UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM N-Q

 

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED MANAGEMENT INVESTMENT COMPANY

 

Investment Company Act file number 811-06728

 

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

 

Fund Address: 100 Bellevue Parkway, Wilmington, DE 19809

 

Name and address of agent for service: John M. Perlowski, Chief Executive Officer, BlackRock MuniYield Quality Fund II, Inc., 55 East 52nd Street, New York, NY 10055

 

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

 

Date of fiscal year end: 04/30/2011

 

Date of reporting period: 01/31/2011

 

Item 1 – Schedule of Investments

 

 

 

 

 

Schedule of Investments January 31, 2011 (Unaudited)

BlackRock MuniYield Quality Fund II, Inc. (MQT)

(Percentages shown are based on Net Assets)

 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

Alabama — 0.9%

 

 

 

 

 

 

 

Birmingham Special Care Facilities
Financing Authority, RB, Children’s
Hospital (AGC), 6.00%, 6/01/39

 

$

650

 

$

672,139

 

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

 

 

2,000

 

 

1,642,540

 

 

 

 

 

 

 

 

 

 

 

 

2,314,679

 

Arizona — 1.2%

 

 

 

 

 

 

 

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

 

 

 

 

 

 

 

5.00%, 10/01/27

 

 

2,300

 

 

2,172,994

 

5.00%, 10/01/29

 

 

925

 

 

854,117

 

 

 

 

 

 

 

 

 

 

 

 

3,027,111

 

California — 18.2%

 

 

 

 

 

 

 

Alameda Corridor Transportation
Authority, Refunding RB, CAB,
Subordinate Lien, Series A (AMBAC),
5.48%, 10/01/25 (a)

 

 

7,150

 

 

5,511,363

 

Antelope Valley Community College
District, GO, Election of 2004,
Series B (NPFGC), 5.25%, 8/01/39

 

 

550

 

 

512,408

 

Arcadia Unified School District
California, GO, CAB, Election of 2006,
Series A (AGM), 4.96%, 8/01/39 (b)

 

 

1,400

 

 

194,866

 

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

 

 

 

 

 

 

 

5.18%, 8/01/37

 

 

2,100

 

 

326,025

 

4.87%, 8/01/38

 

 

4,800

 

 

693,360

 

California Health Facilities Financing
Authority, Refunding RB:

 

 

 

 

 

 

 

St. Joseph Health System, Series A,
5.75%, 7/01/39

 

 

500

 

 

491,045

 

Sutter Health, Series B, 5.88%,
8/15/31 (c)

 

 

1,000

 

 

991,140

 

Coast Community College District
California, GO, Refunding, CAB,
Election of 2002, Series C (AGM),
5.53%, 8/01/13 (a)

 

 

1,800

 

 

1,388,934

 

East Side Union High School District, GO
(AGM), 4.92%, 8/01/29 (b)

 

 

15,000

 

 

4,090,800

 

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

 

 

4,000

 

 

3,928,280

 

 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

California (concluded)

 

 

 

 

 

 

 

Fairfield-Suisun Unified School District
California, GO, Election of 2002
(NPFGC), 5.50%, 8/01/28

 

$

2,770

 

$

2,782,216

 

Fresno Unified School District California,
GO, Election of 2001, Series E (AGM),
5.00%, 8/01/30

 

 

800

 

 

749,792

 

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

 

 

2,200

 

 

2,072,862

 

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

 

 

 

 

 

 

 

5.00%, 10/01/29

 

 

2,600

 

 

2,520,050

 

5.00%, 10/01/36

 

 

1,475

 

 

1,451,842

 

Monterey Peninsula Community College
District, GO, CAB, Series C (AGM),
5.08%, 8/01/28 (b)

 

 

11,975

 

 

3,659,680

 

Palm Springs Financing Authority,
Refunding RB, Convention Center
Project, Series A (NPFGC), 5.50%,
11/01/29

 

 

2,900

 

 

2,797,862

 

Port of Oakland, RB, Series K, AMT
(NPFGC), 5.75%, 11/01/29

 

 

2,000

 

 

1,900,820

 

Poway Redevelopment Agency
California, Tax Allocation Bonds,
Refunding, Paguay Redevelopment
Project (AMBAC), 5.13%, 6/15/33

 

 

1,250

 

 

1,020,837

 

Sacramento Municipal Utility District,
RB, Series N (NPFGC), 5.00%,
8/15/28

 

 

3,800

 

 

3,795,516

 

Sacramento Unified School District
California, GO, Election of 2002
(NPFGC), 5.00%, 7/01/30

 

 

1,600

 

 

1,519,840

 

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

 

 

2,015

 

 

1,897,787

 

State of California, GO, 5.13%, 6/01/27

 

 

20

 

 

19,239

 

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

 

 

2,025

 

 

1,923,385

 

Yosemite Community College District,
GO, CAB, Election of 2004, Series D,
6.55%, 8/01/36 (b)

 

 

2,000

 

 

326,460

 

 

 

 

 

 

 

 

 

 

 

 

46,566,409

 

 

Portfolio Abbreviations

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

 

 

AGC

Assured Guaranty Corp.

AGM

Assured Guaranty Municipal Corp.

AMBAC

American Municipal Bond Assurance Corp.

AMT

Alternative Minimum Tax (subject to)

ARB

Airport Revenue Bonds

BHAC

Berkshire Hathaway Assurance Corp.

CAB

Capital Appreciation Bonds

COP

Certificates of Participation

EDA

Economic Development Authority

ERB

Education Revenue Bonds

FGIC

Financial Guaranty Insurance Co.

GO

General Obligation Bonds

HDA

Housing Development Authority

HFA

Housing Finance Agency

IDA

Industrial Development Authority

ISD

Independent School District

NPFGC

National Public Finance Guarantee Corp.

PSF-GTD

Permanent School Fund Guaranteed

RB

Revenue Bonds

S/F

Single-Family

 

 

 

BLACKROCK MUNIYIELD QUALITY FUND II, INC.

JANUARY 31, 2011

1


 

 

 

 

Schedule of Investments (continued)

BlackRock MuniYield Quality Fund II, Inc. (MQT)

 

(Percentages shown are based on Net Assets)

 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

Colorado — 1.4%

 

 

 

 

 

 

 

Colorado Health Facilities Authority, RB,
Covenant Retirement Communities,
Series A (Radian):

 

 

 

 

 

 

 

5.50%, 12/01/27

 

$

1,200

 

$

1,047,072

 

5.50%, 12/01/33

 

 

675

 

 

568,431

 

E-470 Public Highway Authority
Colorado, Refunding RB, CAB,
Series B (NPFGC), 5.63%,
9/01/32 (b)

 

 

5,500

 

 

1,054,680

 

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

 

 

1,000

 

 

975,180

 

 

 

 

 

 

 

 

 

 

 

 

3,645,363

 

Florida — 19.8%

 

 

 

 

 

 

 

Broward County School Board Florida,
COP, Series A (AGM), 5.25%, 7/01/33

 

 

1,400

 

 

1,297,408

 

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

 

 

2,600

 

 

2,374,216

 

County of Miami-Dade Florida, RB:

 

 

 

 

 

 

 

Jackson Health System (AGC),
5.63%, 6/01/34

 

 

1,000

 

 

996,690

 

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

 

 

6,900

 

 

6,461,229

 

County of Miami-Dade Florida,
Refunding RB, Miami International
Airport, AMT (AGC), 5.00%, 10/01/40

 

 

12,550

 

 

10,819,355

 

County of Orange Florida, Refunding RB,
Series B (NPFGC), 5.13%, 1/01/32

 

 

1,575

 

 

1,524,868

 

Highlands County Health Facilities
Authority, RB:

 

 

 

 

 

 

 

Adventist Health System/Sunbelt,
Series B, 6.00%, 11/15/37

 

 

550

 

 

560,846

 

Adventist, Series C, 5.25%,
11/15/36 (d)

 

 

4,425

 

 

4,078,832

 

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

 

 

3,250

 

 

3,037,937

 

Miami-Dade County Expressway
Authority, RB, Series A (AGC), 5.00%,
7/01/35

 

 

5,000

 

 

4,704,400

 

Miami-Dade County School Board, COP,
Refunding, Series B (AGC), 5.25%,
5/01/31

 

 

1,625

 

 

1,591,151

 

Orange County School Board, COP,
Series A:

 

 

 

 

 

 

 

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

 

 

2,850

 

 

2,762,363

 

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

 

 

9,000

 

 

8,440,290

 

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

 

 

250

 

 

244,953

 

South Florida Water Management
District, COP (AGC), 5.00%, 10/01/22

 

 

1,800

 

 

1,834,092

 

 

 

 

 

 

 

 

 

 

 

 

50,728,630

 

Georgia — 1.0%

 

 

 

 

 

 

 

Augusta-Richmond County Georgia, RB
(AGM), 5.25%, 10/01/39

 

 

1,880

 

 

1,882,952

 

Gwinnett County Hospital Authority,
Refunding RB, Gwinnett Hospital
System, Series D (AGM), 5.50%,
7/01/41

 

 

730

 

 

681,126

 

 

 

 

 

 

 

 

 

 

 

 

2,564,078

 

 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

Illinois — 22.1%

 

 

 

 

 

 

 

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

 

$

2,500

 

$

2,466,025

 

Chicago Park District, GO, Harbor
Facilities, Series C, 5.25%, 1/01/40

 

 

500

 

 

481,280

 

City of Chicago Illinois, ARB, General,
Third Lien, Series B-2, AMT:

 

 

 

 

 

 

 

(AGM), 5.75%, 1/01/23

 

 

5,200

 

 

5,272,020

 

(Syncora), 6.00%, 1/01/29

 

 

2,200

 

 

2,206,270

 

City of Chicago Illinois, GO, CAB, City
Colleges (NPFGC), 5.90%,
1/01/31 (b)

 

 

8,370

 

 

2,130,249

 

City of Chicago Illinois, GO, Refunding,
Series A (AGM), 5.00%, 1/01/25

 

 

5,000

 

 

4,744,850

 

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

 

 

4,000

 

 

3,678,560

 

City of Chicago Illinois, Refunding RB,
General Airport, Third Lien, Series A,
AMT (NPFGC), 5.50%, 1/01/22

 

 

5,000

 

 

5,006,350

 

County of Cook Illinois, GO, Capital
Improvement, Series C (AMBAC),
5.50%, 11/15/12 (e)

 

 

2,460

 

 

2,673,454

 

Illinois Finance Authority, Refunding RB,
Central DuPage Health, Series B,
5.50%, 11/01/39

 

 

2,070

 

 

1,947,663

 

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

 

 

19,675

 

 

19,736,976

 

Metropolitan Pier & Exposition Authority,
RB, CAB, McCormick Place Expansion
Project, Series A (NPFGC), 6.01%,
12/15/36 (b)

 

 

10,000

 

 

1,711,700

 

Metropolitan Pier & Exposition Authority,
Refunding RB, CAB, McCormick Place
Expansion Project, Series B (AGM) (b):

 

 

 

 

 

 

 

5.83%, 6/15/27

 

 

1,125

 

 

400,433

 

6.25%, 6/15/44

 

 

2,980

 

 

302,857

 

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

 

 

575

 

 

548,746

 

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

 

 

2,000

 

 

2,048,080

 

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

 

 

1,125

 

 

1,053,101

 

 

 

 

 

 

 

 

 

 

 

 

56,408,614

 

Indiana — 0.8%

 

 

 

 

 

 

 

Indiana Municipal Power Agency, RB,
Series B, 5.75%, 1/01/34

 

 

350

 

 

351,281

 

Indianapolis Local Public Improvement
Bond Bank, Refunding RB,
Waterworks Project, Series A (AGC),
5.50%, 1/01/38

 

 

1,575

 

 

1,614,517

 

 

 

 

 

 

 

 

 

 

 

 

1,965,798

 

Iowa — 1.9%

 

 

 

 

 

 

 

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

 

 

4,925

 

 

4,868,018

 

Kentucky — 0.8%

 

 

 

 

 

 

 

Kentucky State Property & Buildings
Commission, Refunding RB, Project
No. 93 (AGC), 5.25%, 2/01/29

 

 

2,000

 

 

2,007,780

 

 

 

 

2

BLACKROCK MUNIYIELD QUALITY FUND II, INC.

JANUARY 31, 2011


 

 

 

 

Schedule of Investments (continued)

BlackRock MuniYield Quality Fund II, Inc. (MQT)

(Percentages shown are based on Net Assets)

 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

Louisiana — 0.9%

 

 

 

 

 

 

 

Jefferson Parish Home Mortgage
Authority, RB, Series B-1, AMT
(NPFGC), 6.65%, 12/01/33

 

$

1,125

 

$

1,187,325

 

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

 

 

1,150

 

 

1,222,945

 

 

 

 

 

 

 

 

 

 

 

 

2,410,270

 

Maryland — 0.4%

 

 

 

 

 

 

 

Maryland Community Development
Administration, Refunding RB,
Residential, Series A, AMT, 5.75%,
9/01/39

 

 

970

 

 

1,006,763

 

Massachusetts — 9.4%

 

 

 

 

 

 

 

Massachusetts HFA, RB, AMT (AGM):

 

 

 

 

 

 

 

Rental Mortgage, Series F, 5.25%,
1/01/46

 

 

15,550

 

 

14,471,918

 

S/F Housing, Series 128, 4.80%,
12/01/27 (d)

 

 

1,500

 

 

1,392,420

 

Massachusetts HFA, Refunding RB,
Series C, AMT:

 

 

 

 

 

 

 

5.00%, 12/01/30

 

 

5,000

 

 

4,575,900

 

5.35%, 12/01/42

 

 

975

 

 

875,238

 

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

 

 

2,700

 

 

2,700,000

 

 

 

 

 

 

 

 

 

 

 

 

24,015,476

 

Michigan — 8.6%

 

 

 

 

 

 

 

City of Detroit Michigan, RB, Second
Lien:

 

 

 

 

 

 

 

Series B (AGM), 6.25%, 7/01/36

 

 

350

 

 

367,238

 

Series B (AGM), 7.00%, 7/01/36

 

 

200

 

 

220,550

 

System, Series A (BHAC), 5.50%,
7/01/36

 

 

5,500

 

 

5,288,800

 

System, Series B (NPFGC), 5.00%,
7/01/36

 

 

3,000

 

 

2,572,890

 

City of Detroit Michigan, Refunding RB:

 

 

 

 

 

 

 

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

 

 

2,200

 

 

2,209,086

 

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

 

 

4,000

 

 

3,591,160

 

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

 

 

1,000

 

 

866,510

 

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

 

 

375

 

 

344,066

 

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

 

 

1,000

 

 

1,000,300

 

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

 

 

900

 

 

852,939

 

Michigan Strategic Fund, RB, Detroit
Edison Co. Project, Series C, AMT
(Syncora), 5.45%, 12/15/32

 

 

3,900

 

 

3,596,658

 

Michigan Strategic Fund, Refunding RB,
Detroit Edison Co. Project, Series A,
AMT (Syncora), 5.50%, 6/01/30

 

 

1,000

 

 

950,830

 

 

 

 

 

 

 

 

 

 

 

 

21,861,027

 

 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

Minnesota — 0.7%

 

 

 

 

 

 

 

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

 

$

1,800

 

$

1,889,370

 

Dakota County Community Development
Agency, RB, Mortgage-Backed
Securities Program, Series B, AMT
(Ginnie Mae), 5.15%, 12/01/38

 

 

—

(f)

 

4

 

 

 

 

 

 

 

 

 

 

 

 

1,889,374

 

Nevada — 4.1%

 

 

 

 

 

 

 

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

 

 

2,800

 

 

2,476,684

 

County of Clark Nevada, RB:

 

 

 

 

 

 

 

Las Vegas-McCarran International
Airport, Series A (AGC), 5.25%,
7/01/39

 

 

1,700

 

 

1,572,670

 

Subordinate Lien, Series A-2
(NPFGC), 5.00%, 7/01/30

 

 

1,500

 

 

1,357,965

 

Subordinate Lien, Series A-2
(NPFGC), 5.00%, 7/01/36

 

 

2,700

 

 

2,385,180

 

System, Subordinate Lien, Series C
(AGM), 5.00%, 7/01/26

 

 

1,275

 

 

1,215,623

 

Las Vegas Valley Water District, GO,
Refunding, Series A (NPFGC), 5.00%,
6/01/24

 

 

1,350

 

 

1,371,438

 

 

 

 

 

 

 

 

 

 

 

 

10,379,560

 

New Jersey — 7.5%

 

 

 

 

 

 

 

New Jersey EDA, RB:

 

 

 

 

 

 

 

Cigarette Tax (Radian), 5.75%,
6/15/29

 

 

870

 

 

778,259

 

Cigarette Tax (Radian), 5.50%,
6/15/31

 

 

85

 

 

74,790

 

Motor Vehicle Surcharge, Series A
(NPFGC), 5.25%, 7/01/33

 

 

8,200

 

 

8,061,748

 

School Facilities Construction,
Series O, 5.13%, 3/01/28

 

 

2,750

 

 

2,748,322

 

School Facilities Construction,
Series P, 5.13%, 9/01/28

 

 

4,000

 

 

3,997,520

 

New Jersey EDA, Refunding RB, School
Facilities Construction, Series N-1
(AGM), 5.50%, 9/01/25

 

 

2,000

 

 

2,094,120

 

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

 

 

1,400

 

 

1,475,726

 

 

 

 

 

 

 

 

 

 

 

 

19,230,485

 

New York — 0.6%

 

 

 

 

 

 

 

New York City Transitional Finance
Authority, RB, Fiscal 2009, Series S-4,
5.50%, 1/15/33

 

 

1,400

 

 

1,436,204

 

North Carolina — 0.6%

 

 

 

 

 

 

 

North Carolina Medical Care
Commission, RB, Novant Health
Obligation, Series A, 4.75%,
11/01/43

 

 

2,020

 

 

1,642,523

 

Ohio — 2.8%

 

 

 

 

 

 

 

New Albany Plain Local School District,
GO, Refunding:

 

 

 

 

 

 

 

(FGIC), 6.00%, 6/01/11 (e)

 

 

5,120

 

 

5,216,665

 

(NPFGC), 6.00%, 12/01/20

 

 

1,170

 

 

1,189,282

 

 

 

 

BLACKROCK MUNIYIELD QUALITY FUND II, INC.

JANUARY 31, 2011

3


 

 

 

 

Schedule of Investments (continued)

BlackRock MuniYield Quality Fund II, Inc. (MQT)

(Percentages shown are based on Net Assets)

 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

Ohio (concluded)

 

 

 

 

 

 

 

Ohio Higher Educational Facility
Commission, Refunding RB, Summa
Health System, 2010 Project (AGC),
5.25%, 11/15/40

 

$

900

 

$

820,998

 

 

 

 

 

 

 

 

 

 

 

 

7,226,945

 

Pennsylvania — 1.6%

 

 

 

 

 

 

 

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

 

 

1,340

 

 

1,276,605

 

Pennsylvania Turnpike Commission, RB,
CAB, Sub-Series E, 6.48%,
12/01/38 (a)

 

 

2,100

 

 

1,437,177

 

Philadelphia School District, GO,
Series E, 6.00%, 9/01/38

 

 

1,300

 

 

1,333,319

 

 

 

 

 

 

 

 

 

 

 

 

4,047,101

 

Puerto Rico — 2.0%

 

 

 

 

 

 

 

Puerto Rico Sales Tax Financing Corp.,
RB, First Sub-Series A, 6.38%,
8/01/39

 

 

3,000

 

 

3,072,060

 

Puerto Rico Sales Tax Financing Corp.,
Refunding RB:

 

 

 

 

 

 

 

CAB, Series A (NPFGC), 5.74%,
8/01/41 (b)

 

 

10,000

 

 

1,302,800

 

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

 

 

725

 

 

723,035

 

 

 

 

 

 

 

 

 

 

 

 

5,097,895

 

South Carolina — 1.3%

 

 

 

 

 

 

 

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

 

 

3,420

 

 

3,266,510

 

Texas — 9.7%

 

 

 

 

 

 

 

Dallas-Fort Worth International Airport
Facilities Improvement Corp., RB,
Series A, AMT (NPFGC), 5.50%,
11/01/33

 

 

5,000

 

 

4,691,400

 

Lewisville ISD Texas, GO, Refunding,
CAB, School Building (NPFGC), 4.67%,
8/15/24 (b)

 

 

3,915

 

 

1,957,696

 

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

 

 

3,000

 

 

3,005,550

 

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

 

 

1,065

 

 

1,074,915

 

Matagorda County Navigation District
No. 1 Texas, Refunding RB, Central
Power & Light Co. Project, AMT
(NPFGC), 5.20%, 5/01/30 (d)

 

 

500

 

 

460,000

 

North Texas Tollway Authority, RB,
System, First Tier, Series K-1 (AGC),
5.75%, 1/01/38

 

 

3,400

 

 

3,399,796

 

North Texas Tollway Authority,
Refunding RB, First Tier:

 

 

 

 

 

 

 

Series A, 6.00%, 1/01/28

 

 

2,415

 

 

2,494,647

 

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

 

 

3,600

 

 

3,383,208

 

Texas State Turnpike Authority, RB, First
Tier, Series A (AMBAC), 5.75%,
8/15/38

 

 

4,800

 

 

4,427,376

 

 

 

 

 

 

 

 

 

 

 

 

24,894,588

 

 

 

 

 

 

 

 

 

Municipal Bonds

 

Par
(000)

 

Value

 

Washington — 1.3%

 

 

 

 

 

 

 

Washington Health Care Facilities
Authority, RB, Providence Health &
Services, Series A:

 

 

 

 

 

 

 

5.00%, 10/01/39

 

$

1,000

 

$

884,970

 

5.25%, 10/01/39

 

 

550

 

 

505,774

 

Washington Health Care Facilities
Authority, Refunding RB, Providence
Health, Series D (AGM), 5.25%,
10/01/33

 

 

2,000

 

 

1,927,980

 

 

 

 

 

 

 

 

 

 

 

 

3,318,724

 

Wisconsin — 0.4%

 

 

 

 

 

 

 

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

 

 

1,200

 

 

1,075,164

 

Virginia — 0.5%

 

 

 

 

 

 

 

Virginia HDA, RB, Sub-Series H-1
(NPFGC), 5.35%, 7/01/31

 

 

1,225

 

 

1,226,176

 

Vermont — 0.9%

 

 

 

 

 

 

 

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

 

 

2,335

 

 

2,254,302

 

Total Municipal Bonds – 121.4%

 

 

 

 

 

310,375,567

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Municipal Bonds Transferred to Tender
Option Bond Trusts (g)

 

 

 

 

 

 

 

Arizona — 0.4%

 

 

 

 

 

 

 

Phoenix Civic Improvement Corp., RB,
Junior Lien, Series A, 5.00%, 7/01/34

 

 

1,000

 

 

993,140

 

California — 6.4%

 

 

 

 

 

 

 

Anaheim Public Financing Authority
California, RB, Electric System
Distribution Facilities, Series A (AGM),
5.00%, 10/01/31

 

 

3,808

 

 

3,583,184

 

Los Angeles Community College District
California, GO, Series A:

 

 

 

 

 

 

 

Election of 2001 (NPFGC), 5.00%,
8/01/32

 

 

4,330

 

 

4,069,334

 

Election of 2008, 6.00%, 8/01/33

 

 

1,699

 

 

1,797,651

 

Orange County Sanitation District, COP
(NPFGC), 5.00%, 2/01/33

 

 

2,299

 

 

2,233,751

 

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

 

 

359

 

 

360,898

 

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

 

 

3,030

 

 

2,927,162

 

Tamalpais Union High School District
California, GO, Election of 2001
(AGM), 5.00%, 8/01/28

 

 

1,320

 

 

1,287,739

 

 

 

 

 

 

 

 

 

 

 

 

16,259,719

 

 

 

 

4

BLACKROCK MUNIYIELD QUALITY FUND II, INC.

JANUARY 31, 2011


 

 

 

 

Schedule of Investments (continued)

BlackRock MuniYield Quality Fund II, Inc. (MQT)

(Percentages shown are based on Net Assets)

 

 

 

 

 

 

 

 

Municipal Bonds Transferred to Tender
Option Bond Trusts (g)

 

Par
(000)

 

Value

 

Colorado — 0.3%

 

 

 

 

 

 

 

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

 

$

780

 

$

761,689

 

District of Columbia — 1.0%

 

 

 

 

 

 

 

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

 

 

855

 

 

895,732

 

District of Columbia Water & Sewer
Authority, RB, Series A, 6.00%,
10/01/35

 

 

1,580

 

 

1,707,922

 

 

 

 

 

 

 

 

 

 

 

 

2,603,654

 

Florida — 4.3%

 

 

 

 

 

 

 

City of Tallahassee Florida, RB (NPFGC),
5.00%, 10/01/37

 

 

4,000

 

 

3,785,760

 

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

 

 

4,200

 

 

4,111,548

 

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

 

 

1,189

 

 

1,168,860

 

Miami-Dade County Expressway
Authority, RB, Series A (AGC), 5.00%,
7/01/35

 

 

2,100

 

 

1,975,848

 

 

 

 

 

 

 

 

 

 

 

 

11,042,016

 

Georgia — 7.5%

 

 

 

 

 

 

 

City of Atlanta Georgia, RB, General
(AGM):

 

 

 

 

 

 

 

Series B, 5.25%, 1/01/33

 

 

4,999

 

 

4,890,380

 

Subordinate Lien, Series C, 5.00%,
1/01/33

 

 

15,000

 

 

14,307,900

 

 

 

 

 

 

 

 

 

 

 

 

19,198,280

 

Hawaii — 2.0%

 

 

 

 

 

 

 

Honolulu City & County Board of Water
Supply, RB, Series A (NPFGC), 5.00%,
7/01/33

 

 

5,000

 

 

4,956,550

 

Illinois — 8.0%

 

 

 

 

 

 

 

City of Chicago Illinois, Refunding RB,
Second Lien (AGM), 5.25%, 11/01/33

 

 

2,549

 

 

2,457,179

 

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

 

 

3,499

 

 

3,429,393

 

Metropolitan Pier & Exposition Authority,
RB, McCormick Place Expansion
Project, Series A (NPFGC), 5.00%,
12/15/28

 

 

3,500

 

 

3,332,840

 

Regional Transportation Authority, RB
(NPFGC), 6.50%, 7/01/26

 

 

10,000

 

 

11,174,684

 

 

 

 

 

 

 

 

 

 

 

 

20,394,096

 

Louisiana — 1.7%

 

 

 

 

 

 

 

State of Louisiana, RB, Series A (AGM),
5.00%, 5/01/36

 

 

4,600

 

 

4,433,526

 

Massachusetts — 2.8%

 

 

 

 

 

 

 

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

 

 

7,195

 

 

7,200,331

 

Nevada — 2.0%

 

 

 

 

 

 

 

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

 

 

3,298

 

 

3,431,459

 

 

 

 

 

 

 

 

 

Municipal Bonds Transferred to Tender
Option Bond Trusts (g)

 

Par
(000)

 

Value

 

Nevada (concluded)

 

 

 

 

 

 

 

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

 

$

1,574

 

$

1,664,694

 

 

 

 

 

 

 

 

 

 

 

 

5,096,153

 

New York — 2.3%

 

 

 

 

 

 

 

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

 

 

1,050

 

 

1,095,096

 

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

 

 

1,005

 

 

1,054,064

 

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

 

 

2,700

 

 

2,614,788

 

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

 

 

1,200

 

 

1,207,524

 

 

 

 

 

 

 

 

 

 

 

 

5,971,472

 

Ohio — 0.2%

 

 

 

 

 

 

 

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

 

 

500

 

 

490,400

 

South Carolina — 2.8%

 

 

 

 

 

 

 

Charleston Educational Excellence
Finance Corp., RB, Charleston County
School (AGC):

 

 

 

 

 

 

 

5.25%, 12/01/28

 

 

2,725

 

 

2,729,388

 

5.25%, 12/01/29

 

 

2,425

 

 

2,416,197

 

5.25%, 12/01/30

 

 

880

 

 

868,199

 

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

 

 

1,125

 

 

1,162,091

 

 

 

 

 

 

 

 

 

 

 

 

7,175,875

 

Texas — 4.3%

 

 

 

 

 

 

 

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

 

 

1,900

 

 

1,926,533

 

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

 

 

5,250

 

 

5,307,120

 

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

 

 

4,000

 

 

3,838,320

 

 

 

 

 

 

 

 

 

 

 

 

11,071,973

 

Virginia — 0.1%

 

 

 

 

 

 

 

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

 

 

300

 

 

299,361

 

Wisconsin — 0.5%

 

 

 

 

 

 

 

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

 

 

1,250

 

 

1,149,936

 

Total Municipal Bonds Transferred to
Tender Option Bond Trusts – 46.6%

 

 

 

 

 

119,098,171

 

Total Long-Term Investments
(Cost – $454,056,849) – 168.0%

 

 

 

 

 

429,473,738

 

 

 

 

BLACKROCK MUNIYIELD QUALITY FUND II, INC.

JANUARY 31, 2011

5


 

 

 

 

Schedule of Investments (concluded)

BlackRock MuniYield Quality Fund II, Inc. (MQT)

(Percentages shown are based on Net Assets)

 

 

 

 

 

 

 

 

Short-Term Securities

 

Shares

 

Value

 

FFI Institutional Tax-Exempt Fund,
0.15% (h)(i)

 

 

4,897,384

 

$

4,897,384

 

Total Short-Term Securities
(Cost – $4,897,384) – 1.9%

 

 

 

 

 

4,897,384

 

Total Investments

 

 

 

 

 

 

 

(Cost – $458,954,233*) – 169.9%

 

 

 

 

 

434,371,122

 

Other Assets Less Liabilities – 0.9%

 

 

 

 

 

2,231,906

 

Liability for Trust Certificates, Including Interest
Expense and Fees Payable – (25.2)%

 

 

 

 

 

(64,373,552

)

Preferred Shares, at Redemption Value – (45.6)%

 

 

 

 

 

(116,588,771

)

 

 

 

 

 

Net Assets Applicable to Common Shares – 100.0 %

 

 

 

 

$

255,640,705

 

 

 

 

 

 

 

 

*

The cost and unrealized appreciation (depreciation) of investments as of January 31, 2011, as computed for federal income tax purposes, were as follows:

 

 

 

 

 

Aggregate cost

 

$

395,593,112

 

 

 

Gross unrealized appreciation

 

$

2,754,830

 

Gross unrealized depreciation

 

 

(28,305,844

)

 

 

Net unrealized depreciation

 

$

(25,551,014

)

 

 

 

 

(a)

Represents a step-up bond that pays an initial coupon rate for the first period and then a higher coupon rate for the following periods. Rate shown reflects the current yield as of report date.

 

 

(b)

Represents a zero-coupon bond. Rate shown reflects the current yield as of report date.

 

 

(c)

When-issued security. Unsettled when-issued transactions were as follows:

 

 

 

 

 

 

 

 

Counterparty

 

Value

 

Unrealized
Appreciation

 

Morgan Stanley & Co.

 

$

991,140

 

$

8,110

 

 

 

(d)

Variable rate security. Rate shown is as of report date.

 

 

(e)

US government securities, held in escrow, are used to pay interest on this security as well as to retire the bond in full at the date indicated, typically at a premium to par.

 

 

(f)

Amount is less than $1,000.

 

 

(g)

Securities represent bonds transferred to a tender option bond trust in exchange for which the Fund acquired residual interest certificates. These securities serve as collateral in a financing transaction.

 

 

(h)

Investments in companies considered to be an affiliate of the Fund during the period, for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Affiliate

 

Shares
Held at
April 30,
2010

 

Net
Activity

 

Shares
Held at
January 31,
2011

 

Income

 

FFI Institutional Tax-Exempt Fund

 

 

6,152,712

 

 

(1,255,328

)

 

4,897,384

 

$

7,052

 

 

 

 

(i)

Represents the current yield as of report date.

 

 

•

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 assets and liabilities

 

 

 

 

•

Level 2 — other observable inputs (including, but not limited to: quoted prices for similar assets or liabilities in markets that are active, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the assets or liabilities (such as interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and default rates) or other market-corroborated inputs)

 

 

 

 

•

Level 3 — unobservable inputs based on the best information available in the circumstances, to the extent observable inputs are not available (including the Fund’s own assumptions used in determining the fair value of investments)

The inputs or methodologies 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 January 31, 2011 in determining the fair valuation of the Fund’s investments:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Valuation Inputs

 

Level 1

 

Level 2

 

Level 3

 

Total

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

Investments in Securities:

 

 

 

 

 

 

 

 

 

 

 

 

 

Long-Term Investments1

 

 

—

 

$

429,473,738

 

 

—

 

$

429,473,738

 

Short-Term Securities

 

$

4,897,384

 

 

—

 

 

—

 

 

4,897,384

 

 

 

Total

 

$

4,897,384

 

$

429,473,738

 

 

—

 

$

434,371,122

 

 

 

 

 

1

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

 

 

 

6

BLACKROCK MUNIYIELD QUALITY FUND II, INC.

JANUARY 31, 2011

Item 2 –

Controls and Procedures

 

 

2(a) –

The registrant's principal executive and principal financial officers or persons performing similar functions have concluded that the registrant's disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the ″1940 Act″)) are effective as of a date within 90 days of the filing of this report based on the evaluation of these controls and procedures required by Rule 30a-3(b) under the 1940 Act and Rule 13a-15(b) under the Securities Exchange Act of 1934, as amended.

 

 

2(b) –

There were no changes in the registrant's internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act) that occurred during the registrant's last fiscal quarter that have materially affected, or are reasonably likely to materially affect, the registrant's internal control over financial reporting.

 

 

Item 3 –

Exhibits

 

 

 

Certifications – Attached hereto

 

 

 

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

 

 

 

BlackRock MuniYield Quality Fund II, Inc.
   
  By: /s/ John M. Perlowski  
    John M. Perlowski
    Chief Executive Officer (principal executive officer) of
    BlackRock MuniYield Quality Fund II, Inc.
   
  Date: March 25, 2011
   
  Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
   
  By: /s/ John M. Perlowski  
    John M. Perlowski
    Chief Executive Officer (principal executive officer) of
    BlackRock MuniYield Quality Fund II, Inc.
   
  Date: March 25, 2011
   
  By: /s/ Neal J. Andrews  
    Neal J. Andrews
    Chief Financial Officer (principal financial officer) of
    BlackRock MuniYield Quality Fund II, Inc.
     
  Date: March 25, 2011