The Board of Directors of The Gabelli Multimedia Trust Inc. (NYSE:GGT) declared a
$0.375 per share cash distribution payable on March 27, 2006 to Preferred Shareholders of
record on March 20, 2006.
The Preferred Shares, which trade on the New York Stock Exchange under the symbol "GGT Pr B",
are rated 'Aaa' by Moody's Investors Service and have an annual dividend rate of $1.50 per
share. The Preferred Shares were issued on April 1, 2003 at $25.00 per share and pay
distributions quarterly. The Preferred Shares will be callable at any time at the liquidation
value of $25.00 per share plus accrued dividends following the expiration of the five-year
call protection on April 1, 2008.
A portion of the distribution may be treated as long-term capital gain and qualified dividend
income for individuals, each subject to the maximum Federal income tax rate, which is currently
15% in taxable accounts for individuals. Long-term capital gains, qualified dividend income
and ordinary income, if any, will be allocated on a pro-rata basis to all distributions for
the year. As of February 15, 2006, the date of this press release, the current distribution
would include 100% from capital gains. The estimated components of each distribution are
provided to shareholders of record in a notice accompanying the distribution and are available
on our website (www.gabelli.com). The final determination of the sources of all distributions
in 2006 will be made after year-end. All shareholders with taxable accounts will receive
written notification regarding the components and tax treatment for all 2006 distributions
in early 2007 via Form 1099-DIV.
The Gabelli Multimedia Trust Inc. is a non-diversified, closed-end management investment
company with $218 million in total assets whose primary investment objective is long-term growth
of capital. The Fund is managed by Gabelli Funds, LLC, a subsidiary of GAMCO Investors, Inc.
(NYSE:GBL), which is a publicly traded NYSE listed company.