UNITEDSTATES
SECURITIESANDEXCHANGECOMMISSION
Washington,D.C.20549
FORM N-Q
QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED
MANAGEMENT INVESTMENT COMPANY
Investment Company Act file number 811-07250
Name of Fund: BlackRock Broad Investment Grade 2009 Term Trust, Inc. (BCT)
Fund Address: 100 Bellevue Parkway, Wilmington, DE 19809
Name and address of agent for service: Anne F. Ackerley, Chief Executive Officer, BlackRock
Broad Investment Grade 2009 Term Trust, Inc., 40 East 52nd Street, New York, NY 10022.
Registrants telephone number, including area code: (800) 882-0052, Option 4
Date of fiscal year end: 10/31/2009
Date of reporting period: 07/31/2009
Item 1 Schedule of Investments
BlackRock Broad Investment Grade 2009 Term Trust, Inc. | |||||
Schedule of Investments July 31, 2009 (Unaudited) | (Percentages shown are based on Net Assets) | ||||
Par | |||||
Asset-Backed Securities | (000) | Value | |||
Global Rated Eligible Asset Trust Series 1998-A Class 1, | |||||
7.45%, 9/15/07 (a)(b)(c) | $ 234 | $ 23 | |||
Structured Mortgage Asset Residential Trust Series 2, 8.24%, | |||||
11/07/07 (a)(b) | 568 | 57 | |||
Total Asset-Backed Securities - 0.0% | 80 | ||||
Industry | Corporate Bonds | ||||
Electric Utilities - 2.7% | Entergy Gulf States, Inc., 1.07%, 12/01/09 (d) | 1,000 | 995,819 | ||
Total Corporate Bonds - 2.7% | 995,819 | ||||
Non-Agency Mortgage-Backed Securities | |||||
Collateralized Mortgage | JPMorgan Mortgage Trust Series 2006-A7 Class 2A2, | ||||
Obligations - 4.8% | 5.79%, 1/25/37 (d) | 1,068 | 750,998 | ||
Nomura Asset Acceptance Corp. Series 2004-AR4 Class 2A3, | |||||
0.62%, 12/25/34 (d) | 54 | 42,745 | |||
Structured Adjustable Rate Mortgage Loan Trust Series 2004- | |||||
11 Class A, 4.07%, 8/25/34 (d) | 366 | 354,053 | |||
WaMu Mortgage Pass-Through Certificates Series 2005-AR4 | |||||
Class A3, 4.59%, 4/25/35 (d) | 635 | 629,574 | |||
Total Non-Agency Mortgage-Backed Securities - 4.8% | 1,777,370 | ||||
U.S. Government Sponsored Agency Mortgage-Backed | |||||
Securities | |||||
Fannie Mae Guaranteed Pass-Through Certificates: | |||||
5.50%, 1/01/17 - 2/01/17 | 209 | 220,995 | |||
6.50%, 7/01/29 | 8 | 8,499 | |||
Total U.S. Government Sponsored Agency Mortgage-Backed | |||||
Securities - 0.6% | 229,494 | ||||
U.S. Government Sponsored Agency Mortgage-Backed | |||||
Securities - Collateralized Mortgage Obligations | |||||
Freddie Mac Multiclass Certificates Series 1510 Class G, | |||||
7.05%, 5/15/13 | 916 | 975,599 | |||
Freddie Mac Multiclass Certificates Series 2517 Class SE, | |||||
15.57%, 10/15/09 (d) | 116 | 117,288 | |||
Total U.S. Government Sponsored Agency Mortgage-Backed | |||||
Securities - Collateralized Mortgage Obligations - 2.9% | 1,092,887 | ||||
U.S. Government Sponsored Agency Obligations | |||||
Fannie Mae, 6.05%, 10/09/19 (e)(f) | 50,000 | 27,874,550 | |||
Total U.S. Government Sponsored Agency Obligations - 74.6% | 27,874,550 | ||||
U.S. Government Sponsored Interest Only | |||||
Fannie Mae Trust Series 1992-174 Class S, | |||||
0.10%, 9/25/22 (d) | 1,970 | 5,350 | |||
Fannie Mae Trust Series 1993-49 Class L, 0.45%, 4/25/13 | 1,179 | 6,742 | |||
Fannie Mae Trust Series G-21 Class L, 0.95%, 7/25/21 | 185 | 3,611 | |||
Freddie Mac Multiclass Certificates Series 65 Class I, 0.50%, | |||||
8/15/20 | 603 | 11,178 | |||
Freddie Mac Multiclass Certificates Series 141 Class H, | |||||
1.06%, 5/15/21 | 99 | 2,194 | |||
Total U.S. Government Sponsored Interest Only - 0.1% | 29,075 |
1
BlackRock Broad Investment Grade 2009 Term Trust, Inc. | |||||||||
Schedule of Investments July 31, 2009 (Unaudited) | (Percentages shown are based on Net Assets) | ||||||||
Value | |||||||||
Total Long-Term Investments | |||||||||
(Cost - $32,041,408) - 85.7% | $31,999,275 | ||||||||
Short-Term Securities | Shares | ||||||||
BlackRock Liquidity Funds, TempFund, 0.29% (g)(h) | 5,537,000 | 5,537,000 | |||||||
Total Short-Term Securities | |||||||||
(Cost - $5,537,000) - 14.8% | 5,537,000 | ||||||||
Total Investments | |||||||||
(Cost - $37,578,408*) - 100.5% | 37,536,275 | ||||||||
Liabilities in Excess of Other Assets - (0.5)% | (194,681) | ||||||||
Net Assets - 100.0% | $ 37,341,594 | ||||||||
* | The cost and unrealized appreciation (depreciation) of investments as of July 31, 2009, as computed for federal income | ||||||||
tax purposes, were as follows: | |||||||||
Aggregate cost | $ 37,578,691 | ||||||||
Gross unrealized appreciation | $ 488,282 | ||||||||
Gross unrealized depreciation | (530,698) | ||||||||
Net unrealized depreciation | $ (42,416) | ||||||||
(a) | Non-income producing security. | ||||||||
(b) | Issuer filed for bankruptcy and/or is in default of interest payments. | ||||||||
(c) | Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in | ||||||||
transactions exempt from registration to qualified institutional investors. | |||||||||
(d) | Variable rate security. Rate shown is as of report date. | ||||||||
(e) | Represents a zero-coupon bond. Rate shown reflects the current yield as of report date. | ||||||||
(f) | All or a portion of security has been pledged as collateral in connection with open financial futures contracts. | ||||||||
(g) | Investments in companies considered to be an affiliate of the Fund, for purposes of Section 2(a)(3) of the Investment | ||||||||
Company Act of 1940, were as follows: | |||||||||
Affiliate | Net Activity | Income | |||||||
BlackRock Liquidity Funds, TempFund | 5,537,000 | $ 5,520 | |||||||
(h) | Represents the current yield as of report date. | ||||||||
| Financial futures contracts sold as of July 31, 2009 were as follows: | ||||||||
Expiration | Face | Unrealized | |||||||
Contracts | Issue | Date | Value | Appreciation | |||||
286 | 10-Year U.S. Treasury Bond | September 2009 | $ 34,230,082 | $ 687,644 | |||||
| Interest rate swaps outstanding as of July 31, 2009 were as follows: | ||||||||
Notional | |||||||||
Fixed | Floating | Amount | Unrealized | ||||||
Rate | Rate | Counterparty | Expiration | (000) | Appreciation | ||||
2.74%(1) | 3-month | ||||||||
LIBOR | Deutsche Bank AG | October 2010 | $ 2,100 | $ 46,201 | |||||
2.75%(1) | 3-month | Credit Suisse | |||||||
LIBOR | International | October 2010 | $ 2,100 | 46,266 | |||||
Total | $ 92,467 | ||||||||
(1) Fund pays floating interest rate and receives fixed rate. | |||||||||
2 |
BlackRock Broad Investment Grade 2009 Term Trust, Inc. | ||
Schedule of Investments July 31, 2009 (Unaudited) | ||
Effective November 1, 2008, the Fund adopted Financial Accounting Standards Board Statement of Financial Accounting | ||
Standards No. 157, "Fair Value Measurements" ("FAS 157"). FAS 157 clarifies the definition of fair value, establishes a | ||
framework for measuring fair values and requires additional disclosures about the use of fair value measurements. | ||
Various inputs are used in determining the fair value of investments, which are as follows: | ||
Level 1 - price quotations in active markets/exchanges for identical securities | ||
Level 2 - other observable inputs (including, but not limited to: quoted prices for similar assets or liabilities | ||
in markets that are active, quoted prices for identical or similar assets or liabilities in markets that are not | ||
active, inputs other than quoted prices that are observable for the assets or liabilities (such as interest | ||
rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and default rates) or other | ||
market-corroborated inputs) | ||
Level 3 - unobservable inputs based on the best information available in the circumstances, to the extent | ||
observable inputs are not available (including the Fund's own assumptions used in determining the fair value | ||
of investments) | ||
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with | ||
investing in those securities. For information about the Fund's policy regarding valuation of investments and | ||
other significant accounting policies, please refer to the Fund's most recent financial statements as contained in | ||
its semi-annual report. | ||
The following table summarizes the inputs used as of July 31, 2009 in determining the fair valuation of the Fund's | ||
investments: | ||
Valuation | Investments in | |
Inputs | Securities | |
Assets | ||
Level 1 - Short-Term | ||
Securities | $ 5,537,000 | |
Level 2 - Long-Term | ||
Investments1 | 30,894,144 | |
Level 3 | ||
Long-Term Investments: | ||
Asset-Backed | ||
Securities | 80 | |
Non-U.S. | ||
Government | ||
Sponsored | ||
Agency Mortgage- | ||
Backed | ||
Securities | 1,105,051 | |
Total Level 3 | 1,105,131 | |
Total | $ 37,536,275 | |
1 See above Schedule of Investments for values in each security type excluding the security types | ||
in Level 3 within the table. | ||
3 |
BlackRock Broad Investment Grade 2009 Term Trust, Inc. | |||||||
Schedule of Investments July 31, 2009 (Unaudited) | |||||||
Other Financial | |||||||
Instruments2 | |||||||
Assets | |||||||
Level 1 | $ 687,644 | ||||||
Level 2 | 92,467 | ||||||
Level 3 | - | ||||||
Total | $ 780,111 | ||||||
2 Other financial instruments are swaps and financial futures contracts. Swaps and financial futures contracts are | |||||||
shown at the unrealized appreciation/depreciation on the instrument. | |||||||
The following is a reconciliation of investments for unobservable inputs (Level 3) used in determining fair value: | |||||||
Non-U.S. Government | |||||||
Sponsored Agency | |||||||
Asset-Backed | Mortgage-Backed | Investments in | |||||
Securities | Securities | Securities | |||||
Balance, as of November 1, 2008 | $ 80 | - | $ 80 | ||||
Accrued discounts/premiums | - | - | - | ||||
Realized gain (loss) | - | - | - | ||||
Change in unrealized appreciation | |||||||
(depreciation) | - | - | - | ||||
Net purchases (sales) | - | - | - | ||||
Net transfers in/out of Level 3 | - | $ 1,105,051 | 1,105,051 | ||||
Balance, as of July 31, 2009 | $ 80 | $ 1,105,051 | $ 1,105,131 | ||||
4 |
Item 2 Controls and Procedures
2(a) The registrant's principal executive and principal financial officers or persons performing
similar functions have concluded that the registrant's disclosure controls and procedures (as
defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the
1940 Act)) are effective as of a date within 90 days of the filing of this report based on the
evaluation of these controls and procedures required by Rule 30a-3(b) under the 1940 Act
and Rule 13(a)-15(b) under the Securities Exchange Act of 1934, as amended.
2(b) There were no changes in the registrant's internal control over financial reporting (as defined
in Rule 30a-3(d) under the 1940 Act) that occurred during the registrant's last fiscal quarter
that have materially affected, or are reasonably likely to materially affect, the registrant's
internal control over financial reporting.
Item 3 Exhibits
Certifications Attached hereto
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment
Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by
the undersigned, thereunto duly authorized.
BlackRock Broad Investment Grade 2009 Term Trust, Inc.
By: /s/ Anne F. Ackerley
Anne F. Ackerley
Chief Executive Officer of
BlackRock Broad Investment Grade 2009 Term Trust, Inc.
Date: September 22, 2009
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/ Anne F. Ackerley
Anne F. Ackerley
Chief Executive Officer (principal executive officer) of
BlackRock Broad Investment Grade 2009 Term Trust, Inc.
Date: September 22, 2009
By: /s/ Neal J. Andrews
Neal J. Andrews
Chief Financial Officer (principal financial officer) of
BlackRock Broad Investment Grade 2009 Term Trust, Inc.
Date: September 22, 2009