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 811-6414
Name of Fund: MuniYield Fund, Inc.
Fund Address: P.O. Box 9011
Princeton, NJ 08543-9011
Name and address of agent for service: Terry K. Glenn, President,
MuniYield Fund, Inc., 800 Scudders Mill Road, Plainsboro, NJ,
08536. Mailing address: P.O. Box 9011, Princeton, NJ, 08543-
9011
Registrant's telephone number, including area code: (609) 282-2800
Date of fiscal year end: 10/31/04
Date of reporting period: 05/01/04 - 07/31/04
Item 1 - Schedule of Investments
MuniYield Fund, Inc.
Schedule of Investments as of July 31, 2004 (in Thousands)
S&P Moody's Face
State Ratings Ratings Amount Municipal Bonds Value
Alabama - 0.4% NR* A2 $2,500 Huntsville, Alabama, Health Care Authority Revenue Bonds,
Series B, 5.75% due 6/01/2032 $ 2,561
Alaska - 0.3% NR* Ba1 2,050 Valdez, Alaska, Marine Terminal Revenue Refunding Bonds
(Amerada Hess Pipeline Corporation), 6.10% due 2/01/2024 2,062
Arizona - 8.9% Arizona State Transportation Board, Highway Revenue Bonds,
Sub-Series A:
AA Aa2 5,825 5% due 7/01/2021 6,065
AA Aa2 7,030 5% due 7/01/2022 7,274
AA Aa2 5,240 5% due 7/01/2023 5,380
NR* Baa3 2,300 Maricopa County, Arizona, IDA, Education Revenue Bonds
(Arizona Charter Schools Project 1), Series A, 6.75% due 7/01/2029 2,335
Maricopa County, Arizona, IDA, M/F Housing Revenue Refunding Bonds
(CRS Pine Ridge Housing Corporation), Series A-1 (g):
AAA NR* 5,000 6% due 10/20/2031 5,157
AAA NR* 5,000 6.05% due 10/20/2036 5,159
Portfolio Abbreviations
To simplify the listings of MuniYield Fund, Inc.'s portfolio
holdings in the Schedule of Investments, we have abbreviated the
names of many of the securities according to the list below.
AMT Alternative Minimum Tax (subject to)
COP Certificates of Participation
DRIVERS Derivative Inverse Tax-Exempt Receipts
EDA Economic Development Authority
GO General Obligation Bonds
HFA Housing Finance Agency
IDA Industrial Development Authority
IDB Industrial Development Board
IDR Industrial Development Revenue Bonds
M/F Multi-Family
PCR Pollution Control Revenue Bonds
RITR Residual Interest Trust Receipts
S/F Single-Family
VRDN Variable Rate Demand Notes
MuniYield Fund, Inc.
Schedule of Investments as of July 31, 2004 (concluded) (in Thousands)
S&P Moody's Face
State Ratings Ratings Amount Municipal Bonds Value
Arizona Phoenix, Arizona, IDA, Airport Facility Revenue Refunding Bonds
(concluded) (America West Airlines Inc. Project), AMT:
NR* Caa2 $5,800 6.25% due 6/01/2019 $ 4,456
NR* Caa2 6,900 6.30% due 4/01/2023 5,164
Phoenix, Arizona, IDA, M/F Housing Revenue Bonds (Summit
Apartments LLC Project) (g):
AAA NR* 1,610 6.25% due 7/20/2022 1,690
AAA NR* 1,425 6.45% due 7/20/2032 1,485
AAA NR* 1,305 6.55% due 7/20/2037 1,364
NR* Baa3 1,400 Pima County, Arizona, IDA, Education Revenue Bonds (Arizona
Charter Schools Project II), Series A, 6.75% due 7/01/2031 1,419
Pima County, Arizona, IDA, M/F Housing Revenue Bonds (Columbus
Village), Series A (g):
AAA NR* 990 5.90% due 10/20/2021 997
AAA NR* 1,725 6% due 10/20/2031 1,738
AAA NR* 2,295 6.05% due 10/20/2041 2,312
NR* Baa2 2,500 Yavapai County, Arizona, IDA, Hospital Facility Revenue Bonds
(Yavapai Regional Medical Center), Series A, 6% due 8/01/2033 2,522
California - AAA Aaa 3,370 Anaheim, California, Union High School District, GO, Series A,
21.7% 5% due 8/01/2022 (i) 3,473
BBB A3 8,760 California State, GO, 5% due 2/01/2033 8,488
California State Public Works Board, Lease Revenue Bonds:
BBB- Baa1 2,000 (Department of Corrections), Series C, 5% due 6/01/2025 1,967
BBB- Baa1 4,500 (Department of Mental Health - Coalinga State Hospital),
Series A, 5.125% due 6/01/2029 4,392
California State, Various Purpose, GO:
BBB A3 6,800 5.25% due 11/01/2025 6,924
AAA Aaa 10,000 5% due 4/01/2031 (c) 9,970
BBB A3 5,550 5.50% due 11/01/2033 5,745
Golden State Tobacco Securitization Corporation of California,
Tobacco Settlement Revenue Bonds:
BBB Baa3 5,500 Series A-3, 7.875% due 6/01/2042 5,609
BBB Baa3 7,500 Series A-4, 7.80% due 6/01/2042 7,613
BBB- Baa1 5,000 Series B, 5.50% due 6/01/2018 5,133
BBB- Baa1 5,000 Series B, 5.375% due 6/01/2028 4,957
BBB- Aaa 9,520 Series B, 5.50% due 6/01/2043 9,542
AAA Aaa 10,000 Los Angeles, California, Community Redevelopment Agency, Community
Redevelopment Financing Authority Revenue Bonds (Bunker Hill Project),
Series A, 5% due 12/01/2027 (i) 10,015
AAA Aaa 18,400 Los Angeles, California, Unified School District, GO, Series A,
5% due 7/01/2023 (i) 18,919
AA Aa3 1,250 Sacramento County, California, Sanitation District, Financing
Authority Revenue Refunding Bonds, Trust Receipts, Class R,
Series A, 10.57% due 12/01/2019 (k) 1,399
AAA Aaa 5,145 Santa Clara, California, Subordinated Electric Revenue Bonds,
Series A, 5% due 7/01/2022 (e) 5,305
AAA Aaa 10,000 University of California Hospital Revenue Bonds (UCLA Medical
Center), Series A, 5% due 5/15/2039 (c) 9,820
AAA Aaa 7,465 University of California Revenue Bonds (Multiple Purpose Projects),
Series Q, 5% due 9/01/2021 (i) 7,757
University of California, Revenue Refunding Bonds, Series A (c):
AAA Aaa 3,000 5.125% due 5/15/2019 3,179
AAA Aaa 2,500 5.125% due 5/15/2020 2,636
Colorado - 4.9% AA Aa2 650 Colorado HFA, Revenue Refunding Bonds (S/F Program), AMT, Series D-2,
6.90% due 4/01/2029 654
AAA Aaa 8,000 Denver, Colorado, City and County Airport Revenue Bonds, AMT,
Series D, 7.75% due 11/15/2013 (c) 9,733
NR* Baa2 5,500 Denver, Colorado, Urban Renewal Authority, Tax Increment Revenue
Bonds (Pavilions), AMT, 7.75% due 9/01/2016 5,809
Elk Valley, Colorado, Public Improvement Revenue Bonds (Public
Improvement Fee), Series A:
NR* NR* 1,735 7.10% due 9/01/2014 1,802
NR* NR* 5,065 7.35% due 9/01/2031 5,259
NR* NR* 6,850 Plaza Metropolitan District No. 1, Colorado, Tax Allocation
Revenue Bonds (Public Improvement Fees), 8% due 12/01/2025 7,028
Connecticut - NR* NR* 600 Connecticut State Development Authority, IDR (AFCO Cargo BDL-LLC
0.1% Project), AMT, 7.35% due 4/01/2010 604
Florida - 4.3% Hillsborough County, Florida, IDA, Exempt Facilities Revenue Bonds
(National Gypsum), AMT:
NR* NR* 11,500 Series A, 7.125% due 4/01/2030 12,102
NR* NR* 5,000 Series B, 7.125% due 4/01/2030 5,262
NR* NR* 4,200 Midtown Miami, Florida, Community Development District, Special
Assessment Revenue Bonds, Series B, 6.50% due 5/01/2037 4,276
AAA Aaa 2,140 Saint Lucie County, Florida, Sales Tax Revenue Refunding and
Improvement Bonds, 5.25% due 10/01/2022 (e) 2,269
B- B1 3,000 Santa Rosa Bay Bridge Authority, Florida, Revenue Bonds, 6.25%
due 7/01/2028 2,512
Georgia - 3.0% AAA Aaa 12,140 Atlanta, Georgia, Airport Revenue Refunding Bonds, Series A,
5.875% due 1/01/2016 (h) 13,646
NR* NR* 4,600 Atlanta, Georgia, Tax Allocation Revenue Bonds (Atlantic Station
Project), 7.90% due 12/01/2024 4,787
Idaho - 1.8% AA NR* 545 Idaho Housing Agency, S/F Mortgage Revenue Refunding Bonds, AMT,
Senior Series C-2, 7.15% due 7/01/2023 545
BB+ Ba3 10,000 Power County, Idaho, Industrial Development Corporation, Solid
Waste Disposal Revenue Bonds (FMC Corporation Project), AMT,
6.45% due 8/01/2032 10,203
Illinois - 4.7% NR* B2 795 Beardstown, Illinois, IDR (Jefferson Smurfit Corp. Project), 8%
due 10/01/2016 824
AAA Aaa 13,200 Chicago, Illinois, O'Hare International Airport Revenue Bonds,
3rd Lien, AMT, Series B-2, 6% due 1/01/2029 (j) 14,192
NR* Aaa 230 Chicago, Illinois, S/F Mortgage Revenue Bonds, AMT, Series B,
7.625% due 9/01/2027 (f)(g)(l) 232
B Ba3 2,750 Illinois Development Finance Authority, PCR, Refunding (Illinois
Power Company Project), Series A, 7.375% due 7/01/2006 (b) 3,063
AAA Aaa 3,285 Illinois Development Finance Authority Revenue Bonds (Presbyterian
Home Lake Project), Series B, 6.30% due 9/01/2022 (i) 3,585
NR* NR* 1,760 Illinois Educational Facilities Authority, Revenue Refunding Bonds
(Chicago Osteopathic Health System), 7.25% due 11/15/2019 (b) 1,786
NR* B2 1,250 Illinois Health Facilities Authority Revenue Bonds (Holy Cross
Hospital Project), 6.70% due 3/01/2014 1,037
A1 VMIG1+ 10 Illinois Health Facilities Authority, Revenue Refunding Bonds
(University of Chicago Hospitals), VRDN, 1.08% due 8/01/2026 (e)(m) 10
AAA Aaa 4,000 Metropolitan Pier and Exposition Authority, Illinois, Dedicated
State Tax Revenue Bonds (McCormick Place Expansion), Series A,
5.50% due 6/15/2023 (e) 4,287
Kansas - 0.2% BB+ NR* 1,250 Lenexa, Kansas, Health Care Facility Revenue Bonds
(Lakeview Village Inc.), Series C, 6.875% due 5/15/2032 1,303
Kentucky - 0.5% NR* NR* 3,000 Kentucky Economic Development Finance Authority, Health System
Revenue Refunding Bonds (Norton Healthcare Inc.), Series A, 6.625%
due 10/01/2028 3,122
Louisiana - B NR* 4,125 Hodge, Louisiana, Utility Revenue Refunding Bonds (Stone Container
3.8% Corporation), AMT, 7.45% due3 /01/2024 4,210
BB- NR* 19,000 Port New Orleans, Louisiana, IDR, Refunding (Continental Grain
Company Project), 6.50% due 1/01/2017 19,180
Maryland - 1.2% NR* NR* 3,000 Maryland State Energy Financing Administration, Limited Obligation
Revenue Bonds (Cogeneration-AES Warrior Run), AMT, 7.40% due
9/01/2019 3,065
A A3 4,000 Maryland State Health and Higher Educational Facilities Authority
Revenue Refunding Bonds (University of Maryland Medical System),
6% due 7/01/2032 4,182
Massachusetts AAA Aaa 10,000 Massachusetts State Special Obligation Dedicated Tax Revenue Bonds,
1.7% 5.25% due 1/01/2029 (h) 10,299
Michigan - 0.5% BBB- NR* 3,325 Macomb County, Michigan, Hospital Finance Authority, Hospital
Revenue Bonds (Mount Clemens General Hospital), Series B, 5.875%
due 11/15/2034 3,033
Minnesota - 0.6% Eden Prairie, Minnesota, M/F Housing Revenue Bonds (Rolling Hills
Project), Series A (g):
NR* A1 420 6% due 8/20/2021 456
NR* A1 2,000 6.20% due 2/20/2043 2,145
NR* Aa2 985 Minneapolis, Minnesota, M/F Housing Revenue Bonds (Gaar Scott
Loft Project), AMT, 5.95% due 5/01/2030 1,037
Missouri - 0.7% Fenton, Missouri, Tax Increment Revenue Refunding and Improvement
Bonds (Gravois Bluffs):
NR* NR* 635 6.75% due 10/01/2015 648
NR* NR* 2,800 7% due 10/01/2021 3,005
AAA NR* 445 Missouri State Housing Development Commission, S/F Mortgage Revenue
Bonds, Homeownership, AMT, Series B, 7.55% due 9/01/2027 (f)(g) 447
New Hampshire BBB+ Baa1 3,425 New Hampshire Health and Education Facilities Authority, Revenue
0.6% Refunding Bonds (Elliot Hospital), Series B, 5.60% due 10/01/2022 3,434
New Jersey - NR* NR* 3,000 New Jersey EDA, First Mortgage Revenue Bonds (The Presbyterian
10.6% Home), Series A, 6.375% due 11/01/2031 3,018
NR* NR* 4,400 New Jersey EDA, Retirement Community Revenue Bonds (Cedar Crest
Village Inc. Facility), Series A, 7.25% due 11/15/2031 4,457
New Jersey EDA, Special Facility Revenue Bonds (Continental
Airlines Inc. Project), AMT:
B Caa2 3,905 6.25% due 9/15/2019 3,094
B Caa2 16,195 6.25% due 9/15/2029 12,104
B+ NR* 3,680 New Jersey Health Care Facilities Financing Authority Revenue
Bonds (Pascack Valley Hospital Association), 6.625% due 7/01/2036 3,283
B+ NR* 1,500 New Jersey Health Care Facilities Financing Authority, Revenue
Refunding Bonds (Pascack Valley Hospital Association), 5.125%
due 7/01/2028 1,092
AAA NR* 4,360 Port Authority of New York and New Jersey Revenue Refunding Bonds,
DRIVERS, AMT, Series 177, 10.618% due 10/15/2032 (e)(k) 5,126
AAA NR* 20,575 Port Authority of New York and New Jersey, Special Obligation
Revenue Bonds, DRIVERS, AMT, Series 192, 10.117% due
12/01/2025 (e)(k) 23,084
BBB Baa3 7,500 Tobacco Settlement Financing Corporation of New Jersey,
Asset-Backed Revenue Refunding Bonds, 6% due 6/01/2037 5,997
BBB Baa3 4,500 Tobacco Settlement Financing Corporation of New Jersey Revenue
Bonds, 6.75% due 6/01/2039 4,054
New York - NR* NR* 2,240 Dutchess County, New York, IDA, Civic Facility Revenue Refunding
20.6 % Bonds (Saint Francis Hospital), Series A, 7.50% due 3/01/2029 2,186
AAA Aaa 5,595 Metropolitan Transportation Authority, New York, Commuter Facilities
Revenue Bonds, RITR, Series 9, 10.74% due 7/01/2006 (b)(h)(k) 6,697
New York City, New York, City IDA, Special Facilities Revenue
Bonds, AMT:
BB- Ba2 1,250 (British Airways PLC Project), 7.625% due 12/01/2032 1,234
BBB+ A3 10,000 (Terminal One Group Association Project), 6.125% due 1/01/2024 10,341
New York City, New York, City Municipal Water Finance Authority,
Water and Sewer System Revenue Bonds (k):
AAA NR* 5,000 DRIVERS, Series 198, 10.147% due 6/15/2026 (e) 5,775
AAA Aaa 3,000 RITR, Series 11, 10.29% due 6/15/2026 (i) 3,453
AA+ Aa2 14,000 New York City, New York, City Municipal Water Finance Authority,
Water and Sewer System Revenue Refunding Bonds, 5.50% due 6/15/2033 14,567
New York City, New York, GO, Refunding (h):
AAA Aaa 2,000 Series G, 5.75% due 2/01/2014 (e) 2,135
NR* Aaa 10,000 Trust Receipts, Series R, 11.34% due 5/15/2014 (h)(k) 13,141
AA- NR* 6,795 New York State Dormitory Authority, Hospital Revenue Refunding
Bonds (North General Hospital), 5.75% due 2/15/2015 7,529
New York State Dormitory Authority, Revenue Refunding Bonds
(Mount Sinai Health), Series A:
BB Ba1 5,000 6.75% due 7/01/2020 5,123
BB Ba1 315 6.50% due 7/01/2025 318
AA A1 10,000 New York State Urban Development Corporation, Personal Income
Tax Revenue Bonds (State Facilities), Series A, 5.50% due 3/15/2032 10,481
NR* NR* 2,500 Suffolk County, New York, IDA, IDR, Refunding (Nissequogue
Cogeneration Partners Facility), AMT, 5.50% due 1/01/2023 2,331
Tobacco Settlement Financing Corporation of New York Revenue Bonds:
AAA Aaa 13,875 Series A-1, 5.25% due 6/01/2022 (c) 14,441
AA- A3 9,400 Series C-1, 5.50% due 6/01/2021 9,952
A+ A1 10,000 Triborough Bridge and Tunnel Authority, New York, Subordinate
Revenue Bonds, 5.25% due 11/15/2030 10,176
Westchester County, New York, IDA, Continuing Care Retirement
Mortgage Revenue Bonds (Kendal on Hudson Project), Series A:
NR* NR* 3,450 6.375% due 1/01/2024 3,478
NR* NR* 2,895 6.50% due 1/01/2034 2,853
North Carolina BBB Baa2 4,750 North Carolina Eastern Municipal Power Agency, Power System Revenue
1.3% Bonds, Series D, 6.75% due 1/01/2026 5,193
AA Aa2 380 North Carolina HFA, Home Ownership Revenue Bonds, AMT, Series 8-A,
6.20% due 7/01/2016 398
AA Aa2 1,055 North Carolina HFA, S/F Revenue Bonds, Series II, 6.20% due
3/01/2016 (d) 1,098
NR* NR* 1,000 North Carolina Medical Care Commission, Health Care Facilities,
First Mortgage Revenue Bonds (Arbor Acres Community Project),
6.375% due 3/01/2032 1,011
Ohio - 2.4% Cuyahoga County, Ohio, Mortgage Revenue Bonds (West Tech Apartments
Project), AMT (g):
NR* Aaa 1,410 5.75% due 9/20/2020 1,474
NR* Aaa 2,250 5.85% due 9/20/2030 2,325
NR* NR* 2,175 Lucas County, Ohio, Health Care Facility Revenue Refunding and
Improvement Bonds (Sunset Retirement Communities), Series A,
6.625% due 8/15/2030 2,239
NR* Aaa 5,000 Mason, Ohio, City School District, GO (School Improvement), 5%
due 12/01/2031(i) 5,011
Mason, Ohio, Sewer System Revenue Refunding and Improvement
Bonds (e):
NR* Aaa 350 4.625% due 12/01/2025 338
NR* Aaa 2,495 5% due 12/01/2028 2,505
NR* NR* 970 Port of Greater Cincinnati Development Authority, Ohio, Special
Assessment Revenue Bonds (Cooperative Public Parking Infrastructure
Project), 6.30% due 2/15/2024 969
Oregon - 1.8% AAA Aaa 4,405 Oregon State Department of Administrative Services, COP, Series A,
6% due 5/01/2010 (b)(c) 5,083
AA- Aa3 4,305 Oregon State, GO, Refunding (Veterans Welfare), Series 80A, 5.70%
due 10/01/2032 4,440
NR* NR* 1,830 Portland, Oregon, Housing Authority, Housing Revenue Bonds (Pine
Square and University Place), Series A, 5.875% due 1/01/2022 1,761
Pennsylvania - AAA Aaa 5,000 Lehigh County, Pennsylvania, IDA, PCR, Refunding (Pennsylvania
11.5% Power and Light Company Project), Series B, 6.40% due 9/01/2029 (e) 5,118
Pennsylvania Economic Development Financing Authority, Exempt
Facilities Revenue Bonds (National Gypsum Company), AMT:
NR* NR* 12,100 Series A, 6.25% due 11/01/2027 12,077
NR* NR* 8,800 Series B, 6.125% due 11/01/2027 8,649
AAA Aaa 16,270 Pennsylvania State Higher Educational Facilities Authority,
Health Services Revenue Refunding Bonds (Allegheny Delaware
Valley Obligation), Series C, 5.875% due 11/15/2016 (e) 17,483
NR* NR* 1,265 Philadelphia, Pennsylvania, Authority for IDR, Commercial
Development, 7.75% due 12/01/2017 1,295
Philadelphia, Pennsylvania, Authority for IDR, Commercial
Development, Refunding:
NR* NR* 3,650 (Days Inn), Series B, 6.50% due 10/01/2027 3,700
NR* NR* 4,000 (Doubletree), Series A, 6.50% due 10/01/2027 4,054
AAA Aaa 10,965 Philadelphia, Pennsylvania, School District, GO, Series A, 5.50%
due 2/01/2012 (b)(i) 12,326
A- NR* 5,000 Sayre, Pennsylvania, Health Care Facilities Authority Revenue Bonds
(Guthrie Health Issue), Series B, 7.125% due 12/01/2031 5,700
Rhode Island - Woonsocket, Rhode Island, GO (h):
0.5% NR* Aaa 1,225 6% due 10/01/2017 1,399
NR* Aaa 1,195 6% due 10/01/2018 1,365
Tennessee - NR* NR* 4,610 Hardeman County, Tennessee, Correctional Facilities Corporation
2.4% Revenue Bonds, 7.75% due 8/01/2017 4,770
BB Ba2 10,000 McMinn County, Tennessee, IDB, Solid Waste Revenue Bonds
(Recycling Facility-Calhoun Newsprint), AMT, 7.40% due 12/01/2022 10,031
Texas - 20.3% Austin, Texas, Convention Center Revenue Bonds (Convention
Enterprises Inc.), First Tier, Series A:
BBB- Baa3 5,000 6.70% due 1/01/2028 5,199
BBB- Baa3 5,000 6.70% due 1/01/2032 5,196
Bexar County, Texas, Housing Finance Corporation, M/F Housing
Revenue Bonds (Water at Northern Hills Apartments), Series A (e):
NR* Aaa 1,300 5.80% due 8/01/2021 1,348
NR* Aaa 2,460 6% due 8/01/2031 2,525
NR* Aaa 1,000 6.05% due 8/01/2036 1,027
BBB Baa2 6,850 Brazos River Authority, Texas, PCR, Refunding (Utilities Electric
Company), AMT, Series B, 5.05% due 6/01/2030 7,030
BBB- NR* 3,755 Brazos River Authority, Texas, Revenue Refunding Bonds (Reliant
Energy Inc. Project), Series B, 7.75% due 12/01/2018 4,088
BBB- Baa3 5,045 Dallas-Fort Worth, Texas, International Airport Facility,
Improvement Corporation Revenue Bonds (Learjet Inc.), AMT,
Series 2001-A-1, 6.15% due 1/01/2016 5,032
CCC Caa2 7,500 Dallas-Fort Worth, Texas, International Airport Facility,
Improvement Corporation Revenue Refunding Bonds (American Airlines),
AMT, Series B, 6.05% due 5/01/2029 7,146
Gregg County, Texas, Health Facilities Development Corporation,
Hospital Revenue Bonds (Good Shepherd Medical Center Project) (a):
AA Baa2 3,000 6.875% due 10/01/2020 3,472
AA Baa2 2,000 6.375% due 10/01/2025 2,231
AA- Aa3 5,000 Guadalupe-Blanco River Authority, Texas, Sewage and Solid Waste
Disposal Facility Revenue Bonds (E. I. du Pont de Nemours and
Company Project), AMT, 6.40% due 4/01/2026 5,328
BB Ba3 3,900 Gulf Coast, Texas, IDA, Solid Waste Disposal Revenue Bonds
(Citgo Petroleum Corporation Project), AMT, 7.50% due 5/01/2025 4,091
AAA Aaa 18,200 Houston, Texas, Combined Utility System First Lien Revenue
Refunding Bonds, Series A, 5.25% due 5/15/2025 (e) 18,919
NR* Baa3 1,600 Houston, Texas, Industrial Development Corporation Revenue Bonds
(Air Cargo), AMT, 6.375% due 1/01/2023 1,611
Lower Colorado River Authority, Texas, PCR (Samsung Austin
Semiconductor), AMT:
A- A3 6,200 6.375% due 4/01/2027 6,619
A- A3 3,330 6.95% due 4/01/2030 3,737
BBB- Ba2 7,030 Matagorda County, Texas, Navigation District Number 1 Revenue
Refunding Bonds (Reliant Energy Inc.), Series C, 8% due 5/01/2029 7,739
BB Ba3 3,900 Port Corpus Christi, Texas, Individual Development Corporation,
Environmental Facilities Revenue Bonds (Citgo Petroleum Corporation
Project), AMT, 8.25% due 11/01/2031 4,113
B- B1 11,500 Red River Authority, Texas, PCR, Refunding (Celanese Project),
AMT, Series B, 6.70% due 11/01/2030 11,186
San Antonio, Texas, Water Revenue Refunding Bonds:
AA- Aa3 1,000 5.875% due 5/15/2016 1,117
AA- Aa3 1,000 5.875% due 5/15/2017 1,114
AAA Aaa 6,500 Texas State Turnpike Authority, Central Texas Turnpike System
Revenue Bonds, First Tier, Series A, 5.50% due 8/15/2039 (c) 6,783
AAA Aaa 7,020 Tyler, Texas, Waterworks and Sewer Revenue Bonds, 5.70% due
9/01/2030 (h) 7,495
Utah - 0.3% AAA Aaa 1,545 Utah State Board of Regents, Revenue Refunding Bonds (University
of Utah Research Facilities), Series A, 5.50% due 4/01/2018 (e) 1,695
Virginia - 2.5% AAA Aaa 5,000 Fairfax County, Virginia, EDA, Resource Recovery Revenue Refunding
Bonds, AMT, Series A, 6.10% due 2/01/2011(c) 5,613
Pocahontas Parkway Association, Virginia, Toll Road Revenue Bonds:
NR* B1 6,200 First Tier, Sub-Series C, 6.25%** due 8/15/2031 504
BB Ba2 6,500 Senior Series A, 5.50% ** due 8/15/2028 5,452
BB Ba2 24,800 Senior Series B, 6.67%** due 8/15/2029 3,606
Washington - Vancouver, Washington, Housing Authority, Housint Revenue Bonds
0.3% (Teal Pointe Apartments Project), AMT:
NR* NR* 945 6% due 9/01/2022 896
NR* NR* 1,250 6.20% due 9/01/2032 1,173
West Virginia B- B2 1,000 Princeton, West Virginia, Hospital Revenue Refunding Bonds
0.6% (Community Hospital Association Inc. Project), 6% due 5/01/2019 771
BBB Baa2 3,000 Upshur County, West Virginia, Solid Waste Disposal Revenue Bonds
(TJ International Project), AMT, 7% due 7/15/2025 3,157
Wisconsin - NR* Baa3 700 Milwaukee, Wisconsin, Revenue Bonds (Air Cargo), AMT, 6.50% due
0.3% 1/01/2025 703
AAA Aaa 1,140 Wisconsin State, GO, AMT, Series B, 6.20% due 11/01/2026(e) 1,186
Wyoming - 0.9% BB+ Ba3 2,550 Sweetwater County, Wyoming, Solid Waste Disposal Revenue Bonds
(FMC Corporation Project), AMT, Series A, 7% due 6/01/2024 2,591
AA NR* 2,500 Wyoming Student Loan Corporation, Student Loan Revenue Refunding
Bonds, Series A, 6.20% due 6/01/2024 2,665
Puerto Rico - AAA Aaa 15,000 Puerto Rico Commonwealth, Highway and Transportation Authority,
7.2% Transportation Revenue Bonds, Trust Receipts, Class R, Series B,
10.418% due 7/01/2035(e)(k) 18,600
A Baa1 16,360 Puerto Rico Commonwealth, Highway and Transportation Authority,
Transportation Revenue Refunding Bonds, Series D, 5.75% due 7/01/2041 17,268
AAA Aaa 2,500 Puerto Rico Electric Power Authority, Power Revenue Bonds, Trust
Receipts, Class R, Series 16 HH, 10.07% due 7/01/2013(i)(k) 3,212
AAA NR* 4,350 Puerto Rico Public Finance Corporation Revenue Bonds, DRIVERS,
Series 272, 9.985% due 8/01/2030(k) 5,088
Virgin Islands BBB- Baa3 6,250 Virgin Islands Public Finance Authority, Refinery Facilities Revenue
1.1% Bonds (Hovensa Refinery), AMT, 6.125% due 7/01/2022 6,490
Total Municipal Bonds (Cost - $850,093) - 144.5% 885,204
Shares
Held Short-Term Securities
7,713 Merrill Lynch Institutional Tax-Exempt Fund ++ 7,713
Total Short-Term Securities (Cost - $7,713) - 1.3% 7,713
Total Investments (Cost - $857,806***) - 145.8% 892,917
Other Assets Less Liabilities - 2.0% 12,458
Preferred Stock, at Redemption Value - (47.8%) (293,000)
----------
Net Assets Applicable to Common Stock - 100.0% $ 612,375
==========
(a) Radian Insured.
(b) Prerefunded.
(c) AMBAC Insured.
(d) FHA Insured.
(e) MBIA Insured.
(f) FNMA Collateralized.
(g) GNMA Collateralized.
(h) FGIC Insured.
(i) FSA Insured.
(j) XL Capital Insured.
(k) The interest rate is subject to change periodically and
inversely based upon prevailing market rates. The interest rate
shown is the rate in effect at July 31, 2004.
(l) FHLMC Collateralized.
(m) The interest rate is subject to change periodically based upon
prevailing market rates. The interest rate shown is the rate in
effect at July 31, 2004.
* Not Rated.
** Represents a zero coupon; the interest rate shown reflects the
effective yield at the time of purchase by the Fund.
*** The cost and unrealized appreciation/depreciation of investments
as of July 31, 2004, as computed for federal income tax purposes,
were as follows:
(in Thousands)
Aggregate cost $ 857,933
=========
Gross unrealized appreciation $ 44,048
Gross unrealized depreciation (9,064)
---------
Net unrealized appreciation $ 34,984
=========
+ Highest short-term rating by Moody's Investors Service, Inc.
++ Investments in companies considered to be an affiliate of the
Fund (such companies are defined as "Affiliated Companies" in
Section 2(a)(3) of the Investment Company Act of 1940) were as
follows:
(in Thousands)
Net Dividend
Affiliate Activity Income
Merrill Lynch Institutional Tax-Exempt Fund (8,900) $ 100
Item 2 - Controls and Procedures
2(a) - The registrant's certifying officers have reasonably designed
such disclosure controls and procedures to ensure material
information relating to the registrant is made known to us by others
particularly during the period in which this report is being
prepared. The registrant's certifying officers have determined that
the registrant's disclosure controls and procedures are effective
based on our evaluation of these controls and procedures as of a
date within 90 days prior to the filing date of this report.
2(b) - There were no changes in the registrant's internal control
over financial reporting (as defined in Rule 30a-3(d) under the Act
(17 CFR 270.30a-3(d)) that occurred during the last fiscal quarter
of the period covered by this report that has materially affected,
or is 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.
MuniYield Fund, Inc.
By: _/s/ Terry K. Glenn________
Terry K. Glenn,
President of
MuniYield Fund, Inc.
Date: September 17, 2004
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/ Terry K. Glenn________
Terry K. Glenn,
President of
MuniYield Fund, Inc.
Date: September 17, 2004
By: _/s/ Donald C. Burke________
Donald C. Burke,
Chief Financial Officer of
MuniYield Fund, Inc.
Date: September 17, 2004