.000%, 11/15/41
11/21 at 100.00
 
AA–
 
556,457
 
 
225
 
Miami County, Ohio, Hospital Facilities Revenue Refunding Bonds, Upper Valley Medical Center Inc., Series 2006, 5.250%, 5/15/21
5/16 at 100.00
 
A2
 
244,240
 
 
120
 
Middleburg Heights, Ohio, Hospital Facilities Revenue Bonds, Southwest General Health Center Project, Refunding Series 2011, 5.250%, 8/01/41
8/21 at 100.00
 
A2
 
131,388
 
 
700
 
Montgomery County, Ohio, Revenue Bonds, Catholic Health Initiatives, Series 2004A, 5.000%, 5/01/30
5/14 at 100.00
 
AA
 
724,472
 
 
90
 
Montgomery County, Ohio, Revenue Bonds, Miami Valley Hospital, Series 2009A, 6.250%, 11/15/39
11/14 at 100.00
 
Aa3
 
95,469
 
 
35
 
Ohio State Higher Educational Facilities Commission, Hospital Revenue Bonds, Cleveland Clinic Health System Obligated Group, Series 2008A, 5.000%, 1/01/25
1/18 at 100.00
 
Aa2
 
38,725
 

Nuveen Investments
 
51


 
 

 

   
Nuveen Ohio Dividend Advantage Municipal Fund 2 (continued)
NBJ
 
Portfolio of Investments
August 31, 2012 (Unaudited)
 
 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
Health Care (continued)
           
     
Ohio State Higher Educational Facilities Commission, Hospital Revenue Bonds, Summa Health System Project, Series 2010:
           
$
400
 
5.750%, 11/15/40 – AGM Insured
5/20 at 100.00
 
AA–
$
450,460
 
 
40
 
5.250%, 11/15/40 – AGM Insured
5/20 at 100.00
 
AA–
 
43,942
 
 
200
 
Ohio State, Hospital Facility Revenue Refunding Bonds, Cleveland Clinic Health System Obligated Group, Series 2009A, 5.500%, 1/01/39
1/19 at 100.00
 
Aa2
 
224,406
 
     
Ohio State, Hospital Facility Revenue Refunding Bonds, Cleveland Clinic Health System Obligated Group, Tender Option Bond Trust 3551:
           
 
125
 
19.525%, 1/01/17 (IF)
No Opt. Call
 
Aa2
 
176,180
 
 
1,000
 
20.072%, 1/01/33 (IF)
1/19 at 100.00
 
Aa2
 
1,488,120
 
 
375
 
Ohio State, Hospital Facility Revenue Refunding Bonds, Cleveland Clinic Health System Obligated Group, Tender Option Bond Trust 3591, 20.231%, 1/01/17 (IF)
No Opt. Call
 
Aa2
 
558,045
 
 
350
 
Richland County, Ohio, Hospital Revenue Bonds, MidCentral Health System Group, Series 2006, 5.250%, 11/15/36
11/16 at 100.00
 
A–
 
368,907
 
 
190
 
Ross County, Ohio, Hospital Revenue Refunding Bonds, Adena Health System Series 2008, 5.750%, 12/01/35
12/18 at 100.00
 
A2
 
212,276
 
 
9,145
 
Total Health Care
       
10,618,464
 
     
Housing/Multifamily – 4.6% (3.1% of Total Investments)
           
 
1,000
 
Franklin County, Ohio, GNMA Collateralized Multifamily Housing Mortgage Revenue Bonds, Agler Project, Series 2002A, 5.550%, 5/20/22 (Alternative Minimum Tax)
5/13 at 101.00
 
Aaa
 
1,021,870
 
 
250
 
Montgomery County, Ohio, GNMA Guaranteed Multifamily Housing Revenue Bonds, Canterbury Court Project, Series 2007, 5.500%, 10/20/42 (Alternative Minimum Tax)
10/18 at 101.00
 
Aa1
 
271,710
 
 
210
 
Ohio Housing Finance Agency, FHA-Insured Multifamily Housing Mortgage Revenue Bonds, Madonna Homes, Series 2006M, 4.900%, 6/20/48 (Alternative Minimum Tax)
6/16 at 102.00
 
Aaa
 
218,795
 
 
690
 
Summit County Port Authority, Ohio, Multifamily Housing Revenue Bonds, Callis Tower Apartments Project, Series 2007, 5.250%, 9/20/47 (Alternative Minimum Tax)
9/17 at 102.00
 
Aaa
 
736,258
 
 
2,150
 
Total Housing/Multifamily
       
2,248,633
 
     
Housing/Single Family – 0.6% (0.4% of Total Investments)
           
 
285
 
Ohio Housing Finance Agency, Residential Mortgage Revenue Bonds, Mortgage-Backed Securities Program, Series 2006H, 5.000%, 9/01/31 (Alternative Minimum Tax)
9/15 at 100.00
 
Aaa
 
293,835
 
     
Industrials – 2.7% (1.9% of Total Investments)
           
 
1,000
 
Toledo-Lucas County Port Authority, Ohio, Revenue Refunding Bonds, CSX Transportation Inc., Series 1992, 6.450%, 12/15/21
No Opt. Call
 
Baa3
 
1,259,320
 
 
500
 
Western Reserve Port Authority, Ohio, Solid Waste Facility Revenue Bonds, Central Waste Inc., Series 2007A, 6.350%, 7/01/27 (Alternative Minimum Tax) (5)
7/17 at 102.00
 
N/R
 
70,080
 
 
1,500
 
Total Industrials
       
1,329,400
 
     
Long-Term Care – 1.0% (0.6% of Total Investments)
           
 
95
 
Franklin County, Ohio, Healthcare Facilities Revenue Bonds, Ohio Presbyterian Retirement Services, Improvement Series 2010A, 5.625%, 7/01/26
7/21 at 100.00
 
BBB
 
104,852
 
 
340
 
Montgomery County, Ohio, Health Care and Multifamily Housing Revenue Bonds, Saint Leonard, Refunding & improvement Series 2010, 6.625%, 4/01/40
4/20 at 100.00
 
BBB–
 
363,219
 
 
435
 
Total Long-Term Care
       
468,071
 
     
Tax Obligation/General – 42.9% (29.6% of Total Investments)
           
 
1,000
 
Central Ohio Solid Waste Authority, General Obligation Bonds, Refunding & Improvements, Series 2012, 5.000%, 12/01/29 – AGM Insured
6/22 at 100.00
 
AAA
 
1,201,190
 
     
Cleveland Municipal School District, Cuyahoga County, Ohio, General Obligation Bonds, Series 2004:
           
 
1,000
 
5.000%, 12/01/15 – AGM Insured
6/14 at 100.00
 
AA
 
1,074,920
 
 
1,000
 
5.000%, 12/01/22 – AGM Insured
6/14 at 100.00
 
AA
 
1,073,780
 


52
 
Nuveen Investments

 
 

 

 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
Tax Obligation/General (continued)
           
$
1,000
 
Cleveland, Ohio, General Obligation Bonds, Series 2011, 5.000%, 12/01/29
12/19 at 100.00
 
AA
$
1,119,370
 
 
1,140
 
Columbia Local School District, Lorain County, Ohio, General Obligation Bonds, School Facilities Improvement Series 2011, 5.000%, 11/01/39 – AGM Insured
11/21 at 100.00
 
Aa3
 
1,298,460
 
     
Columbus City School District, Franklin County, Ohio, General Obligation Bonds, Series 2006:
           
 
2,095
 
0.000%, 12/01/27 – AGM Insured
No Opt. Call
 
AA
 
1,211,832
 
 
100
 
0.000%, 12/01/28 – AGM Insured
No Opt. Call
 
AA
 
55,203
 
 
400
 
Cuyahoga County, Ohio, General Obligation Bonds, Series 2004, 5.000%, 12/01/21
12/14 at 100.00
 
AA+
 
437,496
 
 
1,000
 
Franklin County, Ohio, General Obligation Bonds, Series 2007, 5.000%, 12/01/27
12/17 at 100.00
 
AAA
 
1,157,910
 
 
400
 
Green, Ohio, General Obligation Bonds, Series 2008, 5.500%, 12/01/32
12/15 at 100.00
 
AA+
 
430,664
 
 
1,905
 
Hamilton City School District, Ohio, General Obligation Bonds, Series 2007, 5.000%, 12/01/34 – AGM Insured
6/17 at 100.00
 
AA–
 
2,041,436
 
 
1,000
 
Indian Lake Local School District, Logan and Auglaize Counties, Ohio, School Facilities Improvement and Refunding Bonds, Series 2007, 5.000%, 12/01/34 – NPFG Insured
6/17 at 100.00
 
Aa3
 
1,080,750
 
 
500
 
Kenston Local School District, Geauga County, Ohio, General Obligation Bonds, Series 2011, 0.000%, 12/01/21
No Opt. Call
 
Aa1
 
399,890
 
 
345
 
Lakewood City School District, Cuyahoga County, Ohio, General Obligation Bonds, Series 2007, 5.000%, 12/01/30 – FGIC Insured
12/17 at 100.00
 
Aa2
 
379,238
 
 
400
 
Lucas County, Ohio, General Obligation Bonds, Various Purpose Series 2010, 5.000%, 10/01/40
10/18 at 100.00
 
Aa2
 
434,780
 
 
1,005
 
Marysville Exempted School District, Union County, Ohio, General Obligation Bonds, Series 2006, 5.000%, 12/01/25 – AGM Insured
12/15 at 100.00
 
AA–
 
1,079,239
 
 
200
 
Mason City School District, Counties of Warren and Butler, Ohio, General Obligation Bonds, Series 2007, 5.000%, 12/01/31
6/17 at 100.00
 
Aaa
 
228,106
 
 
1,500
 
Middletown City School District, Butler County, Ohio, General Obligation Bonds, Refunding Series 2007, 5.250%, 12/01/31 – AGM Insured
No Opt. Call
 
Aa3
 
1,910,520
 
 
50
 
Milford Exempted Village School District, Ohio, General Obligation Bonds, Series 2008, 5.250%, 12/01/36
12/18 at 100.00
 
Aa3
 
54,974
 
 
600
 
Monroe Local School District, Butler County, Ohio, General Obligation Bonds, Series 2006, 5.500%, 12/01/24 – AMBAC Insured
No Opt. Call
 
A2
 
738,366
 
 
150
 
Napoleon City School District, Henry County, Ohio, General Obligation Bonds, Facilities Construction & Improvement Series 2012, 5.000%, 12/01/36
6/22 at 100.00
 
Aa3
 
169,302
 
 
2,665
 
Newark City School District, Licking County, Ohio, General Obligation Bonds, Series 2005, 5.000%, 12/01/28 – FGIC Insured
12/15 at 100.00
 
Aa3
 
2,838,541
 
 
400
 
Northmor Local School District, Morrow County, Ohio, General Obligation School Facilities Construction and Improvement Bonds, Series 2008, 5.000%, 11/01/36
11/18 at 100.00
 
Aa2
 
436,828
 
 
50
 
Sylvania City School District, Lucas County, Ohio, General Obligation Bonds, School Improvement Series 1995, 5.250%, 12/01/36 – AGC Insured
6/17 at 100.00
 
Aa2
 
54,103
 
 
200
 
Vandalia Butler City School District, Montgomery County, Ohio, General Obligation Bonds, School Improvment Series 2009, 5.125%, 12/01/37
6/19 at 100.00
 
AA
 
221,978
 
 
20,105
 
Total Tax Obligation/General
       
21,128,876
 
     
Tax Obligation/Limited – 24.2% (16.7% of Total Investments)
           
 
500
 
Cuyhoga County, Ohio, Recovery Zone Facility Economic Development Revenue Bonds, Medical Mart– Convention Center Project, Series 2010F, 5.000%, 12/01/27
12/20 at 100.00
 
AA
 
575,935
 
 
175
 
Delaware County District Library, Delaware, Franklin, Marion, Morrow and Union Counties, Ohio, Library Fund Library Facilities Special Obligation Notes, Series 2009, 5.000%, 12/01/34
12/19 at 100.00
 
Aa2
 
197,584
 
 
395
 
Government of Guam, Business Privilege Tax Bonds, Series 2011A, 5.125%, 1/01/42
1/22 at 100.00
 
A
 
439,556
 
 
160
 
Government of Guam, Business Privilege Tax Bonds, Series 2012B-1, 5.000%, 1/01/42
1/22 at 100.00
 
A
 
176,482
 
 
760
 
Greater Cleveland Regional Transit Authority, Ohio, Sales Tax Supported Capital Improvement Bonds, Refunding Series 2012, 5.250%, 12/01/30
12/21 at 100.00
 
AAA
 
911,126
 
 
1,000
 
Hamilton County, Ohio, Sales Tax Bonds, Subordinate Lien, Series 2006A, 5.000%, 12/01/32 – AMBAC Insured
12/16 at 100.00
 
A+
 
1,082,730
 

Nuveen Investments
 
53

 
 

 


   
Nuveen Ohio Dividend Advantage Municipal Fund 2 (continued)
NBJ
 
Portfolio of Investments
August 31, 2012 (Unaudited)

 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
Tax Obligation/Limited (continued)
           
$
2,500
 
Hamilton County, Ohio, Sales Tax Bonds, Subordinate Series 2000B, 0.000%, 12/01/28 – AGM Insured
No Opt. Call
 
AA–
$
1,277,425
 
 
1,000
 
Hamilton County, Ohio, Sales Tax Revenue Bonds, Refunding Series 2011A, 5.000%, 12/01/31
12/21 at 100.00
 
A+
 
1,125,600
 
 
1,750
 
Hudson City School District, Ohio, Certificates of Participation, Series 2012, 4.000%, 6/01/34 – NPFG Insured
6/22 at 100.00
 
Aa3
 
1,793,855
 
 
140
 
New Albany Community Authority, Ohio, Community Facilities Revenue Refunding Bonds, Series 2012C, 5.000%, 10/01/24
10/22 at 100.00
 
A1
 
164,671
 
 
250
 
Ohio State Building Authority, State Facilities Bonds, Administrative Building Fund Projects, Series 2005A, 5.000%, 4/01/25 – AGM Insured
4/15 at 100.00
 
AA
 
273,790
 
 
1,000
 
Ohio State Building Authority, State Facilities Bonds, Adult Correctional Building Fund Project, Series 2005A, 5.000%, 4/01/23 – AGM Insured
4/15 at 100.00
 
AA
 
1,095,160
 
 
4,065
 
Puerto Rico Sales Tax Financing Corporation, Sales Tax Revenue Bonds, First Subordinate Series 2009A, 0.000%, 8/01/34
No Opt. Call
 
A+
 
1,231,410
 
 
3,940
 
Puerto Rico Sales Tax Financing Corporation, Sales Tax Revenue Bonds, Series 2010A, 0.000%, 8/01/35
No Opt. Call
 
A+
 
1,107,770
 
 
400
 
Riversouth Authority, Ohio, Riversouth Area Redevelopment Bonds, Refunding Series 2012A, 5.000%, 12/01/24
12/22 at 100.00
 
AA+
 
479,816
 
 
18,035
 
Total Tax Obligation/Limited
       
11,932,910
 
     
Transportation – 1.1% (0.8% of Total Investments)
           
 
500
 
Cleveland, Ohio, Airport System Revenue Bonds, Series 2012A, 5.000%, 1/01/31 – AGM Insured
1/22 at 100.00
 
AA–
 
554,420
 
     
U.S. Guaranteed – 21.4% (14.7% of Total Investments) (6)
           
 
605
 
Columbus City School District, Franklin County, Ohio, General Obligation Bonds, Series 2004, 5.500%, 12/01/15 (Pre-refunded 12/01/14) – AGM Insured
12/14 at 100.00
 
AA+ (6)
 
675,374
 
 
200
 
Lorain County, Ohio, Hospital Revenue Refunding and Improvement Bonds, Catholic Healthcare Partners, Refunding Series 2002, 5.375%, 10/01/30 (Pre-refunded 10/01/12)
10/12 at 100.00
 
AA– (6)
 
200,860
 
 
2,420
 
Lorain County, Ohio, Limited Tax General Obligation Justice Center Bonds, Series 2002, 5.500%, 12/01/22 (Pre-refunded 12/01/12) – FGIC Insured
12/12 at 100.00
 
Aa2 (6)
 
2,452,259
 
 
1,000
 
Marysville Exempted Village School District, Ohio, Certificates of Participation, School Facilities Project, Series 2005, 5.250%, 12/01/21 (Pre-refunded 6/01/15) – NPFG Insured
6/15 at 100.00
 
N/R (6)
 
1,134,720
 
 
100
 
Ohio State Higher Educational Facilities Commission, Hospital Revenue Bonds, University Hospitals Health System, Series 2009, 6.750%, 1/15/39 (Pre-refunded 1/15/15)
1/15 at 100.00
 
A (6)
 
114,964
 
 
210
 
Ohio Water Development Authority, Revenue Bonds, Drinking Water Assistance Fund, State Match, Series 2008, 5.000%, 6/01/28 (Pre-refunded 6/01/18) – AGM Insured
6/18 at 100.00
 
AAA
 
257,282
 
 
1,095
 
Ohio, State Appropriation Lease Bonds, Parks and Recreation Capital Facilities, Series 2004A-II, 5.000%, 12/01/18 (Pre-refunded 12/01/13)
12/13 at 100.00
 
AA (6)
 
1,159,758
 
 
1,050
 
Olentangy Local School District, Delaware and Franklin Counties, Ohio, General Obligation Bonds, Series 2004A, 5.500%, 12/01/15 (Pre-refunded 6/01/14) – FGIC Insured
6/14 at 100.00
 
AA+ (6)
 
1,144,889
 
 
1,000
 
Powell, Ohio, General Obligation Bonds, Series 2002, 5.500%, 12/01/25 (Pre-refunded 12/01/12) – FGIC Insured
12/12 at 100.00
 
AA+ (6)
 
1,012,010
 
 
1,000
 
University of Cincinnati, Ohio, General Receipts Bonds, Series 2003C, 5.000%, 6/01/22 (Pre-refunded 6/01/13) – FGIC Insured
6/13 at 100.00
 
AA– (6)
 
1,036,120
 
 
1,245
 
University of Cincinnati, Ohio, General Receipts Bonds, Series 2004D, 5.000%, 6/01/19 (Pre-refunded 6/01/14) – AMBAC Insured
6/14 at 100.00
 
AA– (6)
 
1,346,667
 
 
9,925
 
Total U.S. Guaranteed
       
10,534,903
 

54
 
Nuveen Investments

 
 

 

 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
Utilities – 9.4% (6.5% of Total Investments)
           
$
1,000
 
American Municipal Power Ohio Inc., General Revenue Bonds, Prairie State Energy Campus Project Series 2008A, 5.250%, 2/15/43
2/18 at 100.00
 
A1
$
1,091,660
 
 
1,065
 
Cleveland, Ohio, Public Power System Revenue Bonds, Series 2008B-2, 0.000%, 11/15/32 – NPFG Insured
No Opt. Call
 
A2
 
426,138
 
 
2,500
 
Ohio Air Quality Development Authority, Revenue Refunding Bonds, Ohio Power Company Project, Series 1999C, 5.150%, 5/01/26 – AMBAC Insured
11/12 at 100.00
 
Baa1
 
2,503,200
 
 
595
 
Ohio Municipal Electric Generation Agency, Beneficial Interest Certificates, Belleville Hydroelectric Project – Joint Venture 5, Series 2004, 5.000%, 2/15/20 – AMBAC Insured
2/14 at 100.00
 
A1
 
625,529
 
 
5,160
 
Total Utilities
       
4,646,527
 
     
Water and Sewer – 3.0% (2.1% of Total Investments)
           
 
1,100
 
Cincinnati, Ohio, Water System Revenue Bonds, Series 2012A, 5.000%, 12/01/37
12/21 at 100.00
 
AAA
 
1,276,990
 
 
130
 
City of Marysville, Ohio, Water System Mortgage Revenue Bonds, Series 2007, 5.000%, 12/01/32 – AMBAC Insured
12/17 at 100.00
 
A1
 
140,990
 
 
50
 
Ironton, Ohio, Sewer System Improvement Revenue Bonds, Series 2011, 5.250%, 12/01/40 – AGM Insured
12/20 at 100.00
 
Aa3
 
56,392
 
 
1,280
 
Total Water and Sewer
       
1,474,372
 
$
75,050
 
Total Investments (cost $65,596,740) – 145.1%
       
71,453,571
 
     
MuniFund Term Preferred Shares, at Liquidation Value – (49.2)% (7)
       
(24,244,000
     
Other Assets Less Liabilities – 4.1%
       
2,031,352
 
     
Net Assets Applicable to Common Shares – 100%
     
$
49,240,923
 

(1)
 
All percentages shown in the Portfolio of Investments are based on net assets applicable to Common shares unless otherwise noted.
(2)
 
Optional Call Provisions: Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. Certain mortgage-backed securities may be subject to periodic principal paydowns.
(3)
 
Ratings: Using the highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. Ratings below BBB by Standard & Poor’s, Baa by Moody’s or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies.
(4)
 
Investment, or portion of investment, has been pledged to collateralize the net payment obligations for investments in inverse floating rate transactions.
(5)
 
At or subsequent to the end of the reporting period, this security is non-income producing. Non-income producing security, in the case of a bond, generally denotes that the issuer has (1) defaulted on the payment of principal or interest, (2) is under the protection of the Federal Bankruptcy Court or (3) the Fund’s Adviser has concluded that the issue is not likely to meet its future interest payment obligations and has directed the Fund’s custodian to cease accruing additional income on the Fund’s records.
(6)
 
Backed by an escrow or trust containing sufficient U.S. Government or U.S. Government agency securities, which ensure the timely payment of principal and interest. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities.
(7)
 
MuniFund Term Preferred Shares, at Liquidation Value as a percentage of Total Investments is 33.9%.
N/R
 
Not rated.
(IF)
 
Inverse floating rate investment.

See accompanying notes to financial statements.

Nuveen Investments
 
55

 
 

 

   
Nuveen Ohio Dividend Advantage Municipal Fund 3
NVJ
 
Portfolio of Investments
August 31, 2012 (Unaudited)

 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
Consumer Staples – 7.2% (4.8% of Total Investments)
           
     
Buckeye Tobacco Settlement Financing Authority, Ohio, Tobacco Settlement Asset-Backed Revenue Bonds, Senior Lien, Series 2007A-2:
           
$
1,000
 
5.125%, 6/01/24
6/17 at 100.00
 
B
$
848,880
 
 
2,000
 
5.875%, 6/01/47
6/17 at 100.00
 
BB
 
1,624,319
 
 
20
 
Puerto Rico, The Children’s Trust Fund, Tobacco Settlement Asset-Backed Refunding Bonds, Series 2002, 5.375%, 5/15/33
11/12 at 100.00
 
BBB+
 
20,000
 
 
3,020
 
Total Consumer Staples
       
2,493,199
 
     
Education and Civic Organizations – 9.5% (6.3% of Total Investments)
           
 
275
 
Miami University of Ohio, General Receipts Bonds, Series 2011, 5.000%, 9/01/36
9/21 at 100.00
 
AA
 
317,045
 
 
350
 
Ohio Higher Education Facilities Commission, General Revenue Bonds, Kenyon College, Series 2006, 5.000%, 7/01/41
7/16 at 100.00
 
A+
 
366,426
 
 
1,125
 
Ohio Higher Education Facilities Commission, Revenue Bonds, Ohio Northern University, Series 2002, 5.750%, 5/01/16
11/12 at 100.00
 
Baa2
 
1,127,903
 
 
650
 
Ohio Higher Education Facilities Commission, Revenue Bonds, Wittenberg University, Series 2005, 5.000%, 12/01/24
12/15 at 100.00
 
Ba2
 
637,124
 
     
Ohio Higher Educational Facilities Commission, Revenue Bonds, Denison University Project, Series 2012:
           
 
120
 
5.000%, 11/01/27
5/22 at 100.00
 
AA
 
142,856
 
 
590
 
5.000%, 11/01/32
5/22 at 100.00
 
AA
 
684,866
 
 
3,110
 
Total Education and Civic Organizations
       
3,276,220
 
     
Health Care – 23.9% (16.0% of Total Investments)
           
 
200
 
Allen County, Ohio, Hospital Facilities Revenue Bonds, Catholic Healthcare Partners, Series 2010A, 5.250%, 6/01/38
6/20 at 100.00
 
AA–
 
221,066
 
 
695
 
Butler County, Ohio, Hospital Facilities Revenue Bonds, Cincinnati Children’s Medical Center Project, Series 2006K, 5.000%, 5/15/31 – FGIC Insured
5/16 at 100.00
 
N/R
 
714,453
 
 
600
 
Franklin County, Ohio, Hospital Revenue Bonds, Nationwide Children’s Hospital Project, Improvement Series 2009, 5.250%, 11/01/40
11/19 at 100.00
 
Aa2
 
664,212
 
 
420
 
Franklin County, Ohio, Hospital Revenue Bonds, Nationwide Children’s Hospital Project, Series 2005, 5.000%, 11/01/40
11/18 at 100.00
 
Aa2
 
448,762
 
 
320
 
Franklin County, Ohio, Hospital Revenue Bonds, OhioHealth Corporation, Tender Option Bond Trust 11-21B, 9.264%, 11/15/41 (IF) (4)
11/21 at 100.00
 
AA+
 
383,590
 
 
625
 
Hancock County, Ohio, Hospital Revenue Bonds, Blanchard Valley Regional Health Center, Series 2011A, 6.250%, 12/01/34
6/21 at 100.00
 
A2
 
736,256
 
 
1,000
 
Lake County, Ohio, Hospital Facilities Revenue Bonds, Lake Hospital System, Inc., Refunding Series 2008C, 6.000%, 8/15/43
8/18 at 100.00
 
A3
 
1,084,910
 
 
550
 
Lucas County, Ohio, Hospital Revenue Bonds, ProMedica Healthcare Obligated Group, Series 2011A, 6.000%, 11/15/41
11/21 at 100.00
 
AA–
 
665,330
 
 
160
 
Miami County, Ohio, Hospital Facilities Revenue Refunding Bonds, Upper Valley Medical Center Inc., Series 2006, 5.250%, 5/15/21
5/16 at 100.00
 
A2
 
173,682
 
 
100
 
Middleburg Heights, Ohio, Hospital Facilities Revenue Bonds, Southwest General Health Center Project, Refunding Series 2011, 5.250%, 8/01/41
8/21 at 100.00
 
A2
 
109,490
 
 
500
 
Montgomery County, Ohio, Revenue Bonds, Catholic Health Initiatives, Series 2004A, 5.000%, 5/01/30
5/14 at 100.00
 
AA
 
517,480
 
 
105
 
Montgomery County, Ohio, Revenue Bonds, Miami Valley Hospital, Series 2009A, 6.250%, 11/15/39
11/14 at 100.00
 
Aa3
 
111,381
 
     
Ohio State Higher Educational Facilities Commission, Hospital Revenue Bonds, Cleveland Clinic Health System Obligated Group, Series 2008A:
           
 
600
 
5.000%, 1/01/25
1/18 at 100.00
 
Aa2
 
663,852
 
 
100
 
5.250%, 1/01/33
1/18 at 100.00
 
Aa2
 
110,568
 

56
 
Nuveen Investments

 
 

 

 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
Health Care (continued)
           
$
200
 
Ohio State Higher Educational Facilities Commission, Hospital Revenue Bonds, Summa Health System Project, Series 2010, 5.250%, 11/15/40 – AGM Insured
5/20 at 100.00
 
AA–
$
219,708
 
 
100
 
Ohio State, Hospital Facility Revenue Refunding Bonds, Cleveland Clinic Health System Obligated Group, Series 2009A, 5.500%, 1/01/39
1/19 at 100.00
 
Aa2
 
112,203
 
     
Ohio State, Hospital Facility Revenue Refunding Bonds, Cleveland Clinic Health System Obligated Group, Tender Option Bond Trust 3551:
           
 
125
 
19.525%, 1/01/17 (IF)
No Opt. Call
 
Aa2
 
176,180
 
 
425
 
20.072%, 1/01/33 (IF)
1/19 at 100.00
 
Aa2
 
632,451
 
 
100
 
Ohio State, Hospital Facility Revenue Refunding Bonds, Cleveland Clinic Health System Obligated Group, Tender Option Bond Trust 3591, 20.231%, 1/01/17 (IF)
No Opt. Call
 
Aa2
 
148,812
 
 
250
 
Richland County, Ohio, Hospital Revenue Bonds, MidCentral Health System Group, Series 2006, 5.250%, 11/15/36
11/16 at 100.00
 
A–
 
263,505
 
 
110
 
Ross County, Ohio, Hospital Revenue Refunding Bonds, Adena Health System Series 2008, 5.750%, 12/01/35
12/18 at 100.00
 
A2
 
122,896
 
 
7,285
 
Total Health Care
       
8,280,787
 
     
Housing/Multifamily – 3.2% (2.2% of Total Investments)
           
 
200
 
Montgomery County, Ohio, GNMA Guaranteed Multifamily Housing Revenue Bonds, Canterbury Court Project, Series 2007, 5.500%, 10/20/42 (Alternative Minimum Tax)
10/18 at 101.00
 
Aa1
 
217,368
 
 
160
 
Ohio Housing Finance Agency, FHA-Insured Multifamily Housing Mortgage Revenue Bonds, Madonna Homes, Series 2006M, 4.900%, 6/20/48 (Alternative Minimum Tax)
6/16 at 102.00
 
Aaa
 
166,701
 
 
685
 
Summit County Port Authority, Ohio, Multifamily Housing Revenue Bonds, Callis Tower Apartments Project, Series 2007, 5.250%, 9/20/47 (Alternative Minimum Tax)
9/17 at 102.00
 
Aaa
 
730,922
 
 
1,045
 
Total Housing/Multifamily
       
1,114,991
 
     
Housing/Single Family – 0.4% (0.3% of Total Investments)
           
 
140
 
Ohio Housing Finance Agency, Residential Mortgage Revenue Bonds, Mortgage-Backed Securities Program, Series 2006H, 5.000%, 9/01/31 (Alternative Minimum Tax)
9/15 at 100.00
 
Aaa
 
144,340
 
     
Industrials – 5.4% (3.6% of Total Investments)
           
 
555
 
Cleveland-Cuyahoga County Port Authority, Ohio, Common Bond Fund Revenue Bonds, Cleveland Christian Home Project, Series 2002C, 5.950%, 5/15/22
5/14 at 100.00
 
BBB–
 
561,838
 
 
1,000
 
Toledo-Lucas County Port Authority, Ohio, Revenue Refunding Bonds, CSX Transportation Inc., Series 1992, 6.450%, 12/15/21
No Opt. Call
 
Baa3
 
1,259,320
 
 
400
 
Western Reserve Port Authority, Ohio, Solid Waste Facility Revenue Bonds, Central Waste Inc., Series 2007A, 6.350%, 7/01/27 (Alternative Minimum Tax) (5)
7/17 at 102.00
 
N/R
 
56,064
 
 
1,955
 
Total Industrials
       
1,877,222
 
     
Long-Term Care – 1.1% (0.7% of Total Investments)
           
 
95
 
Franklin County, Ohio, Healthcare Facilities Revenue Bonds, Ohio Presbyterian Retirement Services, Improvement Series 2010A, 5.625%, 7/01/26
7/21 at 100.00
 
BBB
 
104,852
 
 
245
 
Montgomery County, Ohio, Health Care and Multifamily Housing Revenue Bonds, Saint Leonard, Refunding & improvement Series 2010, 6.625%, 4/01/40
4/20 at 100.00
 
BBB–
 
261,731
 
 
340
 
Total Long-Term Care
       
366,583
 
     
Tax Obligation/General – 38.0% (25.5% of Total Investments)
           
 
1,000
 
Central Ohio Solid Waste Authority, General Obligation Bonds, Refunding & Improvements, Series 2012, 5.000%, 12/01/26 – AMBAC Insured
6/22 at 100.00
 
AAA
 
1,220,510
 
 
1,000
 
Cleveland, Ohio, General Obligation Bonds, Series 2011, 5.000%, 12/01/29
12/19 at 100.00
 
AA
 
1,119,370
 
     
Columbus City School District, Franklin County, Ohio, General Obligation Bonds, Series 2006:
           
 
1,815
 
0.000%, 12/01/27 – AGM Insured
No Opt. Call
 
AA
 
1,049,869
 
 
1,000
 
0.000%, 12/01/28 – AGM Insured
No Opt. Call
 
AA
 
552,030
 
 
300
 
Cuyahoga County, Ohio, General Obligation Bonds, Series 2004, 5.000%, 12/01/21
12/14 at 100.00
 
AA+
 
328,122
 

Nuveen Investments
 
57


 
 

 

   
Nuveen Ohio Dividend Advantage Municipal Fund 3 (continued)
NVJ
 
Portfolio of Investments
August 31, 2012 (Unaudited)

 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
Tax Obligation/General (continued)
           
$
1,000
 
Franklin County, Ohio, General Obligation Bonds, Series 2007, 5.000%, 12/01/27
12/17 at 100.00
 
AAA
$
1,157,910
 
 
250
 
Green, Ohio, General Obligation Bonds, Series 2008, 5.500%, 12/01/32
12/15 at 100.00
 
AA+
 
269,165
 
 
1,275
 
Hamilton City School District, Ohio, General Obligation Bonds, Series 2007, 5.000%, 12/01/34 – AGM Insured
6/17 at 100.00
 
AA–
 
1,366,315
 
 
1,000
 
Indian Lake Local School District, Logan and Auglaize Counties, Ohio, School Facilities Improvement and Refunding Bonds, Series 2007, 5.000%, 12/01/34 – NPFG Insured
6/17 at 100.00
 
Aa3
 
1,080,750
 
 
500
 
Kenston Local School District, Geauga County, Ohio, General Obligation Bonds, Series 2011, 0.000%, 12/01/21
No Opt. Call
 
Aa1
 
399,890
 
 
210
 
Lakewood City School District, Cuyahoga County, Ohio, General Obligation Bonds, Series 2007, 5.000%, 12/01/25 – FGIC Insured
12/17 at 100.00
 
Aa2
 
235,421
 
 
235
 
Lucas County, Ohio, General Obligation Bonds, Various Purpose Series 2010, 5.000%, 10/01/40
10/18 at 100.00
 
Aa2
 
255,433
 
 
500
 
Marysville Exempted School District, Union County, Ohio, General Obligation Bonds, Series 2006, 5.000%, 12/01/25 – AGM Insured
12/15 at 100.00
 
AA–
 
536,935
 
 
100
 
Mason City School District, Counties of Warren and Butler, Ohio, General Obligation Bonds, Series 2007, 5.000%, 12/01/31
6/17 at 100.00
 
Aaa
 
114,053
 
 
500
 
Middletown City School District, Butler County, Ohio, General Obligation Bonds, Refunding Series 2007, 5.250%, 12/01/31 – AGM Insured
No Opt. Call
 
Aa3
 
636,840
 
 
50
 
Milford Exempted Village School District, Ohio, General Obligation Bonds, Series 2008, 5.250%, 12/01/36
12/18 at 100.00
 
Aa3
 
54,974
 
 
100
 
Monroe Local School District, Butler County, Ohio, General Obligation Bonds, Series 2006, 5.500%, 12/01/24 – AMBAC Insured
No Opt. Call
 
A2
 
123,061
 
 
150
 
Napoleon City School District, Henry County, Ohio, General Obligation Bonds, Facilities Construction & Improvement Series 2012, 5.000%, 12/01/36
6/22 at 100.00
 
Aa3
 
169,302
 
 
150
 
Northmor Local School District, Morrow County, Ohio, General Obligation School Facilities Construction and Improvement Bonds, Series 2008, 5.000%, 11/01/36
11/18 at 100.00
 
Aa2
 
163,811
 
 
500
 
Oak Hills Local School District, Hamilton County, Ohio, General Obligation Bonds, Refunding Series 2005, 5.000%, 12/01/24 – AGM Insured
12/15 at 100.00
 
AA–
 
534,050
 
 
1,130
 
Solon, Ohio, General Obligation Refunding and Improvement Bonds, Series 2002, 5.000%, 12/01/18
12/12 at 100.00
 
AAA
 
1,142,882
 
 
500
 
Sylvania City School District, Lucas County, Ohio, General Obligation Bonds, School Improvement Series 1995, 5.250%, 12/01/36 – AGC Insured
6/17 at 100.00
 
Aa2
 
541,030
 
 
100
 
Vandalia Butler City School District, Montgomery County, Ohio, General Obligation Bonds, School Improvment Series 2009, 5.125%, 12/01/37
6/19 at 100.00
 
AA
 
110,989
 
 
13,365
 
Total Tax Obligation/General
       
13,162,712
 
     
Tax Obligation/Limited – 18.3% (12.3% of Total Investments)
           
 
250
 
Cuyhoga County, Ohio, Recovery Zone Facility Economic Development Revenue Bonds, Medical Mart– Convention Center Project, Series 2010F, 5.000%, 12/01/27
12/20 at 100.00
 
AA
 
287,968
 
 
75
 
Delaware County District Library, Delaware, Franklin, Marion, Morrow and Union Counties, Ohio, Library Fund Library Facilities Special Obligation Notes, Series 2009, 5.000%, 12/01/34
12/19 at 100.00
 
Aa2
 
84,679
 
 
265
 
Government of Guam, Business Privilege Tax Bonds, Series 2011A, 5.125%, 1/01/42
1/22 at 100.00
 
A
 
294,892
 
 
125
 
Government of Guam, Business Privilege Tax Bonds, Series 2012B-1, 5.000%, 1/01/42
1/22 at 100.00
 
A
 
137,876
 
 
600
 
Greater Cleveland Regional Transit Authority, Ohio, Sales Tax Supported Capital Improvement Bonds, Refunding Series 2012, 5.000%, 12/01/31
12/12 at 100.00
 
AAA
 
699,174
 
 
750
 
Hamilton County, Ohio, Sales Tax Bonds, Subordinate Lien, Series 2006A, 5.000%, 12/01/32 – AMBAC Insured
12/16 at 100.00
 
A+
 
812,048
 
 
65
 
Hamilton County, Ohio, Sales Tax Bonds, Subordinate Series 2000B, 0.000%, 12/01/28 – AGM Insured
No Opt. Call
 
AA–
 
33,213
 
 
1,000
 
Hamilton County, Ohio, Sales Tax Revenue Bonds, Refunding Series 2011A, 5.000%, 12/01/31
12/21 at 100.00
 
A+
 
1,125,600
 

58
 
Nuveen Investments
 
 
 

 
 
 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
Tax Obligation/Limited (continued)
           
$
1,000
 
Midview Local School District, Lorain County, Ohio, Certificates of Participation, Series 2003, 5.000%, 11/01/30
5/13 at 100.00
 
A1
$
1,011,240
 
 
35
 
New Albany Community Authority, Ohio, Community Facilities Revenue Refunding Bonds, Series 2012C, 5.000%, 10/01/24
10/22 at 100.00
 
A1
 
41,168
 
 
200
 
Ohio State Building Authority, State Facilities Bonds, Administrative Building Fund Projects, Series 2005A, 5.000%, 4/01/25 – AGM Insured
4/15 at 100.00
 
AA
 
219,032
 
 
2,000
 
Puerto Rico Sales Tax Financing Corporation, Sales Tax Revenue Bonds, First Subordinate Series 2009A, 0.000%, 8/01/34
No Opt. Call
 
A+
 
605,860
 
 
1,835
 
Puerto Rico Sales Tax Financing Corporation, Sales Tax Revenue Bonds, Series 2010A, 0.000%, 8/01/35
No Opt. Call
 
A+
 
515,929
 
 
400
 
Riversouth Authority, Ohio, Riversouth Area Redevelopment Bonds, Refunding Series 2012A, 5.000%, 12/01/24
12/22 at 100.00
 
AA+
 
479,816
 
 
8,600
 
Total Tax Obligation/Limited
       
6,348,495
 
     
Transportation – 5.5% (3.7% of Total Investments)
           
 
1,550
 
Ohio Turnpike Commission, Revenue Refunding Bonds, Series 1998A, 5.500%, 2/15/18 – FGIC Insured
No Opt. Call
 
AA
 
1,897,168
 
     
U.S. Guaranteed – 25.9% (17.4% of Total Investments) (6)
           
 
725
 
Eaton City School District, Preble County, Ohio, General Obligation Bonds, Series 2002, 5.750%, 12/01/21 (Pre-refunded 12/01/12) – FGIC Insured
12/12 at 101.00
 
Aa2 (6)
 
742,364
 
 
1,000
 
Kenston Local School District, Geauga County, Ohio, General Obligation Bonds, Series 2003, 5.000%, 12/01/22 (Pre-refunded 6/01/13) – NPFG Insured
6/13 at 100.00
 
Aa1 (6)
 
1,035,990
 
 
300
 
Lorain County, Ohio, Hospital Revenue Refunding and Improvement Bonds, Catholic Healthcare Partners, Refunding Series 2002, 5.375%, 10/01/30 (Pre-refunded 10/01/12)
10/12 at 100.00
 
AA– (6)
 
301,290
 
 
1,270
 
Lorain, Ohio, General Obligation Bonds, Series 2002, 5.125%, 12/01/26 (Pre-refunded 12/01/12) – AMBAC Insured
12/12 at 100.00
 
A3 (6)
 
1,285,710
 
 
2,000
 
Ohio Higher Education Facilities Commission, Revenue Bonds, Case Western Reserve University, Series 2002B, 5.500%, 10/01/22 (Pre-refunded 10/01/12)
10/12 at 100.00
 
N/R (6)
 
2,008,899
 
 
2,000
 
Ohio State Higher Educational Facilities Commission, Hospital Revenue Bonds, University Hospitals Health System, Series 2009, 6.750%, 1/15/39 (Pre-refunded 1/15/15)
1/15 at 100.00
 
A (6)
 
2,299,278
 
 
160
 
Ohio Water Development Authority, Revenue Bonds, Drinking Water Assistance Fund, State Match, Series 2008, 5.000%, 6/01/28 (Pre-refunded 6/01/18) – AGM Insured
6/18 at 100.00
 
AAA
 
196,024
 
 
1,000
 
Olentangy Local School District, Delaware and Franklin Counties, Ohio, General Obligation Bonds, Series 2004A, 5.250%, 12/01/21 (Pre-refunded 6/01/14) – FGIC Insured
6/14 at 100.00
 
AA+ (6)
 
1,086,020
 
 
8,455
 
Total U.S. Guaranteed
       
8,955,575
 
     
Utilities – 3.5% (2.4% of Total Investments)
           
 
500
 
American Municipal Power Ohio Inc., General Revenue Bonds, Prairie State Energy Campus Project Series 2008A, 5.250%, 2/15/43
2/18 at 100.00
 
A1
 
545,830
 
 
1,595
 
Cleveland, Ohio, Public Power System Revenue Bonds, Series 2008B-2, 0.000%, 11/15/32 – NPFG Insured
No Opt. Call
 
A2
 
638,207
 
 
25
 
Ohio Air Quality Development Authority, Ohio, Revenue Bonds, Ohio Valley Electric Corporation Project, Series 2009E, 5.625%, 10/01/19
No Opt. Call
 
BBB–
 
29,004
 
 
2,120
 
Total Utilities
       
1,213,041
 

Nuveen Investments
 
59

 
 

 
 
   
Nuveen Ohio Dividend Advantage Municipal Fund 3 (continued)
NVJ
 
Portfolio of Investments
August 31, 2012 (Unaudited)

 
Principal
   
Optional Call
         
 
Amount (000)
 
Description (1)
Provisions (2)
 
Ratings (3)
 
Value
 
     
Water and Sewer – 7.2% (4.8% of Total Investments)
           
$
1,100
 
Cincinnati, Ohio, Water System Revenue Bonds, Series 2012A, 5.000%, 12/01/37
12/21 at 100.00
 
AAA
$
1,276,990
 
 
130
 
City of Marysville, Ohio, Water System Mortgage Revenue Bonds, Series 2007, 5.000%, 12/01/32 – AMBAC Insured
12/17 at 100.00
 
A1
 
140,990
 
 
950
 
Ironton, Ohio, Sewer System Improvement Revenue Bonds, Series 2011, 5.250%, 12/01/40 – AGM Insured
12/20 at 100.00
 
Aa3
 
1,071,448
 
 
2,180
 
Total Water and Sewer
       
2,489,428
 
$
53,165
 
Total Investments (cost $47,134,180) – 149.1%
       
51,619,761
 
     
MuniFund Term Preferred Shares, at Liquidation Value – (53.4)% (7)
       
(18,470,150
     
Other Assets Less Liabilities – 4.3%
       
1,474,070
 
     
Net Assets Applicable to Common Shares – 100%
     
$
34,623,681
 
 
(1)
 
All percentages shown in the Portfolio of Investments are based on net assets applicable to Common shares unless otherwise noted.
(2)
 
Optional Call Provisions: Dates (month and year) and prices of the earliest optional call or redemption. There may be other call provisions at varying prices at later dates. Certain mortgage-backed securities may be subject to periodic principal paydowns.
 (3)   Ratings: Using the highest of Standard & Poor’s Group (“Standard & Poor’s”), Moody’s Investors Service, Inc. (“Moody’s”) or Fitch, Inc. (“Fitch”) rating. Ratings below BBB by Standard & Poor’s, Baa by Moody’s or BBB by Fitch are considered to be below investment grade. Holdings designated N/R are not rated by any of these national rating agencies.
(4)
 
Investment, or portion of investment, has been pledged to collateralize the net payment obligations for investments in inverse floating rate transactions.
(5)
 
At or subsequent to the end of the reporting period, this security is non-income producing. Non-income producing security, in the case of a bond, generally denotes that the issuer has (1) defaulted on the payment of principal or interest, (2) is under the protection of the Federal Bankruptcy Court or (3) the Fund’s Adviser has concluded that the issue is not likely to meet its future interest payment obligations and has directed the Fund’s custodian to cease accruing additional income on the Fund’s records.
(6)
 
Backed by an escrow or trust containing sufficient U.S. Government or U.S. Government agency securities, which ensure the timely payment of principal and interest. Certain bonds backed by U.S. Government or agency securities are regarded as having an implied rating equal to the rating of such securities.
 (7)   MuniFund Term Preferred Shares, at Liquidation Value as a percentage of Total Investments is 35.8%.
N/R
 
Not rated.
(IF)
 
Inverse floating rate investment.
 
See accompanying notes to financial statements.
 
60
 
Nuveen Investments

 
 

 
   
Statement of
 
   
Assets & Liabilities
 
     
August 31, 2012 (Unaudited)

     
Michigan
Quality
Income
(NUM
)  
Michigan
Premium
Income
(NMP
)  
Michigan
Dividend
Advantage
(NZW
)
Assets
                   
Investments, at value (cost $250,851,129, $160,982,881and $44,212,080, respectively)
 
$
274,809,582
 
$
173,115,668
 
$
48,156,470
 
Cash
   
92,294
   
   
110,777
 
Receivables:
                   
Interest
   
3,642,337
   
2,281,579
   
591,529
 
Investments sold
   
1,000,000
   
2,000,000
   
 
Deferred assets:
                   
Directors’/Trustees’ compensation
   
28,442
   
   
 
Offering costs
   
339,209
   
144,831
   
370,137
 
Other assets
   
11,165
   
8,383
   
2,197
 
Total assets
   
279,923,029
   
177,550,461
   
49,231,110
 
Liabilities
                   
Cash overdraft
   
   
911,816
   
 
Floating rate obligations
   
3,630,000
   
2,330,000
   
665,000
 
Payables:
                   
Common share dividends
   
784,259
   
503,090
   
127,549
 
Interest
   
88,428
   
54,224
   
31,266
 
Offering costs
   
   
   
104,384
 
MuniFund Term Preferred (MTP) Shares, at liquidation value
   
   
   
16,313,000
 
Variable Rate MuniFund Term Preferred (VMTP) Shares, at liquidation value
   
87,900,000
   
53,900,000
   
 
Accrued expenses:
                   
Management fees
   
144,630
   
91,895
   
25,694
 
Directors’/Trustees’ fees
   
29,839
   
745
   
207
 
Other
   
88,108
   
66,074
   
36,442
 
Total liabilities
   
92,665,264
   
57,857,844
   
17,303,542
 
Net assets applicable to Common shares
 
$
187,257,765
 
$
119,692,617
 
$
31,927,568
 
Common shares outstanding
   
11,554,253
   
7,605,648
   
2,053,086
 
Net asset value per Common share outstanding (net assets applicable to Common shares, divided by Common shares outstanding)
 
$
16.21
 
$
15.74
 
$
15.55
 
Net assets applicable to Common shares consist of:
                   
Common shares, $.01 par value per share
 
$
115,543
 
$
76,056
 
$
20,531
 
Paid-in surplus
   
161,977,381
   
106,706,622
   
28,961,326
 
Undistributed (Over-distribution of) net investment income
   
3,075,553
   
1,858,914
   
140,165
 
Accumulated net realized gain (loss)
   
(1,869,165
)
 
(1,081,762
)
 
(1,138,844
)
Net unrealized appreciation (depreciation)
   
23,958,453
   
12,132,787
   
3,944,390
 
Net assets applicable to Common shares
 
$
187,257,765
 
$
119,692,617
 
$
31,927,568
 
Authorized shares:
                   
Common
   
200,000,000
   
200,000,000
   
Unlimited
 
Preferred
   
1,000,000
   
1,000,000
   
Unlimited
 
 
See accompanying notes to financial statements.
 
Nuveen Investments
 
61
 
 
 

 
   
Statement of
 
   
Assets & Liabilities (continued)
 
     
August 31, 2012 (Unaudited)

     
Ohio
Quality
Income
(NUO
)  
Ohio
Dividend
Advantage
(NXI
)  
Ohio
Dividend
Advantage 2
(NBJ
)  
Ohio
Dividend
Advantage 3
(NVJ
)
Assets
                         
Investments, at value (cost $219,211,144, $88,380,933, $65,596,740 and $47,134,180, respectively)
 
$
240,636,002
 
$
96,879,029
 
$
71,453,571
 
$
51,619,761
 
Cash
   
1,100,582
   
609,000
   
688,346
   
454,313
 
Receivables:
                         
Interest
   
2,862,974
   
1,191,960
   
845,202
   
605,630
 
Investments sold
   
285,000
   
964,190
   
786,684
   
555,013
 
Deferred assets:
                         
Directors’/Trustees’ compensation
   
   
   
   
 
Offering costs
   
305,600
   
701,233
   
361,687
   
323,943
 
Other assets
   
9,696
   
9,490
   
2,106
   
5,737
 
Total assets
   
245,199,854
   
100,354,902
   
74,137,596
   
53,564,397
 
Liabilities
                         
Cash overdraft
   
   
   
   
 
Floating rate obligations
   
   
   
   
 
Payables:
                         
Common share dividends
   
693,784
   
281,362
   
207,240
   
149,675
 
Interest
   
73,942
   
66,738
   
47,478
   
36,171
 
Offering costs
   
   
202,998
   
151,100
   
152,845
 
MuniFund Term Preferred (MTP) Shares, at liquidation value
   
   
31,103,400
   
24,244,000
   
18,470,150
 
Variable Rate MuniFund Term Preferred (VMTP) Shares, at liquidation value
   
73,500,000
   
   
   
 
Accrued expenses:
                         
Management fees
   
129,201
   
53,411
   
39,512
   
28,484
 
Directors’/Trustees’ fees
   
1,047
   
427
   
316
   
228
 
Other
   
283,754
   
292,919
   
207,027
   
103,163
 
Total liabilities
   
74,681,728
   
32,001,255
   
24,896,673
   
18,940,716
 
Net assets applicable to Common shares
 
$
170,518,126
 
$
68,353,647
 
$
49,240,923
 
$
34,623,681
 
Common shares outstanding
   
9,782,688
   
4,247,316
   
3,122,403
   
2,158,518
 
Net asset value per Common share outstanding (net assets applicable to Common shares, divided by Common shares outstanding)
 
$
17.43
 
$
16.09
 
$
15.77
 
$
16.04
 
Net assets applicable to Common shares consist of:
                         
Common shares, $.01 par value per share
 
$
97,827
 
$
42,473
 
$
31,224
 
$
21,585
 
Paid-in surplus
   
148,376,961
   
60,158,500
   
44,094,051
   
30,382,776
 
Undistributed (Over-distribution of) net investment income
   
2,932,616
   
124,078
   
252,944
   
248,189
 
Accumulated net realized gain (loss)
   
(2,314,136
)
 
(469,500
)
 
(994,127
)
 
(514,450
)
Net unrealized appreciation (depreciation)
   
21,424,858
   
8,498,096
   
5,856,831
   
4,485,581
 
Net assets applicable to Common shares
 
$
170,518,126
 
$
68,353,647
 
$
49,240,923
 
$
34,623,681
 
Authorized shares:
                         
Common
   
200,000,000
   
Unlimited
   
Unlimited
   
Unlimited
 
Preferred
   
1,000,000
   
Unlimited
   
Unlimited
   
Unlimited
 
 
See accompanying notes to financial statements.
 
62
 
Nuveen Investments

 
 

 
 
   
Statement of
 
   
Operations
 
     
Six Months Ended August 31, 2012
     
(Unaudited)

     
Michigan
Quality
Income
(NUM
)  
Michigan
Premium
Income
(NMP
)  
Michigan
Dividend
Advantage
(NZW
)
Investment Income
 
$
6,494,807
 
$
4,182,703
 
$
1,134,744
 
Expenses
                   
Management fees
   
854,665
   
542,679
   
151,554
 
Shareholders’ servicing agent fees and expenses
   
15,727
   
14,437
   
8,830
 
Interest expense and amortization of offering costs
   
638,202
   
366,011
   
246,954
 
Custodian’s fees and expenses
   
24,647
   
16,123
   
8,082
 
Directors’/Trustees’ fees and expenses
   
3,790
   
2,387
   
663
 
Professional fees
   
20,238
   
17,801
   
14,828
 
Shareholders’ reports – printing and mailing expenses
   
42,162
   
33,161
   
20,285
 
Stock exchange listing fees
   
4,173
   
4,173
   
261
 
Investor relations expense
   
13,013
   
8,619
   
2,646
 
Reorganization expense
   
   
   
 
Other expenses
   
10,112
   
11,628
   
12,273
 
Total expenses before custodian fee credit and expense reimbursement
   
1,626,729
   
1,017,019
   
466,376
 
Custodian fee credit
   
(631
)
 
(306
)
 
(163
)
Expense reimbursement
   
   
   
 
Net expenses
   
1,626,098
   
1,016,713
   
466,213
 
Net investment income (loss)
   
4,868,709
   
3,165,990
   
668,531
 
Realized and Unrealized Gain (Loss)
                   
Net realized gain (loss) from investments
   
873,652
   
709,968
   
79,608
 
Change in net unrealized appreciation (depreciation) of investments
   
2,375,847
   
1,992,934
   
697,465
 
Net realized and unrealized gain (loss)
   
3,249,499
   
2,702,902
   
777,073
 
Net increase (decrease) in net assets applicable to Common shares from operations
 
$
8,118,208
 
$
5,868,892
 
$
1,445,604
 
 
See accompanying notes to financial statements.
 
Nuveen Investments
 
63
 
 
 

 
 
   
Statement of
 
   
Operations (continued)
 
     
Six Months Ended August 31, 2012
     
(Unaudited)

     
Ohio
Quality
Income
(NUO
)  
Ohio
Dividend
Advantage
(NXI
)  
Ohio
Dividend
Advantage 2
(NBJ
)  
Ohio
Dividend
Advantage 3
(NVJ
)
Investment Income
 
$
5,932,114
 
$
2,417,496
 
$
1,759,721
 
$
1,289,098
 
Expenses
                         
Management fees
   
762,660
   
315,193
   
233,371
   
167,973
 
Shareholders’ servicing agent fees and expenses
   
16,576
   
11,121
   
9,062
   
8,973
 
Interest expense and amortization of offering costs
   
523,020
   
501,912
   
392,734
   
313,848
 
Custodian’s fees and expenses
   
21,166
   
11,926
   
9,840
   
8,010
 
Directors’/Trustees’ fees and expenses
   
3,360
   
1,370
   
1,014
   
730
 
Professional fees
   
19,656
   
16,169
   
15,504
   
15,008
 
Shareholders’ reports – printing and mailing expenses
   
43,096
   
28,309
   
36,709
   
26,084
 
Stock exchange listing fees
   
4,179
   
7,815
   
202
   
140
 
Investor relations expense
   
12,121
   
5,241
   
3,988
   
3,127
 
Reorganization expense
   
200,000
   
245,000
   
160,000
   
65,000
 
Other expenses
   
13,376
   
20,088
   
6,769
   
13,091
 
Total expenses before custodian fee credit and expense reimbursement
   
1,619,210
   
1,164,144
   
869,193
   
621,984
 
Custodian fee credit
   
(1,508
)
 
(475
)
 
(646
)
 
(543
)
Expense reimbursement
   
   
   
   
(2,258
)
Net expenses
   
1,617,702
   
1,163,669
   
868,547
   
619,183
 
Net investment income (loss)
   
4,314,412
   
1,253,827
   
891,174
   
669,915
 
Realized and Unrealized Gain (Loss)
                         
Net realized gain (loss) from investments
   
429,197
   
147,781
   
19,134
   
25,556
 
Change in net unrealized appreciation (depreciation) of investments
   
2,452,055
   
1,466,051
   
934,661
   
797,107
 
Net realized and unrealized gain (loss)
   
2,881,252
   
1,613,832
   
953,795
   
822,663
 
Net increase (decrease) in net assets applicable to Common shares from operations
 
$
7,195,664
 
$
2,867,659
 
$
1,844,969
 
$
1,492,578
 
 
See accompanying notes to financial statements.
 
64
Nuveen Investments

 
 

 

   
Statement of
   
Changes in Net Assets (Unaudited)

     
Michigan
Quality Income (NUM)
   
Michigan
Premium Income (NMP)
   
Michigan
Dividend Advantage (NZW)
 
     
Six Months
Ended
8/31/12
   
Year Ended
2/29/12
   
Six Months
Ended
8/31/12
   
Year Ended
2/29/12
   
Six Months
Ended
8/31/12
   
Year Ended
2/29/12
 
Operations
                                     
Net investment income (loss)
 
$
4,868,709
 
$
10,340,526
 
$
3,165,990
 
$
6,722,654
 
$
668,531
 
$
1,407,353
 
Net realized gain (loss) from investments
   
873,652
   
449,974
   
709,968
   
255,959
   
79,608
   
125,358
 
Change in net unrealized appreciation (depreciation) of investments
   
2,375,847
   
19,743,434
   
1,992,934
   
10,670,879
   
697,465
   
3,697,158
 
Distributions to Auction Rate Preferred Shareholders from net investment income
   
   
(111,599
)
 
   
(74,304
)
 
   
 
Net increase (decrease) in net assets applicable to Common shares from operations
   
8,118,208
   
30,422,335
   
5,868,892
   
17,575,188
   
1,445,604
   
5,229,869
 
Distributions to Common Shareholders
                                     
From net investment income
   
(5,130,088
)
 
(9,984,065
)
 
(3,331,274
)
 
(6,502,830
)
 
(806,863
)
 
(1,650,681
)
Decrease in net assets applicable to Common shares from distributions to Common shareholders
   
(5,130,088
)
 
(9,984,065
)
 
(3,331,274
)
 
(6,502,830
)
 
(806,863
)
 
(1,650,681
)
Capital Share Transactions
                                     
Common shares:
                                     
Net proceeds from shares issued to shareholders due to reinvestment of distributions
   
   
   
   
   
   
 
Repurchased and retired
   
   
(44,268
)
 
   
   
   
 
Net increase (decrease) in net assets applicable to Common shares from capital share transactions
   
   
(44,268
)
 
   
   
   
 
Net increase (decrease) in net assets applicable to Common shares
   
2,988,120
   
20,394,002
   
2,537,618
   
11,072,358
   
638,741
   
3,579,188
 
Net assets applicable to Common shares at the beginning of period
   
184,269,645
   
163,875,643
   
117,154,999
   
106,082,641
   
31,288,827
   
27,709,639
 
Net assets applicable to Common shares at the end of period
 
$
187,257,765
 
$
184,269,645
 
$
119,692,617
 
$
117,154,999
 
$
31,927,568
 
$
31,288,827
 
Undistributed (Over-distribution of)net investment income at the end of period
 
$
3,075,553
 
$
3,336,932
 
$
1,858,914
 
$
2,024,198
 
$
140,165
 
$
278,497
 
 
See accompanying notes to financial statements.

Nuveen Investments
 
65

 
 

 

   
Statement of
   
Changes in Net Assets (Unaudited) (continued)

     
Ohio
Quality Income (NUO)
   
Ohio
Dividend Advantage (NXI)
   
Ohio
Dividend Advantage 2 (NBJ)
 
     
Six Months
Ended
8/31/12
   
Year Ended
2/29/12
   
Six Months
Ended
8/31/12
   
Year Ended
2/29/12
   
Six Months
Ended
8/31/12
   
Year Ended
2/29/12
 
Operations
                                     
Net investment income (loss)
 
$
4,314,412
 
$
9,636,918
 
$
1,253,827
 
$
3,204,971
 
$
891,174
 
$
2,351,697
 
Net realized gain (loss) from investments
   
429,197
   
292,727
   
147,781
   
109,129
   
19,134
   
40,580
 
Change in net unrealized appreciation (depreciation) of investments
   
2,452,055
   
16,197,758
   
1,466,051
   
7,168,857
   
934,661
   
5,041,870
 
Distributions to Auction Rate Preferred Shareholders from net investment income
   
   
(93,231
)
 
   
(5,183
)
 
   
(13,173
)
Net increase (decrease) in net assets applicable to Common shares from operations
   
7,195,664
   
26,034,172
   
2,867,659
   
10,477,774
   
1,844,969
   
7,420,974
 
Distributions to Common Shareholders
                                     
From net investment income
   
(4,691,465
)
 
(9,072,612
)
 
(1,815,597
)
 
(3,745,126
)
 
(1,311,409
)
 
(2,622,819
)
Decrease in net assets applicable to Common shares from distributions to Common shareholders
   
(4,691,465
)
 
(9,072,612
)
 
(1,815,597
)
 
(3,745,126
)
 
(1,311,409
)
 
(2,622,819
)
Capital Share Transactions
                                     
Common shares:
                                     
Net proceeds from shares issued to shareholders due to reinvestment of distributions
   
304,528
   
193,317
   
9,453
   
9,522
   
   
 
Repurchased and retired
   
   
   
   
   
   
 
Net increase (decrease) in net assets applicable to Common shares from capital share transactions
   
304,528
   
193,317
   
9,453
   
9,522
   
   
 
Net increase (decrease) in net assets applicable to Common shares
   
2,808,727
   
17,154,877
   
1,061,515
   
6,742,170
   
533,560
   
4,798,155
 
Net assets applicable to Common shares at the beginning of period
   
167,709,399
   
150,554,522
   
67,292,132
   
60,549,962
   
48,707,363
   
43,909,208
 
Net assets applicable to Common shares at the end of period
 
$
170,518,126
 
$
167,709,399
 
$
68,353,647
 
$
67,292,132
 
$
49,240,923
 
$
48,707,363
 
Undistributed (Over-distribution of)net investment income at the end of period
 
$
2,932,616
 
$
3,309,669
 
$
124,078
 
$
685,848
 
$
252,944
 
$
673,179
 
 
See accompanying notes to financial statements.
 
66
 
Nuveen Investments
 
 
 

 
 
   
  Ohio
Dividend Advantage 3 (NVJ)
 
     
Six Months
Ended
8/31/12
   
Year Ended
2/29/12
 
Operations
             
Net investment income (loss)
 
$
669,915
 
$
1,703,588
 
Net realized gain (loss) from investments
   
25,556
   
22,930
 
Change in net unrealized appreciation (depreciation) of investments
   
797,107
   
3,344,614
 
Distributions to Auction Rate Preferred Shareholders from net investment income
   
   
(12,346
)
Net increase (decrease) in net assets applicable to Common shares from operations
   
1,492,578
   
5,058,786
 
Distributions to Common Shareholders
             
From net investment income
   
(945,431
)
 
(1,955,351
)
Decrease in net assets applicable to Common shares from distributions to Common shareholders
   
(945,431
)
 
(1,955,351
)
Capital Share Transactions
             
Common shares:
             
Net proceeds from shares issued to shareholders due to reinvestment of distributions
   
1,290
   
3,834
 
Repurchased and retired
   
   
 
Net increase (decrease) in net assets applicable to Common shares from capital share transactions
   
1,290
   
3,834
 
Net increase (decrease) in net assets applicable to Common shares
   
548,437
   
3,107,269
 
Net assets applicable to Common shares at the beginning of period
   
34,075,244
   
30,967,975
 
Net assets applicable to Common shares at the end of period
 
$
34,623,681
 
$
34,075,244
 
Undistributed (Over-distribution of)net investment income at the end of period
 
$
248,189
 
$
523,705
 
 
See accompanying notes to financial statements.
 
Nuveen Investments
 
67

 
 

 

   
Statement of
 
   
Cash Flows
 
     
Six Months Ended August 31, 2012
     
(Unaudited)

     
Michigan
Quality
Income
(NUM
)  
Michigan
Premium
Income
(NMP
)  
Michigan
Dividend
Advantage
(NZW
)
Cash Flows from Operating Activities:
                   
Net Increase (Decrease) in Net Assets Applicable to Common Shares from Operations
 
$
8,118,208
 
$
5,868,892
 
$
1,445,604
 
Adjustments to reconcile the net increase (decrease) in net assets applicable to Common shares from operations to net cash provided by (used in) operating activities:
                   
Purchases of investments
   
(17,410,844
)
 
(10,547,639
)
 
(3,002,433
)
Proceeds from sales and maturities of investments
   
17,194,036
   
11,019,169
   
2,492,655
 
Amortization (Accretion) of premiums and discounts, net
   
(177,644
)
 
166,347
   
24,843
 
(Increase) Decrease in:
                   
Receivable for interest
   
(403
)
 
94,922
   
3,593
 
Receivable for investments sold
   
(260,696
)
 
(1,555,050
)
 
131,463
 
Deferred Directors’/Trustees’ compensation
   
(2,401
)
 
   
 
Other assets
   
(3,851
)
 
(3,705
)
 
(376
)
Increase (Decrease) in:
                   
Payable for interest
   
5,692
   
3,490
   
(1,040
)
Payable for investments purchased
   
(1,063,729
)
 
   
 
Accrued management fees
   
10,359
   
6,843
   
1,879
 
Accrued Directors’/Trustees’ fees
   
248
   
(1,068
)
 
(296
)
Accrued other expenses
   
(8,110
)
 
1,576
   
3,723
 
Net realized (gain) loss from investments
   
(873,652
)
 
(709,968
)
 
(79,608
)
Change in net unrealized (appreciation) depreciation of investments
   
(2,375,847
)
 
(1,992,934
)
 
(697,465
)
Taxes paid on undistributed capital gains
   
(341
)
 
(30
)
 
 
Net cash provided by (used in) operating activities
   
3,151,025
   
2,350,845
   
322,542
 
Cash Flows from Financing Activities:
                   
(Increase) Decrease in deferred offering costs
   
41,348
   
(36,440
)
 
57,375
 
Increase (Decrease) in:
                   
Cash overdraft balance
   
   
911,816
   
 
Payable for offering costs
   
(4,202
)
 
   
5,583
 
Cash distributions paid to Common shareholders
   
(5,126,391
)
 
(3,326,872
)
 
(812,889
)
Net cash provided by (used in) financing activities
   
(5,089,245
)
 
(2,451,496
)
 
(749,931
)
Net Increase (Decrease) in Cash
   
(1,938,220
)
 
(100,651
)
 
(427,389
)
Cash at the beginning of period
   
2,030,514
   
100,651
   
538,166
 
Cash at the End of Period
 
$
92,294
 
$
 
$
110,777
 
 
Supplemental Disclosure of Cash Flow Information
Non-cash financing activities not included herein consist of reinvestments of Common share distributions as follows:

     
Michigan
Quality
Income
(NUM
)  
Michigan
Premium
Income
(NMP
)  
Michigan
Dividend
Advantage
(NZW
)
   
$
 
$
 
$
 

Cash paid for interest (excluding amortization of offering costs) was as follows:

     
Michigan
Quality
Income
(NUM
)  
Michigan
Premium
Income
(NMP
)  
Michigan
Dividend
Advantage
(NZW
)
   
$
553,083
 
$
339,620
 
$
190,619
 
 
See accompanying notes to financial statements.
 
68
 
Nuveen Investments

 
 

 

     
Ohio
Quality
Income
(NUO
)  
Ohio
Dividend
Advantage
(NXI
)  
Ohio
Dividend
Advantage 2
(NBJ
)  
Ohio
Dividend
Advantage 3
(NVJ
)
Cash Flows from Operating Activities:
                         
Net Increase (Decrease) in Net Assets Applicable to Common Shares from Operations
 
$
7,195,664
 
$
2,867,659
 
$
1,844,969
 
$
1,492,578
 
Adjustments to reconcile the net increase (decrease) in net assets applicable to Common shares from operations to net cash provided by (used in) operating activities:
                         
Purchases of investments
   
(14,696,250
)
 
(8,132,660
)
 
(6,578,144
)
 
(4,830,821
)
Proceeds from sales and maturities of investments
   
13,594,000
   
8,847,230
   
6,754,500
   
5,332,000
 
Amortization (Accretion) of premiums and discounts, net
   
(102,731
)
 
(53,011
)
 
(34,227
)
 
(43,889
)
(Increase) Decrease in:
                         
Receivable for interest
   
132
   
6,174
   
37,160
   
12,647
 
Receivable for investments sold
   
618,845
   
(609,566
)
 
(6,753
)
 
(200,389
)
Deferred Directors’/Trustees’ compensation
   
   
   
   
 
Other assets
   
(3,694
)
 
(6,917
)
 
252
   
(551
)
Increase (Decrease) in:
                         
Payable for interest
   
4,760
   
(2,230
)
 
(1,586
)
 
(1,209
)
Payable for investments purchased
   
(162,434
)
 
(794,764
)
 
(162,434
)
 
(40,608
)
Accrued management fees
   
9,424
   
3,864
   
2,777
   
4,182
 
Accrued Directors’/Trustees’ fees
   
(1,495
)
 
(609
)
 
(451
)
 
(326
)
Accrued other expenses
   
194,978
   
246,344
   
163,907
   
71,125
 
Net realized (gain) loss from investments
   
(429,197
)
 
(147,781
)
 
(19,134
)
 
(25,556
)
Change in net unrealized (appreciation) depreciation of investments
   
(2,452,055
)
 
(1,466,051
)
 
(934,661
)
 
(797,107
)
Taxes paid on undistributed capital gains
   
(14,402
)
 
(3,559
)
 
(704
)
 
(2,821
)
Net cash provided by (used in) operating activities
   
3,755,545
   
754,123
   
1,065,471
   
969,255
 
Cash Flows from Financing Activities:
                         
(Increase) Decrease in deferred offering costs
   
27,387
   
103,723
   
109,458
   
98,036
 
Increase (Decrease) in:
                         
Cash overdraft balance
   
   
   
   
 
Payable for offering costs
   
(8,381
)
 
2,320
   
3,871
   
36,133
 
Cash distributions paid to Common shareholders
   
(4,385,220
)
 
(1,824,621
)
 
(1,311,710
)
 
(954,417
)
Net cash provided by (used in) financing activities
   
(4,366,214
)
 
(1,718,578
)
 
(1,198,381
)
 
(820,248
)
Net Increase (Decrease) in Cash
   
(610,669
)
 
(964,455
)
 
(132,910
)
 
149,007
 
Cash at the beginning of period
   
1,711,251
   
1,573,455
   
821,256
   
305,306
 
Cash at the End of Period
 
$
1,100,582
 
$
609,000
 
$
688,346
 
$
454,313
 

Supplemental Disclosure of Cash Flow Information
Non-cash financing activities not included herein consist of reinvestments of Common share distributions as follows:

     
Ohio
Quality
Income
(NUO
)  
Ohio
Dividend
Advantage
(NXI
)  
Ohio
Dividend
Advantage 2
(NBJ
)  
Ohio
Dividend
Advantage 3
(NVJ
)
   
$
304,528
 
$
9,453
 
$
 
$
1,290
 

Cash paid for interest (excluding amortization of offering costs) was as follows:

     
Ohio
Quality
Income
(NUO
)  
Ohio
Dividend
Advantage
(NXI
)  
Ohio
Dividend
Advantage 2
(NBJ
)  
Ohio
Dividend
Advantage 3
(NVJ
)
   
$
448,711
 
$
400,419
 
$
284,862
 
$
217,021
 
 
 
See accompanying notes to financial statements.
 
Nuveen Investments
 
69

 
 

 


   
Financial
   
Highlights (Unaudited)
     
 
Selected data for a Common share outstanding throughout each period:

       
Investment Operations
 
Less Distributions
             
   
Beginning Common Share Net Asset Value
 
Net Investment Income (Loss)
 
Net Realized/ Unrealized Gain (Loss)
 
Distributions from Net Investment Income to Auction Rate Preferred Shareholders
(a)
Distributions from Capital Gains to Auction Rate Preferred Shareholders
(a)
Total
 
Net Investment Income to Common Share- holders
 
Capital Gains to Common Shareholders
 
Total
 
Discount from Common Shares Repurchased and Retired
 
Ending Common Share Net Asset Value
 
Ending Market Value
 
Michigan Quality Income (NUM)
                                                 
Year Ended 2/28–2/29:
                                                           
2013(g)
 
$
15.95
 
$
.42
 
$
.28
 
$
 
$
 
$
.70
 
$
(.44
)
$
 
$
(.44
)
$
 
$
16.21
 
$
15.55
 
2012
   
14.18
   
.89
   
1.75
   
(.01
)
 
   
2.63
   
(.86
)
 
   
(.86
)
 
**   
15.95
   
15.40
 
2011
   
14.79
   
.94
   
(.69
)
 
(.03
)
 
   
.22
   
(.83
)
 
   
(.83
)
 
**   
14.18
   
12.75
 
2010
   
13.55
   
.93
   
1.06
   
(.04
)
 
   
1.95
   
(.73
)
 
   
(.73
)
 
.02
   
14.79
   
12.94
 
2009(f)
   
14.13
   
.54
   
(.60
)
 
(.13
)
 
   
(.19
)
 
(.39
)
 
   
(.39
)
 
   
13.55
   
10.61
 
Year Ended 7/31:
                                                                         
2008
   
14.96
   
.93
   
(.71
)
 
(.24
)
 
(.04
)
 
(.06
)
 
(.67
)
 
(.10
)
 
(.77
)
 
   
14.13
   
12.32
 
2007
   
15.17
   
.94
   
(.10
)
 
(.25
)
 
(.02
)
 
.57
   
(.71
)
 
(.07
)
 
(.78
)
 
   
14.96
   
14.16
 
                                                 
Michigan Premium Income (NMP)
                                               
Year Ended 2/28–2/29:
                                                           
2013(g)
   
15.40
   
.42
   
.36
   
   
   
.78
   
(.44
)
 
   
(.44
)
 
   
15.74
   
15.05
 
2012
   
13.95
   
.88
   
1.44
   
(.01
)
 
   
2.31
   
(.86
)
 
   
(.86
)
 
   
15.40
   
14.95
 
2011
   
14.40
   
.92
   
(.52
)
 
(.03
)
 
   
.37
   
(.82
)
 
   
(.82
)
 
**   
13.95
   
12.66
 
2010
   
13.26
   
.90
   
.97
   
(.04
)
 
   
1.83
   
(.71
)
 
   
(.71
)
 
.02
   
14.40
   
12.50
 
2009(f)
   
13.87
   
.52
   
(.63
)
 
(.12
)
 
   
(.23
)
 
(.38
)
 
   
(.38
)
 
**   
13.26
   
10.44
 
Year Ended 7/31:
                                                                 
2008
   
14.65
   
.89
   
(.69
)
 
(.23
)
 
(.02
)
 
(.05
)
 
(.66
)
 
(.07
)
 
(.73
)
 
   
13.87
   
12.38
 
2007
   
14.92
   
.90
   
(.12
)
 
(.23
)
 
(.02
)
 
.53
   
(.71
)
 
(.09
)
 
(.80
)
 
   
14.65
   
13.80
 
 
(a)
The amounts shown are based on Common share equivalents.
(b)
Total Return Based on Market Value is the combination of changes in the market price per share and the effect of reinvested dividend income and reinvested capital gains distributions, if any, at the average price paid per share at the time of reinvestment. The last dividend declared in the period, which is typically paid on the first business day of the following month, is assumed to be reinvested at the ending market price. The actual reinvestment for the last dividend declared in the period may take place over several days, and in some instances may not be based on the market price, so the actual reinvestment price may be different from the price used in the calculation. Total returns are not annualized.
 
Total Return Based on Common Share Net Asset Value is the combination of changes in Common share net asset value, reinvested dividend income at net asset value and reinvested capital gains distributions at net asset value, if any. The last dividend declared in the period, which is typically paid on the first business day of the following month, is assumed to be reinvested at the ending net asset value. The actual reinvest price for the last dividend declared in the period may often be based on the Fund’s market price (and not its net asset value), and therefore may be different from the price used in the calculation. Total returns are not annualized.
 
70
 
Nuveen Investments

 
 

 

       
Ratios/Supplemental Data
 
 
Total Returns
         
Ratios to Average Net Assets
Applicable to Common Shares(c)(d)
       
                                   
 
Based
on
Market
Value
(b)
 
Based
on
Common
Share Net
Asset
Value
(b)
 
Ending
Net
Assets
Applicable
to Common
Shares (000)
   
Expenses
(e)
 
Net
Investment
Income
(Loss)
   
Portfolio
Turnover
Rate
 
                                   
                                   
 
3.89
%
 
4.48
%
$
187,258
   
1.75
%*
 
5.23
%*
 
6
%
 
28.44
   
19.11
   
184,270
   
1.56
   
5.97
   
14
 
 
4.69
   
1.39
   
163,876
   
1.18
   
6.37
   
6
 
 
29.40
   
14.83
   
170,983
   
1.24
   
6.50
   
9
 
 
(10.68
)
 
(1.27
)
 
158,717
   
1.33
 
6.93
 
3
 
 
(7.77
)
 
(.43
)
 
165,525
   
1.29
   
6.28
   
18
 
 
3.64
   
3.77
   
175,244
   
1.26
   
6.12
   
13
 
                                   
                                   
 
3.65
   
5.12
   
119,693
   
1.71
 
5.33
 
6
 
 
25.65
   
17.00
   
117,155
   
1.50
   
6.05
   
18
 
 
7.72
   
2.55
   
106,083
   
1.20
   
6.42
   
4
 
 
27.06
   
14.22
   
109,619
   
1.25
   
6.51
   
12
 
 
(12.57
)
 
(1.62
)
 
102,434
   
1.32
 
6.83
 
3
 
 
(5.09
)
 
(.36
)
 
107,488
   
1.38
   
6.16
   
20
 
 
2.16
   
3.59
   
113,558
   
1.38
   
5.97
   
15
 

(c)
Ratios do not reflect the effect of dividend payments to Auction Rate Preferred shareholders, where applicable; Net Investment Income (Loss) ratios reflect income earned and expenses incurred on assets attributable to Auction Rate Preferred Shares (“ARPS”) and/or VMTP Shares, where applicable.
(d)
Ratios do not reflect the effect of custodian fee credits earned on the Fund’s net cash on deposit with the custodian bank, where applicable.
(e)
The expense ratios reflect, among other things, all interest expense and other costs related to VMTP Shares and/or the interest expense deemed to have been paid by the Fund on the floating rate certificates issued by the special purpose trusts for the self-deposited inverse floaters held by the Fund, where applicable, both as described in Footnote 1 – General Information and Significant Accounting Policies, Variable Rate MuniFund Term Preferred Shares and Inverse Floating Rate Securities, respectively, as follows:

Michigan Quality Income (NUM)
       
Year Ended 2/28–2/29:
       
2013(g)
   
.69
%*
2012
   
.46
 
2011
   
.02
 
2010
   
.02
 
2009(f)
   
 
Year Ended 7/31:
       
2008
   
.04
 
2007
   
.04
 
         
Michigan Premium Income (NMP)
       
Year Ended 2/28–2/29:
       
2013(g)
   
.62
2012
   
.38
 
2011
   
.02
 
2010
   
.02
 
2009(f)
   
 
Year Ended 7/31:
       
2008
   
.15
 
2007
   
.16
 

(f)
For the seven months ended February 28, 2009.
(g)
For the six months ended August 31, 2012.
*
Annualized.
**
Rounds to less than $.01 per share.
 
See accompanying notes to financial statements.
 
Nuveen Investments
 
71

 
 

 

   
Financial
   
Highlights (Unaudited) (continued)
     
 
Selected data for a Common share outstanding throughout each period:

       
Investment Operations
 
Less Distributions
             
   
Beginning
Common
Share
Net Asset
Value
 
Net
Investment
Income
(Loss)
 
Net
Realized/
Unrealized
Gain (Loss)
 
Distributions from Net Investment Income to Auction Rate Preferred Shareholders
(a)
Distributions from Capital Gains to Auction Rate Preferred Shareholders
(a)
Total
 
Net Investment Income to Common Shareholders
 
Capital
Gains to Common Shareholders
 
Total
 
Discount
from
Common Shares Repurchased and Retired
 
Ending Common Share Net Asset
Value
 
Ending Market
Value
 
Michigan Dividend Advantage (NZW)
                                                     
Year Ended 2/28–2/29:
                                                           
2013(h)
 
$
15.24
 
$
.33
 
$
.37
 
$
 
$
 
$
.70
 
$
(.39
)
$
 
$
(.39
)
$
 
$
15.55
 
$
14.63
 
2012
   
13.50
   
.69
   
1.85
   
   
   
2.54
   
(.80
)
 
   
(.80
)
 
   
15.24
   
14.31
 
2011
   
14.18
   
.84
   
(.70
)
 
(.02
)
 
   
.12
   
(.80
)
 
   
(.80
)
 
**   
13.50
   
12.13
 
2010
   
12.69
   
.91
   
1.32
   
(.03
)
 
   
2.20
   
(.72
)
 
   
(.72
)
 
.01
   
14.18
   
12.43
 
2009(g)
   
13.68
   
.54
   
(1.00
)
 
(.13
)
 
**   
(.59
)
 
(.39
)
 
(.01
)
 
(.40
)
 
   
12.69
   
10.77
 
Year Ended 7/31:
                                                                 
2008
   
14.73
   
.94
   
(.95
)
 
(.24
)
 
(.02
)
 
(.27
)
 
(.71
)
 
(.07
)
 
(.78
)
 
   
13.68
   
13.10
 
2007
   
14.94
   
.95
   
(.14
)
 
(.24
)
 
**   
.57
   
(.77
)
 
(.01
)
 
(.78
)
 
   
14.73
   
15.10
 
 
(a)
The amounts shown are based on Common share equivalents.
(b)
Total Return Based on Market Value is the combination of changes in the market price per share and the effect of reinvested dividend income and reinvested capital gains distributions, if any, at the average price paid per share at the time of reinvestment. The last dividend declared in the period, which is typically paid on the first business day of the following month, is assumed to be reinvested at the ending market price. The actual reinvestment for the last dividend declared in the period may take place over several days, and in some instances may not be based on the market price, so the actual reinvestment price may be different from the price used in the calculation. Total returns are not annualized.
 
Total Return Based on Common Share Net Asset Value is the combination of changes in Common share net asset value, reinvested dividend income at net asset value and reinvested capital gains distributions at net asset value, if any. The last dividend declared in the period, which is typically paid on the first business day of the following month, is assumed to be reinvested at the ending net asset value. The actual reinvest price for the last dividend declared in the period may often be based on the Fund’s market price (and not its net asset value), and therefore may be different from the price used in the calculation. Total returns are not annualized.
 
72
 
Nuveen Investments

 
 

 

     
Ratios/Supplemental Data
 
 
Total Returns
     
Ratios to Average Net Assets
Applicable to Common Shares
Before Reimbursement(c)(d)
 
Ratios to Average Net Assets
Applicable to Common Shares
After Reimbursement(c)(d)(e)
     
 
Based
on
Market
Value
(b)
Based
on
Common
Share Net
Asset
Value
(b)
Ending
Net
Assets
Applicable
to Common
Shares (000)
 
Expenses
(f)
Net
Investment
Income
(Loss)
 
Expenses
(f)
Net
Investment
Income
(Loss)
 
Portfolio
Turnover
Rate
 
                                                 
                                                 
   
5.05
%
 
4.68
%
$
31,928
   
2.95
%*
 
4.23
%*
 
N/A
   
N/A
   
5
%
   
25.34
   
19.38
   
31,289
   
3.07
   
4.75
   
3.02
%
 
4.79
%
 
28
 
   
3.72
   
.70
   
27,710
   
1.81
   
5.85
   
1.69
   
5.97
   
6
 
   
22.58
   
17.70
   
29,127
   
1.35
   
6.48
   
1.15
   
6.68
   
6
 
   
(14.48
)
 
(4.20
)
 
26,236
   
1.48
 
7.03
 
1.22
 
7.29
 
4
 
   
(8.10
)
 
(1.95
)
 
28,285
   
1.39
   
6.23
   
1.07
   
6.55
   
18
 
   
.46
   
3.79
   
30,439
   
1.38
   
5.89
   
.99
   
6.28
   
19
 
 
(c)
Ratios do not reflect the effect of dividend payments to Auction Rate Preferred shareholders, where applicable; Net Investment Income (Loss) ratios reflect income earned and expenses incurred on assets attributable to ARPS and/or MTP Shares, where applicable.
(d)
Ratios do not reflect the effect of custodian fee credits earned on the Fund’s net cash on deposit with the custodian bank, where applicable.
(e)
After expense reimbursement from the Adviser, where applicable. As of September 30, 2011, the Adviser is no longer reimbursing Michigan Dividend Advantage (NZW) for any fees and expenses.
(f)
The expense ratios reflect, among other things, all interest expense and other costs related to MTP Shares and/or the interest expense deemed to have been paid by the Fund on the floating rate certificates issued by the special purpose trusts for the self-deposited inverse floaters held by the Fund, where applicable, both as described in Footnote 1 – General Information and Significant Accounting Policies, MuniFund Term Preferred Shares and Inverse Floating Rate Securities, respectively, as follows:
 
Michigan Dividend Advantage (NZW)
       
Year Ended 2/28–2/29:
       
2013(h)
   
1.56
%*
2012
   
1.69
 
2011
   
.52
 
2010
   
.02
 
2009(g)
   
 
Year Ended 7/31:
       
2008
   
.05
 
2007
   
.03
 
 
(g)
For the seven months ended February 28, 2009.
(h)
For the six months ended August 31, 2012.
*
Annualized.
**
Rounds to less than $.01 per share.
N/A
Fund no longer has a contractual reimbursement agreement with the Adviser.
 
See accompanying notes to financial statements.
 
Nuveen Investments
 
73

 
 

 

   
Financial
   
Highlights (Unaudited) (continued)
     
 
Selected data for a Common share outstanding throughout each period:

       
Investment Operations
 
Less Distributions
             
   
Beginning Common Share Net Asset Value
 
Net Investment Income (Loss)
 
Net Realized/ Unrealized Gain (Loss)
 
Distributions from Net Investment Income to Auction Rate Preferred Shareholders
(a)
Distributions from Capital Gains to Auction Rate Preferred Shareholders
(a)
Total
 
Net Investment Income to Common Shareholders
 
Capital Gains to Common Shareholders
 
Total
 
Discount from Common Shares Repurchased and Retired
 
Ending Common Share Net Asset Value
 
Ending Market Value
 
Ohio Quality Income (NUO)
                                                     
Year Ended 2/28–2/29:
                                                           
2013(h)
 
$
17.17
 
$
.44
 
$
.30
 
$
 
$
 
$
.74
 
$
(.48
)
$
 
$
(.48
)
$
 
$
17.43
 
$
18.61
 
2012
   
15.44
   
.99
   
1.68
   
(.01
)
 
   
2.66
   
(.93
)
 
   
(.93
)
 
   
17.17
   
16.88
 
2011
   
16.15
   
1.01
   
(.79
)
 
(.03
)
 
   
.19
   
(.90
)
 
   
(.90
)
 
   
15.44
   
14.85
 
2010
   
14.56
   
1.01
   
1.42
   
(.04
)
 
   
2.39
   
(.80
)
 
   
(.80
)
 
   
16.15
   
15.58
 
2009(g)
   
15.04
   
.56
   
(.52
)
 
(.13
)
 
   
(.09
)
 
(.39
)
 
   
(.39
)
 
   
14.56
   
12.90
 
Year Ended 7/31:
                                                                         
2008
   
15.81
   
.95
   
(.71
)
 
(.25
)
 
(.02
)
 
(.03
)
 
(.67
)
 
(.07
)
 
(.74
)
 
   
15.04
   
13.40
 
2007
   
16.01
   
.96
   
(.12
)
 
(.26
)
 
(.01
)
 
.57
   
(.73
)
 
(.04
)
 
(.77
)
 
   
15.81
   
14.43
 
                                                       
Ohio Dividend Advantage (NXI)
                                                     
Year Ended 2/28–2/29:
                                                           
2013(h)
   
15.85
   
.30
   
.37
   
   
   
.67
   
(.43
)
 
   
(.43
)
 
   
16.09
   
16.34
 
2012
   
14.26
   
.75
   
1.72
   
**   
   
2.47
   
(.88
)
 
   
(.88
)
 
   
15.85
   
15.52
 
2011
   
15.15
   
.94
   
(.93
)
 
(.03
)
 
   
(.02
)
 
(.87
)
 
   
(.87
)
 
   
14.26
   
13.30
 
2010
   
13.83
   
.96
   
1.17
   
(.04
)
 
   
2.09
   
(.77
)
 
   
(.77
)
 
**   
15.15
   
14.48
 
2009(g)
   
14.25
   
.54
   
(.46
)
 
(.12
)
 
   
(.04
)
 
(.38
)
 
   
(.38
)
 
   
13.83
   
12.10
 
Year Ended 7/31:
                                                                         
2008
   
14.87
   
.93
   
(.55
)
 
(.23
)
 
(.03
)
 
.12
   
(.65
)
 
(.09
)
 
(.74
)
 
   
14.25
   
12.77
 
2007
   
15.02
   
.94
   
(.09
)
 
(.24
)
 
(.01
)
 
.60
   
(.72
)
 
(.03
)
 
(.75
)
 
   
14.87
   
14.39
 
 
(a)
The amounts shown are based on Common share equivalents.
(b)
Total Return Based on Market Value is the combination of changes in the market price per share and the effect of reinvested dividend income and reinvested capital gains distributions, if any, at the average price paid per share at the time of reinvestment. The last dividend declared in the period, which is typically paid on the first business day of the following month, is assumed to be reinvested at the ending market price. The actual reinvestment for the last dividend declared in the period may take place over several days, and in some instances may not be based on the market price, so the actual reinvestment price may be different from the price used in the calculation. Total returns are not annualized.
 
Total Return Based on Common Share Net Asset Value is the combination of changes in Common share net asset value, reinvested dividend income at net asset value and reinvested capital gains distributions at net asset value, if any. The last dividend declared in the period, which is typically paid on the first business day of the following month, is assumed to be reinvested at the ending net asset value. The actual reinvest price for the last dividend declared in the period may often be based on the Fund’s market price (and not its net asset value), and therefore may be different from the price used in the calculation. Total returns are not annualized.
 
74
 
Nuveen Investments

 
 

 
 
     
Ratios/Supplemental Data
 
 
Total Returns
     
Ratios to Average Net Assets
Applicable to Common Shares
Before Reimbursement(c)(d)
 
Ratios to Average Net Assets
Applicable to Common Shares
After Reimbursement(c)(d)(e)
     
 
Based
on
Market
Value
(b)
Based
on
Common
Share Net
Asset
Value
(b)
Ending
Net
Assets
Applicable
to Common
Shares (000)
 
Expenses
(f)
Net
Investment
Income
(Loss)
 
Expenses
(f)
Net
Investment
Income
(Loss)
 
Portfolio
Turnover
Rate
 
                                                 
                                                 
   
13.32
%
 
4.37
%
$
170,518
   
1.79
%*
 
5.21
%*
 
N/A
   
N/A
   
6
%
   
20.55
   
17.73
   
167,709
   
1.50
   
6.10
   
N/A
   
N/A
   
10
 
   
.91
   
1.09
   
150,555
   
1.14
   
6.32
   
N/A
   
N/A
   
14
 
   
27.57
   
16.76
   
157,439
   
1.20
   
6.51
   
N/A
   
N/A
   
6
 
   
(0.71
)
 
(0.49
)
 
141,883
   
1.35
 
6.77
 
N/A
   
N/A
   
10
 
   
(2.18
)
 
(.26
)
 
146,617
   
1.42
   
6.08
   
N/A
   
N/A
   
14
 
   
(4.25
)
 
3.56
   
154,052
   
1.29
   
5.94
   
N/A
   
N/A
   
15
 
                                                 
                                                 
   
8.17
   
4.27
   
68,354
   
3.07
 
4.05
 
N/A
   
N/A
   
8
 
   
24.11
   
17.88
   
67,292
   
2.74
   
5.05
   
2.73
%
 
5.06
%
 
16
 
   
(2.52
)
 
(.23
)
 
60,550
   
1.41
   
6.18
   
1.33
   
6.26
   
14
 
   
26.70
   
15.46
   
64,290
   
1.21
   
6.47
   
1.06
   
6.62
   
7
 
   
(2.08
)
 
(0.15
)
 
58,692
   
1.35
 
6.64
 
1.12
 
6.87
 
10
 
   
(6.21
)
 
.83
   
60,475
   
1.39
   
6.06
   
1.12
   
6.33
   
17
 
   
.52
   
4.02
   
63,114
   
1.32
   
5.85
   
.97
   
6.20
   
14
 
 
(c)
Ratios do not reflect the effect of dividend payments to Auction Rate Preferred shareholders, where applicable; Net Investment Income (Loss) ratios reflect income earned and expenses incurred on assets attributable to ARPS, MTP Shares and/or VMTP Shares, where applicable.
(d)
Ratios do not reflect the effect of custodian fee credits earned on the Fund’s net cash on deposit with the custodian bank, where applicable.
(e)
After expense reimbursement from the Adviser, where applicable. As of March 31, 2011, the Adviser is no longer reimbursing Ohio Dividend Advantage (NXI) for any fees and expenses.
(f)
The expense ratios reflect, among other things, all interest expense and other costs related to MTP Shares, VMTP Shares and/or the interest expense deemed to have been paid by the Fund on the floating rate certificates issued by the special purpose trusts for the self-deposited inverse floaters held by the Fund, where applicable, each as described in Footnote 1 – General Information and Significant Accounting Policies, MuniFund Term Preferred Shares, Variable Rate MuniFund Term Preferred Shares and Inverse Floating Rate Securities, respectively, as follows:
 
Ohio Quality Income (NUO)
       
Year Ended 2/28–2/29:
       
2013(h)
   
.62
%*
2012
   
.40
 
2011
   
 
2010
   
 
2009(g)
   
.04
Year Ended 7/31:
   
 
2008
   
.16
 
2007
   
.10
 
         
Ohio Dividend Advantage (NXI)
       
Year Ended 2/28–2/29:
       
2013(h)
   
1.48
2012
   
1.56
 
2011
   
.24
 
2010
   
 
2009(g)
   
.04
Year Ended 7/31:
       
2008
   
.15
 
2007
   
.10
 
 
(g)
For the seven months ended February 28, 2009.
(h)
For the six months ended August 31, 2012.
*
Annualized.
**
Rounds to less than $.01 per share.
N/A
Fund did not have, or no longer has, a contractual reimbursement agreement with the Adviser.
 
See accompanying notes to financial statements.
 
Nuveen Investments
 
75

 
 

 

   
Financial
   
Highlights (Unaudited) (continued)
     
 
Selected data for a Common share outstanding throughout each period:

       
Investment Operations
 
Less Distributions
             
   
Beginning Common Share Net Asset Value
 
Net Investment Income (Loss)
 
Net Realized/ Unrealized Gain (Loss)
 
Distributions from Net Investment Income to Auction Rate Preferred Shareholders
(a)
Distributions from Capital Gains to Auction Rate Preferred Shareholders
(a)
Total
 
Net Investment Income to Common Shareholders
 
Capital Gains to Common Shareholders
 
Total
 
Discount from Common Shares Repurchased and Retired
 
Ending Common Share Net Asset Value
 
Ending Market Value
 
Ohio Dividend Advantage 2 (NBJ)
                                                             
Year Ended 2/28–2/29:
                                                                         
2013(h)
 
$
15.60
 
$
.29
 
$
.30
 
$
 
$
 
$
.59
 
$
(.42
)
$
 
$
(.42
)
$
 
$
15.77
 
$
16.01
 
2012
   
14.06
   
.75
   
1.63
   
**   
   
2.38
   
(.84
)
 
   
(.84
)
 
   
15.60
   
14.95
 
2011
   
14.74
   
.94
   
(.75
)
 
(.03
)
 
   
.16
   
(.84
)
 
   
(.84
)
 
   
14.06
   
13.01
 
2010
   
13.06
   
.93
   
1.53
   
(.04
)
 
   
2.42
   
(.74
)
 
   
(.74
)
 
   
14.74
   
13.85
 
2009(g)
   
13.87
   
.54
   
(.84
)
 
(.13
)
 
   
(.43
)
 
(.38
)
 
   
(.38
)
 
   
13.06
   
11.58
 
Year Ended 7/31:
                                                                         
2008
   
14.64
   
.93
   
(.73
)
 
(.25
)
 
(.02
)
 
(.07
)
 
(.64
)
 
(.06
)
 
(.70
)
 
   
13.87
   
12.37
 
2007
   
14.81
   
.92
   
(.10
)
 
(.25
)
 
(.01
)
 
.56
   
(.69
)
 
(.04
)
 
(.73
)
 
   
14.64
   
13.80
 
                                                               
Ohio Dividend Advantage 3 (NVJ)
                                                             
Year Ended 2/28–2/29:
                                                                         
2013(h)
   
15.79
   
.31
   
.38
   
   
   
.69
   
(.44
)
 
   
(.44
)
 
   
16.04
   
16.35
 
2012
   
14.35
   
.79
   
1.57
   
(.01
)
 
   
2.35
   
(.91
)
 
   
(.91
)
 
   
15.79
   
16.20
 
2011
   
15.33
   
1.01
   
(1.06
)
 
(.03
)
 
   
(.08
)
 
(.90
)
 
   
(.90
)
 
   
14.35
   
13.72
 
2010
   
13.97
   
1.00
   
1.19
   
(.04
)
 
   
2.15
   
(.79
)
 
   
(.79
)
 
**   
15.33
   
15.20
 
2009(g)
   
14.33
   
.55
   
(.39
)
 
(.12
)
 
   
.04
   
(.40
)
 
   
(.40
)
 
   
13.97
   
11.95
 
Year Ended 7/31:
                                                                         
2008
   
14.92
   
.95
   
(.56
)
 
(.23
)
 
(.02
)
 
.14
   
(.67
)
 
(.06
)
 
(.73
)
 
   
14.33
   
12.91
 
2007
   
15.06
   
.96
   
(.08
)
 
(.25
)
 
(.01
)
 
.62
   
(.72
)
 
(.04
)
 
(.76
)
 
   
14.92
   
14.35
 
 
(a)
The amounts shown are based on Common share equivalents.
(b)
Total Return Based on Market Value is the combination of changes in the market price per share and the effect of reinvested dividend income and reinvested capital gains distributions, if any, at the average price paid per share at the time of reinvestment. The last dividend declared in the period, which is typically paid on the first business day of the following month, is assumed to be reinvested at the ending market price. The actual reinvestment for the last dividend declared in the period may take place over several days, and in some instances may not be based on the market price, so the actual reinvestment price may be different from the price used in the calculation. Total returns are not annualized.
 
Total Return Based on Common Share Net Asset Value is the combination of changes in Common share net asset value, reinvested dividend income at net asset value and reinvested capital gains distributions at net asset value, if any. The last dividend declared in the period, which is typically paid on the first business day of the following month, is assumed to be reinvested at the ending net asset value. The actual reinvest price for the last dividend declared in the period may often be based on the Fund’s market price (and not its net asset value), and therefore may be different from the price used in the calculation. Total returns are not annualized.
 
76
 
Nuveen Investments

 
 

 
 
     
Ratios/Supplemental Data
 
 
Total Returns
     
Ratios to Average Net Assets
Applicable to Common Shares
Before Reimbursement(c)(d)
 
Ratios to Average Net Assets
Applicable to Common Shares
After Reimbursement(c)(d)(e)
     
 
Based
on
Market
Value
(b)
Based
on
Common
Share Net
Asset
Value
(b)
Ending
Net
Assets
Applicable
to Common
Shares (000)
 
Expenses
(f)
Net
Investment
Income
(Loss)
 
Expenses
(f)
Net
Investment
Income
(Loss)
 
Portfolio
Turnover
Rate
 
                                                 
                                                 
   
10.04
%
 
3.84
%
$
49,241
   
3.22
%*
 
3.95
%*
 
N/A
   
N/A
   
9
%
   
22.12
   
17.44
   
48,707
   
2.78
   
5.08
   
2.74
%
 
5.13
%
 
17
 
   
(.37
)
 
1.00
   
43,909
   
1.22
   
6.31
   
1.10
   
6.43
   
9
 
   
26.62
   
18.91
   
46,000
   
1.27
   
6.49
   
1.07
   
6.69
   
8
 
   
(3.09
)
 
(3.01
)
 
40,755
   
1.46
 
6.91
 
1.20
 
7.17
 
5
 
   
(5.46
)
 
(.51
)
 
43,286
   
1.46
   
6.10
   
1.14
   
6.41
   
16
 
   
(1.26
)
 
3.80
   
45,694
   
1.41
   
5.76
   
1.02
   
6.15
   
14
 
                                                 
                                                 
   
3.78
   
4.43
   
34,624
   
3.43
 
4.07
 
3.42
 
4.08
 
10
 
   
25.66
   
16.88
   
34,075
   
3.04
   
5.20
   
2.95
   
5.29
   
15
 
   
(4.13
)
 
(.66
)
 
30,968
   
1.26
   
6.53
   
1.10
   
6.69
   
12
 
   
34.62
   
15.73
   
33,062
   
1.30
   
6.56
   
1.07
   
6.80
   
14
 
   
(4.29
)
 
.36
   
30,127
   
1.46
 
6.63
 
1.15
 
6.93
 
9
 
   
(5.13
)
 
.95
   
30,941
   
1.47
   
6.05
   
1.12
   
6.41
   
19
 
   
2.32
   
4.06
   
32,194
   
1.41
   
5.85
   
.99
   
6.27
   
19
 
 
(c)
Ratios do not reflect the effect of dividend payments to Auction Rate Preferred shareholders, where applicable; Net Investment Income (Loss) ratios reflect income earned and expenses incurred on assets attributable to ARPS and/or MTP Shares, where applicable.
(d)
Ratios do not reflect the effect of custodian fee credits earned on the Fund’s net cash on deposit with the custodian bank, where applicable.
(e)
After expense reimbursement from the Adviser, where applicable. As of September 30, 2011 and March 31, 2012, the Adviser is no longer reimbursing Ohio Dividend Advantage 2 (NBJ) and Ohio Dividend Advantage 3 (NVJ), respectively, for any fees and expenses.
(f)
The expense ratios reflect, among other things, all interest expense and other costs related to MTP Shares and/or the interest expense deemed to have been paid by the Fund on the floating rate certificates issued by the special purpose trusts for the self-deposited inverse floaters held by the Fund, where applicable, both as described in Footnote 1 – General Information and Significant Accounting Policies, MuniFund Term Preferred Shares and Inverse Floating Rate Securities, respectively, as follows:
 
Ohio Dividend Advantage 2 (NBJ)
       
Year Ended 2/28–2/29:
       
2013(h)
   
1.60
%*
2012
   
1.55
 
2011
   
 
2010
   
 
2009(g)
   
.04
Year Ended 7/31:
       
2008
   
.16
 
2007
   
.10
 
         
Ohio Dividend Advantage 3 (NVJ)
       
Year Ended 2/28–2/29:
       
2013(h)
   
1.83
%*
2012
   
1.69
 
2011
   
 
2010
   
 
2009(g)
   
.04
Year Ended 7/31:
       
2008
   
.15
 
2007
   
.10
 
 
(g)
For the seven months ended February 28, 2009.
(h)
For the six months ended August 31, 2012.
*
Annualized.
**
Rounds to less than $.01 per share.
N/A
Fund no longer has a contractual reimbursement agreement with the Adviser.
 
See accompanying notes to financial statements.
 
Nuveen Investments
 
77

 
 

 

   
Financial
   
Highlights (Unaudited) (continued)

     
ARPS at the End of Period
   
VMTP Shares at the End of Period
 
     
Aggregate
               
Aggregate
             
     
Amount
   
Liquidation
   
Asset
   
Amount
   
Liquidation
   
Asset
 
     
Outstanding
   
Value
   
Coverage
   
Outstanding
   
Value
   
Coverage
 
     
(000
)
 
Per Share
   
Per Share
   
(000
)
 
Per Share
   
Per Share
 
Michigan Quality Income (NUM)
                             
Year Ended 2/28–2/29:
                               
2013(b)
 
$
 
$
 
$
 
$
87,900
 
$
100,000
 
$
313,035
 
2012
   
   
   
   
87,900
   
100,000
   
309,636
 
2011
   
87,325
   
25,000
   
71,915
   
   
   
 
2010
   
87,325
   
25,000
   
73,950
   
   
   
 
2009(a)
   
90,900
   
25,000
   
68,651
   
   
   
 
Year Ended 7/31:
                                     
2008
   
94,000
   
25,000
   
69,023
   
   
   
 
2007
   
94,000
   
25,000
   
71,607
   
   
   
 
                                       
Michigan Premium Income (NMP)
                             
Year Ended 2/28–2/29:
                               
2013(b)
   
   
   
   
53,900
   
100,000
   
322,064
 
2012
   
   
   
   
53,900
   
100,000
   
317,356
 
2011
   
53,700
   
25,000
   
74,387
   
   
   
 
2010
   
53,700
   
25,000
   
76,033
   
   
   
 
2009(a)
   
56,000
   
25,000
   
70,730
   
   
   
 
Year Ended 7/31:
                                     
2008
   
56,000
   
25,000
   
72,986
   
   
   
 
2007
   
56,000
   
25,000
   
75,695
   
   
   
 

(a)
For the seven months ended February 28, 2009.
(b)
For the six months ended August 31, 2012.

78
 
Nuveen Investments

 
 

 

     
ARPS at the End of Period
   
MTP Shares at the End of Period (c)
 
     
Aggregate
               
Aggregate
             
     
Amount
   
Liquidation
   
Asset
   
Amount
   
Liquidation
   
Asset
 
     
Outstanding
   
Value
   
Coverage
   
Outstanding
   
Value
   
Coverage
 
     
(000
)
 
Per Share
   
Per Share
   
(000
)
 
Per Share
   
Per Share
 
Michigan Dividend Advantage (NZW)
                         
Year Ended 2/28–2/29:
                               
2013(b)
 
$
 
$
 
$
 
$
16,313
 
$
10.00
 
$
29.57
 
2012
   
   
   
   
16,313
   
10.00
   
29.18
 
2011
   
   
   
   
16,313
   
10.00
   
26.99
 
2010
   
14,275
   
25,000
   
76,010
   
   
   
 
2009(a)
   
14,925
   
25,000
   
68,946
   
   
   
 
Year Ended 7/31:
                                     
2008
   
16,000
   
25,000
   
69,195
   
   
   
 
2007
   
16,000
   
25,000
   
72,561
   
   
   
 

(a)
For the seven months ended February 28, 2009.
(b)
For the six months ended August 31, 2012.
(c)
The Ending and Average Market Value Per Share for each Series of the Fund’s MTP Shares were as follows:

           
Ending
   
Average
 
           
Market Value
   
Market Value
 
     
Series
   
Per Share
   
Per Share
 
Michigan Dividend Advantage (NZW)
                   
Year Ended 2/28–2/29:
                   
2013(b)
   
2015
 
$
10.06
 
$
10.07
 
2012
   
2015
   
10.08
   
9.95
 
2011
   
2015
   
9.73
   
9.82
2010
   
   
   
 
2009(a)
   
   
   
 
Year Ended 7/31:
                   
2008
   
   
   
 
2007
   
   
   
 
 
^
For the period November 15, 2010 (first issuance date of shares) through February 28, 2011.
 
See accompanying notes to financial statements.
 
Nuveen Investments
 
79

 
 

 

   
Financial
   
Highlights (Unaudited) (continued)

   
ARPS at the End of Period
 
MTP Shares at the End of Period (c)
 
VMTP Shares at the End of Period
 
ARPS and MTP Shares at the End of Period
 
   
Aggregate Amount Outstanding (000)
 
Liquidation Value Per Share
 
Asset Coverage Per Share
 
Aggregate Amount Outstanding (000)
 
Liquidation Value Per Share
 
Asset Coverage Per Share
 
Aggregate Amount Outstanding (000)
 
Liquidation Value Per Share
 
Asset Coverage Per Share
 
Asset Coverage Per $1 Liquidation Preference
 
Ohio Quality Income (NUO)
                                               
Year Ended 2/28–2/29:
                                                     
2013(b)
 
$
 
$
 
$
 
$
 
$
 
$
 
$
73,500
 
$
100,000
 
$
331,997
 
$
 
2012
   
   
   
   
   
   
   
73,500
   
100,000
   
328,176
   
 
2011
   
73,000
   
25,000
   
76,560
   
   
   
   
   
   
   
 
2010
   
73,000
   
25,000
   
78,917
   
   
   
   
   
   
   
 
2009(a)
   
77,000
   
25,000
   
71,066
   
   
   
   
   
   
   
 
Year Ended 7/31:
                                                             
2008
   
77,000
   
25,000
   
72,603
   
   
   
   
   
   
   
 
2007
   
77,000
   
25,000
   
75,017
   
   
   
   
   
   
   
 
                                                               
Ohio Dividend Advantage (NXI)
                                               
Year Ended 2/28–2/29:
                                                     
2013(b)
   
   
   
   
31,103
   
10.00
   
31.98
   
   
   
   
 
2012
   
   
   
   
31,103
   
10.00
   
31.63
   
   
   
   
 
2011
   
12,500
   
25,000
   
72,379
   
19,450
   
10.00
   
28.95
   
   
   
   
2.90
 
2010
   
29,000
   
25,000
   
80,423
   
   
   
   
   
   
   
 
2009(a)
   
31,000
   
25,000
   
72,332
   
   
   
   
   
   
   
 
Year Ended 7/31:
                                                             
2008
   
31,000
   
25,000
   
73,770
   
   
   
   
   
   
   
 
2007
   
31,000
   
25,000
   
75,898
   
   
   
   
   
   
   
 
 
(a)
For the seven months ended February 28, 2009.
(b)
For the six months ended August 31, 2012.
(c)
The Ending and Average Market Value Per Share for each Series of the Fund’s MTP Shares were as follows:
 
           
Ending
   
Average
         
Ending
   
Average
 
           
Market Value
   
Market Value
         
Market Value
   
Market Value
 
     
Series
   
Per Share
   
Per Share
   
Series
   
Per Share
   
Per Share
 
Ohio Dividend Advantage (NXI)
                             
Year Ended 2/28–2/29:
                                     
2013(b)
   
2015
 
$
10.09
 
$
10.09
   
2016
 
$
10.17
 
$
10.18
 
2012
   
2015
   
10.08
   
10.01
   
2016
   
10.18
   
10.12
^^ 
2011
   
2015
   
9.78
   
9.85
 
   
   
 
2010
   
   
   
   
   
   
 
2009(a)
   
   
   
   
   
   
 
Year Ended 7/31:
                                     
2008
   
   
   
   
   
   
 
2007
   
   
   
   
   
   
 
 
^
For the period November 22, 2010 (first issuance date of shares) through February 28, 2011.
^^
For the period March 18, 2011 (first issuance of shares) through February 29, 2012.
 
80
 
Nuveen Investments

 
 

 

     
ARPS at the End of Period
   
MTP Shares at the End of Period (c)
 
     
Aggregate
               
Aggregate
             
     
Amount
   
Liquidation
   
Asset
   
Amount
   
Liquidation
   
Asset
 
   
Outstanding
   
Value
   
Coverage
 
Outstanding
   
Value
   
Coverage
 
     
(000
)
 
Per Share
   
Per Share
   
(000
)
 
Per Share
   
Per Share
 
Ohio Dividend Advantage 2 (NBJ)
                             
Year Ended 2/28–2/29:
                                     
2013(b)
 
$
 
$
 
$
 
$
24,244
 
$
10.00
 
$
30.31
 
2012
   
   
   
   
24,244
   
10.00
   
30.09
 
2011
   
21,600
   
25,000
   
75,821
   
   
   
 
2010
   
21,600
   
25,000
   
78,241
   
   
   
 
2009(a)
   
23,100
   
25,000
   
69,107
   
   
   
 
Year Ended 7/31:
                                     
2008
   
24,000
   
25,000
   
70,090
   
   
   
 
2007
   
24,000
   
25,000
   
72,598
   
   
   
 
                                       
Ohio Dividend Advantage 3 (NVJ)
                             
Year Ended 2/28–2/29:
                                     
2013(b)
   
   
   
   
18,470
   
10.00
   
28.75
 
2012
   
   
   
   
18,470
   
10.00
   
28.45
 
2011
   
15,500
   
25,000
   
74,948
   
   
   
 
2010
   
15,500
   
25,000
   
78,325
   
   
   
 
2009(a)
   
16,500
   
25,000
   
70,647
   
   
   
 
Year Ended 7/31:
                                     
2008
   
16,500
   
25,000
   
71,881
   
   
   
 
2007
   
16,500
   
25,000
   
73,778
   
   
   
 
 
(a)
For the seven months ended February 28, 2009.
(b)
For the six months ended August 31, 2012.
(c)
The Ending and Average Market Value Per Share for each Series of the Fund’s MTP Shares were as follows:
 
           
Ending
   
Average
 
           
Market Value
   
Market Value
 
     
Series
   
Per Share
   
Per Share
 
Ohio Dividend Advantage 2 (NBJ)
                   
Year Ended 2/28–2/29:
                   
2013(b)
   
2014
 
$
10.12
 
$
10.09
 
2012
   
2014
   
10.07
   
10.09
2011
   
   
   
 
2010
   
   
   
 
2009(a)
   
   
   
 
Year Ended 7/31:
                   
2008
   
   
   
 
2007
   
   
   
 
                     
Ohio Dividend Advantage 3 (NVJ)
                   
Year Ended 2/28–2/29:
                   
2013(b)
   
2014
   
10.10
   
10.10
 
2012
   
2014
   
10.10
   
10.20
^^ 
2011
   
   
   
 
2010
   
   
   
 
2009(a)
   
   
   
 
Year Ended 7/31:
                   
2008
   
   
   
 
2007
   
   
   
 
 
^
For the period April 5, 2011 (first issuance date of shares) through February 29, 2012.
^^
For the period April 19, 2011 (first issuance date of shares) through February 29, 2012.
 
See accompanying notes to financial statements.
 
Nuveen Investments
 
81
 
 
 

 

   
Notes to
   
Financial Statements (Unaudited)
 
1. General Information and Significant Accounting Policies
 
General Information
The state funds covered in this report and their corresponding Common share stock exchange symbols are Nuveen Michigan Quality Income Municipal Fund, Inc. (NUM), Nuveen Michigan Premium Income Municipal Fund, Inc. (NMP), Nuveen Michigan Dividend Advantage Municipal Fund (NZW), Nuveen Ohio Quality Income Municipal Fund, Inc. (NUO), Nuveen Ohio Dividend Advantage Municipal Fund (NXI), Nuveen Ohio Dividend Advantage Municipal Fund 2 (NBJ) and Nuveen Ohio Dividend Advantage Municipal Fund 3 (NVJ) (each a “Fund” and collectively, the “Funds”). Common shares of Michigan Quality Income (NUM), Michigan Premium Income (NMP) and Ohio Quality Income (NUO) are traded on the New York Stock Exchange (“NYSE”) while Common shares of Michigan Dividend Advantage (NZW), Ohio Dividend Advantage (NXI), Ohio Dividend Advantage 2 (NBJ) and Ohio Dividend Advantage 3 (NVJ) are traded on the NYSE MKT (formerly known as NYSE Amex). The Funds are registered under the Investment Company Act of 1940, as amended, as closed-end registered investment companies.
 
Each Fund seeks to provide current income exempt from both regular federal and designated state income taxes by investing primarily in a portfolio Fund reorganization of municipal obligations issued by state and local government authorities within a single state or certain U.S. territories.
 
Approved Fund Reorganizations
 
On April 18, 2012, the Funds’ Board of Directors/Trustees approved a series of reorganizations for all the Michigan and Ohio Funds included in this report. The reorganizations are intended to create a single larger state Fund, which would potentially offer shareholders the following benefits:

 
Lower Fund expense ratios (excluding the effects of leverage), as fixed costs are spread over a larger asset base;
     
 
Enhanced secondary market trading, as larger Funds potentially make it easier for investors to buy and sell Fund shares;
     
 
Lower per share trading costs through reduced bid/ask spreads due to a larger common share float; and
     
 
Increased Fund flexibility in managing the structure and cost of leverage over time.
 
The approved reorganizations are as follows:

 
Acquired Funds
 
Acquiring Funds
 
Michigan Funds
   
 
Michigan Premium Income (NMP)
 
Michigan Quality Income (NUM)
 
Michigan Dividend Advantage (NZW)
   
 
Ohio Funds
   
 
Ohio Dividend Advantage (NXI)
   
 
Ohio Dividend Advantage 2 (NBJ)
 
Ohio Quality Income (NUO)
 
Ohio Dividend Advantage 3 (NVJ)
   
 
If shareholders approve the reorganizations, and upon the closing of the reorganizations, the Acquired Funds will transfer their assets to the Acquiring Funds in exchange for common and preferred shares of the Acquiring Funds, and the assumption by the Acquiring Funds of the liabilities of the Acquired Funds. The Acquired Funds will then be liquidated, dissolved and terminated in accordance with their Declaration of Trust.
 
In addition, shareholders of the Acquired Funds will become shareholders of the Acquiring Funds. Holders of common shares will receive newly issued common shares of the Acquiring Funds, the aggregate net asset value of which will be equal to the aggregate net asset value of the common shares of the Acquired Funds held immediately prior to the reorganizations (including for this purpose fractional Acquiring Fund shares to which shareholders would be entitled). Fractional shares will be sold on the open market and shareholders will receive cash in lieu of such fractional shares. Holders of preferred shares of each Acquired Fund will receive on a one-for-one basis newly issued preferred shares of their Acquiring Fund, in exchange for preferred shares of their Acquired Fund held immediately prior to the reorganization.
 
In connection with the reorganizations, certain Funds have begun accruing for known associated costs and expenses. Such amounts are included as components of “Accrued other expenses” on the Statement of Assets and Liabilities and “Reorganization expense” on the Statement of Operations.

82
 
Nuveen Investments

 
 

 
 
Significant Accounting Policies
The following is a summary of significant accounting policies followed by the Funds in the preparation of their financial statements in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”).
 
Investment Valuation
Prices of municipal bonds are provided by a pricing service approved by the Funds’ Board of Directors/Trustees. These securities are generally classified as Level 2 for fair value measurement purposes. The pricing service establishes a security’s fair value using methods that may include consideration of the following: yields or prices of investments of comparable quality, type of issue, coupon, maturity and rating, market quotes or indications of value from security dealers, evaluations of anticipated cash flows or collateral, general market conditions and other information and analysis, including the obligor’s credit characteristics considered relevant. In pricing certain securities, particularly less liquid and lower quality securities, the pricing service may consider information about a security, its issuer, or market activity, provided by Nuveen Fund Advisors, Inc. (the “Adviser”), a wholly-owned subsidiary of Nuveen Investments, Inc. (“Nuveen”). These securities are generally classified as Level 2 or Level 3 depending on the priority of the significant inputs.
 
Certain securities may not be able to be priced by the pre-established pricing methods as described above. Such securities may be valued by the Funds’ Board of Directors/Trustees or its designee at fair value. These securities generally include, but are not limited to, restricted securities (securities which may not be publicly sold without registration under the Securities Act of 1933, as amended) for which a pricing service is unable to provide a market price; securities whose trading has been formally suspended; debt securities that have gone into default and for which there is no current market quotation; a security whose market price is not available from a pre-established pricing source; a security with respect to which an event has occurred that is likely to materially affect the value of the security after the market has closed but before the calculation of a Fund’s net asset value (as may be the case in non-U.S. markets on which the security is primarily traded) or make it difficult or impossible to obtain a reliable market quotation; and a security whose price, as provided by the pricing service, is not deemed to reflect the security’s fair value. As a general principle, the fair value of a security would appear to be the amount that the owner might reasonably expect to receive for it in a current sale. A variety of factors may be considered in determining the fair value of such securities, which may include consideration of the following: yields or prices of investments of comparable quality, type of issue, coupon, maturity and rating, market quotes or indications of value from security dealers, evaluations of anticipated cash flows or collateral, general market conditions and other information and analysis, including the obligor’s credit characteristics considered relevant. These securities are generally classified as Level 2 or Level 3 depending on the priority of the significant inputs. Regardless of the method employed to value a particular security, all valuations are subject to review by the Funds’ Board of Directors/Trustees or its designee.
 
Refer to Footnote 2 – Fair Value Measurements for further details on the leveling of securities held by the Funds as of the end of the reporting period.
 
Investment Transactions
Investment transactions are recorded on a trade date basis. Realized gains and losses from investment transactions are determined on the specific identification method, which is the same basis used for federal income tax purposes. Investments purchased on a when-issued/delayed delivery basis may have extended settlement periods. Any investments so purchased are subject to market fluctuation during this period. The Funds have instructed the custodian to earmark securities in the Funds’ portfolio with a current value at least equal to the amount of the when-issued/delayed delivery purchase commitments. At August 31, 2012, there were no such outstanding purchase commitments in any of the Funds.
 
Investment Income
Investment income, which reflects the amortization of premiums and includes accretion of discounts for financial reporting purposes, is recorded on an accrual basis. Investment income also reflects paydown gains and losses, if any.
 
Professional Fees
Professional fees presented on the Statement of Operations consist of legal fees incurred in the normal course of operations, audit fees, tax consulting fees and, in some cases, workout expenditures. Workout expenditures are incurred in an attempt to protect or enhance an investment, or to pursue other claims or legal actions on behalf of Fund shareholders.
 
Income Taxes
Each Fund is a separate taxpayer for federal income tax purposes. Each Fund intends to distribute substantially all of its net investment income and net capital gains to shareholders and to otherwise comply with the requirements of Subchapter M of the Internal Revenue Code applicable to regulated investment companies. Therefore, no federal income tax provision is required. Furthermore, each Fund intends to satisfy conditions that will enable interest from municipal securities, which is exempt from regular federal and designated state income taxes, to retain such tax-exempt status when distributed to shareholders of the Funds. Net realized capital gains and ordinary income distributions paid by the Funds are subject to federal taxation.
 
For all open tax years and all major taxing jurisdictions, management of the Funds has concluded that there are no significant uncertain tax positions that would require recognition in the financial statements. Open tax years are those that are open for examination by taxing authorities (i.e., generally the last four tax year ends and the interim tax period since then). Furthermore, management of the Funds is also not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will significantly change in the next twelve months.

Nuveen Investments
 
83
 
 
 

 
 
   
Notes to
   
Financial Statements (Unaudited) (continued)
 
Dividends and Distributions to Common Shareholders
Dividends from net investment income are declared monthly. Net realized capital gains and/or market discount from investment transactions, if any, are distributed to shareholders at least annually. Furthermore, capital gains are distributed only to the extent they exceed available capital loss carryforwards.
 
Distributions to Common shareholders of net investment income, net realized capital gains and/or market discount, if any, are recorded on the ex-dividend date. The amount and timing of distributions are determined in accordance with federal income tax regulations, which may differ from U.S. GAAP.
 
Auction Rate Preferred Shares
Each Fund is authorized to issue Auction Rate Preferred Shares (“ARPS”). As of February 29, 2012, the Funds redeemed all of their outstanding ARPS at liquidation value.
 
MuniFund Term Preferred Shares
The following Funds have issued and outstanding MuniFund Term Preferred (“MTP”) Shares, with a $10 stated (“par”) value per share. Proceeds from the issuance of MTP Shares, net of offering expenses, were used to redeem all, or a portion of, each Fund’s outstanding ARPS. Each Fund’s MTP Shares are issued in one or more Series. Dividends on MTP Shares, which are recognized as interest expense for financial reporting purposes, are paid monthly at a fixed annual rate, subject to adjustments in certain circumstances. The MTP Shares trade on the NYSE. As of August 31, 2012, the number of MTP Shares outstanding, annual interest rate and NYSE “ticker” symbol for each Fund’s series of MTP Shares are as follows:
                                       
   
Michigan Dividend Advantage (NZW)
 
Ohio Dividend Advantage (NXI)
 
   
Shares
Outstanding
 
Annual
Interest Rate
 
NYSE
Ticker
 
Shares
Outstanding
 
Annual
Interest Rate
 
NYSE
Ticker
 
Series 2015
   
1,631,300
   
2.30
%
 
NZW Pr C
   
1,945,000
   
2.35
%
 
NXI Pr C
 
Series 2016
   
   
   
   
1,165,340
   
2.95
   
NXI Pr D
 

   
Ohio Dividend Advantage 2 (NBJ)
 
Ohio Dividend Advantage 3 (NVJ)
 
   
Shares
Outstanding
 
Annual
Interest Rate
 
NYSE
Ticker
 
Shares
Outstanding
 
Annual
Interest Rate
 
NYSE
Ticker
 
Series 2014
   
2,424,400
   
2.35
%
 
NBJ Pr A
   
1,847,015
   
2.35
%
 
NVJ Pr A
 
 
Each Fund is obligated to redeem its MTP Shares by the date as specified in its offering document (“Term Redemption Date”), unless earlier redeemed or repurchased by the Fund. MTP Shares are subject to optional and mandatory redemption in certain circumstances. MTP Shares will be subject to redemption at the option of each Fund (“Optional Redemption Date”), subject to a payment of premium for one year following the Optional Redemption Date (“Premium Expiration Date”), and at par thereafter. MTP Shares also will be subject to redemption, at the option of each Fund, at par in the event of certain changes in the credit rating of the MTP Shares. Each Fund may be obligated to redeem certain of the MTP Shares if the Fund fails to maintain certain asset coverage and leverage ratio requirements and such failures are not cured by the applicable cure date.
 
The redemption price per share is equal to the sum of the liquidation value per share plus any accumulated but unpaid dividends. The Term Redemption Date, Optional Redemption Date and Premium Expiration Date for each Fund’s series of MTP Shares are as follows:

   
Michigan
Dividend
Advantage
 
Ohio
Dividend
Advantage
 
Ohio
Dividend
Advantage
 
Ohio
Dividend
Advantage 2
 
Ohio
Dividend
Advantage 3
 
     
(NZW
)
 
(NXI
)
 
(NXI
)
 
(NBJ
)
 
(NVJ
)
     
Series 2015
   
Series 2015
   
Series 2016
   
Series 2014
   
Series 2014
 
Term Redemption Date
   
December 1, 2015
   
December 1, 2015
   
April 1, 2016
   
May 1, 2014
   
May 1, 2014
 
Optional Redemption Date
   
December 1, 2011
   
December 1, 2011
   
April 1, 2012
   
April 1, 2012
   
May 1, 2012
 
Premium Expiration Date
   
November 30, 2012
   
November 30, 2012
   
March 31, 2013
   
March 31, 2013
   
April 30, 2013
 
 
The average liquidation value of all series of MTP Shares outstanding for each Fund during the six months ended August 31, 2012, was as follows:
                           
   
Michigan
Dividend
Advantage
 
Ohio
Dividend
Advantage
 
Ohio
Dividend
Advantage 2
 
Ohio
Dividend
Advantage 3
 
     
(NZW
)
 
(NXI
)
 
(NBJ
)
 
(NVJ
)
Average liquidation value of MTP Shares outstanding
 
$
16,313,000
 
$
31,103,400
 
$
24,244,000
 
$
18,470,150
 

84
 
Nuveen Investments
 
 
 

 
 
For financial reporting purposes only, the liquidation value of MTP Shares is recorded as a liability on the Statement of Assets and Liabilities. Unpaid dividends on MTP Shares are recognized as a component of “Interest payable” on the Statement of Assets and Liabilities. Dividends paid on MTP Shares are recognized as a component of “Interest expense and amortization of offering costs” on the Statement of Operations.
 
Variable Rate MuniFund Term Preferred Shares
The following Funds have issued and outstanding Variable Rate MuniFund Term Preferred (“VMTP”) Shares, with a $100,000 liquidation value per share. Michigan Quality Income (NUM), Michigan Premium Income (NMP) and Ohio Quality Income (NUO) issued their VMTP Shares in a privately negotiated offering in July 2011. Proceeds from the issuance of VMTP Shares, net of offering expenses, were used to redeem all or a portion of, the remainder of each Fund’s outstanding ARPS. Each Fund’s VMTP Shares were offered to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933. As of August 31, 2012, the number of VMTP Shares outstanding, at liquidation value, for each Fund is as follows:
                     
   
Michigan
Quality
Income
 
Michigan
Premium
Income
 
Ohio
Quality
Income
 
     
(NUM
)
 
(NMP
)
 
(NUO
)
Series 2014
 
$
87,900,000
 
$
53,900,000
 
$
73,500,000
 
 
Each Fund is obligated to redeem its VMTP Shares by the date as specified in its offering document (“Term Redemption Date”), unless earlier redeemed or repurchased by the Fund. VMTP Shares are subject to optional and mandatory redemption in certain circumstances. The VMTP Shares are subject to redemption at the option of each Fund (“Optional Redemption Date”), subject to payment of premium for one year following the Optional Redemption Date (“Premium Expiration Date”), and at par thereafter. Each Fund may be obligated to redeem certain of the VMTP Shares if the Fund fails to maintain certain asset coverage and leverage ratio requirements and such failures are not cured by the applicable cure date. The redemption price per share is equal to the sum of the liquidation value per share plus any accumulated but unpaid dividends. The Term Redemption Date, Optional Redemption Date and Premium Expiration Date for each Fund’s VMTP Shares are as follows:
                     
   
Michigan
Quality
Income
 
Michigan
Premium
Income
 
Ohio
Quality
Income
 
     
(NUM
)
 
(NMP
)
 
(NUO
)
Term Redemption Date
   
August 1, 2014
   
August 1, 2014
   
August 1, 2014
 
Optional Redemption Date
   
August 1, 2012
   
August 1, 2012
   
August 1, 2012
 
Premium Expiration Date
   
July 31, 2012
   
July 31, 2012
   
July 31, 2012
 
 
The average liquidation value of VMTP Shares outstanding and annualized dividend rate of VMTP Shares for each Fund during the six months ended August 31, 2012, were as follows:
                     
   
Michigan
Quality
Income
 
Michigan
Premium
Income
 
Ohio
Quality
Income
 
     
(NUM
)
 
(NMP
)
 
(NUO
)
Average liquidation value of VMTP Shares outstanding
 
$
87,900,000
 
$
53,900,000
 
$
73,500,000
 
Annualized dividend rate
   
1.22
%
 
1.22
%
 
1.22
%
 
Dividends on VMTP Shares (which are treated as interest payments for financial reporting purposes) are set weekly.
 
For financial reporting purposes only, the liquidation value of VMTP Shares is recorded as a liability on the Statement of Assets and Liabilities. Unpaid dividends on VMTP Shares are recognized as a component of “Interest payable” on the Statement of Assets and Liabilities. Dividends paid on VMTP Shares are recognized as a component of “Interest expense and amortization of offering costs” on the Statement of Operations.
 
Inverse Floating Rate Securities
Each Fund is authorized to invest in inverse floating rate securities. An inverse floating rate security is created by depositing a municipal bond, typically with a fixed interest rate, into a special purpose trust created by a broker-dealer. In turn, this trust (a) issues floating rate certificates, in face amounts equal to some fraction of the deposited bond’s par amount or market value, that typically pay short-term tax-exempt interest rates to third parties, and (b) issues to a long-term investor (such as one of the Funds) an inverse floating rate certificate (sometimes referred to as an “inverse floater”) that represents all remaining or residual interest in the trust. The income received by the inverse floater holder varies inversely with the short-term rate paid to the floating rate certificates’ holders, and in most circumstances the inverse floater holder bears substantially all of the underlying bond’s downside investment risk and also benefits disproportionately from any potential appreciation of the underlying bond’s value. The price of an inverse floating rate security will be more volatile than that of the underlying bond because the interest rate is dependent on not only the fixed coupon rate of the

Nuveen Investments
 
85
 
 
 

 
 
   
Notes to
   
Financial Statements (Unaudited) (continued)
 
underlying bond but also on the short-term interest paid on the floating rate certificates, and because the inverse floating rate security essentially bears the risk of loss of the greater face value of the underlying bond.
 
A Fund may purchase an inverse floating rate security in a secondary market transaction without first owning the underlying bond (referred to as an “externally-deposited inverse floater”), or instead by first selling a fixed-rate bond to a broker-dealer for deposit into the special purpose trust and receiving in turn the residual interest in the trust (referred to as a “self-deposited inverse floater”). The inverse floater held by a Fund gives the Fund the right (a) to cause the holders of the floating rate certificates to tender their notes at par, and (b) to have the broker transfer the fixed-rate bond held by the trust to the Fund, thereby collapsing the trust. An investment in an externally-deposited inverse floater is identified in the Portfolio of Investments as “(IF) – Inverse floating rate investment.” An investment in a self-deposited inverse floater is accounted for as a financing transaction. In such instances, a fixed-rate bond deposited into a special purpose trust is identified in the Portfolio of Investments as “(UB) – Underlying bond of an inverse floating rate trust reflected as a financing transaction,” with the Fund accounting for the short-term floating rate certificates issued by the trust as “Floating rate obligations” on the Statement of Assets and Liabilities. In addition, the Fund reflects in “Investment Income” the entire earnings of the underlying bond and related interest paid to the holders of the short-term floating rate certificates as a component of “Interest expense and amortization of offering costs” on the Statement of Operations.
 
During the six months ended August 31, 2012, each Fund invested in externally-deposited inverse floaters and/or self-deposited inverse floaters.
 
Each Fund may also enter into shortfall and forbearance agreements (sometimes referred to as a “recourse trust” or “credit recovery swap”) (such agreements referred to herein as “Recourse Trusts”) with a broker-dealer by which a Fund agrees to reimburse the broker-dealer, in certain circumstances, for the difference between the liquidation value of the fixed-rate bond held by the trust and the liquidation value of the floating rate certificates issued by the trust plus any shortfalls in interest cash flows. Under these agreements, a Fund’s potential exposure to losses related to or on inverse floaters may increase beyond the value of a Fund’s inverse floater investments as a Fund may potentially be liable to fulfill all amounts owed to holders of the floating rate certificates. At period end, any such shortfall is recognized as “Unrealized depreciation on Recourse Trusts” on the Statement of Assets and Liabilities.
 
At August 31, 2012, each Fund’s maximum exposure to externally-deposited Recourse Trusts was as follows:
                                             
   
Michigan
Quality
Income
 
Michigan
Premium
Income
 
Michigan
Dividend
Advantage
 
Ohio
Quality
Income
 
Ohio
Dividend
Advantage
 
Ohio
Dividend
Advantage 2
 
Ohio
Dividend
Advantage 3
 
     
(NUM
)
 
(NMP
)
 
(NZW
)
 
(NUO
)
 
(NXI
)
 
(NBJ
)
 
(NVJ
)
Maximum exposure to Recourse Trusts
 
$
4,200,000
 
$
3,180,000
 
$
1,050,000
 
$
2,400,000
 
$
1,280,000
 
$
480,000
 
$
320,000
 

The average floating rate obligations outstanding and average annual interest rate and fees related to self-deposited inverse floaters during the six months ended August 31, 2012, were as follows:
                     
   
Michigan
Quality
Income
 
Michigan
Premium
Income
 
Michigan
Dividend
Advantage
 
     
(NUM
)
 
(NMP
)
 
(NZW
)
Average floating rate obligations outstanding
 
$
3,630,000
 
$
2,330,000
 
$
665,000
 
Average annual interest rate and fees
   
0.90
%
 
0.90
%
 
0.90
%
 
Derivative Financial Instruments
Each Fund is authorized to invest in certain derivative instruments, including foreign currency forwards, futures, options and swap contracts. Although each Fund is authorized to invest in such derivative instruments, and may do so in the future, they did not make any such investments during the six months ended August 31, 2012.
 
Market and Counterparty Credit Risk
In the normal course of business each Fund may invest in financial instruments and enter into financial transactions where risk of potential loss exists due to changes in the market (market risk) or failure of the other party to the transaction to perform (counterparty credit risk). The potential loss could exceed the value of the financial assets recorded on the financial statements. Financial assets, which potentially expose each Fund to counterparty credit risk, consist principally of cash due from counterparties on forward, option and swap transactions, when applicable. The extent of each Fund’s exposure to counterparty credit risk in respect to these financial assets approximates their carrying value as recorded on the Statement of Assets and Liabilities. Futures contracts, when applicable, expose a Fund to minimal counterparty credit risk as they are exchange traded and the exchange’s clearinghouse, which is counterparty to all exchange traded futures, guarantees the futures contracts against default.
 
Each Fund helps manage counterparty credit risk by entering into agreements only with counterparties the Adviser believes have the financial resources to honor their obligations and by having the Adviser monitor the financial stability of the counterparties. Additionally, counterparties may be required to pledge collateral daily (based on the daily valuation of the financial asset) on behalf of each Fund with a value approximately equal to the amount of any unrealized gain above a pre-determined threshold. Reciprocally, when each Fund has an unrealized loss, the Funds have instructed the custodian to pledge

86
 
Nuveen Investments

 
 

 
 
assets of the Funds as collateral with a value approximately equal to the amount of the unrealized loss above a pre-determined threshold. Collateral pledges are monitored and subsequently adjusted if and when the valuations fluctuate, either up or down, by at least the pre-determined threshold amount.
 
Zero Coupon Securities
Each Fund is authorized to invest in zero coupon securities. A zero coupon security does not pay a regular interest coupon to its holders during the life of the security. Income to the holder of the security comes from accretion of the difference between the original purchase price of the security at issuance and the par value of the security at maturity and is effectively paid at maturity. The market prices of zero coupon securities generally are more volatile than the market prices of securities that pay interest periodically.
 
Offering Costs
Costs incurred by the Funds in connection with their offerings of MTP Shares or VMTP Shares were recorded as a deferred charge, which are being amortized over the life of the shares. Each Fund’s amortized deferred charges are recognized as a component of “Interest expense and amortization of offering costs” on the Statement of Operations. Each Fund’s offering costs incurred were as follows:
                           
   
Michigan
Dividend
Advantage
 
Ohio
Dividend
Advantage
 
Ohio
Dividend
Advantage 2
 
Ohio
Dividend
Advantage3
 
     
(NZW
)
 
(NXI
)
 
(NBJ
)
 
(NVJ
)
MTP Shares offering costs
 
$
574,695
 
$
1,036,551
 
$
668,050
 
$
590,877
 

   
Michigan
Quality
Income
 
Michigan
Premium
Income
 
Ohio
Quality
Income
 
     
(NUM
)
 
(NMP
)
 
(NUO
)
VMTP Shares offering costs
 
$
480,000
 
$
135,000
 
$
420,000
 
 
Custodian Fee Credit
Each Fund has an arrangement with the custodian bank whereby certain custodian fees and expenses are reduced by net credits earned on each Fund’s cash on deposit with the bank. Such deposit arrangements are an alternative to overnight investments. Credits for cash balances may be offset by charges for any days on which a Fund overdraws its account at the custodian bank.
 
Indemnifications
Under the Funds’ organizational documents, their officers and directors/trustees are indemnified against certain liabilities arising out of the performance of their duties to the Funds. In addition, in the normal course of business, the Funds enter into contracts that provide general indemnifications to other parties. The Funds’ maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Funds that have not yet occurred. However, the Funds have not had prior claims or losses pursuant to these contracts and expect the risk of loss to be remote.
 
Use of Estimates
The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets applicable to Common shares from operations during the reporting period. Actual results may differ from those estimates.
 
2. Fair Value Measurements
Fair value is defined as the price that the Funds would receive upon selling an investment or transferring a liability in an orderly transaction to an independent buyer in the principal or most advantageous market for the investment. A three-tier hierarchy is used to maximize the use of observable market data and minimize the use of unobservable inputs and to establish classification of fair value measurements for disclosure purposes.
 
Observable inputs reflect the assumptions market participants would use in pricing the asset or liability. Observable inputs are based on market data obtained from sources independent of the reporting entity. Unobservable inputs reflect the reporting entity’s own assumptions about the assumptions market participants would use in pricing the asset or liability. Unobservable inputs are based on the best information available in the circumstances. The following is a summary of the three-tiered hierarchy of valuation input levels.

 
Level 1 — 
Inputs are unadjusted and prices are determined using quoted prices in active markets for identical securities.
     
 
Level 2 — 
Prices are determined using other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.).
     
 
Level 3 — 
Prices are determined using significant unobservable inputs (including management’s assumptions in determining the fair value of investments).

Nuveen Investments
 
87

 
 

 
 
   
Notes to
   
Financial Statements (Unaudited) (continued)
 
The inputs or methodologies used for valuing securities are not an indication of the risk associated with investing in those securities. The following is a summary of each Fund’s fair value measurements as of the end of the reporting period:
                           
Michigan Quality Income (NUM)
   
Level 1
   
Level 2
   
Level 3
   
Total
 
Long-Term Investments:
                         
Municipal Bonds
 
$
 
$
274,809,582
 
$
 
$
274,809,582
 
                           
Michigan Premium Income (NMP)
   
Level 1
   
Level 2
   
Level 3
   
Total
 
Long-Term Investments:
                         
Municipal Bonds
 
$
 
$
173,115,668
 
$
 
$
173,115,668
 
                           
Michigan Dividend Advantage (NZW)
   
Level 1
   
Level 2
   
Level 3
   
Total
 
Long-Term Investments:
                         
Municipal Bonds
 
$
 
$
48,156,470
 
$
 
$
48,156,470
 
                           
Ohio Quality Income (NUO)
   
Level 1
   
Level 2
   
Level 3
   
Total
 
Long-Term Investments:
                         
Municipal Bonds
 
$
 
$
240,636,002
 
$
 
$
240,636,002
 
                           
Ohio Dividend Advantage (NXI)
   
Level 1
   
Level 2
   
Level 3
   
Total
 
Long-Term Investments:
                         
Municipal Bonds
 
$
 
$
96,879,029
 
$
 
$
96,879,029
 
                           
Ohio Dividend Advantage 2 (NBJ)
   
Level 1
   
Level 2
   
Level 3
   
Total
 
Long-Term Investments:
                         
Municipal Bonds
 
$
 
$
71,453,571
 
$
 
$
71,453,571
 
                           
Ohio Dividend Advantage 3 (NVJ)
   
Level 1
   
Level 2
   
Level 3
   
Total
 
Long-Term Investments:
                         
Municipal Bonds
 
$
 
$
51,619,761
 
$
 
$
51,619,761
 
 
The Nuveen funds’ Board of Directors/Trustees is responsible for the valuation process and has delegated the oversight of the daily valuation process to the Adviser’s Valuation Committee. The Valuation Committee, pursuant to the valuation policies and procedures adopted by the Board of Directors/Trustees, is responsible for making fair value determinations, evaluating the effectiveness of the funds’ pricing policies, and reporting to the Board of Directors/Trustees. The Valuation Committee is aided in its efforts by the Adviser’s dedicated Securities Valuation Team, which is responsible for administering the daily valuation process and applying fair value methodologies as approved by the Valuation Committee. When determining the reliability of independent pricing services for investments owned by the funds, the Valuation Committee, among other things, conducts due diligence reviews of the pricing services and monitors the quality of security prices received through various testing reports conducted by the Securities Valuation Team.
 
The Valuation Committee will consider pricing methodologies it deems relevant and appropriate when making fair value determinations. Examples of possible methodologies include, but are not limited to, multiple of earnings; discount from market of a similar freely traded security; discounted cash-flow analysis; book value or a multiple thereof; risk premium/yield analysis; yield to maturity; and/or fundamental investment analysis. The Valuation Committee will also consider factors it deems relevant and appropriate in light of the facts and circumstances. Examples of possible factors include, but are not limited to, the type of security; the issuer’s financial statements; the purchase price of the security; the discount from market value of unrestricted securities of the same class at the time of purchase; analysts’ research and observations from financial institutions; information regarding any transactions or offers with respect to the security; the existence of merger proposals or tender offers affecting the security; the price and extent of public trading in similar securities of the issuer or comparable companies; and the existence of a shelf registration for restricted securities.
 
For each portfolio security that has been fair valued pursuant to the policies adopted by the Board of Directors/Trustees, the fair value price is compared against the last available and next available market quotations. The Valuation Committee reviews the results of such testing and fair valuation occurrences are reported to the Board of Directors/Trustees.
 
3. Derivative Instruments and Hedging Activities
The Funds record derivative instruments at fair value, with changes in fair value recognized on the Statement of Operations, when applicable. Even though the Funds’ investments in derivatives may represent economic hedges, they are not considered to be hedge transactions for financial reporting purposes. The Funds did not invest in derivative instruments during the six months ended August 31, 2012.

88
 
Nuveen Investments

 
 

 
 
4. Fund Shares
 
Common Shares
Transactions in Common shares were as follows:
                                       
   
Michigan Quality
Income (NUM)
 
Michigan Premium
Income (NMP)
 
Michigan Dividend
Advantage (NZW)
 
   
Six Months
Ended
8/31/12
 
Year
Ended
2/29/12
 
Six Months
Ended
8/31/12
 
Year
Ended
2/29/12
 
Six Months
Ended
8/31/12
 
Year
Ended
2/29/12
 
Common shares:
                                     
Issued to shareholders due to reinvestment of distributions
   
   
   
   
   
   
 
Repurchased and retired
   
   
(3,400
)
 
   
   
   
 
Weighted average Common share:
                                     
Price per share repurchased and retired
 
$
 
$
13.00
 
$
 
$
 
$
 
$
 
Discount per share repurchased and retired
   
%
 
14.30
%
 
%
 
%
 
%
 
%

   
Ohio Quality
Income (NUO)
 
Ohio Dividend
Advantage (NXI)
 
   
Six Months
Ended
8/31/12
 
Year
Ended
2/29/12
 
Six Months
Ended
8/31/12
 
Year
Ended
2/29/12
 
Common shares:
                         
Issued to shareholders due to reinvestment of distributions
   
17,659
   
11,572
   
594
   
598
 
Repurchased and retired
   
   
   
   
 
Weighted average Common share:
                         
Price per share repurchased and retired
 
$
 
$
 
$
 
$
 
Discount per share repurchased and retired
   
%
 
%
 
%
 
%

   
Ohio Dividend
Advantage 2 (NBJ)
 
Ohio Dividend
Advantage 3 (NVJ)
 
   
Six Months
Ended
8/31/12
 
Year
Ended
2/29/12
 
Six Months
Ended
8/31/12
 
Year
Ended
2/29/12
 
Common shares:
                         
Issued to shareholders due to reinvestment of distributions
   
   
   
81
   
248
 
Repurchased and retired
   
   
   
   
 
Weighted average Common share:
                         
Price per share repurchased and retired
 
$
 
$
 
$
 
$
 
Discount per share repurchased and retired
   
%
 
%
 
%
 
%
 
Preferred Shares
Michigan Dividend Advantage (NZW) redeemed the remainder of its outstanding ARPS during the fiscal year ended February 28, 2011.
 
Transactions in ARPS were as follows:
                           
   
Michigan Quality Income (NUM)
 
   
Six Months Ended
8/31/12
 
Year Ended
2/29/12
 
   
Shares
 
Amount
 
Shares
 
Amount
 
ARPS redeemed:
                         
Series TH
   
N/A
   
N/A
   
2,972
 
$
74,300,000
 
Series F
   
N/A
   
N/A
   
521
   
13,025,000
 
Total
   
N/A
   
N/A
   
3,493
 
$
87,325,000
 
 
N/A – As of February 29, 2012, the Fund redeemed all of its outstanding ARPS, at liquidation value.

Nuveen Investments
 
89
 
 
 

 
 
   
Notes to
   
Financial Statements (Unaudited) (continued)

   
Michigan Premium Income (NMP)
 
   
Six Months Ended
8/31/12
 
Year Ended
2/29/12
 
   
Shares
 
Amount
 
Shares
 
Amount
 
ARPS redeemed:
                         
Series M
   
N/A
   
N/A
   
805
 
$
20,125,000
 
Series TH
   
N/A
   
N/A
   
1,343
   
33,575,000
 
Total
   
N/A
   
N/A
   
2,148
 
$
53,700,000
 

   
Ohio Quality Income (NUO)
 
   
Six Months Ended
8/31/12
 
Year Ended
2/29/12
 
   
Shares
 
Amount
 
Shares
 
Amount
 
ARPS redeemed:
                         
Series M
   
N/A
   
N/A
   
645
 
$
16,125,000
 
Series TH
   
N/A
   
N/A
   
1,327
   
33,175,000
 
Series TH2
   
N/A
   
N/A
   
948
   
23,700,000
 
Total
   
N/A
   
N/A
   
2,920
 
$
73,000,000
 

   
Ohio Dividend Advantage (NXI)
 
   
Six Months Ended
8/31/12
 
Year Ended
2/29/12
 
   
Shares
 
Amount
 
Shares
 
Amount
 
ARPS redeemed:
                         
Series W
   
N/A
   
N/A
   
500
 
$
12,500,000
 

   
Ohio Dividend Advantage 2 (NBJ)
 
   
Six Months Ended
8/31/12
 
Year Ended
2/29/12
 
   
Shares
 
Amount
 
Shares
 
Amount
 
ARPS redeemed:
                         
Series F
   
N/A
   
N/A
   
864
 
$
21,600,000
 

   
Ohio Dividend Advantage 3 (NVJ)
 
   
Six Months Ended
8/31/12
 
Year Ended
2/29/12
 
   
Shares
 
Amount
 
Shares
 
Amount
 
ARPS redeemed:
                         
Series T
   
N/A
   
N/A
   
620
 
$
15,500,000
 

N/A – As of February 29, 2012, the Fund redeemed all of its outstanding ARPS, at liquidation value.

Transactions in MTP Shares were as follows:
                           
   
Ohio Dividend Advantage (NXI)
 
   
Six Months Ended
8/31/12
 
Year Ended
2/29/12
 
   
Shares
 
Amount
 
Shares
 
Amount
 
MTP Shares issued:
                         
Series 2016
   
 
$
   
1,165,340
 
$
11,653,400
 
 
90
 
Nuveen Investments
 
 
 

 

   
Ohio Dividend Advantage 2 (NBJ)
 
Ohio Dividend Advantage 3 (NVJ)
 
   
Six Months Ended
8/31/12
 
Year Ended
2/29/12
 
Six Months Ended
8/31/12
 
Year Ended
2/29/12
 
   
Shares
 
Amount
 
Shares
 
Amount
 
Shares
 
Amount
 
Shares
 
Amount
 
MTP Shares issued:
                                                 
Series 2014
   
 
$
   
2,424,400
 
$
24,244,00
   
 
$
   
1,847,015
 
$
18,470,10
 

Transactions in VMTP Shares were as follows:
                                                   
   
Michigan Quality Income (NUM)
 
Michigan Premium Income (NMP)
 
   
Six Months Ended
8/31/12
 
Year Ended
2/29/12
 
Six Months Ended
8/31/12
 
Year Ended
2/29/12
 
   
Shares
 
Amount
 
Shares
 
Amount
 
Shares
 
Amount
 
Shares
 
Amount
 
VMTP Shares issued:
                                                 
Series 2014
   
 
$
   
879
 
$
87,900,000
   
 
$
   
539
 
$
53,900,000
 

   
Ohio Quality Income (NUO)
 
   
Six Months Ended
8/31/12
 
Year Ended
2/29/12
 
   
Shares
 
Amount
 
Shares
 
Amount
 
VMTP Shares issued:
                         
Series 2014
   
 
$
   
735
 
$
73,500,000
 
 
5. Investment Transactions
Purchases and sales (including maturities but excluding short-term investments, where applicable) during the six months ended August 31, 2012, were as follows:
                     
   
Michigan
Quality
Income
(NUM
)
Michigan
Premium
Income
(NMP
)
Michigan
Dividend
Advantage
(NZW
)
Purchases
 
$
17,410,844
 
$
10,547,639
 
$
3,002,433
 
Sales and maturities
   
17,194,036
   
11,019,169
   
2,492,655
 

   
Ohio
Quality
Income
(NUO
)
Ohio
Dividend
Advantage
(NXI
)
Ohio
Dividend
Advantage 2
(NBJ
)
Ohio
Dividend
Advantage 3
(NVJ
)
Purchases
 
$
14,696,250
 
$
8,132,660
 
$
6,578,144
 
$
4,830,821
 
Sales and maturities
   
13,594,000
   
8,847,230
   
6,754,500
   
5,332,000
 
 
6.Income Tax Information
The following information is presented on an income tax basis. Differences between amounts for financial statement and federal income tax purposes are primarily due to timing differences in recognizing taxable market discount, timing differences in recognizing certain gains and losses on investment transactions and the treatment of investments in inverse floating rate securities reflected as financing transactions, if any. To the extent that differences arise that are permanent in nature, such amounts are reclassified within the capital accounts as detailed below. Temporary differences do not require reclassification. Temporary and permanent differences do not impact the net asset values of the Funds.
 
Nuveen Investments
 
91
 
 
 

 
 
   
Notes to
   
Financial Statements (Unaudited) (continued)
 
At August 31, 2012, the cost and unrealized appreciation (depreciation) of investments, as determined on a federal income tax basis, were as follows:

   
Michigan
Quality
Income
(NUM
)
Michigan
Premium
Income
(NMP
)
Michigan
Dividend
Advantage
(NZW
)
Cost of investments
 
$
247,368,645
 
$
158,812,021
 
$
43,569,473
 
Gross unrealized:
                   
Appreciation
 
$
24,229,115
 
$
12,188,377
 
$
3,979,178
 
Depreciation
   
(418,095
)
 
(214,961
)
 
(57,047
)
Net unrealized appreciation (depreciation) of investments
 
$
23,811,020
 
$
11,973,416
 
$
3,922,131
 

   
Ohio
Quality
Income
(NUO
)
Ohio
Dividend
Advantage
(NXI
)
Ohio
Dividend
Advantage 2
(NBJ
)
Ohio
Dividend
Advantage 3
(NVJ
)
Cost of investments
 
$
218,981,799
 
$
88,250,849
 
$
65,555,352
 
$
47,062,818
 
Gross unrealized:
                         
Appreciation
 
$
21,698,813
 
$
9,205,953
 
$
6,270,441
 
$
4,854,961
 
Depreciation
   
(44,610
)
 
(577,773
)
 
(372,222
)
 
(298,018
)
Net unrealized appreciation (depreciation) of investments
 
$
21,654,203
 
$
8,628,180
 
$
5,898,219
 
$
4,556,943
 
 
Permanent differences, primarily due to federal taxes paid, taxable market discount and nondeductible offering costs, resulted in reclassifications among the Funds’ components of Common share net assets at February 29, 2012, the Funds’ last tax year end, as follows:

   
Michigan
Quality
Income
(NUM
)
Michigan
Premium
Income
(NMP
)
Michigan
Dividend
Advantage
(NZW
)
Paid-in surplus
 
$
(99,443
)
$
(26,609
)
$
(114,130
)
Undistributed (Over-distribution of) net investment income
   
98,054
   
13,489
   
111,892
 
Accumulated net realized gain (loss)
   
1,389
   
13,120
   
2,238
 

   
Ohio
Quality
Income
(NUO
)
Ohio
Dividend
Advantage
(NXI
)
Ohio
Dividend
Advantage 2
(NBJ
)
Ohio
Dividend
Advantage 3
(NVJ
)
Paid-in surplus
 
$
(85,277
)
$
(201,901
)
$
(195,375
)
$
(167,688
)
Undistributed (Over-distribution of) net investment income
   
76,917
   
196,876
   
190,503
   
163,174
 
Accumulated net realized gain (loss)
   
8,360
   
5,025
   
4,872
   
4,514
 
 
The tax components of undistributed net tax-exempt income, net ordinary income and net long-term capital gains at February 29, 2012, the Funds’ last tax year end, were as follows:

   
Michigan
Quality
Income
 
Michigan
Premium
Income
 
Michigan
Dividend
Advantage
 
     
(NUM
)
 
(NMP
)
 
(NZW
)
Undistributed net tax-exempt income*
 
$
4,019,416
 
$
2,582,010
 
$
418,798
 
Undistributed net ordinary income**
   
1,802
   
201
   
 
Undistributed net long-term capital gains
   
   
   
 

92
 
Nuveen Investments
 
 
 

 
 
                           
   
Ohio
Quality
Income
 
Ohio
Dividend
Advantage
 
Ohio
Dividend
Advantage 2
 
Ohio
Dividend
Advantage 3
 
     
(NUO
)
 
(NXI
)
 
(NBJ
)
 
(NVJ
)
Undistributed net tax-exempt income*
 
$
3,865,603
 
$
946,850
 
$
907,200
 
$
652,975
 
Undistributed net ordinary income**
   
66,795
   
19,446
   
4,694
   
15,019
 
Undistributed net long-term capital gains
   
   
   
   
 

*
Undistributed net tax-exempt income (on a tax basis) has not been reduced for the dividend declared on February 1, 2012, paid on March 1, 2012.
**
Net ordinary income consists of taxable market discount income and net short-term capital gains, if any.
 
The tax character of distributions paid during the Funds’ last tax year ended February 29, 2012, was designated for purposes of the dividends paid deduction as follows:
                     
   
Michigan
Quality
Income
 
Michigan
Premium
Income
 
Michigan
Dividend
Advantage
 
2012
   
(NUM
)
 
(NMP
)
 
(NZW
)
Distributions from net tax-exempt income
 
$
10,625,977
 
$
6,881,890
 
$
2,025,887
 
Distributions from net ordinary income**
   
   
   
 
Distributions from net long-term capital gains
   
   
   
 

   
Ohio
Quality
Income
 
Ohio
Dividend
Advantage
 
Ohio
Dividend
Advantage 2
 
Ohio
Dividend
Advantage 3
 
2012
   
(NUO
)
 
(NXI
)
 
(NBJ
)
 
(NVJ
)
Distributions from net tax-exempt income
 
$
9,599,169
 
$
4,506,686
 
$
3,102,895
 
$
2,307,353
 
Distributions from net ordinary income**
   
   
   
   
 
Distributions from net long-term capital gains
   
   
   
   
 

**
Net ordinary income consists of taxable market discount income and net short-term capital gains, if any.
 
At February 29, 2012, the Funds’ last tax year end, the Funds had unused capital loss carryforwards available for federal income tax purposes to be applied against future capital gains, if any. If not applied, the carryforwards will expire as follows:

   
Michigan
Quality
Income
 
Michigan
Premium
Income
 
Michigan
Dividend
Advantage
 
Ohio
Quality
Income
 
Ohio
Dividend
Advantage
 
Ohio
Dividend
Advantage 2
 
Ohio
Dividend
Advantage 3
 
     
(NUM
)
 
(NMP
)
 
(NZW
)
 
(NUO
)
 
(NXI
)
 
(NBJ
)
 
(NVJ
)
Expiration:
                                           
February 28, 2017
 
$
 
$
9,738
 
$
327,197
 
$
1,211,421
 
$
 
$
491,565
 
$
52,532
 
February 28, 2018
   
2,327,226
   
1,586,140
   
834,359
   
78,027
   
   
211,828
   
177,836
 
February 28, 2019
   
   
   
   
1,468,286
   
596,403
   
310,572
   
275,067
 
Total
 
$
2,327,226
 
$
1,595,878
 
$
1,161,556
 
$
2,757,734
 
$
596,403
 
$
1,013,965
 
$
505,435
 

During the Funds’ last tax year ended February 29, 2012, the following Funds utilized capital loss carryforwards as follows:
                                 
   
Michigan
Quality
Income
 
Michigan
Premium
Income
 
Michigan
Dividend
Advantage
 
Ohio
Quality
Income
 
Ohio
Dividend
Advantage 2
 
     
(NUM
)
 
(NMP
)
 
(NZW
)
 
(NUO
)
 
(NBJ
)
Utilized capital loss carryforwards
 
$
451,364
 
$
269,079
 
$
114,555
 
$
97,638
 
$
45,452
 
 
Under the Regulated Investment Company Modernization Act of 2010, (the “Act”), capital losses incurred by the Fund after December 31, 2010 will not be subject to expiration. Capital losses incurred that will be carried forward under the provisions of the Act are as follows:
               
   
Ohio
Dividend
Advantage
 
Ohio
Dividend
Advantage 3
 
     
(NXI
)
 
(NVJ
)
Post-enactment losses:
             
Short-term
 
$
24,438
 
$
37,394
 
Long-term
   
   
 

Nuveen Investments
 
93
 
 
 

 
 
   
Notes to
   
Financial Statements (Unaudited) (continued)
 
The Funds have elected to defer losses incurred from November 1, 2011 through February 29, 2012, the Funds’ last tax year end, in accordance with federal income tax rules. These losses are treated as having arisen on the first day of the current fiscal year. The following Fund has elected to defer losses as follows:
         
   
Michigan
Dividend
Advantage
 
     
(NZW
)
Post-October capital losses
 
$
928
 
Late-year ordinary losses
   
 
 
7. Management Fees and Other Transactions with Affiliates
Each Fund’s management fee consists of two components – a fund-level fee, based only on the amount of assets within the Fund, and a complex-level fee, based on the aggregate amount of all eligible fund assets managed by the Adviser. This pricing structure enables Fund shareholders to benefit from growth in the assets within their respective Fund as well as from growth in the amount of complex-wide assets managed by the Adviser.
 
The annual fund-level fee for each Fund, payable monthly, is calculated according to the following schedule:
         
   
Michigan Quality Income (NUM)
   
Michigan Premium Income (NMP)
   
Ohio Quality Income (NUO)
Average Daily Managed Assets*
 
Fund-Level Fee Rate
For the first $125 million
   
.4500
%
For the next $125 million
   
.4375
 
For the next $250 million
   
.4250
 
For the next $500 million
   
.4125
 
For the next $1 billion
   
.4000
 
For the next $3 billion
   
.3875
 
For managed assets over $5 billion
   
.3750
 
 
   
Michigan Dividend Advantage (NZW)
   
Ohio Dividend Advantage (NXI)
   
Ohio Dividend Advantage 2 (NBJ)
   
Ohio Dividend Advantage 3 (NVJ)
Average Daily Managed Assets*
 
Fund-Level Fee Rate
For the first $125 million
   
.4500
%
For the next $125 million
   
.4375
 
For the next $250 million
   
.4250
 
For the next $500 million
   
.4125
 
For the next $1 billion
   
.4000
 
For managed assets over $2 billion
   
.3750
 

94
 
Nuveen Investments

 
 

 
 
The annual complex-level fee for each Fund, payable monthly, is calculated according to the following schedule:
         
Complex-Level Managed Asset Breakpoint Level*
 
Effective Rate at Breakpoint Level
$55 billion
   
.2000
%
$56 billion
   
.1996
 
$57 billion
   
.1989
 
$60 billion
   
.1961
 
$63 billion
   
.1931
 
$66 billion
   
.1900
 
$71 billion
   
.1851
 
$76 billion
   
.1806
 
$80 billion
   
.1773
 
$91 billion
   
.1691
 
$125 billion
   
.1599
 
$200 billion
   
.1505
 
$250 billion
   
.1469
 
$300 billion
   
.1445
 

*
For the fund-level and complex-level fees, managed assets include closed-end fund assets managed by the Adviser that are attributable to financial leverage. For these purposes, financial leverage includes the funds’ use of preferred stock and borrowings and certain investments in the residual interest certificates (also called inverse floating rate securities) in tender option bond (TOB) trusts, including the portion of assets held by a TOB trust that has been effectively financed by the trust’s issuance of floating rate securities, subject to an agreement by the Adviser as to certain funds to limit the amount of such assets for determining managed assets in certain circumstances. The complex-level fee is calculated based upon the aggregate daily managed assets of all Nuveen Funds that constitute “eligible assets.” Eligible assets do not include assets attributable to investments in other Nuveen Funds or assets in excess of $2 billion added to the Nuveen Fund complex in connection with the Adviser’s assumption of the management of the former First American Funds effective January 1, 2011. As of August 31, 2012, the complex-level fee rate for each of these Funds was .1702%.
 
The management fee compensates the Adviser for overall investment advisory and administrative services and general office facilities. The Adviser is responsible for each Fund’s overall strategy and asset allocation decisions. The Adviser has entered into sub-advisory agreements with Nuveen Asset Management, LLC (the “Sub-Adviser”), a wholly-owned subsidiary of the Adviser, under which the Sub-Adviser manages the investment portfolios of the Funds. The Sub-Adviser is compensated for its services to the Funds from the management fees paid to the Adviser.
 
The Funds pay no compensation directly to those of its directors/trustees who are affiliated with the Adviser or to its officers, all of whom receive remuneration for their services to the Funds from the Adviser or its affiliates. The Board of Directors/Trustees has adopted a deferred compensation plan for independent directors/trustees that enables directors/trustees to elect to defer receipt of all or a portion of the annual compensation they are entitled to receive from certain Nuveen-advised funds. Under the plan, deferred amounts are treated as though equal dollar amounts had been invested in shares of select Nuveen-advised funds.
 
For the first ten years of Ohio Dividend Advantage 3’s (NVJ) operations, the Adviser has agreed to reimburse the Fund, as a percentage of average daily managed assets, for fees and expenses in the amounts and for the time periods set forth below:
         
Year Ending
 
Year Ending
   
March 31,
 
March 31,
   
2002*
.30%
2008
.25
%
2003
.30
2009
.20
 
2004
.30
2010
.15
 
2005
.30
2011
.10
 
2006
.30
2012
.05
 
2007
.30
     

*
From the commencement of operations.
 
The Adviser has not agreed to reimburse Ohio Dividend Advantage 3 (NVJ) for any portion of its fees and expenses beyond March 31, 2012.
 
8. New Accounting Pronouncements
 
Financial Accounting Standards Board (“FASB”) Balance Sheet (Topic 210): Disclosures about Offsetting Assets and Liabilities
In December 2011, the FASB issued Accounting Standards Update (“ASU”) No. 2011-11 (“ASU No. 2011-11”) to enhance disclosures about financial instruments and derivative instruments that are subject to offsetting (“netting”) on the Statement of Assets and Liabilities. This information will enable users of the entity’s financial statements to evaluate the effect or potential effect of netting arrangements on the entity’s financial position. ASU No. 2011-11 is effective prospectively during interim or annual periods beginning on or after January 1, 2013. At this time, management is evaluating the implications of this guidance and the impact it will have to the financial statements amounts and footnote disclosures, if any.

Nuveen Investments
 
95

 
 

 
 
Annual Investment Management
Agreement Approval Process (Unaudited)
 
The Board of Trustees or Directors (as the case may be) (each, a “Board” and each Trustee or Director, a “Board Member”) of the Funds, including the Board Members who are not parties to the Funds’ advisory or sub-advisory agreements or “interested persons” of any such parties (the “Independent Board Members”), is responsible for approving the advisory agreements (each, an “Investment Management Agreement”) between each Fund and Nuveen Fund Advisors, Inc. (the “Advisor”) and the sub-advisory agreements (each a “Sub-Advisory Agreement”) between the Advisor and Nuveen Asset Management, LLC (the “Sub-Advisor”) (the Investment Management Agreements and the Sub-Advisory Agreements are referred to collectively as the “Advisory Agreements”) and their periodic continuation. Pursuant to the Investment Company Act of 1940, as amended (the “1940 Act”), the Board is required to consider the continuation of the Advisory Agreements on an annual basis. Accordingly, at an in-person meeting held on May 21-23, 2012 (the “May Meeting”), the Board, including a majority of the Independent Board Members, considered and approved the continuation of the Advisory Agreements for the Funds for an additional one-year period.
 
In preparation for its considerations at the May Meeting, the Board requested and received extensive materials prepared in connection with the review of the Advisory Agreements. The materials provided a broad range of information regarding the Funds, the Advisor and the Sub-Advisor (the Advisor and the Sub-Advisor are collectively, the “Fund Advisers” and each, a “Fund Adviser”). As described in more detail below, the information provided included, among other things, a review of Fund performance, including Fund investment performance assessments against peer groups and appropriate benchmarks, a comparison of Fund fees and expenses relative to peers, a description and assessment of shareholder service levels for the Funds, a summary of the performance of certain service providers, a review of product initiatives and shareholder communications and an analysis of the Advisor’s profitability with comparisons to comparable peers in the managed fund business. As part of its annual review, the Board also held a separate meeting on April 18-19, 2012, to review the Funds’ investment performance and consider an analysis provided by the Advisor of the Sub-Advisor which generally evaluated the Sub-Advisor’s investment team, investment mandate, organizational structure and history, investment philosophy and process, performance of the applicable Fund, and significant changes to the foregoing. As a result of its review of the materials and discussions, the Board presented the Advisor with questions and the Advisor responded.
 
The materials and information prepared in connection with the annual review of the Advisory Agreements supplement the information and analysis provided to the Board

96
 
Nuveen Investments

 
 

 
 
during the year. In this regard, throughout the year, the Board, acting directly or through its committees, regularly reviews the performance and various services provided by the Advisor and the Sub-Advisor. The Board meets at least quarterly as well as at other times as the need arises. At its quarterly meetings, the Board reviews reports by the Advisor which include, among other things, Fund performance, a review of the investment teams and reports on compliance, regulatory matters and risk management. The Board also meets with key investment personnel managing the Fund portfolios during the year. In October 2011, the Board also created two new standing committees (the Open-end Fund Committee and the Closed-end Fund Committee) to assist the full Board in monitoring and gaining a deeper insight into the distinctive issues and business practices of open-end and closed-end funds.
 
In addition, the Board continues its program of seeking to have the Board Members or a subset thereof visit each sub-advisor to the Nuveen funds at least once over a multiple year rotation, meeting with key investment and business personnel. In this regard, the Board visited with the Sub-Advisor’s municipal team in Minneapolis in September 2011, and with the Sub-Advisor’s municipal team in Chicago in November 2011. Further, an ad hoc committee of the Board visited the then-current transfer agents of the Nuveen funds in 2011 and the audit committee of the Board visited the various pricing agents for the Nuveen funds in January 2012. The Board considers factors and information that are relevant to its annual consideration of the renewal of the Advisory Agreements at the meetings held throughout the year. Accordingly, the Board considers the information provided and knowledge gained at these meetings when performing its annual review of the Advisory Agreements. The Independent Board Members are assisted throughout the process by independent legal counsel who provided materials describing applicable law and the duties of directors or trustees in reviewing advisory contracts and met with the Independent Board Members in executive sessions without management present. In addition, it is important to recognize that the management arrangements for the Nuveen funds are the result of many years of review and discussion between the Independent Board Members and fund management and that the Board Members’ conclusions may be based, in part, on their consideration of fee arrangements and other factors developed in previous years.
 
The Board considered all factors it believed relevant with respect to each Fund, including among other factors: (a) the nature, extent and quality of the services provided by the Fund Advisers, (b) the investment performance of the Fund and Fund Advisers, (c) the advisory fees and costs of the services to be provided to the Fund and the profitability of the Fund Advisers, (d) the extent of any economies of scale, (e) any benefits derived by the Fund Advisers from the relationship with the Fund and (f) other factors. Each Board Member may have accorded different weight to the various factors in reaching his or her conclusions with respect to a Fund’s Advisory Agreements. The Independent Board Members did not identify any single factor as all important or controlling. The Independent Board Members’ considerations were instead based on a

Nuveen Investments
 
97

 
 

 
 
Annual Investment Management Agreement
Approval Process (Unaudited) (continued)
 
comprehensive consideration of all the information presented. The principal factors considered by the Board and its conclusions are described below.
 
A. Nature, Extent and Quality of Services
In considering renewal of the Advisory Agreements, the Independent Board Members considered the nature, extent and quality of the Fund Adviser’s services, including advisory services and the resulting Fund performance and administrative services. The Independent Board Members further considered the overall reputation and capabilities of the Advisor and its affiliates, the commitment of the Advisor to provide high quality service to the Funds, their overall confidence in the Advisor’s integrity and the Advisor’s responsiveness to questions and concerns raised by them. The Independent Board Members reviewed materials outlining, among other things, the Fund Adviser’s organization and business; the types of services that the Fund Adviser or its affiliates provide to the Funds; the performance record of the applicable Fund (as described in further detail below); and any initiatives Nuveen had taken for the applicable fund product line.
 
In considering advisory services, the Board recognized that the Advisor provides various oversight, administrative, compliance and other services for the Funds and the Sub-Advisor generally provides the portfolio investment management services to the Funds. In reviewing the portfolio management services provided to each Fund, the Board reviewed the materials provided by the Nuveen Investment Services Oversight Team analyzing, among other things, the Sub-Advisor’s investment team and changes thereto, organization and history, assets under management, Fund objectives and mandate, the investment team’s philosophy and strategies in managing the Fund, developments affecting the Sub-Advisor or Fund and Fund performance. The Independent Board Members also reviewed portfolio manager compensation arrangements to evaluate each Fund Adviser’s ability to attract and retain high quality investment personnel, preserve stability, and reward performance but not provide an inappropriate incentive to take undue risks. In addition, the Board considered the Advisor’s execution of its oversight responsibilities over the Sub-Advisor. Given the importance of compliance, the Independent Board Members also considered Nuveen’s compliance program, including the report of the chief compliance officer regarding the Funds’ compliance policies and procedures; the resources dedicated to compliance; and the record of compliance with the policies and procedures.
 
In addition to advisory services, the Board considered the quality and extent of administrative and other non-investment advisory services the Advisor and its affiliates provide to the Funds, including product management, investment services (such as oversight of investment policies and procedures, risk management, and pricing), fund administration, oversight of service providers, shareholder services and communications, administration of Board relations, regulatory and portfolio compliance, legal support, managing leverage and promoting an orderly secondary market for common shares. The Board further recognized Nuveen’s additional investments in personnel, including in compliance and risk management.

98
 
Nuveen Investments
 
 
 

 
 
In reviewing the services provided, the Board also reviewed materials describing various notable initiatives and projects the Advisor performed in connection with the closed-end fund product line. These initiatives included completion of the refinancing of auction rate preferred securities; efforts to eliminate product overlap with fund mergers; elimination of the insurance mandate on several funds; ongoing services to manage leverage that has become increasingly complex; continued secondary market offerings, share repurchases and other support initiatives for certain funds; and continued communications efforts with shareholders, fund analysts and financial advisers. With respect to the latter, the Independent Board Members noted Nuveen’s continued commitment to supporting the secondary market for the common shares of its closed-end funds through a comprehensive secondary market communication program designed to raise investor and analyst awareness and understanding of closed-end funds. Nuveen’s support services included, among other things: continuing communications concerning the refinancing efforts related to auction rate preferred securities; supporting and promoting munifund term preferred shares (MTP) including by launching a microsite dedicated to MTP shares; sponsoring and participating in conferences; communicating with closed-end fund analysts covering the Nuveen funds throughout the year; providing marketing and product updates for the closed-end funds; and maintaining and enhancing a closed-end fund website.
 
Based on their review, the Independent Board Members found that, overall, the nature, extent and quality of services provided to the respective Funds under each applicable Advisory Agreement were satisfactory.
 
B. The Investment Performance of the Funds and Fund Advisers
The Board, including the Independent Board Members, reviewed and considered the performance history of each Fund over various time periods. The Board reviewed, among other things, each Fund’s historic investment performance as well as information comparing the Fund’s performance information with that of other funds (the “Performance Peer Group”) based on data compiled by Nuveen that was provided by an independent provider of mutual fund data and with recognized and/or customized benchmarks (i.e., benchmarks derived from multiple recognized benchmarks).
 
The Board reviewed reports, including a comprehensive analysis of the Funds’ performance and the applicable investment team. In this regard, the Board reviewed each Fund’s total return information compared to its Performance Peer Group for the quarter, one-, three- and five-year periods ending December 31, 2011, as well as performance information reflecting the first quarter of 2012. In addition, the Board reviewed each Fund’s total return information compared to recognized and/or customized benchmarks for the quarter, one- and three-year periods ending December 31, 2011, as well as performance information reflecting the first quarter of 2012.
 
The Independent Board Members also reviewed historic premium and discount levels, including a summary of actions taken to address or discuss other developments affecting

Nuveen Investments
 
99

 
 

 
 
Annual Investment Management Agreement
Approval Process (Unaudited) (continued)
 
the secondary market discounts of various funds. This information supplemented the fund performance information provided to the Board at each of its quarterly meetings.
 
In reviewing performance comparison information, the Independent Board Members recognized that the usefulness of the comparisons of the performance of certain funds with the performance of their respective Performance Peer Group may be limited because the Performance Peer Group may not adequately represent the objectives and strategies of the applicable funds or may be limited in size or number. In this regard, the Independent Board Members noted that the Performance Peer Groups of the Nuveen Ohio Quality Income Municipal Fund, Inc. (the “Ohio Quality Fund”), the Nuveen Ohio Dividend Advantage Municipal Fund (the “Ohio Dividend Fund”), the Ohio Dividend Advantage Municipal Fund 2 (the “Ohio Dividend Fund 2”), and the Nuveen Ohio Dividend Advantage Municipal Fund 3 (the “Ohio Dividend Fund 3”) were classified as having significant differences from such Funds based on various considerations such as special fund objectives, potential investable universe and the composition of the peer set (e.g., the number and size of competing funds and number of competing managers). The Independent Board Members also noted that the investment experience of a particular shareholder in the Nuveen funds will vary depending on when such shareholder invests in the applicable fund, the class held (if multiple classes are offered in a fund) and the performance of the fund (or respective class) during that shareholder’s investment period. In addition, although the performance below reflects the performance results for the time periods ending as of the most recent calendar year end (unless otherwise indicated), the Board also recognized that selecting a different ending time period may derive different results. Furthermore, while the Board is cognizant of the relevant performance of a fund’s peer set and/or benchmark(s), the Board evaluated fund performance in light of the respective fund’s investment objectives, investment parameters and guidelines and recognized that the objectives, investment parameters and guidelines of peers and/or benchmarks may differ to some extent, thereby resulting in differences in performance results. Nevertheless, with respect to any Nuveen funds that the Board considers to have underperformed their peers and/or benchmarks from time to time, the Board monitors such funds closely and considers any steps necessary or appropriate to address such issues.
 
In considering the results of the comparisons, the Independent Board Members observed, among other things, that the Nuveen Michigan Dividend Advantage Municipal Fund had satisfactory performance compared to its peers, performing in the third quartile over various periods. With respect to the Nuveen Michigan Quality Income Municipal Fund, Inc. and the Nuveen Michigan Premium Income Municipal Fund, Inc., the Independent Board Members observed that such Funds lagged their peers somewhat in the shorter one- and three-year periods, but demonstrated more favorable performance in the longer five-year period. As noted above, the Ohio Quality Fund, the Ohio Dividend Fund, the Ohio Dividend Fund 2 and the Ohio Dividend Fund 3 had significant differences from their respective Performance Peer Groups. Therefore, the Independent Board Members considered such Funds’ performance compared to their

100
 
Nuveen Investments

 
 

 
 
benchmarks and noted that each such Fund outperformed its respective benchmark in the one- and three-year periods.
 
Based on their review, the Independent Board Members determined that each Fund’s investment performance had been satisfactory.

C.
Fees, Expenses and Profitability
 
1. Fees and Expenses
The Board evaluated the management fees and expenses of each Fund reviewing, among other things, such Fund’s gross management fees, net management fees and net expense ratios in absolute terms as well as compared to the fee and expenses of a comparable universe of funds provided by an independent fund data provider (the “Peer Universe”) and any expense limitations.
 
The Independent Board Members further reviewed the methodology regarding the construction of the applicable Peer Universe. In reviewing the comparisons of fee and expense information, the Independent Board Members took into account that in certain instances various factors such as: the limited size and particular composition of the Peer Universe (including the inclusion of other Nuveen funds in the peer set); expense anomalies; changes in the funds comprising the Peer Universe from year to year; levels of reimbursement or fee waivers; the timing of information used; the differences in the type and use of leverage; and differences in the states reflected in the Peer Universe may impact the comparative data, thereby limiting somewhat the ability to make a meaningful comparison with peers.
 
In reviewing the fee schedule for a Fund, the Independent Board Members also considered the fund-level and complex-wide breakpoint schedules (described in further detail below) and any fee waivers and reimbursements provided by Nuveen (applicable, in particular, for certain closed-end funds launched since 1999). In reviewing fees and expenses (excluding leverage costs and leveraged assets), the Board considered the expenses and fees to be higher if they were over 10 basis points higher, slightly higher if they were approximately 6 to 10 basis points higher, in line if they were within approximately 5 basis points higher than the peer average and below if they were below the peer average of the Peer Universe. In reviewing the reports, the Board noted that the overwhelming majority of the Nuveen funds were at, close to or below their peer set average based on the net total expense ratio.
 
The Independent Board Members noted that the Funds each had net management fees and net expense ratios (including fee waivers and expense reimbursements) below or in line with their peer averages.
 
Based on their review of the fee and expense information provided, the Independent Board Members determined that each Fund’s management fees were reasonable in light of the nature, extent and quality of services provided to the Fund.
 
2. Comparisons with the Fees of Other Clients
The Independent Board Members further reviewed information regarding the nature of services and range of fees offered by the Advisor to other clients, including municipal separately managed accounts and passively managed exchange traded

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Annual Investment Management Agreement
Approval Process (Unaudited) (continued)

 
funds (ETFs) sub-advised by the Advisor. In evaluating the comparisons of fees, the Independent Board Members noted that the fee rates charged to the Funds and other clients vary, among other things, because of the different services involved and the additional regulatory and compliance requirements associated with registered investment companies, such as the Funds. Accordingly, the Independent Board Members considered the differences in the product types, including, but not limited to, the services provided, the structure and operations, product distribution and costs thereof, portfolio investment policies, investor profiles, account sizes and regulatory requirements. The Independent Board Members noted, in particular, that the range of services provided to the Funds (as discussed above) is much more extensive than that provided to separately managed accounts. Given the inherent differences in the various products, particularly the extensive services provided to the Funds, the Independent Board Members believe such facts justify the different levels of fees.
 
In considering the fees of the Sub-Advisor, the Independent Board Members also considered the pricing schedule or fees that the Sub-Advisor charges for similar investment management services for other Nuveen funds, funds of other sponsors (if any), and other clients (such as retail and/or institutional managed accounts).
 
3. Profitability of Fund Advisers
In conjunction with its review of fees, the Independent Board Members also considered the profitability of Nuveen for its advisory activities and its financial condition. The Independent Board Members reviewed the revenues and expenses of Nuveen’s advisory activities for the last two calendar years, the allocation methodology used in preparing the profitability data and an analysis of the key drivers behind the changes in revenues and expenses that impacted profitability in 2011. The Independent Board Members noted this information supplemented the profitability information requested and received during the year to help keep them apprised of developments affecting profitability (such as changes in fee waivers and expense reimbursement commitments). In this regard, the Independent Board Members noted that they have an Independent Board Member serve as a point person to review and keep them apprised of changes to the profitability analysis and/or methodologies during the year. The Independent Board Members also considered Nuveen’s revenues for advisory activities, expenses, and profit margin compared to that of various unaffiliated management firms with comparable assets under management (based on asset size and asset composition).
 
In reviewing profitability, the Independent Board Members recognized the Advisor’s continued investment in its business to enhance its services, including capital improvements to investment technology, updated compliance systems, and additional personnel in compliance, risk management, and product development as well as its ability to allocate resources to various areas of the Advisor as the need arises. In addition, in evaluating profitability, the Independent Board Members also recognized the subjective nature of determining profitability which may be affected by numerous factors including the allocation of expenses. Further, the Independent Board Members recognized the difficulties in making comparisons as the profitability of other advisers generally is not publicly available and the profitability

102
 
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information that is available for certain advisers or management firms may not be representative of the industry and may be affected by, among other things, the adviser’s particular business mix, capital costs, types of funds managed and expense allocations. Notwithstanding the foregoing, the Independent Board Members reviewed Nuveen’s methodology and assumptions for allocating expenses across product lines to determine profitability. In reviewing profitability, the Independent Board Members recognized Nuveen’s investment in its fund business. Based on their review, the Independent Board Members concluded that the Advisor’s level of profitability for its advisory activities was reasonable in light of the services provided.
 
With respect to sub-advisers affiliated with Nuveen, including the Sub-Advisor, the Independent Board Members reviewed the sub-adviser’s revenues, expenses and profitability margins (pre- and post-tax) for its advisory activities and the methodology used for allocating expenses among the internal sub-advisers. Based on their review, the Independent Board Members were satisfied that the Sub-Advisor’s level of profitability was reasonable in light of the services provided.
 
In evaluating the reasonableness of the compensation, the Independent Board Members also considered other amounts paid to a Fund Adviser by the Funds as well as any indirect benefits (such as soft dollar arrangements, if any) the Fund Adviser and its affiliates receive, or are expected to receive, that are directly attributable to the management of the Funds, if any. See Section E below for additional information on indirect benefits a Fund Adviser may receive as a result of its relationship with the Funds. Based on their review of the overall fee arrangements of each Fund, the Independent Board Members determined that the advisory fees and expenses of the respective Fund were reasonable.
 
D. Economies of Scale and Whether Fee Levels Reflect These Economies of Scale
With respect to economies of scale, the Independent Board Members have recognized the potential benefits resulting from the costs of a fund being spread over a larger asset base, although economies of scale are difficult to measure and predict with precision, particularly on a fund-by-fund basis. One method to help ensure the shareholders share in these benefits is to include breakpoints in the advisory fee schedule. Generally, management fees for funds in the Nuveen complex are comprised of a fund-level component and a complex-level component, subject to certain exceptions. Accordingly, the Independent Board Members reviewed and considered the applicable fund-level breakpoints in the advisory fee schedules that reduce advisory fees as asset levels increase. Further, the Independent Board Members noted that although closed-end funds may from time-to-time make additional share offerings, the growth of their assets will occur primarily through the appreciation of such funds’ investment portfolio.
 
In addition to fund-level advisory fee breakpoints, the Board also considered the Funds’ complex-wide fee arrangement. Pursuant to the complex-wide fee arrangement, the fees of the funds in the Nuveen complex are generally reduced as the assets in the fund complex reach certain levels. The complex-wide fee arrangement seeks to provide the benefits of economies of scale to fund shareholders when total fund complex assets

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Annual Investment Management Agreement
Approval Process (Unaudited) (continued)
 
increase, even if assets of a particular fund are unchanged or have decreased. The approach reflects the notion that some of Nuveen’s costs are attributable to services provided to all its funds in the complex and therefore all funds benefit if these costs are spread over a larger asset base. In addition, with the acquisition of the funds previously advised by FAF Advisors, Inc., the Board noted that a portion of such funds’ assets at the time of acquisition were deemed eligible to be included in the complex-wide fee calculation in order to deliver fee savings to shareholders in the combined complex and such funds were subject to differing complex-level fee rates.
 
Based on their review, the Independent Board Members concluded that the breakpoint schedules and complex-wide fee arrangement were acceptable and reflect economies of scale to be shared with shareholders when assets under management increase.
 
E. Indirect Benefits
In evaluating fees, the Independent Board Members received and considered information regarding potential “fall out” or ancillary benefits the respective Fund Adviser or its affiliates may receive as a result of its relationship with each Fund. In this regard, the Independent Board Members considered any revenues received by affiliates of the Advisor for serving as co-manager in initial public offerings of new closed-end funds as well as revenues received in connection with secondary offerings.
 
In addition to the above, the Independent Board Members considered whether the Fund Advisers received any benefits from soft dollar arrangements whereby a portion of the commissions paid by a Fund for brokerage may be used to acquire research that may be useful to the Fund Adviser in managing the assets of the Funds and other clients. The Independent Board Members recognized that each Fund Adviser has the authority to pay a higher commission in return for brokerage and research services if it determines in good faith that the commission paid is reasonable in relation to the value of the brokerage and research services provided and may benefit from such soft dollar arrangements. Similarly, the Board recognized that the research received pursuant to soft dollar arrangements by a Fund Adviser may also benefit a Fund and shareholders to the extent the research enhances the ability of the Fund Adviser to manage the Fund. The Independent Board Members noted that the Fund Advisers’ profitability may be somewhat lower if they did not receive the research services pursuant to the soft dollar arrangements and had to acquire such services directly.
 
Based on their review, the Independent Board Members concluded that any indirect benefits received by a Fund Adviser as a result of its relationship with the Funds were reasonable and within acceptable parameters.
 
F. Other Considerations
The Independent Board Members did not identify any single factor discussed previously as all-important or controlling. The Board Members, including the Independent Board Members, unanimously concluded that the terms of each Advisory Agreement are fair and reasonable, that the respective Fund Adviser’s fees are reasonable in light of the services provided to each Fund and that the Advisory Agreements be renewed.

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Reinvest Automatically,
Easily and Conveniently
 
Nuveen makes reinvesting easy. A phone call is all it takes to set up your reinvestment account.
 
Nuveen Closed-End Funds Automatic Reinvestment Plan
 
Your Nuveen Closed-End Fund allows you to conveniently reinvest distributions in additional Fund shares.
 
By choosing to reinvest, you’ll be able to invest money regularly and automatically, and watch your investment grow through the power of compounding. Just like distributions in cash, there may be times when income or capital gains taxes may be payable on distributions that are reinvested.
 
It is important to note that an automatic reinvestment plan does not ensure a profit, nor does it protect you against loss in a declining market.
 
Easy and convenient
 
To make recordkeeping easy and convenient, each month you’ll receive a statement showing your total distributions, the date of investment, the shares acquired and the price per share, and the total number of shares you own.
 
How shares are purchased
 
The shares you acquire by reinvesting will either be purchased on the open market or newly issued by the Fund. If the shares are trading at or above net asset value at the time of valuation, the Fund will issue new shares at the greater of the net asset value or 95% of the then-current market price. If the shares are trading at less than net asset value, shares for your account will be purchased on the open market. If the Plan Agent begins purchasing Fund shares on the open market while shares are trading below net asset value, but the Fund’s shares subsequently trade at or above their net asset value before the Plan Agent is able to complete its purchases, the Plan Agent may cease open-market purchases and may invest the uninvested portion of the distribution in newly-issued Fund shares at a price equal to the greater of the shares’ net asset value or 95% of the shares’ market value on the last business day immediately prior to the purchase date. Distributions received to purchase shares in the open market will normally be invested shortly after the distribution payment date. No interest will be paid on distributions awaiting reinvestment. Because the market price of the shares may increase before purchases are completed, the average purchase price per share may

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Reinvest Automatically,
Easily and Conveniently (continued)
 
exceed the market price at the time of valuation, resulting in the acquisition of fewer shares than if the distribution had been paid in shares issued by the Fund. A pro rata portion of any applicable brokerage commissions on open market purchases will be paid by Plan participants. These commissions usually will be lower than those charged on individual transactions.
 
Flexible
 
You may change your distribution option or withdraw from the Plan at any time, should your needs or situation change.
 
You can reinvest whether your shares are registered in your name, or in the name of a brokerage firm, bank, or other nominee. Ask your investment advisor if his or her firm will participate on your behalf. Participants whose shares are registered in the name of one firm may not be able to transfer the shares to another firm and continue to participate in the Plan.
 
The Fund reserves the right to amend or terminate the Plan at any time. Although the Fund reserves the right to amend the Plan to include a service charge payable by the participants, there is no direct service charge to participants in the Plan at this time.
 
Call today to start reinvesting distributions
 
For more information on the Nuveen Automatic Reinvestment Plan or to enroll in or withdraw from the Plan, speak with your financial advisor or call us at (800) 257-8787.

106
 
Nuveen Investments
 
 
 

 
 
Glossary of Terms
Used in this Report

Auction Rate Bond: An auction rate bond is a security whose interest payments are adjusted periodically through an auction process, which process typically also serves as a means for buying and selling the bond. Auctions that fail to attract enough buyers for all the shares offered for sale are deemed to have “failed,” with current holders receiving a formula-based interest rate until the next scheduled auction.
   
Average Annual Total Return: This is a commonly used method to express an investment’s performance over a particular, usually multi-year time period. It expresses the return that would have been necessary each year to equal the investment’s actual cumulative performance (including change in NAV or market price and reinvested dividends and capital gains distributions, if any) over the time period being considered.
   
Average Effective Maturity: The market-value-weighted average of the effective maturity dates of the individual securities including cash. In the case of a bond that has been advance-refunded to a call date, the effective maturity is the date on which the bond is scheduled to be redeemed using the proceeds of an escrow account. In most other cases the effective maturity is the stated maturity date of the security.
   
Effective Leverage: Effective leverage is a Fund’s effective economic leverage, and includes both regulatory leverage (see leverage) and the leverage effects of certain derivative investments in the Fund’s portfolio. Currently, the leverage effects of Tender Option Bond (TOB) inverse floater holdings are included in effective leverage values, in addition to any regulatory leverage.
   
Inverse Floating Rate Securities: Inverse floating rate securities, also known as inverse floaters or tender option bonds (TOBs), are created by depositing a municipal bond, typically with a fixed interest rate, into a special purpose trust created by a broker-dealer. This trust, in turn, (a) issues floating rate certificates typically paying short-term tax-exempt interest rates to third parties in amounts equal to some fraction of the deposited bond’s par amount or market value, and (b) issues an inverse floating rate certificate (sometimes referred to as an “inverse floater”) to an investor (such as a Fund) interested in gaining investment exposure to a long-term municipal bond. The income received by the holder of the inverse floater varies inversely with the short-term rate paid to the floating rate certificates’ holders, and in most circumstances the holder of the inverse floater bears substantially all of the underlying bond’s downside investment risk. The holder of the inverse floater typically also benefits disproportionately from any potential appreciation of the underlying bond’s value. Hence, an inverse floater essentially represents an investment in the underlying bond on a leveraged basis.

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Glossary of Terms
Used in this Report (continued)

Leverage: Using borrowed money to invest in securities or other assets, seeking to increase the return of an investment or portfolio.
   
Leverage-Adjusted Duration: Duration is a measure of the expected period over which a bond’s principal and interest will be paid, and consequently is a measure of the sensitivity of a bond’s or bond Fund’s value to changes when market interest rates change. Generally, the longer a bond’s or Fund’s duration, the more the price of the bond or Fund will change as interest rates change. Leverage-adjusted duration takes into account the leveraging process for a Fund and therefore is longer than the duration of the Fund’s portfolio of bonds.
   
Lipper Michigan Municipal Debt Funds Classification Average: Calculated using the returns of all closed-end funds in this category. Lipper returns account for the effects of management fees and assume reinvestment of distributions, but do not reflect any applicable sales charges.
   
Lipper Other States Municipal Debt Funds Classification Average: Calculated using the returns of all closed-end funds in this category. Lipper returns account for the effects of management fees and assume reinvestment of distributions, but do not reflect any applicable sales charges.
   
Market Yield (also known as Dividend Yield or Current Yield): An investment’s current annualized dividend divided by its current market price.
   
Net Asset Value (NAV): The net market value of all securities held in a portfolio.
   
Net Asset Value (NAV) Per Share: The market value of one share of a mutual fund or closed-end fund. For a Fund, the NAV is calculated daily by taking the Fund’s total assets (securities, cash, and accrued earnings), subtracting the Fund’s liabilities, and dividing by the number of shares outstanding.
   
Pre-Refunding: Pre-Refunding, also known as advanced refundings or refinancings, is a procedure used by state and local governments to refinance municipal bonds to lower interest expenses. The issuer sells new bonds with a lower yield and uses the proceeds to buy U.S. Treasury securities, the interest from which is used to make payments on the higher-yielding bonds. Because of this collateral, pre-refunding generally raises a bond’s credit rating and thus its value.
   
Regulatory Leverage: Regulatory leverage consists of preferred shares issued by or borrowings of a Fund. Both of these are part of a Fund’s capital structure. Regulatory leverage is sometimes referred to as “‘40 Act Leverage” and is subject to asset coverage limits set in the Investment Company Act of 1940.
   
S&P Municipal Bond Indexes for Michigan and Ohio: Unleveraged, market value-weighted indexes designed to measure the performance of the tax-exempt, investment-grade Michigan and Ohio municipal bond markets, respectively. Index returns assume reinvestment of distributions, but do not reflect any applicable sales charges or management fees.
 
108
 
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S&P Municipal Bond Index: An unleveraged, market value-weighted index designed to measure the performance of the tax-exempt, investment- grade U.S. municipal bond market. Index returns assume reinvestment of distributions, but do not reflect any applicable sales charges or management fees.
   
Taxable-Equivalent Yield: The yield necessary from a fully taxable investment to equal, on an after-tax basis, the yield of a municipal bond investment.
   
Zero Coupon Bond: A zero coupon bond does not pay a regular interest coupon to its holders during the life of the bond. Tax-exempt income to the holder of the bond comes from accretion of the difference between the original purchase price of the bond at issuance and the par value of the bond at maturity and is effectively paid at maturity. The market prices of zero coupon bonds generally are more volatile than the market prices of bonds that pay interest periodically.

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Notes

110
 
Nuveen Investments
 
 
 

 
 
Additional Fund Information
 
Board of Directors/Trustees
John P. Amboian
Robert P. Bremner
Jack B. Evans
William C. Hunter
David J. Kundert
William J. Schneider
Judith M. Stockdale
Carole E. Stone
Virginia L. Stringer
Terence J. Toth

Fund Manager
Nuveen Fund Advisors, Inc.
333 West Wacker Drive
Chicago, IL 60606

Custodian
State Street Bank
& Trust Company
Boston, MA

Transfer Agent and
Shareholder Services
State Street Bank &
Trust Company
Nuveen Funds
P.O. Box 43071
Providence, RI 02940-3071
(800) 257-8787

Legal Counsel
Chapman and Cutler LLP
Chicago, IL

Independent Registered
Public Accounting Firm
Ernst & Young LLP
Chicago, IL
 
Quarterly Portfolio of Investments and Proxy Voting Information
 
You may obtain (i) each Fund’s quarterly portfolio of investments, (ii) information regarding how each Fund voted proxies relating to portfolio securities held during the most recent twelve-month period ended June 30, and (iii) a description of the policies and procedures that each Fund used to determine how to vote proxies relating to portfolio securities without charge, upon request, by calling Nuveen Investments toll-free at (800) 257-8787 or on Nuveen’s website at www.nuveen.com.
 
You may also obtain this and other Fund information directly from the Securities and Exchange Commission (SEC). The SEC may charge a copying fee for this information. Visit the SEC on-line at http://www.sec.gov or in person at the SEC’s Public Reference Room in Washington, D.C. Call the SEC at (202) 942-8090 for room hours and operation. You may also request Fund information by sending an e-mail request to publicinfo@sec.gov or by writing to the SEC’s Public References Section at 100 F Street NE, Washington, D.C. 20549.
 
CEO Certification Disclosure
 
Each Fund’s Chief Executive Officer (CEO) has submitted to the New York Stock Exchange (NYSE) the annual CEO certification as required by Section 303A.12(a) of the NYSE Listed Company Manual.
 
Each Fund has filed with the SEC the certification of its Chief Executive Officer and Chief Financial Officer required by Section 302 of the Sarbanes-Oxley Act.
 
Common Share Information
 
Each Fund intends to repurchase of its own common stock in the future at such times and in such amounts as is deemed advisable. During the period covered by this report, the Funds repurchased shares of their common stock as shown in the accompanying table.

   
Common Shares
Fund
 
Repurchased
NUM
 
NMP
 
NZW
 
NUO
 
NXI
 
NBJ
 
NVJ
 
 
Any future repurchases will be reported to shareholders in the next annual or semi-annual report.

Nuveen Investments
 
111
 
 
 

 
 
Nuveen Investments:
Serving Investors for Generations
 
Since 1898, financial advisors and their clients have relied on Nuveen Investments to provide dependable investment solutions through continued adherence to proven, long-term investing principles. Today, we offer a range of high quality equity and fixed-income solutions designed to be integral components of a well-diversified core portfolio.
 
Focused on meeting investor needs.
 
Nuveen Investments provides high-quality investment services designed to help secure the long-term goals of institutional and individual investors as well as the consultants and financial advisors who serve them. Nuveen Investments markets a wide range of specialized investment solutions which provide investors access to capabilities of its high-quality boutique investment affiliates—Nuveen Asset Management, Symphony Asset Management, NWQ Investment Management Company, Santa Barbara Asset Management, Tradewinds Global Investors, Winslow Capital Management and Gresham Investment Management. In total, Nuveen Investments managed $212 billion as of June 30, 2012.
 
Find out how we can help you.
 
To learn more about how the products and services of Nuveen Investments may be able to help you meet your financial goals, talk to your financial advisor, or call us at (800) 257-8787. Please read the information provided carefully before you invest. Investors should consider the investment objective and policies, risk considerations, charges and expenses of any investment carefully. Where applicable, be sure to obtain a prospectus, which contains this and other relevant information. To obtain a prospectus, please contact your securities representative or Nuveen Investments, 333 W. Wacker Dr., Chicago, IL 60606. Please read the prospectus carefully before you invest or send money.
 
Learn more about Nuveen Funds at: www.nuveen.com/cef
 
Distributed by
Nuveen Securities, LLC
333 West Wacker Drive
Chicago, IL 60606
www.nuveen.com/cef
 
ESA-C-0812D
 
 
 

 
 
ITEM 2. CODE OF ETHICS.

Not applicable to this filing.

ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.

Not applicable to this filing.

ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.

Not applicable to this filing.

ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS.

Not applicable to this filing.

ITEM 6. SCHEDULE OF INVESTMENTS.

(a) See Portfolio of Investments in Item 1.

(b) Not applicable.

ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END MANAGEMENT INVESTMENT COMPANIES.

Not applicable to this filing.

ITEM 8. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES.

Not applicable to this filing.

ITEM 9. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT COMPANY AND AFFILIATED PURCHASERS.

Not applicable.

ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.

There have been no material changes to the procedures by which shareholders may recommend nominees to the registrant's Board implemented after the registrant last provided disclosure in response to this Item.

ITEM 11. CONTROLS AND PROCEDURES.

(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") (17 CFR 270.30a-3(c))) are effective, as of a date within 90 days of the filing date of this report that includes the disclosure required by this paragraph, based on their evaluation of the controls and procedures required by Rule 30a-3(b) under the 1940 Act (17 CFR 270.30a-3(b)) and Rules 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934, as amended (the "Exchange Act")(17 CFR 240.13a-15(b) or 240.15d-15(b)).

(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 (17 CFR 270.30a-3(d)) that occurred during the second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting.

ITEM 12. EXHIBITS.

File the exhibits listed below as part of this Form.

(a)(1)
Any code of ethics, or amendment thereto, that is the subject of the disclosure required by Item 2, to the extent that the registrant intends to satisfy the Item 2 requirements through filing of an exhibit: Not applicable to this filing.

(a)(2)
A separate certification for each principal executive officer and principal financial officer of the registrant as required by Rule 30a-2(a) under the 1940 Act (17 CFR 270.30a-2(a)) in the exact form set forth below: See Ex-99.CERT attached hereto.

(a)(3)
Any written solicitation to purchase securities under Rule 23c-1 under the 1940 Act (17 CFR 270.23c-1) sent or given during the period covered by the  report by or on behalf of the registrant to 10 or more persons: Not applicable.

(b)
If the report is filed under Section 13(a) or 15(d) of the Exchange Act, provide the certifications required by Rule 30a-2(b) under the 1940 Act (17 CFR 270.30a-2(b)); Rule 13a-14(b) or Rule 15d-14(b) under the Exchange Act (17 CFR 240.13a-14(b) or 240.15d-14(b)), and Section 1350 of Chapter 63 of Title 18 of the United States Code (18 U.S.C. 1350) as an exhibit. A certification furnished pursuant to this paragraph will not be deemed "filed" for purposes of Section 18 of the Exchange Act (15 U.S.C. 78r), or otherwise subject to the liability of that section. Such certification will not be deemed to be incorporated by reference into any filing under the Securities Act of 1933 or the Exchange Act, except to the extent that the registrant specifically incorporates it by reference: See Ex-99.906 CERT attached hereto.


 
 

 
 
SIGNATURES

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

(Registrant) Nuveen Michigan Quality Income Municipal Fund, Inc.

By (Signature and Title) /s/ Kevin J. McCarthy
Kevin J. McCarthy
Vice President and Secretary

Date: November 8, 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 (Signature and Title) /s/ Gifford R. Zimmerman
Gifford R. Zimmerman
Chief Administrative Officer
(principal executive officer)

Date: November 8, 2012

By (Signature and Title) /s/ Stephen D. Foy
Stephen D. Foy
Vice President and Controller
 (principal financial officer)

Date: November 8, 2012