formn-csrs.htm
 
As filed with the Securities and Exchange Commission on July 5, 2012
 
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: 811-21167
 
NEUBERGER BERMAN CALIFORNIA INTERMEDIATE MUNICIPAL FUND INC.
(Exact Name of the Registrant as Specified in Charter)
c/o Neuberger Berman Management LLC
605 Third Avenue, 2nd Floor
New York, New York 10158-0180
(Address of Principal Executive Offices – Zip Code)
 
Registrant’s telephone number, including area code: (212) 476-8800
 
Robert Conti, Chief Executive Officer
Neuberger Berman California Intermediate Municipal Fund Inc.
c/o Neuberger Berman Management LLC
605 Third Avenue, 2nd Floor
New York, New York  10158-0180
 
Arthur C. Delibert, Esq.
K&L Gates LLP
1601 K Street, N.W.
Washington, D.C. 20006-1600
(Names and Addresses of agents for service)
 
Date of fiscal year end: October 31, 2012
 
Date of reporting period: April 30, 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 the Secretary, Securities and Exchange Commission, 100 F Street, NE, Washington, DC 20549-0609. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. § 3507.

 
 

 

Item 1. Report to Stockholders
 
 
 
 

 
Neuberger Berman
Intermediate Municipal
Closed-End Funds
 

 
Neuberger Berman California Intermediate Municipal Fund Inc.
 
Neuberger Berman Intermediate Municipal Fund Inc.
 
Neuberger Berman New York Intermediate Municipal Fund Inc.
 
 
 
 
 

 
 
 

 
 
 
 
Semi-Annual Report
 
April 30, 2012
 

 
 

 
 
 
 
Contents
 
PRESIDENT’S LETTER
1
   
PORTFOLIO COMMENTARIES
 
   
California Intermediate Municipal Fund Inc.
2
   
Intermediate Municipal Fund Inc.
2
   
New York Intermediate Municipal Fund Inc.
2
   
SCHEDULES OF INVESTMENTS
 
   
California Intermediate Municipal Fund Inc.
7
   
Intermediate Municipal Fund Inc.
11
   
New York Intermediate Municipal Fund Inc.
19
   
FINANCIAL STATEMENTS
25
FINANCIAL HIGHLIGHTS/PER SHARE DATA
 
   
California Intermediate Municipal Fund Inc.
36
   
Intermediate Municipal Fund Inc.
37
   
New York Intermediate Municipal Fund Inc.
38
   
Distribution Reinvestment Plan
40
   
Directory
43
   
Proxy Voting Policies and Procedures
44
   
Quarterly Portfolio Schedule
44
   
Recent Market Conditions
44
   
Privacy Notice
Located after the Funds’ Report

 

 
The “Neuberger Berman” name and logo are registered service marks of Neuberger Berman Group LLC. “Neuberger Berman Management LLC” and the individual Fund names in this piece are either service marks or registered service marks of Neuberger Berman Management LLC. ©2012 Neuberger Berman Management LLC. All rights reserved.
 
 
 
 

 
President's Letter
 
Dear Shareholder,
 
I am pleased to present this semi-annual report for the Neuberger Berman Intermediate Municipal Closed-End Funds for the six months ended April 30, 2012. The report includes portfolio commentaries, listings of the Funds’ investments and their unaudited financial statements for the reporting period.
 
Each Fund’s investment objective is to provide a high level of current income exempt from regular federal income tax and, for each state-specific Fund, a high level of current income exempt from that state’s personal income taxes (and, in the case of the New York Fund, New York City personal income tax).
 
We generally invest in intermediate-term municipal bonds because our experience and research indicate strongly that this maturity range has historically offered the best risk/reward profile on the yield curve, providing much of the return of longer-term bonds with less volatility and risk. We believe that our conservative investment philosophy and disciplined investment process will benefit you with superior tax-exempt current income over the long term.
 
Thank you for your confidence in the Funds. We will continue to do our best to earn your trust in the years to come.
 
Sincerely,
 
 
 

 
Robert Conti
 
President and CEO
 
Neuberger Berman California Intermediate Municipal Fund Inc.
 
Neuberger Berman Intermediate Municipal Fund Inc.
 
Neuberger Berman New York Intermediate Municipal Fund Inc.
 
 
 
1

 
 
Neuberger Berman Intermediate Municipal Closed-End Funds Portfolio Commentaries
 
For the six months ended April 30, 2012, on a net asset value (“NAV”) basis, all three of the Neuberger Berman Intermediate Municipal Closed-End Funds posted positive returns. Neuberger Berman Intermediate Municipal Fund and Neuberger Berman California Intermediate Municipal Fund outperformed the Barclays 10-Year Municipal Bond Index, whereas Neuberger Berman New York Intermediate Municipal Fund lagged the index during the reporting period. The use of leverage (typically a performance enhancer in up markets and a detractor during market retreats) was beneficial for performance as well.
 
Despite several brief setbacks, the municipal market posted a solid return during the reporting period. The market rallied during the first half of the period, driven by rising tax revenues, low defaults and some signs of progress in the fiscal position of many state and local governments. In addition, new supply was relatively low and investor demand was strong as municipal bonds were attractively valued versus comparable Treasuries. A portion of the municipal market’s gains were given back in March as yields rose. This was triggered by an increase in supply and an expectation that investors would withdraw from municipal mutual funds in order to pay taxes.
 
Looking at the municipal market more closely, lower-quality securities outperformed their higher-quality counterparts given investors’ quest to generate incremental yield. In addition, longer-term securities outperformed shorter-term securities. The intermediate portion of the municipal curve produced mixed results over the six months ended April 30, 2012. After generating strong returns over the first half of the period, it was the weakest performing portion of the curve during the second half of the period. In our view, this was due to relatively rich valuations in the intermediate portion of the curve at the beginning of 2012 and to profit taking by investors.
 
We tactically adjusted the Funds’ durations during the reporting period. We started the period with long durations versus the index and later allowed durations to drift shorter. This adjustment was made because we expected to see some softness in the market given its extended rally and due to seasonal weakness that typically occurs during tax season. We then shifted to modestly longer durations toward the end of the period. In terms of the Funds’ yield curve positioning, we maintained a barbell approach (investing in shorter and longer maturities). In contrast, the Funds’ benchmark is concentrated in the eight- to 12-year portion of the curve, which was the weakest performing portion of the municipal yield curve. Given this, the Funds’ barbell approach enhanced their relative results.
 
The Funds maintained a lower quality than that of the benchmark in an attempt to generate incremental yield. This was rewarded given the outperformance of lower-quality bonds during the reporting period. However, having an underweight in tobacco bonds (municipal bonds secured by tobacco settlement payments) was a negative for results as they outperformed the benchmark. Finally, as previously mentioned, the use of leverage enhanced the Funds’ performance during the reporting period.
 
Looking ahead, we have a generally positive outlook for the municipal market, as it remains attractively valued versus equal-duration Treasuries, in our view. While the U.S. economy gained some traction during much of the reporting period, we continue to feel that a number of issues, including continued high unemployment, will hold back a more robust expansion. As such, we anticipate seeing inflation remain relatively well contained, which could allow the Federal Reserve Board to make good on its vow to keep the federal funds rate anchored in a historically low range for an extended period. Against this backdrop, we believe that overall demand for municipal bonds should remain strong.
 
 
 
 
2

 
We are comfortable with the Funds’ current positioning. Should municipal rates move higher, we may look to extend the Funds’ durations. In addition, if the economy strengthens, we may look to further increase our exposure to higher-yielding BBB-rated securities.
 
Sincerely,
 
 
 
 
 
 
James L. Iselin and S. Blake Miller
 
Portfolio Co-Managers
 
The composition, industries and holdings of the Funds are subject to change.
 
 
 
3

 
TICKER SYMBOLS
 
California Intermediate Municipal Fund
NBW
Intermediate Municipal Fund
NBH
New York Intermediate Municipal Fund
NBO

CALIFORNIA INTERMEDIATE
MUNICIPAL FUND PORTFOLIO
BY STATE AND TERRITORY
(as a % of Total Investments)
Arizona
   
0.5
%
California
   
83.7
 
Guam
   
2.0
 
Illinois
   
0.9
 
Massachusetts
   
0.7
 
Nevada
   
0.8
 
New York
   
0.6
 
Pennsylvania
   
1.3
 
Puerto Rico
   
7.9
 
Tennessee
   
0.4
 
Texas
   
1.2
 
Total
   
100.0
%

NEW YORK INTERMEDIATE
MUNICIPAL FUND PORTFOLIO
BY STATE AND TERRITORY
(as a % of Total Investments)
Arizona
   
0.4
%
California
   
2.8
 
Guam
   
2.3
 
Illinois
   
0.6
 
Massachusetts
   
0.8
 
Nevada
   
0.9
 
New York
   
82.7
 
Pennsylvania
   
1.5
 
Puerto Rico
   
6.1
 
Tennessee
   
0.4
 
Texas
   
1.5
 
Total
   
100.0
%
 
PERFORMANCE HIGHLIGHTS1
 
Inception
 
Six Month
Period Ended
 
Average Annual Total Return
Ended 04/30/2012
At NAV2 
Date
 
04/30/2012
 
1 Year
 
5 Years
 
Life of Fund
California Intermediate
Municipal Fund
09/24/2002
   
6.41
%
   
13.33
%
   
6.74
%
   
6.43
%
Intermediate Municipal Fund
09/24/2002
   
7.67
%
   
15.57
%
   
6.80
%
   
6.53
%
New York Intermediate
Municipal Fund
09/24/2002
   
5.62
%
   
10.57
%
   
6.03
%
   
5.97
%
At Market Price3 
                 
California Intermediate
Municipal Fund
09/24/2002
   
13.37
%
   
24.74
%
   
7.76
%
   
6.32
%
Intermediate Municipal Fund
09/24/2002
   
12.38
%
   
18.57
%
   
8.82
%
   
6.41
%
New York Intermediate
Municipal Fund
09/24/2002
   
14.66
%
   
21.04
%
   
7.30
%
   
5.80
%
Index
                 
Barclays 10 Year
Municipal Bond Index4 
     
5.94
%
   
11.46
%
   
6.55
%
   
5.28
%
 
Closed-end funds, unlike open-end funds, are not continually offered. Generally, there is an initial public offering and, once issued, common shares of closed-end funds are sold in the open market through a stock exchange.
 
The performance data quoted represent past performance and do not indicate future results. Current peformance may be lower or higher than the performance data quoted. For performance data current to the most recent month-end, please visit www.nb.com.
 
The results shown in the table reflect the reinvestment of income dividends and other distributions, if any. The results do not reflect the effect of taxes a shareholder would pay on Fund distributions or on the sale of Fund shares.
 
Investment return and market price will fluctuate and common shares may trade at prices below NAV. Common shares, when sold, may be worth more or less than their original cost.
 
Returns would have been lower if Neuberger Berman Management LLC (“Management”) had not waived a portion of its investment management fees during the periods shown. Please see Note B in the Notes to Financial Statements for specific information regarding fee waiver arrangements.
 
INTERMEDIATE MUNICIPAL FUND PORTFOLIO BY STATE
AND TERRITORY
 
(as a % of Total Investments)
 
Alabama
   
1.7
%
Arizona
   
5.2
 
California
   
14.0
 
Colorado
   
3.5
 
District of Columbia
   
1.1
 
Florida
   
1.2
 
Georgia
   
1.6
 
Guam
   
1.6
 
Hawaii
   
1.6
 
Illinois
   
8.4
 
Indiana
   
5.2
 
Iowa
   
2.6
 
Kentucky
   
0.5
 
Louisiana
   
0.3
 
Maine
   
0.5
 
Maryland
   
0.7
 
Massachusetts
   
4.5
 
Michigan
   
1.3
 
Minnesota
   
1.6
 
Mississippi
   
1.0
 
Missouri
   
3.6
 
Nevada
   
1.2
%
New Hampshire
   
0.6
 
New Jersey
   
2.1
 
New York
   
4.7
 
North Carolina
   
1.5
 
North Dakota
   
0.9
 
Ohio
   
0.5
 
Pennsylvania
   
3.6
 
Puerto Rico
   
3.0
 
South Carolina
   
0.5
 
Tennessee
   
1.8
 
Texas
   
7.5
 
Utah
   
1.4
 
Virginia
   
0.7
 
Washington
   
3.6
 
West Virginia
   
0.3
 
Wisconsin
   
2.8
 
Wyoming
   
1.1
 
Other
   
0.5
 
Total
   
100.0
%
 
 
 
4

 
 
Endnotes
 
1
A portion of each Fund’s income may be a tax preference item for purposes of the federal alternative minimum tax for certain shareholders.
   
2
Returns based on the net asset value (“NAV”) of each Fund.
   
3
Returns based on the market price of Fund common shares on the NYSE MKT.
   
4
Please see “Glossary of Indices” starting on page 6 for a description of the index. Please note that indices do not take into account any fees or expenses or tax consequences of investing in the individual securities that they track, and that individuals cannot invest directly in any index. Data about the performance of the index are prepared or obtained by Management and reflect the reinvestment of income dividends and other distributions. The Funds may invest in securities not included in a described index or may not invest in all securities included in a described index.

 
 
5

 
  
Glossary of Indices
 
Barclays 10-Year Municipal Bond Index:
An unmanaged index that is the 10-year (8-12) component of the Barclays Municipal Bond Index, which is a rules-based, market-value-weighted index engineered for the long-term tax-exempt bond market. To be included in the index, bonds must be rated investment-grade, have an outstanding par value of at least $7 million and be issued as part of a transaction of at least $75 million. The bonds must be fixed rate, have a dated-date after December 31, 1990, and be at least one year from their maturity date. Remarketed issues, taxable municipal bonds, bonds with floating rates, and derivatives, are excluded from the benchmark.
 

 
6

 
 
 
Schedule of Investments California Intermediate Municipal Fund Inc.
(Unaudited)
 
PRINCIPAL AMOUNT
 
(000’s omitted)
SECURITY
  VALUE
 
     (000’s omitted)z
       
     
Municipal Notes (168.8%)
 
Arizona (0.9%)
$
750
 
Verrado Comm. Fac. Dist. Number 1 G.O., Ser. 2003, 6.15%, due 7/15/17
$
747
 
             
California (141.3%)
 
500
 
Abag Fin. Au. Rev. (San Diego Hosp. Assoc.), Ser. 2003-C, 5.13%, due 3/1/18
 
538
ß
 
1,250
 
Alameda Co. Cert. of Participation Ref. Rev., Ser. 2001-A, (National Public Finance Guarantee Corp. Insured), 5.38%, due 12/1/17
 
1,266
 
 
1,285
 
Bay Area Gov’t Assoc. BART SFO Extension Rev. (Arpt. Premium Fare), Ser. 2002-A, (AMBAC Insured), 5.00%, due 8/1/21
 
1,279
 
 
500
 
California Ed. Fac. Au. Rev. (Scripps College), Ser. 2007,
 
558
ß
     
(National Public Finance Guarantee Corp. Insured), 5.00%, due 11/1/15
 
 
2,000
 
California HFA Home Mtge. Rev., Ser. 2006-E, (FGIC Insured), 4.88%, due 2/1/17
 
2,047
 
 
1,025
 
California HFA Home Mtge. Rev., Ser. 2007-E, 5.00%, due 2/1/42
 
1,051
 
 
2,000
 
California Hlth. Fac. Fin. Au. Rev. (Catholic Healthcare West), Ser. 2004-I, 4.95%, due 7/1/26 Putable 7/1/14
 
2,174
µß 
 
2,000
 
California Hlth. Fac. Fin. Au. Rev. (Catholic Healthcare West), Ser. 2009-C, 5.00%, due 7/1/37 Putable 7/2/12
 
2,015
µß 
 
2,000
 
California Hlth. Fac. Fin. Au. Rev. (Cedars-Sinai Med. Ctr.), Ser. 2005, 5.00%, due 11/15/21
 
2,204
ß
 
1,100
 
California Hlth. Fac. Fin. Au. Rev. (Hosp. Adventist Hlth. Sys.), Ser. 2002-A, (LOC: Wells Fargo Bank NA), 0.22%, due 9/1/25
 
1,100
µß 
 
1,535
 
California Hlth. Fac. Fin. Au. Rev. (St. Joseph Hlth. Sys.), Ser. 2011-C, (LOC: Northern Trust Co.), 0.25%, due 7/1/41
 
1,535
µ
 
1,000
 
California Infrastructure & Econ. Dev. Bank St. Sch. Fund Lease Rev.
 
1,070
 
     
(King City Joint Union High Sch. Dist. Fin.), Ser. 2010, 5.13%, due 8/15/24
 
 
500
 
California Muni. Fin. Au. Ed. Rev. (American Heritage Ed. Foundation Proj.), Ser. 2006-A, 5.00%, due 6/1/16
 
524
 
 
1,040
 
California Muni. Fin. Au. Rev. (Loma Linda Univ.), Ser. 2007, 5.00%, due 4/1/21
 
1,126
ß
 
600
 
California Muni. Fin. Au. Rev. (Southwestern Law Sch.), Ser. 2011, 6.00%, due 11/1/26
 
657
ß
 
2,000
 
California Poll. Ctrl. Fin. Au. Env. Imp. Rev. (Air Prod. & Chemicals, Inc.), Ser. 1997, 0.27%, due 3/1/41
 
2,000
µß 
 
2,500
 
California St. Dept. of Wtr. Res. Pwr. Supply Rev., Ser. 2002-A, 5.75%, due 5/1/17 Pre-Refunded 5/1/12
 
2,525
ØØ 
 
2,250
 
California St. G.O., Ser. 2002, 5.00%, due 10/1/17
 
2,292
 
 
1,095
 
California St. Pub. Works Board Lease Rev. (California Comm. Colleges), Ser. 2004-B, 5.50%, due 6/1/20
 
1,162
 
 
1,000
 
California St. Pub. Works Board Lease Rev. (Dept. of Gen. Svc.) (Cap. East End), Ser. 2002-A, (AMBAC Insured), 5.25%, due 12/1/16
 
1,022
 
 
2,000
 
California Statewide CDA Cert. of Participation Rev. (Children’s Hosp. Los Angeles), Ser. 1999, 5.13%, due 8/15/19
 
2,003
ß
 
985
 
California Statewide CDA Cert. of Participation Rev. (The Internext Group), Ser. 1999, 5.38%, due 4/1/17
 
987
ß
 
1,000
 
California Statewide CDA Hlth. Fac. Rev. (Adventist Hlth.), Ser. 2005-A, 5.00%, due 3/1/20
 
1,092
ß
 
5,000
 
California Statewide CDA Hlth. Fac. Rev. (Mem. Hlth. Svcs.), Ser. 2003-A, 6.00%, due 10/1/16
 
5,244
ß
 
1,325
 
California Statewide CDA Rev. (California Baptist Univ.), Ser. 2007-A, 5.30%, due 11/1/18
 
1,480
ß
 
1,000
 
California Statewide CDA Rev. (Daughters of Charity Hlth.), Ser. 2005-G, 5.00%, due 7/1/22
 
1,040
ß
 
1,000
 
California Statewide CDA Rev. (Lancer Ed. Std. Hsg. Proj.), Ser. 2007, 5.40%, due 6/1/17
 
1,073
ß
 
1,255
 
California Statewide CDA Rev. (Sr. Living So. California Presbyterian Homes), Ser. 2009, 6.25%, due 11/15/19
 
1,408
ß
 
1,500
 
California Statewide CDA Rev. (St. Joseph Hlth. Sys.), Ser. 2000, (National Public Finance Guarantee Corp. Insured), 5.13%, due 7/1/24
 
1,687
ß
 
355
 
California Statewide CDA Rev. (Valley Care Hlth. Sys.), Ser. 2007-A, 4.80%, due 7/15/17
 
372
ß
 
1,500
 
Compton Unified Sch. Dist. Ref. G.O. (Election 2002), Ser. 2006-D, (AMBAC Insured), 0.00%, due 6/1/14
 
1,427
 
 
1,365
 
Daly City Hsg. Dev. Fin. Agcy. Rev. Ref. (Franciscan Mobile Home Park), Ser. 2007-A, 5.00%, due 12/15/21
 
1,405
ß
 
820
 
Folsom Pub. Fin. Au. Spec. Tax Rev., Ser. 2007-B, 4.40%, due 9/1/12
 
825
 
 
250
 
Folsom Pub. Fin. Au. Spec. Tax Rev., Ser. 2007-B, 4.40%, due 9/1/13
 
256
 
 
 
See Notes to Schedule of Investments
 
7

 
 
Schedule of Investments California Intermediate Municipal Fund Inc.
(Unaudited) (cont’d)
 
PRINCIPAL AMOUNT
 
(000’s omitted)
SECURITY
  VALUE
 
     (000’s omitted)z
       
     
$
2,000
 
Fresno Joint Pwr. Fin. Au. Lease Rev. (Master Lease Proj.), Ser. 2008-A, (Assured Guaranty Insured), 5.00%, due 4/1/23
$
2,158
 
 
1,000
 
Fresno Unified Sch. Dist. Ref. G.O., Ser. 2002-A, (National Public Finance Guarantee Corp. Insured), 6.00%, due 2/1/17
 
1,160
 
 
2,835
 
Glendale Redev. Agcy. Tax Allocation Rev. (Central Glendale Redev. Proj.), Ser. 2002,
(National Public Finance Guarantee Corp. Insured), 5.00%, due 12/1/16
 
2,889
 
 
2,480
 
Glendale Redev. Agcy. Tax Allocation Rev. (Central Glendale Redev. Proj.), Ser. 2002,
(National Public Finance Guarantee Corp. Insured), 5.25%, due 12/1/17
 
2,528
 
 
2,000
 
Glendale Redev. Agcy. Tax Allocation Rev. (Central Glendale Redev. Proj.), Ser. 2010, 5.50%, due 12/1/24
 
2,072
 
 
1,000
 
Imperial Comm. College Dist. G.O. Cap. Appreciation (Election 2010), Ser. 2011-A, (AGM Insured), 0.00%, due 8/1/40
 
987
h
 
1,500
 
Inglewood Pub. Fin. Au. Ref. Rev., Ser. 1999-A (AMBAC Insured), 5.63%, due 8/1/15
 
1,505
 
 
440
 
Long Beach Fin. Au. Rev., Ser. 1992, (AMBAC Insured), 6.00%, due 11/1/17
 
470
 
 
4,000
 
Los Angeles Dept. of Arpts. Rev. (Los Angeles Int’l Arpt.), Ser. 2002-A,
(National Public Finance Guarantee Corp. Insured), 5.25%, due 5/15/18
 
4,013
 
 
2,000
 
Los Angeles Muni. Imp. Corp. Lease Ref. Rev. (Real Property), Ser. 2012-C, 5.00%, due 3/1/27
 
2,175
Ø
 
1,045
 
Marin Co. Muni. Wtr. Dist. Wtr. Ref. Rev., Ser. 2002, (AMBAC Insured), 5.00%, due 7/1/17
 
1,051
 
 
2,900
 
Metro. Wtr. Dist. So. California Waterworks Rev., Ser. 2000-B3, (LOC: Wells Fargo Bank NA), 0.21%, due 7/1/35
 
2,900
µ
 
1,070
 
Mill Valley Sch. Dist. G.O. Cap. Appreciation, Ser. 1994-A, 0.00%, due 8/1/19
 
878
 
 
1,000
 
Mountain House Pub. Fin. Au. Utils. Sys. Rev., Ser. 2007, 5.00%, due 12/1/22
 
1,019
 
 
535
 
Nevada & Placer Cos. Irrigation Dist. Cert. of Participation Rev., Ser. 2002,
 
552
 
 
(National Public Finance Guarantee Corp. Insured), 5.00%, due 1/1/16 Pre-Refunded 1/1/13
 
 
565
 
Nevada & Placer Cos. Irrigation Dist. Cert. of Participation Rev., Ser. 2002,
 
583
 
 
(National Public Finance Guarantee Corp. Insured), 5.00%, due 1/1/17 Pre-Refunded 1/1/13
 
 
500
 
Northstar Comm. Svcs. Dist. Spec. Tax (Comm. Facs. Dist. Number 1), Ser. 2006, 4.70%, due 9/1/18
 
382
 
 
500
 
Northstar Comm. Svcs. Dist. Spec. Tax (Comm. Facs. Dist. Number 1), Ser. 2006, 4.75%, due 9/1/19
 
371
 
 
605
 
Oakland Redev. Agcy. Rev. (Coliseum Area Redev. Proj.), Ser. 2003, 5.00%, due 9/1/16 Pre-Refunded 3/1/13
 
628
 
 
635
 
Oakland Redev. Agcy. Rev. (Coliseum Area Redev. Proj.), Ser. 2003, 5.00%, due 9/1/17 Pre-Refunded 3/1/13
 
660
 
 
1,290
 
Oakland Redev. Agcy. Sub. Tax Allocation Rev. (Central Dist. Redev. Proj.), Ser. 2003,
(National Public Finance Guarantee Corp. Insured), 5.50%, due 9/1/17
 
1,335
 
 
1,445
 
Oceanside Cert. of Participation Ref. Rev., Ser. 2003-A, (AMBAC Insured), 5.25%, due 4/1/14
 
1,493
 
 
1,490
 
Oxnard Harbor Dist. Rev., Ser. 2011-B, 4.50%, due 8/1/24
 
1,534
 
 
1,500
 
Pico Rivera Pub. Fin. Au. Lease Rev., Ser. 2009, 4.75%, due 9/1/25
 
1,638
 
 
3,890
 
Port of Oakland Ref. Rev., Ser. 2002-N, (National Public Finance Guarantee Corp. Insured), 5.00%, due 11/1/13
 
3,968
 
 
440
 
Roseville Stone Point Comm. Fac. Dist. Number 1 Special Tax Rev., Ser. 2003, 5.70%, due 9/1/17
 
451
 
 
1,000
 
Sacramento City Fin. Au. Ref. Rev. (Master Lease Prog. Facs.), Ser. 2006-E, (AMBAC Insured), 5.25%, due 12/1/24
 
1,144
 
 
2,600
 
Sacramento Muni. Utils. Dist. Elec. Rev., Ser. 1997-K, (AMBAC Insured), 5.70%, due 7/1/17
 
3,178
 
 
1,350
 
San Bernardino Comm. College Dist. G.O. (Election 2002), Ser. 2008-A, 6.25%, due 8/1/24
 
1,670
 
 
400
 
San Diego Pub. Facs. Fin. Au. Lease Rev. (Ballpark), Ser. 2007-A, (AMBAC Insured), 5.25%, due 2/15/19
 
440
 
 
830
 
San Diego Redev. Agcy. Sub. Parking Rev. (Centre City Redev. Proj.), Ser. 2003-B, 4.80%, due 9/1/15
 
831
 
 
820
 
San Diego Redev. Agcy. Sub. Parking Rev. (Centre City Redev. Proj.), Ser. 2003-B, 4.90%, due 9/1/16
 
821
 
 
2,000
 
San Diego Unified Sch. Dist. G.O. (Election 1998), Ser. 2002-D, (FGIC Insured), 5.25%, due 7/1/21
 
2,035
 
 
1,000
 
San Francisco City & Co. Arpts. Commission Int’l Ref. Rev., Ser. 2009-C2, 5.00%, due 5/1/21
 
1,169
 
 
2,115
 
San Francisco City & Co. Redev. Fin. Au. Tax Allocation (San Francisco Redev. Proj.), Ser. 2003-B,
(National Public Finance Guarantee Corp. Insured), 5.25%, due 8/1/18
 
2,194
 
 
2,000
 
San Francisco City & Co. Unified Sch. Dist. Ref. Rev., Ser. 2012, 4.00%, due 6/15/25
 
2,142
 
 
925
 
San Jose Multi-Family Hsg. Rev. (Fallen Leaves Apts. Proj.), Ser. 2002-J1, (AMBAC Insured), 4.95%, due 12/1/22
 
912
ß
 
1,060
 
San Jose Redev. Agcy. Tax Allocation Ref. (Merged Area Redev. Proj.), Ser. 2006-D, (AMBAC Insured), 5.00%, due 8/1/21
 
1,098
 
 
1,000
 
San Mateo Union High Sch. Dist. G.O. Cap. Appreciation (Election 2010), Ser. 2011-A, 0.00%, due 9/1/25
 
519
 
 
1,000
 
San Rafael City High Sch. Dist. G.O. Cap. Appreciation (Election 2002), Ser. 2004-B,
(National Public Finance Guarantee Corp. Insured), 0.00%, due 8/1/18
 
832
 
 
1,390
 
San Rafael Redev. Agcy. Tax Allocation Ref. (Central San Rafael Redev. Proj.), Ser. 2009,
(Assured Guaranty Insured), 5.00%, due 12/1/21
 
1,579
 
 
 
 
 
 
See Notes to Schedule of Investments
 
8

 
 
Schedule of Investments California Intermediate Municipal Fund Inc.
(Unaudited) (cont’d)
 
PRINCIPAL AMOUNT
 
(000’s omitted)
SECURITY
  VALUE
 
     (000’s omitted)z
       
     
$
1,620
 
Santa Clara Co. Fremont Union High Sch. Dist. G.O. (Election 1998), Ser. 2002-C, (AGM Insured), 5.00%, due 9/1/20 Pre-Refunded 9/1/12
$
1,646
 
 
485
 
Santa Maria Bonita Sch. Dist. Cert. of Participation (Cap. Imp. & Ref. Proj.), Ser. 1998,
(National Public Finance Guarantee Corp. Insured), 5.00%, due 3/1/14
 
487
 
 
525
 
Sierra View Local Hlth. Care Dist. Rev., Ser. 2007, 4.40%, due 7/1/13
 
540
 
 
505
 
Sierra View Local Hlth. Care Dist. Rev., Ser. 2007, 4.50%, due 7/1/14
 
526
 
 
560
 
South Gate Pub. Fin. Au. Tax Allocation Rev. (South Gate Redev. Proj. Number 1), Ser. 2002,
(XLCA Insured), 5.00%, due 9/1/16
 
573
 
 
1,500
 
Sulphur Springs Union Sch. Dist. Cert. of Participation (Cap. Appreciation), Ser. 2010,
(AGM Insured), 0.00%, due 12/1/37
 
1,423
c
 
1,250
 
Sunnyvale Sch. Dist. G.O. (Election 2004), Ser. 2005-A, (AGM Insured), 5.00%, due 9/1/21
 
1,348
 
 
1,300
 
Tulare Local Hlth. Care Dist., Ser. 2007, 5.00%, due 11/1/20
 
1,287
 
 
2,000
 
Vernon Elec. Sys. Rev., Ser. 2009-A, 5.13%, due 8/1/21
 
2,221
 
 
3,000
 
Victor Valley Comm. College Dist. G.O. Cap. Appreciation (Election 2008), Ser. 2009-C, 0.00%, due 8/1/37
 
2,286
i
 
2,250
 
Wiseburn Sch. Dist. G.O. Cap Appreciation (Election 2010), Ser. 2011-B, (AGM Insured), 0.00%, due 8/1/36
 
1,047
j
 
 
 
   
121,792
 
Guam (3.5%)
 
1,110
 
Guam Gov’t Hotel Occupancy Tax Rev., Ser. 2011-A, 5.25%, due 11/1/18
 
1,229
 
 
700
 
Guam Gov’t Waterworks Au. Wtr. & Wastewater Sys. Rev., Ser. 2005, 5.50%, due 7/1/16
 
739
 
 
1,000
 
Guam Gov’t Waterworks Au. Wtr. & Wastewater Sys. Rev., Ser. 2010, 5.25%, due 7/1/25
 
1,012
 
   
2,980
 
Illinois (1.5%)
 
715
 
Bartlett Tax Increment Ref. Rev. (Quarry Redev. Proj.), Ser. 2007, 5.35%, due 1/1/17
 
727
 
 
500
 
Illinois Fin. Au. Rev. (Navistar Int’l Rec. Zone Fac.), Ser. 2010, 6.50%, due 10/15/40
 
541
ß
   
1,268
 
Massachusetts (1.2%)
 
1,000
 
Massachusetts St. HFA Rev., Ser. 2010-C, 5.00%, due 12/1/30
 
1,049
 
Nevada (1.3%)
 
1,000
 
Las Vegas Redev. Agcy. Tax Increment Rev., Ser. 2009-A, 7.50%, due 6/15/23
 
1,131
 
New York (1.0%)
 
1,000
 
Nassau Co. IDA Continuing Care Retirement (The Amsterdam Harborside), Ser. 2007-A,
5.88%, due 1/1/18
 
883
ß
Pennsylvania (2.1%)
 
2,000
 
Pennsylvania St. Turnpike Commission Turnpike Rev. (Cap. Appreciation), Subser. 2010-B2,
0.00%, due 12/1/34
 
1,842
b
Puerto Rico (13.3%)
 
2,000
 
Puerto Rico Commonwealth Aqueduct & Swr. Au. Sr. Lien Rev., Ser. 2012-A, 4.25%, due 7/1/25
 
1,976
 
 
1,500
 
Puerto Rico Elec. Pwr. Au. Ref. Rev., Ser. 2007-VV, 5.50%, due 7/1/20
 
1,736
 
 
1,000
 
Puerto Rico Elec. Pwr. Au. Rev., Ser. 2010-XX, 5.25%, due 7/1/35
 
1,027
 
 
1,000
 
Puerto Rico Ind., Tourist, Ed., Med. & Env. Ctrl. Fac. Rev. (Polytechnic Univ. of Puerto Rico Proj.),
 
1,007
ß
 
Ser. 2002-A, (ACA Insured), 5.25%, due 8/1/15
 
 
3,000
 
Puerto Rico Muni. Fin. Agcy. Rev., Ser. 2002-A, (AGM Insured), 5.25%, due 8/1/17
 
3,024
 
 
1,000
 
Puerto Rico Muni. Fin. Agcy. Rev., Ser. 2002-A, (AGM Insured), 5.25%, due 8/1/21
 
1,006
 
 
1,500
 
Puerto Rico Sales Tax Fin. Corp. Rev., Subser. 2009-A, 5.00%, due 8/1/24
 
1,677
 
   
11,453
 
 
See Notes to Schedule of Investments
 
 
 
9

 
Schedule of Investments California Intermediate Municipal Fund Inc.
(Unaudited) (cont’d)
 
 
PRINCIPAL AMOUNT
 
(000’s omitted)
SECURITY
  VALUE
 
     (000’s omitted)z
       
     
Tennessee (0.6%)
$
500
 
Tennessee Energy Acquisition Corp. Gas Rev., Ser. 2006-A, 5.25%, due 9/1/23
$
553
 
Texas (2.1%)
 
1,750
 
Love Field Arpt. Modernization Corp. Spec. Fac. Rev. (Southwest Airlines Co. Proj.), Ser. 2010, 5.25%, due 11/1/40
 
1,807
ß
     
Total Investments (168.8%) (Cost $139,632)
 
145,505
## 
 
Liabilities, less cash, receivables and other assets [(0.4%)]
 
(304
)
 
Liquidation Value of Auction Market Preferred Shares [(68.4%)]
 
(59,000
)
     
Total Net Assets Applicable to Common Shareholders (100.0%)
$
86,201
 
 
See Notes to Schedule of Investments
 
 
 
10

 
Schedule of Investments Intermediate Municipal Fund Inc.
(Unaudited)
 
PRINCIPAL AMOUNT
 
(000’s omitted)
SECURITY
  VALUE
 
     (000’s omitted)z
       
     
Municipal Notes (160.9%)
 
   
Alabama (2.7%)
 
$
1,500
 
Courtland IDB Solid Waste Disp. Rev. (Champion Int’l Corp. Proj.), Ser. 1999, 6.00%, due 8/1/29
 
$
1,506
ß
 
 
4,210
 
DCH Hlth. Care Au. Hlth. Care Fac. Rev., Ser. 2002, 5.25%, due 6/1/14
   
4,266
   
 
1,900
 
Selma IDB Rev. (Int’l Paper Co. Proj.), Ser. 2011-A, 5.38%, due 12/1/35
   
2,007
ß
 
     
7,779
   
Arizona (8.3%)
 
 
1,465
 
Arizona Energy Management Svcs. LLC Energy Conservative Rev.
   
1,477
ß
 
 
(Arizona St. Univ. Proj.-Main Campus), Ser. 2002, (National Public Finance Guarantee Corp. Insured), 5.25%, due 7/1/17 Pre-Refunded 7/1/12
     
 
5,000
 
Arizona Sch. Fac. Board Cert. of Participation, Ser. 2008, (Assured Guaranty Insured), 5.13%, due 9/1/21
   
5,663
   
 
2,265
 
Arizona Wtr. Infrastructure Fin. Au. Rev. (Wtr. Quality), Ser. 2008-A, 5.00%, due 10/1/22
   
2,675
   
 
5,870
 
Mohave Co. Ind. Dev. Au. Correctional Fac. Contract Rev. (Mohave Prison LLC Expansion Proj.), Ser. 2008, 7.50%, due 5/1/19
   
6,867
ß
 
 
400
 
Phoenix-Mesa Gateway Arpt. Au. Spec. Fac. Rev. (Mesa Proj.), Ser. 2012, 5.00%, due 7/1/24
   
436
   
 
1,840
 
Pinal Co. Cert. of Participation, Ser. 2004, 5.25%, due 12/1/18
   
1,983
   
 
1,155
 
Pinal Co. Cert. of Participation, Ser. 2004, 5.25%, due 12/1/22
   
1,234
   
 
1,750
 
Verrado Comm. Fac. Dist. Number 1 G.O., Ser. 2003, 6.15%, due 7/15/17
   
1,743
   
 
2,325
 
Verrado Comm. Fac. Dist. Number 1 G.O., Ser. 2006, 5.05%, due 7/15/18
   
2,153
   
     
24,231
   
California (22.6%)
 
 
1,530
 
California HFA Rev. (Home Mtge.), Ser. 2007-E, 5.00%, due 2/1/42
   
1,569
   
 
2,250
 
California Hlth. Fac. Fin. Au. Rev. (Cedars-Sinai Med. Ctr.), Ser. 2009, 5.00%, due 8/15/39
   
2,378
ß
 
 
1,725
 
California Infrastructure & Econ. Dev. Bank St. Sch. Fund Rev. (King City Joint Union High Sch.), Ser. 2010, 5.13%, due 8/15/24
   
1,845
   
 
1,685
 
California St. G.O., Ser. 2007, (XLCA Insured), 4.50%, due 8/1/27
   
1,750
   
 
1,845
 
California St. G.O., Ser. 2005, 5.00%, due 3/1/19
   
2,011
   
 
1,500
 
California St. Pub. Works Board Lease Rev. (Dept. of Gen. Svcs. Cap East End), Ser. 2002-A, (AMBAC Insured), 5.25%, due 12/1/17
   
1,533
   
 
 
     
 
4,000
 
California St. Var. Purp. G.O., Ser. 2009, 5.63%, due 4/1/25
   
4,592
   
 
1,240
 
California Statewide CDA Hlth. Fac. Rev. (Mem. Hlth. Svcs.), Ser. 2003-A, 6.00%, due 10/1/16 Pre-Refunded 4/1/13
   
1,300
ß
 
 
1,125
 
California Statewide CDA Rev. (California Baptist Univ. Proj.), Ser. 2007-A, 5.30%, due 11/1/18
   
1,257
ß
 
 
2,000
 
Emery Unified Sch. Dist. G.O. (Election 2010), Ser. 2011-A, 6.50%, due 8/1/33
   
2,395
   
 
1,880
 
Golden St. Tobacco Securitization Corp. Tobacco Settlement Rev., Ser. 2003-A1, 6.25%, due 6/1/33
   
1,972
   
 
2,000
 
Imperial Comm. College Dist. G.O. Cap. Appreciation (Election 2010), Ser. 2011-A, (AGM Insured), 0.00%, due 8/1/40
   
1,974
h
 
 
3,620
 
Norwalk-La Mirada Unified Sch. Dist. G.O. Cap. Appreciation, Ser. 2005-B, (AGM Insured), 0.00%, due 8/1/24
   
2,062
   
 
5,750
 
Norwalk-La Mirada Unified Sch. Dist. G.O. Cap. Appreciation (Election 2002), Ser. 2009-E,
   
3,715
d
 
 
(Assured Guaranty Insured), 0.00%, due 8/1/29
     
 
2,080
 
Oakland Redev. Agcy. Sub. Tax Allocation Rev. (Central Dist. Redev. Proj.), Ser. 2003,
(National Public Finance Guarantee Corp. Insured), 5.50%, due 9/1/18
   
2,150
   
 
5,000
 
Redondo Beach Unified Sch. Dist. G.O., Ser. 2009, 0.00%, due 8/1/34
   
4,638
e
 
 
2,060
 
Rocklin Unified Sch. Dist. G.O. Cap. Appreciation, Ser. 1994-B,
   
1,680
   
 
(National Public Finance Guarantee Corp. Insured), 0.00%, due 8/1/19
     
 
4,000
 
Sacramento City Fin. Au. Ref. Rev. (Master Lease Prog. Facs.), Ser. 2006-E, (AMBAC Insured), 5.25%, due 12/1/26
   
4,524
   
 
2,000
 
San Bernardino Comm. College Dist. G.O. Cap. Appreciation (Election), Ser. 2009-B, 0.00%, due 8/1/34
   
1,539
f
 
 
740
 
San Diego Redev. Agcy. Sub. Parking Rev. (Centre City Redev. Proj.), Ser. 2003-B, 5.00%, due 9/1/17
   
741
   
 
2,000
 
San Francisco City & Co. Arpt. Commission Int’l Arpt. Ref. Rev., Ser. 2009-C2, 5.00%, due 5/1/25
   
2,252
   
 
6,000
 
San Mateo Foster City Sch. Dist. G.O. Cap. Appreciation (Election 2008), Ser. 2010-A, 0.00%, due 8/1/32
   
3,613
g
 
 
3,000
 
Vernon Elec. Sys. Rev., Ser. 2009-A, 5.13%, due 8/1/21
   
3,331
   
 
 
See Notes to Schedule of Investments
 
11

 
 
Schedule of Investments Intermediate Municipal Fund Inc.
(Unaudited) (cont’d)
 
 
PRINCIPAL AMOUNT
 
(000’s omitted)
SECURITY
  VALUE
 
     (000’s omitted)z
       
     
$
9,070
 
Victor Valley Comm. College Dist. G.O. Cap. Appreciation (Election 2008), Ser. 2009-C, 0.00%, due 8/1/37
 
$
6,911
i
 
 
5,095
 
Victor Valley Joint Union High Sch. Dist. G.O. Cap. Appreciation Bonds, Ser. 2009, (Assured Guaranty Insured), 0.00%, due 8/1/26
   
2,596
   
 
3,000
 
Wiseburn Sch. Dist. G.O. Cap. Appreciation (Election 2010), Ser. 2011-B, (AGM Insured), 0.00%, due 8/1/36
   
1,396
j
 
 
 
     
     
65,724
   
Colorado (5.7%)
 
 
6,000
 
Colorado Ed. & Cultural Facs. Au. Rev. (Nat’l Jewish Federal Board Prog.), Ser. 2006-D1, (LOC: JP Morgan Chase Bank NA), 0.24%, due 7/1/36
   
6,000
µß 
 
 
4,220
 
Colorado Springs Utils. Sys. Sub. Lien Ref. Rev., Ser. 2002-A, (AMBAC Insured), 5.38%, due 11/15/18
   
4,327
   
 
720
 
Denver City & Co. Arpt. Sys. Ref. Rev., Ser. 1991-D, (XLCA Insured), 7.75%, due 11/15/13
   
746
   
 
5,000
 
Denver City & Co. Arpt. Sys. Rev., Ser. 2011-B, 5.00%, due 11/15/24
   
5,621
   
     
16,694
   
District of Columbia (1.8%)
 
 
1,615
 
District of Columbia HFA Rev. (Capitol Hill Towers Proj.), Ser. 2011, (Fannie Mae Insured), 4.10%, due 12/1/26
   
1,713
ß
 
 
1,000
 
Metro. Washington Dist. of Columbia Arpt. Au. Sys. Rev., Ser. 2008-A, 5.50%, due 10/1/18
   
1,194
   
 
2,000
 
Metro. Washington Dist. of Columbia Arpt. Au. Sys. Rev., Ser. 2011-C, 5.00%, due 10/1/26
   
2,192
   
     
5,099
   
Florida (2.0%)
 
 
1,000
 
Cityplace Comm. Dev. Dist. Spec. Assessment Rev. Ref., Ser. 2012, 5.00%, due 5/1/26
   
1,092
   
 
1,000
 
Hillsborough Co. Ind. Dev. Au. IDR (Hlth. Facs.), Ser. 2008-B, 8.00%, due 8/15/32 Pre-Refunded 8/15/19
   
1,432
ßØØ 
 
 
2,000
 
Lee Co. Arpt. Ref. Rev., Ser. 2011-A, 5.63%, due 10/1/25
   
2,241
   
 
1,000
 
Sarasota Co. Util. Sys. Ref. Rev., Ser. 2002-C, (National Public Finance Guarantee Corp. Insured), 5.25%, due 10/1/20 Pre-Refunded 10/1/12
   
1,021
   
 
 
     
     
5,786
   
Georgia (2.6%)
 
 
4,575
 
Henry Co. Wtr. & Swr. Au. Ref. Rev., Ser. 2002-A, (National Public Finance Guarantee Corp. Insured), 5.13%, due 2/1/17
   
4,788
   
 
2,710
 
Newnan Hosp. Au. Rev. Anticipation Cert. (Newnan Hosp., Inc. Proj.), Ser. 2002,
   
2,805
ß
 
 
(National Public Finance Guarantee Corp. Insured), 5.50%, due 1/1/18 Pre-Refunded 1/1/13
     
     
7,593
   
Guam (2.5%)
 
 
1,220
 
Guam Gov’t Hotel Occupancy Tax Rev., Ser. 2011-A, 5.75%, due 11/1/20
   
1,397
   
 
650
 
Guam Gov’t Hotel Occupancy Tax Rev., Ser. 2011-A, 5.75%, due 11/1/21
   
742
   
 
2,550
 
Guam Gov’t Waterworks Au. Wtr. & Wastewater Sys. Rev., Ser. 2005, 6.00%, due 7/1/25
   
2,630
   
 
2,630
 
Guam Gov’t Waterworks Au. Wtr. & Wastewater Sys. Rev., Ser. 2010, 5.25%, due 7/1/25
   
2,661
   
     
7,430
   
Hawaii (2.6%)
 
 
5,200
 
Hawaii St. Arpt. Sys. Ref. Rev., Ser. 2011, 4.13%, due 7/1/24
   
5,384
   
 
2,000
 
Hawaii St. Dept. of Budget & Fin. Spec. Purp. Rev. (Hawaii Elec. Co., Inc. -Subsidiary), Ser. 2009, 6.50%, due 7/1/39
   
2,288
ß
 
 
 
     
     
7,672
   
 
 
See Notes to Schedule of Investments
 
12

 
Schedule of Investments Intermediate Municipal Fund Inc.
(Unaudited) (cont’d)
 
 
PRINCIPAL AMOUNT
 
(000’s omitted)
SECURITY
  VALUE
 
     (000’s omitted)z
       
     
Illinois (13.5%)
 
$
4,215
 
Bartlett Sr. Lien Tax Increment Ref. Rev. (Quarry Redev. Proj.), Ser. 2007, 5.35%, due 1/1/17
 
$
4,284
   
 
180
 
Chicago G.O. (Unrefunded Bal.), Ser. 2002-A, (AMBAC Insured), 5.38%, due 1/1/17
   
181
   
 
1,970
 
Cook Co. Township High Sch. Dist. Number 225 Northfield Township, Ser. 2008, 5.00%, due 12/1/25
   
2,241
   
 
5,130
 
Illinois Ed. Fac. Au. Rev. (Field Museum of Natural History), Ser. 2002, 4.30%, due 11/1/36 Putable 11/1/13
   
5,281
µß 
 
 
1,875
 
Illinois Fin. Au. Ref. Rev. (Roosevelt Univ. Proj.), Ser. 2009, 5.00%, due 4/1/16
   
2,042
ß
 
 
4,000
 
Illinois Fin. Au. Ref. Rev. (Roosevelt Univ. Proj.), Ser. 2009, 5.75%, due 4/1/24
   
4,397
ß
 
 
3,795
 
Illinois Fin. Au. Rev. (Clare Oaks Proj.), Ser. 2006-A, 5.75%, due 11/15/16
   
1,177
Ñß 
 
 
1,960
 
Illinois Fin. Au. Rev. (Navistar Int’l Rec. Zone Fac.), Ser. 2010, 6.50%, due 10/15/40
   
2,121
ß
 
 
5,840
 
Illinois Fin. Au. Rev. (Provena Hlth.), Ser. 2010-A, 6.25%, due 5/1/22
   
6,898
ß
 
 
3,000
 
Illinois Hlth. Fac. Au. Rev. (Loyola Univ. Hlth. Sys.) (Unrefunded Bal.), Ser. 1997-A,
   
3,359
ß
 
   
(National Public Finance Guarantee Corp. Insured), 6.00%, due 7/1/14
     
 
1,670
 
Illinois Metro. Pier & Exposition Au. Dedicated St. Tax Ref. Rev., Ser. 1998-A, (FGIC Insured), 5.50%, due 6/15/17
   
2,046
   
 
1,905
 
Illinois Sports Facs. Au. Cap. Appreciation Rev. (St. Tax Supported), Ser. 2001, (AMBAC Insured), 0.00%, due 6/15/26
   
973
   
 
2,110
 
Pingree Grove Village Rev. (Cambridge Lakes Learning Ctr. Proj.), Ser. 2011, 8.00%, due 6/1/26
   
2,230
ß
 
 
1,850
 
Will Co. High Sch. Dist. Number 204 G.O. (Joliet Jr. College), Ser. 2011-A, 6.25%, due 1/1/31
   
2,140
   
     
39,370
   
Indiana (8.3%)
 
 
4,000
 
Indiana Bond Bank Rev. (Spec. Prog. Clark Mem. Hosp.), Ser. 2009-D, 5.50%, due 8/1/29
   
4,426
ß
 
 
965
 
Indiana Bond Bank Rev. (Unrefunded Bal. St. Revolving Fund Prog.), Ser. 2001-A, 5.38%, due 2/1/17
   
1,006
   
 
320
 
Indiana Bond Bank Rev. (Unrefunded Bal. St. Revolving Fund Prog.), Ser. 2002-B, 5.25%, due 2/1/18
   
330
   
 
4,000
 
Indiana Hlth. & Ed. Fac. Fin. Au. Hosp. Ref. Rev. (Clarian Hlth. Oblig. Group), Ser. 2006-B, 5.00%, due 2/15/21
   
4,420
ß
 
 
2,050
 
Indiana Hlth. Fac. Fin. Au. Rev. (Hlth. Sys. Sisters of St. Francis), Ser. 2001, 5.35%, due 11/1/15
   
2,077
ß
 
 
1,000
 
Indiana Muni. Pwr. Agcy. Pwr. Supply Sys. Rev., Ser. 2003-B,
   
1,026
   
   
(National Public Finance Guarantee Corp. Insured), 5.25%, due 1/1/18
     
 
1,065
 
Indiana St. Rec. Dev. Comm. Rev., Ser. 2002, (AMBAC Insured), 5.25%, due 7/1/18
   
1,072
   
 
1,125
 
Indiana St. Rec. Dev. Comm. Rev., Ser. 2002, (AMBAC Insured), 5.25%, due 7/1/19
   
1,132
   
 
3,055
 
Indiana Trans. Fin. Au. Hwy. Ref. Rev., Ser. 2004-B, (National Public Finance Guarantee Corp. Insured), 5.75%, due 12/1/21
   
4,062
   
 
2,580
 
Indianapolis Local Pub. Imp. Rev. (Indianapolis Arpt. Au. Proj.), Ser. 2003-A, (AGM Insured), 5.63%, due 1/1/17
   
2,642
   
 
2,000
 
Jasper Hosp. Au. Hosp. Fac. Ref. Rev. (Mem. Hosp. & Hlth. Care Ctr. Proj.), Ser. 2002, (Radian Insured),
5.50%, due 11/1/17
   
2,039
ß
 
     
24,232
   
Iowa (4.3%)
 
 
1,000
 
Coralville Urban Renewal Rev., Tax Increment, Ser. 2007-C, 5.00%, due 6/1/15
   
1,094
   
 
5,110
 
Iowa Fin. Au. Rev. (St. Revolving Fund Prog.), Ser. 2008, 5.50%, due 8/1/22
   
6,338
   
 
3,445
 
Iowa Std. Loan Liquidity Corp. Rev., Ser. 2011-A1, 5.00%, due 12/1/21
   
3,861
   
 
1,005
 
Kirkwood Comm. College Iowa New Jobs Training Cert. G.O. (Merged Area X), Ser. 2007-1B, 5.00%, due 6/1/17
   
1,093
   
   
 
     
     
12,386
   
Kentucky (0.8%)
 
 
2,250
 
Louisville & Jefferson Co. Reg. Arpt. Au. Spec. Facs. Rev. (AIRIS Louisville LLC Proj.), Ser. 1999-A, 5.50%, due 3/1/19
   
2,253
ß
 
 
10
 
Shelby Co. Lease Rev., Ser. 2004-A, (LOC: U.S. Bank), 0.24%, due 9/1/34
   
10
µ
 
     
2,263
   
 
See Notes to Schedule of Investments
 
 
13

 
 
Schedule of Investments Intermediate Municipal Fund Inc.
(Unaudited) (cont’d)
 
 
PRINCIPAL AMOUNT
 
(000’s omitted)
SECURITY
  VALUE
 
     (000’s omitted)z
       
     
Louisiana (0.6%)
 
$
1,500
 
Louisiana Local Gov’t Env. Fac. & Comm. (Westlake Chemical Corp.), Ser. 2010-A2, 6.50%, due 11/1/35
 
$
1,683
ß
 
 
 
     
Maine (0.8%)
 
 
2,400
 
Maine St. Fin. Au. Solid Waste Disp. Rev. (Casella Waste Sys., Inc.), Ser. 2005, 6.25%, due 1/1/25 Putable 2/1/17
   
2,411
µß 
 
 
 
     
Maryland (1.2%)
 
 
1,000
 
Maryland St. Hlth. & Higher Ed. Fac. Au. Rev. (Union Hosp. of Cecil Co.), Ser. 2002, 5.50%, due 7/1/14
   
1,008
ß
 
 
2,400
 
Prince Georges Co. Hsg. Au. Multifamily Rev. (Bristol Pines Apts. Proj.), Ser. 2005,
(Fannie Mae Insured), 4.85%, due 12/15/38 Putable 12/15/23
   
2,536
µß 
 
 
 
     
     
3,544
   
Massachusetts (7.3%)
 
 
3,555
 
Massachusetts St. Ed. Financing Au. Rev., Ser. 2011-J, 5.00%, due 7/1/23
   
3,894
   
 
1,850
 
Massachusetts St. G.O., Ser. 2002-E, (National Public Finance Guarantee Corp. Insured), 5.38%, due 1/1/18 Pre-Refunded 1/1/13
   
1,913
   
 
5,000
 
Massachusetts St. HFA Hsg. Rev., Ser. 2010-C, 4.90%, due 12/1/25
   
5,220
   
 
1,375
 
Massachusetts St. HFA Hsg. Rev., Ser. 2010-C, 5.00%, due 12/1/30
   
1,442
   
 
1,025
 
Massachusetts St. Hlth. & Ed. Fac. Au. Rev. (Milford-Whitinsville Reg. Hosp.), Ser. 1998-C, 5.75%, due 7/15/13
   
1,027
ß
 
 
5,030
 
Massachusetts St. Wtr. Poll. Abatement Trust Rev. (MWRA Prog.), Ser. 2002-A, 5.25%, due 8/1/19
   
5,084
   
 
2,775
 
Massachusetts St. Wtr. Poll. Abatement Trust Rev. (Unrefunded Bal. Rev. Pool Prog.), Ser. 2001-7, 5.25%, due 2/1/16
   
2,784
   
 
 
     
     
21,364
   
Michigan (2.1%)
 
 
1,375
 
Macomb Co. New Haven Comm. Sch. Bldg. & Site G.O., Ser. 2002, 5.25%, due 5/1/17 Pre-Refunded 11/1/12
   
1,409
   
 
2,000
 
Oakland Co. Econ. Dev. Corp. Ltd. Oblig. Rev. (Michigan Motion Picture Studios Proj. Rec. Zone), Ser. 2010-A, 7.00%, due 8/1/40
   
2,081
   
 
2,000
 
Summit Academy North Pub. Sch. Academy Ref. Rev., Ser. 2005, 5.25%, due 11/1/20
   
1,976
   
 
555
 
Summit Academy Pub. Sch. Academy Ref. Rev., Ser. 2005, 6.00%, due 11/1/15
   
563
   
     
6,029
   
Minnesota (2.5%)
 
 
2,000
 
Maple Grove Hlth. Care Sys. Rev. (Maple Grove Hosp. Corp.), Ser. 2007, 5.00%, due 5/1/17
   
2,220
ß
 
 
2,250
 
Minneapolis & St. Paul Hsg. & Redev. Au. Hlth. Care Sys. (Children’s Hlth. Care Facs.), Ser. 2010-A1, (AGM Insured), 4.50%, due 8/15/24
   
2,515
ß
 
 
2,540
 
St. Paul Port Au. Lease Rev. (Office Bldg.), Ser. 2002, 5.00%, due 12/1/17
   
2,604
   
     
7,339
   
Mississippi (1.7%)
 
 
4,000
 
Mississippi Bus. Fin. Corp. Gulf Opportunity Zone Rev., Ser. 2009-A, 4.70%, due 5/1/24
   
4,397
ß
 
 
500
 
Mississippi Dev. Bank Spec. Oblig. (Wilkinson Co. Correctional), Ser. 2008-D, 5.00%, due 8/1/15
   
572
ß
 
     
4,969
   
Missouri (5.7%)
 
 
3,495
 
Bi State Dev. Agcy. Metro. Dist. Rev. (Metrolink Cross Co. Proj.), Ser. 2002-B, (AGM Insured), 5.25%, due 10/1/16
   
3,725
   
 
1,710
 
Boone Co. Hosp. Ref. Rev. (Christian Hlth. Svc. Dev.), Ser. 2002, 5.05%, due 8/1/20
   
1,717
ßØØ 
 
 
 
See Notes to Schedule of Investments
 
14

 
 
Schedule of Investments Intermediate Municipal Fund Inc.
(Unaudited) (cont’d)
 
PRINCIPAL AMOUNT
 
(000’s omitted)
SECURITY
  VALUE
 
     (000’s omitted)z
       
     
$
2,425
 
Branson Dev. Fin. Board Infrastructure Fac. Board Rev., Ser. 2003-A, 5.00%, due 12/1/17 Pre-Refunded 12/1/12
$
2,493
 
 
570
 
Branson Ind. Dev. Au. Tax Increment Rev. (Branson Landing-Retail Proj.), Ser. 2005, 5.25%, due 6/1/21
 
544
 
 
1,250
 
Missouri St. Env. Imp. & Energy Res. Au. Wtr. PCR (Drinking Wtr.), Ser. 2002-B, 5.50%, due 7/1/16 Pre-Refunded 1/1/13
 
1,294
 
 
750
 
Missouri St. Env. Imp. & Energy Res. Au. Wtr. PCR (Unrefunded Bal. Drinking Wtr.), Ser. 2002-B, 5.50%, due 7/1/16
 
774
 
 
2,275
 
Missouri St. Hlth. & Ed. Fac. Au. Rev. (Children’s Mercy Hosp.), Ser. 2009, 5.13%, due 5/15/24
 
2,492
ß
 
245
 
Missouri St. Hsg. Dev. Comm. Multi-Family Hsg. Rev., Ser. 2001-II, (FHA Insured), 5.25%, due 12/1/16
 
245
k
 
110
 
Missouri St. Hsg. Dev. Comm. Multi-Family Hsg. Rev., Ser. 2001-III, (FHA Insured), 5.05%, due 12/1/15
 
110
 
 
2,965
 
Missouri St. Univ. Auxiliary Enterprise Sys. Rev., Ser. 2007-A, (XLCA Insured), 5.00%, due 4/1/26
 
3,304
 
   
16,698
 
Nevada (2.0%)
 
1,635
 
Las Vegas Redev. Agcy. Tax Increment Rev., Ser. 2009-A, 6.50%, due 6/15/17
 
1,794
 
 
3,545
 
Las Vegas Redev. Agcy. Tax Increment Rev., Ser. 2009-A, 7.50%, due 6/15/23
 
4,011
 
   
5,805
 
New Hampshire (1.0%)
 
2,600
 
New Hampshire Hlth. & Ed. Fac. Au. Rev. (Dartmouth-Hitchcock Clinic), Ser. 2009, 5.00%, due 8/1/19
 
2,825
ß
New Jersey (3.3%)
 
2,450
 
New Jersey Econ. Dev. Au. Rev. (Continental Airlines Inc., Proj.), Ser. 1999, 6.40%, due 9/15/23
 
2,458
ß
 
6,900
 
New Jersey Ed. Fac. Au. Rev. (Stevens Institute of Technology), Ser. 2002-C, 5.25%, due 7/1/17 Pre-Refunded 7/1/13
 
7,295
ß
   
9,753
 
New York (7.5%)
 
465
 
Lyons Comm. Hlth. Initiatives Corp. Fac. Rev., Ser. 2004, 5.50%, due 9/1/14
 
488
 
 
2,580
 
New York City IDA Civic Fac. Rev. (Lycee Francais de New York Proj.), Ser. 2002-A, (ACA Insured),
5.50%, due 6/1/14
 
2,640
ß
 
60
 
New York G.O., Ser. 2002-C, 5.50%, due 8/1/15 Pre-Refunded 2/1/13
 
62
 
 
3,190
 
New York G.O. (Unrefunded Bal.), Ser. 2002-C, 5.50%, due 8/1/15
 
3,310
 
 
1,100
 
New York Liberty Dev. Corp. Rev. (Nat’l Sports Museum Proj.), Ser. 2006-A, 6.13%, due 2/15/19
 
0
#‡ 
 
1,700
 
New York St. Dorm. Au. Personal Income Tax Rev., Ser. 2003-A, 5.38%, due 3/15/20 Pre-Refunded 3/15/13
 
1,776
 
 
4,000
 
New York St. Dorm. Au. Rev. Non St. Supported Debt (Mount Sinai Sch. of Medicine), Ser. 2009, 5.25%, due 7/1/33
 
4,363
ß
 
2,000
 
New York St. HFA Rev. (Affordable Hsg.), Ser. 2009-B, 4.85%, due 11/1/41
 
2,115
 
 
2,000
 
New York St. Urban Dev. Corp. Rev., Ser. 2008-D, 5.25%, due 1/1/20
 
2,376
 
 
1,435
 
Niagara Area Dev. Corp. Rev. (Niagara Univ. Proj.), Ser. 2012-A, 5.00%, due 5/1/23
 
1,596
Ø
 
3,000
 
Tobacco Settlement Fin. Corp., Ser. 2003-B-1C, 5.50%, due 6/1/21
 
3,158
 
   
21,884
 
North Carolina (2.4%)
 
5,250
 
North Carolina Muni. Pwr. Agcy. Number 1 Catawba Elec. Rev., Ser. 2009-A, 5.00%, due 1/1/26
 
5,866
 
 
1,000
 
Oak Island Enterprise Sys. Rev., Ser. 2009, (Assured Guaranty Insured), 5.63%, due 6/1/24
 
1,152
 
   
7,018
 
North Dakota (1.4%)
 
4,100
 
Fargo Hlth. Sys. Rev. (Meritcare Obligated Group), Ser. 2002-A, (AMBAC Insured), 5.63%, due 6/1/17 Pre-Refunded 6/1/12
 
4,116
ß
 
See Notes to Schedule of Investments
 
 
15

 
 
Schedule of Investments Intermediate Municipal Fund Inc.
(Unaudited) (cont’d)
 
 
PRINCIPAL AMOUNT
 
(000’s omitted)
SECURITY
  VALUE
 
     (000’s omitted)z
       
     
Ohio (0.8%)
$
2,060
 
Cleveland Arpt. Sys. Rev. Ref., Ser. 2012-A, 5.00%, due 1/1/27
$
2,229
 
Pennsylvania (5.9%)
 
565
 
Delaware River Joint Toll Bridge Comm. Sys. Rev., Ser. 2003, 5.25%, due 7/1/18 Pre-Refunded 7/1/13
 
598
 
 
435
 
Delaware River Joint Toll Bridge Comm. Sys. Rev. (Unrefunded Bal.), Ser. 2003, 5.25%, due 7/1/18
 
450
 
 
2,000
 
Lancaster Co. Hosp. Au. Rev. (Brethren Village Proj.), Ser. 2008-A, 6.10%, due 7/1/22
 
2,129
ß
 
5,000
 
Montgomery Co. Higher Ed. & Hlth. Au. Hosp. Rev. (Abington Mem. Hosp. Proj.), Ser. 2002-A, 5.00%, due 6/1/19
 
5,065
ß
 
3,430
 
Norristown Area Sch. Dist. Cert. of Participation (Installment Purchase), Ser. 2012, 4.50%, due 4/1/27
 
3,382
 
 
2,625
 
Pennsylvania Econ. Dev. Fin. Au. Exempt Facs. Rev. Ref. (Amtrak Proj.), Ser. 2012-A, 5.00%, due 11/1/24
 
2,949
ß
 
1,000
 
Pennsylvania St. Turnpike Commission Turnpike Rev. (Cap. Appreciation), Subser. 2010-B2, 0.00%, due 12/1/34
 
921
b
 
275
 
Philadelphia Au. For Ind. Dev. Rev. (Discovery Charter Sch. Proj.), Ser. 2012, 4.00%, due 4/1/17
 
276
ß
 
895
 
Philadelphia Au. For Ind. Dev. Rev. (Discovery Charter Sch. Proj.), Ser. 2012, 5.00%, due 4/1/22
 
905
ß
 
415
 
Philadelphia Au. For Ind. Dev. Rev. (Discovery Charter Sch. Proj.), Ser. 2012, 5.50%, due 4/1/27
 
419
ß
   
17,094
 
Puerto Rico (4.9%)
 
6,000
 
Puerto Rico Commonwealth Aqueduct & Swr. Au. Sr. Lien Rev., Ser. 2012-A, 4.25%, due 7/1/25
 
5,928
 
 
7,000
 
Puerto Rico Commonwealth G.O. Ref. (Pub. Imp.), Ser. 2012-A, 5.50%, due 7/1/26
 
7,554
 
 
750
 
Puerto Rico Elec. Pwr. Au. Pwr. Rev., Ser. 2010-XX, 5.25%, due 7/1/35
 
770
 
   
14,252
 
South Carolina (0.8%)
 
2,140
 
Mt. Pleasant Town Waterworks & Swr. Sys. Ref. & Imp. Rev., Ser. 2002,
 
2,195
 
 
(National Public Finance Guarantee Corp. Insured), 5.25%, due 12/1/17
 
Tennessee (2.9%)
 
1,655
 
Knox Co. Hlth. Ed. & Hsg. Fac. Board Hosp. Fac. Rev., Ser. 2002-A, (AGM Insured),
 
1,712
 
 
5.50%, due 1/1/18 Pre-Refunded 1/1/13
 
 
1,360
 
Knox Co. Hlth. Ed. & Hsg. Fac. Board Hosp. Fac. Rev. (Unrefunded Bal.), Ser. 2002-A, (AGM Insured), 5.50%, due 1/1/18
 
1,380
 
 
2,705
 
Memphis-Shelby Co. Arpt. Au. Arpt. Rev., Ser. 2010-B, 5.50%, due 7/1/19
 
3,195
 
 
2,000
 
Tennessee St. Energy Acquisition Corp. Gas Rev., Ser. 2006-A, 5.25%, due 9/1/23
 
2,212
 
   
8,499
 
Texas (12.1%)
 
4,145
 
Anson Ed. Fac. Corp. Std. Hsg. Rev. (Univ. of Texas at Dallas-Waterview Park Proj.), Ser. 2002, (ACA Insured), 5.00%, due 1/1/23
 
3,849
ß
 
3,600
 
Corpus Christi Tax & Muni. Hotel Occupancy Tax G.O., Ser. 2002, (AGM Insured), 5.50%, due 9/1/17
 
3,660
 
 
1,935
 
Dallas-Fort Worth Int’l Arpt. Imp. Rev., Ser. 2004-B, (AGM Insured), 5.50%, due 11/1/18
 
2,107
 
 
2,300
 
Harris Co. Perm. Imp. Ref. G.O., Ser. 2008-B, 5.00%, due 10/1/19 Pre-Refunded 10/1/18
 
2,857
 
 
2,900
 
Harris Co. Toll Road Sr. Lien Rev., Ser. 2008-B, 5.00%, due 8/15/33
 
3,118
 
 
2,210
 
Harris Co. Toll Road Sr. Lien Rev. (Unrefunded Bal.), Ser. 2002, (AGM Insured), 5.38%, due 8/15/16 Pre-Refunded 8/15/12
 
2,243
 
 
610
 
HFDC Ctr. Texas, Inc. Retirement Fac. Rev., Ser. 2006-A, 5.25%, due 11/1/15
 
616
ß
 
3,235
 
Houston Arpt. Sys. Sub. Lien. Ref. Rev., Ser. 2001-A, (National Public Finance Guarantee Corp. Insured), 5.50%, due 7/1/16
 
3,237
 
 
650
 
Houston Higher Ed. Fin. Corp. Rev. (Cosmos Foundation), Ser. 2012-A, 4.00%, due 2/15/22
 
650
ßØ 
 
1,000
 
Houston Higher Ed. Fin. Corp. Rev. (Cosmos Foundation), Ser. 2012-A, 5.00%, due 2/15/32
 
1,020
ßØ 
 
1,000
 
Houston Pub. Imp. Ref. G.O., Ser. 2008-A, 5.00%, due 3/1/20
 
1,185
 
 
3,000
 
North Texas Tollway Au. Dallas North Tollway Sys. Rev., Ser. 2005-C, 6.00%, due 1/1/23
 
3,572
 
 
950
 
Northwest Texas Independent Sch. Dist. Sch. Bldg., Ser. 2002, (PSF Insured), 5.50%, due 8/15/17 Pre-Refunded 2/15/13
 
989
 
 
 
 
 
See Notes to Schedule of Investments
 
 
16

 
 
Schedule of Investments Intermediate Municipal Fund Inc.
(Unaudited) (cont’d)
 
 
PRINCIPAL AMOUNT
 
(000’s omitted)
SECURITY
  VALUE
 
     (000’s omitted)z
       
     
$
50
 
Northwest Texas Independent Sch. Dist. Sch. Bldg. (Unrefunded Bal.), Ser. 2002, (PSF Insured), 5.50%, due 8/15/17
$
52
 
 
500
 
San Leanna Ed. Fac. Corp. Higher Ed. Ref. Rev., (St. Edwards Univ. Proj.), Ser. 2007, 5.00%, due 6/1/19
 
552
ß
 
910
 
Southmost Reg. Wtr. Au. Wtr. Supply Contract Rev., Ser. 2002,
(National Public Finance Guarantee Corp. Insured), 5.50%, due 9/1/19 Pre-Refunded 9/1/12
 
926
 
 
1,000
 
Southmost Reg. Wtr. Au. Wtr. Supply Contract Rev. (Unrefunded Bal.), Ser. 2002,
(National Public Finance Guarantee Corp. Insured), 5.50%, due 9/1/19
 
1,008
 
 
85
 
Texas Std. Hsg. Corp. Std. Hsg. Rev. (Midwestern St. Univ. Proj.), Ser. 2002, 5.50%, due 9/1/12
 
86
 
 
1,000
 
Trinity River Au. Imp. & Ref. Rev. (Tarrant Co. Wtr. Proj.), Ser. 2003,
(National Public Finance Guarantee Corp. Insured), 5.50%, due 2/1/16 Pre-Refunded 2/1/13
 
1,039
 
 
1,085
 
Tyler Hlth. Fac. Dev. Corp. Hosp. Rev. (Mother Frances Hosp. Reg. Hlth. Care Ctr. Proj.), Ser. 2003, 5.25%, due 7/1/13
 
1,136
ß
 
1,175
 
West Harris Co. Reg. Wtr. Au. Sys. Wtr. Rev., Ser. 2009, 5.00%, due 12/15/35
 
1,276
 
   
35,178
 
Utah (2.2%)
 
 
3,000
 
Salt Lake Co. Hosp. Rev. (IHC Hlth. Svc., Inc.), Ser. 2001, (AMBAC Insured), 5.40%, due 2/15/28
 
3,465
ß
 
1,200
 
Uintah Co. Muni. Bldg. Au. Lease Rev., Ser. 2008, 5.25%, due 6/1/20
 
1,357
 
 
500
 
Utah Hsg. Corp. Single Family Mtge. Rev., Ser. 2011-A2, Class I, 5.00%, due 7/1/20
 
527
 
 
450
 
Utah Hsg. Corp. Single Family Mtge. Rev., Ser. 2011-A2, Class I, 5.25%, due 7/1/21
 
480
 
 
650
 
Utah Hsg. Corp. Single Family Mtge. Rev., Ser. 2011-A2, Class I, 5.45%, due 7/1/22
 
692
 
   
6,521
 
Virginia (1.1%)
 
2,620
 
Peninsula Ports Au. Res. Care Fac. Ref. Rev. (VA Baptist Homes), Ser. 2006-C, 5.25%, due 12/1/21
 
2,089
ß
 
1,000
 
Virginia Beach Dev. Au. Residential Care Fac. Mtge. Ref. Rev.
(Westminster-Canterbury of Hampton Roads, Inc.), Ser. 2005, 5.00%, due 11/1/22
 
1,026
ß
     
 
 
   
3,115
 
Washington (5.7%)
 
 
6,250
 
Port of Seattle Sub. Lien Rev., Ser. 2002-B, (National Public Finance Guarantee Corp. Insured), 5.50%, due 9/1/16 Pre-Refunded 9/1/12
 
6,351
 
 
1,600
 
Skagit Co. Pub. Hosp. Dist. Number 1 Ref. Rev., Ser. 2007, 5.63%, due 12/1/25
 
1,745
 
 
1,000
 
Skagit Co. Pub. Hosp. Dist. Number 1 Ref. Rev., Ser. 2003, 6.00%, due 12/1/23
 
1,038
 
 
1,625
 
Skagit Co. Pub. Hosp. Dist. Number 1 Ref. Rev., Ser. 2003, 6.00%, due 12/1/18
 
1,708
ØØ 
 
2,525
 
Washington St. Higher Ed. Fac. Au. Ref. Rev. (Whitworth Univ. Proj.), Ser. 2009, 5.38%, due 10/1/29
 
2,719
ß
 
3,125
 
Washington St. Hlth. Care Fac. Au. Rev. (Yakima Valley Mem. Hosp. Assoc.), Ser. 2002, (ACA Insured), 5.00%, due 12/1/17
 
3,147
ß
   
16,708
 
West Virginia (0.4%)
 
1,000
 
West Virginia Sch. Bldg. Au. Excess Lottery Rev., Ser. 2008, 5.00%, due 7/1/19
 
1,203
 
             
Wisconsin (4.4%)
 
595
 
Badger Tobacco Asset Securitization Corp. Tobacco Settlement Asset-Backed Rev., Ser. 2002, 6.13%, due 6/1/27 Pre-Refunded 6/1/12
 
598
 
 
1,100
 
Wisconsin St. Hlth. & Ed. Fac. Au. Rev. (Beloit College), Ser. 2010-A, 6.13%, due 6/1/35
 
1,180
ß
 
1,225
 
Wisconsin St. Hlth. & Ed. Fac. Au. Rev. (Beloit College), Ser. 2010-A, 6.13%, due 6/1/39
 
1,310
ß
 
1,000
 
Wisconsin St. Hlth. & Ed. Fac. Au. Rev. (Franciscan Sisters Hlth. Care), Ser. 2007, 5.00%, due 9/1/14
 
1,079
ß
 
5,000
 
Wisconsin St. Hlth. & Ed. Fac. Au. Rev. (Marquette Univ.), Ser. 2008-B3, 5.00%, due 10/1/30
 
5,463
ß
 
3,000
 
Wisconsin St. Hlth. & Ed. Fac. Au. Rev. (Meriter Hosp., Inc.), Ser. 2009, 5.63%, due 12/1/29
 
3,297
ß
   
12,927
 
 
 
See Notes to Schedule of Investments
 
17

 
 
(Unaudited) (cont’d)
 
 
PRINCIPAL AMOUNT
 
(000’s omitted)
SECURITY
  VALUE
 
     (000’s omitted)z
       
     
Wyoming (1.7%)
$
4,895
 
Wyoming Comm. Dev. Au. Hsg. Rev., Ser. 2006-6, 5.00%, due 12/1/21
 
$
5,013
 
Other (0.8%)
 
3,000
 
Non-Profit Pfd. Fdg. Trust I, Ser. 2006-C, 4.72%, due 9/15/37
   
2,383
#
     
Total Investments (160.9%) (Cost $443,964)
   
469,014
## 
     
Cash, receivables and other assets, less liabilities (0.6%)
   
1,838
 
 
Liquidation Value of Auction Market Preferred Shares [(61.5%)]
   
(179,400
)
     
Total Net Assets Applicable to Common Shareholders (100.0%)
 
$
291,452
 
 
See Notes to Schedule of Investments
 
 
 
18

 
 
Schedule of Investments New York Intermediate Municipal Fund Inc.
(Unaudited)
 
 
PRINCIPAL AMOUNT
 
(000’s omitted)
SECURITY
  VALUE
 
     (000’s omitted)z
       
     
Municipal Notes (165.0%)
 
Arizona (0.7%)
$
500
 
Verrado Comm. Fac. Dist. Number 1 G.O., Ser. 2003, 6.15%, due 7/15/17
$
498
 
California (4.6%)
 
3,115
 
Corona-Norca Unified Sch. Dist. G.O. Cap. Appreciation (Election 2006), Ser. 2009-C, (AGM Insured), 0.00%, due 8/1/24
 
1,852
 
 
1,470
 
Pico Rivera Pub. Fin. Au. Lease Rev., Ser. 2009, 4.75%, due 9/1/25
 
1,606
 
   
3,458
 
Guam (3.7%)
 
500
 
Guam Gov’t Waterworks Au. Wtr. & Wastewater Sys. Rev., Ser. 2005, 5.50%, due 7/1/16
 
528
 
 
1,000
 
Guam Gov’t Waterworks Au. Wtr. & Wastewater Sys. Rev., Ser. 2010, 5.25%, due 7/1/25
 
1,012
 
 
1,135
 
Guam Gov’t Hotel Occupancy Tax Rev., Ser. 2011-A, 5.50%, due 11/1/19
 
1,281
 
   
2,821
 
Illinois (1.0%)
 
715
 
Bartlett Sr. Lien Tax Increment Ref. Rev. (Quarry Redev. Proj.), Ser. 2007, 5.35%, due 1/1/17
 
727
 
Massachusetts (1.4%)
 
1,000
 
Massachusetts St. HFA Hsg. Rev., Ser. 2010-C, 5.00%, due 12/1/30
 
1,049
 
Nevada (1.5%)
 
1,000
 
Las Vegas Redev. Agcy. Tax Increment Rev., Ser. 2009-A, 7.50%, due 6/15/23
 
1,131
 
New York (136.4%)
 
3,000
 
Albany IDA Civic Fac. Rev. (Charitable Leadership Foundation Ctr. for Med. Science Proj.), Ser. 2002-A, 6.00%, due 7/1/19
 
1,777
Ñ߇ 
 
500
 
Cattaraugus Co. IDA Civic Fac. Rev. (St. Bonaventure Univ. Proj.), Ser. 2006-A, 5.00%, due 5/1/23
 
517
ß
 
1,000
 
Dutchess Co. IDA Civic Fac. Ref. Rev. (Marist College Proj.), Ser. 2003-A, 5.15%, due 7/1/17
 
1,016
ß
 
1,000
 
Dutchess Co. Local Dev. Corp. Rev. (Marist College Proj.), Ser. 2012-A, 5.00%, due 7/1/21
 
1,188
Ø
 
1,000
 
Erie Co. IDA Sch. Fac. Rev. (Buffalo City Sch. Dist.), Ser. 2009-A, 5.25%, due 5/1/25
 
1,151
 
 
1,500
 
Hempstead Town Local Dev. Corp. Rev. (Molloy College Proj.), Ser. 2009, 5.75%, due 7/1/23
 
1,713
ß
 
1,050
 
Long Island Pwr. Au. Elec. Sys. Gen. Rev., Ser. 2006-E, (BHAC Insured), 5.00%, due 12/1/21
 
1,184
 
 
535
 
Lyons Comm. Hlth. Initiatives Corp. Fac. Rev., Ser. 2004, 5.50%, due 9/1/14
 
562
 
 
1,000
 
Monroe Co. IDA Civic Fac. Rev. (Highland Hosp. of Rochester), Ser. 2005, 5.00%, due 8/1/15
 
1,092
ßØØ 
 
980
 
Monroe Co. IDA Std. Hsg. Rev. (Collegiate Hsg. Foundation—Rochester Institute of Technology Proj.), Ser. 1999-A, 5.25%, due 4/1/19
 
980
ß
 
1,000
 
Monroe Co. Newpower Corp. Pwr. Fac. Rev., Ser. 2003, 5.10%, due 1/1/16
 
1,027
 
 
1,000
 
Monroe Co. Pub. Imp. Ref. G.O., Ser. 1996, 6.00%, due 3/1/13
 
1,042
 
 
1,000
 
Nassau Co. IDA Civic Fac. Rev. (Cold Spring Harbor Laboratory), Ser. 2008, (LOC: JP Morgan Chase), 0.23%, due 1/1/42
 
1,000
µß 
 
200
 
Nassau Co. IDA Civic Fac. Rev. Ref. & Impt. (Cold Spring Harbor Laboratory), Ser. 1999, (LOC: TD Bank N.A.), 0.23%, due 1/1/34
 
200
µß 
 
1,125
 
Nassau Co. IDA Continuing Care Retirement (The Amsterdam Harborside), Ser. 2007-A, 5.88%, due 1/1/18
 
994
ß
 
30
 
New York City G.O., Ser. 2002-A, 5.75%, due 8/1/16 Pre-Refunded 8/1/12
 
30
 
 
970
 
New York City G.O., Ser. 2002-A, 5.75%, due 8/1/16
 
983
 
 
100
 
New York City G.O., Ser. 2006-I3, (LOC: Bank of America), 0.25%, due 4/1/36
 
100
µ
 
950
 
New York City G.O., Ser. 2009-B, 5.00%, due 8/1/22
 
1,122
 
 
1,000
 
New York City G.O., Ser. 2009-E, 5.00%, due 8/1/21
 
1,192
 
 
4,000
 
New York City Hsg. Dev. Corp. Multi-Family Hsg. Rev., Ser. 2002-E2, 5.05%, due 11/1/23
 
4,016
 
 
See Notes to Schedule of Investments
 
 
19

 
 
Schedule of Investments New York Intermediate Municipal Fund Inc.
(Unaudited) (cont’d)
 
 
PRINCIPAL AMOUNT
 
(000’s omitted)
SECURITY
  VALUE
 
     (000’s omitted)z
       
     
$
1,000
 
New York City IDA Civic Fac. Rev. (Lycee Francais de New York Proj.), Ser. 2002-A, (ACA Insured),
5.50%, due 6/1/15
$
1,027
ß
 
1,030
 
New York City IDA Civic Fac. Rev. (Lycee Francais de New York Proj.), Ser. 2002-A, (ACA Insured),
5.50%, due 6/1/17
 
1,051
ß
 
2,920
 
New York City IDA Civic Fac. Rev. (Packer Collegiate Institute Proj.), Ser. 2002, (AMBAC Insured),
5.00%, due 6/1/22
 
2,926
ß
 
2,000
 
New York City IDA Spec. Fac. Rev. (Term. One Group Assoc. Proj.), Ser. 2005, 5.50%, due 1/1/19 Putable 1/1/16
 
2,154
µß
 
960
 
New York City Muni. Wtr. Fin. Au. Wtr. & Swr. Sys. Rev., Ser. 1992-A, (AMBAC Insured), 5.88%, due 6/15/13
 
1,020
 
 
800
 
 
New York City Muni. Wtr. Fin. Au. Wtr. & Swr. Sys. Rev. (Second Gen. Resolution Rev. Bonds),
Ser. 2006-CC2, (LOC: Bank of Nova Scotia), 0.27%, due 6/15/38
 
800
µ
 
2,000
 
 
New York City Transitional Fin. Au. (Future Tax Secured), Subser. 2002-C2,
(LOC: Landesbank Hessen-Thueringen Girozentrale), 0.24%, due 8/1/31
 
2,000
µ
 
2,025
 
New York City Transitional Fin. Au. Rev. (Future Tax Secured), Ser. 2002-C, (AMBAC Insured),
5.25%, due 8/1/17 Pre-Refunded 8/1/12
 
2,050
 
 
840
 
 
New York City Transitional Fin. Au. Rev. (NYC Rec.), Ser 2002-1D,
(LOC: Landesbank Hessen-Thueringen Girozentrale), 0.24%, due 11/1/22
 
840
µ
 
1,360
 
New York City Transitional Fin. Au. Rev. (NYC Rec.), Ser 2002-3B, (LOC: Wells Fargo Bank N.A.),
0.23%, due 11/1/22
 
1,360
µ
 
1,000
 
New York City Transitional Fin. Au. Rev. (NYC Rec.), Ser. 2002-1C, (LOC: JP Morgan Chase),
0.27%, due 11/1/22
 
1,000
µ
 
660
 
New York Liberty Dev. Corp. Rev. (Nat’l Sports Museum Proj.), Ser. 2006-A, 6.13%, due 2/15/19
 
0
#‡ 
 
2,000
 
New York St. Dorm. Au. Court Fac. Lease Rev. (New York City Issue), Ser. 2003-A, 5.50%, due 5/15/17 Pre-Refunded 5/15/13
 
2,109
 
 
1,675
 
New York St. Dorm. Au. Insured Rev. (Long Island Univ.), Ser. 2003-A, (Radian Insured), 5.25%, due 9/1/15
 
1,690
ß
 
1,600
 
 
New York St. Dorm. Au. Insured Rev. (The Culinary Institute of America), Ser. 1999,
(National Public Finance Guarantee Corp. Insured), 5.38%, due 7/1/15
 
1,607
ß
 
3,000
 
New York St. Dorm. Au. Ref. Rev. (North Gen. Hosp. Proj.), Ser. 2003, 5.75%, due 2/15/17
 
3,111
ß
 
250
 
New York St. Dorm. Au. Rev. (Brookdale Hosp. Med. Ctr.), Ser. 1998-J, 5.20%, due 2/15/16
 
251
ß
 
1,125
 
New York St. Dorm. Au. Rev. (City Univ. Sys. Proj.), Ser. 1995-A, 5.63%, due 7/1/16
 
1,276
 
 
1,980
 
 
New York St. Dorm. Au. Rev. (New York Med. College Proj.), Ser. 1998,
(National Public Finance Guarantee Corp. Insured), 5.00%, due 7/1/21
 
1,982
ß
 
500
 
New York St. Dorm. Au. Rev. (North Shore-Long Island Jewish Oblig. Group), Ser. 2003, 5.00%, due 5/1/18
 
518
ß
 
2,855
 
New York St. Dorm. Au. Rev. (Rivington House Hlth. Care Fac.), Ser. 2002, (SONYMA Insured),
5.25%, due 11/1/15
 
3,042
ß
 
2,410
 
New York St. Dorm. Au. Rev. (Rochester Institute of Technology Proj.), Ser. 2002-A, (AMBAC Insured), 5.25%,
due 7/1/19 Pre-Refunded 7/1/12
 
2,430
ß
 
1,000
 
New York St. Dorm. Au. Rev. (Sch. Dist. Financing Proj.), Ser. 2002-A,
(National Public Finance Guarantee Corp. Insured), 5.75%, due 10/1/17
 
1,021
 
 
2,445
 
New York St. Dorm. Au. Rev. (SS Joachim & Anne Residence Proj.), Ser. 2002, (LOC: Allied Irish Banks), 4.60%, due 7/1/16
 
2,447
ß
 
500
 
New York St. Dorm. Au. Rev. Non St. Supported Debt (Manhattan Marymount College), Ser. 2009, 5.00%, due 7/1/24
 
537
ß
 
900
 
New York St. Dorm. Au. Rev. Non St. Supported Debt (Montefiore Med. Ctr.), Ser. 2008, (FHA Insured), 5.00%, due 8/1/21
 
1,026
ß
 
1,595
 
New York St. Dorm. Au. Rev. Non St. Supported Debt (Mount Sinai Sch. of Medicine), Ser. 2009, 
5.25%, due 7/1/24
 
1,789
ß
 
2,000
 
 
New York St. Dorm. Au. Rev. Non St. Supported Debt (North Shore-Long Island Jewish Oblig. Group),
Ser. 2011-A, 4.38%, due 5/1/26
 
2,115
ß
 
1,000
 
New York St. Dorm. Au. Rev. Non St. Supported Debt (NYU Hosp. Ctr.), Ser. 2006-A, 5.00%, due 7/1/20
 
1,102
ß
 
975
 
New York St. Dorm. Au. Rev. Non St. Supported Debt (NYU Hosp. Ctr.), Ser. 2007-B, 5.25%, due 7/1/24
 
1,069
ß
 
2,000
 
New York St. Dorm. Au. Rev. Non St. Supported Debt (St. John’s Univ.), Ser. 2007-C,
 
2,379
ß
     
(National Public Finance Guarantee Corp. Insured), 5.25%, due 7/1/19
 
 
2,600
 
New York St. Dorm. Au. Rev. St. Personal Income Tax Rev., Ser. 2003-A, 5.38%, due 3/15/17 Pre-Refunded 3/15/13
 
2,716
 
 
1,615
 
New York St. HFA Rev. (Affordable Hsg.), Ser. 2009-B, 4.50%, due 11/1/29
 
1,693
 
 
1,230
 
New York St. Muni. Bond Bank Agcy., Subser. 2009-B1, 5.00%, due 12/15/23
 
1,392
 
 
 
See Notes to Schedule of Investments
 
20

 
 
Schedule of Investments New York Intermediate Municipal Fund Inc.
(Unaudited) (cont’d)
 
 
PRINCIPAL AMOUNT
 
(000’s omitted)
SECURITY
  VALUE
 
     (000’s omitted)z
       
     
$
1,295
 
New York St. Muni. Bond Bank Agcy., Subser. 2009-B1, 5.00%, due 12/15/24
$
1,467
 
 
1,475
 
New York St. Thruway Au. Second Gen. Hwy. & Bridge Trust Fund Bonds, Ser. 2007-B, 5.00%, due 4/1/20
 
1,705
 
 
1,090
 
New York St. Thruway Au. Second Gen. Hwy. & Bridge Trust Fund Bonds, Ser. 2009-B, 5.00%, due 4/1/19
 
1,329
 
 
1,250
 
New York St. Urban Dev. Corp. Ref. Rev., Ser. 2008-D, 5.25%, due 1/1/20
 
1,485
 
 
965
 
New York St. Urban Dev. Corp. Rev. (St. Personal Income Tax), Ser. 2008-A1, 5.00%, due 12/15/23
 
1,157
 
 
1,375
 
New York Tobacco Settlement Fin. Corp., Ser. 2003-B1C, 5.50%, due 6/1/22
 
1,447
 
 
640
 
Niagara Area Dev. Corp. Rev. (Niagara Univ. Proj.), Ser. 2012-A, 5.00%, due 5/1/25
 
698
Ø
 
300
 
Niagara Area Dev. Corp. Rev. (Niagara Univ. Proj.), Ser. 2012-A, 5.00%, due 5/1/26
 
325
Ø
 
1,715
 
Niagara Co. IDA Civic Fac. Rev. (Niagara Univ. Proj.), Ser. 2001-A, (Radian Insured), 5.50%, due 11/1/16
 
1,737
ß
 
1,000
 
Onondaga Co. Trust Cultural Res. Rev. (Syracuse Univ. Proj.), Ser. 2010-B, 5.00%, due 12/1/19
 
1,192
ß
 
3,000
 
Port Au. of NY & NJ Rev. Consolidated Bonds, Ser. 2002, (AMBAC Insured), 5.50%, due 12/15/12
 
3,048
 
 
1,000
 
Saratoga Co. IDA Civic Fac. Rev. (Saratoga Hosp. Proj.), Ser. 2007-B, 5.00%, due 12/1/22
 
1,091
ß
 
1,575
 
Syracuse IDA Civic Fac. Rev. (Syracuse Univ. Proj.), Ser. 2008-A2, (LOC: JP Morgan Chase), 0.24%, due 12/1/37
 
1,575
µß 
 
1,570
 
Triborough Bridge & Tunnel Au. Oblig., Ser. 1998-A, (National Public Finance Guarantee Corp. Insured), 4.75%, due 1/1/24
 
1,690
 
 
2,000
 
Triborough Bridge & Tunnel Au. Rev., Subser. 2008-D, 5.00%, due 11/15/23
 
2,309
 
 
1,535
 
Ulster Co. Res. Rec. Agcy. Solid Waste Sys. Ref. Rev., Ser. 2002, (AMBAC Insured), 5.25%, due 3/1/16
 
1,582
 
 
1,405
 
United Nations Dev. Corp. Rev., Ser. 2009-A, 5.00%, due 7/1/22
 
1,622
 
 
1,000
 
Westchester Co. IDA Continuing Care Retirement Comm. Rev. (Kendal on Hudson Proj.),
 
1,004
µß 
     
Ser. 2003-B, 6.50%, due 1/1/34 Putable 1/1/13
 
   
102,879
 
Pennsylvania (2.4%)
 
 
2,000
 
Pennsylvania St. Turnpike Commission Turnpike Rev. (Cap. Appreciation), Subser. 2010-B2, 0.00%, due 12/1/34
 
1,842
bØØ 
     
 
 
Puerto Rico (10.2%)
 
 
2,000
 
Puerto Rico Commonwealth Aqueduct & Swr. Au. Sr. Lien Rev., Ser. 2012-A, 4.25%, due 7/1/25
 
1,976
 
 
1,500
 
 
Puerto Rico Commonwealth Gov’t Dev. Bank, Ser. 1985,
(National Public Finance Guarantee Corp. Insured), 4.75%, due 12/1/15
 
1,539
 
 
1,050
 
Puerto Rico Commonwealth Ref. G.O. (Pub. Imp.), Ser. 2001-A, (XLCA Insured), 5.50%, due 7/1/17
 
1,188
 
 
750
 
Puerto Rico Elec. Pwr. Au. Pwr. Rev., Ser. 2010-XX, 5.25%, due 7/1/35
 
770
 
 
1,060
 
Puerto Rico Ind. Tourist Ed. Med. & Env. Ctrl. Fac. Rev. (Polytechnic Univ. of Puerto Rico Proj.),
Ser. 2002-A, (ACA Insured), 5.25%, due 8/1/16
 
1,066
ß
 
1,000
 
Puerto Rico Sales Tax Fin. Corp. Sales Tax Rev., Subser. 2009-A, 5.00%, due 8/1/24
 
1,118
 
   
7,657
 
Tennessee (0.7%)
 
 
500
 
Tennessee St. Energy Acquisition Corp. Gas Rev., Ser. 2006-A, 5.25%, due 9/1/23
 
553
 
Texas (2.4%)
 
 
1,750
 
Love Field Arpt. Modernization Corp. Spec. Fac. Rev. (Southwest Airlines Co. Proj.), Ser. 2010, 5.25%, due 11/1/40
 
1,807
ß
     
Total Investments (165.0%) (Cost $121,124)
 
124,422
## 
     
Liabilities, less cash, receivables and other assets [(1.0%)]
 
(752
)
     
Liquidation Value of Auction Market Preferred Shares [(64.0%)]
 
(48,250
)
     
Total Net Assets Applicable to Common Shareholders (100.0%)
$
75,420
 
 
 
See Notes to Schedule of Investments
 
21

 
 
Notes to Schedule of Investments (Unaudited)
 
In accordance with Accounting Standards Codification (“ASC”) 820 “Fair Value Measurements and Disclosures” (“ASC 820”), all investments held by each of Neuberger Berman California Intermediate Municipal Fund Inc. (“California”), Neuberger Berman Intermediate Municipal Fund Inc. (“Intermediate”), and Neuberger Berman New York Intermediate Municipal Fund Inc. (“New York”) (each individually a “Fund” and collectively, the “Funds”) are carried at the value that Neuberger Berman Management LLC (“Management”) believes a fund would receive upon selling an investment in an orderly transaction to an independent buyer in the principal or most advantageous market for the investment under current market conditions. Various inputs, including the volume and level of activity for the asset or liability in the market, are considered in valuing the Funds’ investments, some of which are discussed below. Significant management judgment may be necessary to value investments in accordance with ASC 820.
 
 
ASC 820 established a three-tier hierarchy of inputs to create a classification of value measurements for disclosure purposes. The three-tier hierarchy of inputs is summarized in the three broad Levels listed below.
 
 
Level 1 – quoted prices in active markets for identical investments
 
Level 2 – other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, amortized cost, etc.)
 
Level 3 – significant unobservable inputs (including a Fund’s own assumptions in determining the fair value of investments)
 
 
The inputs or methodology used for valuing an investment are not necessarily an indication of the risk associated with investing in those securities.
 
 
The value of the Funds’ investments in municipal securities is determined by Management primarily by obtaining valuations from independent pricing services based on readily available bid quotations, or if quotations are not available, by methods which include various considerations such as yields or prices of securities of comparable quality, coupon, maturity and type; indications as to values from dealers; and general market conditions (generally Level 2 inputs). Other Level 2 inputs used by an independent pricing service to value municipal securities include current trades, bid-wanted lists (which informs the market that a holder is interested in selling a position and that offers will be considered), offerings, general information on market movement, direction, trends, and specific data on specialty issues.
 
 
Management has developed a process to periodically review information provided by independent pricing services for all types of securities.
 
 
If a valuation is not available from an independent pricing service, or if Management has reason to believe that the valuation received does not represent the amount a Fund might reasonably expect to receive on a current sale in an orderly transaction, the applicable Fund seeks to obtain quotations from principal market makers (generally considered Level 3 inputs). If such quotations are not readily available, the security is valued using methods the Fund’s Board of Directors (each Fund’s Board of Directors, a “Board”) has approved on the belief that they reflect fair value. Numerous factors may be considered when determining the fair value of a security based on Level 2 or 3 inputs, including available analyst, media or other reports, trading in futures or ADRs and whether the issuer of the security being fair valued has other securities outstanding.
 
 
Fair value prices are necessarily estimates, and there is no assurance that such a price will be at or close to the price at which the security is next quoted or next trades.

 
See Notes to Financial Statements
 
 
22

 
 
Notes to Schedule of Investments (Unaudited) (cont’d)
 
The following is a summary, categorized by Level, of inputs used to value the Funds’ investments as of April 30, 2012:
 
Asset Valuation Inputs
(000’s omitted)
 
Level 1
 
Level 2
 
Level 3
 
Total
California
Investments:
Municipal Notes^
 
$
   
$
145,505
   
$
   
$
145,505
 
Total Investments
   
     
145,505
     
     
145,505
 
Intermediate
Investments:
Municipal Notes^
   
     
469,014
     
     
469,014
 
Total Investments
   
     
469,014
     
     
469,014
 
New York
Investments:
Municipal Notes^
   
     
124,422
     
     
124,422
 
Total Investments
   
     
124,422
     
     
124,422
 
 
^
The Schedule of Investments provides information on the state categorization for the portfolio.
   
 
The Funds had no transfers between Levels 1 and 2 during the six months ended April 30, 2012.
   
##
At April 30, 2012, selected fund information on a U.S. federal income tax basis was as follows:

 
(000’s omitted)
 
Cost
 
Gross
Unrealized
Appreciation
 
Gross
Unrealized
Depreciation
 
Net
Unrealized
Appreciation
(Depreciation)
 
California
 
$
139,632
 
$
6,642
 
$
769
 
$
5,873
 
Intermediate
   
443,970
   
30,687
   
5,643
   
25,044
 
New York
   
121,127
   
5,474
   
2,179
   
3,295
 
 
ß
Security is guaranteed by the corporate or non-profit obligor.
   
Ñ
These securities have been deemed by the investment manager to be illiquid. At April 30, 2012, these securities amounted to $1,177,000 or 0.4% of net assets applicable to common shareholders for Intermediate and $1,777,000 or 2.4% of net assets applicable to common shareholders for New York.
   
Ø
All or a portion of this security was purchased on a when-issued basis. At April 30, 2012, these securities amounted to $2,175,000 or 2.5% of net assets applicable to common shareholders for California, $3,266,000 or 1.1% of net assets applicable to common shareholders for Intermediate and $2,211,000 or 2.9% of net assets applicable to common shareholders for New York.
   
ØØ
All or a portion of this security is segregated in connection with obligations for when-issued security purchase commitments.
   
µ
Floating rate securities are securities whose yields vary with a designated market index or market rate. These securities are shown at their current rates as of April 30, 2012, and at their final maturity dates.
   
b
Currently a zero coupon security; will convert to 6.00% on December 1, 2015.
   
c
Currently a zero coupon security; will convert to 6.50% on December 1, 2015.

 
See Notes to Financial Statements
 
 
23

 
 
Notes to Schedule of Investments (Unaudited) (cont’d)
 
d
Currently a zero coupon security; will convert to 5.50% on August 1, 2021
   
e
Currently a zero coupon security; will convert to 6.38% on August 1, 2016.
   
f
Currently a zero coupon security; will convert to 6.38% on August 1, 2019.
   
g
Currently a zero coupon security; will convert to 6.13% on August 1, 2023.
   
h
Currently a zero coupon security; will convert to 6.75% on August 1, 2015.
   
i
Currently a zero coupon security; will convert to 6.88% on August 1, 2019.
   
j
Currently a zero coupon security; will convert to 7.30% on August 1, 2026.
   
k
Security is subject to a guarantee provided by Bayerische Landesbank, backing 100% of the total principal.
   
z
A zero balance may reflect actual amounts rounding to less than $1,000.
   
Security had an event of default.
   
#
Restricted security subject to restrictions on resale under federal securities laws. Securities were purchased under Rule 144A of the Securities Act of 1933 or are private placements and, unless registered under the Act or exempted from registration, may only be sold to qualified institutional investors. These securities have been deemed by the investment manager to be illiquid. At April 30, 2012, these securities amounted to approximately $2,383,000 or 0.8% of net assets applicable to common shareholders for Intermediate and approximately $0 or 0.0% of net assets applicable to common shareholders for New York.

 
(000’s omitted)
Restricted Security
Acquisition
Date
 
Acquisition
Cost
 
Acquisition
Cost
Percentage
of Net Assets
Applicable
to Common
Shareholders
as of
Acquisition
Date
 
Value as of
April 30, 2012
 
Fair Value
Percentage
of Net Assets
Applicable
to Common
Shareholders
as of
April 30, 2012
Intermediate
New York Liberty Dev. Corp. Rev. (Nat’l Sports Museum Proj.), Ser. 2006-A, 6.13%, due 2/15/19
8/4/2006    $ 1,100     0.4
%
   $  0     0.0 %
 
Non-Profit Pfd. Fdg. Trust I, Ser. 2006-C, 4.72%, due 9/15/37
10/2/2006
   
3,000
   
1.0
     
2,383
   
0.8
 
New York
New York Liberty Dev. Corp. Rev. (Nat’l Sports Museum Proj.), Ser. 2006-A, 6.13%, due 2/15/19
8/4/2006
   
660
   
0.9
     
0
   
0.0
 
 
See Notes to Financial Statements
 
 
 
24

 
 
 
Statements of Assets and Liabilities (Unaudited)
 
Neuberger Berman
(000’s omitted except per share amounts)
 
   
CALIFORNIA
INTERMEDIATE
MUNICIPAL FUND
 
INTERMEDIATE
MUNICIPAL FUND
 
NEW YORK
INTERMEDIATE
MUNICIPAL FUND
   
April 30, 2012
 
April 30, 2012
 
April 30, 2012
Assets
Investments in securities, at value* (Note A)—
see Schedule of Investments:
Unaffiliated issuers
 
$
145,505
   
$
469,014
   
$
124,422
 
Cash
   
460
     
30
     
37
 
Interest receivable
   
1,887
     
6,703
     
1,856
 
Receivable for securities sold
   
25
     
     
 
Prepaid expenses and other assets
   
10
     
19
     
10
 
Total Assets
   
147,887
     
475,766
     
126,325
 
Liabilities
Distributions payable—preferred shares
   
6
     
16
     
5
 
Distributions payable—common shares
   
375
     
1,311
     
329
 
Payable for securities purchased
   
2,171
     
3,259
     
2,205
 
Payable to investment manager—net (Note B)
   
24
     
77
     
20
 
Payable to administrator (Note B)
   
36
     
115
     
30
 
Accrued expenses and other payables
   
74
     
136
     
66
 
Total Liabilities
   
2,686
     
4,914
     
2,655
 
Auction Market Preferred Shares Series A & B at liquidation value
3,000, 8,000 and 3,000 shares authorized, 2,360, 7,176 and
1,930 shares issued and outstanding for California, Intermediate
and New York, respectively;
$.0001 par value, $25,000 liquidation value per share (Note A)
   
59,000
     
179,400
     
48,250
 
Net Assets applicable to Common Shareholders at value
 
$
86,201
   
$
291,452
   
$
75,420
 
Net Assets applicable to Common Shareholders consist of:
Paid-in capital—common shares
 
$
78,719
   
$
267,296
   
$
72,005
 
Undistributed net investment income (loss)
   
2,384
     
9,233
     
1,631
 
Accumulated net realized gains (losses) on investments
   
(775
)
   
(10,127
)
   
(1,514
)
Net unrealized appreciation (depreciation) in value of investments
   
5,873
     
25,050
     
3,298
 
Net Assets applicable to Common Shareholders at value
 
$
86,201
   
$
291,452
   
$
75,420
 
Common Shares Outstanding ($.0001 par value; 999,997,000,
999,992,000 and 999,997,000 shares authorized for California,
Intermediate and New York, respectively)
   
5,512
     
18,722
     
5,058
 
Net Asset Value Per Common Share Outstanding
 
$
15.64
   
$
15.57
   
$
14.91
 
*Cost of Investments
 
$
139,632
   
$
443,964
   
$
121,124
 
 
See Notes to Financial Statements
 
 
25

 
 
Statements of Operations (Unaudited)
 
Neuberger Berman
(000’s omitted)
 
   
CALIFORNIA
INTERMEDIATE
MUNICIPAL FUND
 
INTERMEDIATE
MUNICIPAL FUND
 
NEW YORK
INTERMEDIATE
MUNICIPAL FUND
   
For the Six
Months Ended
April 30,
2012
 
For the Six
Months Ended
April 30,
2012
 
For the Six
Months Ended
April 30,
2012
Investment Income:
Income (Note A):
Interest income
 
$
3,079
   
$
10,930
   
$
2,606
 
Expenses:
Investment management fees (Note B)
   
179
     
579
     
153
 
Administration fees (Note B)
   
215
     
695
     
183
 
Auction agent fees (Note A)
   
43
     
135
     
35
 
Audit fees
   
28
     
28
     
28
 
Basic maintenance expense (Note A)
   
12
     
12
     
12
 
Custodian fees (Note A)
   
37
     
78
     
32
 
Insurance expense
   
4
     
11
     
3
 
Legal fees
   
21
     
71
     
14
 
Shareholder reports
   
17
     
30
     
17
 
Stock exchange listing fees
   
1
     
3
     
1
 
Stock transfer agent fees
   
9
     
9
     
9
 
Directors’ fees and expenses
   
26
     
26
     
26
 
Miscellaneous
   
11
     
14
     
12
 
Total expenses
   
603
     
1,691
     
525
 
Investment management fees waived (Note B)
   
(36
)
   
(116
)
   
(31
)
Expenses reduced by custodian fee expense offset
arrangement (Note A)
   
     
     
 
Total net expenses
   
567
     
1,575
     
494
 
Net investment income (loss)
 
$
2,512
   
$
9,355
   
$
2,112
 
Realized and Unrealized Gain (Loss) on Investments (Note A):
Net realized gain (loss) on:
Sales of investment securities of unaffiliated issuers
   
9
     
292
     
(4
)
Change in net unrealized appreciation (depreciation) in value of:
Unaffiliated investment securities
   
2,812
     
11,658
     
2,032
 
Net gain (loss) on investments
   
2,821
     
11,950
     
2,028
 
Distributions to Preferred Shareholders
   
(64
)
   
(199
)
   
(55
)
Net increase (decrease) in net assets applicable to Common
Shareholders resulting from operations
 
$
5,269
   
$
21,106
   
$
4,085
 
 
See Notes to Financial Statements
 
 
26

 
 
Statements of Changes in Net Assets
 
Neuberger Berman
(000’s omitted)
 
   
CALIFORNIA INTERMEDIATE
MUNICIPAL FUND
 
INTERMEDIATE
MUNICIPAL FUND
   
Six Months
Ended
April 30,
2012
(Unaudited)
 
Year Ended
October 31,
2011
 
Six Months
Ended
April 30,
2012
(Unaudited)
 
Year Ended
October 31,
2011
Increase (Decrease) in Net Assets Applicable
to Common Shareholders:
From Operations (Note A):
Net investment income (loss)
 
$
2,512
   
$
5,441
   
$
9,355
   
$
18,669
 
Net realized gain (loss) on investments
   
9
     
240
     
292
     
698
 
Change in net unrealized appreciation
(depreciation) of investments
   
2,812
     
(1,889
)
   
11,658
     
(4,684
)
Distributions to Preferred Shareholders
From (Note A):
Net investment income
   
(64
)
   
(197
)
   
(199
)
   
(598
)
Net increase (decrease) in net assets applicable to
common shareholders resulting from operations
   
5,269
     
3,595
     
21,106
     
14,085
 
Distributions to Common Shareholders
From (Note A):
Net investment income
   
(2,248
)
   
(4,496
)
   
(7,858
)
   
(15,682
)
From Capital Share Transactions (Note D):
Proceeds from reinvestment of dividends and
distributions
   
53
     
22
     
688
     
212
 
Net Increase (Decrease) in Net Assets
Applicable to Common Shareholders
   
3,074
     
(879
)
   
13,936
     
(1,385
)
Net Assets Applicable to
Common Shareholders:
Beginning of period
   
83,127
     
84,006
     
277,516
     
278,901
 
End of period
 
$
86,201
   
$
83,127
   
$
291,452
   
$
277,516
 
Undistributed net investment income (loss) at
end of period
 
$
2,384
   
$
2,184
   
$
9,233
   
$
7,935
 
 
See Notes to Financial Statements
 
 
27

 
 
   
NEW YORK INTERMEDIATE
MUNICIPAL FUND
 
   
Six Months
Ended
April 30,
2012
(Unaudited)
 
Year Ended
October 31,
2011
 
Increase (Decrease) in Net Assets Applicable
to Common Shareholders:
 
From Operations (Note A):
 
Net investment income (loss)
 
$
2,112
   
$
4,476
   
Net realized gain (loss) on investments
   
(4
)
   
(7
)
 
Change in net unrealized appreciation
(depreciation) of investments
   
2,032
     
(2,182
)
 
Distributions to Preferred Shareholders
From (Note A):
 
Net investment income
   
(55
)
   
(161
)
 
Net increase (decrease) in net assets applicable to
common shareholders resulting from operations
   
4,085
     
2,126
   
Distributions to Common Shareholders
From (Note A):
 
Net investment income
   
(1,971
)
   
(3,937
)
 
From Capital Share Transactions (Note D):
 
Proceeds from reinvestment of dividends and
distributions
   
175
     
   
Net Increase (Decrease) in Net Assets
Applicable to Common Shareholders
   
2,289
     
(1,811
)
 
Net Assets Applicable to
Common Shareholders:
 
Beginning of period
   
73,131
     
74,942
   
End of period
 
$
75,420
   
$
73,131
   
Undistributed net investment income (loss) at
end of period
 
$
1,631
   
$
1,545
   
 
 
 
28

 

Notes to Financial Statements Intermediate Municipal
Closed-End Funds (Unaudited)
 
Note A—Summary of Significant Accounting Policies:
 
1
General: The Funds were organized as Maryland corporations on July 29, 2002. California and New York are registered as non-diversified, closed-end management investment companies and Intermediate is registered as a diversified, closed-end management investment company under the Investment Company Act of 1940, as amended (the “1940 Act”). Each Fund’s Board may classify or re-classify any unissued shares of capital stock into one or more classes of preferred stock without the approval of shareholders.
   
 
The assets of each Fund belong only to that Fund, and the liabilities of each Fund are borne solely by that Fund and no other.
   
 
The preparation of financial statements in accordance with U.S. generally accepted accounting principles (“GAAP”) requires Management to make estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates.
   
2
Portfolio valuation: Investment securities are valued as indicated in the notes following the Funds’ Schedule of Investments.
   
3
Securities transactions and investment income: Securities transactions are recorded on trade date for financial reporting purposes. Interest income, including accretion of discount (adjusted for original issue discount, where applicable) and amortization of premium, where applicable, is recorded on the accrual basis. Realized gains and losses from securities transactions are recorded on the basis of identified cost and stated separately in the Statements of Operations.
   
4
Income tax information: It is the policy of each Fund to continue to qualify as a regulated investment company by complying with the requirements of the U.S. Internal Revenue Code applicable to regulated investment companies and to distribute substantially all of its earnings to its shareholders. To the extent a Fund distributes substantially all of its earnings to shareholders, no federal income or excise tax provision is required.
   
 
The Funds have adopted the provisions of ASC 740 “Income Taxes” (“ASC 740”). ASC 740 sets forth a minimum threshold for financial statement recognition of a tax position taken, or expected to be taken, in a tax return. The Funds recognize interest and penalties, if any, related to unrecognized tax positions as an income tax expense in the Statements of Operations. The Funds are subject to examination by U.S. federal and state tax authorities for returns filed for the prior three fiscal years 2008 - 2010. As of April 30, 2012, the Funds did not have any unrecognized tax positions.
   
 
Income distributions and capital gain distributions are determined in accordance with income tax regulations, which may differ from GAAP. These differences, if any, are primarily due to differing treatments of income and gains on various investment securities held by each Fund, timing differences, capital loss carryforwards expiring and differing characterization of distributions made by each Fund as a whole.
   
 
As determined on October 31, 2011, permanent differences resulting primarily from different book and tax accounting for expiration of capital loss carryforwards were reclassified at fiscal year-end. These reclassifications had no effect on net income, net asset value (“NAV”) or NAV per share of each Fund.
 
 
 
29

 
 
 
 
The tax character of distributions paid during the years ended October 31, 2011 and October 31, 2010 were as follows:
 
   
Distributions Paid From:
   
Tax-Exempt Income
 
Ordinary Income
 
Total
   
2011
 
2010
 
2011
 
2010
 
2011
 
2010
California
 
$
4,620,617
   
$
4,663,999
   
$
72,367
   
$
22,209
   
$
4,692,984
   
$
4,686,208
 
Intermediate
   
15,974,776
     
15,934,271
     
305,243
     
266,542
     
16,280,019
     
16,200,813
 
New York
   
4,084,675
     
4,083,442
     
13,214
     
8,576
     
4,097,889
     
4,092,018
 
 
 
As of October 31, 2011, the components of distributable earnings (accumulated losses) on a U.S. federal income tax basis were as follows:
 
   
Undistributed
Tax-Exempt
Income
 
Undistributed
Ordinary
Income
 
Undistributed
Long-Term
Gain
 
Unrealized
Appreciation
(Depreciation)
 
Loss
Carryforwards
and Deferrals
 
Total
California
 
$
2,560,723
   
$
   
$
   
$
3,060,585
   
$
(783,685
)
 
$
4,837,623
 
Intermediate
   
9,245,003
     
     
     
13,386,051
     
(10,412,873
)
   
12,218,181
 
New York
   
1,879,028
     
     
     
1,262,406
     
(1,506,210
)
   
1,635,224
 
 
 
The differences between book basis and tax basis distributable earnings is attributable primarily to timing differences of distribution payments, capital loss carryforwards and for Intermediate and New York, defaulted bond income adjustments.
   
 
To the extent each Fund’s net realized capital gains, if any, can be offset by capital loss carryforwards, it is the policy of each Fund not to distribute such gains. Under current tax law, the use of a fund’s capital loss carryforwards to offset future gains may be limited. As determined at October 31, 2011 each Fund had unused capital loss carryforwards available for federal income tax purposes to offset net realized capital gains, if any, as follows:
 
   
Expiring in:
   
2012
 
2013
 
2014
 
2015
 
2016
 
2017
 
2018
California
 
$
   
$
   
$
   
$
   
$
   
$
783,685
   
$
 
Intermediate
   
139,567
     
58,816
     
     
126,780
     
232,566
     
9,552,881
     
302,263
 
New York
   
156,636
     
18,838
     
     
     
269,555
     
1,053,807
     
7,374
 
 
 
During the year ended October 31, 2011, California and Intermediate utilized capital loss carryforwards of $240,263 and $698,764, respectively. During the year ended October 31, 2011, New York had capital loss carryforwards expire of $237,642.
   
 
On December 22, 2010, the Regulated Investment Company (“RIC”) Modernization Act of 2010 (the “Act”) was enacted. The Act modernizes several of the federal income and excise tax provisions related to RICs, and, with certain exceptions, is effective for taxable years beginning after December 22, 2010. Among the changes made are changes to the capital loss carryforward rules allowing for RICs to carry forward capital losses indefinitely and to retain the character of capital loss carryforwards as short-term or long-term. Rules in effect previously limited the carryforward period to eight years and all carryforwards were considered short-term in character. Capital loss carryforwards generated in taxable years beginning after the effective date of the Act must be fully used before capital loss carryforwards generated in taxable years prior to the effective date of the Act; therefore, under certain circumstances, capital loss carryforwards available as of the report date, if any, may expire unused.

 
5
Distributions to common shareholders: Each Fund earns income, net of expenses, daily on its investments. It is the policy of each Fund to declare and pay monthly distributions to common shareholders. Distributions from net realized capital gains, if any, are normally distributed in December. Distributions to common shareholders are recorded on the ex-date. Distributions to preferred shareholders are accrued and determined as described in Note A-7.
 
 
 
30

 
 
 
On May 15, 2012, each Fund declared a monthly distribution to common shareholders payable June 15, 2012, to shareholders of record on May 31, 2012, with an ex-date of May 29, 2012 as follows:
 
  Distribution per share
California
 
$
0.068
 
Intermediate
   
0.070
 
New York
   
0.065
 
 
 
On June 15, 2012, each Fund declared a monthly distribution to common shareholders payable July 16, 2012, to shareholders of record on June 29, 2012, with an ex-date of June 27, 2012 as follows:
 
Distribution per share
California
 
$
0.068
 
Intermediate
   
0.070
 
New York
   
0.065
 
 
6
Expense allocation: Certain expenses are applicable to multiple funds. Expenses directly attributable to a Fund are charged to that Fund. Expenses borne by the complex of related investment companies, which includes open-end and closed-end investment companies for which Management serves as investment manager, that are not directly attributable to a particular investment company (e.g., a Fund) are allocated among the Funds and the other investment companies in the complex or series thereof on the basis of relative net assets, except where a more appropriate allocation of expenses to each of the investment companies in the complex or series thereof can otherwise be made fairly.
   
7
Financial leverage: On October 21, 2002, the Funds re-classified unissued shares of capital stock into several series of Auction Market Preferred Shares (“AMPS”), as follows:
 
   
Series A Shares
 
Series B Shares
California
   
1,500
     
1,500
 
Intermediate
   
4,000
     
4,000
 
New York
   
1,500
     
1,500
 
 
 
On December 13, 2002, the Funds issued several series of AMPS, as follows:
 
   
Series A Shares
 
Series B Shares
California
   
1,180
     
1,180
 
Intermediate
   
3,588
     
3,588
 
New York
   
965
     
965
 
 
 
All shares of each series of AMPS have a liquidation preference of $25,000 per share plus any accumulated unpaid distributions, whether or not earned or declared by a Fund, but excluding interest thereon (“Liquidation Value”). Distributions to AMPS shareholders, which are cumulative, are accrued daily. It is the policy of each Fund to pay distributions every 7 days for each Fund’s AMPS Series A and every 28 days for each Fund’s AMPS Series B, unless in a special rate period.
   
 
In the absence of a special rate period, distribution rates are reset every 7 days for each Fund’s AMPS Series A, based on the results of an auction. For the six months ended April 30, 2012, distribution rates ranged from:
 
 
Distribution Rate
California
0.11% – 0.38%
Intermediate
0.11% – 0.40%
New York
0.11% – 0.38%
 
 
 
31

 

 
In the absence of a special rate period, distribution rates are reset every 28 days for each Fund’s AMPS Series B, based on the results of an auction. For the six months ended April 30, 2012, distribution rates ranged from:
 
 
Distribution Rate
California
0.11% – 0.32%
Intermediate
0.11% – 0.34%
New York
0.11% – 0.36%
 
 
The Funds declared distributions to AMPS shareholders for the period May 1, 2012 to May 31, 2012 for each series of the AMPS as follows:
 
   
Series A Shares
 
Series B Shares
California
 
$
8,439
   
$
8,281
 
Intermediate
   
25,885
     
25,503
 
New York
   
6,879
     
6,859
 
 
 
Since February 2008, the market for auction rate preferred securities has experienced an unprecedented number of failed auctions. In the Funds’ regularly scheduled auctions, more AMPS were submitted for sale than there were offers to buy. This meant that these auctions “failed to clear,” and that preferred shareholders who wanted to sell their AMPS in these auctions were unable to do so. When a failed auction of AMPS occurs, the distribution rate for AMPS resets to a maximum rate, which is 110% of the base rate (the base rate is the greater of an “AA” rated composite commercial paper rate or the taxable equivalent of a short-term municipal bond rate) as a result of the failed auctions. Although the failed auctions have resulted in a current lack of liquidity for preferred shareholders, they are not an event of default for the Funds nor have they affected the credit quality of the AMPS. The Funds have paid, and continue to pay, distributions on their AMPS that are set at the maximum rate as a result of the failed auctions. If auctions continue to fail and the maximum rate increases due to changes in short term interest rates, the Funds’ returns for common shareholders could be adversely affected. The Funds continue to monitor the developments in the AMPS market.
   
 
The Funds may redeem shares of each series of AMPS, in whole or in part, on the second business day preceding any distribution payment date at Liquidation Value.
   
 
The Funds are also subject to certain restrictions relating to the AMPS. Failure to comply with these restrictions could preclude the Funds from declaring any distributions to common shareholders or repurchasing common shares and/or could trigger the mandatory redemption of AMPS at Liquidation Value.
   
 
The holders of AMPS are entitled to one vote per share and will vote with holders of common shares as a single class, except that the AMPS will vote separately as a class on certain matters, as required by law or a Fund’s charter. The holders of a Fund’s AMPS, voting as a separate class, are entitled at all times to elect two Directors of the Fund, and to elect a majority of the Directors of the Fund if the Fund fails to pay distributions on AMPS for two consecutive years.
   
8
Concentration of risk: The ability of the issuers of the debt securities held by the Funds to meet their obligations may be affected by economic developments, including those particular to a specific industry or region. California and New York normally invest substantially all of their assets in municipal bonds of issuers located in the state of California and the state of New York, respectively. The value of each of these Funds’ securities are more susceptible to adverse economic, political, regulatory or other factors affecting the issuers of such municipal bonds than a fund that does not limit its investments to such issuers.
   
9
Indemnifications: Like many other companies, the Funds’ organizational documents provide that their officers and directors are indemnified against certain liabilities arising out of the performance of their duties to the Funds. In addition, both in some of their principal service contracts and in the normal course of their business, the Funds enter into contracts that provide indemnifications to other parties for certain types of losses or liabilities. Each Fund’s maximum exposure under these arrangements is unknown as this could involve future claims against each Fund.
 
 
 
32

 
 
 
10
Arrangements with certain non-affiliated service providers: Each Fund has an expense offset arrangement in connection with its custodian contract. For the six months ended April 30, 2012, the impact of this arrangement was a reduction of expenses of $256, $443, and $172 for California, Intermediate, and New York, respectively.
   
 
In connection with the settlement of each AMPS auction, each Fund pays, through the auction agent, a service fee to each participating broker-dealer based upon the aggregate liquidation preference of the AMPS held by the broker-dealer’s customers. For any auction preceding a rate period of less than one year, the service fee is paid at the annual rate of 1/4 of 1% for each successful auction, and up to 3/20 of 1% if the auction fails; for any auction preceding a rate period of one year or more, the service fee is paid at a rate agreed to by each Fund and the broker-dealer.
   
 
In order to satisfy rating agency requirements, each Fund is required to provide the rating agency that rates its AMPS a report on a monthly basis verifying that each Fund is maintaining eligible assets having a discounted value equal to or greater than the Preferred Shares Basic Maintenance Amount, which is a minimum level set by the rating agency as one of the conditions to maintain its rating on the AMPS. “Discounted value” refers to the fact that the rating agency requires each Fund, in performing this calculation, to discount portfolio securities below their face value, at rates determined by the rating agency. Each Fund pays a fee to State Street Bank and Trust Company (“State Street”) for the preparation of this report which is reflected in the Statements of Operations under the caption “Basic maintenance expense.”
 
Note B—Management Fees, Administration Fees, and Other Transactions with Affiliates:
 
 
Each Fund retains Management as its investment manager under a Management Agreement. For such investment management services, each Fund pays Management a fee at the annual rate of 0.25% of its average daily Managed Assets. Managed Assets equal the total assets of the Fund, less liabilities other than the aggregate indebtedness entered into for purposes of leverage. For purposes of calculating Managed Assets, the Liquidation Value of any AMPS outstanding is not considered a liability.
   
 
In connection with the tender offer program, more fully described in Note E, Management has agreed to voluntarily extend for one year the contractual fee waivers that had been in place, so that the total effective fee waiver as a percentage of average daily Managed Assets for each Fund would be:
 
Year Ended
October 31,
 
% of Average
Daily Managed Assets
 
 
2012
     
0.05
   
 
 
For the six months ended April 30, 2012, such waived fees amounted to $35,841, $115,757, and $30,566 for California, Intermediate, and New York, respectively.
   
 
Each Fund retains Management as its administrator under an Administration Agreement. Each Fund pays Management an administration fee at the annual rate of 0.30% of its average daily Managed Assets under this agreement. Additionally, Management retains State Street as its sub-administrator under a Sub-Administration Agreement. Management pays State Street a fee for all services received under the agreement.
   
 
Neuberger Berman LLC (“Neuberger”) is retained by Management to furnish it with investment recommendations and research information without added cost to the Funds. Several individuals who are officers and/or Directors of each Fund are also employees of Neuberger and/or Management.
   
 
Management and Neuberger are indirect subsidiaries of Neuberger Berman Group LLC ((“NBG”) and together with its consolidated subsidiaries (“NB Group”)). NBSH Acquisition, LLC (“NBSH”), which is owned by portfolio managers, members of the NB Group management team and certain of NB Group’s key employees and senior professionals, owns approximately 54% of NBG’s common units, and Lehman Brothers Holdings Inc. (“LBHI”) and certain of its subsidiaries (collectively the “LBHI Parties”) own the remaining 46% of such common units. Pursuant to agreements among NBG, NBSH and the LBHI Parties, NBG is entitled to acquire the remaining
 
 
33

 
 
 
common units not owned by NBSH through a process that is expected to end in 2017. In April, 2012, NBG committed to and began payments for equity purchases from the LBHI parties, which are expected to raise employee ownership to approximately 64% by year end.
 
Note C—Securities Transactions:
 
 
During the six months ended April 30, 2012, there were purchase and sale transactions of long-term securities as follows:
 
(000’s omitted)
 
Purchases
 
Sales
California
 
$
21,278
   
$
16,551
 
Intermediate
   
92,595
     
80,245
 
New York
   
6,483
     
3,160
 
 
Note D—Capital:
 
 
At April 30, 2012, the common shares outstanding and the common shares of each Fund owned by Neuberger were as follows:
 
   
Common Shares
Outstanding
 
Common Shares
Owned by Neuberger
 
California
   
5,512,415
     
7,820
   
Intermediate
   
18,721,547
     
7,862
   
New York
   
5,058,476
     
7,851
   
 
 
Transactions in common shares for the six months ended April 30, 2012 and for the year ended October 31, 2011, were as follows:
 
   
Shares Issued on
Reinvestment of Dividends
and Distributions
 
Net Increase/(Decrease)
in Common Shares
Outstanding
 
   
2012
 
2011
 
2012
 
2011
 
California
   
3,418
     
1,520
     
3,418
     
1,520
   
Intermediate
   
45,154
     
14,410
     
45,154
     
14,410
   
New York
   
11,827
     
     
11,827
     
   
 
Note E—Tender Offer Program:
 
 
In 2009, each Fund’s Board authorized a semi-annual tender offer program consisting of up to four tender offers over a two-year period (each, a “Tender Offer Program”). Under each Tender Offer Program, if a Fund’s common shares traded at an average daily discount to NAV per share of greater than 10% during a 12-week measurement period, the Fund would have conducted a tender offer for between 5% and 20% of its outstanding common shares at a price equal to 98% of its NAV per share determined on the day the tender offer expired.
   
 
During the initial measurement period under its Tender Offer Program, each of Intermediate’s and New York’s common shares traded at an average daily discount to NAV per share of less than 10% and, therefore, in accordance with its Tender Offer Program, each of Intermediate and New York did not conduct a tender offer. During the initial measurement period under its Tender Offer Program, however, California’s common shares traded at an average daily discount to NAV per share of greater than 10%. As a result, California conducted a tender offer for up to 10% of its outstanding common shares that commenced September 18, 2009 and ended October 16, 2009. Under the terms of the tender offer, on October 23, 2009, California accepted for purchase 611,942 common shares,
 
 
 
34

 
 
 
representing approximately 10% of its then-outstanding common shares. Final payment was made at $14.15 per share, representing 98% of the NAV per share on October 16, 2009.
   
 
During each Fund’s second measurement period under its Tender Offer Program, each Fund’s common shares traded at an average daily discount to NAV per share of less than 10% and, therefore, in accordance with its Tender Offer Program, each Fund did not conduct a tender offer. During each Fund’s third measurement period under its Tender Offer Program, each Fund’s common shares traded at an average daily discount to NAV per share of less than 10% and, therefore, in accordance with its Tender Offer Program, each Fund did not conduct a tender offer. During each Fund’s fourth and final measurement period under its Tender Offer Program, each Fund’s common shares traded at an average daily discount to NAV of less than 10% and, therefore, in accordance with its Tender Offer Program, each Fund did not conduct a tender offer.
   
 
In connection with each Fund’s adoption of its Tender Offer Program in 2009, Management agreed to voluntarily extend for one year the contractual fee waivers then in place for each Fund to offset some of the expenses associated with, or possible increases in each Fund’s expense ratio resulting from, the tender offers (see Note B for additional disclosure). Each Board retained the ability, consistent with its fiduciary duty, to opt out of its Tender Offer Program should circumstances arise that the Board believed could cause a material negative effect on its Fund or its Fund’s shareholders.
 
Note F—Recent Accounting Pronouncement:
 
 
In May 2011, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2011-04 “Amendments to Achieve Common Fair Value Measurement and Disclosure Requirements in U.S. GAAP and International Financial Reporting Standards (“IFRS”).” ASU No. 2011-04 amends ASC 820 to establish common requirements for measuring fair value and for disclosing information about fair value measurements in accordance with GAAP and IFRS. It will not affect the fair valuation of the Funds’ investments, but rather the quantitative and qualitative disclosures in the financial statements. ASU No. 2011-04 is effective for fiscal years beginning after December 15, 2011 and for interim periods within those fiscal years. Management is currently evaluating the impact of the adoption of ASU No. 2011-04 on the Funds’ financial statement disclosures.
 
Note G—Unaudited Financial Information:
 
 
The financial information included in this interim report is taken from the records of each Fund without audit by an independent registered public accounting firm. Annual reports contain audited financial statements.
 
 
 
35

 
 
Financial Highlights
 
California Intermediate Municipal Fund
 
The following table includes selected data for a share outstanding throughout each period and other performance information derived from the Financial Statements. Per share amounts that round to less than $.01 or $(.01) per share are presented as $.00 or $(.00), respectively.
 
   
Six Months
Ended
April 30,
 
Year Ended October 31,
   
2012
(Unaudited)
 
2011
 
2010
 
2009
 
2008
 
2007
Common Share Net Asset Value,
Beginning of Period
 
$
15.09
   
$
15.25
   
$
14.41
   
$
12.99
   
$
14.60
   
$
15.00
 
Income From Investment Operations
Applicable to Common Shareholders:
Net Investment Income (Loss)¢ 
   
.46
     
.99
     
.98
     
.88
     
.92
     
.94
 
Net Gains or Losses on Securities
(both realized and unrealized)
   
.51
     
(.29
)
   
.71
     
1.22
     
(1.58
)
   
(.35
)
Common Share Equivalent of Distributions
to Preferred Shareholders From:
Net Investment Income¢ 
   
(.01
)
   
(.04
)
   
(.04
)
   
(.08
)
   
(.31
)
   
(.30
)
Total From Investment Operations
Applicable to Common Shareholders
   
.96
     
.66
     
1.65
     
2.02
     
(.97
)
   
.29
 
Less Distributions to Common
Shareholders From:
Net Investment Income
   
(.41
)
   
(.82
)
   
(.81
)
   
(.66
)
   
(.64
)
   
(.69
)
Accretive Effect of Tender Offer
   
     
     
     
.06
     
     
 
Common Share Net Asset Value,
End of Period
 
$
15.64
   
$
15.09
   
$
15.25
   
$
14.41
   
$
12.99
   
$
14.60
 
Common Share Market Value,
End of Period
 
$
16.21
   
$
14.68
   
$
14.56
   
$
13.14
   
$
10.73
   
$
13.08
 
Total Return, Common Share
Net Asset Value 
   
6.41
%**
 
4.77
%
   
12.07
%
   
17.12
%
   
(6.39
)%
   
2.16
%
Total Return, Common Share
Market Value 
   
13.37
%**
 
6.75
%
   
17.34
%
   
29.29
%
   
(13.69
)%
   
(6.29
)%
Supplemental Data/Ratios††
Net Assets Applicable to
Common Shareholders,
End of Period (in millions)
 
$
86.2
   
$
83.1
   
$
84.0
   
$
79.3
   
$
88.3
   
$
99.3
 
Preferred Shares Outstanding,
End of Period (in millions)
 
$
59.0
   
$
59.0
   
$
59.0
   
$
59.0
   
$
59.0
   
$
59.0
 
Preferred Shares Liquidation
Value Per Share
 
$
25,000
   
$
25,000
   
$
25,000
   
$
25,000
   
$
25,000
   
$
25,000
 
Ratios are Calculated Using
Average Net Assets Applicable
to Common Shareholders
Ratio of Gross Expenses# 
   
1.43
%*
 
1.46
%
   
1.59
%
   
1.59
%
   
1.34
%
   
1.34
%
Ratio of Net Expenses 
   
1.34
%*
 
1.29
%
   
1.33
%
   
1.34
%
   
1.02
%
   
.94
%
Ratio of Net Investment Income (Loss)
Excluding Preferred Share DistributionsØØ 
   
5.93
%*
 
6.68
%
   
6.60
%
   
6.51
%
   
6.45
%
   
6.36
%
Portfolio Turnover Rate
   
12
%**
 
16
%
   
23
%
   
27
%
   
14
%
   
3
%
Asset Coverage Per Preferred Share,
End of Period@ 
 
$
61,529
   
$
60,224
   
$
60,597
   
$
58,620
   
$
62,432
   
$
67,108
 
 
See Notes to Financial Highlights
 
 
36

 
 
 
Financial Highlights
 
Intermediate Municipal Fund
 
The following table includes selected data for a share outstanding throughout each period and other performance information derived from the Financial Statements. Per share amounts that round to less than $.01 or $(.01) per share are presented as $.00 or $(.00), respectively.
 
   
Six Months
Ended
April 30,
 
Year Ended October 31,
   
2012
(Unaudited)
 
2011
 
2010
 
2009
 
2008
 
2007
Common Share Net Asset Value,
Beginning of Period
 
$
14.86
   
$
14.94
   
$
14.15
   
$
13.01
   
$
14.55
   
$
14.91
 
Income From Investment Operations
Applicable to Common Shareholders:
Net Investment Income (Loss)¢ 
   
.50
     
1.00
     
.99
     
.95
     
.97
     
.98
 
Net Gains or Losses on Securities
(both realized and unrealized)
   
.64
     
(.21
)
   
.67
     
.91
     
(1.53
)
   
(.35
)
Common Share Equivalent of Distributions
to Preferred Shareholders From:
Net Investment Income¢ 
   
(.01
)
   
(.03
)
   
(.04
)
   
(.08
)
   
(.33
)
   
(.32
)
Total From Investment Operations
Applicable to Common Shareholders
   
1.13
     
.76
     
1.62
     
1.78
     
(.89
)
   
.31
 
Less Distributions to Common
Shareholders From:
Net Investment Income
   
(.42
)
   
(.84
)
   
(.83
)
   
(.67
)
   
(.65
)
   
(.67
)
Accretive Effect of Tender Offer
   
     
     
     
.03
     
     
 
Common Share Net Asset Value,
End of Period
 
$
15.57
   
$
14.86
   
$
14.94
   
$
14.15
   
$
13.01
   
$
14.55
 
Common Share Market Value,
End of Period
 
$
16.13
   
$
14.75
   
$
14.80
   
$
13.01
   
$
11.00
   
$
12.86
 
Total Return, Common Share
Net Asset Value 
   
7.67
%**
5.51
%
   
11.89
%
   
14.73
%
   
(5.87
)%
 
2.48
%
Total Return, Common Share
Market Value 
   
12.38
%**
5.71
%
   
20.56
%
   
24.76
%
   
(9.95
)%
 
(5.03
)%
Supplemental Data/Ratios††
Net Assets Applicable to
Common Shareholders,
End of Period (in millions)
 
$
291.5
   
$
277.5
   
$
278.9
   
$
263.6
   
$
269.3
   
$
301.3
 
Preferred Shares Outstanding,
End of Period (in millions)
 
$
179.4
   
$
179.4
   
$
179.4
   
$
179.4
   
$
179.4
   
$
179.4
 
Preferred Shares Liquidation
Value Per Share
 
$
25,000
   
$
25,000
   
$
25,000
   
$
25,000
   
$
25,000
   
$
25,000
 
Ratios are Calculated Using
Average Net Assets Applicable
to Common Shareholders
Ratio of Gross Expenses# 
   
1.19
%*
 
1.22
%
   
1.30
%
   
1.33
%
   
1.19
%
   
1.18
%
Ratio of Net Expenses 
   
1.11
%*
 
1.05
%
   
1.05
%
   
1.08
%
   
.86
%
   
.78
%
Ratio of Net Investment Income (Loss)
Excluding Preferred Share DistributionsØØ 
   
6.57
%*
 
6.92
%
   
6.75
%
   
6.98
%
   
6.80
%
   
6.65
%
Portfolio Turnover Rate
   
17
%**
23
%
   
26
%
   
40
%
   
8
%
   
4
%
Asset Coverage Per Preferred Share,
End of Period@ 
 
$
65,617
   
$
63,673
   
$
63,870
   
$
61,743
   
$
62,606
   
$
67,027
 
 
See Notes to Financial Highlights
 
 
37

 
 
Financial Highlights
 
New York Intermediate Municipal Fund
 
The following table includes selected data for a share outstanding throughout each period and other performance information derived from the Financial Statements. Per share amounts that round to less than $.01 or $(.01) per share are presented as $.00 or $(.00), respectively.
 
   
Six Months
Ended
April 30,
 
Year Ended October 31,
   
2012
(Unaudited)
 
2011
 
2010
 
2009
 
2008
 
2007
Common Share Net Asset Value,
Beginning of Period
 
$
14.49
   
$
14.85
   
$
14.07
   
$
12.73
   
$
14.34
   
$
14.69
 
Income From Investment Operations
Applicable to Common Shareholders:
Net Investment Income (Loss)¢ 
   
.42
     
.89
     
.92
     
.89
     
.94
     
.95
 
Net Gains or Losses on Securities
(both realized and unrealized)
   
.40
     
(.44
)
   
.67
     
1.16
     
(1.60
)
   
(.33
)
Common Share Equivalent of Distributions
to Preferred Shareholders From:
Net Investment Income¢ 
   
(.01
)
   
(.03
)
   
(.04
)
   
(.08
)
   
(.31
)
   
(.30
)
Total From Investment Operations
Applicable to Common Shareholders
   
.81
     
.42
     
1.55
     
1.97
     
(.97
)
   
.32
 
Less Distributions to Common
Shareholders From:
Net Investment Income
   
(.39
)
   
(.78
)
   
(.77
)
   
(.66
)
   
(.64
)
   
(.67
)
Accretive Effect of Tender Offer
   
     
     
     
.03
     
     
 
Common Share Net Asset Value,
End of Period
 
$
14.91
   
$
14.49
   
$
14.85
   
$
14.07
   
$
12.73
   
$
14.34
 
Common Share Market Value,
End of Period
 
$
15.37
   
$
13.76
   
$
14.95
   
$
12.88
   
$
10.57
   
$
12.99
 
Total Return, Common Share
Net Asset Value 
   
5.62
%**
 
3.25
%
   
11.43
%
   
16.74
%
   
(6.50
)%
 
2.50
%
Total Return, Common Share
Market Value 
   
14.66
%**
 
(2.61
)%
 
22.54
%
   
28.71
%
   
(14.30
)%
 
(6.58
)%
Supplemental Data/Ratios††
Net Assets Applicable to
Common Shareholders,
End of Period (in millions)
 
$
75.4
   
$
73.1
   
$
74.9
   
$
70.7
   
$
71.1
   
$
80.0
 
Preferred Shares Outstanding,
End of Period (in millions)
 
$
48.3
   
$
48.3
   
$
48.3
   
$
48.3
   
$
48.3
   
$
48.3
 
Preferred Shares Liquidation
Value Per Share
 
$
25,000
   
$
25,000
   
$
25,000
   
$
25,000
   
$
25,000
   
$
25,000
 
Ratios are Calculated Using
Average Net Assets Applicable
to Common Shareholders
Ratio of Gross Expenses# 
   
1.41
%*
   
1.46
%
   
1.55
%
   
1.62
%
   
1.41
%
   
1.40
%
Ratio of Net Expenses 
   
1.33
%*
   
1.29
%
   
1.30
%
   
1.37
%
   
1.09
%
   
1.00
%
Ratio of Net Investment Income (Loss)
Excluding Preferred Share DistributionsØØ 
   
5.69
%*
   
6.21
%
   
6.37
%
   
6.70
%
   
6.64
%
   
6.56
%
Portfolio Turnover Rate
   
3
%**
 
16
%
   
29
%
   
33
%
   
10
%
   
1
%
Asset Coverage Per Preferred Share,
End of Period@ 
 
$
64,080
   
$
62,895
   
$
63,835
   
$
61,627
   
$
61,892
   
$
66,496
 
 
See Notes to Financial Highlights
 
 
38

 
 
Notes to Financial Highlights Intermediate Municipal Closed-End Funds
(Unaudited)
 
Total return based on per share NAV reflects the effects of changes in NAV on the performance of each Fund during each fiscal period. Total return based on per share market value assumes the purchase of common shares at the market price on the first day and sale of common shares at the market price on the last day of the period indicated. Dividends and distributions, if any, are assumed to be reinvested at prices obtained under each Fund’s distribution reinvestment plan. Results represent past performance and do not indicate future results. Current returns may be lower or higher than the performance data quoted. Investment returns may fluctuate and shares when sold may be worth more or less than original cost. For each Fund, total return would have been lower if Management had not waived a portion of the investment management fee.
   
#
Represents the annualized ratios of net expenses to average daily net assets if Management had not waived a portion of the investment management fee.
   
After waiver of a portion of the investment management fee by Management. The Fund is required to calculate an expense ratio without taking into consideration any expense reductions related to expense offset arrangements. Had the Fund not received expense reductions related to expense offset arrangements, the annualized ratios of net expenses to average daily net assets applicable to common shareholders would have been:

 
   
Six Months
Ended April 30,
 
Year Ended October 31,
 
   
2012
 
2011
 
2010
 
2009
 
2008
 
2007
 
California
 
1.34
%
 
1.29
%
 
1.34
%
 
1.34
%
 
1.03
%
 
.94
%
 
Intermediate
 
1.11
%
 
1.05
%
 
1.05
%
 
1.09
%
 
.87
%
 
.79
%
 
New York
 
1.33
%
 
1.29
%
 
1.30
%
 
1.37
%
 
1.09
%
 
1.00
%
 
 
@
Calculated by subtracting the Fund’s total liabilities (excluding accumulated unpaid distributions on AMPS) from the Fund’s total assets and dividing by the number of AMPS outstanding.
   
††
Expense ratios do not include the effect of distributions to holders of AMPS. Income ratios include income earned on assets attributable to AMPS outstanding.
   
¢
Calculated based on the average number of shares outstanding during each fiscal period.
   
ØØ
The annualized ratios of preferred share distributions to average net assets applicable to common shareholders were:

 
   
Six Months
Ended April 30,
 
Year Ended October 31,
 
   
2012
 
2011
 
2010
 
2009
 
2008
 
2007
 
California
 
.15
%
 
.24
%
 
.29
%
 
.58
%
 
2.17
%
 
2.02
%
 
Intermediate
 
.14
%
 
.22
%
 
.27
%
 
.57
%
 
2.27
%
 
2.20
%
 
New York
 
.15
%
 
.22
%
 
.27
%
 
.59
%
 
2.19
%
 
2.07
%
 
 
*           Annualized.
**          Not Annualized.
 
 
39

 
 
 
Distribution Reinvestment Plan
 
Computershare Shareowner Services LLC (the “Plan Agent”) will act as Plan Agent for shareholders who have not elected in writing to receive dividends and distributions in cash (each a “Participant”), will open an account for each Participant under the Distribution Reinvestment Plan (“Plan”) in the same name as their then current Shares are registered, and will put the Plan into effect for each Participant as of the first record date for a dividend or capital gains distribution.
 
Whenever the Fund declares a dividend or distribution with respect to the common stock of the Fund (“Shares”), each Participant will receive such dividends and distributions in additional Shares, including fractional Shares acquired by the Plan Agent and credited to each Participant’s account. If on the payment date for a cash dividend or distribution, the net asset value is equal to or less than the market price per Share plus estimated brokerage commissions, the Plan Agent shall automatically receive such Shares, including fractions, for each Participant’s account. Except in the circumstances described in the next paragraph, the number of additional Shares to be credited to each Participant’s account shall be determined by dividing the dollar amount of the dividend or distribution payable on their Shares by the greater of the net asset value per Share determined as of the date of purchase or 95% of the then current market price per Share on the payment date.
 
Should the net asset value per Share exceed the market price per Share plus estimated brokerage commissions on the payment date for a cash dividend or distribution, the Plan Agent or a broker-dealer selected by the Plan Agent shall endeavor, for a purchase period lasting until the last business day before the next date on which the Shares trade on an “ex-dividend” basis, but in no event, except as provided below, more than 30 days after the payment date, to apply the amount of such dividend or distribution on each Participant’s Shares (less their pro rata share of brokerage commissions incurred with respect to the Plan Agent’s open-market purchases in connection with the reinvestment of such dividend or distribution) to purchase Shares on the open market for each Participant’s account. No such purchases may be made more than 30 days after the payment date for such dividend or distribution except where temporary curtailment or suspension of purchase is necessary to comply with applicable provisions of federal securities laws. If, at the close of business on any day during the purchase period the net asset value per Share equals or is less than the market price per Share plus estimated brokerage commissions, the Plan Agent will not make any further open-market purchases in connection with the reinvestment of such dividend or distribution. If the Plan Agent is unable to invest the full dividend or distribution amount through open-market purchases during the purchase period, the Plan Agent shall request that, with respect to the uninvested portion of such dividend or distribution amount, the Fund issue new Shares at the close of business on the earlier of the last day of the purchase period or the first day during the purchase period on which the net asset value per Share equals or is less than the market price per Share, plus estimated brokerage commissions, such Shares to be issued in accordance with the terms specified in the third paragraph hereof. These newly issued Shares will be valued at the then-current market price per Share at the time such Shares are to be issued.
 
For purposes of making the reinvestment purchase comparison under the Plan, (a) the market price of the Shares on a particular date shall be the last sales price on the New York Stock Exchange (or if the Shares are not listed on the New York Stock Exchange, such other exchange on which the Shares are principally traded) on that date, or, if there is no sale on such Exchange (or if not so listed, in the over-the-counter market) on that date, then the mean between the closing bid and asked quotations for such Shares on such Exchange on such date and (b) the net asset value per Share on a particular date shall be the net asset value per Share most recently calculated by or on behalf of the Fund. All dividends, distributions and other payments (whether made in cash or Shares) shall be made net of any applicable withholding tax.
 
Open-market purchases provided for above may be made on any securities exchange where the Fund’s Shares are traded, in the over-the-counter market or in negotiated transactions and may be on such terms as to price, delivery and otherwise as the Plan Agent shall determine. Each Participant’s uninvested funds held by the Plan Agent will not bear interest, and it is understood that, in any event, the Plan Agent shall have no liability in connection with any inability to purchase Shares within 30 days after the initial date of such purchase as herein provided, or with the timing of any purchases effected. The Plan Agent shall have no responsibility as to the value of the Shares acquired for each Participant’s account. For the

 
 
40

 

purpose of cash investments, the Plan Agent may commingle each Participant’s funds with those of other shareholders of the Fund for whom the Plan Agent similarly acts as agent, and the average price (including brokerage commissions) of all Shares purchased by the Plan Agent as Plan Agent shall be the price per Share allocable to each Participant in connection therewith.
 
The Plan Agent may hold each Participant’s Shares acquired pursuant to the Plan together with the Shares of other shareholders of the Fund acquired pursuant to the Plan in noncertificated form in the Plan Agent’s name or that of the Plan Agent’s nominee. The Plan Agent will forward to each Participant any proxy solicitation material and will vote any Shares so held for each Participant only in accordance with the instructions set forth on proxies returned by the Participant to the Fund.
 
The Plan Agent will confirm to each Participant each acquisition made for their account as soon as practicable but not later than 60 days after the date thereof. Although each Participant may from time to time have an undivided fractional interest (computed to three decimal places) in a Share, no certificates for a fractional Share will be issued. However, dividends and distributions on fractional Shares will be credited to each Participant’s account. In the event of termination of a Participant’s account under the Plan, the Plan Agent will adjust for any such undivided fractional interest in cash at the market value of the Shares at the time of termination, less the pro rata expense of any sale required to make such an adjustment.
 
Any Share dividends or split Shares distributed by the Fund on Shares held by the Plan Agent for Participants will be credited to their accounts. In the event that the Fund makes available to its shareholders rights to purchase additional Shares or other securities, the Shares held for each Participant under the Plan will be added to other Shares held by the Participant in calculating the number of rights to be issued to each Participant.
 
The Plan Agent’s service fee for handling capital gains distributions or income dividends will be paid by the Fund. Participants will be charged their pro rata share of brokerage commissions on all open-market purchases.
 
Each Participant may terminate their account under the Plan by notifying the Plan Agent in writing. Such termination will be effective immediately if the Participant’s notice is received by the Plan Agent not less than ten days prior to any dividend or distribution record date, otherwise such termination will be effective the first trading day after the payment date for such dividend or distribution with respect to any subsequent dividend or distribution. The Plan may be terminated by the Plan Agent or the Fund upon notice in writing mailed to each Participant at least 30 days prior to any record date for the payment of any dividend or distribution by the Fund.
 
These terms and conditions may be amended or supplemented by the Plan Agent or the Fund at any time or times but, except when necessary or appropriate to comply with applicable law or the rules or policies of the Securities and Exchange Commission or any other regulatory authority, only by mailing to each Participant appropriate written notice at least 30 days prior to the effective date thereof. The amendment or supplement shall be deemed to be accepted by each Participant unless, prior to the effective date thereof, the Plan Agent receives written notice of the termination of their account under the Plan. Any such amendment may include an appointment by the Plan Agent in its place and stead of a successor Plan Agent under these terms and conditions, with full power and authority to perform all or any of the acts to be performed by the Plan Agent under these terms and conditions. Upon any such appointment of any Plan Agent for the purpose of receiving dividends and distributions, the Fund will be authorized to pay to such successor Plan Agent, for each Participant’s account, all dividends and distributions payable on Shares held in their name or under the Plan for retention or application by such successor Plan Agent as provided in these terms and conditions.
 
The Plan Agent shall at all times act in good faith and agrees to use its best efforts within reasonable limits to ensure the accuracy of all services performed under this Agreement and to comply with applicable law, but assumes no responsibility and shall not be liable for loss or damage due to errors unless such error is caused by the Plan Agent’s negligence, bad faith, or willful misconduct or that of its employees. These terms and conditions are governed by the laws of the State of Maryland.

 
41

 
 
Reinvested dividends and distributions are taxed in the same manner as cash dividends and distributions — i.e., reinvestment in additional shares does not relieve shareholders of, or defer the need to pay, any income tax that may be payable (or that is required to be withheld) on Fund dividends and distributions. Participants should contact their tax professionals for information on how the Plan impacts their personal tax situation. For additional information about the Plan, please contact the Plan Agent at 1-866-227-2136 or 480 Washington Boulevard, Jersey City, NJ 07317.
 
 

 
42

 
Directory
 
 
Investment Manager and Administrator
Neuberger Berman Management LLC
605 Third Avenue, 2nd Floor
New York, NY 10158-0180
877.461.1899 or 212.476.8800
 
Stock Transfer Agent and Plan Agent
Computershare Shareowner Services LLC
480 Washington Boulevard
Jersey City, NJ 07317
     
Sub-Adviser
Neuberger Berman LLC
605 Third Avenue
New York, NY 10158-3698
 
Legal Counsel
K&L Gates LLP
1601 K Street, NW
Washington, DC 20006
     
Custodian
State Street Bank and Trust Company
2 Avenue de Lafayette
Boston, MA 02111
 
Independent Registered Public Accounting Firm
Ernst & Young LLP
200 Clarendon Street
Boston, MA 02116


 
43

 

Proxy Voting Policies and Procedures
 
A description of the policies and procedures that the Funds use to determine how to vote proxies relating to portfolio securities is available, without charge, by calling 1-800-877-9700 (toll-free) and on the website of the Securities and Exchange Commission at www.sec.gov. Information regarding how the Funds voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 is also available, without charge, by calling 1-800-877-9700 (toll-free), on the website of the Securities and Exchange Commission at www.sec.gov, and on Management’s website at www.nb.com.
 
Quarterly Portfolio Schedule
 
Each Fund files a complete schedule of portfolio holdings with the Securities and Exchange Commission for the first and third quarters of each fiscal year on Form N-Q. The Funds’ Forms N-Q are available on the Securities and Exchange Commission’s website at www.sec.gov and may be reviewed and copied at the Securities and Exchange Commission’s Public Reference Room in Washington, DC. Information on the operation of the Public Reference Room may be obtained by calling 1-800-SEC-0330. The information on Form N-Q is available upon request, without charge, by calling 1-800-877-9700 (toll-free).
 
Recent Market Conditions
 
The financial crisis in the U.S. and global economies over the past several years, including the European sovereign debt crisis, has resulted, and may continue to result, in an unusually high degree of volatility in the financial markets and the economy at large. Both domestic and international equity and fixed income markets have been experiencing heightened volatility and turmoil, with issuers that have exposure to the real estate, mortgage and credit markets particularly affected. It is uncertain how long these conditions will continue.
 
These market conditions have resulted in fixed income instruments experiencing unusual liquidity issues, increased price volatility and, in some cases, credit downgrades and increased likelihood of default. These events have reduced the willingness and ability of some lenders to extend credit, and have made it more difficult for borrowers to obtain financing on attractive terms, if at all. As a result, the values of many types of securities have been reduced, including, but not limited to, mortgage-backed, asset-backed and corporate debt securities. During times of market turmoil, investors tend to look to the safety of securities issued or backed by the U.S. Treasury, causing the prices of these securities to rise and the yield to decline.
 
The reduced liquidity in fixed income and credit markets may negatively affect many issuers worldwide. Illiquidity in these markets may mean there is less money available to purchase raw materials and goods and services, which may, in turn, bring down the prices of these economic staples. The values of some sovereign debt and of securities of issuers that hold that sovereign debt have fallen. These events and the potential for continuing market turbulence may have an adverse effect on the Funds. In addition, global economies and financial markets are becoming increasingly interconnected, which increases the possibilities that conditions in one country or region might adversely impact issuers in a different country or region.
 
Mortgage-backed securities have been especially affected by these market events. Beginning in 2008, the market for mortgage-related securities experienced substantially, often dramatically, lower valuations and greatly reduced liquidity. Markets for other asset-backed securities have also been affected. In the mortgage sector, there have been rising delinquency rates. These defaults have caused an unexpected degree of losses for lenders. Traditional market participants have been less willing to make a market in some types of debt instruments, which has affected the liquidity of those instruments. Illiquid investments may be harder to value, especially in changing markets.
 
Some financial institutions and other enterprises may have large exposure to certain types of securities, such as mortgage-backed securities, which could have a negative effect on the broader economy. Events in the financial markets
 

 
44

 

and the broader economy are continuing to erode the tax bases of many state and local governments, as well as their access to the credit markets. This has put downward pressure on the value of many municipal securities. Some traditional insurers of municipal securities have also experienced financial stress.
 
The U.S. federal government and certain foreign central banks have acted to calm credit markets and increase confidence in the U.S. and world economies. Certain of these entities have injected liquidity into the markets and taken other steps in an effort to stabilize the markets and grow the economy. The ultimate effect of these efforts is only beginning to reveal itself. Changes in government policies may exacerbate the market’s difficulties and withdrawal of this support, or other policy changes by governments or central banks, could negatively affect the value and liquidity of certain securities.
 
The situation in the financial markets has resulted in calls for increased regulation, and the need of many financial institutions for government help has given lawmakers and regulators new leverage. The Dodd-Frank Wall Street Reform and Consumer Protection Act (the “Dodd-Frank Act”) has initiated a dramatic revision of the U.S. financial regulatory framework that will continue to unfold over several years. The Dodd-Frank Act covers a broad range of topics, including (among many others) a reorganization of federal financial regulators; a process intended to improve financial systemic stability and the resolution of potentially insolvent financial firms; new rules for derivatives trading; the creation of a consumer financial protection watchdog; the registration and additional regulation of hedge and private equity fund managers; and new federal requirements for residential mortgage loans. Instruments in which the Funds may invest, or the issuers of such instruments, may be affected by the new legislation and regulation in ways that are unforeseeable. Many of the implementing regulations have not yet been finalized. Accordingly, the ultimate impact of the Dodd-Frank Act, including on the derivative instruments in which a Fund may invest, is not yet certain.
 
The statutory provisions of the Dodd-Frank Act significantly change in several respects the ways in which investment products are marketed, sold, settled or terminated. In particular, the Dodd-Frank Act mandates the elimination of references to credit ratings in numerous securities laws, including the 1940 Act. Derivatives may be mandated for central clearing under the Dodd-Frank Act, which would likely require technological and other changes to Fund operations and the market in which it will trade. Central clearing would also entail the use of assets of a Fund to satisfy margin calls and this may have an effect on the performance of the Fund. Final regulations implementing the Dodd-Frank Act’s margin requirements and clearing mandates have not yet been issued by the regulators.
 
The regulators that have been charged with the responsibility for implementing the Dodd-Frank Act (i.e., the SEC and the CFTC) have been active in proposing and adopting regulations and guidance on the use of derivatives by funds governed by the 1940 Act. The CFTC recently adopted a revision to one of its rules that will either restrict the use of derivatives by a 1940 Act fund to a de minimis amount or require the fund’s adviser to register as a commodity pool operator. These CFTC changes are expected to take effect at the end of this year. The SEC is reviewing its current guidance on the use of derivatives by 1940 Act funds and may issue new guidance. It is not clear whether or when such new guidance will be published or what the content of such guidance may be.
 
Because the situation in the markets is widespread, it may be difficult to identify both risks and opportunities using past models of the interplay of market forces, or to predict the duration of these market conditions.

 
45

 
 
Rev. 12/2010
 
 
 
FACTS
 
WHAT DOES NEUBERGER BERMAN
DO WITH YOUR PERSONAL INFORMATION?
   
 
Why?
  Financial companies choose how they share your personal information. Federal law gives consumers the right to limit some but not all sharing. Federal law also requires us to tell you how we collect, share, and protect your personal information. Please read this notice carefully to understand what we do.
   
 
What?
  The types of personal information we collect and share depend on the product or service you have with us. This information can include: 
       
     
Social Security number and account balances
      ■  income and transaction history 
      ■  credit history and credit scores 
       
     
When you are no longer our customer, we continue to share your information as described in this notice.
   
 
How?
 
 
All financial companies need to share customers’ personal information to run their everyday business. In the section below, we list the reasons financial companies can share their customers’ personal information; the reasons Neuberger Berman chooses to share; and whether you can limit this sharing.
 
 
Reasons we can share your personal information
Does Neuberger
Berman share?
Can you limit this sharing?
 
For our everyday business purposes —
such as to process your transactions, maintain your account(s), respond to court orders and legal investigations, or report to credit bureaus
Yes
No
 
For our marketing purposes —
to offer our products and services to you
Yes
No
 
For joint marketing with other financial companies
No
We don’t share
 
For our affiliates’ everyday business purposes —
information about your transactions and experiences
Yes
No
 
For our affiliates’ everyday business purposes —
information about your creditworthiness
No
We don’t share
 
For nonaffiliates to market to you
No
We don’t share
 
 
Questions?
 
Call 800.223.6448
 
 
This is not part of the Fund’s shareholder report.
 
 
 
 

 
 
 
Page 2
 
 
 
 
Who we are
 
Who is providing this notice?
  Entities within the Neuberger Berman family of companies, mutual funds, and private investment funds.
   
 
What we do
 
How does Neuberger Berman protect my personal information?
 
To protect your personal information from unauthorized access and use, we use security measures that comply with federal law. These measures include computer safeguards and secured files and buildings.
 
We restrict access to customer information to those employees who need to know such information in order to perform their job responsibilities.
   
 
How does Neuberger Berman collect my personal information?
  We collect your personal information, for example, when you
     
  
open an account or provide account information
      ■  seek advice about your investments or give us your income information 
      ■  give us your contact information 
   
      We also collect your personal information from others, such as credit bureaus, affiliates, or other companies.
   
 
Why can’t I limit all sharing?
  Federal law gives you the right to limit only
   
     
sharing for affiliates’ everyday business purposes — information about your creditworthiness
      ■  affiliates from using your information to market to you 
      ■ 
sharing for nonaffiliates to market to you
   
    State laws and individual companies may give you additional rights to limit sharing.
   
 
Definitions
 
Affiliates
  Companies related by common ownership or control. They can be financial and nonfinancial companies.
       
     
 
Our affiliates include companies with a Neuberger Berman name; financial companies, such as investment advisers, broker dealers; mutual funds, and private investment funds.
         
      Companies not related by common ownership or control. They can be financial and nonfinancial companies.
       
 
Nonaffiliates
 
Nonaffiliates we share with can include companies that perform administrative services on our behalf (such as vendors that provide data processing, transaction processing, and printing services) or other companies such as brokers, dealers, or counterparties in connection with servicing your account.
         
      A formal agreement between nonaffiliated financial companies that together market financial products or services to you. 
       
 
Joint marketing
 
Neuberger Berman doesn’t jointly market.

 
 
 

 
 
 
 
 
 
 
 
This page has been left blank intentionally
 
 
 
 
 

 
 
 

 
 
 
 
 
 
 
 
 
 

 
 
 
 
 
 
 
 
 
Neuberger Berman Management LLC
605 Third Avenue, 2nd Floor
New York, NY 10158–0180
Internal Sales & Services
877.461.1899
www.nb.com
 
 
Statistics and projections in this report are derived from sources deemed to be reliable but cannot be regarded as a representation of future results of the Funds. This report is prepared for the general information of shareholders and is not an offer of shares of the Funds.
 
 
  10208 06/12
 
 


 
 

 

Item 2. Code of Ethics
 
The Board of Directors (“Board”) of Neuberger Berman California Intermediate Municipal Fund Inc. (“Registrant”) adopted a code of ethics that applies to the Registrant’s principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions (“Code of Ethics”).  For the period covered by this Form N-CSR, there were no amendments to the Code of Ethics and there were no waivers from the Code of Ethics granted to the Registrant’s principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions.
 
A copy of the Code of Ethics is incorporated by reference to Neuberger Berman Equity Funds’ Form N-CSR, Investment Company Act file number 811-00582 (filed on May 4, 2012).  The Code of Ethics is also available, without charge, by calling 1-800-877-9700 (toll-free).
 
Item 3. Audit Committee Financial Expert
 
The Board has determined that the Registrant has three audit committee financial experts serving on its audit committee. The Registrant’s audit committee financial experts are Martha Goss, George Morriss and Candace L. Straight. Ms. Goss, Mr. Morriss and Ms. Straight are independent directors as defined by Form N-CSR.
 
Item 4. Principal Accountant Fees and Services
 
Only required in the annual report.
 
Item 5. Audit Committee of Listed Registrants
 
Only required in the annual report.
 
Item 6. Schedule of Investments
 
The complete schedule of investments for the Registrant is disclosed in the Registrant’s Semi-Annual Report, which is included as Item 1 of this Form N-CSR.
 
Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies
 
Only required in the annual report.
 
Item 8. Portfolio Managers of Closed-End Management Investment Companies.
 
Only required in the annual report. There have been no changes in any of the Portfolio Managers since the Registrant’s most recent annual report on Form N-CSR.
 
Item 9. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers
 
No reportable purchases for the period covered by this report.
 

 
 

 

Item 10.  Submission of Matters to a Vote of Security Holders
 
There were no changes to the procedures by which stockholders may recommend nominees to the Board.
 
Item 11. Controls and Procedures
 
(a)
Based on an evaluation of the disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the “Act”)) as of a date within 90 days of the filing date of this document, the Chief Executive Officer and Treasurer and Principal Financial and Accounting Officer of the Registrant have concluded that such disclosure controls and procedures are effectively designed to ensure that information required to be disclosed by the Registrant on Form N-CSR and Form N-Q is accumulated and communicated to the Registrant’s management to allow timely decisions regarding required disclosure.
 
(b)
There were no significant changes in the Registrant’s internal controls over financial reporting (as defined in Rule 30a-3(d) under the Act) that occurred during the Registrant’s second fiscal quarter of the period covered by this report that have materially affected, or are reasonably likely to materially affect, the Registrant’s internal control over financial reporting.
 
Item 12. Exhibits
 
(a)(1)
A copy of the Code of Ethics is incorporated by reference to Neuberger Berman Equity Funds’ Form N-CSR, Investment Company Act file number 811-00582 (filed May 4, 2012).
 
(a)(2)
The certifications required by Rule 30a-2(a) of the Act and Section 302 of the Sarbanes-Oxley Act of 2002 (“Sarbanes-Oxley Act”) are filed herewith.
 
(a)(3)
Not applicable to the Registrant.
 
(b)
The certifications required by Rule 30a-2(b) of the Act and Section 906 of the Sarbanes-Oxley Act are filed herewith.
 
The certifications provided pursuant to Rule 30a-2(b) of the Act and Section 906 of the Sarbanes-Oxley Act are not deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (“Exchange Act”), or otherwise subject to the liability of that section.  Such certifications will not be deemed to be incorporated by reference into any filing under the Securities Act of 1933, as amended, or the Exchange Act, except to the extent that the Registrant specifically incorporates them by reference.
 

 
 

 

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.
 
Neuberger Berman California Intermediate Municipal Fund Inc.
 
By: /s/ Robert Conti            
Robert Conti
Chief Executive Officer

Date: June 28, 2012


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



By: /s/ Robert Conti            
Robert Conti
Chief Executive Officer

Date: June 28, 2012



By:  /s/ John M. McGovern         
John M. McGovern
Treasurer and Principal Financial
and Accounting Officer

Date: June 28, 2012