AllianceBernstein National Municipal Income Fund, Inc.

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED

MANAGEMENT INVESTMENT COMPANIES

Investment Company Act file number: 811-10573

ALLIANCEBERNSTEIN NATIONAL MUNICIPAL INCOME FUND, INC.

(Exact name of registrant as specified in charter)

1345 Avenue of the Americas, New York, New York 10105

(Address of principal executive offices) (Zip code)

Joseph J. Mantineo

AllianceBernstein L.P.

1345 Avenue of the Americas

New York, New York 10105

(Name and address of agent for service)

Registrant’s telephone number, including area code: (800) 221-5672

Date of fiscal year end: October 31, 2012

Date of reporting period: July 31, 2012

 

 

 

ITEM 1. SCHEDULE OF INVESTMENTS.

AllianceBernstein National Municipal Income Fund

Portfolio of Investments

July 31, 2012 (unaudited)

 

      Principal
Amount
(000)		        U.S. $ Value  

MUNICIPAL OBLIGATIONS - 165.8%

        

Long-Term Municipal Bonds - 165.8%

        

Alabama - 2.8%

        

Alabama Pub Sch & Clg Auth

        

Series 2009 A

        

5.00%, 5/01/29 (Pre-refunded/ETM)

    $ 3,000         $ 3,760,710   

Jefferson Cnty AL LT Sch Wts

        

Series 04A

        

5.25%, 1/01/18-1/01/23

      3,100           3,080,111   

Jefferson Cnty AL Swr

        

FGIC

        

5.00%, 2/01/41 (Pre-refunded/ETM)

      1,535           1,535,000   

5.00%, 2/01/41 (Pre-refunded/ETM)

      2,465           2,465,000   

Montgomery AL BMC Spl Care

(Baptist Health Montgomery)

        

Series 04C

        

5.125%, 11/15/24

      1,500           1,558,650   
       

 

 

  
          12,399,471   
       

 

 

  

Alaska - 2.3%

        

Alaska Intl Arpt

        

NPFGC Series 03B

        

5.00%, 10/01/26

      2,000           2,068,480   

Alaska Muni Bond Bank Auth

        

NPFGC Series 04G

        

5.00%, 2/15/22 (Pre-refunded/ETM)

      1,585           1,698,629   

5.00%, 2/15/24 (Pre-refunded/ETM)

      1,345           1,441,423   

Four Dam Pool AK Elec

        

Series 04

        

5.00%, 7/01/24 (Pre-refunded/ETM)

      1,035           1,125,759   

5.25%, 7/01/25 (Pre-refunded/ETM)

      2,195           2,397,906   

5.25%, 7/01/26 (Pre-refunded/ETM)

      1,385           1,513,029   
       

 

 

  
          10,245,226   
       

 

 

  

Arizona - 1.4%

        

Phoenix AZ Civic Impt Corp.

(Phoenix AZ Wastewater)

        

NPFGC Series 04

        

5.00%, 7/01/23

      1,250           1,348,125   

Salt Verde Fin Corp. Gas

(Citigroup, Inc.)

        

5.25%, 12/01/22-12/01/23

      4,150           4,559,101   
       

 

 

  
          5,907,226   
       

 

 

  

California - 22.1%

        

California Econ Recovery

(California Econ Rec Spl Tax)

        

Series 2009A

        

5.25%, 7/01/21

      4,860           5,994,713   

California GO

        

5.00%, 2/01/32 (Pre-refunded/ETM)

      820           858,917   

5.00%, 2/01/32

      1,630           1,684,459   

5.25%, 4/01/30

      20           20,061   

Series 04

        

5.00%, 2/01/33

      1,100           1,133,770   

      Principal
Amount
(000)		        U.S. $ Value  

Chula Vista CA IDR

(San Diego Gas & Elec Co.)

        

Series 96A

        

5.30%, 7/01/21

      4,000           4,325,280   

Coachella Valley CA USD COP

        

NPFGC Series 03

        

5.00%, 9/01/31

      1,000           1,007,790   

Coast CA CCD GO

        

AGM Series 06B

        

5.00%, 8/01/23-8/01/24 (a)

      11,370           13,040,194   

Golden St Tobacco Sec CA

        

RADIAN Series 03

        

5.50%, 6/01/43 (Pre-refunded/ETM)

      2,250           2,348,190   

XLCA Series 03B

        

5.50%, 6/01/33 (Pre-refunded/ETM)

      3,000           3,130,920   

Grossmont-Cuyamaca CCD CA GO

        

AGC

        

5.00%, 8/01/22-8/01/23 (a)

      4,480           5,225,280   

Hartnell CA CCD GO

        

NPFGC Series 03A

        

5.00%, 8/01/27 (Pre-refunded/ETM)

      1,155           1,209,816   

La Quinta CA Fin Auth

(La Quinta CA Local Agy Pool)

        

AMBAC Series 04A

        

5.25%, 9/01/24

      2,000           2,083,780   

Los Angeles CA CCD GO

        

Series F-1

        

5.00%, 8/01/28

      5,800           6,739,194   

Los Angeles CA Cmnty Redev Agy

(Los Angeles CA CRA Bunker Hill)

        

Series 04L

        

5.00%, 3/01/18

      1,715           1,722,100   

Los Angeles CA Dept Arpts

(Los Angeles Intl Airport)

        

Series 2009A

        

5.25%, 5/15/29

      5,700           6,618,213   

Los Angeles CA Regl Arpts Impt Corp.

(Laxfuel Corp.)

        

AMBAC Series 01

        

5.50%, 1/01/32

      9,500           9,526,220   

Los Angeles CA Wstwtr Sys

        

5.00%, 6/01/26

      7,000           8,226,050   

Series 2012C

        

5.00%, 6/01/25

      3,865           4,781,971   

Pomona CA COP

        

AMBAC Series 03

        

5.50%, 6/01/34

      3,000           3,117,420   

San Bernardino Cnty CA COP

        

Series 2009

        

5.25%, 8/01/26

      1,455           1,526,091   

San Francisco City/Cnty CA Pub Util Commn Wtr

        

5.00%, 11/01/27

      8,040           9,691,255   

San Rafael CA Elem SD GO

        

AGM Series 03A

        

5.00%, 8/01/28 (Pre-refunded/ETM)

      2,820           2,820,000   
       

 

 

  
          96,831,684   
       

 

 

  

      Principal
Amount
(000)		        U.S. $ Value  

Colorado - 4.5%

        

Colorado Edl & Cultural Facs Auth

(Knowledge Quest Charter Sch)

        

Series 05

        

6.50%, 5/01/36

      465           451,813   

Colorado Hlth Fac Auth

(Evangelical Luth Good Sam Soc)

        

5.25%, 6/01/19-6/01/23

      2,425           2,664,553   

Colorado Hlth Fac Auth

(Parkview Medical Center)

        

Series 04

        

5.00%, 9/01/25

      2,560           2,596,659   

Denver CO Urban Renewal Auth

(Stapleton)

        

Series 2010B-1

        

5.00%, 12/01/25

      6,865           7,411,797   

Northwest Met Dist #3 CO

        

6.125%, 12/01/25

      1,000           981,620   

Park Creek Met Dist CO

        

Series 05

        

5.25%, 12/01/25

      3,000           3,255,240   

5.50%, 12/01/30

      890           963,861   

Todd Creek Farms Met Dist #1 CO

        

6.125%, 12/01/22 (b)(c)

      1,970           886,500   

Series 04

        

6.125%, 12/01/19 (b)

      1,180           590,000   
       

 

 

  
          19,802,043   
       

 

 

  

Florida - 10.3%

        

Florida Brd of Ed GO

(Florida GO)

        

Series 2011E

        

5.00%, 6/01/25

      4,800           5,872,848   

Florida HFC MFHR

(Westlake Apts)

        

AGM Series 02-D1

        

5.40%, 3/01/42

      8,780           8,785,092   

Florida HFC MFHR

(Westminster Apts)

        

AGM Series 02E-1

        

5.40%, 4/01/42

      3,000           3,001,740   

Florida Ports Fin Commn

(Florida St Trnsp Trust Fund)

        

Series 2011A

        

5.00%, 10/01/25-10/01/27

      4,205           4,972,988   

Florida St Univ Fin Asst

        

AMBAC Series 02

        

5.00%, 10/01/31 (Pre-refunded/ETM)

      5,000           5,038,850   

Miami Beach FL Hlth Fac Auth

(Mt. Sinai Medical Center FL)

        

6.75%, 11/15/24

      4,000           4,354,320   

Miami-Dade Cnty FL Aviation

(Miami-Dade Intl Airport)

        

NPFGC-RE Series 02

        

5.375%, 10/01/32

      6,040           6,053,107   

Midtown Miami CDD FL

        

Series 04A

        

6.00%, 5/01/24

      2,060           2,085,915   

Orange Cnty FL Hlth Fac Auth

        

Series 02

        

5.75%, 12/01/32 (Pre-refunded/ETM)

      2,800           2,850,708   

     Principal
Amount
(000)		        U.S. $ Value  

Univ of Central FL COP

        

NPFGC-RE Series 04A

        

5.125%, 10/01/24

      1,325           1,356,045   

Village CDD #5 FL

        

Series 03A

        

6.00%, 5/01/22

      495           504,034   
       

 

 

  
          44,875,647   
       

 

 

  

Georgia - 3.6%

        

Metro Atlanta Rapid Tran Auth GA

        

5.00%, 7/01/27

      12,960           15,636,758   
       

 

 

  

Hawaii - 2.3%

        

Hawaii Arpts Sys

        

Series 2010A

        

5.00%, 7/01/34

      5,000           5,617,050   

Hawaii Dept Budget & Finance

(Hawaiian Electric Co.)

        

XLCA Series 03B

        

5.00%, 12/01/22

      4,500           4,554,765   
       

 

 

  
          10,171,815   
       

 

 

  

Illinois - 10.5%

        

Chicago IL GO

        

AGM Series A

        

5.00%, 1/01/25

      380           398,878   

Chicago IL O’Hare Intl Arpt

(O’Hare Intl Arpt)

        

NPFGC Series A

        

5.375%, 1/01/32

      15,000           15,019,350   

XLCA Series 03B-1

        

5.25%, 1/01/34

      4,860           4,992,192   

Chicago IL Tax Increment

(Diversey/Narragansett Proj)

        

7.46%, 2/15/26

      1,795           1,796,992   

Chicago IL Wtr

        

5.00%, 11/01/26

      2,000           2,391,400   

Cook Cnty IL SD #29 GO

        

AGM Series 04

        

5.00%, 12/01/20

      2,000           2,140,980   

Gilberts IL SSA #1

        

Series 03

        

6.00%, 3/01/28

      2,633           2,632,842   

Illinois Finance Auth

        

XLCA Series 04A

        

5.00%, 7/01/24 (Pre-refunded/ETM)

      1,495           1,627,592   

Illinois Finance Auth

(Illinois Institute of Technology)

        

Series 06A

        

5.00%, 4/01/31

      1,250           1,214,463   

Manhattan SSA #2004-1 IL

        

Series 05

        

5.875%, 3/01/28

      1,748           1,760,778   

Univ of Illinois

        

AGM Series 07A

        

5.25%, 10/01/26 (a)

      10,800           11,975,256   
       

 

 

  
          45,950,723   
       

 

 

  

     Principal
Amount
(000)		        U.S. $ Value  

Indiana - 0.5%

        

Hendricks Cnty IN GO

        

Series 04

        

5.50%, 7/15/21 (Pre-refunded/ETM)

      1,045           1,149,709   

5.50%, 7/15/22 (Pre-refunded/ETM)

      1,105           1,215,721   
       

 

 

  
          2,365,430   
       

 

 

  

Kansas - 0.3%

        

Lenexa KS Hlth Care Fac

(Lakeview Village, Inc.)

        

5.25%, 5/15/22

      1,395           1,446,155   
       

 

 

  

Louisiana - 7.0%

        

Louisiana Agric Fin Auth

(Louisiana Agric Fin Auth Lease)

        

5.25%, 9/15/17

      4,270           4,619,200   

Louisiana Gas & Fuels Tax

        

Series 2012A-1

        

5.00%, 5/01/25-5/01/26

      10,000           12,326,575   

Louisiana HFA SFMR

(Louisiana HFA)

        

Series 02C

        

5.60%, 6/01/33

      495           504,242   

Louisiana Loc Govt Envrn Fac & CDA

(Jefferson Parish LA)

        

Series 2009A

        

5.00%, 4/01/26

      535           602,244   

New Orleans LA GO

        

NPFGC

        

5.00%, 3/01/18

      2,285           2,474,975   

5.25%, 12/01/20

      1,000           1,084,920   

NPFGC Series 05

        

5.00%, 12/01/29

      2,700           2,795,121   

RADIAN Series A

        

5.00%, 12/01/22

      5,875           6,353,049   
       

 

 

  
          30,760,326   
       

 

 

  

Maine - 0.6%

        

Maine Turnpike Auth

        

Series B

        

5.00%, 7/01/23

      2,000           2,490,160   
       

 

 

  

Massachusetts - 1.3%

        

Massachusetts GO

        

Series 02C

        

5.25%, 11/01/30 (Pre-refunded/ETM)

      3,470           3,513,063   

Massachusetts Hlth & Ed Facs Auth

(Cape Cod Healthcare)

        

RADIAN Series 01C

        

5.25%, 11/15/31

      2,100           2,122,533   
       

 

 

  
          5,635,596   
       

 

 

  

Michigan - 8.7%

        

Detroit MI City SD GO

        

Series 2012A

        

5.00%, 5/01/26-5/01/27

      6,045           6,929,319   

     Principal
Amount
(000)		        U.S. $ Value  

Detroit MI Swr Disp

        

NPFGC

        

5.25%, 7/01/22

      5,000           5,389,200   

Michigan Strategic Fund

(Detroit Edison Co.)

        

XLCA Series 02C

        

5.45%, 12/15/32

      5,000           5,018,350   

Plymouth MI Ed Ctr Charter Sch

        

Series 05

        

5.125%, 11/01/23

      2,140           2,059,301   

Wayne State Univ MI

        

Series 2009

        

5.00%, 11/15/29

      16,500           18,666,945   
       

 

 

  
          38,063,115   
       

 

 

  

Minnesota - 0.3%

        

Shakopee MN Hlthcare Fac

(St Francis Reg Medical Ctr)

        

Series 04

        

5.10%, 9/01/25

      1,200           1,237,392   
       

 

 

  

Mississippi - 0.9%

        

Gulfport MS Hosp Fin Auth

(Memorial Hosp At Gulfport)

        

Series 01A

        

5.75%, 7/01/31

      4,000           4,005,840   
       

 

 

  

Missouri - 0.6%

        

Kansas City MO Spl Oblig

(Kansas City MO Lease - Dntn Arena)

        

Series 08C

        

5.00%, 4/01/28

      2,000           2,207,860   

Riverside MO IDA

(Riverside Horizons Proj)

        

ACA Series 07A

        

5.00%, 5/01/27

      600           628,302   
       

 

 

  
          2,836,162   
       

 

 

  

Nevada - 1.7%

        

Carson City NV Hosp

(Carson Tahoe Hospital)

        

RADIAN Series 03A

        

5.00%, 9/01/23

      4,700           4,787,796   

Reno NV Spl Tax

        

NPFGC-RE Series 02

        

5.375%, 6/01/32

      2,790           2,792,037   
       

 

 

  
          7,579,833   
       

 

 

  

New Hampshire - 0.2%

        

New Hampshire Hlth & Ed Fac Auth

(Covenant Health Sys)

        

Series 04

        

5.375%, 7/01/24

      820           859,786   
       

 

 

  

New Jersey - 1.3%

        

Morris-Union NJ Jt Comm COP

        

RADIAN Series 04

        

5.00%, 5/01/24

      5,095           5,277,961   

     Principal
Amount
(000)		        U.S. $ Value  

New Jersey EDA

(New Jersey Lease Sch Fac)

        

Series 05

        

5.25%, 3/01/25

      500           543,780   
       

 

 

  
          5,821,741   
       

 

 

  

New York - 21.1%

        

New York NY GO

        

5.00%, 8/01/28

      1,690           1,985,074   

Series 04G

        

5.00%, 12/01/23

      1,600           1,758,560   

Series 06

        

5.00%, 6/01/22

      1,160           1,328,165   

Series 2012E

        

5.00%, 8/01/24

      2,000           2,448,660   

Series 2012F

        

5.00%, 8/01/26

      7,510           9,102,195   

Series 2012I

        

5.00%, 8/01/27-8/01/28

      3,355           4,048,510   

New York NY Mun Wtr Fin Auth

        

5.00%, 6/15/26

      5,000           6,041,450   

Series 2012FF

        

5.00%, 6/15/28

      7,150           8,655,504   

New York NY Trnsl Fin Auth

        

Series 2007B

        

5.00%, 11/01/24

      7,395           8,586,926   

Series 2011B

        

5.00%, 2/01/26

      10,000           12,046,900   

New York St Dormitory Auth

(New York St Pers Income Tax)

        

5.00%, 3/15/26 (a)

      7,000           8,199,590   

New York St Envrn Fac Corp.

(New York NY Mun Wtr Fin Auth)

        

5.00%, 6/15/24-6/15/27 (a)

      7,000           8,342,740   

5.00%, 6/15/27

      5,000           6,032,600   

New York St HFA

(New York St Pers Income Tax)

        

NPFGC-RE Series 05A

        

5.00%, 9/15/25

      300           330,339   

Triborough Brdg & Tunl Auth NY

        

5.00%, 1/01/26

      10,000           12,010,400   

Ulster Cnty NY IDA

(Kingston Regl Sr Lvg Corp.)

        

6.00%, 9/15/27

      1,775           1,301,572   
       

 

 

  
          92,219,185   
       

 

 

  

North Carolina - 1.0%

        

Charlotte NC Arpt

(Charlotte Douglas Intl Arpt)

        

NPFGC Series 04A

        

5.25%, 7/01/24

      2,895           3,120,405   

Iredell Cnty NC COP

(Iredell Cnty Sch Proj)

        

AGM

        

5.25%, 6/01/22

      1,080           1,248,977   
       

 

 

  
          4,369,382   
       

 

 

  

     Principal
Amount
(000)		        U.S. $ Value  

Ohio - 2.9%

        

Central OH Solid Wst Auth

        

5.00%, 12/01/25-12/01/27

      3,990           4,853,516   

Columbiana Cnty Port Auth OH

(Apex Environmental LLC)

        

Series 04A

        

7.125%, 8/01/25 (b)(d)

      1,840           1,474,705   

Cuyahoga Cnty OH Port Auth

(University Square Proj)

        

Series 01

        

7.35%, 12/01/31

      5,000           5,092,400   

Summit Cnty OH Port Auth

        

5.00%, 12/01/25

      1,000           1,180,350   
       

 

 

  
          12,600,971   
       

 

 

  

Oregon - 2.5%

        

Forest Grove OR

(Pacific Univ)

        

RADIAN Series 05A

        

5.00%, 5/01/28

      4,760           4,871,098   

Oregon Dept of Admin Svcs

(Oregon Lottery)

        

Series 2011A

        

5.25%, 4/01/25

      5,000           6,200,950   
       

 

 

  
          11,072,048   
       

 

 

  

Pennsylvania - 2.9%

        

Allegheny Cnty PA IDA

(Residential Resources, Inc.)

        

5.00%, 9/01/21

      500           512,760   

Montgomery Cnty PA IDA

(New Regional Medical Ctr)

        

5.25%, 8/01/33

      3,495           4,058,359   

Pennsylvania Econ Dev Fin Auth

(30th St Station Pkg Garage PA)

        

ACA Series 02

        

5.875%, 6/01/33

      4,100           4,145,182   

Pennsylvania Hgr Ed Fac Auth

(Univ Of Pennsylvania)

        

5.00%, 9/01/28

      1,500           1,781,175   

Philadelphia PA IDA

(Leadership Learning Partners)

        

Series 05A

        

5.25%, 7/01/24 (b)

      1,150           1,032,010   

Wilkes-Barre PA Fin Auth

(Wilkes Univ Proj)

        

5.00%, 3/01/22

      990           1,062,676   
       

 

 

  
          12,592,162   
       

 

 

  

Puerto Rico - 2.3%

        

Puerto Rico GO

        

5.25%, 7/01/23

      2,625           2,786,543   

Series 01A

        

     Principal
Amount
(000)		        U.S. $ Value  

5.50%, 7/01/19

      1,705           1,929,429   

Series 03A

        

5.25%, 7/01/23 (Pre-refunded/ETM)

      500           522,640   

Puerto Rico Govt Dev Bank

        

Series 06B

        

5.00%, 12/01/15

      1,000           1,086,330   

Puerto Rico Pub Bldgs Auth

(Puerto Rico GO)

        

Series N

        

5.50%, 7/01/22

      3,370           3,652,608   
       

 

 

  
          9,977,550   
       

 

 

  

Rhode Island - 1.4%

        

Rhode Island Hlth Ed Bldg Corp.

(Times 2 Academy RI)

        

Series 04

        

5.00%, 12/15/24

      5,845           6,026,137   
       

 

 

  

South Carolina - 5.9%

        

Charleston SC Eld Excellence Fin Corp.

(Charleston Cnty SC SD Lease)

        

5.25%, 12/01/30

      2,000           2,217,060   

Dorchester Cnty SC SD #2 Lease

        

AGC

        

5.00%, 12/01/29

      1,600           1,767,200   

Newberry Inv IN Children SC

(Newberry Cnty SC SD Lease)

        

AGC Series 05

        

5.00%, 12/01/27

      5,450           5,737,706   

South Carolina Pub Svc Auth

        

Series 2012A

        

5.00%, 12/01/26-12/01/27

      13,220           15,883,974   
       

 

 

  
          25,605,940   
       

 

 

  

Tennessee - 0.6%

        

Sullivan Cnty TN Hlth & Hfb

(Wellmont Hlth Sys Proj)

        

Series 06C

        

5.00%, 9/01/22

      1,760           1,895,520   

5.25%, 9/01/26

      725           774,793   
       

 

 

  
          2,670,313   
       

 

 

  

Texas - 29.4%

        

Alvin TX ISD GO

        

Series 2004B

        

5.00%, 2/15/28

      960           1,111,978   

Bexar Cnty TX Hlth Fac Dev

(Army Retirement Residence)

        

5.00%, 7/01/27

      505           525,013   

Camino Real Regl Mob Auth TX

        

Series 2008

        

5.00%, 8/15/21

      50           50,106   

Dallas Fort Worth TX Intl Arpt

        

NPFGC Series 03A

        

5.25%, 11/01/25

      2,000           2,060,680   

NPFGC-RE Series 01

        

5.50%, 11/01/35

      2,455           2,459,935   

     Principal
Amount
(000)		        U.S. $ Value  

Dallas TX ISD GO

        

6.00%, 2/15/28

      2,500           3,050,625   

Dripping Springs TX ISD GO

        

5.125%, 2/15/28

      5,715           6,544,018   

Fort Bend TX ISD GO

        

Series 2009

        

5.00%, 2/15/27

      7,560           9,229,626   

Frisco TX GO

        

NPFGC-RE

        

5.00%, 2/15/23

      3,220           3,658,822   

Harris City TX Toll Road

        

AGM Series 02

        

5.125%, 8/15/32 (Pre-refunded/ETM)

      7,500           7,512,375   

Harris Cnty TX Met Trnsp Auth

        

5.00%, 11/01/26

      4,000           4,820,680   

Hidalgo Cnty TX Hlth Fac Svcs

(Mission Hospital, Inc.)

        

Series 05

        

5.00%, 8/15/14-8/15/19

      1,090           1,132,697   

Houston TX GO

        

Series 2012A

        

5.00%, 3/01/26-3/01/27

      12,140           14,663,378   

Houston TX Util Sys

        

Series 2011D

        

5.00%, 11/15/25-11/15/26

      8,500           10,318,455   

Lewisville TX Spl AD #2

        

ACA Series 05

        

6.00%, 10/01/25

      1,100           1,172,391   

Lower Colorado River Auth TX

        

5.00%, 5/15/31 (Pre-refunded/ETM)

      45           46,686   

5.00%, 5/15/31 (Pre-refunded/ETM)

      10           10,371   

5.25%, 5/15/25 (Pre-refunded/ETM)

      70           72,759   

5.25%, 5/15/25 (Pre-refunded/ETM)

      10           10,390   

5.25%, 5/15/25

      1,585           1,590,918   

Series 20022

        

5.00%, 5/15/31 (Pre-refunded/ETM)

      25           25,927   

Series 2003-2

        

5.25%, 5/15/25 (Pre-refunded/ETM)

      10           10,390   

AMBAC Series 03

        

5.25%, 5/15/25 (Pre-refunded/ETM)

      125           129,927   

NPFGC

        

5.00%, 5/15/31 (Pre-refunded/ETM)

      30           31,124   

NPFGC Series 02A

        

5.00%, 5/15/31 (Pre-refunded/ETM)

      10           10,371   

NPFGC Series 20022

        

5.00%, 5/15/31

      1,380           1,402,439   

Matagorda Cnty TX Nav Dist

(Centerpoint Energy Houston)

        

Series 04

        

5.60%, 3/01/27

      2,000           2,075,900   

Seguin Hgr Ed Fac Corp. TX

(Texas Lutheran Univ)

        

Series 04

        

5.25%, 9/01/28-9/01/33

      2,250           2,296,762   

Texas GO

        

Series 02A

        

5.50%, 8/01/41

      9,470           9,486,099   

Series 05

        

5.00%, 4/01/28

      8,000           8,804,800   

     Principal
Amount
(000)		        U.S. $ Value  

Texas Private Acvty Bond Srfc Trnsp Corp.

(NTE Mobility Partners LLC Project)

        

6.875%, 12/31/39

      1,720           2,066,133   

Texas Trnsp Comm

        

Series 07

        

5.00%, 4/01/23 (a)

      20,600           23,884,052   

Univ of Texas

        

Series A

        

5.25%, 8/15/22

      6,825           8,217,368   
       

 

 

  
          128,483,195   
       

 

 

  

Virginia - 2.8%

        

Fauquier Cnty VA IDA

(Fauquier Hospital Obl Grp)

        

RADIAN Series 02

        

5.25%, 10/01/31

      8,500           8,692,865   

Virginia Trnsp Brd

(Virginia Fed Hwy Grant)

        

Series 2012A

        

5.00%, 9/15/27

      3,000           3,631,800   
       

 

 

  
          12,324,665   
       

 

 

  

Washington - 8.1%

        

Energy Northwest WA

(Bonneville Power Admin)

        

Series 2011A

        

5.00%, 7/01/23

      5,250           6,481,387   

FYI Properties

(Washington St Lease Dept Info Svc Proj)

        

5.125%, 6/01/28

      5,200           5,836,480   

Series 2009

        

5.00%, 6/01/27

      3,885           4,361,340   

Washington Fed Hwy Grant

        

Series 2012F

        

5.00%, 9/01/24

      15,000           18,624,300   
       

 

 

  
          35,303,507   
       

 

 

  

Wisconsin - 1.7%

        

Wisconsin GO

(Wisconsin SRF)

        

Series 03

        

5.00%, 11/01/26

      2,875           2,972,118   

Wisconsin Hsg & Econ Dev Auth SFMR

(Wisconsin Hsg & Econ Dev Auth)

        

NPFGC Series A

        

5.60%, 5/01/33

      4,450           4,453,426   
       

 

 

  
          7,425,544   
       

 

 

  

Total Investments - 165.8%
(cost $684,540,414) (e)

           725,592,728   

Other assets less liabilities - (10.4)%

           (45,834,716 ) 

Preferred Shares at liquidation value - (55.4)%

           (242,225,000 ) 
       

 

 

  

Net Assets Applicable to Common Shareholders – 100.0% (f)

         $ 437,533,012   
       

 

 

  

 

 

(a) Security represents the underlying municipal obligation of an inverse floating rate obligation held by the Fund.

(b) Illiquid security.
(c) Security is in default and is non-income producing.
(d) Fair valued.
(e) As of July 31, 2012, the cost basis of investment securities owned was substantially identical for both book and tax purposes. Gross unrealized appreciation of investments was $43,859,004 and gross unrealized depreciation of investments was $(2,806,690), resulting in net unrealized appreciation of $41,052,314.
(f) Portfolio percentages are calculated based on net assets applicable to common shareholders.

As of July 31, 2012, the Fund held 48.1% of net assets in insured bonds (of this amount 14.7% represents the Fund’s holding in pre-refunded or escrowed to maturity bonds).

Glossary:

 

ACA    -    ACA Financial Guaranty Corporation
AD    -    Assessment District
AGC    -    Assured Guaranty Corporation
AGM    -    Assured Guaranty Municipal
AMBAC    -    Ambac Assurance Corporation
CCD    -    Community College District
CDA    -    Community Development Authority
CDD    -    Community Development District
COP    -    Certificate of Participation
CRA    -    Community Redevelopment Agency
EDA    -    Economic Development Agency
FGIC    -    Financial Guaranty Insurance Company
GO    -    General Obligation
HFA    -    Housing Finance Authority
HFC    -    Housing Finance Corporation
IDA    -    Industrial Development Authority/Agency
IDR    -    Industrial Development Revenue Bond
ISD    -    Independent School District
MFHR    -    Multi-Family Housing Revenue
NPFGC    -    National Public Finance Guarantee Corporation
NPFGC-RE    -    National Public Finance Guarantee Corporation Reinsuring FGIC
RADIAN    -    Radian Asset Assurance Inc.
SD    -    School District
SFMR    -    Single Family Mortgage Revenue
SRF    -    State Revolving Fund
SSA    -    Special Services Area
USD    -    Unified School District
XLCA    -    XL Capital Assurance Inc.

AllianceBernstein National Municipal Income Fund

July 31, 2012 (unaudited)

In accordance with U.S. GAAP regarding fair value measurements, fair value is defined as the price that the Fund would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date. The U.S. GAAP disclosure requirements establish a framework for measuring fair value, and a three-level hierarchy for fair value measurements based upon the transparency of inputs to the valuation of an asset or liability. Inputs may be observable or unobservable and refer broadly to the assumptions that market participants would use in pricing the asset or liability. Observable inputs reflect the assumptions market participants would use in pricing the asset or liability based on market data obtained from sources independent of the Fund. Unobservable inputs reflect the Fund’s own assumptions about the assumptions that market participants would use in pricing the asset or liability based on the best information available in the circumstances. Each investment is assigned a level based upon the observability of the inputs which are significant to the overall valuation. The three-tier hierarchy of inputs is summarized below.

 

  •  

Level 1—quoted prices in active markets for identical investments

  •  

Level 2—other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, etc.)

  •  

Level 3—significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments)

The following table summarizes the valuation of the Fund’s investments by the above fair value hierarchy levels as of July 31, 2012:

 

                                                                                       

Investments in Securities:

    Level 1     Level 2     Level 3     Total  

Assets:

         

Long-Term Municipal Bonds

    $             – 0  –    $ 697,346,307      $ 28,246,421      $ 725,592,728   
  

 

 

    

 

 

    

 

 

    

 

 

  

Total Investments in Securities

      – 0  –      697,346,307        28,246,421        725,592,728   

Other Financial Instruments*

      – 0  –      – 0  –      – 0  –      – 0  – 
  

 

 

    

 

 

    

 

 

    

 

 

  

Total

    $ – 0  –    $     697,346,307      $     28,246,421      $     725,592,728   
  

 

 

    

 

 

    

 

 

    

 

 

  

 

* Other financial instruments are derivative instruments, such as futures, forwards and swap contracts, which are valued at the unrealized appreciation/depreciation on the instrument.

Following is a reconciliation of investments in which significant unobservable inputs (Level 3) were used in determining fair value. The transfers between levels of the fair value hierarchy assumes the financial instrument was transferred at the beginning of the reporting period.

 

     Long-Term  Municipal
Bonds		     Interest Rate Swap
Contracts		     Total  

Balance as of 10/31/11

    $  30,276,122      $ (4,384,798 )    $  25,891,324   

Accrued discounts/(premiums)

      (26,069 )      – 0  –      (26,069 ) 

Realized gain (loss)

      (362,922 )      (818,289 )      (1,181,211 ) 

Change in unrealized appreciation/depreciation

      1,343,300        4,384,798        5,728,098   

Purchases

      – 0  –      – 0  –      – 0  – 

Sales

      (7,675,100 )      – 0  –      (7,675,100 ) 

Settlements

      – 0  –      818,289        818,289   

Transfers in to Level 3

      5,158,205        – 0  –      5,158,205   

Transfers out of Level 3

      (467,115 )      – 0  –      (467,115 ) 
  

 

 

    

 

 

    

 

 

  

Balance as of 7/31/12^

    $ 28,246,421      $ – 0  –    $ 28,246,421   
  

 

 

    

 

 

    

 

 

  

Net change in unrealized appreciation/depreciation from Investments held as of 7/31/12

    $ 865,084      $ 4,384,798      $ 5,249,882   
  

 

 

    

 

 

    

 

 

  

 

^ There were di minimis transfers under 1% of net assets during the reporting period.

The following presents information about significant unobservable inputs related to the Fund’s material categories of Level 3 investments at July 31, 2012:

 

     Quantitative Information about Level 3 Fair Value Measurements   
     Fair Value at
7/31/2012		      Valuation Technique    Unobservable Input    Range  

Long-Term Municipal Bonds

    $ 28,246,421       Broker Quotes    Yield      0.39-19.052 % 

Corporate, Government, Agency, and Municipal Securities

The significant unobservable inputs used in the fair value measurement of the Fund’s Corporate, Government, Agency, and Municipal Securities are non-agency quality ratings, spreads on non-rated instrument, and yields on non-rated instruments. On non-evaluated assets, broker quotes are used when other market information not available to produce an evaluation and are considered non-observable. Generally, an increase in spreads or a decrease in yields leads to an inverse move in the price of the assets. A decrease in rating or absence of a rating is accompanied by a directionally opposite change in price.

The significant unobservable inputs used in the fair value measurement of the Fund’s Private Corporate and Asset Backed Securities are the spread over the public curve as well as the spreads or yields on non-rated instruments.

ITEM 2. CONTROLS AND PROCEDURES.

(a) The registrant’s principal executive officer and principal financial officer 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) are effective at the reasonable assurance level based on their evaluation of these controls and procedures as of a date within 90 days of the filing date of this document.

(b) There were no changes in the registrant’s internal controls over financial reporting that occurred during the second fiscal quarter of the period that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

 

ITEM 3. EXHIBITS.

The following exhibits are attached to this Form N-Q:

 

EXHIBIT NO.

  

DESCRIPTION OF EXHIBIT

3 (a) (1)   Certification of Principal Executive Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
3 (a) (2)   Certification of Principal Financial Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

SIGNATURES

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.

(Registrant): AllianceBernstein National Municipal Income Fund, Inc.

 

By:   /s/    Robert M. Keith
  Robert M. Keith
  President
Date:   September 24, 2012

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/    Robert M. Keith
  Robert M. Keith
  President
Date:   September 24, 2012
By:   /s/    Joseph J. Mantineo
  Joseph J. Mantineo
  Treasurer and Chief Financial Officer
Date:   September 24, 2012