2016 SEMI-ANNUAL REPORT (UNAUDITED)

FEBRUARY 29, 2016 2016 SEMI-ANNUAL REPORT (UNAUDITED) ishares, Inc. ishares MSCI Austria Capped ETF EWO NYSE Arca ishares MSCI Belgium Capped ETF EWK NYSE Arca ishares MSCI France ETF EWQ NYSE Arca ishares MSCI Netherlands ETF EWN NYSE Arca ishares MSCI Sweden ETF EWD NYSE Arca

Table of Contents Fund Performance Overviews... 5 About Fund Performance... 10 Shareholder Expenses... 10 Schedules of Investments... 11 ishares MSCI Austria Capped ETF... 11 ishares MSCI Belgium Capped ETF... 13 ishares MSCI France ETF... 15 ishares MSCI Netherlands ETF... 18 ishares MSCI Sweden ETF... 20 Financial Statements... 22 Financial Highlights... 29 Notes to Financial Statements... 34 Supplemental Information... 45

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Fund Performance Overview ishares MSCI AUSTRIA CAPPED ETF Performance as of February 29, 2016 The ishares MSCI Austria Capped ETF (the Fund ) seeks to track the investment results of a broad-based index composed of Austrian equities, as represented by the MSCI Austria Investable Market Index 25/50 (the Index ). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 29, 2016, the total return for the Fund was -8.65%, net of fees, while the total return for the Index was -8.57%. Average Annual Total Returns Cumulative Total Returns NAV MARKET INDEX NAV MARKET INDEX 1 Year (11.95)% (11.94)% (11.90)% (11.95)% (11.94)% (11.90)% 5 Years (6.68)% (6.76)% (6.56)% (29.22)% (29.52)% (28.77)% 10 Years (4.66)% (4.73)% (5.16)% (37.97)% (38.43)% (41.10)% Index performance through January 31, 2008 reflects the performance of the MSCI Austria Index. Index performance beginning on February 1, 2008 through February 11, 2013 reflects the performance of the MSCI Austria Investable Market Index. Index performance beginning on February 12, 2013 reflects the performance of the MSCI Austria Investable Market Index 25/50. Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See About Fund Performance on page 10 for more information. Beginning Account Value (9/1/15) Actual Ending Account Value (2/29/16) Expenses Paid During Period a Shareholder Expenses Beginning Account Value (9/1/15) Hypothetical 5% Return Ending Account Value (2/29/16) Expenses Paid During Period a Annualized Expense Ratio $ 1,000.00 $ 913.50 $ 2.28 $ 1,000.00 $ 1,022.50 $ 2.41 0.48% a Expenses are calculated using the Fund s annualized expense ratio (as disclosed in the table), multiplied by the average account value for the period, multiplied by the number of days in the period (182 days) and divided by the number of days in the year (366 days). See Shareholder Expenses on page 10 for more information. ALLOCATION BY SECTOR As of 2/29/16 Percentage of Sector Total Investments* Financials 43.48% Industrials 26.81 Materials 11.45 Energy 11.44 Information Technology 2.79 Consumer Discretionary 2.36 Utilities 1.67 TOTAL 100.00% TEN LARGEST FUND HOLDINGS As of 2/29/16 Percentage of Security Total Investments* Erste Group Bank AG 18.79% OMV AG 9.01 Andritz AG 8.82 Voestalpine AG 7.68 Wienerberger AG 5.04 IMMOFINANZ AG 4.63 Raiffeisen Bank International AG 4.41 CA Immobilien Anlagen AG 4.19 Oesterreichische Post AG 4.06 BUWOG AG 3.82 TOTAL 70.45% * Excludes money market funds. F UND P ERFORMANCE O VERVIEWS 5

Fund Performance Overview ishares MSCI BELGIUM CAPPED ETF Performance as of February 29, 2016 The ishares MSCI Belgium Capped ETF (the Fund ) seeks to track the investment results of a broad-based index composed of Belgian equities, as represented by the MSCI Belgium Investable Market Index 25/50 (the Index ). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 29, 2016, the total return for the Fund was -2.49%, net of fees, while the total return for the Index was -2.36%. Average Annual Total Returns Cumulative Total Returns NAV MARKET INDEX NAV MARKET INDEX 1 Year (3.31)% (3.57)% (3.16)% (3.31)% (3.57)% (3.16)% 5 Years 7.27% 7.17% 8.93% 42.02% 41.38% 53.40% 10 Years 1.05% 0.97% 1.33% 11.06% 10.18% 14.13% Index performance through November 30, 2007 reflects the performance of the MSCI Belgium Index. Index performance beginning on December 1, 2007 through November 8, 2012 reflects the performance of the MSCI Belgium Investable Market Index. Index performance beginning on November 9, 2012 reflects the performance of the MSCI Belgium Investable Market Index 25/50. Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See About Fund Performance on page 10 for more information. Beginning Account Value (9/1/15) Actual Ending Account Value (2/29/16) Expenses Paid During Period a Shareholder Expenses Beginning Account Value (9/1/15) Hypothetical 5% Return Ending Account Value (2/29/16) Expenses Paid During Period a Annualized Expense Ratio $ 1,000.00 $ 975.10 $ 2.36 $ 1,000.00 $ 1,022.50 $ 2.41 0.48% a Expenses are calculated using the Fund s annualized expense ratio (as disclosed in the table), multiplied by the average account value for the period, multiplied by the number of days in the period (182 days) and divided by the number of days in the year (366 days). See Shareholder Expenses on page 10 for more information. ALLOCATION BY SECTOR As of 2/29/16 Percentage of Sector Total Investments* Consumer Staples 32.32% Financials 26.29 Materials 11.37 Health Care 10.42 Consumer Discretionary 4.51 Information Technology 4.43 Telecommunication Services 4.16 Industrials 3.03 Energy 1.99 Utilities 1.48 TOTAL 100.00% TEN LARGEST FUND HOLDINGS As of 2/29/16 Percentage of Security Total Investments* Anheuser-Busch InBev SA/NV 21.96% KBC Groep NV 7.10 Delhaize Group 5.70 UCB SA 5.07 Solvay SA 4.26 Ageas 4.06 Groupe Bruxelles Lambert SA 3.81 Proximus SADP 3.20 Umicore SA 3.08 Colruyt SA 2.71 TOTAL 60.95% * Excludes money market funds. 6 2016 ishares S EMI-ANNUAL R EPORT TO S HAREHOLDERS

Fund Performance Overview ishares MSCI FRANCE ETF Performance as of February 29, 2016 The ishares MSCI France ETF (the Fund ) seeks to track the investment results of an index composed of French equities, as represented by the MSCI France Index (the Index ). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 29, 2016, the total return for the Fund was -8.10%, net of fees, while the total return for the Index was -7.97%. Average Annual Total Returns Cumulative Total Returns NAV MARKET INDEX NAV MARKET INDEX 1 Year (12.14)% (12.47)% (12.11)% (12.14)% (12.47)% (12.11)% 5 Years (0.42)% (0.58)% (0.45)% (2.11)% (2.88)% (2.22)% 10 Years 0.92% 0.83% 1.01% 9.57% 8.66% 10.53% Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See About Fund Performance on page 10 for more information. Beginning Account Value (9/1/15) Actual Ending Account Value (2/29/16) Expenses Paid During Period a Shareholder Expenses Beginning Account Value (9/1/15) Hypothetical 5% Return Ending Account Value (2/29/16) Expenses Paid During Period a Annualized Expense Ratio $ 1,000.00 $ 919.00 $ 2.29 $ 1,000.00 $ 1,022.50 $ 2.41 0.48% a Expenses are calculated using the Fund s annualized expense ratio (as disclosed in the table), multiplied by the average account value for the period, multiplied by the number of days in the period (182 days) and divided by the number of days in the year (366 days). See Shareholder Expenses on page 10 for more information. ALLOCATION BY SECTOR As of 2/29/16 Percentage of Sector Total Investments* Consumer Discretionary 18.67% Industrials 18.51 Financials 16.99 Consumer Staples 11.18 Health Care 10.51 Energy 9.27 Materials 4.11 Telecommunication Services 3.66 Utilities 3.62 Information Technology 3.48 TOTAL 100.00% TEN LARGEST FUND HOLDINGS As of 2/29/16 Percentage of Security Total Investments* Total SA 8.80% Sanofi 8.33 BNP Paribas SA 4.41 LVMH Moet Hennessy Louis Vuitton SE 4.16 AXA SA 3.88 L Oreal SA 3.81 Danone SA 3.67 Airbus Group SE 3.42 Air Liquide SA 3.21 Orange SA 3.08 TOTAL 46.77% * Excludes money market funds. F UND P ERFORMANCE O VERVIEWS 7

Fund Performance Overview ishares MSCI NETHERLANDS ETF Performance as of February 29, 2016 The ishares MSCI Netherlands ETF (the Fund ) seeks to track the investment results of a broad-based index composed of Dutch equities, as represented by the MSCI Netherlands Investable Market Index (the Index ). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 29, 2016, the total return for the Fund was -5.96%, net of fees, while the total return for the Index was -5.77%. Average Annual Total Returns Cumulative Total Returns NAV MARKET INDEX NAV MARKET INDEX 1 Year (9.33)% (9.65)% (8.97)% (9.33)% (9.65)% (8.97)% 5 Years 2.62% 2.47% 2.87% 13.83% 12.99% 15.18% 10 Years 3.16% 3.09% 3.54% 36.48% 35.62% 41.58% Index performance through January 31, 2008 reflects the performance of the MSCI Netherlands Index. Index performance beginning on February 1, 2008 reflects the performance of the MSCI Netherlands Investable Market Index. Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See About Fund Performance on page 10 for more information. Beginning Account Value (9/1/15) Actual Ending Account Value (2/29/16) Expenses Paid During Period a Shareholder Expenses Beginning Account Value (9/1/15) Hypothetical 5% Return Ending Account Value (2/29/16) Expenses Paid During Period a Annualized Expense Ratio $ 1,000.00 $ 940.40 $ 2.32 $ 1,000.00 $ 1,022.50 $ 2.41 0.48% a Expenses are calculated using the Fund s annualized expense ratio (as disclosed in the table), multiplied by the average account value for the period, multiplied by the number of days in the period (182 days) and divided by the number of days in the year (366 days). See Shareholder Expenses on page 10 for more information. ALLOCATION BY SECTOR As of 2/29/16 Percentage of Sector Total Investments* Consumer Staples 31.07% Financials 19.08 Industrials 14.36 Information Technology 13.55 Consumer Discretionary 9.77 Materials 7.13 Telecommunication Services 3.20 Energy 1.84 TOTAL 100.00% TEN LARGEST FUND HOLDINGS As of 2/29/16 Percentage of Security Total Investments* Unilever NV CVA 18.91% ING Groep NV CVA 12.32 ASML Holding NV 8.58 Koninklijke Philips NV 6.53 Koninklijke Ahold NV 4.83 Heineken NV 4.76 RELX NV 4.44 Akzo Nobel NV 3.94 Koninklijke KPN NV 3.20 Wolters Kluwer NV 3.09 TOTAL 70.60% * Excludes money market funds. 8 2016 ishares S EMI-ANNUAL R EPORT TO S HAREHOLDERS

Fund Performance Overview ishares MSCI SWEDEN ETF Performance as of February 29, 2016 The ishares MSCI Sweden ETF (the Fund ) seeks to track the investment results of an index composed of Swedish equities, as represented by the MSCI Sweden Index (the Index ). The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. For the six-month reporting period ended February 29, 2016, the total return for the Fund was -8.87%, net of fees, while the total return for the Index was -8.66%. Average Annual Total Returns Cumulative Total Returns NAV MARKET INDEX NAV MARKET INDEX 1 Year (17.74)% (18.01)% (18.82)% (17.74)% (18.01)% (18.82)% 5 Years 0.58% 0.57% 0.24% 2.96% 2.86% 1.23% 10 Years 4.85% 4.80% 4.67% 60.56% 59.83% 57.80% Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. See About Fund Performance on page 10 for more information. Beginning Account Value (9/1/15) Actual Ending Account Value (2/29/16) Expenses Paid During Period a Shareholder Expenses Beginning Account Value (9/1/15) Hypothetical 5% Return Ending Account Value (2/29/16) Expenses Paid During Period a Annualized Expense Ratio $ 1,000.00 $ 911.30 $ 2.28 $ 1,000.00 $ 1,022.50 $ 2.41 0.48% a Expenses are calculated using the Fund s annualized expense ratio (as disclosed in the table), multiplied by the average account value for the period, multiplied by the number of days in the period (182 days) and divided by the number of days in the year (366 days). See Shareholder Expenses on page 10 for more information. ALLOCATION BY SECTOR As of 2/29/16 Percentage of Sector Total Investments* Financials 32.01% Industrials 28.06 Consumer Discretionary 11.95 Information Technology 11.16 Consumer Staples 7.68 Telecommunication Services 5.48 Health Care 1.38 Materials 1.25 Energy 1.03 TOTAL 100.00% TEN LARGEST FUND HOLDINGS As of 2/29/16 Percentage of Security Total Investments* Hennes & Mauritz AB Class B 9.40% Nordea Bank AB 9.26 Telefonaktiebolaget LM Ericsson Class B 8.49 Svenska Handelsbanken AB Class A 5.90 Assa Abloy AB 5.89 Swedbank AB Class A 4.95 Svenska Cellulosa AB SCA Class B 4.90 Volvo AB Class B 4.70 Investor AB Class B 4.67 Atlas Copco AB Class A 4.59 TOTAL 62.75% * Excludes money market funds. F UND P ERFORMANCE O VERVIEWS 9

About Fund Performance Past performance is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Performance data current to the most recent month-end is available at www.ishares.com. Performance results assume reinvestment of all dividends and capital gain distributions and do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. The investment return and principal value of shares will vary with changes in market conditions. Shares may be worth more or less than their original cost when they are redeemed or sold in the market. Performance for certain funds may reflect a waiver of a portion of investment advisory fees. Without such a waiver, performance would have been lower. Net asset value or NAV is the value of one share of a fund as calculated in accordance with the standard formula for valuing mutual fund shares. The price used to calculate market return ( Market Price ) is determined by using the midpoint between the highest bid and the lowest offer on the primary stock exchange on which shares of a fund are listed for trading, as of the time that such fund s NAV is calculated. Certain funds may have a NAV which is determined prior to the opening of regular trading on its listed exchange and their market returns are calculated using the midpoint of the bid/ask spread as of the opening of regular trading on the exchange. Market and NAV returns assume that dividends and capital gain distributions have been reinvested at Market Price and NAV, respectively. An index is a statistical composite that tracks a specified financial market or sector. Unlike a fund, an index does not actually hold a portfolio of securities and therefore does not incur the expenses incurred by a fund. These expenses negatively impact fund performance. Also, market returns do not include brokerage commissions that may be payable on secondary market transactions. If brokerage commissions were included, market returns would be lower. Shareholder Expenses As a shareholder of a Fund, you incur two types of costs: (1) transaction costs, including brokerage commissions on purchases and sales of fund shares and (2) ongoing costs, including management fees and other fund expenses. The expense example, which is based on an investment of $1,000 invested on September 1, 2015 and held through February 29, 2016, is intended to help you understand your ongoing costs (in dollars and cents) of investing in a Fund and to compare these costs with the ongoing costs of investing in other funds. Actual Expenses The table provides information about actual account values and actual expenses. Annualized expense ratios reflect contractual and voluntary fee waivers, if any. To estimate the expenses that you paid on your account over the period, simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number corresponding to your Fund under the heading entitled Expenses Paid During Period. Hypothetical Example for Comparison Purposes The table also provides information about hypothetical account values and hypothetical expenses based on each Fund s actual expense ratio and an assumed rate of return of 5% per year before expenses. You may use this information to compare the ongoing costs of investing in your Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds. Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as brokerage commissions paid on purchases and sales of fund shares. Therefore, the hypothetical examples are useful in comparing ongoing costs only and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher. 10 2016 ishares S EMI-ANNUAL R EPORT TO S HAREHOLDERS

Schedule of Investments (Unaudited) ishares MSCI AUSTRIA CAPPED ETF February 29, 2016 Security Shares Value COMMON STOCKS 98.34% AEROSPACE & DEFENSE 0.81% FACC AG a,b 81,107 $ 460,463 460,463 AIR FREIGHT & LOGISTICS 3.99% Oesterreichische Post AG 63,054 2,267,040 2,267,040 BANKS 22.82% Erste Group Bank AG a 406,894 10,489,078 Raiffeisen Bank International AG a 184,731 2,462,829 12,951,907 BUILDING PRODUCTS 4.95% Wienerberger AG 159,062 2,811,061 2,811,061 CHEMICALS 1.98% Lenzing AG 17,382 1,121,853 1,121,853 CONSTRUCTION & ENGINEERING 1.19% Porr AG 24,692 677,569 677,569 CONSTRUCTION MATERIALS 1.73% RHI AG 58,884 984,019 984,019 ELECTRIC UTILITIES 1.64% EVN AG 86,377 932,992 932,992 ELECTRICAL EQUIPMENT 1.84% Zumtobel Group AG 61,926 1,045,284 1,045,284 ELECTRONIC EQUIPMENT, INSTRUMENTS & COMPONENTS 2.74% Austria Technologie & Systemtechnik AG 65,789 937,858 Kapsch TrafficCom AG 17,089 618,316 1,556,174 ENERGY EQUIPMENT & SERVICES 2.39% Schoeller-Bleckmann Oilfield Equipment AG 23,900 1,355,559 1,355,559 HOTELS, RESTAURANTS & LEISURE 2.33% DO & CO AG 12,354 1,319,907 1,319,907 Security Shares Value INSURANCE 2.55% UNIQA Insurance Group AG 238,940 $ 1,450,239 1,450,239 MACHINERY 11.74% Andritz AG 102,659 4,923,002 Palfinger AG 35,860 884,865 Semperit AG Holding 26,580 857,751 6,665,618 METALS & MINING 7.56% Voestalpine AG 147,843 4,289,057 4,289,057 OIL, GAS & CONSUMABLE FUELS 8.86% OMV AG 191,411 5,028,900 5,028,900 REAL ESTATE MANAGEMENT & DEVELOPMENT 17.39% BUWOG AG 103,317 2,134,607 CA Immobilien Anlagen AG 137,754 2,340,194 Conwert Immobilien Invest SE a 127,739 1,782,820 IMMOEAST AG Escrow a 998,769 11 IMMOFINANZ AG a 1,267,702 2,581,289 IMMOFINANZ AG Escrow a 897,599 10 S IMMO AG 122,971 1,030,165 9,869,096 TRANSPORTATION INFRASTRUCTURE 1.83% Flughafen Wien AG 11,900 1,038,015 1,038,015 TOTAL COMMON STOCKS (Cost: $83,486,968) 55,824,753 SHORT-TERM INVESTMENTS 0.12% MONEY MARKET FUNDS 0.12% BlackRock Cash Funds: Institutional, SL Agency Shares 0.50% c,d,e 28,551 28,551 BlackRock Cash Funds: Prime, SL Agency Shares 0.49% c,d,e 1,449 1,449 BlackRock Cash Funds: Treasury, SL Agency Shares 0.27% c,d 37,606 37,606 67,606 TOTAL SHORT-TERM INVESTMENTS (Cost: $67,606) 67,606 S CHEDULES OF I NVESTMENTS 11

Schedule of Investments (Unaudited) (Continued) ishares MSCI AUSTRIA CAPPED ETF February 29, 2016 Value TOTAL INVESTMENTS IN SECURITIES 98.46% (Cost: $83,554,574) $55,892,359 Other Assets, Less Liabilities 1.54% 876,741 NET ASSETS 100.00% $56,769,100 a Non-income earning security. b All or a portion of this security represents a security on loan. See Note 1. c Affiliated issuer. See Note 2. d The rate quoted is the annualized seven-day yield of the fund at period end. e All or a portion of this security represents an investment of securities lending collateral. See Note 1. See notes to financial statements. 12 2016 ishares S EMI-ANNUAL R EPORT TO S HAREHOLDERS

Schedule of Investments (Unaudited) ishares MSCI BELGIUM CAPPED ETF February 29, 2016 Security Shares Value COMMON STOCKS 99.82% AIR FREIGHT & LOGISTICS 1.98% bpost SA 147,135 $ 3,657,016 3,657,016 BANKS 7.08% KBC Groep NV 246,388 13,091,163 13,091,163 BEVERAGES 21.92% Anheuser-Busch InBev SA/NV 359,862 40,508,444 40,508,444 BIOTECHNOLOGY 2.52% Ablynx NV a 168,060 2,143,790 Galapagos NV a,b 59,911 2,516,298 4,660,088 CAPITAL MARKETS 1.22% Gimv NV 46,554 2,246,908 2,246,908 CHEMICALS 8.70% Solvay SA 84,708 7,868,457 Tessenderlo Chemie NV a 74,550 2,517,147 Umicore SA 125,539 5,690,111 16,075,715 COMMUNICATIONS EQUIPMENT 0.95% EVS Broadcast Equipment SA 52,981 1,750,022 1,750,022 CONSTRUCTION & ENGINEERING 1.04% Cie. d Entreprises CFE 20,086 1,925,571 1,925,571 DISTRIBUTORS 1.27% D ieteren SA/NV 63,630 2,350,665 2,350,665 DIVERSIFIED FINANCIAL SERVICES 7.35% Ackermans & van Haaren NV 33,188 4,381,342 Groupe Bruxelles Lambert SA 91,866 7,029,115 KBC Ancora 68,180 2,176,129 13,586,586 DIVERSIFIED TELECOMMUNICATION SERVICES 3.19% Proximus SADP 186,830 5,902,230 5,902,230 ELECTRIC UTILITIES 1.48% Elia System Operator SA/NV 56,722 2,727,185 2,727,185 Security Shares Value ELECTRONIC EQUIPMENT, INSTRUMENTS & COMPONENTS 1.12% Barco NV 30,828 $ 2,072,408 2,072,408 FOOD & STAPLES RETAILING 8.39% Colruyt SA 92,863 4,990,530 Delhaize Group 103,623 10,522,810 15,513,340 HEALTH CARE EQUIPMENT & SUPPLIES 1.31% Ion Beam Applications 59,685 2,414,394 2,414,394 HEALTH CARE PROVIDERS & SERVICES 0.33% Fagron b 100,025 600,252 600,252 HEALTH CARE TECHNOLOGY 1.19% AGFA-Gevaert NV a 597,174 2,200,283 2,200,283 INSURANCE 4.05% Ageas 202,707 7,489,647 7,489,647 IT SERVICES 0.96% Econocom Group SA/NV 212,629 1,774,327 1,774,327 MEDIA 3.23% Kinepolis Group NV 47,471 2,091,038 Telenet Group Holding NV a,b 73,812 3,881,301 5,972,339 METALS & MINING 2.65% Bekaert SA 80,502 2,881,244 Nyrstar NV a,b 2,744,646 2,012,982 4,894,226 OIL, GAS & CONSUMABLE FUELS 1.99% Euronav NV 227,530 2,284,833 Exmar NV b 147,298 1,389,205 3,674,038 PERSONAL PRODUCTS 1.95% Ontex Group NV 102,342 3,606,763 3,606,763 PHARMACEUTICALS 5.06% UCB SA 125,772 9,355,579 9,355,579 S CHEDULES OF I NVESTMENTS 13

Schedule of Investments (Unaudited) (Continued) ishares MSCI BELGIUM CAPPED ETF February 29, 2016 Security Shares Value REAL ESTATE INVESTMENT TRUSTS (REITS) 6.54% Aedifica SA 33,505 $ 2,181,016 Befimmo SA 40,193 2,246,910 Cofinimmo SA 31,536 3,460,810 Intervest Offices & Warehouses NV a 66,302 1,702,676 Warehouses De Pauw CVA 29,574 2,502,889 12,094,301 SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT 1.39% Melexis NV 50,374 2,571,671 2,571,671 WIRELESS TELECOMMUNICATION SERVICES 0.96% Mobistar SA a 84,853 1,768,339 1,768,339 TOTAL COMMON STOCKS (Cost: $206,024,604) 184,483,500 SHORT-TERM INVESTMENTS 2.94% MONEY MARKET FUNDS 2.94% BlackRock Cash Funds: Institutional, SL Agency Shares 0.50% c,d,e 5,144,926 5,144,926 BlackRock Cash Funds: Prime, SL Agency Shares 0.49% c,d,e 261,099 261,099 BlackRock Cash Funds: Treasury, SL Agency Shares 0.27% c,d 18,486 18,486 5,424,511 TOTAL SHORT-TERM INVESTMENTS (Cost: $5,424,511) 5,424,511 TOTAL INVESTMENTS IN SECURITIES 102.76% (Cost: $211,449,115) 189,908,011 Other Assets, Less Liabilities (2.76)% (5,099,678) NET ASSETS 100.00% $184,808,333 a Non-income earning security. b All or a portion of this security represents a security on loan. See Note 1. c Affiliated issuer. See Note 2. d The rate quoted is the annualized seven-day yield of the fund at period end. e All or a portion of this security represents an investment of securities lending collateral. See Note 1. See notes to financial statements. 14 2016 ishares S EMI-ANNUAL R EPORT TO S HAREHOLDERS

Schedule of Investments (Unaudited) ishares MSCI FRANCE ETF February 29, 2016 Security Shares Value COMMON STOCKS 99.91% AEROSPACE & DEFENSE 6.21% Airbus Group SE 190,519 $ 12,374,966 Safran SA 100,840 6,279,327 Thales SA 33,993 2,711,406 Zodiac Aerospace 65,320 1,092,991 22,458,690 AIR FREIGHT & LOGISTICS 0.30% Bollore SA 279,658 1,080,231 1,080,231 AUTO COMPONENTS 2.49% Cie. Generale des Etablissements Michelin Class B 60,140 5,449,784 Valeo SA 25,602 3,555,122 9,004,906 AUTOMOBILES 2.16% Peugeot SA a 143,323 2,161,500 Renault SA 61,965 5,664,985 7,826,485 BANKS 8.11% BNP Paribas SA 341,511 15,955,961 Credit Agricole SA 340,572 3,547,286 Natixis SA 302,171 1,620,607 Societe Generale SA 233,933 8,241,785 29,365,639 BEVERAGES 2.17% Pernod Ricard SA 68,459 7,297,828 Remy Cointreau SA 7,869 544,639 7,842,467 BUILDING PRODUCTS 1.65% Cie. de Saint-Gobain 153,710 5,974,078 5,974,078 CHEMICALS 3.57% Air Liquide SA 110,933 11,592,987 Arkema SA 21,608 1,324,169 12,917,156 COMMERCIAL SERVICES & SUPPLIES 0.68% Edenred 66,919 1,176,462 Societe BIC SA 9,293 1,290,436 2,466,898 CONSTRUCTION & ENGINEERING 3.67% Bouygues SA 65,397 2,562,675 Security Shares Value Vinci SA 154,709 $ 10,728,085 13,290,760 CONSTRUCTION MATERIALS 0.19% Imerys SA 11,630 705,121 705,121 DIVERSIFIED FINANCIAL SERVICES 0.45% Eurazeo SA 12,911 756,695 Wendel SA 9,278 882,693 1,639,388 DIVERSIFIED TELECOMMUNICATION SERVICES 3.66% Iliad SA 8,509 2,090,860 Orange SA 640,511 11,145,597 13,236,457 ELECTRIC UTILITIES 0.23% Electricite de France SA 77,971 823,896 823,896 ELECTRICAL EQUIPMENT 4.15% Legrand SA 86,044 4,292,645 Schneider Electric SE 179,973 10,710,258 15,002,903 ELECTRONIC EQUIPMENT, INSTRUMENTS & COMPONENTS 0.50% Ingenico Group SA 17,712 1,794,402 1,794,402 ENERGY EQUIPMENT & SERVICES 0.47% Technip SA 33,999 1,690,264 1,690,264 FOOD & STAPLES RETAILING 1.53% Carrefour SA 178,515 4,731,789 Casino Guichard Perrachon SA b 18,188 821,118 5,552,907 FOOD PRODUCTS 3.66% Danone SA 190,044 13,263,004 13,263,004 HEALTH CARE EQUIPMENT & SUPPLIES 2.18% Essilor International SA 66,207 7,887,918 7,887,918 HOTELS, RESTAURANTS & LEISURE 1.66% Accor SA 68,282 2,904,610 Sodexo SA 30,370 3,090,972 5,995,582 S CHEDULES OF I NVESTMENTS 15

Schedule of Investments (Unaudited) (Continued) ishares MSCI FRANCE ETF February 29, 2016 Security Shares Value INSURANCE 4.58% AXA SA 635,564 $ 14,015,163 CNP Assurances 55,186 817,887 SCOR SE 49,578 1,737,544 16,570,594 IT SERVICES 1.79% Atos SE 28,302 2,068,042 Cap Gemini SA 52,716 4,393,267 6,461,309 MACHINERY 0.30% Alstom SA a,b 49,353 1,081,606 1,081,606 MEDIA 5.35% Eutelsat Communications SA 54,938 1,668,118 JCDecaux SA 23,970 942,815 Lagardere SCA 38,049 1,099,494 Numericable-SFR SA 35,282 1,291,337 Publicis Groupe SA 60,961 3,786,118 SES SA 105,324 2,770,588 Vivendi SA 374,814 7,790,774 19,349,244 METALS & MINING 0.35% ArcelorMittal b 321,871 1,250,281 1,250,281 MULTI-UTILITIES 3.39% Engie SA 471,089 7,311,947 Suez Environnement Co. 96,052 1,664,105 Veolia Environnement SA 144,934 3,289,717 12,265,769 OIL, GAS & CONSUMABLE FUELS 8.79% Total SA 707,595 31,810,653 31,810,653 PERSONAL PRODUCTS 3.80% L Oreal SA 81,205 13,764,397 13,764,397 PHARMACEUTICALS 8.32% Sanofi 378,794 30,123,446 30,123,446 PROFESSIONAL SERVICES 0.47% Bureau Veritas SA 85,624 1,709,514 1,709,514 REAL ESTATE INVESTMENT TRUSTS (REITS) 3.82% Fonciere des Regions 9,682 794,995 Security Shares Value Gecina SA 11,186 $ 1,385,573 ICADE 10,756 750,067 Klepierre 71,002 2,963,226 Unibail-Rodamco SE 31,801 7,938,640 13,832,501 SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT 0.33% STMicroelectronics NV 205,233 1,180,987 1,180,987 SOFTWARE 0.87% Dassault Systemes 41,366 3,141,293 3,141,293 TEXTILES, APPAREL & LUXURY GOODS 7.00% Christian Dior SE 17,563 3,098,138 Hermes International 8,516 2,910,088 Kering 24,416 4,263,244 LVMH Moet Hennessy Louis Vuitton SE 90,102 15,057,074 25,328,544 TRADING COMPANIES & DISTRIBUTORS 0.33% Rexel SA 97,275 1,195,401 1,195,401 TRANSPORTATION INFRASTRUCTURE 0.73% Aeroports de Paris 9,572 1,124,810 Groupe Eurotunnel SE Registered 150,931 1,517,109 2,641,919 TOTAL COMMON STOCKS (Cost: $453,930,961) 361,526,610 SHORT-TERM INVESTMENTS 0.45% MONEY MARKET FUNDS 0.45% BlackRock Cash Funds: Institutional, SL Agency Shares 0.50% c,d,e 1,378,882 1,378,882 BlackRock Cash Funds: Prime, SL Agency Shares 0.49% c,d,e 69,977 69,977 BlackRock Cash Funds: Treasury, SL Agency Shares 0.27% c,d 160,782 160,782 1,609,641 TOTAL SHORT-TERM INVESTMENTS (Cost: $1,609,641) 1,609,641 16 2016 ishares S EMI-ANNUAL R EPORT TO S HAREHOLDERS

Schedule of Investments (Unaudited) (Continued) ishares MSCI FRANCE ETF February 29, 2016 Value TOTAL INVESTMENTS IN SECURITIES 100.36% (Cost: $455,540,602) $363,136,251 Other Assets, Less Liabilities (0.36)% (1,285,063) NET ASSETS 100.00% $361,851,188 a Non-income earning security. b All or a portion of this security represents a security on loan. See Note 1. c Affiliated issuer. See Note 2. d The rate quoted is the annualized seven-day yield of the fund at period end. e All or a portion of this security represents an investment of securities lending collateral. See Note 1. See notes to financial statements. S CHEDULES OF I NVESTMENTS 17

Schedule of Investments (Unaudited) ishares MSCI NETHERLANDS ETF February 29, 2016 Security Shares Value COMMON STOCKS 99.81% AIR FREIGHT & LOGISTICS 1.61% PostNL NV a,b 195,857 $ 762,918 TNT Express NV 220,691 1,886,922 2,649,840 BANKS 12.30% ING Groep NV CVA 1,711,594 20,261,790 20,261,790 BEVERAGES 6.98% Heineken Holding NV 45,640 3,315,598 Heineken NV 97,111 7,825,065 Refresco Gerber NV a,c 21,579 360,258 11,500,921 CAPITAL MARKETS 0.42% BinckBank NV 25,419 173,806 Flow Traders c 12,492 520,057 693,863 CHEMICALS 7.12% Akzo Nobel NV 109,885 6,476,016 Corbion NV 26,675 594,022 Koninklijke DSM NV 80,557 3,986,956 OCI NV a 36,954 673,556 11,730,550 CONSTRUCTION & ENGINEERING 1.40% Arcadis NV 29,461 425,424 Boskalis Westminster 39,004 1,422,690 Koninklijke BAM Groep NV a 102,395 464,166 2,312,280 DIVERSIFIED FINANCIAL SERVICES 0.00% SNS REAAL NV a,b 68,952 1 1 DIVERSIFIED TELECOMMUNICATION SERVICES 3.20% Koninklijke KPN NV 1,422,608 5,269,411 5,269,411 ELECTRICAL EQUIPMENT 0.43% Kendrion NV 4,964 104,043 TKH Group NV 16,213 602,476 706,519 ENERGY EQUIPMENT & SERVICES 0.92% Fugro NV CVA a,b 29,682 508,114 SBM Offshore NV a,b 79,529 1,009,295 1,517,409 Security Shares Value FOOD & STAPLES RETAILING 4.94% Amsterdam Commodities NV 8,549 $ 208,908 Koninklijke Ahold NV 361,163 7,934,767 8,143,675 FOOD PRODUCTS 0.22% Wessanen 34,501 354,253 354,253 HOUSEHOLD DURABLES 0.25% TomTom NV a 45,676 411,427 411,427 INDUSTRIAL CONGLOMERATES 6.52% Koninklijke Philips NV 422,011 10,745,795 10,745,795 INSURANCE 4.83% Aegon NV 806,968 4,057,883 Delta Lloyd NV 100,600 629,171 NN Group NV 106,164 3,276,011 7,963,065 IT SERVICES 0.22% InterXion Holding NV a 11,825 369,176 369,176 LEISURE PRODUCTS 0.13% Accell Group 10,013 210,630 210,630 MACHINERY 0.84% Aalberts Industries NV 44,485 1,384,561 1,384,561 MEDIA 9.37% Altice NV Class A a,b 163,620 2,355,603 Altice NV Class B a 47,846 702,346 RELX NV 442,802 7,298,691 Wolters Kluwer NV 134,335 5,078,738 15,435,378 OIL, GAS & CONSUMABLE FUELS 0.91% Koninklijke Vopak NV 31,226 1,425,171 VTTI Energy Partners LP 4,395 80,165 1,505,336 PERSONAL PRODUCTS 18.87% Unilever NV CVA 721,946 31,098,751 31,098,751 PROFESSIONAL SERVICES 2.22% Brunel International NV b 9,153 159,471 Randstad Holding NV 56,836 2,943,560 18 2016 ishares S EMI-ANNUAL R EPORT TO S HAREHOLDERS

Schedule of Investments (Unaudited) (Continued) ishares MSCI NETHERLANDS ETF February 29, 2016 Security Shares Value USG People NV 29,202 $ 546,857 3,649,888 REAL ESTATE INVESTMENT TRUSTS (REITS) 1.49% Eurocommercial Properties NV 21,663 907,034 NSI NV 58,911 248,358 VastNed Retail NV 8,724 373,475 Wereldhave NV 18,157 921,913 2,450,780 SEMICONDUCTORS & SEMICONDUCTOR EQUIPMENT 11.93% ASM International NV 22,368 946,639 ASML Holding NV 153,436 14,107,502 BE Semiconductor Industries NV 13,265 336,185 NXP Semiconductors NV a 59,908 4,267,846 19,658,172 SOFTWARE 1.37% Gemalto NV 35,515 2,260,148 2,260,148 TRADING COMPANIES & DISTRIBUTORS 1.32% AerCap Holdings NV a 39,063 1,395,721 IMCD Group NV 21,110 771,718 2,167,439 Value TOTAL INVESTMENTS IN SECURITIES 102.24% (Cost: $194,641,733) $168,455,323 Other Assets, Less Liabilities (2.24)% (3,684,468) NET ASSETS 100.00% $164,770,855 a Non-income earning security. b All or a portion of this security represents a security on loan. See Note 1. c This security may be resold to qualified institutional buyers under Rule 144A of the Securities Act of 1933. d Affiliated issuer. See Note 2. e The rate quoted is the annualized seven-day yield of the fund at period end. f All or a portion of this security represents an investment of securities lending collateral. See Note 1. See notes to financial statements. TOTAL COMMON STOCKS (Cost: $190,637,468) 164,451,058 SHORT-TERM INVESTMENTS 2.43% MONEY MARKET FUNDS 2.43% BlackRock Cash Funds: Institutional, SL Agency Shares 0.50% d,e,f 3,732,210 3,732,210 BlackRock Cash Funds: Prime, SL Agency Shares 0.49% d,e,f 189,406 189,406 BlackRock Cash Funds: Treasury, SL Agency Shares 0.27% d,e 82,649 82,649 4,004,265 TOTAL SHORT-TERM INVESTMENTS (Cost: $4,004,265) 4,004,265 S CHEDULES OF I NVESTMENTS 19

Schedule of Investments (Unaudited) ishares MSCI SWEDEN ETF February 29, 2016 Security Shares Value COMMON STOCKS 99.71% BANKS 24.63% Nordea Bank AB 2,852,133 $ 28,441,965 Skandinaviska Enskilda Banken AB Class A 1,438,906 14,089,347 Svenska Handelsbanken AB Class A 1,413,569 18,120,359 Swedbank AB Class A 751,375 15,221,885 75,873,556 BUILDING PRODUCTS 5.87% Assa Abloy AB 940,683 18,082,265 18,082,265 COMMERCIAL SERVICES & SUPPLIES 1.47% Securitas AB Class B 302,018 4,525,576 4,525,576 COMMUNICATIONS EQUIPMENT 8.46% Telefonaktiebolaget LM Ericsson Class B 2,829,328 26,073,340 26,073,340 CONSTRUCTION & ENGINEERING 2.49% Skanska AB Class B 360,292 7,676,587 7,676,587 DIVERSIFIED FINANCIAL SERVICES 7.29% Industrivarden AB Class C 167,145 2,574,635 Investment AB Kinnevik Class B 223,082 5,547,895 Investor AB Class B 431,988 14,339,412 22,461,942 DIVERSIFIED TELECOMMUNICATION SERVICES 3.67% TeliaSonera AB 2,458,311 11,305,672 11,305,672 ELECTRONIC EQUIPMENT, INSTRUMENTS & COMPONENTS 2.67% Hexagon AB Class B 240,870 8,208,577 8,208,577 FOOD & STAPLES RETAILING 0.76% ICA Gruppen AB 78,986 2,348,732 2,348,732 HEALTH CARE EQUIPMENT & SUPPLIES 1.37% Getinge AB Class B 190,429 4,228,110 4,228,110 HOUSEHOLD DURABLES 2.54% Electrolux AB Class B 223,667 5,252,551 Security Shares Value Husqvarna AB Class B 406,794 $ 2,578,902 7,831,453 HOUSEHOLD PRODUCTS 4.89% Svenska Cellulosa AB SCA Class B 504,039 15,064,422 15,064,422 MACHINERY 18.15% Alfa Laval AB 277,559 4,362,662 Atlas Copco AB Class A 624,862 14,099,390 Atlas Copco AB Class B 372,034 7,831,474 Sandvik AB 991,264 9,036,777 SKF AB Class B 371,139 6,127,386 Volvo AB Class B 1,436,343 14,448,886 55,906,575 METALS & MINING 1.24% Boliden AB 254,116 3,828,501 3,828,501 OIL, GAS & CONSUMABLE FUELS 1.03% Lundin Petroleum AB a,b 203,517 3,172,807 3,172,807 SPECIALTY RETAIL 9.37% Hennes & Mauritz AB Class B 888,123 28,859,939 28,859,939 TOBACCO 2.01% Swedish Match AB 191,669 6,174,808 6,174,808 WIRELESS TELECOMMUNICATION SERVICES 1.80% Millicom International Cellular SA SDR 62,057 2,981,140 Tele2 AB Class B 308,528 2,554,034 5,535,174 TOTAL COMMON STOCKS (Cost: $396,889,715) 307,158,036 SHORT-TERM INVESTMENTS 1.09% MONEY MARKET FUNDS 1.09% BlackRock Cash Funds: Institutional, SL Agency Shares 0.50% c,d,e 3,165,707 3,165,707 BlackRock Cash Funds: Prime, SL Agency Shares 0.49% c,d,e 160,656 160,656 20 2016 ishares S EMI-ANNUAL R EPORT TO S HAREHOLDERS

Schedule of Investments (Unaudited) (Continued) ishares MSCI SWEDEN ETF February 29, 2016 Security Shares Value BlackRock Cash Funds: Treasury, SL Agency Shares 0.27% c,d 19,342 $ 19,342 3,345,705 TOTAL SHORT-TERM INVESTMENTS (Cost: $3,345,705) 3,345,705 TOTAL INVESTMENTS IN SECURITIES 100.80% (Cost: $400,235,420) 310,503,741 Other Assets, Less Liabilities (0.80)% (2,465,776) NET ASSETS 100.00% $308,037,965 SDR Swedish Depositary Receipts a Non-income earning security. b All or a portion of this security represents a security on loan. See Note 1. c Affiliated issuer. See Note 2. d The rate quoted is the annualized seven-day yield of the fund at period end. e All or a portion of this security represents an investment of securities lending collateral. See Note 1. See notes to financial statements. S CHEDULES OF I NVESTMENTS 21

Statements of Assets and Liabilities (Unaudited) ishares, INC. February 29, 2016 ishares MSCI Austria Capped ETF ishares MSCI Belgium Capped ETF ishares MSCI France ETF ASSETS Investments, at cost: Unaffiliated $ 83,486,968 $206,024,604 $453,930,961 Affiliated (Note 2) 67,606 5,424,511 1,609,641 Total cost of investments $ 83,554,574 $211,449,115 $455,540,602 Investments in securities, at fair value (including securities on loan a ) (Note 1): Unaffiliated $ 55,824,753 $184,483,500 $361,526,610 Affiliated (Note 2) 67,606 5,424,511 1,609,641 Total fair value of investments 55,892,359 189,908,011 363,136,251 Foreign currency, at value b 42,444 1,592,114 292,917 Receivables: Investment securities sold 483,025 1,859,306 506,313 Interest 99 55,517 5,429 Tax reclaims 903,355 93,360 Total Assets 57,321,282 193,508,308 363,940,910 LIABILITIES Payables: Investment securities purchased 501,378 3,221,313 504,904 Collateral for securities on loan (Note 1) 30,000 5,406,025 1,448,859 Investment advisory fees (Note 2) 20,804 72,637 135,959 Total Liabilities 552,182 8,699,975 2,089,722 NET ASSETS $ 56,769,100 $184,808,333 $361,851,188 Net assets consist of: Paid-in capital $163,696,614 $260,982,943 $508,685,766 Undistributed (distributions in excess of) net investment income (206,313) (315,262) 347,674 Accumulated net realized loss (78,859,754) (54,307,381) (54,770,788) Net unrealized depreciation (27,861,447) (21,551,967) (92,411,464) NET ASSETS $ 56,769,100 $184,808,333 $361,851,188 Shares outstanding c 4,000,000 11,200,000 15,800,000 Net asset value per share $ 14.19 $ 16.50 $ 22.90 a Securities on loan with values of $28,409, $5,416,399 and $1,366,526, respectively. See Note 1. b Cost of foreign currency: $44,178, $1,615,615 and $300,030, respectively. c $0.001 par value, number of shares authorized: 100 million, 136.2 million and 340.2 million, respectively. See notes to financial statements. 22 2016 ishares S EMI-ANNUAL R EPORT TO S HAREHOLDERS

Statements of Assets and Liabilities (Unaudited) (Continued) ishares, INC. February 29, 2016 ishares MSCI Netherlands ETF ishares MSCI Sweden ETF ASSETS Investments, at cost: Unaffiliated $190,637,468 $396,889,715 Affiliated (Note 2) 4,004,265 3,345,705 Total cost of investments $194,641,733 $400,235,420 Investments in securities, at fair value (including securities on loan a ) (Note 1): Unaffiliated $164,451,058 $307,158,036 Affiliated (Note 2) 4,004,265 3,345,705 Total fair value of investments 168,455,323 310,503,741 Foreign currency, at value b 120,977 131,132 Receivables: Investment securities sold 363,122 1,664,990 Due from custodian (Note 4) 14,955 Dividends and interest 175,666 758 Tax reclaims 60,357 Foreign withholding tax claims (Note 7) 10,558,638 Total Assets 169,130,043 322,919,616 LIABILITIES Payables: Investment securities purchased 379,132 1,510,105 Collateral for securities on loan (Note 1) 3,921,616 3,326,363 IRS compliance fee for foreign withholding tax claims (Note 7) 8,773,929 Professional fees (Note 7) 1,155,865 Investment advisory fees (Note 2) 58,440 115,389 Total Liabilities 4,359,188 14,881,651 NET ASSETS $164,770,855 $308,037,965 Net assets consist of: Paid-in capital $239,526,648 $447,634,794 Undistributed (distributions in excess of) net investment income 56,221 (1,064,550) Accumulated net realized loss (48,621,207) (48,682,136) Net unrealized depreciation (26,190,807) (89,850,143) NET ASSETS $164,770,855 $308,037,965 Shares outstanding c 7,200,000 11,175,000 Net asset value per share $ 22.88 $ 27.56 a Securities on loan with values of $3,721,613 and $3,167,596, respectively. See Note 1. b Cost of foreign currency: $120,476 and $133,143, respectively. c $0.001 par value, number of shares authorized: 255 million and 63.6 million, respectively. See notes to financial statements. F INANCIAL S TATEMENTS 23

Statements of Operations (Unaudited) ishares, INC. Six months ended February 29, 2016 ishares MSCI Austria Capped ETF ishares MSCI Belgium Capped ETF ishares MSCI France ETF NET INVESTMENT INCOME Dividends unaffiliated a $ 133,811 $ 1,158,634 $ 2,289,300 Interest affiliated (Note 2) 17 65 102 Securities lending income affiliated net (Note 2) 2,581 69,088 160,318 Total investment income 136,409 1,227,787 2,449,720 EXPENSES Investment advisory fees (Note 2) 133,671 421,083 889,571 Total expenses 133,671 421,083 889,571 Net investment income 2,738 806,704 1,560,149 NET REALIZED AND UNREALIZED GAIN (LOSS) Net realized gain (loss) from: Investments unaffiliated (1,151,322) (1,771,012) (3,757,350) In-kind redemptions unaffiliated (59,893) 2,206,896 1,632,386 Foreign currency transactions (7,754) (3,392) 22,943 Net realized gain (loss) (1,218,969) 432,492 (2,102,021) Net change in unrealized appreciation/depreciation on: Investments (3,937,067) (10,144,944) (31,603,845) Translation of assets and liabilities in foreign currencies (29,749) (15,113) (12,449) Net change in unrealized appreciation/depreciation (3,966,816) (10,160,057) (31,616,294) Net realized and unrealized loss (5,185,785) (9,727,565) (33,718,315) NET DECREASE IN NET ASSETS RESULTING FROM OPERATIONS $(5,183,047) $ (8,920,861) $(32,158,166) a Net of foreign withholding tax of $12,320, $206,412 and $365,099, respectively. See notes to financial statements. 24 2016 ishares S EMI-ANNUAL R EPORT TO S HAREHOLDERS

Statements of Operations (Unaudited) (Continued) ishares, INC. Six months ended February 29, 2016 ishares MSCI Netherlands ETF ishares MSCI Sweden ETF NET INVESTMENT INCOME Dividends unaffiliated a $ 547,546 $ 438,140 Interest affiliated (Note 2) 76 55 Securities lending income affiliated net (Note 2) 9,173 4,433 Total investment income 556,795 442,628 EXPENSES Investment advisory fees (Note 2) 385,775 824,535 Total expenses 385,775 824,535 Net investment income (loss) 171,020 (381,907) NET REALIZED AND UNREALIZED GAIN (LOSS) Net realized gain (loss) from: Investments unaffiliated (5,240,920) (1,566,519) In-kind redemptions unaffiliated 530,916 (1,282,791) Foreign currency transactions 1,959 (5,373) Net realized loss (4,708,045) (2,854,683) Net change in unrealized appreciation/depreciation on: Investments (4,758,272) (30,749,300) Translation of assets and liabilities in foreign currencies (10,734) (118,628) Net change in unrealized appreciation/depreciation (4,769,006) (30,867,928) Net realized and unrealized loss (9,477,051) (33,722,611) NET DECREASE IN NET ASSETS RESULTING FROM OPERATIONS $(9,306,031) $(34,104,518) a Net of foreign withholding tax of $96,488 and $4,424, respectively. See notes to financial statements. F INANCIAL S TATEMENTS 25

Statements of Changes in Net Assets ishares, INC. ishares MSCI Austria Capped ETF Six months ended February 29, 2016 (Unaudited) August 31, 2015 Six months ended February 29, 2016 (Unaudited) ishares MSCI Belgium Capped ETF August 31, 2015 INCREASE (DECREASE) IN NET ASSETS OPERATIONS: Net investment income $ 2,738 $ 942,322 $ 806,704 $ 3,303,671 Net realized gain (loss) (1,218,969) (5,565,859) 432,492 17,449,249 Net change in unrealized appreciation/depreciation (3,966,816) (2,419,854) (10,160,057) (19,225,017) Net increase (decrease) in net assets resulting from operations (5,183,047) (7,043,391) (8,920,861) 1,527,903 DISTRIBUTIONS TO SHAREHOLDERS: From net investment income (200,153) (1,034,120) (1,088,212) (3,622,114) Total distributions to shareholders (200,153) (1,034,120) (1,088,212) (3,622,114) CAPITAL SHARE TRANSACTIONS: Proceeds from shares sold 18,588,043 18,333,036 96,731,949 165,245,124 Cost of shares redeemed (12,565,742) (17,295,697) (55,573,316) (174,257,196) Net increase (decrease) in net assets from capital share transactions 6,022,301 1,037,339 41,158,633 (9,012,072) INCREASE (DECREASE) IN NET ASSETS 639,101 (7,040,172) 31,149,560 (11,106,283) NET ASSETS Beginning of period 56,129,999 63,170,171 153,658,773 164,765,056 End of period $ 56,769,100 $ 56,129,999 $184,808,333 $ 153,658,773 Distributions in excess of net investment income included in net assets at end of period $ (206,313) $ (8,898) $ (315,262) $ (33,754) SHARES ISSUED AND REDEEMED Shares sold 1,200,000 1,100,000 5,440,000 9,600,000 Shares redeemed (800,000) (1,100,000) (3,280,000) (10,240,000) Net increase (decrease) in shares outstanding 400,000 2,160,000 (640,000) See notes to financial statements. 26 2016 ishares S EMI-ANNUAL R EPORT TO S HAREHOLDERS

Statements of Changes in Net Assets (Continued) ishares, INC. Six months ended February 29, 2016 (Unaudited) ishares MSCI France ETF August 31, 2015 ishares MSCI Netherlands ETF Six months ended February 29, 2016 (Unaudited) August 31, 2015 INCREASE (DECREASE) IN NET ASSETS OPERATIONS: Net investment income $ 1,560,149 $ 9,397,015 $ 171,020 $ 3,321,529 Net realized gain (loss) (2,102,021) (9,748,837) (4,708,045) 4,194,752 Net change in unrealized appreciation/depreciation (31,616,294) (18,678,233) (4,769,006) (11,181,656) Net decrease in net assets resulting from operations (32,158,166) (19,030,055) (9,306,031) (3,665,375) DISTRIBUTIONS TO SHAREHOLDERS: From net investment income (1,390,748) (9,469,883) (1,046,893) (2,772,645) Total distributions to shareholders (1,390,748) (9,469,883) (1,046,893) (2,772,645) CAPITAL SHARE TRANSACTIONS: Proceeds from shares sold 65,496,440 212,178,798 38,745,844 119,225,740 Cost of shares redeemed (20,235,332) (115,462,686) (39,904,306) (101,596,983) Net increase (decrease) in net assets from capital share transactions 45,261,108 96,716,112 (1,158,462) 17,628,757 INCREASE (DECREASE) IN NET ASSETS 11,712,194 68,216,174 (11,511,386) 11,190,737 NET ASSETS Beginning of period 350,138,994 281,922,820 176,282,241 165,091,504 End of period $361,851,188 $ 350,138,994 $164,770,855 $ 176,282,241 Undistributed net investment income included in net assets at end of period $ 347,674 $ 178,273 $ 56,221 $ 932,094 SHARES ISSUED AND REDEEMED Shares sold 2,600,000 8,200,000 1,700,000 4,600,000 Shares redeemed (800,000) (4,400,000) (1,700,000) (4,100,000) Net increase in shares outstanding 1,800,000 3,800,000 500,000 See notes to financial statements. F INANCIAL S TATEMENTS 27

Statements of Changes in Net Assets (Continued) ishares, INC. Six months ended February 29, 2016 (Unaudited) ishares MSCI Sweden ETF August 31, 2015 INCREASE (DECREASE) IN NET ASSETS OPERATIONS: Net investment income (loss) $ (381,907) $ 14,836,137 Net realized gain (loss) (2,854,683) 18,941,537 Net change in unrealized appreciation/depreciation (30,867,928) (66,312,736) Net decrease in net assets resulting from operations (34,104,518) (32,535,062) DISTRIBUTIONS TO SHAREHOLDERS: From net investment income (318,546) (16,981,496) Total distributions to shareholders (318,546) (16,981,496) CAPITAL SHARE TRANSACTIONS: Proceeds from shares sold 47,168,604 177,749,987 Cost of shares redeemed (36,094,510) (201,102,502) Net increase (decrease) in net assets from capital share transactions 11,074,094 (23,352,515) DECREASE IN NET ASSETS (23,348,970) (72,869,073) NET ASSETS Beginning of period 331,386,935 404,256,008 End of period $308,037,965 $ 331,386,935 Distributions in excess of net investment income included in net assets at end of period $ (1,064,550) $ (364,097) SHARES ISSUED AND REDEEMED Shares sold 1,575,000 5,250,000 Shares redeemed (1,350,000) (6,150,000) Net increase (decrease) in shares outstanding 225,000 (900,000) See notes to financial statements. 28 2016 ishares S EMI-ANNUAL R EPORT TO S HAREHOLDERS

Financial Highlights ishares, INC. (For a share outstanding throughout each period) Six months ended Feb. 29, 2016 (Unaudited) ishares MSCI Austria Capped ETF Aug. 31, 2015 Aug. 31, 2014 Aug. 31, 2013 Aug. 31, 2012 Aug. 31, 2011 Net asset value, beginning of period $ 15.59 $ 17.55 $ 17.87 $ 14.53 $ 18.76 $ 17.27 Income from investment operations: Net investment income a 0.00 b 0.25 0.52 0.32 0.35 0.42 Net realized and unrealized gain (loss) c (1.34) (1.96) (0.18) 3.36 (4.09) 1.53 Total from investment operations (1.34) (1.71) 0.34 3.68 (3.74) 1.95 Less distributions from: Net investment income (0.06) (0.25) (0.66) (0.34) (0.49) (0.46) Total distributions (0.06) (0.25) (0.66) (0.34) (0.49) (0.46) Net asset value, end of period $ 14.19 $ 15.59 $ 17.55 $ 17.87 $ 14.53 $ 18.76 Total return (8.65)% d (9.76)% 1.56% 25.49% (19.81)% 10.92% Ratios/Supplemental data: Net assets, end of period (000s) $56,769 $56,130 $63,170 $82,223 $53,757 $136,974 Ratio of expenses to average net assets e 0.48% 0.48% 0.48% 0.51% 0.52% 0.52% Ratio of net investment income to average net assets e 0.01% 1.54% 2.64% 1.82% 2.32% 1.95% Portfolio turnover rate f 5% 18% 30% 26% 13% 12% a Based on average shares outstanding throughout each period. b Rounds to less than $0.01. c The amounts reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund s underlying securities. d Not annualized. e Annualized for periods of less than one year. f Portfolio turnover rates exclude portfolio securities received or delivered as a result of processing capital share transactions in Creation Units. See notes to financial statements. F INANCIAL H IGHLIGHTS 29

Financial Highlights (Continued) ishares, INC. (For a share outstanding throughout each period) Six months ended Feb. 29, 2016 (Unaudited) ishares MSCI Belgium Capped ETF Aug. 31, 2015 Aug. 31, 2014 Aug. 31, 2013 Aug. 31, 2012 Aug. 31, 2011 Net asset value, beginning of period $ 17.00 $ 17.02 $ 14.36 $ 11.97 $ 12.60 $ 11.78 Income from investment operations: Net investment income a 0.08 0.34 0.32 0.42 0.38 0.35 Net realized and unrealized gain (loss) b (0.50) (0.00) c 2.95 2.36 (0.33) 0.80 Total from investment operations (0.42) (0.34) 3.27 2.78 0.05 1.15 Less distributions from: Net investment income (0.08) (0.36) (0.61) (0.39) (0.67) (0.33) Return of capital (0.01) Total distributions (0.08) (0.36) (0.61) (0.39) (0.68) (0.33) Net asset value, end of period $ 16.50 $ 17.00 $ 17.02 $ 14.36 $ 11.97 $ 12.60 Total return (2.49)% d 1.95% 23.05% 23.43% 1.11% 9.59% Ratios/Supplemental data: Net assets, end of period (000s) $184,808 $153,659 $164,765 $71,216 $25,386 $31,256 Ratio of expenses to average net assets e 0.48% 0.48% 0.48% 0.50% 0.53% 0.52% Ratio of net investment income to average net assets e 0.91% 2.01% 1.90% 3.01% 3.35% 2.56% Portfolio turnover rate f 9% 7% 13% 24% 19% 12% a Based on average shares outstanding throughout each period. b The amounts reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund s underlying securities. c Rounds to less than $0.01. d Not annualized. e Annualized for periods of less than one year. f Portfolio turnover rates exclude portfolio securities received or delivered as a result of processing capital share transactions in Creation Units. See notes to financial statements. 30 2016 ishares S EMI-ANNUAL R EPORT TO S HAREHOLDERS

Financial Highlights (Continued) ishares, INC. (For a share outstanding throughout each period) Six months ended Feb. 29, 2016 (Unaudited) Aug. 31, 2015 ishares MSCI France ETF Aug. 31, 2014 Aug. 31, 2013 Aug. 31, 2012 Aug. 31, 2011 Net asset value, beginning of period $ 25.01 $ 27.64 $ 24.85 $ 20.70 $ 22.60 $ 21.03 Income from investment operations: Net investment income a 0.10 0.74 0.66 0.69 0.59 0.86 Net realized and unrealized gain (loss) b (2.12) (2.69) 2.86 4.14 (1.80) 1.38 Total from investment operations (2.02) (1.95) 3.52 4.83 (1.21) 2.24 Less distributions from: Net investment income (0.09) (0.68) (0.73) (0.68) (0.69) (0.67) Return of capital (0.00) c Total distributions (0.09) (0.68) (0.73) (0.68) (0.69) (0.67) Net asset value, end of period $ 22.90 $ 25.01 $ 27.64 $ 24.85 $ 20.70 $ 22.60 Total return (8.10)% d (7.17)% 14.07% 23.56% (5.05)% 10.24% Ratios/Supplemental data: Net assets, end of period (000s) $361,851 $350,139 $281,923 $526,839 $401,626 $357,137 Ratio of expenses to average net assets e 0.48% 0.48% 0.48% 0.51% 0.53% 0.52% Ratio of net investment income to average net assets e 0.83% 2.85% 2.36% 2.94% 2.91% 3.38% Portfolio turnover rate f 2% 6% 6% 5% 6% 6% a Based on average shares outstanding throughout each period. b The amounts reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund s underlying securities. c Rounds to less than $0.01. d Not annualized. e Annualized for periods of less than one year. f Portfolio turnover rates exclude portfolio securities received or delivered as a result of processing capital share transactions in Creation Units. See notes to financial statements. F INANCIAL H IGHLIGHTS 31

Financial Highlights (Continued) ishares, INC. (For a share outstanding throughout each period) Six months ended Feb. 29, 2016 (Unaudited) Aug. 31, 2015 ishares MSCI Netherlands ETF Aug. 31, 2014 Aug. 31, 2013 Aug. 31, 2012 Aug. 31, 2011 Net asset value, beginning of period $ 24.48 $ 24.64 $ 22.52 $ 18.23 $ 18.45 $ 17.89 Income from investment operations: Net investment income a 0.02 0.50 0.45 0.44 0.39 0.48 Net realized and unrealized gain (loss) b (1.48) (0.27) 2.22 4.19 (0.08) 0.55 Total from investment operations (1.46) 0.23 2.67 4.63 0.31 1.03 Less distributions from: Net investment income (0.14) (0.39) (0.55) (0.34) (0.53) (0.47) Total distributions (0.14) (0.39) (0.55) (0.34) (0.53) (0.47) Net asset value, end of period $ 22.88 $ 24.48 $ 24.64 $ 22.52 $ 18.23 $ 18.45 Total return (5.96)% c 0.87% 11.80% 25.57% 1.96% 5.44% Ratios/Supplemental data: Net assets, end of period (000s) $164,771 $176,282 $165,092 $253,390 $78,397 $121,740 Ratio of expenses to average net assets d 0.48% 0.48% 0.48% 0.50% 0.53% 0.52% Ratio of net investment income to average net assets d 0.21% 2.01% 1.78% 2.09% 2.21% 2.26% Portfolio turnover rate e 7% 6% 7% 11% 10% 6% a Based on average shares outstanding throughout each period. b The amounts reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund s underlying securities. c Not annualized. d Annualized for periods of less than one year. e Portfolio turnover rates exclude portfolio securities received or delivered as a result of processing capital share transactions in Creation Units. See notes to financial statements. 32 2016 ishares S EMI-ANNUAL R EPORT TO S HAREHOLDERS

Financial Highlights (Continued) ishares, INC. (For a share outstanding throughout each period) Six months ended Feb. 29, 2016 (Unaudited) Aug. 31, 2015 ishares MSCI Sweden ETF Aug. 31, 2014 Aug. 31, 2013 Aug. 31, 2012 Aug. 31, 2011 Net asset value, beginning of period $ 30.26 $ 34.11 $ 31.97 $ 27.32 $ 26.82 $ 24.46 Income from investment operations: Net investment income (loss) a (0.03) 1.30 b 1.04 0.97 0.83 1.18 Net realized and unrealized gain (loss) c (2.64) (3.75) 2.33 4.70 0.58 2.22 Total from investment operations (2.67) (2.45) 3.37 5.67 1.41 3.40 Less distributions from: Net investment income (0.03) (1.40) (1.23) (1.02) (0.86) (1.04) Return of capital (0.05) Total distributions (0.03) (1.40) (1.23) (1.02) (0.91) (1.04) Net asset value, end of period $ 27.56 $ 30.26 $ 34.11 $ 31.97 $ 27.32 $ 26.82 Total return (8.87)% d (7.46)% b 10.49% 21.02% 5.57% 13.40% Ratios/Supplemental data: Net assets, end of period (000s) $308,038 $331,387 $404,256 $434,006 $370,832 $329,887 Ratio of expenses to average net assets e 0.48% 0.92% 0.48% 0.51% 0.53% 0.51% Ratio of expenses to average net assets excluding the non-recurring professional fees for foreign withholding tax claims (Note 7) n/a 0.48% n/a n/a n/a n/a Ratio of net investment income (loss) to average net assets e (0.22)% 3.97% b 2.97% 3.13% 3.17% 3.80% Portfolio turnover rate f 2% 4% 7% 7% 7% 9% a Based on average shares outstanding throughout each period. b Reflects the one-time, positive effect of foreign withholding tax claims, net of the associated IRS compliance fees and professional fees (See Note 7), which resulted in the following increases: Net investment income per share by $0.42 Total return by 1.14% Ratio of net investment income to average net assets by 1.31% c The amounts reported for a share outstanding may not accord with the change in aggregate gains and losses in securities for the fiscal period due to the timing of capital share transactions in relation to the fluctuating market values of the Fund s underlying securities. d Not annualized. e Annualized for periods of less than one year. f Portfolio turnover rates exclude portfolio securities received or delivered as a result of processing capital share transactions in Creation Units. See notes to financial statements. F INANCIAL H IGHLIGHTS 33

Notes to Financial Statements (Unaudited) ishares, INC. ishares, Inc. (the Company ) is registered under the Investment Company Act of 1940, as amended (the 1940 Act ), as an open-end management investment company. The Company was incorporated under the laws of the State of Maryland on September 1, 1994 pursuant to Articles of Incorporation as subsequently amended and restated. These financial statements relate only to the following funds (each, a Fund, and collectively, the Funds ): ishares ETF MSCI Austria Capped MSCI Belgium Capped MSCI France MSCI Netherlands MSCI Sweden Diversification Classification Non-diversified Non-diversified Non-diversified Non-diversified Non-diversified The investment objective of each Fund is to seek investment results that correspond generally to the price and yield performance, before fees and expenses, of its underlying index. The investment adviser uses a passive or index approach to try to achieve each Fund s investment objective. Pursuant to the Company s organizational documents, the Funds officers and directors are indemnified against certain liabilities that may arise out of the performance of their duties to the Funds. Additionally, in the normal course of business, the Funds enter into contracts with service providers that contain general indemnification clauses. The Funds maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Funds that have not yet occurred. 1. SIGNIFICANT ACCOUNTING POLICIES The following significant accounting policies are consistently followed by the Funds in the preparation of their financial statements in conformity with accounting principles generally accepted in the United States of America ( U.S. GAAP ). The preparation of financial statements in conformity with U.S. GAAP requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. Each Fund is considered an investment company under U.S. GAAP and follows the accounting and reporting guidance applicable to investment companies. SECURITY VALUATION Each Fund s investments are valued at fair value each day that the Fund s listing exchange is open and, for financial reporting purposes, as of the report date should the reporting period end on a day that the Fund s listing exchange is not open. U.S. GAAP defines fair value as the price a 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 BlackRock Global Valuation Methodologies Committee (the Global Valuation Committee ) provides oversight of the valuation of investments for the Funds. The investments of each Fund are valued pursuant to policies and procedures developed by the Global Valuation Committee and approved by the Board of Directors of the Company (the Board ). Equity investments traded on a recognized securities exchange are valued at that day s last reported trade price or the official closing price, as applicable, on the exchange where the stock is primarily traded. Equity investments traded on a recognized exchange for which there were no sales on that day are valued at the last traded price. Open-end U.S. mutual funds are valued at that day s published net asset value ( NAV ). 34 2016 ishares S EMI-ANNUAL R EPORT TO S HAREHOLDERS

Notes to Financial Statements (Unaudited) (Continued) ishares, INC. In the event that application of these methods of valuation results in a price for an investment which is deemed not to be representative of the fair value of such investment or if a price is not available, the investment will be valued based upon other available factors deemed relevant by the Global Valuation Committee, in accordance with policies approved by the Board. These factors include but are not limited to (i) attributes specific to the investment; (ii) the principal market for the investment; (iii) the customary participants in the principal market for the investment; (iv) data assumptions by market participants for the investment, if reasonably available; (v) quoted prices for similar investments in active markets; and (vi) other factors, such as future cash flows, interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and/or default rates. Valuations based on such factors are reported to the Board on a quarterly basis. The Global Valuation Committee employs various methods for calibrating valuation approaches for investments where an active market does not exist, including regular due diligence of the Company s pricing vendors, a regular review of key inputs and assumptions, transactional back-testing or disposition analysis to compare unrealized gains and losses to realized gains and losses, reviews of missing or stale prices, reviews of large movements in market values, and reviews of market related activity. Fair value pricing could result in a difference between the prices used to calculate a Fund s NAV and the prices used by the Fund s underlying index, which in turn could result in a difference between the Fund s performance and the performance of the Fund s underlying index. Various inputs are used in determining the fair value of financial instruments. Inputs may be based on independent market data ( observable inputs ) or they may be internally developed ( unobservable inputs ). These inputs are categorized into a disclosure hierarchy consisting of three broad levels for financial reporting purposes. The level of a value determined for a financial instrument within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement in its entirety. The categorization of a value determined for a financial instrument within the hierarchy is based upon the pricing transparency of the instrument and is not necessarily an indication of the risk associated with investing in the instrument. The three levels of the fair value hierarchy are as follows: Level 1 Unadjusted quoted prices in active markets for identical assets or liabilities; Level 2 Inputs other than quoted prices included within Level 1 that are observable for the asset or liability either directly or indirectly, including quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not considered to be active, inputs other than quoted prices that are observable for the asset or liability (such as exchange rates, financing terms, interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and default rates) or other market-corroborated inputs; and Level 3 Unobservable inputs for the asset or liability, including the Global Valuation Committee s assumptions used in determining the fair value of investments. Changes in valuation techniques may result in transfers in or out of an assigned level within the disclosure hierarchy. In accordance with the Company s policy, transfers between different levels of the fair value hierarchy are deemed to have occurred as of the beginning of the reporting period. N OTES TO F INANCIAL S TATEMENTS 35

Notes to Financial Statements (Unaudited) (Continued) ishares, INC. The following table summarizes the value of each of the Funds investments according to the fair value hierarchy as of February 29, 2016. The breakdown of each Fund s investments into major categories is disclosed in its respective schedule of investments. ishares ETF Level 1 Level 2 Level 3 Total MSCI Austria Capped Investments: Assets: Common Stocks $ 55,824,732 $ $ 21 $ 55,824,753 Money Market Funds 67,606 67,606 Total $ 55,892,338 $ $ 21 $ 55,892,359 MSCI Belgium Capped Investments: Assets: Common Stocks $184,483,500 $ $ $184,483,500 Money Market Funds 5,424,511 5,424,511 Total $189,908,011 $ $ $189,908,011 MSCI France Investments: Assets: Common Stocks $361,526,610 $ $ $361,526,610 Money Market Funds 1,609,641 1,609,641 Total $363,136,251 $ $ $363,136,251 MSCI Netherlands Investments: Assets: Common Stocks $164,451,057 $ $ 1 $164,451,058 Money Market Funds 4,004,265 4,004,265 Total $168,455,322 $ $ 1 $168,455,323 MSCI Sweden Investments: Assets: Common Stocks $307,158,036 $ $ $307,158,036 Money Market Funds 3,345,705 3,345,705 Total $310,503,741 $ $ $310,503,741 SECURITY TRANSACTIONS AND INCOME RECOGNITION Security transactions are accounted for on trade date. Dividend income and capital gain distributions, if any, are recognized on the ex-dividend date, net of any foreign taxes withheld at source. Any taxes withheld that are reclaimable from foreign tax authorities as of February 29, 2016 are reflected in tax reclaims receivable. Non-cash dividends received in the form of stock in an elective dividend, if any, are recorded as dividend income at fair value. Distributions received by the Funds may include a 36 2016 ishares S EMI-ANNUAL R EPORT TO S HAREHOLDERS

Notes to Financial Statements (Unaudited) (Continued) ishares, INC. return of capital that is estimated by management. Such amounts are recorded as a reduction of the cost of investments or reclassified to capital gains. Interest income is accrued daily. Realized gains and losses on investment transactions are determined using the specific identification method. FOREIGN CURRENCY TRANSLATION The accounting records of the Funds are maintained in U.S. dollars. Foreign currencies, as well as investment securities and other assets and liabilities denominated in foreign currencies, are translated into U.S. dollars using exchange rates deemed appropriate by the investment adviser. Purchases and sales of securities, income receipts and expense payments are translated into U.S. dollars on the respective dates of such transactions. Each Fund does not isolate the effect of fluctuations in foreign exchange rates from the effect of fluctuations in the market prices of securities. Such fluctuations are reflected by the Funds as a component of realized and unrealized gains and losses from investments for financial reporting purposes. FOREIGN TAXES The Funds may be subject to foreign taxes (a portion of which may be reclaimable) on income, stock dividends, capital gains on investments, or certain foreign currency transactions. All foreign taxes are recorded in accordance with the applicable foreign tax regulations and rates that exist in the foreign jurisdictions in which the Funds invest. These foreign taxes, if any, are paid by the Funds and are reflected in their statements of operations as follows: foreign taxes withheld at source are presented as a reduction of income, foreign taxes on securities lending income are presented as a reduction of securities lending income, foreign taxes on stock dividends are presented as other foreign taxes, and foreign taxes on capital gains from sales of investments and foreign taxes on foreign currency transactions are included in their respective net realized gain (loss) categories. Foreign taxes payable or deferred as of February 29, 2016, if any, are disclosed in the Funds statements of assets and liabilities. DISTRIBUTIONS TO SHAREHOLDERS Dividends and distributions paid by each Fund are recorded on the ex-dividend dates. Distributions are determined on a tax basis and may differ from net investment income and net realized capital gains for financial reporting purposes. Dividends and distributions are paid in U.S. dollars and cannot be automatically reinvested in additional shares of the Funds. LOANS OF PORTFOLIO SECURITIES Each Fund may lend its investment securities to approved borrowers, such as brokers, dealers and other financial institutions. The borrower pledges and maintains with the Fund collateral consisting of cash, an irrevocable letter of credit issued by a bank, or securities issued or guaranteed by the U.S. government. The initial collateral received by each Fund is required to have a value of at least 102% of the current value of the loaned securities for securities traded on U.S. exchanges and a value of at least 105% for all other securities. The collateral is maintained thereafter at a value equal to at least 100% of the current value of the securities on loan. The market value of the loaned securities is determined at the close of each business day of the Funds. Any additional required collateral is delivered to the Funds and any excess collateral is returned by the Funds on the next business day. During the term of the loan, each Fund is entitled to all distributions made on or in respect of the loaned securities. Loans of securities are terminable at any time and the borrower, after notice, is required to return borrowed securities within the standard time period for settlement of securities transactions. Any cash received as collateral for securities on loan may be reinvested in certain short-term instruments either directly on behalf of a fund or through one or more joint accounts or money market funds, including those managed by BlackRock Fund Advisors N OTES TO F INANCIAL S TATEMENTS 37

Notes to Financial Statements (Unaudited) (Continued) ishares, INC. ( BFA ), the Funds investment adviser, or its affiliates. As of February 29, 2016, any securities on loan were collateralized by cash. The cash collateral received was invested in money market funds managed by BFA and is disclosed in the schedules of investments. The securities on loan for each Fund are also disclosed in its schedule of investments. The total value of any securities on loan as of February 29, 2016 and the total value of the related collateral are disclosed in the statements of assets and liabilities. Income earned by the Funds from securities lending is disclosed in the statements of operations. The risks of securities lending include the risk that the borrower may not provide additional collateral when required or may not return the securities when due. To mitigate these risks, the Funds benefit from a borrower default indemnity provided by BlackRock, Inc. ( BlackRock ). BlackRock s indemnity allows for full replacement of securities lent. Each Fund could suffer a loss if the value of the investments purchased with cash collateral falls below the value of the cash collateral received. Securities lending transactions are entered into by the Funds under Master Securities Lending Agreements ( MSLA ) which provide the right, in the event of default (including bankruptcy or insolvency) for the non-defaulting party to liquidate the collateral and calculate a net exposure to the defaulting party or request additional collateral. In the event that a borrower defaults, a Fund, as lender, would offset the market value of the collateral received against the market value of the securities loaned. The value of the collateral is typically greater than that of the market value of the securities loaned, leaving the lender with a net amount payable to the defaulting party. However, bankruptcy or insolvency laws of a particular jurisdiction may impose restrictions on or prohibitions against such a right of offset in the event of an MSLA counterparty s bankruptcy or insolvency. Under the MSLA, the borrower can resell or re-pledge the loaned securities, and a Fund can reinvest cash collateral, or, upon an event of default, resell or re-pledge the collateral. The following table is a summary of securities lending agreements which are subject to offset under an MSLA as of February 29, 2016: ishares ETF and Counterparty Market Value of Securities on Loan Cash Collateral Received a Net Amount b MSCI Austria Capped Scotia Capital (USA) Inc. $ 28,409 $ 28,409 $ $ 28,409 $ 28,409 $ MSCI Belgium Capped Citigroup Global Markets Inc. $ 103,952 $ 103,952 $ Credit Suisse Securities (USA) LLC 2,429,754 2,267,287 (162,467) Goldman Sachs & Co. 1,206,703 1,206,703 Merrill Lynch, Pierce, Fenner & Smith 50,539 50,539 Morgan Stanley & Co. LLC 345,428 345,428 Scotia Capital (USA) Inc. 56,702 56,702 SG Americas Securities LLC 16,623 (16,623) State Street Bank & Trust Company 879,944 879,944 UBS Securities LLC 326,754 326,754 $ 5,416,399 $ 5,237,309 $(179,090) 38 2016 ishares S EMI-ANNUAL R EPORT TO S HAREHOLDERS

Notes to Financial Statements (Unaudited) (Continued) ishares, INC. ishares ETF and Counterparty Market Value of Securities on Loan Cash Collateral Received a Net Amount b MSCI France Goldman Sachs & Co. $ 999,523 $ 999,523 $ UBS Securities LLC 367,003 367,003 $ 1,366,526 $ 1,366,526 $ MSCI Netherlands Credit Suisse Securities (USA) LLC $ 56,821 $ 56,821 $ Goldman Sachs & Co. 699,284 699,284 Merrill Lynch, Pierce, Fenner & Smith 7,803 7,803 UBS Securities LLC 2,957,705 2,957,705 $ 3,721,613 $ 3,721,613 $ MSCI Sweden Morgan Stanley & Co. LLC $ 3,167,596 $ 3,167,596 $ $ 3,167,596 $ 3,167,596 $ a b Collateral received in excess of the market value of securities on loan is not presented in this table. The total cash collateral received by each Fund is disclosed in the Fund s statement of assets and liabilities and with the exception of the ishares MSCI Belgium Capped ETF, was in excess of the market value of securities loaned at period end. Additional collateral is delivered to the Funds on the next business day in accordance with the MSLA. The net amount would be subject to the borrower default indemnity in the event of default by a counterparty. 2. INVESTMENT ADVISORY AGREEMENT AND OTHER TRANSACTIONS WITH AFFILIATES Pursuant to an Investment Advisory Agreement with the Company, BFA manages the investment of each Fund s assets. BFA is a California corporation indirectly owned by BlackRock. Under the Investment Advisory Agreement, BFA is responsible for substantially all expenses of the Funds, except interest, taxes, brokerage commissions and other expenses connected with the execution of portfolio transactions, distribution fees, litigation expenses and any extraordinary expenses. For its investment advisory services to each Fund, BFA is entitled to an annual investment advisory fee based on each Fund s allocable portion of the aggregate of the average daily net assets of the Fund and certain other ishares funds, as follows: Investment Advisory Fee Aggregate Average Daily Net Assets 0.59% First $7 billion 0.54 Over $7 billion, up to and including $11 billion 0.49 Over $11 billion, up to and including $24 billion 0.44 Over $24 billion, up to and including $48 billion 0.40 Over $48 billion, up to and including $72 billion 0.36 Over $72 billion The U.S. Securities and Exchange Commission has issued an exemptive order which permits BlackRock Institutional Trust Company, N.A. ( BTC ), an affiliate of BFA, to serve as securities lending agent for the Funds, subject to applicable conditions. As securities lending agent, BTC bears all operational costs directly related to securities lending. Each Fund is responsible for fees in connection with the investment of cash collateral received for securities on loan in a money market fund managed by BFA, N OTES TO F INANCIAL S TATEMENTS 39

Notes to Financial Statements (Unaudited) (Continued) ishares, INC. however, BTC has agreed to reduce the amount of securities lending income it receives in order to effectively limit the collateral investment fees each Fund bears to an annual rate of 0.04% (the collateral investment fees ). Securities lending income is equal to the total of income earned from the reinvestment of cash collateral, net of fees and other payments to and from borrowers of securities, and less the collateral investment fees. The Funds retain a portion of securities lending income and remit the remaining portion to BTC as compensation for its services as securities lending agent. Pursuant to a securities lending agreement, each Fund retains 80% of securities lending income and the amount retained can never be less than 70% of the total of securities lending income plus the collateral investment fees. In addition, commencing the business day following the date that the aggregate securities lending income plus the collateral investment fees generated across all 1940 Act ishares exchange-traded funds (the ishares ETF Complex ) in a given calendar year exceeds the aggregate securities lending income generated across the ishares ETF Complex in the calendar year 2013, each Fund, pursuant to a securities lending agreement, will retain for the remainder of that calendar year 85% of securities lending income and the amount retained can never be less than 70% of the total of securities lending income plus the collateral investment fees. For the six months ended February 29, 2016, the total of securities lending agent services and collateral investment fees paid were as follows: Fees Paid ishares ETF to BTC MSCI Austria Capped $ 755 MSCI Belgium Capped 16,327 MSCI France 40,341 MSCI Netherlands 2,850 MSCI Sweden 1,316 BlackRock Investments, LLC, an affiliate of BFA, is the distributor for each Fund. Pursuant to the distribution agreement, BFA is responsible for any fees or expenses for distribution services provided to the Funds. Cross trading is the buying or selling of portfolio securities between funds to which BFA (or an affiliate) serves as investment adviser. At its regularly scheduled quarterly meetings, the Board reviews such transactions as of the most recent calendar quarter for compliance with the requirements and restrictions set forth by Rule 17a-7. For the six months ended February 29, 2016, transactions executed by the Funds pursuant to Rule 17a-7 under the 1940 Act were as follows: ishares ETF Purchases Sales MSCI Austria Capped $ 117,480 $ MSCI Belgium Capped 1,386,520 1,135,633 MSCI France 249,557 247,535 MSCI Netherlands 15,165 636,795 MSCI Sweden 243,951 1,563,786 Each Fund may invest its positive cash balances in certain money market funds managed by BFA or an affiliate. The income earned on these temporary cash investments is included in Interest affiliated in the statements of operations. The PNC Financial Services Group, Inc. is the largest stockholder of BlackRock and is considered to be an affiliate of the Funds for 1940 Act purposes. 40 2016 ishares S EMI-ANNUAL R EPORT TO S HAREHOLDERS

Notes to Financial Statements (Unaudited) (Continued) ishares, INC. Certain directors and officers of the Company are also officers of BTC and/or BFA. 3. INVESTMENT PORTFOLIO TRANSACTIONS Purchases and sales of investments (excluding in-kind transactions and short-term investments) for the six months ended February 29, 2016 were as follows: ishares ETF Purchases Sales MSCI Austria Capped $ 2,968,080 $ 3,061,365 MSCI Belgium Capped 15,627,602 15,377,125 MSCI France 9,385,454 8,524,367 MSCI Netherlands 11,848,462 12,210,914 MSCI Sweden 8,214,135 6,010,493 In-kind transactions (see Note 4) for the six months ended February 29, 2016 were as follows: ishares ETF In-kind Purchases In-kind Sales MSCI Austria Capped $18,239,076 $12,364,526 MSCI Belgium Capped 95,629,338 55,116,793 MSCI France 64,655,919 19,983,068 MSCI Netherlands 38,163,808 39,544,234 MSCI Sweden 46,996,251 35,982,384 4. CAPITAL SHARE TRANSACTIONS Capital shares are issued and redeemed by each Fund only in aggregations of a specified number of shares or multiples thereof ( Creation Units ) at NAV. Except when aggregated in Creation Units, shares of each Fund are not redeemable. Transactions in capital shares for each Fund are disclosed in detail in the statements of changes in net assets. The consideration for the purchase of Creation Units of a fund in the Company generally consists of the in-kind deposit of a designated portfolio of securities and a specified amount of cash. Certain funds in the Company may be offered in Creation Units solely or partially for cash in U.S. dollars. Investors purchasing and redeeming Creation Units may pay a purchase transaction fee and a redemption transaction fee directly to State Street Bank and Trust Company, the Company s administrator, to offset transfer and other transaction costs associated with the issuance and redemption of Creation Units, including Creation Units for cash. Investors transacting in Creation Units for cash may also pay an additional variable charge to compensate the relevant fund for certain transaction costs (i.e., stamp taxes, taxes on currency or other financial transactions, and brokerage costs) and market impact expenses relating to investing in portfolio securities. Such variable charges, if any, are included in Proceeds from shares sold in the statements of changes in net assets. From time to time, settlement of securities related to in-kind contributions or in-kind redemptions may be delayed. In such cases, securities related to in-kind contributions are reflected as Due from custodian and securities related to in-kind redemptions are reflected as Securities related to in-kind transactions in the statements of assets and liabilities. N OTES TO F INANCIAL S TATEMENTS 41

Notes to Financial Statements (Unaudited) (Continued) ishares, INC. 5. PRINCIPAL RISKS In the normal course of business, each Fund s investment activities expose it to various types of risk associated with the financial instruments and markets in which it invests. The significant types of financial risks each Fund is exposed to include market risk and credit risk. Each Fund s prospectus provides details of these and other types of risk. BFA uses a passive or index approach to try to achieve each Fund s investment objective following the securities included in its underlying index during upturns as well as downturns. BFA does not take steps to reduce market exposure or to lessen the effects of a declining market. Divergence from the underlying index and the composition of the portfolio is monitored by BFA. MARKET RISK Market risk arises mainly from uncertainty about future values of financial instruments influenced by price, currency and interest rate movements. It represents the potential loss each Fund may suffer through holding market positions in the face of market movements. Each Fund is exposed to market risk by virtue of its investment in equity instruments. The fair value of securities held by the Funds may decline due to general market conditions, economic trends or events that are not specifically related to the issuers of the securities including local, regional or global political, social or economic instability or to factors that affect a particular industry or group of industries. The extent of each Fund s exposure to market risk is the market value of the investments held as shown in the Fund s schedule of investments. A diversified portfolio, where this is appropriate and consistent with a fund s objectives, minimizes the risk that a price change of a particular investment will have a material impact on the NAV of a fund. The investment concentrations within each Fund s portfolio are disclosed in its schedule of investments. Each Fund invests a substantial amount of its assets in securities of non-u.s. issuers that trade in non-u.s. markets. This involves certain considerations and risks not typically associated with securities of U.S. issuers. Such risks include, but are not limited to: generally less liquid and less efficient securities markets; generally greater price volatility; exchange rate fluctuations and exchange controls; imposition of restrictions on the expatriation of funds or other assets of the Fund; less publicly available information about issuers; the imposition of withholding or other taxes; higher transaction and custody costs; settlement delays and risk of loss attendant in settlement procedures; difficulties in enforcing contractual obligations; less regulation of securities markets; different accounting, disclosure and reporting requirements; more substantial governmental involvement in the economy; higher inflation rates; greater social, economic and political uncertainties; the risk of nationalization or expropriation of assets; and the risk of war. These risks are heightened for investments in issuers from countries with less developed markets. Each Fund invests all or substantially all of its assets in issuers located in a single country. When a fund concentrates its investments in this manner, it assumes the risk that economic, political and social conditions in that country may have a significant impact on its investment performance. CREDIT RISK Credit risk is the risk that an issuer or guarantor of debt instruments or the counterparty to a financial transaction, including derivatives contracts, repurchase agreements or loans of portfolio securities, is unable or unwilling to make timely interest and/or principal payments or to otherwise honor its obligations. BFA and its affiliates manage counterparty credit risk by entering into transactions only with counterparties that they believe have the financial resources to honor their obligations and by monitoring the financial stability of those counterparties. Financial assets, which potentially expose the Funds to issuer and counterparty credit risks, consist principally of financial instruments and receivables due from counterparties. The extent of each Fund s exposure to credit and counterparty risks with respect to those financial assets is approximated by their value recorded in its statement of assets and liabilities. 42 2016 ishares S EMI-ANNUAL R EPORT TO S HAREHOLDERS

Notes to Financial Statements (Unaudited) (Continued) ishares, INC. 6. INCOME TAX INFORMATION Each Fund is treated as an entity separate from the Company s other funds for federal income tax purposes. It is the policy of each Fund to qualify as a regulated investment company by complying with the provisions applicable to regulated investment companies, as defined under Subchapter M of the Internal Revenue Code of 1986, as amended, and to annually distribute substantially all of its ordinary income and any net capital gains (taking into account any capital loss carryforwards) sufficient to relieve it from all, or substantially all, federal income and excise taxes. Accordingly, no provision for federal income taxes is required. For purposes of U.S. GAAP, in-kind redemptions are treated as sales of securities resulting in realized capital gains or losses to the Funds. Because such gains or losses are not taxable to the Funds and are not distributed to existing Fund shareholders, the gains or losses are reclassified from accumulated net realized gain (loss) to paid-in capital at the end of the Funds tax year. These reclassifications have no effect on net assets or NAV per share. The tax character of current year distributions will be determined at the end of the current fiscal year. As of August 31, 2015, the Funds fiscal year-end, the following Funds had capital loss carryforwards available to offset future realized capital gains through the indicated expiration dates as follows: ishares ETF Non- Expiring a Expiring 2016 Expiring 2017 Expiring 2018 Expiring 2019 Total MSCI Austria Capped $30,039,704 $2,587,916 $ 7,102,366 $16,657,011 $13,826,937 $70,213,934 MSCI Belgium Capped 12,177,456 1,698,444 5,953,120 10,826,174 19,023,517 49,678,711 MSCI France 23,716,456 335,795 3,408,374 7,008,530 2,858,814 37,327,969 MSCI Netherlands 9,043,327 1,195,162 5,819,153 22,256,170 2,329,005 40,642,817 MSCI Sweden 11,775,552 100,015 13,686,746 8,483,510 5,244,977 39,290,800 a Must be utilized prior to losses subject to expiration. The Funds may own shares in certain foreign investment entities, referred to, under U.S. tax law, as passive foreign investment companies. The Funds may elect to mark-to-market annually the shares of each passive foreign investment company and would be required to distribute to shareholders any such marked-to-market gains. As of February 29, 2016, gross unrealized appreciation and gross unrealized depreciation based on cost for federal income tax purposes were as follows: ishares ETF Tax Cost Gross Unrealized Appreciation Gross Unrealized Depreciation Net Unrealized Appreciation (Depreciation) MSCI Austria Capped $ 88,756,220 $ 344,596 $ (33,208,457) $ (32,863,861) MSCI Belgium Capped 215,003,150 2,692,196 (27,787,335) (25,095,139) MSCI France 467,608,392 3,472,372 (107,944,513) (104,472,141) MSCI Netherlands 197,251,386 2,657,821 (31,453,884) (28,796,063) MSCI Sweden 405,036,340 3,481,215 (98,013,814) (94,532,599) Management has analyzed tax laws and regulations and their application to the Funds as of February 29, 2016, inclusive of the open tax return years, and does not believe there are any uncertain tax positions that require recognition of a tax liability in the Funds financial statements. N OTES TO F INANCIAL S TATEMENTS 43

Notes to Financial Statements (Unaudited) (Continued) ishares, INC. 7. FOREIGN WITHHOLDING TAX CLAIMS The ishares MSCI Sweden ETF filed claims to recover taxes withheld by Sweden on dividend income received in 2005 through 2009 on the basis that Sweden had purportedly violated certain provisions in the Treaty on the Functioning of the European Union. The Fund received a favorable ruling from the Swedish Administrative Court that the imposition of a withholding tax on dividends paid to a non-resident company, including the Fund, while exempting domestic funds from such taxes, results in discriminatory tax withholding contrary to the free movement of capital. Based on the favorable ruling and on the successful recovery from the Sweden Tax Authority of withholding taxes from calendar years 2005 through 2009, the Fund recorded a receivable for all recoverable taxes that have been withheld by Sweden from January 1, 2010 to December 4, 2015. Effective December 7, 2015, the Fund qualified for exemption from withholding on future Swedish dividends. Tax claims not yet recovered continue to be disclosed in the statement of assets and liabilities as Receivable for foreign withholding tax claims. Professional fees associated with the filing of tax claims in Sweden resulting in the recovery of foreign withholding taxes were approved by the Board as appropriate expenses of the Fund. Such professional fees are disclosed in the statement of assets and liabilities as Payable for professional fees. The Fund, under the approval of the Board, is seeking a closing agreement with the Internal Revenue Service ( IRS ) to address any prior years U.S. income tax liabilities attributable to Fund shareholders resulting from the recovery of foreign taxes. The closing agreement would result in the Fund (on behalf of its shareholders) paying a compliance fee to the IRS representing the estimated tax savings generated from foreign tax credits claimed by Fund shareholders on their tax returns from calendar years 2005 through 2014. The Fund has accrued an estimated liability for this IRS compliance fee, which is disclosed as Payable for IRS compliance fee for foreign withholding tax claims in the statement of assets and liabilities. The actual IRS compliance fee may differ from the estimate and that difference may be material. 8. SUBSEQUENT EVENTS Management has evaluated the impact of all subsequent events on the Funds through the date the financial statements were available to be issued and has determined that there were no subsequent events requiring adjustment or disclosure in the financial statements. 44 2016 ishares S EMI-ANNUAL R EPORT TO S HAREHOLDERS

Supplemental Information (Unaudited) ishares, INC. Section 19(a) Notices The amounts and sources of distributions reported are estimates and are provided pursuant to regulatory requirements and are not being provided for tax reporting purposes. The actual amounts and sources for tax reporting purposes will depend upon each Fund s investment experience during the year and may be subject to changes based on the tax regulations. Shareholders will receive a Form 1099-DIV each calendar year that will inform them how to report these distributions for federal income tax purposes. ishares ETF Net Investment Income Total Cumulative Distributions for the Fiscal Year-to-Date Net Realized Capital Gains Return of Capital Total Per Share % Breakdown of the Total Cumulative Distributions for the Fiscal Year-to-Date Net Investment Income Net Realized Capital Gains Return of Capital Total Per Share MSCI Austria Capped $ 0.006444 $ $0.049154 $0.055598 12% % 88% 100% MSCI Belgium Capped 0.082943 0.082943 100 100 MSCI France 0.065756 0.022266 0.088022 75 25 100 MSCI Netherlands 0.144399 0.144399 100 100 S UPPLEMENTAL I NFORMATION 45

Notes: 46 2016 ishares S EMI-ANNUAL R EPORT TO S HAREHOLDERS

For more information visit www.ishares.com or call 1-800-474-2737 is-sar-802-0216 This report is intended for the Funds shareholders. It may not be distributed to prospective investors unless it is preceded or accompanied by the current prospectus. Investing involves risk, including possible loss of principal. The ishares Funds are distributed by BlackRock Investments, LLC (together with its affiliates, BlackRock ). The ishares Funds are not sponsored, endorsed, issued, sold or promoted by MSCI Inc., nor does this company make any representation regarding the advisability of investing in the ishares Funds. BlackRock is not affiliated with the company listed above. A description of the policies that the Funds use to determine how to vote proxies relating to portfolio securities and information about how the Funds voted proxies relating to portfolio securities during the most recent twelve-month period ending June 30 is available without charge, upon request, by calling tollfree 1-800-474-2737; on the Funds website at www.ishares.com; and on the U.S. Securities and Exchange Commission (SEC) website at www.sec.gov. The Funds file their complete schedules of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. The Funds Forms N-Q are available on the SEC s website or may be reviewed and copied at the SEC s Public Reference Room in Washington, D.C. Information on the operation of the Public Reference Room may be obtained by calling 1-800-SEC-0330. The Funds also disclose their complete schedules of portfolio holdings on a daily basis on the Funds website. 2016 BlackRock, Inc. All rights reserved. ishares and BLACKROCK are registered trademarks of BlackRock, Inc. or its subsidiaries. All other marks are the property of their respective owners.