Correction: Reaves Utility Income Fund Shares Rated 'AAA' by Fitch Ratings.NEW YORK New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of -- (This is an amended version of a press release issued yesterday containing revised series names of T7 and TH28, not M7 and W28. Reaves Utility Income Fund's auction market preferred shares Preferred shares Preferred shares give investors a fixed dividend from the company's earnings and entitle them to be paid before common shareholders. See: Preferred stock. series T7, series TH28, and series F7 are rated 'AAA' by Fitch Ratings Fitch Ratings An international rating agency for financial institutions, insurance companies, and corporate, sovereign, and municipal debt. Fitch Ratings has headquarters in New York and London and is wholly owned by FIMALAC of Paris. . The ratings are based on asset coverage and preferred share basic maintenance amount tests, as well as the quality and experience of the asset manager. Reaves Utility Income Fund (UTG (UnixWare Technology Group) An organization formed in 1994 to establish UnixWare as an open standard. UnixWare was then owned by Novell who later sold it to SCO. UTG has since folded. ) is a closed-end management investment company that invests in a combination of investment-grade municipal bonds and high dividend yielding stocks. The main objective of the fund is to provide a high level of total after-tax return, including attractive tax-advantaged income. The fund is registered under the Investment Company Act of 1940, which permits closed-end funds to borrow up to 50% of a fund's value through the issuance of preferred shares and debt. The UTG fund's total leverage from the issuance of preferred shares is approximately 38% of its total assets and it has no outstanding debt. W. H. Reaves & Co., Inc., based in Jersey City, New Jersey, is an employee-owned, research-based, 44-year old investment management company. The firm has a 25-year AIMR AIMR See Association for Investment Management and Research (AIMR). compliant performance record and a history of constructing portfolios with attractive risk/return characteristics. W.H. Reaves had more than $1.5 billion in utility stocks under management as of June 28, 2004. The preferred shares issued on June 30, 2004 comprise 3,200 shares of each series, raising an additional $240,000,000 for the fund (before payment of sales load Sales load See: Sales charge sales load See load. and estimated offering costs). |
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