Evergreen Investments Reduces Leverage of Two Closed-End Funds
March 06 2009 - 4:45PM
PR Newswire (US)
BOSTON, March 6 /PRNewswire-FirstCall/ -- Evergreen Investments
announced that the Boards of Trustees for Evergreen Income
Advantage Fund and Evergreen Multi-Sector Income Fund have approved
a proposal to reduce the amount of leverage utilized by the Funds.
The Funds are listed on the NYSE Alternext US Stock Exchange
(previously the American Stock Exchange) under the tickers EAD and
ERC, respectively. The leverage will be reduced by paying down debt
financing provided by a multi-seller commercial paper conduit
administered by a major financial institution. The paydown is
expected to occur over the next several weeks. Evergreen
Multi-Sector Income Fund also intends to replace some of its debt
financing remaining after the paydown with leverage provided
through reverse repurchase agreement transactions. Following the
reduction, the Funds are expected to have approximately the
following amounts of leverage outstanding: -- Evergreen Income
Advantage Fund: -- APS: $196 million -- Debt: $50 million --
Evergreen Multi-Sector Income Fund: -- APS: $80 million --
Debt/Reverse Repurchase Agreements: $155 million Following the
reductions in leverage described above, the percent of leverage
employed by the Funds will be closer to historical norms. About
Evergreen Investments Evergreen Investments is one of the brand
names under which Wells Fargo & Company (NYSE:WFC) conducts its
investment management business. Wells Fargo & Company is a
diversified financial services company with $1.3 trillion in assets
(as of December 31, 2008), providing banking, insurance,
investments, mortgage and consumer finance through almost 11,000
stores and the internet (WellsFargo.com) across North America and
internationally. Wachovia Global Asset Management is the brand name
under which Evergreen Investments conducts sales and distribution
business outside of the United States. Combined, the groups serve
more than four million individual and institutional investors
through a broad range of investment products. Led by more than 300
investment professionals, Evergreen Investments strives to meet
client investment objectives through disciplined, team-based asset
management. Evergreen Investments manages more than $175 billion in
assets (as of December 31, 2008). Evergreen Investments(SM) is a
service mark of Evergreen Investment Management Company, LLC.
Copyright 2009. Evergreen Investment Management Company, LLC. For
more information on Evergreen, please visit
EvergreenInvestments.com. DATASOURCE: Evergreen Investments
CONTACT: Laura Fay, +1-617-210-3867, , or Lauren Sawyers,
+1-704-715-4561, Web Site: http://www.evergreeninvestments.com/
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