Company: BLE
Filing Date: 2025-09-08
Form Type: DEF 14A
Source: 0001193125-25-198164
Chunk: 75

Company: BLACKROCK MUNICIPAL INCOME TRUST II
Filing Date: 2025-09-08
Form: DEF 14A
Chunk 75
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’s and AA from Fitch. The dividend rate on each Fund’s VMTP Shares is subject to a step-up spread if each Fund
fails to comply with certain provisions, including, among other things, the timely payment of dividends, redemptions or gross-up payments, and complying with certain asset coverage and leverage
requirements.

32

Each Fund’s VMTP Shares are subject to certain restrictions on transfer, and each Fund may also be required to register its VMTP Shares for sale under the Securities Act under certain circumstances. In addition, amendments to each Fund’s VMTP Shares’ governing documents generally require the consent of the holders of VMTP Shares. Each Fund’s VMTP Shares rank prior to each Fund’s common shares as to the payment of dividends by each Fund and distribution of assets upon dissolution or liquidation of each Fund. The 1940 Act prohibits the declaration of any dividend on each Fund’s common shares or the repurchase of each Fund’s common shares if each Fund fails to maintain asset coverage of at least 200% of the liquidation preference of each Fund’s outstanding VMTP Shares. In addition, pursuant to the VMTP Shares’ governing instruments, each Fund is restricted from declaring and paying dividends on classes of shares ranking junior to or on parity with each Fund’s VMTP Shares or repurchasing such shares if each Fund fails to declare and pay dividends on the VMTP Shares, redeem any VMTP Shares required to be redeemed under the VMTP Shares’ governing instruments or comply with the basic maintenance amount requirement of the ratings agencies rating the VMTP Shares. The holders of each Fund’s VMTP Shares have voting rights equal to the voting rights of the holders of their respective common shares (one vote per share) and will vote together with holders of their respective common shares (one vote per share) as a single class on certain matters. However, the holders of each Fund’s VMTP Shares, voting as a separate class, are also entitled to elect two trustees to the Board of each Fund. The holders of each Fund’s VMTP Shares are also entitled to elect each Fund’s full board of trustees if dividends on the VMTP Shares are not paid for a period of two years. The holders of each Fund’s VMTP Shares are also generally entitled to a separate class vote to amend the VMTP Shares’ governing documents. In addition, the 1940 Act requires the approval of the holders of a majority of any outstanding VMTP Shares, voting as a separate class, to (a) adopt any plan of reorganization that