PIONEER INTRODUCES PIONEER HIGH INCOME TRUST (NYSE: PHH)
Portfolio Managed by Pioneer Investment Management, Inc. - Merrill Lynch & Co. and UBS Warburg are Co-Lead Underwriters
Boston, MA - Pioneer Investment Management, Inc. ("Pioneer Investments")
announces the launch of the Pioneer High Income Trust (the "Fund"), a
diversified, closed-end, high yield fund. The Fund raised approximately
$343.6 million in common equity and its shares began trading on the New York
Stock Exchange on April 26, 2002 (NYSE: PHH). The underwriters may also
purchase up to an additional 3.6 million common shares at the public
offering price, less sales load, within 45 days. The Trust intends to offer
preferred shares with an aggregate liquidation preference of up to 25% of
the Fund's assets so that the total assets, after the preferred shares
offering and the underwriter's additional commitments, may potentially
amount to approximately $500 million.
The co-lead underwriters of this offering were Merrill Lynch & Co. and UBS
Warburg, with Merrill Lynch also serving as book-running manager. The
co-managers were RBC Capital Markets, Advest, Inc., Janney Montgomery Scott
LLC, McDonald Investments Inc., and Stifel, Nicolaus & Company Incorporated.
"The Fund is designed to leverage the expertise of Pioneer's fixed-income
team," said Dan Geraci, CEO of Pioneer Investments. "In light of investors’
recent interest in closed-end products and a clamor for yield in the current
low interest rate environment, we believe the Fund may be particularly
timely."
The Fund will pursue a high level of current income by investing primarily
in below-investment-grade debt securities, loans, and preferred stocks. Debt
securities rated below investment grade are commonly referred to as "junk
bonds" and are considered speculative with respect to the issuer's capacity
to pay interest and repay principal. The Fund will be managed by a team of
portfolio managers led by Kenneth J. Taubes, head of fixed income at Pioneer
Investments.
Pioneer Global Asset Management S.p.A. and its affiliates manage
approximately $99 billion in assets (as of March 31, 2002), including over
$20 billion for U.S. investors, under the name Pioneer Investments®.
Pioneer's flagship fund, Pioneer Fund, was founded in 1928 and is the fourth
oldest mutual fund in the United States.
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Note: Past performance is no guarantee of future results. High yield
securities may be more volatile and less liquid than investment grade
securities. There can be no assurance that markets will perform as expected.
For more complete information on Pioneer High Income Trust, Pioneer Fund or
other Pioneer funds, including charges and expenses, please request a
prospectus from your investment representative or Pioneer at 800-225-6292.
Please read the prospectus carefully before you invest or send money.
Pioneer Funds Distributor, Inc. is the underwriter of the Pioneer funds.
The information in this press release relating to the preferred shares is
not complete and may be changed. A registration statement relating to the
offering of preferred shares by the Fund has been filed with the Securities
and Exchange Commission. We may not sell the preferred shares until the
registration statement is effective. This press release is not an offer to
sell the preferred shares and is not soliciting an offer to buy the
preferred shares in any state where the offer or sale is not permitted.
