Eaton Vance Floating-Rate Income Trust Announces Private Placement
of Variable Rate Term Preferred Shares
BOSTON, Dec. 18, 2012 /PRNewswire/ -- Eaton Vance
Floating-Rate Income Trust (NYSE: EFT), a closed-end management
investment company sponsored and managed by Eaton Vance, announced
today the successful private placement of 800 Series C-1 Variable
Rate Term Preferred Shares (VRTP Shares), with a par value of
$80 million. The Trust intends to use
the net proceeds of the offering to redeem and/or repurchase its
outstanding Auction Preferred Shares (APS) and to maintain the
Trust's leveraged capital structure.
The VRTP Shares are a form of preferred shares with a mandatory
redemption date of December 18, 2015,
unless extended. The VRTP Shares are being issued to a commercial
paper conduit sponsored by a large financial institution (the
Conduit). Dividends on the VRTP Shares are determined each
day based on a spread to the Conduit's current cost of funding.
VRTP Shares rank on parity with the Trust's outstanding APS as to
voting rights, payment of dividends and the distribution of assets
upon dissolution, liquidation or winding up of the affairs of the
Trust, but pay dividends at different rates than the APS. The
Trust's leverage is not expected to change materially as a result
of the VRTP Share issuance and the expected APS
redemption/repurchase.
Eaton Vance Corp. (NYSE: EV) is one of the oldest investment
management firms in the United
States, with a history dating back to 1924. Eaton Vance and
its affiliates managed $199.5 billion
in assets as of October 31, 2012,
offering individuals and institutions a broad array of investment
strategies and wealth management solutions. The Company's long
record of providing exemplary service, timely innovation and
attractive returns through a variety of market conditions has made
Eaton Vance the investment manager of choice for many of today's
most discerning investors. For more information about Eaton Vance,
visit www.eatonvance.com.
This news release contains statements that are not historical
facts, referred to as "forward looking statements." Actual future
results may differ significantly from those stated in any forward
looking statements, depending on factors such as changes in
securities or financial markets or general economic conditions, the
continuation of investment advisory, administration, and service
contracts, and other risks discussed from time to time.
SOURCE Eaton Vance Corp.