NEW YORK, March 10, 2009 (GLOBE NEWSWIRE) -- PIMCO California Municipal Income Fund III (NYSE:PZC) and PIMCO New York Municipal Income Fund III (NYSE:PYN) (the "Funds") today announced their results for the fiscal quarter ended December 31, 2008. The Funds' are closed-end management investment companies. The investment objective of each Fund is to provide current income exempt from federal income tax. California Municipal Income Fund III also seeks to provide current income exempt from California state income taxes. New York Municipal Income Fund III also seeks to provide current income exempt from New York state and city income taxes.
California Municipal New York Municipal
Income III Income III
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At December 31, At December 31,
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2008 2007 2008 2007
---- ---- ---- ----
Net
Assets (a) $334,811,008 $486,060,315 $86,352,978 $124,681,797
Common Shares
Outstanding 21,604,723 21,541,693 5,517,633 5,517,633
Net Asset
Value ("NAV") $6.93 $13.98 $7.13 $14.08
Market Price $6.17 $13.29 $6.08 $12.85
Discount
to NAV (10.97)% (4.94)% (14.73)% (8.74)%
Quarter ended December 31, Quarter ended December 31,
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2008 2007 2008 2007
---- ---- ---- ----
Net Investment
Income (b) $5,458,655 $6,685,663 $1,204,281 $1,566,955
Per Common
Share (b) $0.25 $0.31 $0.22 $0.28
Net Realized
and Change in
Unrealized
Loss (b) $(92,085,030) $(12,104,066) $(24,039,473) $(3,000,213)
Per Common
Share (b) $(4.26) $(0.56) $(4.36) $(0.54)
Undistributed
Net Investment
Income Per
Common Share
(c)(d) $0.1414 $0.0560 $0.1645 $0.0480
(a) Net assets are inclusive of market value of Preferred Shares of
$185 million and $47 million for California Municipal Income III and
New York Municipal Income III, respectively. California Municipal
Income III redeemed $60 million of its Preferred Shares beginning
January 7, 2009 and concluding January 9, 2009. New York Municipal
Income III redeemed $15 million of its Preferred Shares on January 6,
2009.
(b) The information provided is in accordance with generally accepted
accounting principles ("GAAP"), which requires the Funds to treat
amounts accrued under swap agreements as net realized and unrealized
gain (loss). However, these amounts are treated as net income (loss)
for federal income tax purposes. By using GAAP, for the fiscal quarter
ended December 31, 2008, Net Investment Income for California
Municipal Income III was $10,299 ($0.0005 per common share) higher
(and Net Realized and Change in Unrealized Loss correspondingly
higher) than those figures would have been if swap amounts were
treated as net income in accordance with federal income tax treatment.
By using GAAP, for the fiscal quarter ended December 31, 2008, Net
Investment Income for New York Municipal Income III was $3,172
($0.0006 per common share) higher (and Net Realized and Change in
Unrealized Loss correspondingly higher) than those figures would have
been if swap amounts were treated as net income in accordance with
federal income tax treatment.
(c) Note that generally there is a close correlation between what the
Funds earn (net of expenses) and what they pay in monthly dividends.
However, since net earning rates fluctuate from month to month while
monthly dividends have remained relatively stable, there will be
periods when the Funds may over-earn or under-earn their monthly
dividend which would have the effect of adding to or subtracting from
the Funds' undistributed net investment income balances. The Funds'
management analyzes current and projected net earning rates prior to
recommending dividend amounts to the Funds' Board of Trustees for
declaration. There can be no assurance that the current dividend rates
or the undistributed net investment income balances will remain
constant.
(d) Calculated using the accumulated balance at December 31, 2008 and
December 31, 2007, respectively.
Allianz Global Investors Fund Management LLC, an indirect, wholly-owned subsidiary of Allianz Global Investors of America L.P., serves as the Funds' investment manager and is a member of Munich-based Allianz Group (NYSE:AZ). Pacific Investment Management Company LLC, an Allianz Global Investors Fund Management affiliate, serves as the Funds' sub-adviser.
The Funds' daily New York Stock Exchange closing prices, net asset values per share, as well as other information, is available at http://www.allianzinvestors.com/closedendfunds or by calling the Funds' shareholder servicing agent at (800) 331-1710.
The financial information contained herein is solely based upon the data available at the time of publication of this press release, and there is no assurance that any future results will be the same or similar to the results reported herein. Information that was obtained from third party sources we believe to be reliable is not guaranteed as to its accuracy or completeness. This press release contains no recommendations to buy or sell any specific securities and should not be considered investment advice of any kind. Past performance is no guarantee of future results and the investment returns generated by the Funds' will fluctuate. There can be no assurance that the Funds will meet their objectives. The Funds' ability to pay dividends to common shareholders is subject to the restrictions in their registration statements, by-laws and other governing documents as well as the Investment Company Act of 1940. In making an investment decision, individuals should utilize other information sources and the advice of their own professional adviser.