Pacholder High Yield Fund Announces Monthly Dividend.

CINCINNATI -- The Pacholder High Yield Fund, Inc. (AMEX:PHF) declared a regular monthly dividend of $0.075 per common share for the month ending December 31, 2006. The dividend will be payable on December 29, 2006 to shareholders of record on December 22, 2006. The ex-date for the dividend is December 27, 2006. The Fund estimates that its December distribution is comprised of approximately $0.039 per share of net investment income and approximately $0.036 per share may be treated as a return of capital. This estimate is based on information as of November 30, 2006, and is subject to revision based on the Fund's performance and net investment income in 2006. In January 2007, after the completion of the Fund's tax year, shareholders will receive a Form 1099-DIV which will reflect the amount of income, capital gain and any return of capital paid by the Fund in calendar year 2006 and reportable on the shareholders' 2006 federal and other income tax returns.

The Fund is a closed-end diversified management investment company with a leveraged capital structure. The Fund's investment objective is to provide a high level of total return through current income and capital appreciation. Under normal circumstances, the Fund invests at least 80% of the value of its assets in high yield securities. The Fund invests primarily in fixed income securities of domestic companies. The Fund's common stock is traded on the American Stock Exchange under the symbol "PHF."