Strategic Global Income Fund, Inc. (the “Fund”) (NYSE: SGL), a
non-diversified, closed-end management investment company seeking a high
level of current income as a primary objective and capital appreciation
as a secondary objective through investments in US and foreign debt
securities, today announced its distribution characteristics for the
month of June 2009.
On June 15, 2009, the Fund's Board of Directors declared a regular
monthly distribution of $0.0667 per share. This distribution is payable
June 30, 2009 to shareholders of record as of June 25, 2009. The
ex-distribution date was June 23, 2009.
The Fund adopted a managed distribution policy in May 1998, which was
revised effective January 2000 and again in May 2005. Pursuant to the
policy as currently in effect, the Fund makes regular monthly
distributions at an annualized rate equal to 8% of the Fund’s net asset
value, as determined as of the last day on which the New York Stock
Exchange is open for trading during the first week of that month. The
Fund’s Board receives recommendations from UBS Global Asset Management
(Americas) Inc., the Fund’s investment advisor, periodically and no less
frequently than annually will reassess the annualized percentage of net
assets at which the Fund’s monthly distributions will be made. The
Fund’s Board may change or terminate the managed distribution policy at
any time without prior notice to Fund shareholders; any such change or
termination may have an adverse effect on the market price for the
Fund’s shares.
To the extent that the Fund’s taxable income in any fiscal year exceeds
the aggregate amount distributed based on a fixed percentage of its net
asset value, the Fund would make an additional distribution in the
amount of that excess near the end of the fiscal year. To the extent
that the aggregate amount distributed by the Fund based on a fixed
percentage of its net asset value exceeds its current and accumulated
earnings and profits, the amount of that excess would constitute a
return of capital or net realized capital gains for tax purposes. A
return of capital may occur, for example, when some or all of the money
that shareholders invested in the Fund is deemed to be paid back to
shareholders. A return of capital distribution does not necessarily
reflect the Fund’s investment performance and should not be confused
with “yield” or “income.”
Based on information available at this time, the Fund estimates that net
investment income, excluding short-term capital gains, is the source of
approximately 81% of the June distribution of $0.0667 per share, and 19%
represents a return of capital. Additionally, for the Fund’s current
fiscal period which began on December 1, 2008 through June 30, 2009, it
is currently estimated that net investment income is the source of
approximately 75% of your regular monthly aggregate distributions of
$0.4427 per share, short-term capital gains is the source of
approximately 1%, and return of capital is the source of approximately
24% of your regular monthly aggregate distributions. These are only
estimates, however, and are subject to change.
The Fund periodically issues notices to shareholders and press releases
estimating the source characteristics of its monthly distributions. The
amounts and sources reported in these materials are only estimates and
are not being provided for tax reporting purposes. The actual amounts
and sources of the amounts for accounting and tax reporting purposes
will depend upon the Fund’s investment experience during the remainder
of its fiscal year and may be subject to changes based on tax
regulations. The Fund will send shareholders a Form 1099-DIV (or a
financial intermediary should provide a shareholder with similar
information) for the calendar year that will tell shareholders how to
report these distributions for federal income tax purposes.
You should not draw any conclusions about the Fund’s investment
performance from the amount of the monthly distribution or from the
terms of the Fund’s managed distribution policy.
UBS Global Asset Management Closed-End Funds Desk
888-793-8637
