« Back | Press release: November 25, 2013
Putnam Investments announces special shareholder meetings for Putnam closed-end funds
BOSTON, November 25, 2013 — Putnam Investments and the Board of Trustees of the Putnam Funds today announced that special shareholder meetings for each of the five Putnam closed-end funds—Putnam High Income Securities Fund (NYSE: PCF), Putnam Managed Municipal Income Trust (NYSE: PMM), Putnam Master Intermediate Income Trust (NYSE: PIM), Putnam Municipal Opportunities Trust (NYSE: PMO), and Putnam Premier Income Trust (NYSE: PPT)—will be held on February 27, 2014 at 11:00 a.m., Boston time, at the principal offices of the funds, One Post Office Square, Boston, Massachusetts.
The special meetings are being called to approve a new management contract between each fund and the fund's investment manager, Putnam Investment Management, LLC ("Putnam Management"). This is prompted by the passing on October 8, 2013 of The Honourable Paul G. Desmarais, who, both directly and through holding companies, controlled a majority of the voting shares of Power Corporation of Canada, the ultimate parent company of Putnam Management. Putnam Management has advised the Trustees that the transfer of Mr. Desmarais's voting control of shares of Power Corporation of Canada to The Desmarais Family Residuary Trust, which occurred following his death, may have constituted an "assignment" within the meaning of the Investment Company Act of 1940, causing each fund's management contract with Putnam Management to terminate automatically.
Putnam Management is currently providing services to each fund under an interim management contract, which, in accordance with applicable regulation, may extend through March 7, 2014. Shareholders will be asked at the special meetings to approve permanent management contracts, so that there will be no disruption in the services provided to the funds. The substantive terms (including fees) of each fund's interim management contract and proposed new management contract are identical to the fund's prior management contract. Shareholders of record at the close of business on December 2, 2013 will be eligible to attend and vote at the February meetings (or any adjourned meetings). Proxy solicitation materials relating to the proposal are expected to be filed with the Securities and Exchange Commission and mailed to shareholders in the coming weeks.
The annual meetings of shareholders of each fund are expected to be held in the spring of 2014. At this time it is expected that these meetings will consider election of Trustees and, in the case of Putnam High Income Securities Fund, Putnam Master Intermediate Income Trust, and Putnam Premier Income Trust, as required by each fund's declaration of trust, a "sunroofing" proposal relating to conversion of the fund from a closed-end structure to an open-end structure.
About Putnam Investments
Founded in 1937, Putnam Investments is a leading global money management firm with over 75 years of investment experience. Earlier this year, the firm was named #1 out of 62 Mutual Fund Family by Lipper/Barron's based on the firm's 2012 performance across asset classes. At the end of September 2013, Putnam had $145 billion in assets under management. Putnam has offices in Boston, London, Frankfurt, Beijing, Amsterdam, Tokyo, Singapore and Sydney. For more information, visit putnam.com.