N@N

NEW YORK--([ BUSINESS WIRE ])--PCM Fund Inc. (NYSE:PCM) (the aFunda) announced that, effective today, the Fund has eliminated its non-fundamental policy to invest at least 50% of its total assets in commercial mortgage-backed securities (aCMBSa) (a50% Policya), such that PCM no longer has a minimum investment policy with respect to CMBS.

The Board of Trustees approved this policy change based on recommendations from Allianz Global Investors Fund Management LLC (aAGIFMa), the Fundas investment manager, and Pacific Investment Management Company LLC ("PIMCO"), the Fundas sub-adviser, that eliminating the policy is in the best interests of the Fund and shareholders.

The elimination of the Fundas 50% Policy provides the Fund with additional flexibility to invest a greater portion of its portfolio in asset classes other than CMBS, including, but not limited to, agency-guaranteed mortgage-backed securities, private label (commonly known as anon-agencya) mortgage-backed securities, investment-grade corporate debt securities and high yield corporate debt securities. The Fundas management team believes that greater investment flexibility may further serve to diversify the portfolio across a variety of potentially higher yielding securities. Such increased investment flexibility is particularly attractive in light of ongoing volatility across financial markets. While the Fundas management team currently expects the Fund to continue to have exposure to CMBS, the management team now has greater flexibility to pursue, subject to market conditions and other factors, other income generating opportunities in the fixed income sector.

The Fundas primary investment objective is to seek high current income. Capital appreciation is a secondary objective. There can be no assurance that the Fund will achieve its stated objectives.

As investment manager, AGIFM is responsible for managing the investment activities of the Fund and the Fundas business affairs and other administrative matters. AGIFM is an indirect, wholly-owned subsidiary of Allianz Asset Management of America L.P. and is a member of Munich-based Allianz Group. PIMCO, an AGIFM affiliate, is the Fundas sub-adviser, responsible for managing the Fundas portfolio investments.

The Fundas New York Stock Exchange closing prices, net asset values per share, as well as other information, including updated portfolio statistics and performance, is available at [ http://www.allianzinvestors.com ] or by calling the Fundas shareholder servicing agent at (800) 254-5197.

Statements made in this release that look forward in time involve risks and uncertainties and are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such risks and uncertainties include, without limitation, the adverse effect from further declines in the securities markets and in the Fundas performance, a general downturn in the economy, competition from other companies, changes in government policy or regulation, inability to attract or retain key employees, inability to implement their operating strategy and/or acquisition strategy, and unforeseen costs and other effects related to legal proceedings or investigations of governmental and self-regulatory organizations. The Fundas ability to pay dividends to common shareholders is subject to the restrictions in its registration statement and other governing documents as well as the Investment Company Act of 1940.