The Fund intends to redeem all of its outstanding Series W-7 Variable Rate Demand Preferred Shares, par value $0.10 per share (“VRDP Shares”), on June 10, 2020, at a redemption price equal to the liquidation preference of $100,000 per share, together with accumulated and unpaid dividends through the day prior to the redemption date.

It is currently expected that the merger of MNE into BlackRock New York Municipal Opportunities Fund (“NYMO”), an open-end mutual fund and a series of BlackRock Multi-State Municipal Series Trust (the “Merger”) will be effective with the open for business of the New York Stock Exchange on June 22, 2020, subject to the satisfaction of customary closing conditions and the prior redemption of all of the VRDP Shares. Common shareholders of MNE who become shareholders of NYMO will receive Investor A Shares of NYMO in the Merger. The aggregate net asset value of NYMO Investor A Shares received by MNE common shareholders will be equal to the aggregate net asset value of the common shares of MNE held by its common shareholders, in each case as of the close of business on the business day immediately prior to the closing date of the Merger. As of 2020-05-20, the Fund’s leverage was 39.7% and New York (NY) Municipal Bond Group leverage was 35.2%.