CHICAGO, July 12, 2012 /PRNewswire/ -- DNP Select Income
Fund Inc. (NYSE: DNP), Duff & Phelps Utility and Corporate Bond
Trust Inc. (NYSE: DUC) and DTF Tax-Free Income Inc. (NYSE: DTF),
three registered closed-end diversified management investment
companies advised by Duff & Phelps Investment Management Co.
(the "Funds"), have commented on the downgrades resulting from
Moody's Investors Service ("Moody's) revised methodology for rating
closed-end fund ("CEF") preferred shares.
Moody's has downgraded the ratings of debt and preferred shares
issued by all equity, municipal bond and taxable fixed income CEFs,
including the Funds. The rating actions conclude reviews initiated
in May 2012, when obligations of all
CEFs were placed on review for downgrade following the publication
of Moody's revised methodology for rating securities issued by
CEFs. The revised rating methodology incorporates the market
volatility experienced in the 2008 financial crisis on the
different types of assets in which funds invest, as well as their
leverage, portfolio diversity and other factors.
DNP's Auction Preferred Stock and Remarketed Preferred Stock
(CUSIPs 23325P856, 23325P872, 23325P500 and 23325P609) are now
rated A1. DUC's Auction Market Preferred Shares (CUSIP 26432K306)
are now rated Aa2. DTF's Remarketed Preferred Stock (CUSIP
23334J206) is now rated Aa1. All of the Funds' preferred shares
were formerly rated Aaa. Under the terms of the Funds' charters the
rating changes will result in higher dividend rates on the
preferred shares, as set forth in the applicable prospectuses.
However, there has been no change in the Funds' objectives or
investment strategies, or ability to continue to meet their
obligations to preferred shareholders.
DNP Select Income Fund Inc. is a registered closed-end
diversified management investment company whose primary investment
objectives are current income and long-term growth of income. The
Fund seeks to achieve these objectives by investing primarily in a
diversified portfolio of equity and fixed income securities of
companies in the public utilities industries. For more information,
visit www.dnpselectincome.com or call (800) 864-0629.
Duff & Phelps Utility and Corporate Bond Trust Inc. is a
registered closed-end diversified management investment company
whose primary investment objective is high current income
consistent with investing in securities of investment grade
quality. The Fund seeks to achieve its objectives by investing
substantially all of its assets in a diversified portfolio of
utility income securities, corporate income securities,
mortgage-backed securities and asset-backed securities. For more
information, visit www.ducfund.com or call (800) 338-8214.
DTF Tax-Free Income Fund Inc. is a registered closed-end
diversified management investment company whose primary objective
is current income exempt from regular federal income tax consistent
with preservation of capital. The fund seeks to achieve its
investment objective by investing primarily (at least 80% of its
total assets) in a diversified portfolio of investment-grade
tax-exempt obligations. For more information, visit www.dtffund.com
or call (800) 243-4361 ext. 4941.
Duff & Phelps Investment Management Co. has more than 28
years of experience managing investment portfolios, including
institutional separate accounts and open- and closed-end funds
investing in utilities, infrastructure and real estate investment
trusts (REITs). For more information, visit www.dpimc.com.
Duff & Phelps is a subsidiary of Virtus Investment Partners
(NASDAQ: VRTS), a multi-boutique asset manager with $38.0 billion under management as of March 31, 2012. Virtus provides investment
management products and services to individuals and institutions
through a multi-manager asset management business, comprising a
number of individual affiliated managers, each with a distinct
investment style, autonomous investment process and individual
brand. Additional information can be found at www.virtus.com.
The information in this communication is not complete and may be
changed.
Certain statements made in this press release are
forward-looking statements. Actual future results or occurrences
may differ significantly from those anticipated in any
forward-looking statements due to numerous factors. These include,
but are not limited to: market developments; legal and regulatory
developments; and other additional risks and uncertainties. As a
result, neither the Funds nor any other person assumes
responsibility for the accuracy and completeness of such statements
in the future.
SOURCE DNP Select Income Fund Inc.; DTF Tax-Free Income Inc.;
Duff & Phelps Utility and Corporate Bond Trust Inc.