Company: BLE
Filing Date: 2025-09-08
Form Type: DEF 14A
Source: 0001193125-25-198164
Chunk: 49

Company: BLACKROCK MUNICIPAL INCOME TRUST II
Filing Date: 2025-09-08
Form: DEF 14A
Chunk 49
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); |

| ● |     | the potential effects on the Funds’ capital loss carryforwards; |

| ● |     | the potential effects on each Fund’s undistributed net investment income; |

| ● |     | the expected costs of the Reorganizations; |

| ● |     | the terms of the Reorganizations and whether the Reorganizations would dilute the interests of shareholders of 
 the Funds;                                                                                                     |

| ● |     | the effect of the Reorganizations on shareholder rights; |

| ● |     | alternatives to the Reorganizations for each Fund; and |

| ● |     | any potential benefits of the Reorganizations to the Investment Advisor and its affiliates. |

Potential for Improved Economies of Scale and Potential for a Lower Expense Ratio. Each Board considered the fees and Total Operating Expenses of its Fund (including estimated expenses of the Combined Fund after the Reorganizations). In the Investment Advisor’s view, the most likely outcome is the Reorganizations of all of the Funds, which is also expected to result in the lowest Total Expense Ratio for the Combined Fund. If the only Reorganization discussed in this Proxy Statement that is completed is the Reorganization of MUE into the Acquiring Fund, the Combined Fund would be expected to have a higher Total Expense Ratio than if any other combination of Reorganizations were completed. For the twelve-month period ended January 31, 2025, any combination of Reorganizations would have resulted in a Total Expense Ratio (excluding leverage expenses and excluding extraordinary expenses) for the Combined Fund that is equal to or lower than the Total Expense Ratio (including leverage expenses and excluding extraordinary expenses) of each Target Fund. “Total Expenses” means a Fund’s total annual operating expenses. “Total Expense Ratio” means a Fund’s Total Expenses expressed as a percentage of its average net assets attributable to its common shares. Potential Effects of the Reorganizations on Earnings and Distributions. The Boards noted that the Combined Fund’s net earnings yield on NAV for common shareholders following the Reorganizations is expected to be potentially higher than each BLE’s, BYM’s and MUE’s current net earnings yield on NAV and potentially lower than the Acquiring Fund’s and BFK’s current net earnings yield on NAV. The distribution level of any fund is subject to change based upon a number of factors, including the current and projected level of the fund’s earnings, and may fluctuate over time; thus, subject to a number of other factors, including the fund’s distribution policy, a higher earnings profile may potentially have a positive impact on such