Company: BLE
Filing Date: 2025-08-07
Form Type: PRE 14A
Source: 0001193125-25-175555
Chunk: 149

Company: BLACKROCK MUNICIPAL INCOME TRUST II
Filing Date: 2025-08-07
Form: PRE 14A
Chunk 149
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 supported by a liquidity facility provided by a liquidity provider (the “”)
that allows the holders of the TOB Floaters to tender their TOB Floaters in exchange for payment of par plus accrued interest on any business day (subject to the non-occurrence of a termination
event). The tendered TOB Floaters are remarketed by a remarketing agent. In the event of a failed remarketing, the TOB Trust may draw upon a loan from the TOBs Liquidity Provider to purchase the tendered TOB Floaters. Any loans made by the TOBs
Liquidity Provider will be secured by the purchased TOB Floaters held by the TOB Trust and will be subject to an increased interest rate based on number of days the loan is outstanding.

BFK may invest in a TOB Trust on either a non-recourse or recourse basis. When BFK invests
in TOB Trusts on a non-recourse basis, and the TOBs Liquidity Provider is required to make a payment under the liquidity facility, the TOBs Liquidity Provider will typically liquidate all or a
portion of the municipal bonds held in the TOB Trust and then fund the balance, if any, of the Liquidation Shortfall. If BFK invests in a TOB Trust on a recourse basis, it will typically enter into a reimbursement agreement with the TOBs Liquidity
Provider pursuant to which BFK is required to reimburse the TOBs Liquidity Provider the amount of any Liquidation Shortfall. As a result, if BFK invests in a recourse TOB Trust, BFK will bear the risk of loss with respect to any Liquidation
Shortfall. If multiple BlackRock-advised Funds participate in any such TOB Trust, these losses will be shared ratably, in proportion to their participation in the TOB Trust.

Under accounting rules, municipal securities of BFK that are deposited into a TOB Trust are investments of BFK and are presented on BFK’s
Schedule of Investments and outstanding TOB Floaters issued by a TOB Trust are presented as liabilities in BFK’s Statement of Assets and Liabilities. Interest income from the underlying municipal securities is recorded by BFK on an accrual
basis. Interest expense incurred on the TOB Floaters and other expenses related to remarketing, administration, trustee and other services to a TOB Trust are reported as expenses of BFK. In addition, under accounting rules, loans made to a TOB Trust
sponsored by BFK