SCHEDULE 14A INFORMATION
PROXY STATEMENT PURSUANT TO SECTION 14(a)
OF THE SECURITIES EXCHANGE ACT OF 1934
(Amendment No. )
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Filed by the Registrant / X /
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Filed by a Partyparty other than the Registrant / /
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Check the appropriate box:
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/ X / Preliminary Proxy Statement
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/ / Preliminary Additional Materials
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----Confidential, for Use of the Commission Only (as permitted by Rule
14a-6(e) (2))
/ X / Definitive Proxy Statement
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/ / Definitive Additional Materials
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/ / Soliciting Material Pursuant to Sec. 240.14a-11(e)240.14a-11(c) or
- ---- Sec. 240.14a-12
PUTNAM ASSET ALLOCATION FUNDS
PUTNAM CAPITAL APPRECIATION FUND
PUTNAM CLASSIC EQUITY FUND
PUTNAM CONVERTIBLE INCOME-GROWTH TRUST
PUTNAM DISCOVERY GROWTH FUND
PUTNAM EQUITY INCOME FUND
PUTNAM EUROPE EQUITY FUND
THE GEORGE PUTNAM FUND OF BOSTON
PUTNAM FUNDS TRUST
PUTNAM GLOBAL EQUITY FUND
PUTNAM GLOBAL NATURAL RESOURCES FUND
THE PUTNAM FUND FOR GROWTH AND INCOME
PUTNAM HEALTH SCIENCES TRUST
PUTNAM INTERNATIONAL EQUITY FUND
PUTNAM INVESTMENT FUNDS
PUTNAM INVESTORS FUND
PUTNAM NEW OPPORTUNITIES FUND
PUTNAM OTC & EMERGING GROWTH FUND
TAX SMART FUNDS TRUST
PUTNAM UTILITIES GROWTH AND INCOME FUND
PUTNAM VISTA FUND
PUTNAM VOYAGER FUND
(Name of Registrant as Specified In Its Charter)
(Name of Person(s) Filing Proxy Statement)Statement,
if other than Registrant)
Payment of Filing Fee (Check the appropriate box):
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/ xX / $125 per Exchange Act Rules 0-11(c)(1)(ii),
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/ / $500 per each party to the controversy pursuant
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/ / Fee computed on table below per Exchange Act Rules
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(1) Title of each class of securities to which transaction applies:
(2) Aggregate number of securities to which transaction applies:
(3) Per unit price or other underlying value of transaction
computed pursuant to Exchange Act Rule 0-11:0-11 (set forth the
amount on which the filing fee is calculated and state how it
was determined):
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Act Rule 0-11(a)(2) and identify the filing for which the offsetting
fee was paid previously. Identify the previous filing by registration
statement number, or the Form or Schedule and the date of its filing.
(1) Amount Previously Paid:
(2) Form, Schedule or Registration Statement No.:
(3) Filing Party:
(4) Date Filed:
IMPORTANT INFORMATION
FOR SHAREHOLDERS IN
PUTNAM ASSET ALLOCATION FUNDS (the "Trust"):
Growth Portfolio
Balanced Portfolio
Conservative Portfolio
(each a "fund")
(collectively, the
"funds")
The document you hold in your hands contains your proxy statement
andThis proxy card. A proxy card is, in essence, a ballot. Whenstatement can help you vote your proxy, it tells usdecide how you want to vote on your behalf on
important issues relating to your Putnam fund. IfWhen you complete and
sign your proxy ballot, the proxy, we'llTrustees of the funds will vote iton your
behalf exactly as you tell us.have indicated. If you simply sign the proxy
we'll voteballot, it will be voted in accordance with the Trustees'
recommendations on pages [ ]8 and [ ].
We urge you to spend a couple9 of minutes with the proxy statement, fill outstatement. The Trustees
recommend that shareholders vote in favor of the proposals described in
this document and listed on your proxy card,ballot.
Please take a few moments and return itdecide how you want to us.vote. When
shareholders don't return their proxies in sufficient numbers, we
have to incur the expense of follow-up
solicitations are required, which can cost your fund money.
We want to know how you would like toYou can vote and welcome your
comments. Please take a few moments with these materials and
returnby returning your proxy ballot in the envelope provided. Or
you can call our toll-free number, or go to us.
(PUTNAMthe Web. See your proxy ballot
for the phone number and Web address. If you have proxy related questions,
please call 1-877-832-6360 or contact your financial advisor.
PUTNAM INVESTMENTS
[SCALE LOGO APPEARS HERE)
BOSTON * LONDON * TOKYO
OMITTED]
Table of contents
A Message from the Chairman. . . . . . . . . . . . . . . . . . . . . . . .1Chairman 1
Notice of Shareholder Meeting. . . . . . . . . . . . . . . . . . . . . . .3Meeting 3
Trustees' Recommendations. . . . . . . . . . . . . . . . . . . . . . . .[5]
Proxy card enclosedRecommendations 8
PROXY CARD ENCLOSED
If you have any questions, please contact us
at the special toll-
free number we have set up for you (1-800-225-1581)1-800-225-1581 or call your financial adviser.
advisor.
[GRAPHIC OMITTED: PHOTO OF JOHN A. HILL]
A Message from the Chairman
(Photograph of George Putnam appears here)
Dear Fellow Shareholder:
I am writing to you to ask for your vote on important questionsmatters that
affect your investment in your fund.the Putnam funds. While you are, of course,
welcome to join us at your fund's meeting, most shareholders cast their
vote by filling out and signing the enclosed proxy.proxy card(s), by calling
or by voting via the Internet. We are asking for your vote on the
following
matters:
1. Electingelection of Trustees and, for certain funds, the additional matters
indicated on page 4.
As you may know, the SEC recently adopted rules designed to oversee your fund;
2. Ratifyingenhance the
selectionindependence and effectiveness of mutual fund trustees. Although
trustees do not manage fund portfolios, they play an important role in
protecting fund shareholders, and are responsible for approving the fees
paid to the fund's investment adviser and its affiliates, reviewing
overall fund expenses, selecting the fund's auditors, monitoring
conflicts of interests, overseeing the fund's compliance with federal
securities laws and voting proxies relating to the fund's portfolio
securities.
Your fund's Trustees believe that these responsibilities are best
carried out by a board that is independent of the fund's investment
adviser both in fact and in spirit. The new SEC rules effectively
require most funds to have a board of trustees whose independent
trustees (i.e., trustees who are not "interested persons" of the fund or
its investment adviser) constitute at least 75% of the board and whose
chairman is independent. Your fund has met both of these requirements
since July 1, 2000. We strongly supported these rules when initially
proposed by the SEC and are pleased that other fund families will soon
also be held to these standards.
It is also noteworthy that your fund's Trustees have been strong
proponents of other reforms in the mutual fund industry. We supported
new SEC rules requiring funds to make their proxy voting records
available to shareholders, and the Putnam funds were one of the first
major fund families to begin disclosing their proxy voting guidelines.
We also were one of the first mutual fund boards to end the practice of
using fund brokerage commissions to reward brokers for selling fund
shares.
In the proxy statement, you will also notice that your fund's
independent Trustees have nominated three new individuals to serve as
Trustees of your fund. Two of the three new nominees are independent,
auditors of your fund for its current fiscal year; and 3. Approving a number of changes to your fund's fundamentalall three have had outstanding careers as leaders in the investment
restrictions, including the elimination of
certain of these restrictions.management industry.
Although we would like very much to have each shareholder attend their fund'sthis
meeting, we realize this isthat it may not be possible. Whether or not you plan
to be present, we need your vote. We urge you to complete, sign,record your voting
instructions by telephone, via the Internet or by completing, signing
and returnreturning the enclosed proxy cardcard(s) promptly. A postage-paid
envelope is enclosed.enclosed for mailing, and Internet voting instructions are
listed at the top of your proxy card(s).
I'm sure that you, like most people, lead a busy life and are tempted to
put this proxy aside for another day. Please don't. When shareholders don't returndo
not vote their proxies, their fundsfund may have to incur the expense of
follow-up solicitations. All shareholders benefit from the speedy return
of proxies.
Your vote is important to us. We appreciate the time and consideration that I
am sure you will give thisthese important matter.matters. If you have questions
about the proposals, contact your financial
adviser orplease call a Putnam customer service
representative at 1-800-225-1581.1-800-225-1581 or contact your financial advisor.
Sincerely yours,
(signature of George Putnam)
George Putnam,/S/ John A. Hill
John A. Hill, Chairman
PUTNAM ASSET ALLOCATION FUNDS
Growth Portfolio
Balanced Portfolio
Conservative Portfolio
(each a "fund")
(collectively, the
"funds")
Notice of a Meeting of Shareholders
To the Shareholders of:
PUTNAM ASSET ALLOCATION: BALANCED PORTFOLIO
PUTNAM ASSET ALLOCATION: CONSERVATIVE PORTFOLIO
PUTNAM ASSET ALLOCATION: GROWTH PORTFOLIO
PUTNAM CAPITAL APPRECIATION FUND
PUTNAM CAPITAL OPPORTUNITIES FUND
PUTNAM CLASSIC EQUITY FUND
PUTNAM CONVERTIBLE INCOME-GROWTH TRUST
PUTNAM DISCOVERY GROWTH FUND
PUTNAM EQUITY INCOME FUND
PUTNAM EUROPE EQUITY FUND
THE GEORGE PUTNAM FUND OF BOSTON
PUTNAM GLOBAL EQUITY FUND
PUTNAM GLOBAL NATURAL RESOURCES FUND
THE PUTNAM FUND FOR GROWTH AND INCOME
PUTNAM GROWTH OPPORTUNITIES FUND
PUTNAM HEALTH SCIENCES TRUST
PUTNAM INTERNATIONAL CAPITAL OPPORTUNITIES FUND
PUTNAM INTERNATIONAL EQUITY FUND
PUTNAM INTERNATIONAL GROWTH AND INCOME FUND
PUTNAM INTERNATIONAL NEW OPPORTUNITIES FUND
PUTNAM INVESTORS FUND
PUTNAM MID CAP VALUE FUND
PUTNAM NEW OPPORTUNITIES FUND
PUTNAM NEW VALUE FUND
PUTNAM OTC & EMERGING GROWTH FUND
PUTNAM RESEARCH FUND
PUTNAM SMALL CAP GROWTH FUND
PUTNAM SMALL CAP VALUE FUND
PUTNAM TAX SMART EQUITY FUND
PUTNAM UTILITIES GROWTH AND INCOME FUND
PUTNAM VISTA FUND
PUTNAM VOYAGER FUND
* This is the formal agenda for your fund's shareholder meeting. It
tells you what mattersproposals will be voted on and the time and place of the
meeting, ifin the event you can attend in person.
To the Shareholders of Putnam Asset Allocation Funds:
A Meeting of Shareholders of Putnam Asset Allocation Fundsyour fund will be held on September 5, 1996November 11, 2004
at 2:11:00 p.m.a.m., Boston time, at the principal offices of the funds on the
eighth floor of One Post Office Square, Boston, Massachusetts 02109, to
consider the following:
1. Electing Trustees (Shareholders of all funds voting
together). See page [ ].
2. Ratifying the selection by the Trustees of the independent
auditors of the fundsyour fund's nominees for their current fiscal year
(Shareholders of all funds voting together). See
page [ ].
3.A.Trustees;
2.A. Approving an amendment to the fund'scertain funds' fundamental investment
restrictionrestrictions with respect to borrowing;
2.B. Approving an amendment to certain funds' fundamental investment
restrictions with respect to making loans;
2.C. Approving an amendment to certain funds' fundamental investment
restrictions with respect to diversification of investments.
(Shareholders of each fund voting separately)
See page [ ].
3.B.investments;
2.D. Approving an amendment to the fund'scertain funds' fundamental investment
restrictionrestrictions with respect to investments in the securitiesissuance of a single issuer. (Shareholders of each fund voting
separately) See page [ ].
3.C.senior securities;
2.E. Approving an amendment to thea fund's fundamental investment restriction with respect to making loans through purchases
of debt obligations, repurchase agreementsobjective and
securities
loans. (Shareholders of each fund voting separately) See
page [ ].
3.D. Approving the elimination of the fund's fundamental
investment restriction with respect to investments in
securities of issuers in which management of the funds or
Putnam Investment Management, Inc. owns securities.
(Shareholders of each fund voting separately) See page [ ].
3.E. Approving the elimination of the fund's fundamental
investment restriction with respect to margin transactions.
(Shareholders of each fund voting separately) See page [ ].
3.F. Approving the elimination of the fund's fundamental
investment restriction with respect to short sales.
(Shareholders of each fund voting separately) See page [ ].
3.G.3. Approving an amendment to the fund's fundamental investment
restriction with respect to investments in commodities or
commodity contracts. (Shareholderscertain funds' Agreements and
Declarations of each fund voting
separately) See page [ ].
3.H. Approving the elimination of the fund's fundamental
investment restriction which limits the fund's ability to
pledge assets. (Shareholders of each fund voting separately)
See page [ ].
3.I. Approving the elimination of the fund's fundamental
investment restriction with respect to investments in
restricted securities. (Shareholders of each fund voting
separately) See page [ ].
3.J. Approving the elimination of the fund's fundamental
investment restriction with respect to investments in
certain oil, gas and mineral interests. (Shareholders of
each fund voting separately) See page [ ].
3.K. Approving the elimination of the fund's fundamental
investment restriction with respect to investing to gain
control of a company's management. (Shareholders of each
fund voting separately) See page [ ].
4. Transacting other business as may properly come before the
meeting.
Trust.
By the Trustees
John A. Hill, Chairman
George Putnam, Chairman
William F. Pounds, Vice ChairmanIII, President
Jameson A. Baxter
Charles B. Curtis
Ronald J. Jackson
Paul L. Joskow
Elizabeth T. Kennan
John H. Mullin, III
Robert E. Patterson
Hans H. Estin Donald S. Perkins
John A. Hill George Putnam, III
Ronald J. Jackson Eli Shapiro
Elizabeth T. Kennan A.J.C. Smith
Lawrence J. Lasser W. Nicholas Thorndike
WE URGE YOU TO MARK, SIGN, DATE, AND MAIL THE ENCLOSED PROXY IN
THE POSTAGE-PAID ENVELOPE PROVIDED SO YOU WILL BE REPRESENTED AT
THE MEETING.
July, 1996
Thomas Stephens
We urge you to mark, sign, date and mail the enclosed proxy in the
postage-paid envelope provided or record your voting instructions by
telephone or via the Internet so that you will be represented at the
meeting.
September 3, 2004
Pro- Proposal
posal Description Affected Funds Page
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1. Election of
Trustees All funds 10
- --------------------------------------------------------------------------------------------------------------
2.A. Approving an Putnam Asset Allocation: Putnam Health Sciences Trust 52
amendment Balanced Portfolio Putnam International
to certain Putnam Asset Allocation: Capital Opportunities Fund
funds' Conservative Portfolio Putnam International
fundamental Putnam Asset Allocation: Equity Fund
investment Growth Portfolio Putnam International
restrictions Putnam Capital Growth and Income Fund
with respect Appreciation Fund Putnam International
to borrowing Putnam Classic Equity Fund New Opportunities Fund
Putnam Convertible Putnam Investors Fund
Income-Growth Trust Putnam New Opportunities Fund
Putnam Discovery Growth Fund Putnam New Value Fund
Putnam Equity Income Fund Putnam OTC &
Putnam Europe Equity Fund Emerging Growth Fund
The George Putnam Putnam Research Fund
Fund of Boston Putnam Utilities Growth
Putnam Global Equity Fund and Income Fund
Putnam Global Natural Putnam Vista Fund
Resources Fund Putnam Voyager Fund
The Putnam Fund
for Growth and Income
Putnam Growth
Opportunities Fund
- --------------------------------------------------------------------------------------------------------------
2.B. Approving Putnam Asset Allocation: Putnam Health Sciences Trust 54
an amendment Balanced Portfolio Putnam International
to certain funds' Putnam Asset Allocation: Capital Opportunities Fund
fundamental Conservative Portfolio Putnam International Equity Fund
investment Putnam Asset Allocation: Putnam International
restrictions Growth Portfolio Growth and Income Fund
with respect Putnam Capital Putnam International
to making Appreciation Fund New Opportunities Fund
loans Putnam Classic Equity Fund Putnam Investors Fund
Putnam Convertible Putnam New Opportunities Fund
Income-Growth Trust Putnam New Value Fund
Putnam Discovery Growth Fund Putnam OTC & Emerging Growth Fund
Putnam Equity Income Fund Putnam Research Fund
Putnam Europe Equity Fund Putnam Utilities
The George Putnam Fund of Boston Growth and Income Fund
Putnam Global Equity Fund Putnam Vista Fund
Putnam Global Putnam Voyager Fund
Natural Resources Fund
The Putnam Fund for
Growth and Income
Putnam Growth
Opportunities Fund
- --------------------------------------------------------------------------------------------------------------
2.C. Approving All funds 57
an amendment
to certain funds'
fundamental
investment
restrictions
with respect to
diversification
of investment
- --------------------------------------------------------------------------------------------------------------
2.D. Approving Putnam Capital Putnam New Value Fund 59
an amendment Opportunities Fund Putnam Research Fund
to certain funds' Putnam Classic Equity Fund Putnam Small Cap Growth Fund
fundamental Putnam Global Putnam Small Cap Value Fund
investment Natural Resources Fund Putnam Tax Smart Equity Fund
restrictions Putnam Growth
with respect Opportunities Fund
to issuance Putnam International
of senior Capital Opportunities Fund
securities Putnam International
New Opportunities Fund
- --------------------------------------------------------------------------------------------------------------
2.E. Approving Putnam Equity Income Fund 61
an amendment
to a fund's
investment
objective
- --------------------------------------------------------------------------------------------------------------
3. Approving All funds except 62
an amendment Putnam Tax Smart Equity Fund
to certain funds'
Agreements and
Declarations of
Trust
- --------------------------------------------------------------------------------------------------------------
Proxy Statementstatement
This document will give you the information you need to vote on the
matters listed on the previous page.proposals. Much of the information
in the proxy statement is required under rules of the
Securities and Exchange Commission ("SEC"); some of it is technical. If
there is anything you don't understand, please contact us at our
special toll-free number, 1-800-225-1581, or call your financial adviser.advisor.
* Who is asking for myyour vote?
The enclosed proxy is solicited by the Trustees of the Putnam Asset
Allocation Funds (the "Trust")funds for
use at the Meeting of Shareholders of the fundseach fund to be held on September 5, 1996,November
11, 2004, and, if your fund's meeting is adjourned, at any later
meetings, for the purposes stated in the Notice of Meeting (see previous
page)pages). The Notice of Meeting, the proxy and the proxy statement are
being mailed on or about September 3, 2004.
* How do your fund's Trustees recommend that shareholders vote on these
proposals?
The Trustees recommend that you vote
1. For the election of all nominees;
2.electing your fund's nominees for Trustees;
2.A. For selecting Price Waterhouse LLP as the independent
auditors of your fund;
3.A. For amending the fund'sapproving an amendment to certain funds' fundamental investment
restrictionrestrictions with respect to borrowing;
2.B. For approving an amendment to certain funds' fundamental
investment restrictions with respect to making loans;
2.C. For approving an amendment to certain funds' fundamental investment
restrictions with respect to diversification of investments;
3.B.2.D. For amending the fund'sapproving an amendment to certain funds' fundamental investment
restrictionrestrictions with respect to investments inissuance of senior securities;
2.E. For approving an amendment to a fund's investment objective and
3. For approving an amendment to certain funds' Agreements and
Declarations of Trust.
Please see the securities oftable beginning on page 6 for a single
issuer;
3.C. For amending the fund's fundamental investment restriction
with respect to making loans through purchases of debt
obligations, repurchase agreements and securities loans;
3.D. For eliminating the fund's fundamental investment
restriction with respect to investments in securities of
issuers in which managementlist of the affected
funds or Putnam
Investment Management, Inc. owns securities;
3.E. For eliminating the fund's fundamental investment
restriction with respect to margin transactions;
3.F. For eliminating the fund's fundamental investment
restriction with respect to short sales;
3.G. For amending the fund's fundamental investment restriction
with respect to investments in commodities or commodity
contracts;
3.H. For eliminating the fund's fundamental investment
restriction which limits the fund's ability to pledge
assets;
3.I. For eliminating the fund's fundamental investment
restriction with respect to investments in restricted
securities;
3.J. For eliminating the fund's fundamental investment
restriction with respect to investments in certain oil, gas
and mineral interests;
3.K. For eliminating the fund's fundamental investment
restriction with respect to investing to gain control of a
company's management.for each proposal.
* Who is eligible to vote?
Shareholders of record of each affected fund at the close of business on
June 7, 1996,August 13, 2004 are entitled to be present and to vote at the meeting or
any adjourned meeting.
The Notice of Meeting, the proxy, and the
Proxy Statement have been mailed to shareholders of record on or
about July , 1996.
Each share is entitled to one vote. Shareholders of all of the
funds will vote together with respect to Proposal 1 and Proposal
2, and will vote by individual fund with respect to Proposals
3.A.-3.K. Shares represented by your duly
executed proxiesproxy will be voted in accordance with shareholders'your instructions. If
you sign the proxy, but don't fill in a vote, your shares will be voted
in accordance with the Trustees' recommendations. If any other business
is brought before theyour fund's meeting, your shares will be voted at the
Trustees' discretion.
Shareholders of each fund vote separately with respect to each proposal
other than the election of Trustees and the amendment to a trust's
agreement and declaration of trust, where in each case shareholders of
each series of a trust vote together as a single class. The outcome of a
vote affecting one fund does not affect any other fund, except where
series of a trust vote together.
The Proposals
I. ELECTION OF TRUSTEESElection of Trustees
* Who are the nominees for Trustees?
The Board Policy and Nominating Committee of the Trustees recommends that the
number of Trustees be fixed at fourteen and that you vote for the
election ofeach fund
makes recommendations concerning the nominees described below. Each nominee is
currently a Trusteefor Trustees of the Trustthat fund.
The Board Policy and of the other Putnam funds.
The Nominating Committee of the Trustees consists solely of Trustees
who are not "interested persons" (as defined in the Investment Company
Act of 1940)1940, as amended (the "1940 Act")) of your fund or of Putnam
Investment Management, Inc.,LLC, your fund's investment manager ("Putnam
Management"). Those Trustees who are not "interested persons" of your
fund or Putnam Management are referred to as "Independent Trustees"
throughout this proxy statement.
The Board Policy and Nominating Committee of each fund has fixed the
number of Trustees of each fund at 14 and recommends that you vote for
the election of the nominees described in the following pages.
The 14 nominees for election as Trustees at the shareholder meeting of
your fund who receive the greatest number of votes from shareholders
will be elected as Trustees of your fund.
The nominees for Trustees and their backgrounds are shown in the
following pages. This information includes each nominee's name, date of
birth, principal occupation(s) during the past five years and other
information about the nominee's professional background, including other
directorships the nominee holds. Each Trustee oversees all of the Putnam
funds and serves until the election and qualification of his or her
successor, or until he or she sooner dies, resigns or is removed. Each
nominee other than Ms. Drucker and Messrs. Haldeman and Worley currently
serves as a Trustee of your fund. The address of all of the Trustees and
nominees is One Post Office Square, Boston, Massachusetts 02109. At
December 31, 2003, there were 101 Putnam funds.
Jameson AdkinsA. Baxter [Insert Picture](9/6/43),
Trustee since 1994
[GRAPHIC OMITTED: PHOTO OF JAMESON A. BAXTER]
- --------------------------------------------
Ms. Baxter age 52, is the President of Baxter Associates, Inc., a management and financial consultingprivate
investment firm whichthat she founded in 1986.
During that time, she was alsoMs. Baxter serves as a Vice PresidentDirector of ASHTA Chemicals, Inc., Banta
Corporation (a printing and Principaldigital imaging firm), Ryerson Tull, Inc. (a
steel service corporation), Advocate Health Care and BoardSource,
formerly the National Center for Nonprofit Boards. She is Chairman
Emeritus of the Regency Group, Inc.,Board of Trustees, Mount Holyoke College, having served
as Chairman for five years and as a Consultant to First
Boston Corporation, both of which are investment banking firms.
From 1965 to 1986,board member for thirteen years.
Until 2002, Ms. Baxter was a Director of Intermatic Corporation (a
manufacturer of energy control products).
Ms. Baxter has held various positions in investment banking and
corporate finance, at First Boston.
Ms. Baxter currently also serves as a Director of Banta
Corporation, Avondale Federal Savings Bank,including Vice President and ASHTA Chemicals,
Inc. She is also the Chairman EmeritusPrincipal of the Board of Trustees
of Mount Holyoke College, having previously served as Chairman
for five yearsRegency
Group, and as a Board member for thirteen years; an
Honorary Trustee and pastVice President of the Board of Trustees of
the Emma Willard School; and Chair of the Board of Governors of
Good Shepherd Hospital. Ms. BaxterConsultant to First Boston Corporation.
She is a graduate of Mount Holyoke College.
Hans H. Estin
[Insert Picture]Charles B. Curtis (4/27/40),
Trustee since 2001
[GRAPHIC OMITTED: PHOTO OF CHARLES B. CURTIS]
- --------------------------------------------
Mr. Estin, age 67,Curtis is President and Chief Operating Officer of the Nuclear
Threat Initiative (a private foundation dealing with national security
issues) and serves as Senior Advisor to the United Nations Foundation.
Mr. Curtis is a Chartered Financial Analystmember of the Council on Foreign Relations and the
ViceTrustee Advisory Council of the Applied Physics Laboratory, Johns
Hopkins University. Until 2003, Mr. Curtis was a member of the Electric
Power Research Institute Advisory Council and the University of Chicago
Board of Governors for Argonne National Laboratory. Prior to 2002, Mr.
Curtis was a Member of the Board of Directors of the Gas Technology
Institute and the Board of Directors of the Environment and Natural
Resources Program Steering Committee, John F. Kennedy School of
Government, Harvard University. Until 2001, Mr. Curtis was a member of
the Department of Defense Policy Board and Director of EG&G Technical
Services, Inc. (a fossil energy research and development support
company).
From August 1997 to December 1999, Mr. Curtis was a Partner at Hogan &
Hartson L.L.P., a Washington, D.C. law firm. Prior to May 1997, Mr.
Curtis was Deputy Secretary of Energy. He served as Chairman of North American Management Corp.,the
Federal Energy Regulatory Commission from 1977 to 1981 and has held
positions on the staff of the U.S. House of Representatives, the U.S.
Treasury Department and the SEC.
Myra R. Drucker (1/16/48)
[GRAPHIC OMITTED: PHOTO OF MYRA R. DRUCKER]
- ------------------------------------------
Ms. Drucker is a registered
investment adviser serving individual clients and their families.
Mr. Estin currently also serves as a Director of The Boston
Company, Inc., a registered investment adviser which provides
administrative and investment management services to mutual funds
and other institutional investors, and Boston Safe Deposit and
Trust Company; a Corporation Member of Massachusetts General
Hospital; and a Trustee of New England Aquarium. He previously
served as the ChairmanVice Chair of the Board of Trustees of Boston
UniversitySarah Lawrence
College, a Trustee of Commonfund (a not-for-profit firm specializing in
asset management for educational endowments and foundations) and a
member of the Investment Committee of the Kresge Foundation (a
charitable trust). She is currently activealso Chair of the New York Stock Exchange
(NYSE) Pension Managers Advisory Committee and a member of the Executive
Committee of the Committee on Investment of Employee Benefit Assets.
Until August 31, 2004, Ms. Drucker was Managing Director and a member of
the Board of Directors of General Motors Asset Management and Chief
Investment Officer of General Motors Trust Bank. Ms. Drucker also served
as a member of the NYSE Corporate Accountability and Listing Standards
Committee and the NYSE/NASD IPO Advisory Committee.
Prior to joining General Motors Asset Management in 2001, Ms. Drucker
held various other civic
associations, includingexecutive positions in the Boys & Girls Clubsinvestment management industry.
Ms. Drucker served as Chief Investment Officer of Boston, Inc.
Mr. Estin isXerox Corporation (a
technology and service company in the document industry), where she was
responsible for the investment of the company's pension assets. Ms.
Drucker was also Staff Vice President and Director of Trust Investments
for International Paper (a paper, paper distribution, packaging and
forest products company) and previously served as Manager of Trust
Investments for Xerox Corporation. Ms. Drucker received a graduate of HarvardB.A. degree in
Literature and Psychology from Sarah Lawrence College and holds honorary
doctorates from Merrimack Collegepursued
graduate studies in economics, statistics and Bostonportfolio theory at Temple
University.
John A. Hill [Insert Picture](1/31/42),
Trustee since 1985 and Chairman since 2000
[GRAPHIC OMITTED: PHOTO OF JOHN A. HILL]
- ---------------------------------------
Mr. Hill age 54, is theVice Chairman and Managing Director of First Reserve Corporation, a registered investment adviser investingprivate equity
buyout firm that specializes in companiesenergy investments in the world-widediversified
worldwide energy industry on behalfindustry.
Mr. Hill is a Director of institutional investors.Devon Energy Corporation, TransMontaigne Oil
Company, Continuum Health Partners of New York and various private
companies controlled by First Reserve Corporation, as well as a Trustee
of TH Lee, Putnam Investment Trust (a closed-end investment company
advised by an affiliate of Putnam Management). He is also a Trustee of
Sarah Lawrence College.
Prior to acquiring First Reserve Corporation in 1983, Mr. Hill held
executive positions in investment banking and investment management with
several investment advisory firms and held various
positions with the Federalfederal government, including Deputy
Associate Director of the Office of Management and Budget and Deputy
AdministratorDirector of the Federal Energy Administration. Mr. Hill currently also serves as a Director of Snyder Oil
Corporation, an exploration and production company which he
founded, Maverick Tube Corporation, a manufacturer of structural
steel, pipe and well casings, PetroCorp Incorporated, an
exploration and production company, Weatherford Enterra, Inc., an
oil field service company, various private companies controlled
by First Reserve Corporation, and various First Reserve Funds.
He is also a Member of the Board of Advisors of Fund Directions.
He is currently active in various
business associations, including the Economic Club of New York, and
lectures on energy issues in the United States and Europe. Mr. Hill
isholds a graduate
ofB.A. degree in Economics from Southern Methodist University.University and
pursued graduate studies there as a Woodrow Wilson Fellow.
Ronald J. Jackson [Insert Picture](12/17/43),
Trustee since 1996
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- --------------------------------------------
Mr. Jackson age 52, was Chairmanis a private investor.
Mr. Jackson is President of the Kathleen and Ronald J. Jackson
Foundation (a charitable trust). He is also a member of the Board of
Overseers of WGBH (a public television and radio station) as well as a
member of the Board of Overseers of the Peabody Essex Museum.
Mr. Jackson is the former Chairman, President and Chief Executive
Officer of Fisher-Price, Inc., a (a major toy manufacturer,manufacturer), from 1990 towhich he
retired in 1993. He previously served as President and Chief Executive
Officer of Stride-Rite, Inc., a (a manufacturer and distributor of
footwear, from 1989 to 1990,footwear) and
as President and Chief Executive Officer of Kenner Parker Toys, Inc., a (a major toy and game
manufacturer, from 1985 to 1987.
Prior to that, hemanufacturer). Mr. Jackson was President of Talbots, Inc. (a distributor
of women's apparel) and has held various financial and marketing positions atwith
General Mills, Inc. from 1966 to 1985, including Vice
President, Controller and Vice President of Marketing for Parker Brothers a(a toy and game company, and President of Talbots, a
retailer and direct marketer of women's apparel.
Mr. Jackson currently serves as a Trustee of Salem Hospital and
an Overseer of the Peabody Essex Museum. He previously served as
a Director of a number of public companies including Fisher-
Price, Inc., Kenner Parker Toys, Inc., Stride-Rite, Inc. and
Mattel, Inc., a major toy manufacturer.company). Mr.
Jackson is a graduate of the University of Michigan State University Business School.
Paul L. Joskow (6/30/47),
Trustee since 1997
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- -----------------------------------------
Dr. Joskow is the Elizabeth and James Killian Professor of Economics and
Management, and Director of the Center for Energy and Environmental
Policy Research at the Massachusetts Institute of Technology.
Dr. Joskow serves as a Director of National Grid Transco (a UK-based
holding company with interests in electric and gas transmission and
distribution and telecommunications infrastructure) and TransCanada
Corporation (an energy company focused on natural gas transmission and
power services). He also serves on the board of the Whitehead Institute
for Biomedical Research (a non-profit research institution) and has been
President of the Yale University Council since 1993. Prior to February
2002, he was a Director of State Farm Indemnity Company (an automobile
insurance company), and, prior to March 2000, he was a Director of New
England Electric System (a public utility holding company).
Dr. Joskow has published five books and numerous articles on topics in
industrial organization, government regulation of industry and
competition policy. He is active in industry restructuring,
environmental, energy, competition and privatization policies -- serving
as an advisor to governments and corporations worldwide. Dr. Joskow
holds a Ph.D. and M. Phil from Yale University and B.A. from Cornell
University.
Elizabeth T. Kennan [Insert Picture]
Ms.(2/25/38),
Trustee since 1992
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- ----------------------------------------------
Dr. Kennan age 58,is a Partner of Cambus-Kenneth Farm (thoroughbred horse and
cattle breeding). She is President Emeritus and Professor of Mount Holyoke College.
From 1978 through June 1995, she wasDr. Kennan served as Chairman and is now Lead Director of Northeast
Utilities and is a Director of Talbots, Inc. She has served as Director
on a number of other boards, including Bell Atlantic, Chastain Real
Estate, Shawmut Bank, Berkshire Life Insurance and Kentucky Home Life
Insurance. She is a Trustee of the National Trust for Historic
Preservation, of Centre College and of Midway College in Midway,
Kentucky. She is also a member of The Trustees of Reservations. Dr.
Kennan has served on the oversight committee of the Folger Shakespeare
Library, as President of Mount Holyoke College. From 1966 to 1978, she was onFive Colleges Incorporated, as a Trustee of
Notre Dame University and is active in various educational and civic
associations.
As a member of the faculty of Catholic University where shefor twelve years,
until 1978, Dr. Kennan directed the post-doctoral program in Patristic
and Medieval Studies, taught history and published numerous articles.
Ms.Dr. Kennan currently alsoholds a Ph.D. from the University of Washington in Seattle,
an M.S. from St. Hilda's College at Oxford University and an A.B. from
Mount Holyoke College. She holds several honorary doctorates.
John H. Mullin, III (6/15/41),
Trustee since 1997
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- ----------------------------------------------
Mr. Mullin is the Chairman and CEO of Ridgeway Farm (a limited liability
company engaged in timber and farming).
Mr. Mullin serves as a Director of NYNEXThe Liberty Corporation a telecommunications(a
broadcasting company), Progress Energy, Inc. (a utility company,
Northeast Utilities,
the Kentucky Home Life Insurance Companies,formerly known as Carolina Power & Light) and Talbots. She
also serves as a MemberSonoco Products, Inc. (a
packaging company). Mr. Mullin is Trustee Emeritus of The Folger Shakespeare LibraryNational
Humanities Center and Washington & Lee University, where he served as
Chairman of the Investment Committee. ShePrior to May 2001, he was a
Director of Graphic Packaging International Corp. Prior to February
2004, he was a Director of Alex Brown Realty, Inc.
Mr. Mullin is currently active in various educationalalso a past Director of Adolph Coors Company; ACX
Technologies, Inc.; Crystal Brands, Inc.; Dillon, Read & Co., Inc.;
Fisher-Price, Inc.; and civic associations, including the Committee on Economic
Development and the Council on Foreign Relations. Ms. KennanThe Ryland Group, Inc. Mr. Mullin is a graduate
of Mount Holyoke College, theWashington & Lee University and The Wharton Graduate School,
University of Washington
and St. Hilda College at Oxford University and holds several
honorary doctorates.
Lawrence J. Lasser*
[Insert Picture]
Mr. Lasser, age 53, is the Vice President of your fund and the
other Putnam funds. He has been the President, Chief Executive
Officer and a Director of Putnam Investments, Inc. and Putnam
Management since 1985, having begun his career there in 1969.
Mr. Lasser currently also serves as a Director of Marsh &
McLennan Companies, Inc., the parent company of Putnam
Management, and INROADS/Central New England, Inc., a job market
internship program for minority high school and college students.
He is a Member of the Board of Overseers of the Museum of
Science, the Museum of Fine Arts and the Isabella Stewart Gardner
Museum in Boston. He is also a Trustee of the Beth Israel
Hospital and Buckingham, Browne and Nichols School. Mr. Lasser
is a graduate of Antioch College and Harvard Business School.Pennsylvania.
Robert E. Patterson [Insert Picture](3/15/45),
Trustee since 1984
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- ----------------------------------------------
Mr. Patterson age 51, is the Executive Vice President and
Director of AcquisitionsSenior Partner of Cabot Partners Limited Partnership, a
registered investment adviser which manages real estate
investments for institutional investors. Prior to 1990, he was
the Executive Vice PresidentProperties, L.P. and Chairman
of Cabot Cabot & Forbes Realty
Advisors,Properties, Inc., the predecessor company of Cabot Partners. Prior
to that, he was a Senior Vice President of the Beal Companies, a
real estate management, investment and development company. He
has also worked as an attorney and held various positions in
state government, including the founding Executive Director of
the Massachusetts Industrial Finance Agency.
Mr. Patterson currently also serves as Chairman of the Joslin Diabetes Center and as a
Director of Brandywine Trust Company. Prior to June 2003, he was a
Trustee of Sea Education Association. Prior to December 2001, he was
President and Trustee of Cabot Industrial Trust (a publicly traded real
estate investment trust), prior to February 1998, he was Executive Vice
President and Director of Acquisitions of Cabot Partners Limited
Partnership (a registered investment adviser involved in institutional
real estate investments) and, prior to 1990, he served as Executive Vice
President of Cabot, Cabot & Forbes Realty Advisors, Inc. (the
predecessor company of Cabot Partners) and as a Senior Vice President of
the Beal Companies (a real estate management, investment and development
firm).
Mr. Patterson practiced law and held various positions in state
government and was the founding Executive Director of the Massachusetts
Industrial Finance Agency. Mr. Patterson is a graduate of Harvard
College and Harvard Law School.
Donald S. Perkins*
[Insert Picture]W. Thomas Stephens (9/2/42),
Trustee since 1997
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- ---------------------------------------------
Mr. Perkins, age 69,Stephens serves on a number of corporate boards.
Effective November 2004, Mr. Stephens is the retiredexpected to become Chief
Executive Officer of Boise Cascade, L.L.C. (a paper, forest product and
timberland assets company). Mr. Stephens serves as a Director of Xcel
Energy Incorporated (a public utility company) and TransCanada Pipelines
Limited. Until 2004, Mr. Stephens was a Director of Qwest Communications
and Norske Canada, Inc. (a paper manufacturer). Until 2003, Mr. Stephens
was a Director of Mail-Well, Inc. (a diversified printing company). He
served as Chairman of Mail-Well until 2001 and as CEO of
MacMillan-Bloedel, Ltd. (a forest products company) until 1999.
Prior to 1996, Mr. Stephens was Chairman and Chief Executive Officer of
Johns Manville Corporation. He holds B.S. and M.S. degrees from the
BoardUniversity of Jewel Companies, Inc.,Arkansas.
Richard B. Worley (11/15/45)
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- --------------------------------------------
Mr. Worley is Managing Partner of Permit Capital LLC, an investment
management firm.
Mr. Worley serves on the Executive Committee of the University of
Pennsylvania Medical Center, is a diversified retailer, where among other
roles heTrustee of The Robert Wood Johnson
Foundation (a philanthropic organization devoted to health care issues)
and is a Director of The Colonial Williamsburg Foundation (a historical
preservation organization). Mr. Worley also serves on the investment
committees of Mount Holyoke College and World Wildlife Fund (a wildlife
conservation organization).
Prior to joining Permit Capital LLC in 2002, Mr. Worley served as Chief
Strategic Officer of Morgan Stanley Investment Management. He previously
served as President, Chief Executive Officer and Chief Investment
Officer of Morgan Stanley Dean Witter Investment Management and as a
Managing Director of Morgan Stanley, a financial services firm. Mr.
Worley also was the Chairman of Miller Anderson & Sherrerd, an
investment management firm. Mr. Worley holds a B.S. degree from
University of Tennessee and pursued graduate studies in economics at the
University of Texas.
* Interested Trustees
Charles E. Haldeman, Jr.* (10/29/48)
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- ---------------------------------------------------
Mr. Haldeman is President and Chief Executive Officer of Putnam, LLC
("Putnam Investments"). He is a member of Putnam Investments' Executive
Board from 1965of Directors and Advisory Council. Prior to 1980. He currently also
servesNovember 2003, Mr.
Haldeman served as a DirectorCo-Head of various other public corporations,
including AON Corp., an insurance company, Cummins Engine
Company, Inc., an engine and power generator equipment
manufacturer and assembler, Current Assets L.L.C., a corporation
providing financial staffing services, Illinova and Illinois
Power Co., Inland Steel Industries, Inc., LaSalle Street Funds,
Inc., a real estatePutnam Investments' Investment Division.
Prior to joining Putnam Investments in 2002, Mr. Haldeman held executive
positions in the investment trust, Lucent Technologies Inc.,
Springs Industries, Inc., a textile manufacturer, and Time
Warner, Inc., one of the nation's largest media conglomerates.
Hemanagement industry. Mr. Haldeman previously
served as Chief Executive Officer of Delaware Investments and President
& Chief Operating Officer of United Asset Management. Mr. Haldeman was
also a Directorpartner and director of several other major public
corporations, including Corning Glass Works, Eastman Kodak
Company, Firestone TireCooke & Rubber Company and Kmart Corporation.Bieler, Inc. (an investment
management firm). Mr. PerkinsHaldeman currently also serves as a Trustee and Vice Chairman
of
Northwestern UniversityDartmouth College and as aEmeritus Trustee of the Hospital
Research and Education Trust. He is currently active in various
civic and business associations, including the Business Council
and the Civic Committee of the Commercial Club of Chicago, of
which he is the founding Chairman.Abington Memorial Hospital.
Mr. PerkinsHaldeman is a graduate of Yale UniversityDartmouth College, Harvard Law School and
Harvard Business School and holds an honorary
doctorate from Loyola University of Chicago.
William F. Pounds
[Insert Picture]
Dr. Pounds, age 68, is the Vice Chairman of your funds and of the
other Putnam funds. He has been a Professor of Management at the
Alfred P. Sloan School of Management at the Massachusetts
Institute of Technology since 1961 and served as Dean of that
School from 1966 to 1980. He previously served as Senior Advisor
to the Rockefeller Family and Associates and was a past Chairman
of Rockefeller & Co., Inc., a registered investment adviser which
manages Rockefeller family assets, and Rockefeller Trust Company.
Dr. Pounds currently also serves as a Director of IDEXX
Laboratories, Inc., EG&G, Inc., Perseptive Biosystems, Inc.,
Management Sciences For Health, Inc. and Sun Company, Inc. HeSchool. Mr. Haldeman is also a Trustee of the Museum of Fine Arts in Boston; an Overseer
of WGBH Educational Foundation, and a Fellow of The American
Academy of Arts and Sciences. He previously served as a Director
of Fisher-Price, Inc. and General Mills, Inc. Dr. Pounds is a
graduate of Carnegie-Mellon University.
George Putnam*
[Insert Picture]
Mr. Putnam, age 69, is the Chairman and President of your funds
and of the other Putnam funds. He is the Chairman and a Director
of Putnam Management and Putnam Mutual Funds Corp. and a Director
of Marsh & McLennan, their parent company. Mr. Putnam is the son
of the founder of the Putnam funds and Putnam Management and has
been employed in various capacities by Putnam Management since
1951, including Chief Executive Officer from 1961 to 1973. He is
a former Overseer and Treasurer of Harvard University; a past
Chairman of the Harvard Management Company; and a Trustee
Emeritus of Wellesley College and Bradford College.
Mr. Putnam currently also serves as a Director of The Boston
Company, Inc., Boston Safe Deposit and Trust Company, Freeport-
McMoRan, Inc., Freeport Copper and Gold, Inc., McMoRan Oil and
Gas, Inc., mining and natural resources companies, General Mills,
Inc., a major manufacturer of food products, Houghton Mifflin
Company, a major publishing company, and Rockefeller Group, Inc.,
a real estate manager. He is also a Trustee of Massachusetts
General Hospital, McLean Hospital, Vincent Memorial Hospital,
WGBH Educational Foundation and the Museum of Fine Arts and the
Museum of Science in Boston; the New England Aquarium; an
Overseer of Northeastern University; and a Fellow of The American
Academy of Arts and Sciences. Mr. Putnam is a graduate of
Harvard College and Harvard Business School and holds honorary
doctorates from Bates College and Harvard University.Chartered Financial
Analyst (CFA) charterholder.
George Putnam III* [Insert Picture](8/10/51),
Trustee since 1984 and President since 2000
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- --------------------------------------------
Mr. Putnam age 44, is the President of New Generation Research, Inc., a (a publisher of
financial advisory and other research services relating to bankruptservices) and distressed companies, andof New Generation
Advisers, Inc., a (a registered investment adviser which
provides advice to private funds specializing in investments in
such companies. Prior to foundingfunds). Mr.
Putnam founded the New Generation companies in 1985,1986.
Mr. Putnam was an attorney with the Philadelphia law firm Dechert
Price & Rhoads.
Mr. Putnam currently also serves asis a Director of the
Massachusetts Audubon Society.The Boston Family Office, LLC (a registered
investment adviser). He is alsoa Trustee of St. Mark's School, Shore Country
Day School, and until 2002 was a Trustee of the Sea Education
Association and St. Mark's School andAssociation.
Mr. Putnam previously worked as an Overseerattorney with the law firm of the New England Medical Center. Mr. PutnamDechert
LLP (formerly known as Dechert Price & Rhoads) in Philadelphia. He is a
graduate of Harvard College, Harvard Business School and Harvard Law
School.
Eli Shapiro
[Insert Picture]
Dr. Shapiro, age 79, is the Alfred P. Sloan Professor of
Management, Emeritus at the Alfred P. Sloan School of Management
at the Massachusetts Institute of Technology, having served on
the faculty of the Sloan School for eighteen years. He
previously was also on the faculty of Harvard Business School,
The University of Chicago School of Business and Brooklyn
College. During his academic career, Dr. Shapiro authored
numerous publications concerning finance and related topics. He
previously served as the President and Chief Executive Officer of
the National Bureau of Economic Research and also provided
economic and financial consulting services to various clients.
Dr. Shapiro is a past Director of many companies, including
Nomura Dividend Income Funds, Inc., a privately held registered
investment company managed by Putnam Management, Reece
Corporation, a sewing machine manufacturer, Commonwealth
Mortgage, Dexter Corporation, a manufacturer of plastics and
related products, Avis Corporation, a car rental company,
Connecticut Bank and Trust Company, Connecticut National Gas
Corporation, the Federal Home Loan Bank of Boston, where he
served as Chairman from 1977 to 1989, Travelers' Corporation, an
insurance company, and Norlin Corporation, a musical instrument
manufacturer; and a past Trustee of Mount Holyoke College and the
Putnam funds (from 1984 to 1989).
Dr. Shapiro is a Fellow of The American Academy of Arts and
Sciences and is active in various professional and civic
associations, including the American Economic Association, the
American Finance Association and the Council on Foreign
Relations. Dr. Shapiro is a graduate of Brooklyn College and
Columbia University.
A.J.C. Smith* [Insert Picture](4/13/34),
Trustee since 1986
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- ---------------------------------------
Mr. Smith age 62, is the Chairman of Putnam Investments and Chief Executive OfficerDirector of and
Consultant to Marsh & McLennan Companies, Inc.
He has been employed by Marsh &
McLennan and related companies in various capacities since 1961.
Mr. Smith is also a Director of the Trident Corp., and he (a limited partnership
with over thirty institutional investors). He is also serves
as a Trustee of the
Carnegie Hall Society, the Educational Broadcasting Corporation, and the
National Museums of Scotland. He is Chairman of the Central Park
Conservancy The American Institute for Chartered Property
Underwriters, and is a Founder of the Museum of Scotland Society.
He was educated in Scotland and is a Fellow of the Faculty of
Actuaries in Edinburgh, a Fellow of the Canadian Institute of
Actuaries, a Fellow of the Conference of Actuaries in Public
Practice, an Associate of the Society of Actuaries, a Member of the American AcademyBoard of Actuaries,Overseers of the International Actuarial
AssociationJoan and
the International AssociationSanford I. Weill Graduate School of Consulting
Actuaries.
W. Nicholas Thorndike**
[Insert Picture]
Mr. Thorndike, age 63, serves as a DirectorMedical Sciences of various
corporations and charitable organizations, including Data General
Corporation, a computer and high technology company, Bradley Real
Estate, Inc., a real estate investment firm, Providence Journal
Co., a newspaper publisher and owner of television stations, and
Courier Corporation, a book binding and printing company. He is
also a Trustee of Eastern Utilities Associates, Massachusetts
General Hospital, where he previously served as chairman and
president, and NortheasternCornell
University. Prior to December 1988, heMay 2000 and November 1999, Mr. Smith was the Chairman of the Board and
Managing Partner of Wellington Management Company/Thorndike,
Doran, Paine & Lewis, a registered investment adviser which
manages mutual funds and institutional assets. He also
previously served as a Trustee of the Wellington Group of Funds
(now The Vanguard Group) and was the Chairman
and a DirectorCEO, respectively, of Ivest Funds,Marsh & McLennan Companies, Inc.
Mr. Thorndike is a graduate of Harvard
College.
- ----------------------------------------------------------------------------------------------------
* Nominees who are or may be deemed to be "interested persons" (as
defined in the Investment Company Act1940 Act) of 1940) of the
Trust,a fund, Putnam Management, and Putnam Mutual Funds Corp.Retail
Management Limited Partnership ("Putnam Mutual Funds"Retail Management") or Marsh &
McLennan Companies, Inc., the principal underwriter for all
the open-end Putnam funds and an affiliateparent company of Putnam Management.Investments and
its affiliated companies. Messrs. Haldeman, Putnam Lasser, and Smith are deemed
"interested persons" by virtue of their positions as officers or shareholders of the Trust, or directors ofeach
fund, Putnam Management, Putnam Mutual Funds,Retail Management or Marsh & McLennan
Companies, Inc., the parent company and as shareholders of Marsh & McLennan Companies, Inc.
Mr. Haldeman is President and Chief Executive Officer of Putnam
Management and
Putnam Mutual Funds.Investments. Mr. George Putnam, III Mr. Putnam's
son, is also an "interested person"the President of each of the Trust,funds. Mr.
Smith is the Chairman of Putnam Management,Investments and Putnam Mutual Funds. Mr. Perkins may be
deemed to be an "interested person" of the Trust because of
his serviceserves as a directorDirector of
a certain publicly held company
that includes registered broker-dealer firms among its
subsidiaries. Neither the Trust nor any of the other Putnam
funds currently engages in any transactions with such firms
except that certain of such firms act as dealers in the
retail sale of shares of certain Putnam funds in the
ordinary course of their business.and Consultant to Marsh & McLennan Companies, Inc. The balance of the
nominees are not "interested persons."
** In February 1994Ms. Drucker and Mr. Thorndike accepted appointmentHaldeman were each recommended for consideration as
a successor trusteenominee for Trustee of certain private trusts in which he has
no beneficial interest. Atyour fund by an Independent Trustee. Mr. Worley
was recommended for consideration as a nominee for Trustee of your fund
by a third-party search firm that time he also became
Chairman of the Board of two privately owned corporations
controlled by such trusts, serving in that capacity until
October 1994. These corporations filed voluntary petitions
for relief under Chapter 11 of the U.S. Bankruptcy Code in
August 1994.
Except as indicated above, the principal occupations and business
experience of the nominees for the last five years have been with
the employers indicated, although in some cases they have held
different positions with those employers. Except for Dr. Shapiro
and Mr. Jackson, all the nominees were elected by consent of the
sole shareholder in January, 1994. Dr. Shapiro and Mr. Jackson
were electedwas engaged by the otherTrustees. The
third-party search firm assisted the Trustees in April 1995identifying and
May 1996,
respectively. As indicated above, Dr. Shapiro also previously
served as a Trustee of the Putnam funds from 1984 to 1989.evaluating potential nominees.
The 14 nominees for election as Trustees at the shareholder meeting
of the Trust who receive the greatest number of votes will be elected as Trustees of your fund.
Shares of all of the funds will be
counted together to determine the number of votes for each
Trustee. The current Trustees serve until their successors are elected and
qualified. Each of the nominees has agreed to serve as a Trustee if
elected. If any of the nominees is unavailable for election at the time
of the meeting, which is not anticipated, the Trustees may vote for
other nominees at their discretion, or the Trustees may recommend that the shareholders fix the number
of Trustees at lessfewer than 14 for the Trust.your fund.
* What are the Trustees' responsibilities?
The Trust'sYour fund's Trustees are responsible for the general oversight of the Trust's and your
fund's businessaffairs and for assuring that your fund is managed in the best
interests of its shareholders. The Trustees periodicallyregularly review your fund's
investment performance as well as the quality of other services provided
to your fund and its shareholders by Putnam Management and its
affiliates, including administration, distribution, custody distribution and
investorshareholder servicing. At least annually, the Trustees review and
evaluate the fees and operating expenses paid to Putnam Management and its affiliatesby your fund for these
services and the overall level of your fund's operating expenses.negotiate changes that they deem appropriate. In carrying
out these responsibilities, the Trustees are assisted by an independent
administrative staff and by your fund's independent auditors,
independent counsel and other experts as appropriate, selected by and
responsible to the Trust'sTrustees.
The 1940 Act and the rules and regulations promulgated thereunder
require that your fund have a minimum proportion of trustees who are not
"interested persons" (as defined in the 1940 Act) of your fund or your
fund's investment manager. These independent trustees must vote
separately to approve all financial arrangements and other agreements
with your fund's investment manager and other affiliated parties. The
role of independent trustees has been characterized as that of a
"watchdog" charged with oversight to protect shareholders' interests
against overreaching and abuse by those who are in a position to control
or influence a fund. Your fund's Independent Trustees meet regularly as
a group in executive session. Eleven of the 14 nominees for election as
Trustee would be Independent Trustees.
Board committees. Your fund's Trustees have determined that the
efficient conduct of your fund's affairs makes it desirable to delegate
responsibility for certain specific matters to committees of the board.
Certain committees (the Executive Committee, Distributions Committee and
Audit and Pricing Committee) are authorized to act for the Trustees as
specified in their charters. The other committees review and evaluate
matters specified in their charters and make recommendations to the
Trustees as they deem appropriate. Each committee may utilize the
resources of your fund's independent staff, counsel and auditors as well
as other experts. The committees meet as often as necessary, either in
conjunction with regular meetings of the Trustees or otherwise. The
membership and legal counsel, whichchairperson of each committee are selectedappointed by the
Trustees upon recommendation of the Board Policy and Nominating
Committee.
Audit and Pricing Committee. The Audit and Pricing Committee provides
oversight on matters relating to the preparation of the funds' financial
statements, compliance matters and Code of Ethics issues. This oversight
is discharged by regularly meeting with management and the funds'
independent auditors and keeping current on industry developments.
Duties of this Committee also include the review and evaluation of all
matters and relationships pertaining to the funds' independent auditors,
including their independence. The members of the Audit and Pricing
Committee of your fund include only Independent Trustees. The Committee
also reviews the funds' policies and procedures for achieving accurate
and timely pricing of the funds' shares, including oversight of fair
value determinations of individual securities made by Putnam Management
or other designated agents of the funds. The Committee oversees
compliance by money market funds with Rule 2a-7, interfund transactions
pursuant to Rule 17a-7 and the correction of occasional pricing errors.
The Committee also receives reports regarding the liquidity of portfolio
securities. The Trustees have adopted a written charter for the Audit
and Pricing Committee. The Committee currently consists of Drs. Joskow
(Chairperson) and Kennan and Messrs. Patterson and Stephens.
Board Policy and Nominating Committee. The Board Policy and Nominating
Committee reviews policy matters pertaining to the operations of the
Board of Trustees and its committees, the compensation of the Trustees
and their staff and the conduct of legal affairs for the Putnam funds.
The Committee also oversees the voting of proxies associated with
portfolio investments of the Putnam funds, with the goal of ensuring
that these proxies are independentvoted in the best interest of the funds'
shareholders.
The Committee evaluates and recommends all candidates for election as
Trustees and recommends the appointment of members and chairs of each
board committee. The Committee also identifies prospective nominees for
election as trustee by considering individuals who come to its attention
through the recommendation of current Trustees, Putnam Management or
shareholders. Candidates properly submitted by shareholders (as
described below) will be considered and evaluated on the same basis as
candidates recommended by other sources. The Committee may, but is not
required to, engage a third-party professional search firm to assist it
in identifying and evaluating potential nominees.
When evaluating a potential candidate for membership on the Board of
Trustees, the Committee considers the skills and characteristics that it
feels would most benefit the Putnam funds at the time the evaluation is
made. The Committee may take into account a wide variety of attributes
in considering potential trustee candidates, including, but not limited
to: (i) availability and commitment of a candidate to attend meetings
and perform his or her responsibilities to the Board of Trustees, (ii)
other board experience, (iii) relevant industry and related experience,
(iv) educational background, (v) financial expertise, (vi) an assessment
of the candidate's ability, judgment and expertise, (vii) an assessment
of the perceived needs of the Board of Trustees and its committees at
that point in time and (viii) overall Board of Trustees composition. In
connection with this evaluation, the Committee will determine whether to
interview prospective nominees, and, if warranted, one or more members
of the Committee, and other Trustees and representatives of the funds,
as appropriate, will interview prospective nominees in person or by
telephone. Once this evaluation is completed, the Committee recommends
such candidates as it determines appropriate to the Independent Trustees
for nomination, and the Independent Trustees select the nominees after
considering the recommendation of the Committee.
The Committee will consider nominees for trustee recommended by
shareholders of a fund provided shareholders submit their
recommendations by the date disclosed in the paragraph entitled "Date
for receipt of shareholders' proposals for subsequent meetings of
shareholders," and provided the shareholders' recommendations otherwise
comply with applicable securities laws, including Rule 14a-8 under the
Securities Exchange Act of 1934, as amended (the "1934 Act").
The Committee consists only of Independent Trustees. The Trustees have
adopted a written charter for the Board Policy and Nominating Committee,
a copy of which is attached to this proxy statement as Exhibit A. The
Committee currently consists of Dr. Kennan (Chairperson), Ms. Baxter and
Messrs. Hill, Mullin and Patterson.
Brokerage and Custody Committee. The Brokerage and Custody Committee
reviews the policies and procedures of the funds regarding the execution
of portfolio transactions for the funds, including policies regarding
the allocation of brokerage commissions and soft dollar credits. The
Committee reviews periodic reports regarding the funds' activities
involving derivative securities, and reviews and evaluates matters
relating to the funds' custody arrangements. The Committee currently
consists of Messrs. Jackson (Chairperson), Curtis and Mullin, Ms. Baxter
and Dr. Kennan.
Communication, Service and Marketing Committee. This Committee examines
the quality, cost and levels of services provided to the shareholders of
the Putnam funds. The Committee also reviews communications sent from
the funds to their shareholders, including shareholder reports,
prospectuses, newsletters and other materials. In addition, the
Committee oversees marketing and sales communications of the funds'
distributor. The Committee currently consists of Messrs. Putnam
(Chairperson), Smith and Stephens and Dr. Joskow.
Contract Committee. The Contract Committee reviews and evaluates, at
least annually, all arrangements pertaining to (i) the engagement of
Putnam Management and its affiliates.
Doaffiliates to provide services to the funds,
(ii) the expenditure of the funds' assets for distribution purposes
pursuant to the distribution plans of the open-end funds, and (iii) the
engagement of other persons to provide material services to the funds,
including in particular those instances where the cost of services is
shared between the funds and Putnam Management and its affiliates or
where Putnam Management or its affiliates have a material interest. The
Committee recommends to the Trustees havesuch changes in arrangements as it
deems appropriate. The Committee also reviews the conversion of Class B
shares into Class A shares of the open-end funds in accordance with
procedures approved by the Trustees. After review and evaluation, the
Committee recommends to the Trustees the proposed organization of new
fund products and proposed structural changes to existing funds. The
Committee consists only of Independent Trustees. The Committee currently
consists of Ms. Baxter (Chairperson), Messrs. Curtis, Jackson and Mullin
and Dr. Kennan.
Distributions Committee. This Committee oversees all fund distributions
and approves the amount and timing of distributions paid by all the
funds to the shareholders when the Trustees are not in session. The
Committee also meets regularly with representatives of Putnam Management
and its affiliates to review distribution levels and the funds'
distribution policies. The Committee currently consists of Messrs.
Patterson (Chairperson) and Jackson and Dr. Joskow.
Executive Committee. The functions of the Executive Committee are
twofold. The first is to ensure that the funds' business may be
conducted at times when it is not feasible to convene a meeting of the
Trustees or for the Trustees to act by written consent. The Committee
may exercise any or all of the power and authority of the Trustees when
the Trustees are not in session. The second is to establish annual and
ongoing goals, objectives and priorities for the Board of Trustees and
to ensure coordination of all efforts between the Trustees and Putnam
Management and its affiliates on behalf of the shareholders of the
Putnam funds. The Committee currently consists of Messrs. Hill
(Chairperson), Jackson and Putnam, Dr. Joskow and Ms. Baxter.
Investment Oversight Committees. These Committees regularly meet with
investment personnel of Putnam Management to review the investment
performance and strategies of the Putnam funds in light of their stated
investment objectives and policies. Each such Committee will, among its
duties, identify any compliance issues that are unique to the category
of funds under its review and work with the appropriate board committees
to ensure that any such issues are properly addressed. Investment
Oversight Committee A currently consists of Ms. Baxter (Acting
Chairperson) and Mr. Smith. Investment Oversight Committee B currently
consists of Messrs. Curtis (Chairperson), Hill and Stephens. Investment
Committee C currently consists of Messrs. Mullin (Chairperson) and
Putnam, and Dr. Kennan. Investment Oversight Committee D currently
consists of Messrs. Patterson (Chairperson), Jackson and Joskow.
* How large a stake do the Trustees and nominees have in your fund?the Putnam
funds?
The Trustees believe it is important that each Trustee should, over time, have a significant
investment in the Putnam funds. The Trustees allocate their investments
among the more than 99 Putnam funds based on their own investment needs. The Trustees' aggregate
investments inExcept as
noted, the Putnam funds total over $45 million. The table below listsshows the number of shares beneficially owned by
each current Trustee and nominee and the value of each Trustee's current investmentsand
each nominee's holdings in each fund and in all of the Putnam funds as
of June 30, 2004. As a group.group, the Trustees owned shares of the Putnam
funds valued at over $40 million as of June 30, 2004.
Share Ownership by Trustees+
NumberTRUSTEE/NOMINEE HOLDINGS TABLE
Dollar Shares Dollar Shares Dollar Shares
Range of shares owned asBeneficially Range of 4\25\96 of*:
Year first
elected as
TrusteeBeneficially Range of theBeneficially
Trustees/Nominees Shares Owned Owned Shares Owned Owned Shares Owned Owned
- ---------------------------------------------------------------------------------------------------------------------------
Putnam Asset Allocation: Putnam Asset Allocation: Putnam Asset Allocation:
Balanced Portfolio Conservative Portfolio Growth Balanced Conservative All
funds Portfolio
Portfolio Portfolio Putnam funds**- ---------------------------------------------------------------------------------------------------------------------------
Jameson A. Baxter 1994 23,765
Hans H. Estin 1972 25,936$1-$10,000 180.145 $1-$10,000 190.105 $1-$10,000 355.477
- ---------------------------------------------------------------------------------------------------------------------------
Charles B. Curtis $1-$10,000 112.712 $1-$10,000 133.775 $1-$10,000 113.244
- ---------------------------------------------------------------------------------------------------------------------------
Myra R. Drucker -- -- -- -- -- --
- ---------------------------------------------------------------------------------------------------------------------------
Charles E. Haldeman, Jr.* $10,001-$50,000 1,459.542 $10,001-$50,000 1,197.820 $10,001-$50,000 1,019.417
- ---------------------------------------------------------------------------------------------------------------------------
John A. Hill 1985 115,153Over $100,000 20,906.944 $1-$10,000 446.935 $1-$10,000 442.089
- ---------------------------------------------------------------------------------------------------------------------------
Ronald J. Jackson $1-$10,000 333.567 $1-$10,000 153.456 $1-$10,000 820.551
- ---------------------------------------------------------------------------------------------------------------------------
Paul L. Joskow $10,001-$50,000 1,783.22 $1-$10,000 230.962 $1-$10,000 875.678
- ---------------------------------------------------------------------------------------------------------------------------
Elizabeth T. Kennan 1992 19,185
Lawrence J. Lasser 1992 326,967$1-$10,000 335.530 $1-$10,000 321.669 $1-$10,000 455.450
- ---------------------------------------------------------------------------------------------------------------------------
John H. Mullin, III $1-$10,000 327.998 $1-$10,000 382.184 $1-$10,000 319.132
- ---------------------------------------------------------------------------------------------------------------------------
Robert E. Patterson 1984 59,586
Donald S. Perkins 1982 169,328
William F. Pounds 1971 347,322
George Putnam 1957 1,504,490$10,001-$50,000 1,124.534 $10,001-$50,000 1,147.178 $10,001-$50,000 1,144.164
- ---------------------------------------------------------------------------------------------------------------------------
George Putnam, III 1984 286,696
Eli Shapiro 1995*** 80,030$10,001-$50,000 1,128.658 $10,001-$50,000 1,147.178 $10,001-$50,000 1,156.813
- ---------------------------------------------------------------------------------------------------------------------------
A.J.C. Smith 1986 34,255$1-$10,000 170.336 $1-$10,000 172.664 $1-$10,000 178.221
- ---------------------------------------------------------------------------------------------------------------------------
W. Nicholas Thorndike 1992 78,943Thomas Stephens Over $100,000 89,673.064 $10,001-$50,000 4,700.348 $1-$10,000 100.000
- ----------------------------------------------------------------------------------------------------------------------
+---------------------------------------------------------------------------------------------------------------------------
Richard B. Worley -- -- -- -- -- --
- ---------------------------------------------------------------------------------------------------------------------------
Dollar Shares Dollar Shares Dollar Shares
Range of Beneficially Range of Beneficially Range of Beneficially
Trustees/Nominees Shares Owned Owned Shares Owned Owned Shares Owned Owned
- ---------------------------------------------------------------------------------------------------------------------------
Putnam Capital Putnam Capital Putnam Classic
Appreciation Fund Opportunities Fund Equity Fund
- ---------------------------------------------------------------------------------------------------------------------------
Jameson A. Baxter $10,001-$50,000 715.569 $1-$10,000 346.416 Over $100,000 16,328.122
- ---------------------------------------------------------------------------------------------------------------------------
Charles B. Curtis $1-$10,000 102.820 $1-$10,000 106.449 $1-$10,000 107.314
- ---------------------------------------------------------------------------------------------------------------------------
Myra R. Drucker -- -- -- -- -- --
- ---------------------------------------------------------------------------------------------------------------------------
Charles E. Haldeman, Jr.* $10,001-$50,000 651.365 $10,001-$50,000 996.205 $10,001-$50,000 1,013.18
- ---------------------------------------------------------------------------------------------------------------------------
John A. Hill $50,001-$100,000 4,681.075 $50,001-$100,000 5,992.578 Over $100,000 10,435.097
- ---------------------------------------------------------------------------------------------------------------------------
Ronald J. Jackson became a Trustee$1-$10,000 262.089 $1-$10,000 207.450 $1-$10,000 234.306
- ---------------------------------------------------------------------------------------------------------------------------
Paul L. Joskow $10,001-$50,000 723.839 $1-$10,000 183.608 $10,001-$50,000 2,020.29
- ---------------------------------------------------------------------------------------------------------------------------
Elizabeth T. Kennan $1-$10,000 251.929 $10,001-$50,000 1,104.294 $1-$10,000 191.797
- ---------------------------------------------------------------------------------------------------------------------------
John H. Mullin, III $50,001-$100,000 4,561.863 $50,001-$100,000 6,584.101 $10,001-$50,000 2,769.75
- ---------------------------------------------------------------------------------------------------------------------------
Robert E. Patterson $1-$10,000 482.640 $1-$10,000 837.144 $1-$10,000 687.503
- ---------------------------------------------------------------------------------------------------------------------------
George Putnam, III $10,001-$50,000 1,238.256 $10,001-$50,000 1,192.389 $50,001-$100,000 6,316.991
- ---------------------------------------------------------------------------------------------------------------------------
A.J.C. Smith $1-$10,000 284.565 $1-$10,000 100.000 $1-$10,000 236.905
- ---------------------------------------------------------------------------------------------------------------------------
W. Thomas Stephens $1-$10,000 137.383 $1-$10,000 100.000 $1-$10,000 143.732
- ---------------------------------------------------------------------------------------------------------------------------
Richard B. Worley -- -- -- -- -- --
- ---------------------------------------------------------------------------------------------------------------------------
Dollar Shares Dollar Shares Dollar Shares
Range of the funds effective May 3, 1996Beneficially Range of Beneficially Range of Beneficially
Trustees/Nominees Shares Owned Owned Shares Owned Owned Shares Owned Owned
- ---------------------------------------------------------------------------------------------------------------------------
Putnam Convertible Putnam Discovery Putnam Equity
Income-Growth Trust Growth Fund Income Fund
- ---------------------------------------------------------------------------------------------------------------------------
Jameson A. Baxter $10,001-$50,000 1,631.226 Over $100,000 12,579.229 $10,001-$50,000 2,726.503
- ---------------------------------------------------------------------------------------------------------------------------
Charles B. Curtis $1-$10,000 115.191 $10,001-$50,000 1,383.006 $1-$10,000 109.101
- ---------------------------------------------------------------------------------------------------------------------------
Myra R. Drucker -- -- -- -- -- --
- ---------------------------------------------------------------------------------------------------------------------------
Charles E. Haldeman, Jr.* $10,001-$50,000 878.769 $10,001-$50,000 696.286 $10,001-$50,000 925.560
- ---------------------------------------------------------------------------------------------------------------------------
John A. Hill Over $100,000 24,183.105 $10,001-$50,000 2,303.388 Over $100,000 10,823.609
- ---------------------------------------------------------------------------------------------------------------------------
Ronald J. Jackson $1-$10,000 431.317 $1-$10,000 243.964 $1-$10,000 299.929
- ---------------------------------------------------------------------------------------------------------------------------
Paul L. Joskow $10,001-$50,000 835.066 $1-$10,000 360.285 $50,001-$100,000 5,588.703
- ---------------------------------------------------------------------------------------------------------------------------
Elizabeth T. Kennan $10,001-$50,000 994.039 $10,001-$50,000 675.427 $10,001-$50,000 1,498.501
- ---------------------------------------------------------------------------------------------------------------------------
John H. Mullin, III $10,001-$50,000 2,077.602 $10,001-$50,000 2,987.873 $10,001-$50,000 2,392.515
- ---------------------------------------------------------------------------------------------------------------------------
Robert E. Patterson $10,001-$50,000 1,732.636 $10,001-$50,000 799.281 $10,001-$50,000 1,315.648
- ---------------------------------------------------------------------------------------------------------------------------
George Putnam, III $10,001-$50,000 1,324.257 $10,001-$50,000 2,101.545 $10,001-$50,000 1,414.878
- ---------------------------------------------------------------------------------------------------------------------------
A.J.C. Smith $1-$10,000 364.960 $1-$10,000 323.142 $1-$10,000 502.204
- ---------------------------------------------------------------------------------------------------------------------------
W. Thomas Stephens $1-$10,000 193.543 $1-$10,000 208.686 $1-$10,000 152.322
- ---------------------------------------------------------------------------------------------------------------------------
Richard B. Worley -- -- -- -- -- --
- ---------------------------------------------------------------------------------------------------------------------------
Dollar Shares Dollar Shares Dollar Shares
Range of Beneficially Range of Beneficially Range of Beneficially
Trustees/Nominees Shares Owned Owned Shares Owned Owned Shares Owned Owned
- ---------------------------------------------------------------------------------------------------------------------------
Putnam Europe The George Putnam Putnam Global
Equity Fund Fund of Boston Equity Fund
- ---------------------------------------------------------------------------------------------------------------------------
Jameson A. Baxter $10,001-$50,000 1,215.293 $50,001-$100,000 4,084.25 $50,001-$100,000 7,703.029
- ---------------------------------------------------------------------------------------------------------------------------
Charles B. Curtis $1-$10,000 104.829 $1-$10,000 248.590 $10,001-$50,000 5,286.432
- ---------------------------------------------------------------------------------------------------------------------------
Myra R. Drucker -- -- -- -- -- --
- ---------------------------------------------------------------------------------------------------------------------------
Charles E. Haldeman, Jr.* $10,001-$50,000 727.628 $10,001-$50,000 625.693 $10,001-$50,000 1,440.329
- ---------------------------------------------------------------------------------------------------------------------------
John A. Hill $1-$10,000 500.000 Over $100,000 19,796.222 Over $100,000 29,842.829
- ---------------------------------------------------------------------------------------------------------------------------
Ronald J. Jackson $1-$10,000 244.253 $50,001-$100,000 5,410.934 $1-$10,000 208.270
- ---------------------------------------------------------------------------------------------------------------------------
Paul L. Joskow $1-$10,000 533.109 $10,001-$50,000 1,729.101 $1-$10,000 700.412
- ---------------------------------------------------------------------------------------------------------------------------
Elizabeth T. Kennan $1-$10,000 361.022 $10,001-$50,000 1,155.086 $10,001-$50,000 3,889.666
- ---------------------------------------------------------------------------------------------------------------------------
John H. Mullin, III $10,001-$50,000 665.610 $50,001-$100,000 5,249.942 $50,001-$100,000 8,909.351
- ---------------------------------------------------------------------------------------------------------------------------
Robert E. Patterson $10,001-$50,000 1.958.550 $10,001-$50,000 1,092.513 $50,001-$100,000 10,394.483
- ---------------------------------------------------------------------------------------------------------------------------
George Putnam, III $10,001-$50,000 933.566 $50,001-$100,000 5,592.022 Over $100,000 29,645.314
- ---------------------------------------------------------------------------------------------------------------------------
A.J.C. Smith $1-$10,000 159.520 $10,001-$50,000 1,330.678 $10,001-$50,000 2,311.026
- ---------------------------------------------------------------------------------------------------------------------------
W. Thomas Stephens $1-$10,000 134.409 $1-$10,000 257.335 $1-$10,000 624.816
- ---------------------------------------------------------------------------------------------------------------------------
Richard B. Worley -- -- -- -- -- --
- ---------------------------------------------------------------------------------------------------------------------------
Dollar Shares Dollar Shares Dollar Shares
Range of Beneficially Range of Beneficially Range of Beneficially
Trustees/Nominees Shares Owned Owned Shares Owned Owned Shares Owned Owned
- ---------------------------------------------------------------------------------------------------------------------------
Putnam Global The Putnam Fund Putnam Growth
Natural Resources Fund for Growth and did not asIncome Opportunities Fund
- ---------------------------------------------------------------------------------------------------------------------------
Jameson A. Baxter $10,001-$50,000 920.093 Over $100,000 9,350.354 $10,001-$50,000 1,537.221
- ---------------------------------------------------------------------------------------------------------------------------
Charles B. Curtis $1-$10,000 113.510 $10,001-$50,000 1,924.766 $1-$10,000 105.029
- ---------------------------------------------------------------------------------------------------------------------------
Myra R. Drucker -- -- -- -- -- --
- ---------------------------------------------------------------------------------------------------------------------------
Charles E. Haldeman, Jr.* $10,001-$50,000 468.332 $10,001-$50,000 817.797 $10,001-$50,000 882.353
- ---------------------------------------------------------------------------------------------------------------------------
John A. Hill Over $100,000 6,145.952 Over $100,000 9,913.376 $10,001-$50,000 2,516.579
- ---------------------------------------------------------------------------------------------------------------------------
Ronald J. Jackson $10,001-$50,000 448.000 Over $100,000 34,075.751 $1-$10,000 193.855
- ---------------------------------------------------------------------------------------------------------------------------
Paul L. Joskow $1-$10,000 123.590 Over $100,000 7,489.43 $1-$10,000 578.797
- ---------------------------------------------------------------------------------------------------------------------------
Elizabeth T. Kennan $10,001-$50,000 805.519 $10,001-$50,000 603.004 $10,001-$50,000 1,007.462
- ---------------------------------------------------------------------------------------------------------------------------
John H. Mullin, III $10,001-$50,000 654.818 $50,001-$100,000 4,528.036 $10,001-$50,000 1,152.083
- ---------------------------------------------------------------------------------------------------------------------------
Robert E. Patterson $1-$10,000 281.389 $1-$10,000 522.329 $1-$10,000 688.172
- ---------------------------------------------------------------------------------------------------------------------------
George Putnam, III $10,001-$50,000 1,214.292 Over $100,000 42,571.034 $10,001-$50,000 2,762.012
- ---------------------------------------------------------------------------------------------------------------------------
A.J.C. Smith $1-$10,000 266.030 Over $100,000 6,875.284 $1-$10,000 100.000
- ---------------------------------------------------------------------------------------------------------------------------
W. Thomas Stephens $1-$10,000 149.739 Over $100,000 12,731.639 $1-$10,000 101.018
- ---------------------------------------------------------------------------------------------------------------------------
Richard B. Worley -- -- -- -- -- --
- ---------------------------------------------------------------------------------------------------------------------------
Dollar Shares Dollar Shares Dollar Shares
Range of April 25, 1996 own any
sharesBeneficially Range of the funds orBeneficially Range of the otherBeneficially
Trustees/Nominees Shares Owned Owned Shares Owned Owned Shares Owned Owned
- ---------------------------------------------------------------------------------------------------------------------------
Putnam funds.
Health Putnam International Putnam International
Sciences Trust Capital Opportunities Fund Equity Fund
- ---------------------------------------------------------------------------------------------------------------------------
Jameson A. Baxter Over $100,000 2,167.541 Over $100,000 6,392.319 Over $100,000 11,214.114
- ---------------------------------------------------------------------------------------------------------------------------
Charles B. Curtis $1-$10,000 100.000 $1-$10,000 105.802 $1-$10,000 199.030
- ---------------------------------------------------------------------------------------------------------------------------
Myra R. Drucker -- -- -- -- -- --
- ---------------------------------------------------------------------------------------------------------------------------
Charles E. Haldeman, Jr.* Each Trustee has sole investment power$10,001-$50,000 187.233 $10,001-$50,000 710.359 $10,001-$50,000 698.125
- ---------------------------------------------------------------------------------------------------------------------------
John A. Hill Over $100,000 3,670.194 Over $100,000 8,211.346 Over $100,000 14,909.236
- ---------------------------------------------------------------------------------------------------------------------------
Ronald J. Jackson $1-$10,000 100.000 $1-$10,000 214.242 $1-$10,000 253.162
- ---------------------------------------------------------------------------------------------------------------------------
Paul L. Joskow $10,001-$50,000 436.772 $1-$10,000 406.637 Over $100,000 5,866.594
- ---------------------------------------------------------------------------------------------------------------------------
Elizabeth T. Kennan $1-$10,000 100.000 $10,001-$50,000 1,197.934 $10,001-$50,000 940.734
- ---------------------------------------------------------------------------------------------------------------------------
John H. Mullin, III $50,001-$100,000 1,091.876 Over $100,000 5,036.801 $10,001-$50,000 2,350.4
- ---------------------------------------------------------------------------------------------------------------------------
Robert E. Patterson $10,001-$50,000 230.980 $1-$10,000 427.582 $50,001-$100,000 2,868.286
- ---------------------------------------------------------------------------------------------------------------------------
George Putnam, III $50,001-$100,000 939.498 $10,001-$50,000 1,113.326 $10,001-$50,000 749.876
- ---------------------------------------------------------------------------------------------------------------------------
A.J.C. Smith $10,001-$50,000 455.658 $1-$10,000 100.000 $1-$10,000 244.999
- ---------------------------------------------------------------------------------------------------------------------------
W. Thomas Stephens $1-$10,000 138.237 $1-$10,000 119.660 $1-$10,000 179.103
- ---------------------------------------------------------------------------------------------------------------------------
Richard B. Worley -- -- -- -- -- --
- ---------------------------------------------------------------------------------------------------------------------------
Dollar Shares Dollar Shares Dollar Shares
Range of Beneficially Range of Beneficially Range of Beneficially
Trustees/Nominees Shares Owned Owned Shares Owned Owned Shares Owned Owned
- ---------------------------------------------------------------------------------------------------------------------------
Putnam International Growth Putnam International
and sole voting power with respect to his or her sharesIncome Fund New Opportunities Fund Putnam Investors Fund
- ---------------------------------------------------------------------------------------------------------------------------
Jameson A. Baxter $1-$10,000 679.096 $10,001-$50,000 2,191.36 Over $100,000 13,204.415
- ---------------------------------------------------------------------------------------------------------------------------
Charles B. Curtis $1-$10,000 105.036 $1-$10,000 102.166 $1-$10,000 102.415
- ---------------------------------------------------------------------------------------------------------------------------
Myra R. Drucker -- -- -- -- -- --
- ---------------------------------------------------------------------------------------------------------------------------
Charles E. Haldeman, Jr.* $10,001-$50,000 1,438.354 $10,001-$50,000 1,051.051 $10,001-$50,000 953.678
- ---------------------------------------------------------------------------------------------------------------------------
John A. Hill Over $100,000 22,658.411 $1-$10,000 200.000 Over $100,000 25,057.65
- ---------------------------------------------------------------------------------------------------------------------------
Ronald J. Jackson $1-$10,000 518.251 $1-$10,000 313.103 Over $100,000 73,275.389
- ---------------------------------------------------------------------------------------------------------------------------
Paul L. Joskow $1-$10,000 483.927 $10,001-$50,000 1,243.015 $50,001-$100,000 7,015.402
- ---------------------------------------------------------------------------------------------------------------------------
Elizabeth T. Kennan $1-$10,000 221.427 $1-$10,000 197.710 $10,001-$50,000 1,359.807
- ---------------------------------------------------------------------------------------------------------------------------
John H. Mullin, III $1-$10,000 954.473 $10,001-$50,000 3,546.812 Over $100,000 8,659.24
- ---------------------------------------------------------------------------------------------------------------------------
Robert E. Patterson $1-$10,000 855.164 $10,001-$50,000 1,335.641 $10,001-$50,000 1,314.557
- ---------------------------------------------------------------------------------------------------------------------------
George Putnam, III $10,001-$50,000 2,218.493 $10,001-$50,000 1,387.061 $10,001-$50,000 2,437.122
- ---------------------------------------------------------------------------------------------------------------------------
A.J.C. Smith $1-$10,000 100.000 $1-$10,000 100.000 $50,001-$100,000 8,623.297
- ---------------------------------------------------------------------------------------------------------------------------
W. Thomas Stephens $1-$10,000 149.025 $1-$10,000 148.014 $1-$10,000 115.677
- ---------------------------------------------------------------------------------------------------------------------------
Richard B. Worley -- -- -- -- -- --
- ---------------------------------------------------------------------------------------------------------------------------
Dollar Shares Dollar Shares Dollar Shares
Range of the funds.
** These holdings do not include sharesBeneficially Range of Beneficially Range of Beneficially
Trustees/Nominees Shares Owned Owned Shares Owned Owned Shares Owned Owned
- ---------------------------------------------------------------------------------------------------------------------------
Putnam money market funds.
**Mid Cap Putnam New Putnam New
Value Fund Opportunities Fund Value Fund
- ---------------------------------------------------------------------------------------------------------------------------
Jameson A. Baxter $10,001-$50,000 2,053.445 $50,001-$100,000 1,734.607 Over $100,000 6,881.741
- ---------------------------------------------------------------------------------------------------------------------------
Charles B. Curtis $1-$10,000 105.982 $50,001-$100,000 2,254.69 $1-$10,000 107.243
- ---------------------------------------------------------------------------------------------------------------------------
Myra R. Drucker -- -- -- -- -- --
- ---------------------------------------------------------------------------------------------------------------------------
Charles E. Haldeman, Jr.* Dr. Shapiro previously served as a Trustee$10,001-$50,000 1,149.541 $10,001-$50,000 293.214 $10,001-$50,000 909.242
- ---------------------------------------------------------------------------------------------------------------------------
John A. Hill $1-$10,000 108.904 $50,001-$100,000 2,385.464 $50,001-$100,000 3,872.531
- ---------------------------------------------------------------------------------------------------------------------------
Ronald J. Jackson $1-$10,000 352.798 $1-$10,000 204.570 $1-$10,000 233.773
- ---------------------------------------------------------------------------------------------------------------------------
Paul L. Joskow $1-$10,000 120.072 $10,001-$50,000 1,111.62 $1-$10,000 584.206
- ---------------------------------------------------------------------------------------------------------------------------
Elizabeth T. Kennan $1-$10,000 490.096 $1-$10,000 100.000 $10,001-$50,000 1,333.438
- ---------------------------------------------------------------------------------------------------------------------------
John H. Mullin, III Over $100,000 8,192.574 Over $100,000 3,542.493 $10,001-$50,000 2638.549
- ---------------------------------------------------------------------------------------------------------------------------
Robert E. Patterson $1-$10,000 680.668 $10,001-$50,000 1,038.444 $10,001-$50,000 1,325.964
- ---------------------------------------------------------------------------------------------------------------------------
George Putnam, III $10,001-$50,000 2,139.429 $10,001-$50,000 763.162 $10,001-$50,000 1,398.657
- ---------------------------------------------------------------------------------------------------------------------------
A.J.C. Smith $1-$10,000 100.000 $10,001-$50,000 638.496 $1-$10,000 100.000
- ---------------------------------------------------------------------------------------------------------------------------
W. Thomas Stephens $1-$10,000 100.000 $1-$10,000 133.948 $1-$10,000 143.838
- ---------------------------------------------------------------------------------------------------------------------------
Richard B. Worley -- -- -- -- -- --
- ---------------------------------------------------------------------------------------------------------------------------
Dollar Shares Dollar Shares Dollar Shares
Range of theBeneficially Range of Beneficially Range of Beneficially
Trustees/Nominees Shares Owned Owned Shares Owned Owned Shares Owned Owned
- ---------------------------------------------------------------------------------------------------------------------------
Putnam funds from 1984 to 1989.
AsOTC & Putnam Putnam Small Cap
Emerging Growth Fund Research Fund Growth Fund
- ---------------------------------------------------------------------------------------------------------------------------
Jameson A. Baxter $10,001-$50,000 2,704.695 $1-$10,000 414.462 $10,001-$50,000 705.048
- ---------------------------------------------------------------------------------------------------------------------------
Charles B. Curtis $1-$10,000 105.121 $1-$10,000 104.965 $10,001-$50,000 536.136
- ---------------------------------------------------------------------------------------------------------------------------
Myra R. Drucker -- -- -- -- -- --
- ---------------------------------------------------------------------------------------------------------------------------
Charles E. Haldeman, Jr.* $10,001-$50,000 1,664.025 $10,001-$50,000 849.515 $10,001-$50,000 746.609
- ---------------------------------------------------------------------------------------------------------------------------
John A. Hill $10,001-$50,000 1,951.847 $50,001-$100,000 3,902.146 $10,001-$50,000 2,144.691
- ---------------------------------------------------------------------------------------------------------------------------
Ronald J. Jackson $10,001-$50,000 1,968.372 Over $100,000 8,167.352 $1-$10,000 206.855
- ---------------------------------------------------------------------------------------------------------------------------
Paul L. Joskow $1-$10,000 129.574 $50,001-$100,000 5,449.857 $50,001-$100,000 4,297.547
- ---------------------------------------------------------------------------------------------------------------------------
Elizabeth T. Kennan $1-$10,000 1,141.113 $10,001-$50,000 867.630 $10,001-$50,000 915.840
- ---------------------------------------------------------------------------------------------------------------------------
John H. Mullin, III $10,001-$50,000 6,484.530 $10,001-$50,000 849.291 $50,001-$100,000 3,996.697
- ---------------------------------------------------------------------------------------------------------------------------
Robert E. Patterson $1-$10,000 259.060 $1-$10,000 145.779 $1-$10,000 450.272
- ---------------------------------------------------------------------------------------------------------------------------
George Putnam, III $50,001-$100,000 10,112.953 $10,001-$50,000 1,738.068 $10,001-$50,000 1,235.585
- ---------------------------------------------------------------------------------------------------------------------------
A.J.C. Smith $10,001-$50,000 3,094.300 $1-$10,000 148.213 $1-$10,000 100.000
- ---------------------------------------------------------------------------------------------------------------------------
W. Thomas Stephens $1-$10,000 144.331 $1-$10,000 100.000 $1-$10,000 100.000
- ---------------------------------------------------------------------------------------------------------------------------
Richard B. Worley -- -- -- -- -- --
- ---------------------------------------------------------------------------------------------------------------------------
Dollar Shares Dollar Shares Dollar Shares
Range of [ 1996,] the TrusteesBeneficially Range of Beneficially Range of Beneficially
Trustees/Nominees Shares Owned Owned Shares Owned Owned Shares Owned Owned
- ---------------------------------------------------------------------------------------------------------------------------
Putnam Small Cap Putnam Tax Smart Putnam Utilities Growth
Value Fund Equity Fund and officersIncome Fund
- ---------------------------------------------------------------------------------------------------------------------------
Jameson A. Baxter $10,001-$50,000 1,867.779 $10,001-$50,000 1,237.843 $1-$10,000 618.997
- ---------------------------------------------------------------------------------------------------------------------------
Charles B. Curtis $1-$10,000 108.025 $1-$10,000 102.210 $1-$10,000 112.628
- ---------------------------------------------------------------------------------------------------------------------------
Myra R. Drucker -- -- -- -- -- --
- ---------------------------------------------------------------------------------------------------------------------------
Charles E. Haldeman, Jr.* $10,001-$50,000 687.510 $10,001-$50,000 1,183.766 $10,001-$50,000 1,206.897
- ---------------------------------------------------------------------------------------------------------------------------
John A. Hill Over $100,000 13,881.248 $10,001-$50,000 2,475.685 $10,001-$50,000 3,240.898
- ---------------------------------------------------------------------------------------------------------------------------
Ronald J. Jackson $1-$10,000 460.660 Over $100,000 11,558.341 $1-$10,000 816.839
- ---------------------------------------------------------------------------------------------------------------------------
Paul L. Joskow $50,001-$100,000 2,828.795 $50,001-$100,000 5,392.129 $1-$10,000 912.907
- ---------------------------------------------------------------------------------------------------------------------------
Elizabeth T. Kennan $10,001-$50,000 1,355.865 $1-$10,000 106.693 $1-$10,000 110.835
- ---------------------------------------------------------------------------------------------------------------------------
John H. Mullin, III Over $100,000 6,633.668 $10,001-$50,000 3,840.080 $10,001-$50,000 2,307.695
- ---------------------------------------------------------------------------------------------------------------------------
Robert E. Patterson $1-$10,000 488.256 $1-$10,000 943.821 $1-$10,000 685.142
- ---------------------------------------------------------------------------------------------------------------------------
George Putnam, III $10,001-$50,000 1,095.726 $10,001-$50,000 1,305.767 $10,001-$50,000 2,076.560
- ---------------------------------------------------------------------------------------------------------------------------
A.J.C. Smith $1-$10,000 100.000 $1-$10,000 100.000 $1-$10,000 248.838
- ---------------------------------------------------------------------------------------------------------------------------
W. Thomas Stephens $1-$10,000 100.000 $1-$10,000 100.000 $1-$10,000 162.025
- ---------------------------------------------------------------------------------------------------------------------------
Richard B. Worley -- -- -- -- -- --
- ---------------------------------------------------------------------------------------------------------------------------
Dollar Shares Dollar Shares Dollar
Range of the Trust owned a totalBeneficially Range of [ ], [ ] and [ ] sharesBeneficially Range of
Trustees/Nominees Shares Owned Owned Shares Owned Owned Shares Owned
- ---------------------------------------------------------------------------------------------------------------
Putnam Vista Fund Putnam Voyager Fund All Funds
- ---------------------------------------------------------------------------------------------------------------
Jameson A. Baxter Over $100,000 13,673.755 $50,001-$100,000 5,759.153 Over $100,000
- ---------------------------------------------------------------------------------------------------------------
Charles B. Curtis $1-$10,000 108.696 $1-$10,000 108.848 Over $100,000
- ---------------------------------------------------------------------------------------------------------------
Myra R. Drucker -- -- -- -- --
- ---------------------------------------------------------------------------------------------------------------
Charles E. Haldeman, Jr.* $10,001-$50,000 1,759.930 $10,001-$50,000 920.802 Over $100,000
- ---------------------------------------------------------------------------------------------------------------
John A. Hill Over $100,000 24,573.347 Over $100,000 23,371.655 Over $100,000
- ---------------------------------------------------------------------------------------------------------------
Ronald J. Jackson $1-$10,000 565.702 Over $100,000 8,722.033 Over $100,000
- ---------------------------------------------------------------------------------------------------------------
Paul L. Joskow $10,001-$50,000 1,657.718 Over $100,000 6,528.631 Over $100,000
- ---------------------------------------------------------------------------------------------------------------
Elizabeth T. Kennan $1-$10,000 662.864 $1-$10,000 297.444 Over $100,000
- ---------------------------------------------------------------------------------------------------------------
John H. Mullin, III $50,001-$100,000 10,343.971 $50,001-$100,000 5,970.143 Over $100,000
- ---------------------------------------------------------------------------------------------------------------
Robert E. Patterson $10,001-$50,000 1,479.233 $50,001-$100,000 3,829.659 Over $100,000
- ---------------------------------------------------------------------------------------------------------------
George Putnam, III $10,001-$50,000 4,475.699 $10,001-$50,000 2,182.800 Over $100,000
- ---------------------------------------------------------------------------------------------------------------
A.J.C. Smith $10,001-$50,000 3,322.336 $50,001-$100,000 3,762.124 Over $100,000
- ---------------------------------------------------------------------------------------------------------------
W. Thomas Stephens $1-$10,000 177.190 $1-$10,000 148.108 Over $100,000
- ---------------------------------------------------------------------------------------------------------------
Richard B. Worley -- -- -- -- --
- ---------------------------------------------------------------------------------------------------------------
* Holdings data for Mr. Haldeman are as of July 31, 2004.
At June 30, 2004, the nominees for Trustees and officers of each fund
owned less than 1% of the outstanding shares of each class of each fund
on that date.
* What are some of the ways in which the Trustees represent shareholder
interests?
Among other ways, the Trustees seek to represent shareholder interests:
* by carefully reviewing your fund's investment performance on an
individual basis with your fund's investment team;
* by carefully reviewing the quality of the various other services
provided to the funds and their shareholders by Putnam Management and
its affiliates;
* by discussing with senior management of Putnam Management steps being
taken to address any performance deficiencies;
* by conducting an in-depth review of the fees paid by each fund and by
negotiating with Putnam Management to ensure that such fees remain
reasonable and competitive with those of other mutual funds, while at
the same time providing Putnam Management sufficient resources to
continue to provide high quality services in the future;
* by reviewing brokerage costs and fees, allocations among brokers, soft
dollar expenditures and similar expenses of each fund;
* by monitoring potential conflicts between the funds and Putnam
Management and its affiliates to ensure that the funds continue to be
managed in the best interests of their shareholders and
* by monitoring potential conflicts among funds to ensure that
shareholders continue to realize the benefits of participation in a
large and diverse family of funds.
* How can shareholders communicate with the Trustees?
The Board of Trustees provides a process for shareholders to send
communications to the Trustees. Shareholders may direct communications
to the Board of Trustees as a whole or to specified individual Trustees
by submitting them in writing to the following address:
The Putnam Funds
Attention: "Board of Trustees" or any specified Trustee(s)
One Post Office Square
Boston, Massachusetts 02109
The written communication must include the shareholder's name, be signed
by the shareholder, refer to the Putnam fund(s) in which the shareholder
holds shares and include the class and number of shares held by the
shareholder as of a recent date.
The Office of the Trustees will respond to all correspondence sent to
Trustees; however, due to the volume of correspondence, all
communications are not sent directly to the Trustees. The correspondence
is reviewed, summarized and presented to the Trustees on a periodic
basis.
* How often do the Trustees meet?
The Trustees meet each month (except August) over a two-day period to
review the operations of each Putnam fund. A portion of these meetings
is devoted to meetings of various committees of the board that focus on
particular matters. Each Trustee generally attends at least two formal
committee meetings during each regular meeting of the Trustees. In
addition, the Trustees meet in small groups with Chief Investment
Officers, Portfolio Leaders and Portfolio Members to review recent
performance and the current investment climate for selected funds. These
meetings ensure that each fund's performance is reviewed in detail at
least twice a year. During 2003, the average Trustee participated in
approximately 49 committee and board meetings. The Contract Committee
typically meets on several additional occasions during the year to carry
out its responsibilities. Other committees, including the Executive
Committee, may also meet on special occasions as the need arises. The
number of times each committee met during calendar year 2003 is shown in
the table below:
Audit and Pricing Committee 15
- ---------------------------------------------------------
Board Policy and Nominating Committee 7
- ---------------------------------------------------------
Brokerage and Custody Committee 4
- ---------------------------------------------------------
Communication, Service and Marketing Committee 9
- ---------------------------------------------------------
Contract Committee 14
- ---------------------------------------------------------
Distributions Committee 6
- ---------------------------------------------------------
Executive Committee 1
- ---------------------------------------------------------
Investment Oversight Committees 30
- ---------------------------------------------------------
Your fund does not have a policy with respect to Trustees' attendance at
shareholder meetings. The funds are not required under their Agreements
and Declarations of Trust to hold annual meetings, but have voluntarily
undertaken to hold such meetings at least every five years.
* What are the Trustees paid for their services?
Each Independent Trustee of your fund receives a fee for his or her
services. Each Independent Trustee also receives fees for serving as
Trustee of the other Putnam funds. Each Trustee receives an annual
retainer fee and an additional meeting fee for each Trustees' meeting
attended. Independent Trustees who serve on board committees receive
additional fees for attendance at certain committee meetings and for
special services rendered in that connection. All of the current
Independent Trustees are Trustees of all the Putnam funds and receive
fees for their services from each fund.
The Trustees periodically review their fees to ensure that such fees
continue to be appropriate in light of their responsibilities as well as
in relation to fees paid to trustees of other mutual fund complexes. The
Board Policy and Nominating Committee, which consists solely of
Independent Trustees, estimates that committee and Trustee meeting time,
together with the appropriate preparation, requires the equivalent of at
least three business days per Trustee meeting. The following table shows
the fees paid to each current Trustee by your fund for its most recent
fiscal year and the fees paid to each current Trustee by all of the
Putnam funds during calendar year 2003:
COMPENSATION TABLE
Retirement Retirement Retirement Retirement
benefits benefits benefits benefits
Aggregate accrued as Aggregate accrued as Aggregate accrued as Aggregate accrued as
compensation part of compensation part of compensation part of compensation part of
from the fund from the fund from the fund from the fund
fund (1) expenses fund (1) expenses fund (1) expenses fund (1) expenses
- --------------------------------------------------------------------------------------------------------------------------
Putnam Asset Putnam Putnam Asset Putnam
Allocation: Asset Allocation: Allocation: Capital
Trustees Balanced Portfolio Conservative Portfolio Growth Portfolio Appreciation Fund
- --------------------------------------------------------------------------------------------------------------------------
Jameson A. Baxter/
1994 (5) $2,519 $789 $1,558 $434 $2,309 $668 $1,688 $481
- --------------------------------------------------------------------------------------------------------------------------
Charles B. Curtis/
2001 2,470 632 1,529 345 2,264 549 1,634 523
- --------------------------------------------------------------------------------------------------------------------------
John A. Hill/
1985 (5)(7) 4,246 936 2,614 515 3,892 787 2,970 583
- --------------------------------------------------------------------------------------------------------------------------
Ronald J. Jackson/
1996 (5) 2,471 732 1,531 402 2,264 618 1,676 468
- --------------------------------------------------------------------------------------------------------------------------
Paul L. Joskow/
1997 (5) 2,495 606 1,542 335 2,286 496 1,746 335
- --------------------------------------------------------------------------------------------------------------------------
Elizabeth T. Kennan/
1992 2,483 963 1,524 530 2,275 811 1,608 601
- --------------------------------------------------------------------------------------------------------------------------
John H. Mullin, III/
1997 (5) 2,501 926 1,545 512 2,292 759 1,622 515
- --------------------------------------------------------------------------------------------------------------------------
Robert E. Patterson/
1984 2,501 524 1,545 288 2,292 442 1,632 327
- --------------------------------------------------------------------------------------------------------------------------
George Putnam, III/
1984 (7) 3,088 431 1,905 237 2,830 363 2,027 268
- --------------------------------------------------------------------------------------------------------------------------
A.J.C. Smith/
1997 (6) -- -- -- -- -- -- -- --
- --------------------------------------------------------------------------------------------------------------------------
W. Thomas Stephens/
1997 (5) 2,455 848 1,516 470 2,250 694 1,651 468
- --------------------------------------------------------------------------------------------------------------------------
Retirement Retirement Retirement Retirement
benefits benefits benefits benefits
Aggregate accrued as Aggregate accrued as Aggregate accrued as Aggregate accrued as
compensation part of compensation part of compensation part of compensation part of
from the fund from the fund from the fund from the fund
fund (1) expenses fund (1) expenses fund (1) expenses fund (1) expenses
- --------------------------------------------------------------------------------------------------------------------------
Putnam Capital Putnam Classic Putnam Convertible Putnam
Opportunities Equity Income-Growth Discovery
Trustees Fund Fund Trust Growth Fund
- --------------------------------------------------------------------------------------------------------------------------
Jameson A. Baxter/
1994 (5) $2,424 $576 $2,386 $731 $1,347 $396 $3,146 $958
- --------------------------------------------------------------------------------------------------------------------------
Charles B. Curtis/
2001 2,343 631 2,360 633 1,333 334 3,112 851
- --------------------------------------------------------------------------------------------------------------------------
John A. Hill/
1985 (5)(7) 4,295 700 4,020 851 2,269 463 5,299 1,107
- --------------------------------------------------------------------------------------------------------------------------
Ronald J. Jackson/
1996 (5) 2,407 561 2,395 673 1,352 365 3,158 879
- --------------------------------------------------------------------------------------------------------------------------
Paul L. Joskow/
1997 (5) 2,499 402 2,361 500 1,333 282 3,149 627
- --------------------------------------------------------------------------------------------------------------------------
Elizabeth T. Kennan/
1992 2,315 721 2,343 878 1,323 478 3,091 1,143
- --------------------------------------------------------------------------------------------------------------------------
John H. Mullin, III/
1997 (5) 2,323 618 2,369 771 1,338 433 3,124 970
- --------------------------------------------------------------------------------------------------------------------------
Robert E. Patterson/
1984 2,339 392 2,372 479 1,339 260 3,127 625
- --------------------------------------------------------------------------------------------------------------------------
George Putnam, III/
1984 (7) 2,912 322 2,939 392 1,660 214 3,878 510
- --------------------------------------------------------------------------------------------------------------------------
A.J.C. Smith/
1986 (6) -- -- -- -- -- -- -- --
- --------------------------------------------------------------------------------------------------------------------------
W. Thomas Stephens/
1997 (5) 2,375 561 2,337 700 1,319 394 3,081 878
- --------------------------------------------------------------------------------------------------------------------------
Retirement Retirement Retirement Retirement
benefits benefits benefits benefits
Aggregate accrued as Aggregate accrued as Aggregate accrued as Aggregate accrued as
compensation part of compensation part of compensation part of compensation part of
from the fund from the fund from the fund from the fund
fund (1) expenses fund (1) expenses fund (1) expenses fund (1) expenses
- --------------------------------------------------------------------------------------------------------------------------
Putnam Putnam The George Putnam
Equity Europe Putnam Fund of Global
Trustees Income Fund Equity Fund Boston Equity Fund
- --------------------------------------------------------------------------------------------------------------------------
Jameson A. Baxter/
1994 (5) $3,298 $789 $1,733 $536 $5,050 $1,476 $4,508 $1,449
- --------------------------------------------------------------------------------------------------------------------------
Charles B. Curtis/
2001 3,264 685 1,697 382 4,953 1,121 4,458 1,196
- --------------------------------------------------------------------------------------------------------------------------
John A. Hill/
1985 (5)(7) 5,530 917 2,859 653 8,511 1,771 7,594 1,705
- --------------------------------------------------------------------------------------------------------------------------
Ronald J. Jackson/
1996 (5) 3,313 726 1,693 503 4,955 1,376 4,524 1,340
- --------------------------------------------------------------------------------------------------------------------------
Paul L. Joskow/
1997 (5) 3,251 537 1,712 474 5,003 1,212 4,460 1,066
- --------------------------------------------------------------------------------------------------------------------------
Elizabeth T. Kennan/
1992 3,226 946 1,728 670 4,976 1,821 4,427 1,757
- --------------------------------------------------------------------------------------------------------------------------
John H. Mullin, III/
1997 (5) 3,274 828 1,717 718 5,013 1,845 4,475 1,635
- --------------------------------------------------------------------------------------------------------------------------
Robert E. Patterson/
1984 3,279 517 1,717 362 5,013 987 4,480 957
- --------------------------------------------------------------------------------------------------------------------------
George Putnam, III/
1984 (7) 4,055 423 2,119 301 6,192 817 5,553 786
- --------------------------------------------------------------------------------------------------------------------------
A.J.C. Smith/
1986 (6) -- -- -- -- -- -- -- --
- --------------------------------------------------------------------------------------------------------------------------
W. Thomas Stephens/
1997 (5) 3,226 752 1,700 663 4,922 1,698 4,415 1,493
- ----------------------------------------------------------------------------------------------------------------------------
Retirement Retirement Retirement Retirement
benefits benefits benefits benefits
Aggregate accrued as Aggregate accrued as Aggregate accrued as Aggregate accrued as
compensation part of compensation part of compensation part of compensation part of
from the fund from the fund from the fund from the fund
fund (1) expenses fund (1) expenses fund (1) expenses fund (1) expenses
- --------------------------------------------------------------------------------------------------------------------------
Putnam The Putnam Putnam Growth Putnam
Global Natural Fund for Growth Opportunities Health
Trustees Resources Fund and Income Fund Sciences Trust
- --------------------------------------------------------------------------------------------------------------------------
Jameson A. Baxter/
1994 (5) $1,031 $264 $10,730 $3,330 $3,128 $1,047 $4,763 $1,390
- --------------------------------------------------------------------------------------------------------------------------
Charles B. Curtis/
2001 1,012 211 10,609 2,796 3,066 776 4,670 1,101
- --------------------------------------------------------------------------------------------------------------------------
John A. Hill/
1985 (5)(7) 1,677 314 18,080 3,902 5,275 1,263 8,029 1,653
- --------------------------------------------------------------------------------------------------------------------------
Ronald J. Jackson/
1996 (5) 1,013 245 10,766 3,073 3,065 978 4,670 1,291
- --------------------------------------------------------------------------------------------------------------------------
Paul L. Joskow/
1997 (5) 1,022 204 10,612 2,389 3,096 884 4,716 1,084
- --------------------------------------------------------------------------------------------------------------------------
Elizabeth T. Kennan/
1992 1,017 323 10,534 4,023 3,083 1,298 4,694 1,701
- --------------------------------------------------------------------------------------------------------------------------
John H. Mullin, III/
1997 (5) 1,024 311 10,650 3,669 3,105 1,344 4,728 1,655
- --------------------------------------------------------------------------------------------------------------------------
Robert E. Patterson/
1984 1,024 175 10,663 2,193 3,105 702 4,728 924
- --------------------------------------------------------------------------------------------------------------------------
George Putnam, III/
1984 (7) 1,244 145 13,213 1,799 3,832 582 5,838 762
- --------------------------------------------------------------------------------------------------------------------------
A.J.C. Smith/
1986 (6) -- -- -- -- -- -- -- --
- --------------------------------------------------------------------------------------------------------------------------
W. Thomas Stephens/
1997 (5) 1,007 285 10,508 3,344 3,048 1,239 4,647 1,518
- ----------------------------------------------------------------------------------------------------------------------------
Retirement Retirement Retirement Retirement
benefits benefits benefits benefits
Aggregate accrued as Aggregate accrued as Aggregate accrued as Aggregate accrued as
compensation part of compensation part of compensation part of compensation part of
from the fund from the fund from the fund from the fund
fund (1) expenses fund (1) expenses fund (1) expenses fund (1) expenses
- --------------------------------------------------------------------------------------------------------------------------
Putnam Putnam Putnam Putnam
International International International International
Capital Equity Growth and New Opportunities
Trustees Opportunities Fund Fund Income Fund Fund
- --------------------------------------------------------------------------------------------------------------------------
Jameson A. Baxter/
1994 (5) $2,617 $744 $6,919 $2,041 $1,465 $409 $1,930 $567
- --------------------------------------------------------------------------------------------------------------------------
Charles B. Curtis/
2001 2,566 594 6,777 1,501 1,434 305 1,889 452
- --------------------------------------------------------------------------------------------------------------------------
John A. Hill/
1985 (5)(7) 4,413 883 11,514 2,466 2,437 493 3,252 672
- --------------------------------------------------------------------------------------------------------------------------
Ronald J. Jackson/
1996 (5) 2,566 691 6,762 1,908 1,431 382 1,881 526
- --------------------------------------------------------------------------------------------------------------------------
Paul L. Joskow/
1997 (5) 2,592 574 6,847 1,739 1,449 344 1,906 437
- --------------------------------------------------------------------------------------------------------------------------
Elizabeth T. Kennan/
1992 2,580 909 6,914 2,534 1,464 507 1,908 692
- --------------------------------------------------------------------------------------------------------------------------
John H. Mullin, III/
1997 (5) 2,598 877 6,862 2,641 1,453 522 1,917 669
- --------------------------------------------------------------------------------------------------------------------------
Robert E. Patterson/
1984 2,598 494 6,862 1,370 1,453 274 1,917 376
- --------------------------------------------------------------------------------------------------------------------------
George Putnam, III/
1984 (7) 3,209 407 8,486 1,137 1,796 227 2,363 310
- --------------------------------------------------------------------------------------------------------------------------
A.J.C. Smith/
1986 (6) -- -- -- -- -- -- -- --
- --------------------------------------------------------------------------------------------------------------------------
W. Thomas Stephens/
1997 (5) 2,551 804 6,785 2,436 1,436 481 1,879 613
- ----------------------------------------------------------------------------------------------------------------------------
Retirement Retirement Retirement Retirement
benefits benefits benefits benefits
Aggregate accrued as Aggregate accrued as Aggregate accrued as Aggregate accrued as
compensation part of compensation part of compensation part of compensation part of
from the fund from the fund from the fund from the fund
fund (1) expenses fund (1) expenses fund (1) expenses fund (1) expenses
- --------------------------------------------------------------------------------------------------------------------------
Putnam Putnam Putnam New Putnam
Investors Mid Cap Opportunities New
Trustees Fund Value Fund Fund Value Fund
- --------------------------------------------------------------------------------------------------------------------------
Jameson A. Baxter/
1994 (5) $5,386 $1,617 $1,545 $427 $7,394 $2,254 $2,364 $666
- --------------------------------------------------------------------------------------------------------------------------
Charles B. Curtis/
2001 5,279 1,233 1,495 450 7,239 1,644 2,319 532
- --------------------------------------------------------------------------------------------------------------------------
John A. Hill/
1985 (5)(7) 9,087 1,938 2,720 513 12,277 2,729 3,986 789
- --------------------------------------------------------------------------------------------------------------------------
Ronald J. Jackson/
1996 (5) 5,277 1,507 1,534 411 7,218 2,109 2,319 617
- --------------------------------------------------------------------------------------------------------------------------
Paul L. Joskow/
1997 (5) 5,333 1,321 1,591 294 7,310 1,939 2,342 512
- --------------------------------------------------------------------------------------------------------------------------
Elizabeth T. Kennan/
1992 5,312 1,993 1,472 529 7,385 2,803 2,330 813
- --------------------------------------------------------------------------------------------------------------------------
John H. Mullin, III/
1997 (5) 5,347 2,012 1,483 453 7,330 2,942 2,347 783
- --------------------------------------------------------------------------------------------------------------------------
Robert E. Patterson/
1984 5,347 1,080 1,493 288 7,330 1,515 2,347 442
- --------------------------------------------------------------------------------------------------------------------------
George Putnam, III/
1984 (7) 6,601 894 1,855 236 9,054 1,258 2,952 364
- --------------------------------------------------------------------------------------------------------------------------
A.J.C. Smith/
1986 (6) -- -- -- -- -- -- -- --
- --------------------------------------------------------------------------------------------------------------------------
W. Thomas Stephens/
1997 (5) 5,250 1,850 1,511 411 7,251 2,716 2,304 718
- ----------------------------------------------------------------------------------------------------------------------------
Retirement Retirement Retirement Retirement
benefits benefits benefits benefits
Aggregate accrued as Aggregate accrued as Aggregate accrued as Aggregate accrued as
compensation part of compensation part of compensation part of compensation part of
from the fund from the fund from the fund from the fund
fund (1) expenses fund (1) expenses fund (1) expenses fund (1) expenses
- --------------------------------------------------------------------------------------------------------------------------
Putnam OTC & Putnam Small Cap Putnam Small Cap
Trustees Emerging Growth Fund Putnam Research Fund Growth Fund Value Fund
- --------------------------------------------------------------------------------------------------------------------------
Jameson A. Baxter/
1994 (5) $3,032 $1,005 $2,603 $738 $411 $80 $1,464 $447
- --------------------------------------------------------------------------------------------------------------------------
Charles B. Curtis/
2001 2,972 747 2,552 568 403 66 1,445 433
- --------------------------------------------------------------------------------------------------------------------------
John A. Hill/
1985 (5)(7) 5,113 1,211 4,388 883 685 94 2,383 527
- --------------------------------------------------------------------------------------------------------------------------
Ronald J. Jackson/
1996 (5) 2,972 939 2,552 687 402 74 1,461 420
- --------------------------------------------------------------------------------------------------------------------------
Paul L. Joskow/
1997 (5) 3,002 846 2,578 596 407 59 1,449 300
- --------------------------------------------------------------------------------------------------------------------------
Elizabeth T. Kennan/
1992 2,988 1,245 2,565 908 411 97 1,433 543
- --------------------------------------------------------------------------------------------------------------------------
John H. Mullin, III/
1997 (5) 3,010 1,286 2,583 908 408 91 1,445 463
- --------------------------------------------------------------------------------------------------------------------------
Robert E. Patterson/
1984 3,010 674 2,583 493 408 53 1,450 297
- --------------------------------------------------------------------------------------------------------------------------
George Putnam, III/
1984 (7) 3,715 558 3,190 407 505 44 1,800 243
- --------------------------------------------------------------------------------------------------------------------------
A.J.C. Smith/
1986 (6) -- -- -- -- -- -- -- --
- --------------------------------------------------------------------------------------------------------------------------
W. Thomas Stephens/
1997 (5) 2,955 1,185 2,536 835 403 83 1,431 420
- ----------------------------------------------------------------------------------------------------------------------------
Retirement Retirement Retirement Retirement
benefits benefits benefits benefits
Aggregate accrued as Aggregate accrued as Aggregate accrued as Aggregate accrued as
compensation part of compensation part of compensation part of compensation part of
from the fund from the fund from the fund from the fund
fund (1) expenses fund (1) expenses fund (1) expenses fund (1) expenses
- --------------------------------------------------------------------------------------------------------------------------
Putnam Tax Smart Putnam Utilities Growth Putnam Putnam
Equity Fund and Income Fund Vista Fund Voyager Fund
- --------------------------------------------------------------------------------------------------------------------------
Jameson A. Baxter/
1994 (5) $872 $274 $1,396 $451 $4,552 $1,344 $10,472 $3,114
- --------------------------------------------------------------------------------------------------------------------------
Charles B. Curtis/
2001 862 227 1,380 371 4,463 1,025 10,266 2,372
- --------------------------------------------------------------------------------------------------------------------------
John A. Hill/
1985 (5)(7) 1,469 322 2,351 531 7,676 1,611 17,658 3,734
- --------------------------------------------------------------------------------------------------------------------------
Ronald J. Jackson/
1996 (5) 875 253 1,401 417 4,462 1,253 10,264 2,902
- --------------------------------------------------------------------------------------------------------------------------
Paul L. Joskow/
1997 (5) 862 200 1,381 332 4,507 1,098 10,368 2,547
- --------------------------------------------------------------------------------------------------------------------------
Elizabeth T. Kennan/
1992 856 332 1,370 547 4,487 1,657 10,320 3,840
- --------------------------------------------------------------------------------------------------------------------------
John H. Mullin, III/
1997 (5) 866 306 1,386 510 4,519 1,671 10,395 3,878
- --------------------------------------------------------------------------------------------------------------------------
Robert E. Patterson/
1984 867 181 1,387 298 4,519 898 10,395 2,080
- --------------------------------------------------------------------------------------------------------------------------
George Putnam, III/
1984 (7) 1,074 148 1,719 245 5,579 743 12,832 1,721
- --------------------------------------------------------------------------------------------------------------------------
A.J.C. Smith/
1986 (6) -- -- -- -- -- -- -- --
- --------------------------------------------------------------------------------------------------------------------------
W. Thomas Stephens/
1997 (5) 854 280 1,367 465 4,436 1,537 10,205 3,568
- ----------------------------------------------------------------------------------------------------------------------------
Estimated Total
annual benefits compensation
from all from
Putnam funds all Putnam
upon retirement (2) funds (3)(4)
- -------------------------------------------------------------
Trustees For All Funds
- -------------------------------------------------------------
Jameson A. Baxter/
1994 (5) $100,000 $215,500
- -------------------------------------------------------------
Charles B. Curtis/
2001 100,000 210,250
- -------------------------------------------------------------
John A. Hill/
1985 (5)(7) 200,000 413,625
- -------------------------------------------------------------
Ronald J. Jackson/
1996 (5) 100,000 214,500
- -------------------------------------------------------------
Paul L. Joskow/
1997 (5) 100,000 215,250
- -------------------------------------------------------------
Elizabeth T. Kennan/
1992 100,000 207,000
- -------------------------------------------------------------
John H. Mullin, III/
1997 (5) 100,000 208,750
- -------------------------------------------------------------
Robert E. Patterson/
1984 100,000 206,500
- -------------------------------------------------------------
George Putnam, III/
1984 (7) 125,000 260,500
- -------------------------------------------------------------
A.J.C. Smith/
1986 (6) -- --
- -------------------------------------------------------------
W. Thomas Stephens/
1997 (5) 100,000 206,500
- -------------------------------------------------------------
(1) Includes an annual retainer and an attendance fee for each meeting
attended.
(2) Assumes that each Trustee retires at the normal retirement date. For
Trustees who are not within three years of retirement, estimated
benefits for each Trustee are based on Trustee fee rates in effect
during calendar 2003.
(3) As of December 31, 2003, there were 101 funds in the Putnam family.
For Mr. Hill, amounts shown also include compensation for service as a
trustee of TH Lee, Putnam Emerging Opportunities Portfolio, a closed-end
fund advised by an affiliate of Putnam Management.
(4) Includes amounts (ranging from $2,000 to $11,000 per Trustee) for
which the Putnam funds were reimbursed by Putnam Management for special
Board and committee meetings in connection with certain regulatory and
other matters relating to alleged improper trading by certain Putnam
Management employees and participants in certain 401(k) plans
administered by Putnam Fiduciary Trust Company.
(5) Includes compensation deferred pursuant to a Trustee Compensation
Deferral Plan. As of the dates indicated below, the total amounts of
deferred compensation payable by the fund, including income earned on
such amounts, were as follows:
Putnam Putnam Putnam Putnam Putnam
Asset Asset Asset Capital Capital
Allocation: Allocation: Allocation: Appre- Oppor-
Balanced Conservative Growth ciation tunities
Portfolio Portfolio Portfolio Fund Fund
(Sept. 30, (Sept. 30, (Sept. 30, (May 31, (April 30,
2003) 2003) 2003) 2003) 2003)
- -----------------------------------------------------------------------------------
Baxter $5,888 $1,165 $4,963 $8,909 $905
- -----------------------------------------------------------------------------------
Hill 16,268 3,219 13,712 23,602 2,398
- -----------------------------------------------------------------------------------
Jackson 8,290 1,640 6,988 11,914 1,211
- -----------------------------------------------------------------------------------
Joskow 6,216 1,230 5,240 9,069 921
- -----------------------------------------------------------------------------------
Mullin 6,735 1,333 5,677 10,207 1,037
- -----------------------------------------------------------------------------------
Stephens 2,645 523 2,229 3,993 406
- -----------------------------------------------------------------------------------
Putnam
Putnam Convertible Putnam Putnam Putnam
Classic Income- Discovery Equity Europe
Equity Growth Growth Income Equity
Fund Trust Fund Fund Fund
(Nov. 30, (Oct. 31, (Dec, 31, (Nov. 30, (June 30,
2003) 2003) 2003) 2003) 2003)
- -----------------------------------------------------------------------------------
Baxter $9,991 $6,665 $10,668 $7,353 $6,392
- -----------------------------------------------------------------------------------
Hill 28,685 19,137 30,722 21,111 16,933
- -----------------------------------------------------------------------------------
Jackson 14,722 9,826 15,756 10,835 8,552
- -----------------------------------------------------------------------------------
Joskow 10,871 7,249 11,624 8,000 6,513
- -----------------------------------------------------------------------------------
Mullin 11,421 7,621 12,193 8,406 7,321
- -----------------------------------------------------------------------------------
Stephens 4,484 2,993 4,798 3,300 2,870
- -----------------------------------------------------------------------------------
The
The Putnam Putnam Putnam
George Putnam Global Fund for Growth
Putnam Global Natural Growth Oppor-
Fund Equity Resources and tunities
of Boston Fund Fund Income Fund
(July 31, (Oct. 31, (Aug. 31, (Oct. 31, (July 31,
2003) 2003) 2003) 2003) 2003)
- -----------------------------------------------------------------------------------
Baxter $19,003 $22,888 $616 $75,982 $7,336
- -----------------------------------------------------------------------------------
Hill 52,508 65,719 1,702 218,171 20,270
- -----------------------------------------------------------------------------------
Jackson 26,755 33,745 867 112,025 10,328
- -----------------------------------------------------------------------------------
Joskow 20,034 24,894 650 82,644 7,734
- -----------------------------------------------------------------------------------
Mullin 21,753 26,171 705 86,881 8,397
- -----------------------------------------------------------------------------------
Stephens 8,528 10,277 276 34,117 3,292
- -----------------------------------------------------------------------------------
Putnam Putnam Putnam
Inter- Inter- Inter-
national Putnam national national
Putnam Capital Inter- Growth New
Health Oppor- national and Oppor-
Sciences tunities Equity Income tunities
Trust Fund Fund Fund Fund
(Aug. 31, (Aug. 31, (June 30, (June 30, (Sept. 30,
2003) 2003) 2003) 2003) 2003)
- -----------------------------------------------------------------------------------
Baxter $15,201 $1,730 $18,253 $2,767 $8,719
- -----------------------------------------------------------------------------------
Hill 42,001 4,780 48,351 7,328 24,088
- -----------------------------------------------------------------------------------
Jackson 21,393 2,435 24,419 3,701 12,275
- -----------------------------------------------------------------------------------
Joskow 16,033 1,825 18,598 2,819 9,205
- -----------------------------------------------------------------------------------
Mullin 17,397 1,980 20,903 3,168 9,973
- -----------------------------------------------------------------------------------
Stephens 6,817 776 8,195 1,242 3,916
- -----------------------------------------------------------------------------------
Putnam Putnam
Putnam New Putnam OTC &
Putnam Mid Cap Oppor- New Emerging
Investors Value tunities Value Growth
Fund Fund Fund Fund Fund
(July 31, (April 30, (June 30, (Aug. 31, (July 31,
2003) 2003) 2003) 2003) 2003)
- -----------------------------------------------------------------------------------
Baxter $17,124 $652 $51,669 $4,404 $16,520
- -----------------------------------------------------------------------------------
Hill 47,316 1,727 136,866 12,170 45,647
- -----------------------------------------------------------------------------------
Jackson 24,109 872 69,123 6,199 23,259
- -----------------------------------------------------------------------------------
Joskow 18,053 663 52,645 4,646 17,416
- -----------------------------------------------------------------------------------
Mullin 19,602 747 59,171 5,041 18,910
- -----------------------------------------------------------------------------------
Stephens 7,684 292 23,197 1,975 7,413
- -----------------------------------------------------------------------------------
Putnam
Utilities
Putnam Putnam Putnam Growth
Putnam Small Cap Small Cap Tax Smart and
Research Growth Value Equity Income
Fund Fund Fund Fund Fund
(July 31, (June 30, (Feb. 29, (Oct. 31, (Oct. 31,
2003) 2003) 2004) 2003) 2003)
- -----------------------------------------------------------------------------------
Baxter $1,710 $179 $1,563 $709 $7,024
- -----------------------------------------------------------------------------------
Hill 4,725 474 4,672 2,035 20,168
- -----------------------------------------------------------------------------------
Jackson 2,408 240 2,414 1,045 10,356
- -----------------------------------------------------------------------------------
Joskow 1,803 182 1,733 771 7,640
- -----------------------------------------------------------------------------------
Mullin 1,957 205 1,786 811 8,031
- -----------------------------------------------------------------------------------
Stephens 767 80 527 318 3,154
- -----------------------------------------------------------------------------------
Putnam Putnam
Vista Voyager
Fund Fund
(July 31, (July 31,
2003) 2003)
- -----------------------------------------
Baxter $19,769 $58,337
- -----------------------------------------
Hill 54,625 161,193
- -----------------------------------------
Jackson 27,834 82,134
- -----------------------------------------
Joskow 20,842 61,502
- -----------------------------------------
Mullin 22,630 66,778
- -----------------------------------------
Stephens 8,871 26,179
- -----------------------------------------
(6) Marsh & McLennan Companies, Inc. compensates Mr. Smith for his
service as Trustee. Mr. Smith has waived any retirement benefits that he
is entitled to receive under the Retirement Plan for Trustees of the
Putnam funds.
(7) Includes additional compensation to Messrs. Hill and Putnam for
service as Chairman of the Trustees and President of the funds,
respectively.
Under a Retirement Plan for Trustees of the Putnam funds (the "Plan"),
each Trustee who retires with at least five years of service as a
Trustee of the funds is entitled to receive an annual retirement benefit
equal to one-half of the average annual compensation paid to such
Trustee for the last three years of service prior to retirement. This
retirement benefit is payable during a Trustee's lifetime, beginning the
year following retirement, for a number of years equal to such Trustee's
years of service. A death benefit, also available under the Plan,
assures that the Trustee and his or her beneficiaries will receive
benefit payments for the lesser of an aggregate period of (i) ten years
or (ii) such Trustee's total years of service.
The Plan Administrator (currently the Board Policy and Nominating
Committee) may terminate or amend the Plan at any time, but no
termination or amendment will result in a reduction in the amount of
benefits (i) currently being paid to a Trustee at the time of such
termination or amendment, or (ii) to which a current Trustee would have
been entitled had he or she retired immediately prior to such
termination or amendment. The Trustees have terminated the Plan with
respect to any Trustee first elected to the board after 2003.
2. ADOPTION OF STANDARDIZED FUNDAMENTAL INVESTMENT RESTRICTIONS
As described in the following proposals, the Trustees recommend that
shareholders of the affected funds approve revisions to certain
fundamental investment restrictions currently observed by such funds.
Generally, the purpose of these proposed changes is to increase each
fund's investment flexibility and reduce administrative and compliance
burdens by simplifying and making uniform these fundamental investment
restrictions across all Putnam funds.
Background. The 1940 Act requires registered investment companies like
the funds to have "fundamental" investment restrictions governing
certain of their investment practices. Investment companies may also
voluntarily designate restrictions relating to other investment
practices as fundamental. "Fundamental" investment restrictions can be
changed only by a shareholder vote.
The proposed revisions to certain of the fundamental investment
restrictions of the funds are discussed below. By revising these
fundamental investment restrictions, the Trustees believe that Putnam
Management will be better able to manage the funds in a changing
regulatory or investment environment. In addition, the process of
monitoring the funds' compliance with investment restrictions will be
simplified.
To the extent multiple proposals apply to the same fund, the adoption of
any of these proposals is not contingent on the adoption of any other
proposal.
2.A. AMENDING FUNDAMENTAL INVESTMENT RESTRICTIONS WITH RESPECT TO BORROWING.
Affected funds:
Putnam Asset Allocation: Balanced Portfolio
Putnam Asset Allocation: Conservative Portfolio
Putnam Asset Allocation: Growth Portfolio
Putnam Capital Appreciation Fund
Putnam Classic Equity Fund
Putnam Convertible Income-Growth Trust
Putnam Discovery Growth Fund
Putnam Equity Income Fund
Putnam Europe Equity Fund
The George Putnam Fund of Boston
Putnam Global Equity Fund
Putnam Global Natural Resources Fund
The Putnam Fund for Growth and Income
Putnam Growth Opportunities Fund
Putnam Health Sciences Trust
Putnam International Capital Opportunities Fund
Putnam International Equity Fund
Putnam International Growth and Income Fund
Putnam International New Opportunities Fund
Putnam Investors Fund
Putnam New Opportunities Fund
Putnam New Value Fund
Putnam OTC & Emerging Growth Fund
Putnam Research Fund
Putnam Utilities Growth and Income Fund
Putnam Vista Fund
Putnam Voyager Fund
The Trustees recommend that each affected fund's fundamental investment
restriction with respect to borrowing be revised to reflect the standard
restriction expected to be used by other Putnam funds. Under the 1940
Act, a fund may borrow up to 33 1/3% of its total assets. Generally,
each of the affected fund's current restriction is more restrictive.
Exhibit B lists the current fundamental investment restrictions with
respect to borrowing of each of the affected funds. The proposed
fundamental investment restriction is set forth below:
"The fund may not. . . [b]orrow money in excess of 33 1/3% of the value
of its total assets (not including the amount borrowed) at the time the
borrowing is made."
If the proposed change is approved, each affected fund will not be
restricted to borrowing only for redemption requests or for
extraordinary or emergency purposes, and would not be limited to
borrowing only from banks. The new restriction would not prohibit an
affected fund from borrowing for leveraging purposes, although Putnam
Management currently has no intention of borrowing for such purposes. If
an affected fund were to borrow money, its net assets would tend to
increase or decrease to a greater extent with market changes than if the
fund had not borrowed money.
Putnam Management believes that this enhanced flexibility could assist
each affected fund in achieving its investment objective. In
circumstances in which an affected fund's available cash is not
sufficient to meet, among other things, shareholder redemptions, Putnam
Management believes that it may be advantageous at times for an affected
fund to borrow money instead of raising cash by selling its portfolio
securities, which could be disruptive to the fund's investment strategy.
In a separate proposal (see Proposal 2.B below), shareholders of these
affected funds are being asked to approve an amendment to each affected
fund's restriction on lending. The proposed revisions would, subject to
the limitations discussed below, permit an affected fund to participate
in an "interfund lending program," which would allow the fund, through a
master loan agreement, to lend available cash to and borrow from other
Putnam funds. As stated above, certain of the affected funds may
currently borrow money only from banks. Each affected fund would be able
to borrow money under the interfund lending program only if the interest
rate on the loan is more favorable to the fund than the interest rates
otherwise available for short-term bank loans, as well as being more
favorable to the lending fund than available repurchase agreement rates.
Putnam Management believes that the ability to engage in such borrowing
transactions will allow an affected fund to pay lower interest rates on
its borrowings. An affected fund could, in certain circumstances, have
its loan recalled by a lending fund on one day's notice. In these
circumstances, the affected fund might have to borrow from a bank at a
higher interest rate if loans were not available from other Putnam
funds.
The Putnam funds have received an exemptive order from the SEC which
permits interfund lending between Putnam funds so long as certain
conditions are satisfied.
Required Vote. Approval of this proposal requires the affirmative vote
of the lesser of (1) more than 50% of the outstanding shares of the
affected fund, or (2) 67% or more of the shares of the affected fund
present at the meeting if more than 50% of the outstanding shares of the
affected fund are present at the meeting in person or by proxy.
2.B. AMENDING FUNDAMENTAL INVESTMENT RESTRICTIONS WITH RESPECT
TO MAKING LOANS.
Affected funds:
Putnam Asset Allocation: Balanced Portfolio
Putnam Asset Allocation: Conservative Portfolio
Putnam Asset Allocation: Growth Portfolio
Putnam Capital Appreciation Fund
Putnam Classic Equity Fund
Putnam Convertible Income-Growth Trust
Putnam Discovery Growth Fund
Putnam Equity Income Fund
Putnam Europe Equity Fund
The George Putnam Fund of Boston
Putnam Global Equity Fund
Putnam Global Natural Resources Fund
The Putnam Fund for Growth and Income
Putnam Growth Opportunities Fund
Putnam Health Sciences Trust
Putnam International Capital Opportunities Fund
Putnam International Equity Fund
Putnam International Growth and Income Fund
Putnam International New Opportunities Fund
Putnam Investors Fund
Putnam New Opportunities Fund
Putnam New Value Fund
Putnam OTC & Emerging Growth Fund
Putnam Research Fund
Putnam Utilities Growth and Income Fund
Putnam Vista Fund
Putnam Voyager Fund
The Trustees recommend that each affected fund's fundamental investment
restriction with respect to making loans be revised to reflect the
standard restriction used by other Putnam funds, to remove any
limitations on each affected fund's ability to enter into repurchase
agreements and securities loans and to clarify that each affected fund
is permitted (subject to the limitation discussed above) to participate
in the proposed interfund lending program described in Proposal 2.A.
Each affected fund currently has one of the following fundamental
investment restrictions which states that such affected fund may not:
"Make loans, except by purchase of debt obligations in which the fund
may invest consistent with its investment policies, by entering into
repurchase agreements, or by lending its portfolio securities." (All
affected funds except Putnam Classic Equity Fund, Putnam Growth
Opportunities Fund, Putnam International Capital Opportunities Fund,
Putnam International New Opportunities Fund, Putnam New Value Fund and
Putnam Research Fund.)
OR
"Make loans, except by purchase of debt obligations in which the fund
may invest consistent with its investment policies, by entering into
repurchase agreements with respect to not more than 25% of its total
assets (taken at current value) or through the lending of its portfolio
securities with respect to no more than 25% of its total assets (taken
at current value)." (Putnam Classic Equity Fund, Putnam Growth
Opportunities Fund, Putnam International Capital Opportunities Fund,
Putnam International New Opportunities Fund, Putnam New Value Fund and
Putnam Research Fund.)
The proposed amended fundamental investment restriction is set forth
below:
"The fund may not. . . [m]ake loans, except by purchase of debt
obligations in which the fund may invest consistent with its investment
policies (including without limitation debt obligations issued by other
Putnam funds), by entering into repurchase agreements, or by lending its
portfolio securities."
Following the amendment, each affected fund may, consistent with its
investment objective and policies and applicable law, enter into
repurchase agreements and securities loans without limit. Putnam
Management believes that this increased investment flexibility could
assist each affected fund in achieving its investment objective.
When a fund enters into a repurchase agreement, it typically purchases a
security for a relatively short period (usually not more than one week),
which the seller agrees to repurchase at a fixed time and price,
representing the fund's cost plus interest. When a fund enters into a
securities loan, it lends certain of its portfolio securities to
broker-dealers or other parties, typically in exchange for a portion of
the interest earned on the collateral posted by the borrower. These
transactions must be fully collateralized at all times, but involve some
risk to the fund if the borrower should default on its obligation. If
the borrower in these transactions should become involved in bankruptcy
or insolvency proceedings, it is possible that the fund may be treated
as an unsecured creditor and be required to return the underlying
collateral to the borrower's estate.
If the proposal is approved, each affected fund would be able to
participate in an interfund lending program and make loans to other
Putnam funds for short-term purposes. As discussed in Proposal 2.A, a
fund would only make loans under the program if it could receive an
interest rate higher than those available for repurchase agreements.
There is a risk that a fund could experience a delay in obtaining prompt
repayment of a loan and, unlike repurchase agreements, the fund would
not necessarily have received collateral for its loan. A delay in
obtaining prompt payment could cause a fund to miss an investment
opportunity or to incur costs to borrow money to replace the delayed
payment.
Required vote. Approval of this proposal requires the affirmative vote
of the lesser of (1) more than 50% of the outstanding shares of the
affected fund, or (2) 67% or more of the shares of the affected fund
present at the meeting if more than 50% of the outstanding shares of the
affected fund are present at the meeting in person or by proxy.
2.C. AMENDING FUNDAMENTAL INVESTMENT RESTRICTIONS WITH RESPECT TO
DIVERSIFICATION OF INVESTMENTS.
Affected funds: All funds
The Trustees recommend that each affected fund's fundamental investment
restriction with respect to the diversification of its investments be
revised to reflect the standard restrictions expected to be used by the
other Putnam funds, depending on whether the affected fund is a
"diversified" fund or a "non-diversified" fund.
Under the 1940 Act, a "diversified" fund generally may not, with respect
to 75% of its total assets, invest more than 5% of its total assets in
the securities of any one issuer (except U.S. government securities,
cash, cash items or the securities of other regulated investment
companies). The remaining 25% of the fund's total assets is not subject
to this restriction.
A "non-diversified" fund is not subject to the 1940 Act restriction
discussed above, but is only subject to the rules under the Internal
Revenue Code of 1986, as amended (the "Code"), which require that a fund
diversify its holdings at the end of each fiscal quarter such that, with
respect to 50% of the fund's total assets, the fund does not have more
than 5% of its total assets invested in any one issuer. The remaining
50% of the fund's assets is not subject to this 5% limitation, although
with respect to that portion of its assets the fund may not invest more
than 25% in any issuer. Neither of these Code requirements applies to
U.S. government securities, cash, cash items or the securities of other
regulated investment companies.
Exhibit C lists the current fundamental investment restrictions with
respect to diversification of investments of each of the affected funds.
The proposed amended fundamental investment restrictions are set forth
below:
"The fund may not ... [w]ith respect to 50% of its total assets, invest
in securities of any issuer if, immediately after such investment, more
than 5% of the total assets of the fund (taken at current value) would
be invested in the securities of such issuer; provided that this
limitation does not apply to obligations issued or guaranteed as to
interest or principal by the U.S. government or its agencies or
instrumentalities or to securities issued by other investment
companies." (Putnam Health Sciences Trust only.)
OR
"The fund may not ... [w]ith respect to 75% of its total assets, invest
in securities of any issuer if, immediately after such investment, more
than 5% of the total assets of the fund (taken at current value) would
be invested in the securities of such issuer; provided that this
limitation does not apply to obligations issued or guaranteed as to
interest or principal by the U.S. government or its agencies or
instrumentalities or to securities issued by other investment
companies." (For all funds except Putnam Health Sciences Trust.)
If the proposed change is approved, each affected fund will continue to
be able to invest up to 25% of its total assets in the securities of any
one issuer. The amended restrictions would continue to exclude from its
limitations U.S. government securities, cash and cash items, and would
also exclude from its limitations securities of other investment
companies. The proposed changes would not result in a "diversified" fund
becoming a "non-diversified" fund, or a "non-diversified" fund becoming
a "diversified" fund.
The purpose of these proposed changes is to reduce administrative and
compliance burdens by simplifying and making uniform these fundamental
investment restrictions with respect to diversification of investments.
The proposed revisions would also permit each affected fund to invest in
shares of Putnam money market funds, Putnam short-term bond funds or
other Putnam entities that operate as cash management investment
vehicles in excess of the limitations discussed above, by excluding from
these limitations securities of other investment companies.
The Putnam funds have received an exemptive order from the SEC which
permits "cash sweep" arrangements in which a fund invests all or a
portion of its available cash in a Putnam cash management investment
vehicle, such as a Putnam money market fund, rather than directly in
short-term instruments. If the proposed change is approved, each
affected fund will be able to invest up to 25% of its total assets in a
Putnam money market fund or other Putnam cash management investment
vehicle, in accordance with the conditions set forth in the SEC
exemptive order. Putnam Management believes that use of a Putnam money
market fund or other Putnam cash management investment vehicle to invest
an affected fund's uninvested cash and cash collateral from securities
lending arrangements may achieve greater efficiencies, reduce fund
management expenses and increase returns. Moreover, use of a Putnam
money market fund or other Putnam cash management investment vehicle in
these instances would permit an affected fund's management team to focus
on the management of the principal investments of the fund.
Required Vote. Approval of this proposal requires the affirmative vote
of the lesser of (1) more than 50% of the outstanding shares of the
affected fund, or (2) 67% or more of the shares of the affected fund
present at the meeting if more than 50% of the outstanding shares of the
affected fund are present at the meeting in person or by proxy.
2.D. AMENDING FUNDAMENTAL INVESTMENT RESTRICTIONS WITH RESPECT TO
THE ISSUANCE OF SENIOR SECURITIES.
Affected funds:
Putnam Capital Opportunities Fund
Putnam Classic Equity Fund
Putnam Global Natural Resources Fund
Putnam Growth Opportunities Fund
Putnam International Capital Opportunities Fund
Putnam International New Opportunities Fund
Putnam New Value Fund
Putnam Research Fund
Putnam Small Cap Growth Fund
Putnam Small Cap Value Fund
Putnam Tax Smart Equity Fund
The Trustees recommend that each of the affected funds' fundamental
investment restriction with respect to the issuance of senior securities
be revised to reflect the standard restriction expected to be used by
the other Putnam funds and to make it clear that a fund is not
restricted from borrowing money consistent with its investment policies.
Generally, a "senior security" is a security which has priority over any
other security as to distribution of assets or dividends and technically
includes all indebtedness over 5% of the fund's assets. Each affected
fund currently has one of the following fundamental investment
restrictions which states that such fund may not:
"Issue any class of securities which is senior to the fund's shares of
beneficial interest." (All affected funds except Putnam Global Natural
Resources Fund.)
OR
"Issue senior securities (except insofar as the fund may be deemed to be
doing so by virtue of [the fund's fundamental investment restrictions
with respect to diversification of investments and lending])." (Putnam
Global Natural Resources Fund only.)
The proposed amended fundamental investment restriction is set forth
below:
"The fund may not... [i]ssue any class of securities which is senior to
the fund's shares of beneficial interest, except for permitted
borrowings."
The 1940 Act imposes limitations on an investment company's ability to
issue senior securities. This revised investment restriction is intended
to simplify and standardize the language of the funds' policies
concerning senior securities, and to permit each fund to take full
advantage of all investment flexibility permitted under applicable law.
Required vote. Approval of this proposal requires the affirmative vote
of the lesser of (1) more than 50% of the outstanding shares of the
affected fund, or (2) 67% or more of the shares of the affected fund
present at the meeting if more than 50% of the outstanding shares of the
affected fund are present at the meeting in person or by proxy.
2.E. AMENDING A FUND'S INVESTMENT OBJECTIVE
Affected fund: Putnam Equity Income Fund
The Trustees recommend that the affected fund's shareholders approve an
amendment to the affected fund's investment objective, which, as
disclosed in the affected fund's prospectus, states:
The fund seeks current income. Capital growth is a secondary objective
when consistent with seeking current income.
The proposed new investment objective of the affected fund is the
following:
The fund seeks capital growth and current income.
Putnam Management believes that the affected fund's current investment
objective, which gives priority to current income, could under certain
circumstances impair the management team's ability to pursue total
return. Putnam Management believes that, by restating the fund's
investment objective to give greater emphasis to capital growth, the
affected fund's management team will be able, consistent with the
affected fund's non-fundamental policy of investing at least 80% of the
fund's net assets in common stocks and other equity investments that
offer potential for current income, to give more weight to stocks that
Putnam Management believes have the potential to contribute to the
capital growth of the affected fund. The non-fundamental policy may not
be changed without providing at least 60 days' advance notice to
shareholders.
If approved, the proposed investment objective is not expected to have a
material effect on the investment strategy of the affected fund in the
near term, although it may over time lead to increased investments in
growth stocks. Growth stocks may trade at a higher multiple of current
earnings than other stocks. The values of such stocks may be more
sensitive to changes in current or expected earnings than the values of
other stocks. If the management team's assessment of the prospects for a
company's earnings growth is wrong, or if its judgment of how other
investors will value the company's earnings growth is wrong, then the
price of the company's stock may fall or not approach the value that the
management team has placed on it.
Required Vote. Approval of this proposal requires the affirmative vote
of the lesser of (1) more than 50% of the outstanding shares of the
affected fund, or (2) 67% of the shares of the affected fund present at
the meeting if more than 50% of the outstanding shares of the affected
fund are present at the meeting in person or by proxy.
3. APPROVING AN AMENDMENT TO DECLARATIONS OF TRUST.
Affected funds: All funds except Putnam Tax Smart Equity Fund
The Trustees of each of the trusts of which a fund is a series (the
"Trusts") and of each fund that is not a series of a Trust (each a
"Fund") have approved and recommend shareholder authorization of a
proposal to amend each Trust's and each Fund's Agreement and Declaration
of Trust (each a "Declaration of Trust") to expressly provide that the
Trust or Fund may pay redemption proceeds in-kind (i.e., by delivering
portfolio securities rather than cash). Each Trust's and each Fund's
Declaration of Trust provides that it may be amended by the Trustees
when authorized by a Trust's or Fund's shareholders.
Exhibit D lists the Article and Section of each Declaration of Trust
that would be revised by the proposed amendment to each Declaration of
Trust. The proposed amendments to each Declaration of Trust are set
forth below:
Article VI
Distributions, Redemptions and Repurchases
* * *
Redemption and Repurchases
Section 2. The Trust shall purchase such Shares as are offered by any
Shareholder for redemption, upon the presentation of any certificate for
the Shares to be purchased, a proper instrument of transfer and a
request directed to the Trust or a person designated by the Trust that
the Trust purchase such Shares, or in accordance with such other
procedures for redemption as the Trustees may from time to time
authorize; and the Trust will pay therefor the net asset value thereof,
as next determined in accordance with the Bylaws, less any redemption
charge fixed by the Trustees. Payment for said Shares shall be made by
the Trust to the Shareholder within seven days after the date on which
the request is made. The obligation set forth in this Section 2 is
subject to the provision that in the event that any time the New York
Stock Exchange is closed for other than customary weekends or holidays,
or, if permitted by the rules of the Securities and Exchange Commission,
during periods when trading on the Exchange is restricted or during any
emergency which makes it impractical for the Trust to dispose of its
investments or to determine fairly the value of its net assets, or
during any other period permitted by order of the Securities and
Exchange Commission for the protection of investors, such obligation may
be suspended or postponed by the Trustees. The Trust may also purchase
or repurchase Shares at a price not exceeding the net asset value of
such Shares in effect when the purchase or repurchase or any contract to
purchase or repurchase is made. Payment for any redemption, purchase or
repurchase may be made in cash or in other property, or in any
combination thereof. The composition of any such payment shall be
determined by the Trust in its sole discretion, and the Trust shall have
no obligation to effect a pro rata division of cash or other property in
making any such payment. In no event shall the Trust be liable for any
delay of any other person in transferring securities or other property
selected for delivery as all or part of any payment. (All affected funds
except The Putnam Fund for Growth and Income and The George Putnam Fund
of Boston.)
OR
Article IV
Rights and Privileges of Beneficiaries
* * *
Right to Sell Shares to Trust
Section 4. The Trust shall purchase such shares as are offered by any
beneficiary for redemption, upon the presentation of any certificate for
the shares to be purchased, a proper instrument of transfer and a
request directed to the Trust or a person designated by the Trust that
the Trust purchase such shares, or in accordance with such other
procedures for redemption as the Trustees may from time to time
authorize; and the Trust will pay therefor the net asset value thereof,
as next determined in accordance with the Bylaws, less any redemption
charge fixed by the Trustees. Payment for said shares shall be made by
the Trust to the beneficiary within seven days after the date on which
the request is made. The obligation set forth in this Section 4 is
subject to the provision that in the event that any time the New York
Stock Exchange is closed for other than customary weekends or holidays,
or, if permitted by the rules of the Securities and Exchange Commission,
during periods when trading on the Exchange is restricted or during any
emergency which makes it impractical for the Trust to dispose of its
investments or to determine fairly the value of its net assets, or
during any other period permitted by order of the Securities and
Exchange Commission for the protection of investors, such obligation may
be suspended or postponed by the Trustees. The Trust may also purchase
or repurchase shares at a price not exceeding the net asset value of
such shares in effect when the purchase or repurchase or any contract to
purchase or repurchase is made. Payment for any redemption, purchase or
repurchase may be made in cash or in other property, or in any
combination thereof. The composition of any such payment shall be
determined by the Trust in its sole discretion, and the Trust shall have
no obligation to effect a pro rata division of cash or other property in
making any such payment. In no event shall the Trust be liable for any
delay of any other person in transferring securities or other property
selected for delivery as all or part of any payment. (The Putnam Fund
for Growth and Income.)
OR
Article IV
Rights and Privileges of Beneficiaries
* * *
Right to Sell Shares to Trust
Section 4. The Trust shall purchase such shares as are offered by any
beneficiary for redemption, upon the presentation of any certificate for
the shares to be purchased, a proper instrument of transfer and a
request directed to the Trust or a person designated by the Trust that
the Trust purchase such shares, or in accordance with such other
procedures for redemption as the Trustees may from time to time
authorize; and the Trust will pay therefor the liquidating value
thereof, as next determined in accordance with the Bylaws, less any
redemption charge fixed by the Trustees. Payment for said shares shall
be made by the Trust to the beneficiary within seven days after the date
on which the request is made. The obligation set forth in this Section 4
is subject to the provision that in the event that any time the New York
Stock Exchange is closed for other than customary weekends or holidays,
or, if permitted by the rules of the Securities and Exchange Commission,
during periods when trading on the Exchange is restricted or during any
emergency which makes it impractical for the Trust to dispose of its
investments or to determine fairly the value of its net assets, or
during any other period permitted by order of the Securities and
Exchange Commission for the protection of investors, such obligation may
be suspended or postponed by the Trustees. The Trust may also purchase
or repurchase shares at a price not exceeding the liquidating value of
such shares in effect when the purchase or repurchase or any contract to
purchase or repurchase is made. Payment for any redemption, purchase or
repurchase may be made in cash or in other property, or in any
combination thereof. The composition of any such payment shall be
determined by the Trust in its sole discretion, and the Trust shall have
no obligation to effect a pro rata division of cash or other property in
making any such payment. In no event shall the Trust be liable for any
delay of any other person in transferring securities or other property
selected for delivery as all or part of any payment. (The George Putnam
Fund of Boston.)
Putnam Management recommends the proposed change to modernize and
standardize this provision of each Trust's or Fund's Declaration of
Trust. The Declarations of Trust are currently silent on the matter of
the permitted form of redemption payments and could be construed as
permitting only a cash payment. Although the Trusts and Funds have no
current intention to redeem their shares other than for cash, Putnam
Management believes that the explicit authority to pay a redemption
wholly or partially in kind may benefit a Fund's or Trust's remaining
shareholders in circumstances where a fund is facing significant
redemptions. If shares are redeemed in kind, the redeeming shareholder
would incur brokerage costs in converting the portfolio securities into
cash. If the proposal is approved by a Trust's or Fund's shareholders,
such Trust or Fund intends to file an election with the SEC under Rule
18f-1 under the 1940 Act, which will commit the Trust or Fund to pay in
cash any requests for redemption by a single shareholder during any
90-day period of up to the lesser of $250,000 or 1% of the Trust's or
Fund's net asset value at the beginning of the 90-day period.
Required Vote. For each Trust, all shares will vote together as a single
class, and approval of this proposal requires the affirmative vote of
shareholders holding a majority of the shares of the Trust entitled to
vote.
For each Fund that operates as the sole series of Trust, approval of
this proposal requires the affirmative vote of shareholders holding a
majority of the shares of such Fund outstanding.
Further information about voting and the meeting
Quorum and methods of tabulation. The shareholders of each fund vote
separately with respect to each proposal other than the election of
Trustees (Proposal 1) and approving the amendment to a Trust's
Declaration of Trust (Proposal 3), in which case shareholders of each
series of a Trust vote together as a single class. In the case of each
fund, 30% of the shares entitled to vote constitutes a quorum for the
transaction of business with respect to any proposal at the meeting
(unless otherwise noted in the proxy statement). Votes cast by proxy or
in person at the meeting will be counted by persons appointed by your
fund as tellers for the meeting. The tellers will count the total number
of votes cast "for" approval of a proposal for purposes of determining
whether sufficient affirmative votes have been cast. Shares represented
by proxies that reflect abstentions and "broker non-votes" (i.e., shares
held by brokers or nominees as to which (i) instructions have not been
received from the beneficial owners or the persons entitled to vote and
(ii) the broker or nominee does not have the discretionary voting power
on a particular matter) will be counted as shares that are present and
entitled to vote on the matter for purposes of determining the presence
of a quorum. With respect to the election of Trustees, neither
abstentions nor broker non-votes have an effect on the outcome of the
proposal. With respect to any other proposals, abstentions and broker
non-votes have the effect of a vote "against" the proposal.
Other business. The Trustees know of no matters other than those set
forth herein to be brought before the meeting. If, however, any other
matters properly come before the meeting, it is the Trustees' intention
that proxies will be voted on such matters in accordance with the
judgment of the persons named in the enclosed form of proxy.
Simultaneous meetings. The meeting of shareholders of your fund is
called to be held at the same time as the meetings of shareholders of
certain of the other Putnam funds. It is anticipated that all meetings
will be held simultaneously.
If any shareholder at the meeting objects to the holding of a
simultaneous meeting and moves for an adjournment of the meeting to a
time promptly after the simultaneous meetings, the persons named as
proxies will vote in favor of such adjournment.
Solicitation of proxies. In addition to soliciting proxies by mail, the
Trustees of your fund and employees of Putnam Management, Putnam
Fiduciary Trust Company and Putnam Retail Management may solicit proxies
in person or by telephone. Your fund may arrange to have PFPC Inc., a
proxy solicitation firm, call you to record your voting instructions by
telephone. The procedures for voting proxies by telephone are designed
to authenticate shareholders' identities, to allow them to authorize the
voting of their shares in accordance with their instructions and to
confirm that their instructions have been properly recorded. Your fund
has been advised by counsel that these procedures are consistent with
the requirements of applicable law. If these procedures were subject to
a successful legal challenge, such votes would not be counted at the
meeting. Your fund is unaware of any such challenge at this time.
Shareholders would be called at the phone number Putnam Management has
in its records for their accounts, and would be asked for their Social
Security number or other identifying information. The shareholders would
then be given an opportunity to authorize the proxies to vote their
shares at the meeting in accordance with their instructions. To ensure
that the shareholders' instructions have been recorded correctly, they
will also receive a confirmation of their instructions in the mail. A
special toll-free number will be available in case the information
contained in the confirmation is incorrect.
Shareholders have the opportunity to submit their voting instructions
via the Internet by utilizing a program provided by a third party vendor
hired by Putnam Management or by automated telephone service. The giving
of such a proxy will not affect your right to vote in person should you
decide to attend the meeting. To use the Internet, please access the
Internet address listed on your proxy card, and follow the instructions
on the internet site. To record your voting instructions via automated
telephone service, call the toll-free number listed on your proxy card.
The Internet and telephone voting procedures are designed to
authenticate shareholder identities, to allow shareholders to give their
voting instructions and to confirm that shareholders' instructions have
been recorded properly. Shareholders voting via the Internet should
understand that there may be costs associated with electronic access,
such as usage charges from Internet access providers and telephone
companies, that must be borne by the shareholders.
Your fund's Trustees have adopted a general policy of maintaining
confidentiality in the voting of proxies. Consistent with this policy,
your fund may solicit proxies from shareholders who have not voted their
shares or who have abstained from voting.
Persons holding shares as nominees will, upon request, be reimbursed for
their reasonable expenses in soliciting instructions from their
principals. The Putnam funds have retained at their own expense PFPC
Inc., 4400 Computer Drive, Westborough, Massachusetts 01581, to aid in
the solicitation of instructions for registered and nominee accounts,
for a fee expected not to exceed $1.3 million plus reasonable
out-of-pocket expenses for mailing. The expenses of the preparation of
proxy statements and related materials, including printing and delivery
costs, are borne by each fund.
Revocation of proxies. Proxies, including proxies given by telephone or
over the Internet, may be revoked at any time before they are voted
either (i) by a written revocation received by the Clerk of your fund,
(ii) by properly executing a later-dated proxy, (iii) by recording
later-dated voting instructions via the Internet or (iv) by attending
the meeting and voting in person.
Date for receipt of shareholders' proposals for subsequent meetings of
shareholders. Your fund does not regularly hold annual shareholder
meetings, but may from time to time schedule special meetings. In
addition, your fund has voluntarily undertaken to hold shareholder
meetings at least every five years. In accordance with the regulations
of the SEC, in order to be eligible for inclusion in the fund's proxy
statement for such a meeting, a shareholder proposal must be received a
reasonable time before the fund prints and mails its proxy statement.
The Board Policy and Nominating Committee will also consider nominees
recommended by shareholders of the fund to serve as Trustees. A
shareholder must submit the names of any such nominees in writing to the
fund, to the attention of the Clerk, at the address of the principal
offices of the fund.
If a shareholder who wishes to present a proposal at a special
shareholder meeting fails to notify the fund within a reasonable time
before the fund mails its proxy statement, the proxies solicited for the
meeting will have discretionary authority to vote on the shareholder's
proposal if it is properly brought before the meeting. If a shareholder
makes a timely notification, the proxies may still exercise
discretionary voting authority under circumstances consistent with the
SEC's proxy rules. All shareholder proposals must also comply with other
requirements of the SEC's rules and the fund's Declaration of Trust.
Adjournment. If sufficient votes in favor of any of the proposals set
forth in the Notice of the Meeting are not received by the time
scheduled for the meeting, the persons named as proxies may propose
adjournments of the meeting for a period or periods of not more than 60
days in the aggregate to permit further solicitation of proxies. Any
adjournment will require the affirmative vote of a majority of the votes
cast on the question in person or by proxy at the session of the meeting
to be adjourned. The persons named as proxies will vote in favor of
adjournment those proxies that they are entitled to vote in favor of the
proposals. They will vote against any such adjournment those proxies
required to be voted against the proposals. Your fund pays the costs of
any additional solicitation and of any adjourned session. Any proposals
for which sufficient favorable votes have been received by the time of
the meeting may be acted upon and considered final regardless of whether
the meeting is adjourned to permit additional solicitation with respect
to any other proposal.
Financial information. Your fund will furnish to you upon request and
without charge, a copy of the fund's annual report for its most recent
fiscal year, and a copy of its semiannual report for any subsequent
semiannual period. Such requests may be directed to Putnam Investor
Services, P.O. Box 41203, Providence, RI 02940-1203 or 1-800-225-1581.
Fund Information
Putnam Investments. Putnam Investment Management, LLC, the fund's
investment manager, is a subsidiary of Putnam Management Trust, which is
in turn owned by Putnam Investments. Putnam Investments Limited, the
sub-manager for Putnam Europe Equity Fund and Putnam International
Equity Fund, is a subsidiary of The Putnam Advisory Company, LLC, which
is in turn owned by Putnam Investments. Putnam Investments is a
wholly-owned subsidiary of Putnam Investments Trust, a holding company
that, except for a minority stake owned by employees, is in turn owned
by Marsh & McLennan Companies, Inc., a leading professional services
firm that includes risk and insurance services, investment management
and consulting businesses. Putnam Fiduciary Trust Company, the fund's
investor servicing agent and custodian and Putnam Retail Management
Limited Partnership, the fund's principal underwriter, are also
subsidiaries of Putnam Investments. The address of Putnam Investments
Trust, Putnam Investments, Putnam Investment Management, LLC, Putnam
Retail Management Limited Partnership and Putnam Fiduciary Trust Company
is One Post Office Square, Boston, Massachusetts 02109. The address of
Putnam Investments Limited is Cassini House, 57-59 St. James's Street,
London SW1A 1LD, United Kingdom. The address of the executive offices of
Marsh & McLennan Companies, Inc. is 1166 Avenue of the Americas, New
York, New York 10036.
Litigation. Exhibit E to this proxy statement describes the pending
legal proceedings in which the Trustees have been named as parties
adverse to your fund as of June 30, 2004.
Limitation of Trustee liability. The Declaration of Trust of each fund
provides that the fund will indemnify its Trustees and officers against
liabilities and expenses incurred in connection with litigation in which
they may be involved because of their offices with the fund, except if
it is determined in the manner specified in the Declaration of Trust
that they have not acted in good faith in the reasonable belief that
their actions were in the best interests of the fund or that such
indemnification would relieve any officer or Trustee of any liability to
the fund or its shareholders arising by reason of willful misfeasance,
bad faith, gross negligence or reckless disregard of his or her duties.
Your fund, at its expense, provides liability insurance for the benefit
of its Trustees and officers.
Independent registered public accounting firm. As listed below, the
Trustees have selected PricewaterhouseCoopers LLP, 125 High Street,
Boston, Massachusetts 02110, or KPMG, 99 High Street, Boston,
Massachusetts 02110, as the independent registered public accounting
firm for each fund's current fiscal year. These firms are among the
country's preeminent independent registered public accounting firms.
Each firm was selected primarily on the basis of its expertise as
auditors of investment companies, the quality of its audit services and
the competitiveness of its fees. Representatives of each of
PricewaterhouseCoopers LLP and KPMG LLP are expected to be present at
the meeting to make statements and to respond to appropriate questions.
The following table presents fees billed in each of the last two fiscal
years for services rendered to a fund by PricewaterhouseCoopers LLP:
Putnam Asset Allocation: Putnam Asset Allocation: Putnam Asset Allocation:
Balanced Portfolio and Conservative Portfolio respectively, comprising less than 1% of each fund's
outstanding shares on that date. A total of [ ], [ ] and [ ] of the Growth Portfolio
Balanced Portfolio- -------------------------------------------------------------------------------------------------------
Audit Sept. 30, 2003 -- $95,156 Sept. 30, 2003 -- $78,060 Sept. 30, 2003 -- $94,290
Fees Sept. 30, 2002 -- $77,227 Sept. 30, 2002 -- $75,741 Sept. 30, 2002 -- $79,144
- -------------------------------------------------------------------------------------------------------
Audit-Related Sept. 30, 2003 -- $0 Sept. 30, 2003 -- $0 Sept. 30, 2003 -- $0
Fees Sept. 30, 2002 -- $0 Sept. 30, 2002 -- $0 Sept. 30, 2002 -- $0
- -------------------------------------------------------------------------------------------------------
Tax Fees Sept. 30, 2003 -- $11,878 Sept. 30, 2003 -- $11,606 Sept. 30, 2003 -- $17,555
Sept. 30, 2002 -- $9,680 Sept. 30, 2002 -- $9,625 Sept. 30, 2002 -- $20,680
- -------------------------------------------------------------------------------------------------------
All Other Sept. 30, 2003 -- $0 Sept. 30, 2003 -- $0 Sept. 30, 2003 -- $0
Fees Sept. 30, 2002 -- $336 Sept. 30, 2002 -- $91 Sept. 30, 2002 -- $413
- -------------------------------------------------------------------------------------------------------
Putnam Capital Putnam Capital Putnam Discovery
Appreciation Fund Opportunities Fund Growth Fund
- -------------------------------------------------------------------------------------------------------
Audit May 31, 2004 -- $47,050 April 30, 2004 -- $49,479 Dec. 31, 2003 -- $63,857
Fees May 31, 2003 -- $54,238 April 30, 2003 -- $41,353 Dec. 31, 2002 -- $61,643
- -------------------------------------------------------------------------------------------------------
Audit-Related May 31, 2004 -- $0 April 30, 2004 -- $0 Dec. 31, 2003 -- $0
Fees May 31, 2003 -- $0 April 30, 2003 -- $0 Dec. 31, 2002 -- $45,700
- -------------------------------------------------------------------------------------------------------
Tax Fees May 31, 2004 -- $3,174 April 30, 2004 -- $3,166 Dec. 31, 2003 -- $3,447
May 31, 2003 -- $3,231 April 30, 2003 -- $3,072 Dec. 31, 2002 -- $4,124
- -------------------------------------------------------------------------------------------------------
All Other May 31, 2004 -- $158 April 30, 2004 -- $219 Dec. 31, 2003 -- $0
Fees May 31, 2003 -- $0 April 30, 2003 -- $0 Dec. 31, 2002 -- $1,841
- -------------------------------------------------------------------------------------------------------
Putnam Europe The George Putnam The Putnam Fund for
Equity Fund Fund of Boston Growth and Conservative Portfolio shares, respectively, are held by certain "interested" TrusteesIncome
- -------------------------------------------------------------------------------------------------------
Audit June 30, 2004 -- $57,486 July 31, 2003 -- $93,273 Oct. 31, 2003 -- $136,327
Fees June 30, 2003 -- $61,214 July 31, 2002 -- $78,456 Oct. 31, 2002 -- $122,644
- -------------------------------------------------------------------------------------------------------
Audit-Related June 30, 2004 -- $0 July 31, 2003 -- $47,876 Oct. 31, 2003 -- $0
Fees June 30, 2003 -- $0 July 31, 2002 -- $0 Oct. 31, 2002 -- $0
- -------------------------------------------------------------------------------------------------------
Tax Fees June 30, 2004 -- $4,213 July 31, 2003 -- $6,908 Oct. 31, 2003 -- $5,108
June 30, 2003 -- $5,310 July 31, 2002 -- $5,473 Oct. 31, 2002 -- $22,204
- -------------------------------------------------------------------------------------------------------
All Other June 30, 2004 -- $118 July 31, 2003 -- $0 Oct. 31, 2003 -- $0
Fees June 30, 2003 -- $0 July 31, 2002 -- $1,112 Oct. 31, 2002 -- $9,129
- -------------------------------------------------------------------------------------------------------
Putnam
Putnam Health International Capital Putnam International
Sciences Trust Opportunities Fund Equity Fund
- -------------------------------------------------------------------------------------------------------
Audit Aug. 31, 2003 -- $70,076 Aug. 31, 2003 -- $66,461 June 30, 2004 -- $111,614
Fees Aug. 31, 2002 -- $63,127 Aug. 31, 2002 -- $56,354 June30, 2003 -- $85,176
- -------------------------------------------------------------------------------------------------------
Audit-Related Aug. 31, 2003 -- $0 Aug. 31, 2003 -- $0 June 30, 2004 -- $0
Fees Aug. 31, 2002 -- $0 Aug. 31, 2002 -- $0 June30, 2003 -- $0
- -------------------------------------------------------------------------------------------------------
Tax Fees Aug. 31, 2003 -- $4,631 Aug. 31, 2003 -- $6,200 June 30, 2004 -- $19,483
Aug. 31, 2002 -- $3,783 Aug. 31, 2002 -- $5,796 June30, 2003 -- $28,967
- -------------------------------------------------------------------------------------------------------
All Other Aug. 31, 2003 -- $0 Aug. 31, 2003 -- $0 June 30, 2004 -- $1,530
Fees Aug. 31, 2002 -- $2,790 Aug. 31, 2002 -- $1,043 June30, 2003 -- $0
- -------------------------------------------------------------------------------------------------------
Putnam Putnam
International Growth International New Putnam New
and officers of your fundsIncome Fund Opportunities Fund Opportunities Fund
- -------------------------------------------------------------------------------------------------------
Audit June 30, 2004 -- $53,069 Sept. 30, 2003 -- $55,285 June 30, 2004 -- $96,366
Fees June 30, 2003 -- $45,457 Sept. 30, 2002 -- $61,806 June 30, 2003 -- $98,833
- -------------------------------------------------------------------------------------------------------
Audit-Related June 30, 2004 -- $0 Sept. 30, 2003 -- $0 June 30, 2004 -- $0
Fees June 30, 2003 -- $0 Sept. 30, 2002 -- $0 June 30, 2003 -- $0
- -------------------------------------------------------------------------------------------------------
Tax Fees June 30, 2004 -- $5,075 Sept. 30, 2003 -- $7,197 June 30, 2004 -- $3,868
June 30, 2003 -- $3,903 Sept. 30, 2002 -- $11,391 June 30, 2003 -- $6,831
- -------------------------------------------------------------------------------------------------------
All Other June 30, 2004 -- $120 Sept. 30, 2003 -- $0 June 30, 2004 -- $1,637
Fees June 30, 2003 -- $0 Sept. 30, 2002 -- $1,236 June 30, 2003 -- $0
- -------------------------------------------------------------------------------------------------------
Putnam New Putnam OTC & Putnam Small Cap
Value Fund Emerging Growth Fund Growth Fund
- -------------------------------------------------------------------------------------------------------
Audit Aug. 31, 2003 -- $40,890 July 31, 2003 -- $66,963 June 30, 2004 -- $35,742
Fees Aug. 31, 2002 -- $46,082 July 31, 2002 -- $66,435 June 30, 2003 -- $31,825
- -------------------------------------------------------------------------------------------------------
Audit-Related Aug. 31, 2003 -- $0 July 31, 2003 -- $0 June 30, 2004 -- $0
Fees Aug. 31, 2002 -- $0 July 31, 2002 -- $0 June 30, 2003 -- $0
- -------------------------------------------------------------------------------------------------------
Tax Fees Aug. 31, 2003 -- $3,537 July 31, 2003 -- $4,278 June 30, 2004 -- $3,014
Aug. 31, 2002 -- $2,992 July 31, 2002 -- $3,735 June 30, 2003 -- $2,774
- -------------------------------------------------------------------------------------------------------
All Other Aug. 31, 2003 -- $0 July 31, 2003 -- $0 June 30, 2004 -- $47
Fees Aug. 31, 2002 -- $678 July 31, 2002 -- $2,651 June 30, 2003 -- $0
- -------------------------------------------------------------------------------------------------------
Putnam Tax Smart Putnam Utilities Growth Putnam
Equity Fund and Putnam ManagementIncome Fund Voyager Fund
- -------------------------------------------------------------------------------------------------------
Audit Oct. 31, 2003 -- $38,856 Oct. 31, 2003 -- $50,790 July 31, 2003 -- $113,682
Fees Oct. 31, 2002 -- $34,499 Oct. 31, 2002 -- $43,592 July 31, 2002 -- $129,287
- -------------------------------------------------------------------------------------------------------
Audit-Related Oct. 31, 2003 -- $0 Oct. 31, 2003 -- $0 July 31, 2003 -- $0
Fees Oct. 31, 2002 -- $0 Oct. 31, 2002 -- $0 July 31, 2002 -- $0
- -------------------------------------------------------------------------------------------------------
Tax Fees Oct. 31, 2003 -- $3,060 Oct. 31, 2003 -- $4,148 July 31, 2003 -- $8,871
Oct. 31, 2002 -- $2,826 Oct. 31, 2002 -- $3,878 July 31, 2002 -- $8,104
- -------------------------------------------------------------------------------------------------------
All Other Fees Oct. 31, 2003 -- $0 Oct. 31, 2003 -- $0 July 31, 2003 -- $0
Oct. 31, 2002 -- $138 Oct. 31, 2002 -- $432 July 31, 2002 -- $9,949
- -------------------------------------------------------------------------------------------------------
The following table presents fees billed in their Putnam Investments, Inc. Profit Sharing Retirement Plan accounts. Each individual
accountholder has sole investment power and shared voting power with respect to his/her account.
/TABLE
What are some of the ways in which the Trustees represent
shareholder interests?
The Trustees believe that, as substantial investors in the Putnam
funds, their interests are closely aligned with those of
individual shareholders. Among other ways, the Trustees seek to
represent shareholder interests:
by carefully reviewing your fund's investment performance
on an individual basis with your fund's managers;
by also carefully reviewing the quality of the various
other services provided to the funds and their
shareholders by Putnam Management and its affiliates;
by discussing with senior management of Putnam Management
steps being taken to address any performance
deficiencies;
by reviewing the fees paid to Putnam Management to ensure
that such fees remain reasonable and competitive with
those of other mutual funds, while at the same time
providing Putnam Management sufficient resources to
continue to provide high quality services in the future;
by monitoring potential conflicts between the funds and
Putnam Management and its affiliates to ensure that the
funds continue to be managed in the best interests of
their shareholders;
by also monitoring potential conflicts among funds to
ensure that shareholders continue to realize the benefits
of participation in a large and diverse family of funds.
How often do the Trustees meet?
The Trustees meet each month (except August) over a two-day
period to review the operations of your fund and of the other
Putnam funds. A portion of these meetings is devoted to meetings
of various Committees of the board which focus on particular
matters. These include: the Contract Committee, which reviews
all contractual arrangements with Putnam Management and its
affiliates; the Communication and Service Committee, which
reviews the quality of services provided by your fund's investor
servicing agent, custodian and distributor; the Pricing,
Brokerage and Special Investments Committee, which reviews
matters relating to valuation of securities, best execution,
brokerage costs and allocations and new investment techniques;
the Audit Committee, which reviews accounting policies and the
adequacy of internal controls and supervises the engagement of
the fund's auditors; the Compensation, Administration and Legal
Affairs Committee, which reviews the compensation of the Trustees
and their administrative staff and supervises the engagement of
the fund's independent counsel; and the Nominating Committee,
which is responsible for selecting nominees for election as
Trustees.
Each Trustee generally attends at least two formal committee
meetings during such monthly meeting of the Trustees. During
1995, the average Trustee participated in approximately 40
committee and board meetings. In addition, the Trustees meet in
small groups with Chief Investment Officers and Portfolio
Managers to review recent performance and the current investment
climate for selected funds. These meetings ensure that each
funds' performance is reviewed in detail at least twice a year.
The Contract Committee typically meets on several additional
occasions during the year to carry out its responsibilities.
Other Committees, including an Executive Committee, may also meet
on special occasions as the need arises.
What are the Trustees paid for their services?
Your fund pays each Trustee a fee for his or her services. Each
Trustee also receives fees for serving as Trustee of the other
Putnam funds. The Trustees periodically review their fees to
assure that such fees continue to be appropriate in light of
their responsibilities as well as in relation to fees paid to
trustees of other mutual funds complexes. The fees paid to each
Trustee by each of the fundslast two fiscal years for services
rendered to a fund by KPMG LLP:
Putnam Classic Putnam Convertible Putnam Equity
Equity Fund Income--Growth Trust Income Fund
- -------------------------------------------------------------------------------------------------------
Audit Nov. 30, 2003 -- $27,900 Oct. 31, 2003 -- $25,050 Nov. 30, 2003 -- $26,450
Fees Nov. 30, 2002 -- $26,350 Oct. 31, 2002 -- $23,700 Nov. 30, 2002 -- $24,800
- -------------------------------------------------------------------------------------------------------
Audit-Related Nov. 30, 2003 -- $0 Oct. 31, 2003 -- $0 Nov. 30, 2003 -- $0
Fees Nov. 30, 2002 -- $0 Oct. 31, 2002 -- $0 Nov. 30, 2002 -- $0
- -------------------------------------------------------------------------------------------------------
Tax Fees Nov. 30, 2003 -- $2,800 Oct. 31, 2003 -- $2,450 Nov. 30, 2003 -- $2,450
Nov. 30, 2002 -- $2,650 Oct. 31, 2002 -- $2,300 Nov. 30, 2002 -- $2,300
- -------------------------------------------------------------------------------------------------------
All Other Nov. 30, 2003 -- $0 Oct. 31, 2003 -- $0 Nov. 30, 2003 -- $0
Fees Nov. 30, 2002 -- $1,731 Oct. 31, 2002 -- $1,731 Nov. 30, 2002 -- $1,731
- -------------------------------------------------------------------------------------------------------
Putnam Global Putnam Global Natural Putnam Growth
Equity Fund Resources Fund Opportunities Fund
- -------------------------------------------------------------------------------------------------------
Audit Oct. 31, 2003 -- $33,600 Aug. 31, 2003 -- $25,550 July 31, 2003 -- $22,450
Fees Oct. 31, 2002 -- $31,450 Aug. 31, 2002 -- $24,200 July 31, 2002 -- $21,000
- -------------------------------------------------------------------------------------------------------
Audit-Related Oct. 31, 2003 -- $0 Aug. 31, 2003 -- $0 July 31, 2003 -- $0
Fees Oct. 31, 2002 -- $0 Aug. 31, 2002 -- $0 July 31, 2002 -- $0
- -------------------------------------------------------------------------------------------------------
Tax Fees Oct. 31, 2003 -- $2,800 Aug. 31, 2003 -- $2,450 July 31, 2003 -- $2,450
Oct. 31, 2002 -- $2,650 Aug. 31, 2002 -- $2,300 July 31, 2002 -- $2,300
- -------------------------------------------------------------------------------------------------------
All Other Oct. 31, 2003 -- $0 Aug. 31, 2003 -- $0 July 31, 2003 -- $1,731
Fees Oct. 31, 2002 -- $1,731 Aug. 31, 2002 -- $1,731 July 31, 2002 -- $0
- -------------------------------------------------------------------------------------------------------
Putnam Putnam Mid Cap Putnam
Investors Fund Value Fund Research Fund
- -------------------------------------------------------------------------------------------------------
Audit July 31, 2003 -- $29,250 April 30, 2004 -- $21,108 July 31, 2003 -- $21,350
Fees July 31, 2002 -- $27,400 April 30, 2003 -- $19,500 July 31, 2002 -- $20,000
- -------------------------------------------------------------------------------------------------------
Audit-Related July 31, 2003 -- $0 April 30, 2004 -- $0 July 31, 2003 -- $0
Fees July 31, 2002 -- $0 April 30, 2003 -- $0 July 31, 2002 -- $0
- -------------------------------------------------------------------------------------------------------
Tax Fees July 31, 2003 -- $2,450 April 30, 2004 -- $2,450 July 31, 2003 -- $2,450
July 31, 2002 -- $2,300 April 30, 2003 -- $2,300 July 31, 2002 -- $2,300
- -------------------------------------------------------------------------------------------------------
All Other July 31, 2003 -- $1,731 April 30, 2004 -- $122 July 31, 2003 -- $1,731
Fees July 31, 2002 -- $0 April 30, 2003 -- $1,731 July 31, 2002 -- $0
- -------------------------------------------------------------------------------------------------------
Putnam Small Cap
Value Fund Putnam Vista Fund
- -------------------------------------------------------------------------------------------------------
Audit Feb. 29, 2004 -- $26,250 July 31, 2003 -- $27,050
Fees Feb. 28, 2003 -- $24,800 July 31, 2002 -- $25,300
- -------------------------------------------------------------------------------------------------------
Audit-Related Feb. 29, 2004 -- $0 July 31, 2003 -- $0
Fees Feb. 28, 2003 -- $0 July 31, 2002 -- $0
- -------------------------------------------------------------------------------------------------------
Tax Fees Feb. 29, 2004 -- $2,450 July 31, 2003 -- $2,450
Feb. 28, 2003 -- $2,300 July 31, 2002 -- $2,300
- -------------------------------------------------------------------------------------------------------
All Other Feb. 29, 2004 -- $0 July 31, 2003 -- $1,731
Fees Feb. 28, 2003 -- $1,730 July 31, 2002 -- $0
- -------------------------------------------------------------------------------------------------------
Audit Fees represents fees billed for a fund's last two fiscal years.
Audit-Related Fees represents fees billed in a fund's last two fiscal
years for services traditionally performed by the fund's independent
registered public accounting firm, including accounting consultation for
proposed transactions or concerning financial accounting and reporting
standards and other audit or attest services not required by statute or
regulation.
Tax Fees represents fees billed in a fund's last two fiscal years for
tax compliance, tax planning and tax advice services. Tax planning and
tax advice services include assistance with tax audits, employee benefit
plans and requests for rulings or technical advice from taxing
authorities.
All Other Fees represents fees billed for services relating to
calculation of a fund's investment performance, fund expense processing
and interfund trading.
The following tables present the amounts the independent auditors billed
for aggregate non-audit fees in each of the last two fiscal years to
each fund, Putnam Management and any entity controlling, controlled by
or under common control with Putnam Management that provides ongoing
services to the fund:
PricewaterhouseCoopers LLP:
Putnam Asset Allocation: Putnam Asset Allocation: Putnam Asset Allocation:
Balanced Portfolio Conservative Portfolio Growth Portfolio
- ----------------------------------------------------------------------------------------------------------
Non- Sept. 30, 2003 -- $85,473 Sept. 30, 2003 -- $85,201 Sept. 30, 2003 -- $91,150
Audit Fees Sept. 30, 2002 -- $10,016 Sept. 30, 2002 -- $9,715 Sept. 30, 2002 -- $21,093
- ----------------------------------------------------------------------------------------------------------
Putnam Capital Putnam Capital Putnam Discovery
Appreciation Fund Opportunities Fund Growth Fund
- ----------------------------------------------------------------------------------------------------------
Non- May 31, 2004 -- $133,821 April 30, 2004 -- $144,215 Dec. 31, 2003 -- $144,277
Audit Fees May 31, 2003 -- $57,748 April 30, 2003 -- $3,072 Dec. 31, 2002 -- $51,665
- ----------------------------------------------------------------------------------------------------------
Putnam Europe The George Putnam The Putnam Fund for
Equity Fund Fund of Boston Growth and byIncome
- ----------------------------------------------------------------------------------------------------------
Non- June 30, 2004 -- $137,958 July 31, 2003 -- $128,379 Oct. 31, 2003 -- $107,185
Audit Fees June 30, 2003 -- $59,828 July 31, 2002 -- $21,515 Oct. 31, 2002 -- $31,333
- ----------------------------------------------------------------------------------------------------------
Putnam
Putnam Health International Capital Putnam International
Sciences Trust Opportunities Fund Equity Fund
- ----------------------------------------------------------------------------------------------------------
Non- Aug. 31, 2003 -- $78,226 Aug. 31, 2003 -- $79,795 June 30, 2004 -- $154,641
Audit Fees Aug. 31, 2002 -- $21,503 Aug. 31, 2002 -- $21,769 June30, 2003 -- $83,485
- ----------------------------------------------------------------------------------------------------------
Putnam Putnam
International Growth International New Putnam New
and Income Fund Opportunities Fund Opportunities Fund
- ----------------------------------------------------------------------------------------------------------
Non- June 30, 2004 -- $138,823 Sept. 30, 2003 -- $80,792 June 30, 2004 -- $139,133
Audit Fees June 30, 2003 -- $58,421 Sept. 30, 2002 -- $12,627 June 30, 2003 -- $61,349
- ----------------------------------------------------------------------------------------------------------
Putnam New Putnam OTC & Putnam Small Cap
Value Fund Emerging Growth Fund Growth Fund
- ----------------------------------------------------------------------------------------------------------
Non- Aug. 31, 2003 -- $77,132 July 31, 2003 -- $77,873 June 30, 2004 -- $136,689
Audit Fees Aug. 31, 2002 -- $18,599 July 31, 2002 -- $21,316 June 30, 2003 -- $57,292
- ----------------------------------------------------------------------------------------------------------
Putnam Tax Smart Putnam Utilities Growth Putnam
Equity Fund and Income Fund Voyager Fund
- ----------------------------------------------------------------------------------------------------------
Non- Oct. 31, 2003 -- $105,137 Oct. 31, 2003 -- $106,225 July 31, 2003 -- $82,466
Audit Fees Oct. 31, 2002 -- $2,964 Oct. 31, 2002 -- $4,311 July 31, 2002 -- $32,983
- ----------------------------------------------------------------------------------------------------------
KPMG LLP:
Putnam Classic Putnam Convertible Putnam Equity
Equity Fund Income-Growth Trust Income Fund
- ----------------------------------------------------------------------------------------------------------
Non- Nov. 30, 2003 -- $2,800 Oct. 31, 2003 -- $2,450 Nov. 30, 2003 -- $2,450
Audit Fees Nov. 30, 2002 -- $4,381 Oct. 31, 2002 -- $4,031 Nov. 30, 2002 -- $4,031
- ----------------------------------------------------------------------------------------------------------
Putnam Global Putnam Global Natural Putnam Growth
Equity Fund Resources Fund Opportunities Fund
- ----------------------------------------------------------------------------------------------------------
Non- Oct. 31, 2003 -- $2,800 Aug. 31, 2003 -- $2,450 July 31, 2003 -- $4,181
Audit Fees Oct. 31, 2002 -- $4,381 Aug. 31, 2002 -- $4,031 July 31, 2002 -- $2,300
- ----------------------------------------------------------------------------------------------------------
Putnam Putnam Mid Cap Putnam
Investors Fund Value Fund Research Fund
- ----------------------------------------------------------------------------------------------------------
Non- July 31, 2003 -- $4,181 April 30, 2004 -- $2,572 July 31, 2003 -- $4,181
Audit Fees July 31, 2002 -- $2,300 April 30, 2003 -- $4,031 July 31, 2002 -- $2,300
- ----------------------------------------------------------------------------------------------------------
Putnam Small Cap
Value Fund Putnam Vista Fund
- ----------------------------------------------------------------------------------------------------------
Non- Feb. 29, 2004 -- $2,450 July 31, 2003 -- $4,181
Audit Fees Feb. 28, 2003 -- $4,030 July 31, 2002 -- $2,300
- ----------------------------------------------------------------------------------------------------------
Pre-Approval Policies of the Audit and Pricing Committee. The Audit and
Pricing Committee has determined that, as a matter of policy, all work
performed for the funds by the funds' independent auditors will be
pre-approved by the Committee and will generally not be subject to
pre-approval procedures.
Under certain circumstances, the Audit and Pricing Committee believes
that it may be appropriate for Putnam Management and certain of its
affiliates to engage the services of the funds' independent auditors,
but only after prior approval by the Committee. Such requests are
required to be submitted in writing to the Committee and explain, among
other things, the nature of the proposed engagement, the estimated fees
and why this work must be performed by that particular audit firm. The
Committee will review the proposed engagement at its next meeting.
Since May 6, 2003, all work performed by the independent auditors for
the funds, Putnam Management and any entity controlling, controlled by
or under common control with Putnam Management that provides ongoing
services to the funds was pre-approved by the Committee or a member of
the Committee pursuant to the pre-approval policies discussed above.
Prior to that date, the Committee had a general policy to pre-approve
the independent auditors' engagements for non-audit services with the
funds, Putnam Management and any entity controlling, controlled by or
under common control with Putnam Management that provides ongoing
services to the funds.
For each fund's last two fiscal years, such fund's principal auditors
did not bill for services required to be approved pursuant to paragraph
(c)(7)(ii) of Rule 2-01 of Regulation S-X.
Officers and other information. All of the Putnam funds are
shown below:
Compensation Table+
Aggregate compensation* from:
Growth Balanced Conservative All Putnam
Trustee Portfolio Portfolio Portfolio funds**
Jameson A. Baxter $854 $901 $690 $150,854
Hans H. Estin 854 902 690 150,854
John A. Hill*** 847 895 686 149,854
Elizabeth T. Kennan 845 891 683 148,854
Lawrence J. Lasser 854 902 690 150,854
Robert E. Patterson 864 913 698 152,854
Donald S. Perkins 854 902 690 150,854
William F. Pounds 847 895 686 149,854
George Putnam 854 902 690 150,854
George Putnam, III 854 902 690 150,854
Eli Shapiro**** 394 412 330 95,372
A.J.C. Smith 848 896 686 149,854
W. Nicholas Thorndike 864 913 698 152,854
+ Ronald J. Jackson became a Trustee of the funds effective May 3, 1996 and has received no compensation from the
funds or the other Putnam funds.
* Includes an annual retainer and an attendance fee for each meeting attended.
** Reflects total payments received from all Putnam funds in the most recent calendar year. As of December 31, 1995,
there were 99 funds in the Putnam family.
*** Includes compensation deferred pursuant to a Trustee Compensation Deferral Plan. The total amount of deferred
compensation payable to Mr. Hill by all Putnam funds as of
December 31, 1995 was $51,141, including income earned on such amounts.
**** Elected as a Trustee in April 1995.
/TABLE
The Trust's Trustees have approved Retirement Guidelines for
Trustees of the Putnam funds. These guidelines provide generally
that a Trustee who retires after reaching age 72 and who has at
least 10 years of continuous service will be eligible to receive
a retirement benefit from each Putnam fund for which he or she
served as a Trustee. The amount and form of such benefit is
subject to determination annually by the Trustees and, unless
otherwise determined by the Trustees, will be an annual cash
benefit payable for life equal to one-half of the Trustee
retainer fees paid by each fund at the time of retirement.
Several retired Trustees are currently receiving benefits
pursuant to the Guidelines and it is anticipated that the current
Trustees will receive similar benefits upon their retirement. A
Trustee who retired in calendar 1995 and was eligible to receive
benefits under these Guidelines would have received an annual
benefit of $66,749, based upon the aggregate retainer fees paid
by the Putnam funds for such year. The Trustees reserve the
right to amend or terminate such Guidelines and the related
payments at any time, and may modify or waive the foregoing
eligibility requirements when deemed appropriate.
For additional information about the Trust, including further
information about its Trustees and officers, please see "Further
Information About Your Fund," on page [ ].
Putnam Investments
Putnam Investment Management, Inc. and its affiliates, Putnam
Mutual Funds, the principal underwriter for shares of your fund
and Putnam Fiduciary Trust Company, your fund's investor
servicing agent and custodian, are wholly owned by Putnam
Investments, Inc., One Post Office Square, Boston, Massachusetts
02109, a holding company that is in turn wholly owned by Marsh &
McLennan Companies, Inc., which has executive offices at 1166
Avenue of the Americas, New York, New York 10036. Marsh &
McLennan Companies, Inc. and its operating subsidiaries are
professional services firms with insurance and reinsurance
brokering, consulting, and investment management businesses.
2. SELECTION OF INDEPENDENT AUDITORS
Price Waterhouse LLP, 160 Federal Street, Boston, Massachusetts,
independent accountants, has been selected by the Trustees as the
auditor of the Trust for the current fiscal year. Among the
country's preeminent accounting firms, this firm also serves as
the auditor for approximately half of the other funds in the
Putnam family. It was selected primarily on the basis of its
expertise as auditors of investment companies, the quality of its
audit services, and the competitiveness of the fees charged for
these services.
A majority of the votes on the matter is necessary to ratify the
selection of auditors. A representative of the independent
auditors is expected to be present at the meeting to make
statements and to respond to appropriate questions.
3.
Proposals A-K.
As described in the following proposals, the Trustees are
recommending that shareholders approve a number of changes to the
fund's fundamental investment restrictions, including the
elimination of certain restrictions. The purpose of these
proposed changes is to increase the fund's investment flexibility
and to bring the fund's policies more in line with those of many
other Putnam funds. Several of these changes reflect the
elimination of certain restrictive policies which were required
at one time by various state securities authorities but which are
no longer required under current regulations.
The proposals set forth below apply to each fund individually.
The adoption of any of these proposals is not contingent on the
adoption of any other proposal.
3.A. AMENDING THE FUND'S FUNDAMENTAL INVESTMENT RESTRICTION WITH
RESPECT TO DIVERSIFICATION OF INVESTMENTS
The Trustees are recommending that the fund's fundamental
investment restriction with respect to the diversification of its
investments be revised to grant the fund the maximum investment
flexibility permitted by the Investment Company Act of 1940
("1940 Act"). Under the 1940 Act, the fund, as a diversified
fund, generally may not, with respect to 75% of its total assets,
invest more than 5% of its total assets in the securities of any
one issuer (except U.S. government securities). The remaining
25% of the fund's total assets is not subject to this
restriction. The fund's current restriction is more restrictive,
and states that the fund may not:
"Invest in securities of any issuer if, immediately
after such investment, more than 5% of the total assets
of the fund (taken at current value) would be invested
in the securities of such issuer; provided that this
limitation does not apply to securities of the U.S.
government or its agencies or instrumentalities or,
with respect to 25% of the fund's total assets, to
securities issued by, or backed by the credit of, any
foreign government, its agencies, or its
instrumentalities."
The proposed amended fundamental investment restriction is set
forth below.
"The fund may not ...
With respect to 75% of its total assets, invest in the
securities of any issuer if, immediately after such
investment,
more than 5% of the total assets of the
funds (taken at current value) would be invested in the
securities of such issuer; provided that this
limitation does not apply to obligations issued or
guaranteed as to interest or
principal by the U.S.
government or its agencies or instrumentalities."
If the proposed change is approved, the fund will be able to
invest up to 25% of its total assets in the securities of any one
issuer and will not be limited to an investment in the U.S.
government or a foreign government. The amended restriction
would exclude from its limitations U.S. government securities, so
that the fund could invest more than 25% of its assets in such
securities. Following the amendment, the fund would continue to
be a diversified investment company for the purposes of the 1940
Act.
Required Vote. Approval of this proposal requires the
affirmative vote
of
the lesser of (1) more than 50% of the
outstanding shares of a fund, or (2) 67% or more of the shares of
a fund present at the meeting if more than 50% of the outstanding
shares of that fund are present at the meeting in person or by
proxy.
3.B. AMENDING THE FUND'S FUNDAMENTAL INVESTMENT RESTRICTION WITH
RESPECT TO INVESTMENTS IN THE SECURITIES OF A SINGLE ISSUER
The Trustees are recommending that the fund's fundamental
investment restriction with respect to investments in the
securities of a single issuer be revised to grant the fund the
maximum flexibility permitted under the 1940 Act. The 1940 Act
prohibits a diversified fund such as the fund from investing,
with respect to 75% of its total assets, in the securities of an
issuer if as a result it would own more than 10% of the
outstanding voting securities of that issuer. The fund's current
investment restriction, which is more restrictive than the 1940
Act, states that the fund may not:
"Acquire more than 10% of the voting securities of any
issuer."
The proposed amended fundamental investment restriction is set
forth below.
"The fund may not ...
With respect to 75% of its total assets, acquire more
than 10% of the outstanding voting securities of any
issuer."
Putnam Management believes that limiting this restriction to
voting securities and 75% of the fund's total assets will enhance
the fund's investment flexibility. Putnam Management has advised
the Trustees that the current restriction could prevent the fund
from investing in certain opportunities to the fullest extent
that Putnam Management believes would best serve the fund's
investment objective.
The amendment removes all restrictions on the amount of a class
of an issuer's securities that the fund may purchase, and enables
the fund to purchase more than 10% of the voting securities of an
issuer with respect to 25% of the fund's total assets.
To
the
extent the fund individually or with other funds and accounts
managed by Putnam Management or its affiliates owns all or a
major portion of the outstanding securities of a particular
issuer, under adverse market or economic conditions or in the
event of adverse changes in the financial condition of the issuer
the fund could find it more difficult to sell these securities
when Putnam Management believes it advisable to do so, or may be
able to sell the securities only at prices significantly lower
than if they were more widely held. In addition, certain of the
companies in which the fund may invest a greater portion of its
assets following the amendment could have relatively small equity
market capitalizations (e.g., under $1 billion). Such companies
often have limited product lines, markets or financial resources.
The securities of these companies may trade less frequently and
in limited volume, and only in the over-the-counter market or on
a regional securities exchange. As a result, these securities
may fluctuate in value more than those of larger, more
established companies. Under certain circumstances, it may also
be more difficult to determine the fair value of such securities
for purposes of computing the fund's net asset value.
Required vote. Approval of this proposal requires the
affirmative vote
of
the lesser of (1) more than 50% of the
outstanding shares of a fund, or (2) 67% or more of the shares of
a fund present at the meeting if more than 50% of the outstanding
shares of that fund are present at the meeting in person or by
proxy.
3.C. AMENDING THE FUND'S FUNDAMENTAL INVESTMENT RESTRICTION WITH
RESPECT TO MAKING LOANS THROUGH PURCHASES OF DEBT
OBLIGATIONS, REPURCHASE AGREEMENTS AND SECURITIES LOANS
The Trustees are recommending that the fund's fundamental
investment restriction with respect to making loans be revised to
permit the fund to purchase all types of debt obligations and to
remove any asset limitations on the fund's ability to enter into
repurchase agreements and securities loans. The current
restriction states that the fund may not:
"Make loans, except by purchase of debt obligations in which
the fund may invest consistent with its investment policies,
or by entering into repurchase agreements with respect to
not more than 25% of its total assets (taken at current
value) or through the lending of its portfolio securities
with respect to not more than 25% of its assets."
The proposed amended fundamental investment restriction is set
forth below.
"The fund may not ...
Make loans, except by purchase of debt obligations in
which the fund may invest consistent with its
investment policies, by
entering into repurchase
agreements,
or by lending its portfolio securities
."
Following the amendment, the fund may, consistent with their
investment objective and policies, purchase all types of debt
obligations, whether or not publicly issued, and enter into
repurchase agreements and securities loans without limit to the
extent consistent with applicable law and SEC guidelines. Putnam
Management believes that the increased investment flexibility
could assist the fund in achieving its investment objective.
Putnam Management also believes that the current policy on
purchases of debt obligations is unnecessarily restrictive and
could, for example, be read to prevent the fund from purchasing
certain privately issued debt obligations which might otherwise
present attractive investment opportunities for the fund.
Although the purchase of private debt obligations may offer
opportunities for increased investment return, it also involves
greater risk. Since private debt is not publicly traded, the
fund could find it more difficult to sell such debt when Putnam
Management considers it desirable to do so or may only be able to
sell such debt at less than fair market value. Private debt
obligations may also contain restrictions on transfer, such as
rights of first refusal, which could result in the fund receiving
less than the fair market value for such debt obligations. At
times, Putnam Management may find it difficult to determine the
value of such obligations. There may be less information
publicly available about the issuers of private debt, who are
often private issuers not subject to many of the disclosure
obligations of public companies or government issuers. In
addition, issuers of private debt tend to be smaller, less
established companies with relatively small equity market
capitalizations (e.g., under $1 billion).
When the fund enters into a repurchase agreement, it typically
purchases a security for a relatively short period (usually not
more than one week), which the seller agrees to repurchase at a
fixed time and price, representing the fund's cost plus interest.
When the fund enters into a securities loan, it lends certain of
its portfolio securities to broker-dealers or other parties and
typically receives an interest payment in return. These
transactions must be fully collateralized at all times, but
involve some risk to the fund if the other party should default
on its obligation. If the other party in these transactions
should become involved in bankruptcy or insolvency proceedings,
it is possible that the fund may be treated as an unsecured
creditor and be required to return the underlying collateral to
the other party's estate.
Required vote. Approval of this proposal requires the
affirmative vote
of
the lesser of (1) more than 50% of the
outstanding shares of a fund, or (2) 67% or more of the shares of
a fund present at the meeting if more than 50% of the outstanding
shares of that fund are present at the meeting in person or by
proxy.
3.D. ELIMINATING THE FUND'S FUNDAMENTAL INVESTMENT RESTRICTION
WITH RESPECT TO INVESTMENTS IN SECURITIES OF ISSUERS IN
WHICH MANAGEMENT OF THE TRUST OR PUTNAM MANAGEMENT OWNS
SECURITIES
The Trustees are recommending eliminating the fund's fundamental
investment restriction which prevents the fund from investing in
the securities of issuers in which management of the fund or
Putnam Management owns a certain percentage of securities. The
current restriction states that the fund may not:
"Invest in securities of any issuer if, to the knowledge of
the Trust, officers and Trustees of the Trust and officers
and directors of Putnam Management who beneficially own more
than 0.5% of the shares or securities of that issuer
together own more than 5%."
The Trust originally adopted this restriction to comply with
certain state securities law requirements and while the
restriction is currently required by one state, it is not
required to be a fundamental policy. If this proposal is
approved, the Trustees intend to replace this fundamental
restriction with the following non-fundamental investment
restriction to comply with the remaining state requirements.
"The fund may not. . .
Invest in the securities of any issuer, if, to the knowledge
of the Trust, officers and Trustees of the Trust and
officers and directors of Putnam Management who beneficially
own more than 0.5% of the securities of that issuer together
own more than 5% of such securities."
By making this policy non-fundamental, the fund will have the
ability to modify or eliminate the restriction to increase
investment flexibility without the need for shareholder approval.
If the restriction were to be eliminated, the fund would be able
to invest in the securities of any issuer without regard to
ownership in such issuer by management of the Trust or Putnam
Management, except to the extent prohibited by the fund's
investment policies or the 1940 Act.
Required vote. Approval of this proposal requires the
affirmative vote of the lesser of (1) more than 50% of the
outstanding shares of a fund, or (2) 67% or more of the shares of
a fund present at the meeting if more than 50% of the outstanding
shares of that fund are present at the meeting in person or by
proxy.
3.E. ELIMINATING THE FUND'S FUNDAMENTAL INVESTMENT RESTRICTION
WITH RESPECT TO MARGIN TRANSACTIONS
The Trustees are recommending that the fund's fundamental
investment restriction with respect to margin transactions be
eliminated. "Margin transactions" involve the purchase of
securities with money borrowed from a broker, with cash or
eligible securities being used as collateral against the loan.
The current restriction states that the fund may not:
"Purchase securities on margin, except such short-term
credits as may be necessary for the clearance of purchases
and sales of securities, and except that it may make margin
payments in connection with futures contracts and options."
The fund originally adopted this restriction to comply with
certain state securities law requirements, and while the
restriction is currently required by one state, it is not
required to be a fundamental policy. If the proposal is
approved, the Trustees intend to replace this fundamental
restriction with the following non-fundamental investment
restriction to comply with the remaining state requirement:
The fund may not...
Purchase securities on margin, except such short-term
credits as may be necessary for the clearance of purchases
and sales of securities, and except that it may make margin
payments in connection with financial contracts or options."
By making this policy non-fundamental, the fund will have the
ability to modify or eliminate the restriction to increase
investment flexibility without the need for shareholder approval.
The fund's potential use of margin transactions beyond
transactions in financial futures and options and for the
clearance of purchases and sales of securities, including the use
of margin in ordinary securities transactions, is generally
limited by the current position taken by the Staff of the SEC
that margin transactions with respect to securities are
prohibited under Section 18 of the 1940 Act because they create
senior securities. The fund's ability to engage in margin
transactions is also limited by its investment policies, which
generally permit the fund to borrow money in limited
circumstances.
Required vote. Approval of this proposal requires the
affirmative vote of the lesser of (1) more than 50% of the
outstanding shares of a fund, or (2) 67% or more of the shares of
a fund present at the meeting if more than 50% of the outstanding
shares of that fund are present at the meeting in person or by
proxy.
3.F. ELIMINATING
THE FUND'S FUNDAMENTAL INVESTMENT RESTRICTION
WITH RESPECT TO SHORT SALES
The Trustees are recommending that the fund's fundamental
investment restriction with respect to short sales be
eliminated.
The
current restriction states that the fund may not:
"Make short sales of securities or maintain a short sale
position for the account of the fund unless at all times
when a short position is open it owns an equal amount of
such securities or owns securities which, without payment of
any further consideration, are convertible into or
exchangeable for securities of the same issue as, and equal
in amount to, the securities sold short."
The fund originally adopted this restriction to comply with
certain state securities law requirements, and while the
restriction is currently required by one state, it is not
required to be a fundamental policy. If this proposal is
approved, the Trustees intend to replace the fundamental
restriction with an identical non-fundamental restriction to
comply with the remaining state requirement.
Under the proposed restriction, the fund would be permitted to
enter into short sales.
By making this policy non-fundamental, the fund will have the
ability to modify or eliminate the restriction to increase
investment flexibility without the need for shareholder approval.
In
a typical short
sale,
the fund borrow securities from a broker
that it anticipates will decline in value in order to sell to a
third party. The fund becomes obligated to return securities of
the same issue and quantity at some future date, and it realizes
a loss to the extent the securities increase in value and a
profit to the extent the securities decline in value (after
including any associated costs). The fund would collateralize
its short position by delivering to the broker an amount equal to
the proceeds of the short sale and an additional margin amount as
required by law. Since the value of a particular security can
increase without limit, the fund could potentially realize losses
with respect to short sales where the fund owns or has the right
to acquire at no added cost securities identical to those sold
short (an investment technique known as a short sale "against the
box") that are significantly greater than the value of the
securities at the time they are sold short.
Required vote. Approval of this proposal requires the
affirmative vote of the lesser of (1) more than 50% of the
outstanding shares of a fund, or (2) 67% or more of the shares of
a fund present at the meeting if more than 50% of the outstanding
shares of that fund are present at the meeting in person or by
proxy.
3.G. AMENDING THE FUND'S FUNDAMENTAL INVESTMENT RESTRICTION WITH
RESPECT TO INVESTMENTS IN COMMODITIES OR COMMODITY CONTRACTS
The Trustees are recommending that the fund's fundamental
investment restriction with respect to investments in commodities
or commodity contracts be revised to reflect a new formulation
expected to be used by other Putnam funds. The current
restriction states that the fund may not:
"Purchase or sell commodities or commodity contracts, except
that the fund may purchase and sell financial futures
contracts and options."
The proposed amended fundamental restriction is set forth below.
"The fund may not ...
Purchase or sell commodities or commodity contracts,
except that the fund may purchase and sell financial
futures contracts and options and may enter into
foreign exchange contracts and other financial
transactions not involving physical commodities."
Under the revised restriction, the fund will be able to engage in
a variety of transactions involving the use of financial futures
and options and foreign currencies, as well as various other
financial transactions which do not involve physical commodities.
Although the fund may already engage in many of these activities,
Putnam Management believes that the revised language more clearly
sets forth the fund's policy. Putnam Management believes this
investment flexibility could assist the fund in achieving its
investment objective, in part because such strategies often offer
opportunities for hedging and increased investment return. The
addition of financial transactions not involving physical
commodities is intended to give the fund maximum flexibility to
invest in a variety of financial instruments that could
technically be considered commodities, but which do not involve
physical commodities, which are the intended focus of the
restriction.
Foreign exchange transactions are subject to many of the risks
associated with the futures and options. In addition, currencies
and exchange rates may be affected by government actions and
other political and economic factors, and foreign settlement
procedures may involve risks not present in the fund's domestic
investments, such as requirements to take delivery in a foreign
country and to pay any costs associated with such delivery.
Required vote. Approval of this proposal requires the affirmative
vote of the lesser of (1) more than 50% of the outstanding shares
of a fund, or (2) 67% or more of the shares of a fund present at
the meeting if more than 50% of the outstanding shares of that
fund are present at the meeting in person or by proxy.
3.H. ELIMINATING THE FUND'S FUNDAMENTAL INVESTMENT RESTRICTION
WHICH LIMITS THE FUND'S ABILITY TO PLEDGE ASSETS
The Trustees are recommending that the fund's fundamental
investment restriction which limits the fund's ability to pledge
its assets be eliminated. The current restriction states that
the fund may not:
"Pledge, hypothecate, mortgage or otherwise encumber its
assets in excess of 15% of its total assets (taken at
current value) in connection with borrowings permitted by
restriction 1 above. (The deposit of underlying securities
and other assets in escrow and collateral arrangements with
respect to margin for futures contracts and options is not
deemed to be a pledge or other encumbrance.)"
Certain state securities laws impose restrictions on the fund's
ability to pledge its assets, but these limitations are less
restrictive than the fund's current restriction and are not
required to be contained in a fundamental policy. For these
reasons, Putnam Management believes that the current restriction
is unnecessarily restrictive and should be eliminated. If the
proposal is approved, the Trustees intend to replace this
restriction with the following non-fundamental investment
restriction to comply with current state requirements:
"The fund may not ...
Pledge, hypothecate, mortgage or otherwise encumber its
assets in excess of 33 1/3%
of its total assets (taken
at cost) in connection with permitted borrowings."
This proposal would enable the fund to pledge up to one-third of
its total assets in connection with fund borrowings; other
activities which could be deemed to be pledges or other
encumbrances, such as collateral arrangements with respect to
certain forward commitments, futures contracts and options
transactions, will not be restricted.
Putnam Management believes that the enhanced flexibility could
assist the fund in achieving its investment objective. Further,
Putnam Management believes that the fund's current limits on
pledging may conflict with the fund's ability to borrow money to
meet redemption requests or for extraordinary or emergency
purposes. This conflict arises because banks may require
borrowers such as the fund to pledge assets in order to
collateralize the amount borrowed. These collateral requirements
are typically for amounts at least equal to, and often larger
than, the principal amount of the loan. If the fund needed to
borrow the maximum amount permitted by its policies (currently
15% of its total current assets), it might be possible that a
bank would require collateral in excess of 5% of the fund's total
assets. Thus, the current restriction could have the effect of
reducing the amount that the fund may borrow in these situations.
By making this policy non-fundamental, the fund will have the
ability to modify or eliminate the restriction if no longer
required to increase investment flexibility without the need for
shareholder approval.
Pledging assets does entail certain risks. To the extent that
the fund pledges its assets, the fund may have less flexibility
in liquidating its assets. If a large portion of the fund's
assets were involved, the fund's ability to meet redemption
requests or other obligations could be delayed.
Required vote. Approval of this proposal requires the
affirmative vote of the lesser of (1) more than 50% of the
outstanding shares of a fund, or (2) 67% or more of the shares of
a fund present at the meeting if more than 50% of the outstanding
shares of that fund are present at the meeting in person or by
proxy.
3
.I.
ELIMINATING THE FUND'S FUNDAMENTAL INVESTMENT RESTRICTION
WITH RESPECT TO INVESTMENTS IN RESTRICTED SECURITIES
The Trustees are recommending that the fund's fundamental
investment restriction which limits the fund's investments in
securities subject to restrictions on resale, which are known as
"restricted securities," be eliminated. The current fundamental
investment restriction states that the fund may not:
"Purchase securities restricted as to resale, if, as a
result, such investments would exceed 15% of the value of
the fund's net assets, excluding restricted securities that
have been determined by the Trustees of the Trust (or the
person designated by them to make such determinations) to be
readily marketable."
Putnam Management believes the restriction is unnecessary in
light of current regulatory requirements and the fund's current
investment policies, which prohibit the fund from investing more
than 15% of its net assets in any combination of (a) securities
which are not readily marketable, (b) securities restricted as to
resale (excluding securities determined by the Trustees of the
Trust (or the person designated by the Trustees of the Trust to
make such determinations) to be readily marketable), and (c)
repurchase agreements maturing in more than seven days. Unlike
the current fundamental investment restriction, the fund's non-
fundamental investment restriction applies to all types of
illiquid securities, not just restricted securities, as well as
certain repurchase agreements.
Putnam Management believes that the fund may benefit from the
added flexibility of having the fund's policy with respect to
illiquid investments, including restricted securities, contained
in a single non-fundamental investment restriction. The fund
would then have maximum flexibility to respond quickly to legal,
regulatory and market developments regarding illiquid
investments. If the restriction were no longer required, the
Trustees could modify or eliminate the restriction to increase
the fund's investment flexibility without the need for
shareholder approval.
To the extent the fund invests in illiquid investments, the fund
may encounter difficulty in determining the fair value of such
securities for purposes of computing net asset value. In
addition, the fund could encounter difficulty satisfying
redemption requests within seven days if it could not readily
dispose of its illiquid investments.
Required vote. Approval of this proposal requires the
affirmative vote of the lesser of (1) more than 50% of the
outstanding shares of a fund, or (2) 67% or more of the shares of
a fund present at the meeting if more than 50% of the outstanding
shares of that fund are present at the meeting in person or by
proxy.
3.J. ELIMINATING
THE FUND'S FUNDAMENTAL INVESTMENT RESTRICTION
WITH RESPECT TO INVESTMENTS IN CERTAIN OIL, GAS AND MINERAL
INTERESTS
The Trustees are recommending that the fund's fundamental
investment restriction
with respect
to investments in oil, gas
and mineral leases, rights or royalty contracts be eliminated.
The current restriction states that the fund may not:
"Buy or sell oil, gas or other mineral leases, rights or
royalty contracts, although it may purchase securities of
issuers which deal in, represent interests in, or are
secured by interests in such leases, rights, or contracts,
and it may acquire or dispose of such leases, rights, or
contracts acquired through the exercise of its rights as a
holder of debt obligations secured thereby."
The fund originally adopted the restriction to comply with
certain state securities law requirements, and while the
restriction is currently required by one state, it is not
required to be a fundamental policy. If this proposal is
approved, the Trustees intend to adopt the following
substantially similar non-fundamental restriction to comply with
the remaining state requirement:
"The
fund may not . . .
Buy
or sell oil, gas or other mineral leases, rights or
royalty contracts, although it may purchase securities which
represent interests in, are secured by interests in, or
which are issued by issuers which deal in, such leases,
rights or contracts, and it may acquire and dispose of such
leases, rights or contracts acquired through the exercise of
its rights as a holder of debt obligations secured thereby."
By making this policy non-fundamental, the fund will have the
ability to modify or eliminate the restriction to increase
investment flexibility without the need for shareholder approval.
Investments in oil, gas and other mineral leases, rights or
royalty contracts and in securities which derive their value in
part from such instruments, entail certain risks. The prices of
these investments are subject to substantial fluctuations, and
may be affected by unpredictable economic and political
circumstances such as social, political or military disturbances,
the taxation and regulatory policies of various governments, the
activities and policies of OPEC (an organization of major oil
producing countries), the existence of cartels in such
industries, the discovery of new reserves and the development of
new techniques for producing, refining and transporting such
materials and related products, the development of new
technology, energy conservation practices, and the development of
alternative energy sources and alternative uses for such
materials and related products. In addition, in order to enforce
its rights in the event of a default of an issuer of these
securities, the fund may be required to participate in various
legal proceedings or take possession of and manage assets
securing the issuer's obligations. This could increase a fund's
operating expenses and adversely affect a fund's net asset value.
Required
vote. Approval of this proposal requires the
affirmative vote of the lesser of (1) more than 50% of the
outstanding shares of a fund, or (2) 67% or more of the shares of
a fund present at the meeting if more than 50% of the outstanding
shares of that fund are present at the meeting in person or by
proxy.
3.K. ELIMINATING The fund's FUNDAMENTAL INVESTMENT RESTRICTION
WITH RESPECT TO INVESTING TO GAIN CONTROL OF A COMPANY'S
MANAGEMENT
The Trustees are recommending that the fund's fundamental
investment restriction which states that the fund may not "make
investments for the purpose of gaining control of a company's
management" be eliminated. Eliminating the restriction would
make it clear that the fund can freely exercise its rights as a
shareholder of the various companies in which it invests. These
rights may include the right to actively oppose or support the
management of such companies. Putnam Management believes it
would be in the best interest of the fund to eliminate the
restriction.
Putnam Management believes that eliminating this restriction will
allow the fund maximum flexibility to protect the value of its
investments through influencing management of companies in which
it invests. Putnam Management believes that the fund should be
allowed to freely communicate its views as a shareholder on
matters of policy to management, the board of directors, and
other shareholders when a policy may affect the value of the
fund's investment. Activities in which the fund may engage might
include the fund, either individually or with others, seeking
changes in a company's goals, management, or board of directors,
seeking the sale of some or all of a company's assets, or voting
to participate in or oppose a takeover effort with respect to a
company. Although Putnam Management believes that the fund
currently may engage in many if not all of these activities
without necessarily violating this restriction, it believes that
eliminating the restriction will eliminate any potential obstacle
to the fund in protecting its interests as a shareholder.
This area of corporate activity is highly prone to litigation,
and whether or not the restriction is eliminated, the fund could
be drawn into lawsuits related to these activities. The fund
will direct its efforts toward those instances where Putnam
Management believes the potential for benefit to the fund
outweighs potential litigation risks.
Required vote. Approval of this proposal requires the
affirmative vote of the lesser of (1) more than 50% of the
outstanding shares of a fund, or (2) 67% or more of the shares of
a fund present at the meeting if more than 50% of the outstanding
shares of that fund are present at the meeting in person or by
proxy.
Further Information About Voting and the Shareholder Meeting
Quorum and Methods of Tabulation. Thirty percent of the shares
entitled to vote -- present in person or represented by proxy --
constitutes a quorum for the transaction of business with respect
to any proposal at the meeting (unless otherwise noted in the
proxy statement). Shares represented by proxies that reflect
abstentions and "broker non-votes" (i.e., shares held by brokers
or nominees as to which (i) instructions have not been received
from the beneficial owners or the persons entitled to vote and
(ii) the broker or nominee does not have the discretionary voting
power on a particular matter) will be counted as shares that are
present and entitled to vote on the matter for purposes of
determining the presence of a quorum. Votes cast by proxy or in
person at the meeting will be counted by persons appointed by
your fund as tellers for the meeting.
The tellers will count the total number of votes cast "for"
approval of the proposals for purposes of determining whether
sufficient affirmative votes have been cast. With respect to the
election of Trustees and selection of auditors, neither
abstentions nor broker non-votes have any effect on the outcome
of the proposal. With respect to any other proposals,
abstentions and broker non-votes have the effect of a negative
vote on the proposal.
Other business. The Trustees know of no other business to be
brought before the meeting. However, if any other matters
properly come before the meeting, it is their intention that
proxies that do not contain specific restrictions to the contrary
will be voted on such matters in accordance with the judgment of
the persons named as proxies in the enclosed form of proxy.
Simultaneous meetings. The meeting of shareholders of your fund
is called to be held at the same time as the meetings of
shareholders of certain of the other Putnam funds. It is
anticipated that all meetings will be held simultaneously. If
any shareholder at the meeting objects to the holding of a
simultaneous meeting and moves for an adjournment of the meeting
to a time promptly after the simultaneous meetings, the persons
named as proxies will vote in favor of such adjournment.
Solicitation of proxies. In addition to soliciting proxies by
mail, Trustees of your fund and employees of Putnam Management,
Putnam Fiduciary Trust Company, and Putnam Mutual Funds may
solicit proxies in person or by telephone. Your fund may also
arrange to have votes recorded by telephone. The telephone
voting procedure is designed to authenticate shareholders'
identities, to allow shareholders to authorize the voting of
their shares in accordance with their instructions and to confirm
that their instructions have been properly recorded. Your fund
has been advised by counsel that these procedures are consistent
with the requirements of applicable law. If these procedures
were subject to a successful legal challenge, such votes would
not be counted at the meeting. Your fund is unaware of any such
challenge at this time. Shareholders would be called at the
phone number Putnam Investments has in its records for their
accounts, and would be asked for their Social Security number or
other identifying information. The shareholders would then be
given an opportunity to authorize proxies to vote their shares at
the meeting in accordance with their instructions. To ensure
that the shareholders' instructions have been recorded correctly,
they will also receive a confirmation of their instructions in
the mail. A special toll-free number will be available in case
the information contained in the confirmation is incorrect.
Your fund's Trustees have adopted a general policy of maintaining
confidentiality in the voting of proxies. Consistent with this
policy, your fund may solicit proxies from shareholders who have
not voted their shares or who have abstained from voting.
Persons holding shares as nominees will upon request be
reimbursed for their reasonable expenses in soliciting
instructions from their principals. Your fund has retained at
its expense D. F. King & Co., Inc., 77 Water Street, New York,
New York 10005, to aid in the solicitation of instructions for
nominee and registered accounts for a fee not to exceed $7,500
plus reasonable out-of-pocket expenses.
Revocation of proxies. Proxies, including proxies given by
telephone, may be revoked at any time before they are voted by a
written revocation received by the Clerk of your fund, by
properly executing a later-dated proxy or by attending the
meeting and voting in person.
Date for receipt of shareholders' proposals for subsequent
meetings of shareholders. Your fund's Agreement and Declaration
of Trust does not provide for annual meetings of shareholders,
and your fund does not currently intend to hold such a meeting in
1997. Shareholder proposals for inclusion in the proxy statement
for any subsequent meeting must be received by your fund within a
reasonable period of time prior to any such meeting.
Adjournment. If sufficient votes in favor of any of the
proposals set forth in the Notice of the Meeting are not received
by the time scheduled for the meeting, the persons named as
proxies may propose adjournments of the meeting for a period or
periods of not more than 60 days in the aggregate to permit
further solicitation of proxies with respect to any of such
proposals. Any adjournment will require the affirmative vote of
a majority of the votes cast on the question in person or by
proxy at the session of the meeting to be adjourned. The persons
named as proxies will vote in favor of such adjournment those
proxies which they are entitled to vote in favor of such
proposals. They will vote against any such adjournment those
proxies required to be voted against such proposals. Your fund
pays the costs of any additional solicitation and of any
adjourned session. Any proposals for which sufficient favorable
votes have been received by the time of the meeting may be acted
upon and considered final regardless of whether the meeting is
adjourned to permit additional solicitation with respect to any
other proposal.
Financial information. Your fund will furnish, without charge,
to you upon request a copy of the Trust's annual report for its
most recent fiscal year, and a copy of its semiannual report for
any subsequent semiannual period. Such requests may be directed
to Putnam Investor Services, P.O. Box 41203, Providence, RI
02940-1203 or 1-800-225-1581.
Further Information About Your Fund
Limitation of Trustee liability. The Agreement and Declaration
of Trust of your fund provides that the fund will indemnify its
Trustees and officers against liabilities and expenses incurred
in connection with litigation in which they may be involved
because of their offices with the fund, except if it is
determined in the manner specified in the Agreement and
Declaration of Trust that they have not acted in good faith in
the reasonable belief that their actions were in the best
interests of the fund or that such indemnification would relieve
any officer or Trustee of any liability to the fund or its
shareholders arising by reason of willful misfeasance, bad faith,
gross negligence or reckless disregard of his or her duties.
Your fund, at its expense, provides liability insurance for the
benefit of its Trustees and officers.
Audit and Nominating Committees. The voting members of the Audit
Committee of your fund includes only Trustees who are not
"interested persons" of the fund by reason of any affiliation
with Putnam Investments and its affiliates. The Audit Committee
currently consists of Messrs. Estin (Chairman), Perkins (without
vote), Putnam, III (without vote), Shapiro, Smith (without vote),
and Ms. Kennan. The Nominating Committee consists only of
Trustees who are not "interested persons" of your fund or Putnam
Management. The Nominating Committee currently consists of Dr.
Pounds and Ms. Kennan (Co-chairpersons), Ms. Baxter, and Messrs.
Estin, Hill, Jackson, Patterson, Shapiro, and Thorndike.
Officers and other information. In addition to George Putnam and
Lawrence J. Lasser, the officers of your fund, with
the exception of Mr. Putnam, III, are employees of Putnam Management or
its affiliates. Because of their positions with Putnam Management,
Putnam Retail Management or their affiliates or their ownership of stock
of Marsh & McLennan Companies, Inc., the parent corporation of Putnam
Investments Trust and indirectly of Putnam LLC, Messrs. Haldeman,
Putnam, III and Smith (nominees for Trustees of your fund), as well as
the officers of your fund, will benefit from the management fees,
distribution fees, custodian fees, and investor servicing fees paid or
allowed by the fund. In addition to Mr. Putnam, III, the other officers
of each fund are as follows:
Year first
elected to
Name (age) Office office
- -----------------------------------------------------------------
Charles E. Porter (57) Executive Vice President 19
Patricia C. Flaherty (49) Senior Vice President 19
John D. Hughes (61) Senior Vice President
& Treasurer 19
Gordon H. Silver (48) Vice President 19
Peter Carman (54) Senior Managing Director 19
Gary N. Coburn (50) Senior Managing Director 19
William J. Landes (43) Managing Director 19
William N. Shiebler* (54) Vice President 19
John R. Verani (56) Vice President 19
Paul M. O'Neil (42) Vice President 19
Beverly Marcus (52) Clerk 19
- -----------------------------------------------------------------
* President of Putnam Mutual Funds
The fund are managed by the Global Asset Committee.
All of the officers of your fund are employees of Putnam
Management or its affiliates. Because of their positions with
Putnam Management or its affiliates or their ownership of stock
of Marsh & McLennan Companies, Inc., the parent corporation of
Putnam Management and Putnam Mutual Funds, Messrs. Putnam, George
Putnam, III, Lasser and Smith (nominees for Trustees of your
fund), as well as the officers of your fund, will benefit from
the management fees, distribution fees, underwriting commissions,
custodian fees, and investor servicing fees paid or allowed by
the fund.
Assets and shares outstanding of each fund
as of June 7, 1996
GROWTH PORTFOLIO
Net assets $440,134,593
Class A shares outstanding
and authorized to vote 16,728,962 shares
Class B shares outstanding
and authorized to vote 15,918,927 shares
Class C shares outstanding
and authorized to vote 1,833,059 shares
Class M shares outstanding
and authorized to vote 723,551 shares
Class Y shares outstanding
and authorized to vote 4,679,128 shares
BALANCED PORTFOLIO
Net assets $601,802,440
Class A shares outstanding
and authorized to vote 24,397,374 shares
Class B shares outstanding
and authorized to vote 22,347,389 shares
Class C shares outstanding
and authorized to vote 2,274,298 shares
Class M shares outstanding
and authorized to vote 1,043,403 shares
Class Y shares outstanding
and authorized to vote 7,780,626 shares
CONSERVATIVE PORTFOLIO
Net assets $203,193,507
Class A shares outstanding
and authorized to vote 10,442,882 shares
Class B shares outstanding
and authorized to vote 8,943,229 shares
Class C shares outstanding
and authorized to vote 1,452,635 shares
Class M shares outstanding
and authorized to vote 327,285 shares
Class Y shares outstanding
and authorized to vote 325,235 shares
5% beneficial ownership of each fund as of May 31, 1996
GROWTH PORTFOLIO
Persons beneficially owning more than 5%
of class A shares
Persons beneficially owning more than 5%
of class B shares
Persons beneficially owning more than 5%
of class C shares
Persons beneficially owning more than 5%
of class M shares
Persons beneficially owning more than 5%
of class Y shares
BALANCED PORTFOLIO
Persons beneficially owning more than 5%
of class A shares
Persons beneficially owning more than 5%
of class B shares
Persons beneficially owning more than 5%
of class C shares
Persons beneficially owning more than 5%
of class M shares
Persons beneficially owning more than 5%
of class Y shares
CONSERVATIVE PORTFOLIO
Persons beneficially owning more than 5%
of class A shares
Persons beneficially owning more than 5%
of class B shares
Persons beneficially owning more than 5%
of class C shares
Persons beneficially owning more than 5%
of class M shares
Persons beneficially owning more than 5%
of class Y shares
PUTNAMINVESTMENTS
The Putnam Funds
One Post Office Square
Boston, Massachusetts 02109
Toll-free 1-800-225-1581
PUTNAMINVESTMENTS
This is your PROXY CARD.
Please vote this proxy, sign it below, and return it promptly in
the envelope provided. Your vote is important.
HAS YOUR ADDRESS CHANGED?
Please use this form to notify us of any change in address or
telephone number or to provide us with your comments. Detach
this form from the proxy ballot and return it with your signed
proxy in the enclosed envelope.
Street
- -----------------------------------------------------------------
City State Zip
- -----------------------------------------------------------------
Telephone
- -----------------------------------------------------------------
DO YOU HAVE ANY COMMENTS?
- -----------------------------------------------------------------
- -----------------------------------------------------------------
- -----------------------------------------------------------------
DEAR SHAREHOLDER:
Your vote is important. Please help us to eliminate the expense
of follow-up mailings by signing and returning this proxy as soon
as possible. A postage-paid envelope is enclosed for your
convenience.
THANK YOU!
- -----------------------------------------------------------------
Please fold at perforation before detaching
Proxy for a meeting of shareholders, July 31, 1996, for Putnam
Asset Allocation Funds: Growth Portfolio.
This proxy is solicited on behalf of the Trustees of the fund.
The undersigned shareholder hereby appoints George Putnam, Hans
H. Estin, and Robert E. Patterson, and each of them separately,
proxies, with power of substitution, and hereby authorizes them
to represent and to vote, as designated below, at the meeting of
shareholders of Putnam Asset Allocation Fund: Growth Portfolio on
September 5, 1996, at 2:00 p.m., Boston time, and at any
adjournments thereof, all of the shares of the fund that the
undersigned shareholder would be entitled to vote if personally
present.
If you complete and sign the proxy, we'll vote it exactly as you
tell us. If you simply sign the proxy, it will be voted FOR
electing Trustees as set forth in Proposal 1 and FOR Proposals 2
and 3.A.-K. In their discretion, the Proxies will also be
authorized to vote upon such other matters that may come before
the meeting.
Note: If you have questions on any of the proposals, please call
1-800-225-1581.
PLEASE BE SURE TO SIGN AND DATE THIS PROXY.
Please sign your name exactly as it appears on this card. If you
are a joint owner, each of you should sign. When signing as
executor, administrator, attorney, trustee, or guardian, or as
custodian for a minor, please give your full title as such. If
you are signing for a corporation, please sign the full corporate
name and indicate the signer's office. If you are a partner,
sign in the partnership name.
- -----------------------------------------------------------------
Shareholder sign here Date
- -----------------------------------------------------------------
Co-owner sign here Date
THE TRUSTEES RECOMMEND A VOTE FOR ELECTING ALL OF THE NOMINEES
FOR TRUSTEES AND FOR THE PROPOSALS LISTED BELOW:
Please mark your choices / X / in blue or black ink.
1. Proposal to elect Trustees
The nominees for Trustees are: J.A. Baxter, H.H. Estin, J.A.
Hill, R.J. Jackson, E.T. Kennan, L.J. Lasser, R.E.
Patterson, D.S. Perkins, W.F. Pounds, G. Putnam, G. Putnam,
III, E. Shapiro, A.J.C. Smith, W.N. Thorndike.
/ / FOR electing all the nominees
(except as marked to the contrary below.)
/ / WITHHOLD authority to vote for all nominees
To withhold authority to vote for one or more of the nominees,
write those nominees' names below:
- -------------------------------------------------------------
PROPOSAL TO:
FOR AGAINST ABSTAIN
2. Ratify the selection
of Price Waterhouse
LLP as auditors. / / / / / /
3.A. Amend the / / / / / /
fund's fundamental
investment restriction
Year first
Name (birthdate) elected Business experience
Office with the fund to office during past five years
- -----------------------------------------------------------------------
Charles E. Porter (7/26/38) 1989 Managing Director,
Executive Vice President, Putnam Investments
Associate Treasurer and and Putnam Management
Principal Executive Officer
- -----------------------------------------------------------------------
Jonathan S. Horwitz (6/4/55)* 2004 Managing Director,
Senior Vice President and Putnam Investments
Treasurer
- -----------------------------------------------------------------------
Steven D. Krichmar (6/27/58) 2002 Senior Managing Director,
Vice President and Principal Putnam Investments.
Financial Officer Prior to 2001, Mr. Krichmar was
a Partner at
PricewaterhouseCoopers, LLP
- -----------------------------------------------------------------------
Michael T. Healy (1/24/58) 2000 Managing Director,
Assistant Treasurer and Principal Putnam Investments
Accounting Officer
- -----------------------------------------------------------------------
Beth S. Mazor (4/6/58) 2002 Senior Vice President,
Vice President Putnam Investments
- -----------------------------------------------------------------------
Daniel T. Gallagher (2/27/62)* 2004 Vice President, Putnam
Vice President and Legal and Investments. Prior to
Compliance Liaison Officer 2004, Mr. Gallagher was an
Associate for Ropes &
Gray LLP; Prior to 2000,
he was a Law Clerk for
the Massachusetts Supreme
Judicial Court
- -----------------------------------------------------------------------
Mark C. Trenchard (6/5/62) 2002 Senior Vice President,
Vice President and Putnam Investments
BSA Compliance Officer
- -----------------------------------------------------------------------
Francis J. McNamara (8/19/55) 2004 Senior Managing Director,
Vice President and Chief Putnam Investments,
Legal Officer Putnam Retail Management.
Prior to 2004, Mr. McNamara
was General Counsel of State
Street Research & Management
- -----------------------------------------------------------------------
James P. Pappas (2/24/53) 2004 Managing Director,
Vice President Putnam Investments and
Putnam Management. During
2002, Mr. Pappas was Chief
Operating Officer of
Atalanta/ Sosnoff Management
Corporation; prior to
2001 he was President and
Chief Executive Officer of
UAM Investment Services, Inc.
- -----------------------------------------------------------------------
Richard S. Robie, III (3/30/60) 2004 Senior Managing Director,
Vice President
Putnam Investments, Putnam
Management and Putnam
Retail Management.
Prior to 2003, Mr. Robie
was Senior Vice President of
United Asset Management
Corporation
- -----------------------------------------------------------------------
Judith Cohen (6/7/45)* 1993 Clerk and Assistant
Clerk and Assistant Treasurer Treasurer, The Putnam Funds
- -----------------------------------------------------------------------
* Officers of each fund who are members of the Trustees' independent
administrative staff. Compensation for these officers is fixed by the
Trustees and reimbursed by Putnam management.
Shares outstanding of your fund as of June 30, 2004
Putnam Putnam Putnam Putnam Putnam
Asset Allocation: Asset Allocation: Asset Allocation: Capital Capital Putnam
Balanced Conservative Growth Appreciation Opportunities Classic Equity
Class Portfolio Portfolio Portfolio Fund Fund Fund
- -----------------------------------------------------------------------------------------------------------------------------
Class A shares 95,993,368.025 64,531,714.577 57,106,072.569 24,597,253.902 37,404,722.225 57,485,313.808
- -----------------------------------------------------------------------------------------------------------------------------
Class B shares 32,692,022.749 13,785,302.272 25,612,961.941 21,827,491.535 26,629,820.220 24,605,172.343
- -----------------------------------------------------------------------------------------------------------------------------
Class C shares 8,295,858.873 4,086,225.588 7,412,177.122 228,270.512 3,493,575.758 1,533,258.210
- -----------------------------------------------------------------------------------------------------------------------------
Class M shares 3,244,448.140 1,486,096.208 2,912,629.804 1,192,629.687 1,837,731.837 3,401,130.189
- -----------------------------------------------------------------------------------------------------------------------------
Class R shares 466.105 8,545.487 590.608 508.861 5,314.503 450.751
- -----------------------------------------------------------------------------------------------------------------------------
Class Y shares 47,729,788.526 9,693,798.394 41,458,786.998 -- 32,073,753.026 515,212.678
- -----------------------------------------------------------------------------------------------------------------------------
Putnam Putnam Putnam Putnam The George Putnam
Convertible Discovery Equity Europe Putnam Global
Income-Growth Growth Income Equity Fund of Equity
Class Trust Fund Fund Fund Boston Fund
- -----------------------------------------------------------------------------------------------------------------------------
Class A shares 36,168,736.914 43,767,457.352 117,200,286.049 17,382,387.707 197,325,638.829 263,154,841.917
- -----------------------------------------------------------------------------------------------------------------------------
Class B shares 6,693,004.380 34,817,128.206 48,947,130.445 13,198,993.976 66,804,263.959 71,713,792.240
- -----------------------------------------------------------------------------------------------------------------------------
Class C shares 636,493.905 3,747,374.476 4,749,175.700 306,604.557 4,525,210.900 4,919,927.946
- -----------------------------------------------------------------------------------------------------------------------------
Class M shares 451,781.356 2,350,205.665 8,215,957.428 1,368,089.142 13,173,350.732 4,972,254.759
- -----------------------------------------------------------------------------------------------------------------------------
Class R shares 64.820 61.275 57,974.398 59.946 7,780.970 2,486.327
- -----------------------------------------------------------------------------------------------------------------------------
Class Y shares 1,791,803.057 936,763.815 24,991,240.884 -- 50,226,658.936 4,013,662.360
- -----------------------------------------------------------------------------------------------------------------------------
Putnam Putnam
Global Putnam Putnam Putnam International Putnam
Natural Fund For Growth Health Capital International
Resources Growth Opportunities Sciences Opportunities Equity
Class Fund and Income Fund Trust Fund Fund
- -----------------------------------------------------------------------------------------------------------------------------
Class A shares 7,741,778.506 709,835,850.421 53,147,445.648 31,087,893.953 29,503,648.804 176,351,471.058
- -----------------------------------------------------------------------------------------------------------------------------
Class B shares 3,862,070.605 199,419,389.849 50,858,664.830 20,263,891.527 20,741,266.860 78,604,775.824
- -----------------------------------------------------------------------------------------------------------------------------
Class C shares 610,104.257 6,431,550.562 4,509,250.055 889,452.897 3,325,369.874 15,337,243.237
- -----------------------------------------------------------------------------------------------------------------------------
Class M shares 139,685.742 8,668,908.019 1,801,173.067 682,895.580 816,860.986 5,346,348.201
- -----------------------------------------------------------------------------------------------------------------------------
Class R shares 3,195.013 2,305.026 361.279 257.096 159.591 26,911.696
- -----------------------------------------------------------------------------------------------------------------------------
Class Y shares -- 92,895,549.813 3,211,375.483 528,356.587 2,832,404.174 61,018,147.352
- -----------------------------------------------------------------------------------------------------------------------------
Putnam Putnam
International International Putnam Putnam Putnam
Growth and New Putnam Mid Cap New New
Income Opportunities Investors Value Opportunities Value
Class Fund Fund Fund Fund Fund Fund
- -----------------------------------------------------------------------------------------------------------------------------
Class A shares 30,189,580.993 42,645,160.589 205,816,115.494 30,789,135.920 130,267,700.827 44,072,066.973
- -----------------------------------------------------------------------------------------------------------------------------
Class B shares 24,553,062.650 27,272,910.128 128,148,765.940 21,460,996.554 47,380,100.195 30,538,321.228
- -----------------------------------------------------------------------------------------------------------------------------
Class C shares 2,157,516.192 1,502,554.982 5,241,541.797 2,396,826.630 1,467,129.936 2,196,029.937
- -----------------------------------------------------------------------------------------------------------------------------
Class M shares 1,399,524.355 2,145,866.763 5,463,887.822 992,574.841 3,642,665.149 2,001,845.262
- -----------------------------------------------------------------------------------------------------------------------------
Class R shares 108.851 198.937 685.993 7,324.016 648.190 136.825
- -----------------------------------------------------------------------------------------------------------------------------
Class Y shares 1,277,431.459 -- 69,175,202.490 2,008,251.032 21,213,401.877 5,875,676.779
- -----------------------------------------------------------------------------------------------------------------------------
Putnam Putnam
OTC & Putnam Putnam Putnam Utilities
Emerging Putnam Small Cap Small Cap Tax Smart Growth and
Growth Research Growth Value Equity Income
Class Fund Fund Fund Fund Fund Fund
- -----------------------------------------------------------------------------------------------------------------------------
Class A shares 144,642,565.894 66,937,434.403 7,976,379.495 25,362,906.825 13,126,403.339 47,801,229.035
- -----------------------------------------------------------------------------------------------------------------------------
Class B shares 50,099,344.493 35,341,974.864 3,430,526.340 16,718,660.365 14,672,364.689 10,625,354.068
- -----------------------------------------------------------------------------------------------------------------------------
Class C shares 2,920,161.128 4,125,042.021 628,997.424 2,624,573.643 4,025,908.899 457,682.168
- -----------------------------------------------------------------------------------------------------------------------------
Class M shares 33,457,701.484 1,917,159.718 267,716.570 594,610.246 444,671.848 378,402.748
- -----------------------------------------------------------------------------------------------------------------------------
Class R shares 1,093.841 24,063.860 971.658 123.526
- -----------------------------------------------------------------------------------------------------------------------------
Class Y shares 13,841,701.434 8,982,784.787 715,641.977 6,041,298.746
- -----------------------------------------------------------------------------------------------------------------------------
Putnam Putnam
Vista Voyager
Class Fund Fund
- -----------------------------------------------------
Class A shares 225,218,033.614 588,008,712.618
- -----------------------------------------------------
Class B shares 98,159,298.250 178,986,950.561
- -----------------------------------------------------
Class C shares 4,834,037.852 8,175,207.453
- -----------------------------------------------------
Class M shares 6,014,271.797 9,052,652.807
- -----------------------------------------------------
Class R shares 1,772.410 15,294.502
- -----------------------------------------------------
Class Y shares 35,221,753.447 178,655,940.842
- -----------------------------------------------------
As of June 30, 2004, to the knowledge of the fund, only the following
persons owned of record or beneficially 5% or more of any class of
shares of any fund:
Putnam Putnam Putnam
Asset Allocation: Asset Allocation: Asset Allocation:
CLASS Balanced Portfolio Conservative Portfolio Growth Portfolio
- --------------------------------------------------------------------------------------
A Building Service Local
32B-J Supplemental
Retirement Savings
Plan**
(43.81%)
- --------------------------------------------------------------------------------------
B
- --------------------------------------------------------------------------------------
C Edward D. Jones & Co.
201 Progress Pkwy
Maryland Heights, MO
63043-3003
(9.00%)
- --------------------------------------------------------------------------------------
M Edward D. Jones & Co. Edward D. Jones & Co.
201 Progress Pkwy 201 Progress Pkwy
Maryland Heights, MO Maryland Heights, MO
63043-3003 63043-3003
(7.70%) (5.40%)
National City Bank National City Bank
PO Box 94984 PO Box 94984
Cleveland, OH Cleveland, OH
44101-4984 44101-4984
(5.10%) (29.70%)
- --------------------------------------------------------------------------------------
R Putnam Investments MCB Trust Services Putnam Investments
LLC* Cust. FBO LLC*
(26.00%) 700 17th St. STE 300 (21.30%)
Denver, CO
80202-3531
(81.70%)
MCB Trust Services MCB Trust Services MCB Trust Services
700 17th St. STE 300 700 17th St. STE 300 700 17th St. STE 300
Denver, CO Denver, CO Denver, CO
80202-3531 80202-3531 80202-3531
(69.60%) (15.30%) (70.10%)
MCB Trust Services
Cust. FBO
700 17th St. STE 300
Denver, CO
80202-3531
(8.30%)
- --------------------------------------------------------------------------------------
Putnam Putnam Putnam
Asset Allocation: Asset Allocation: Asset Allocation:
CLASS Balanced Portfolio Conservative Portfolio Growth Portfolio
- --------------------------------------------------------------------------------------
Y Illinois Toolworks Inc. Illinois Toolworks Inc. Illinois Toolworks Inc.
Savings and Savings and Savings and
Investment Plan** Investment Plan** Investment Plan**
(35.97%) (32.04%) (31.82%)
Karsten Manufacturing IBEW Local 3** IBEW Local 3**
Corporation and (13.47%) (8.33%)
Subsidiaries 401(k) Plan**
(11.46%)
Coca-Cola Enterprises Kinder Morgan The Bank One
Matched Employee Savings Plan** Corporation**
Savings and (6.69%) (30.43%)
Investment Plan**
(9.71%)
IBEW Local 3** Valmont Employee
(6.98%) Retirement Savings
Plan**
(5.55%)
Rio Tinto
American Inc.**
(5.07%)
- --------------------------------------------------------------------------------------
Putnam Capital Putnam Capital Putnam Classic
CLASS Appreciation Fund Opportunities Fund Equity Fund
- --------------------------------------------------------------------------------------
A Edward D. Jones & Co. Edward D. Jones & Co. Edward D. Jones & Co.
201 Progress Pkwy 201 Progress Pkwy 201 Progress Pkwy
Maryland Heights, MO Maryland Heights, MO Maryland Heights, MO
63043-3003 63043-3003 63043-3003
(11.70%) (7.20%) (26.90%)
- --------------------------------------------------------------------------------------
B Edward D. Jones & Co.
201 Progress Pkwy
Maryland Heights, MO
63043-3003
(10.60%)
- --------------------------------------------------------------------------------------
C Merrill, Lynch, Pierce, Edward D. Jones & Co.
Fenner & Smith Inc. 201 Progress Pkwy
4800 Deer Lake Dr. E Maryland Heights, MO
Jacksonville, FL 32246 63043-3003
(6.10%) (6.60%)
Merrill, Lynch, Pierce,
Fenner & Smith Inc.
4800 Deer Lake Dr. E
Jacksonville, FL 32246
(5.20%)
- --------------------------------------------------------------------------------------
M Edward D. Jones & Co. Saxon & Co. Edward D. Jones & Co.
201 Progress Pkwy P.O. Box 7780 201 Progress Pkwy
Maryland Heights, MO Philadelphia, PA Maryland Heights, MO
63043-3003 19182-0001 63043-3003
(6.20%) (11.50%) (20.60%)
- --------------------------------------------------------------------------------------
R Putnam Investments A.G. Edwards & Putnam Investments
LLC* Sons Inc. LLC*
(12.40%) 1 N. Jefferson Ave. (19.90%)
St. Louis, MO
63103-2205
(68.00%)
MCB Trust Services MCB Trust Services National Quality
Cust. FBO Cust. FBO Review Inc.
700 17th St. STE 300 700 17th St. STE 300 7 Steven Drive
Denver, CO Denver, CO South Hadley, MA
80202-3531 80202-3531 01075-1317
(87.50%) (24.20%) (78.20%)
- --------------------------------------------------------------------------------------
Y Ohio Tuition Trust Putnam Investments
Authority/ College Profit Sharing Plan**
Advantage Program*** (67.06%)
(23.60%)
Textron Savings Plan** Putnam Investments**
(7.68%) (18.23%)
- --------------------------------------------------------------------------------------
Putnam Convertible Putnam Discovery Putnam Equity
CLASS Income-Growth Trust Growth Fund Income Fund
- --------------------------------------------------------------------------------------
A Edward D. Jones & Co. Edward D. Jones & Co. Edward D. Jones & Co.
201 Progress Pkwy 201 Progress Pkwy 201 Progress Pkwy
Maryland Heights, MO Maryland Heights, MO Maryland Heights, MO
63043-3003 63043-3003 63043-3003
(13.10%) (13.80%) (20.20%)
- --------------------------------------------------------------------------------------
B Edward D. Jones & Co. Edward D. Jones & Co.
201 Progress Pkwy 201 Progress Pkwy
Maryland Heights, MO Maryland Heights, MO
63043-3003 63043-3003
(5.30%) (10.20%)
Merrill, Lynch, Pierce,
Fenner & Smith Inc.
4800 Deer Lake Dr. E
Jacksonville, FL 32246
(6.30%)
- --------------------------------------------------------------------------------------
C Merrill, Lynch, Pierce, Merrill, Lynch, Pierce, Merrill, Lynch, Pierce,
Fenner & Smith Inc. Fenner & Smith Inc. Fenner & Smith Inc.
4800 Deer Lake Dr. E 4800 Deer Lake Dr. E 4800 Deer Lake Dr. E
Jacksonville, FL 32246 Jacksonville, FL 32246 Jacksonville, FL 32246
(12.00%) (5.50%) (8.90%)
Citigroup Global Citigroup Global
Markets Inc. Markets Inc.
333 W 34th St. FL 3 333 W 34th St. FL 3
New York, NY New York, NY
10001-2402 10001-2402
(7.10%) (6.80%)
- --------------------------------------------------------------------------------------
M Edward D. Jones & Co. Edward D. Jones & Co. Edward D. Jones & Co.
201 Progress Pkwy 201 Progress Pkwy 201 Progress Pkwy
Maryland Heights, MO Maryland Heights, MO Maryland Heights, MO
63043-3003 63043-3003 63043-3003
(10.00%) (8.20%) (7.30%)
Delaware Charter
Guaranty & Trust
1013 Centre Road
Wilmington, DE
19899-8936
(60.70%)
- --------------------------------------------------------------------------------------
Putnam Convertible Putnam Discovery Putnam Equity
CLASS Income-Growth Trust Growth Fund Income Fund
- --------------------------------------------------------------------------------------
R Putnam Investments Putnam Investments Merrill, Lynch, Pierce,
LLC* LLC* Fenner & Smith Inc.
(100.00%) (100.00%) 4800 Deer Lake Dr. E
Jacksonville, FL 32246
(11.70%)
MCB Trust Services
700 17th St. STE 300
Denver, CO
80202-3531
(32.00%)
MCB Trust Services
Cust. FBO
700 17th St. STE 300
Denver, CO
80202-3531
(10.40%)
NFSC FEBO
US Bank TTEE
Brightkeys Bldg &
Development
401(k) Retirement Plan
1555 N River
Center Drive, Ste 303
Milwaukee, WI
53212-3958
(15.90%)
Federated Investors
Trust Co.
309 Vine Street #653D
Cincinnati, OH
45202-3524
(15.20%)
Martin Prakken &
Tom O'Connell
Blueprint Automation
Retirement Plan
16037 Innovation Dr
Colonial Heights, VA
23834-5951
(7.90%)
- --------------------------------------------------------------------------------------
Putnam Convertible Putnam Discovery Putnam Equity
CLASS Income-Growth Trust Growth Fund Income Fund
- --------------------------------------------------------------------------------------
Y Putnam Investments Putnam Investments Marsh & McLennan
Profit Sharing Plan** Profit Sharing Plan** Supplemental
(13.72%) (67.19%) Retirement Plan
1166 Avenue of
the Americas
New York, NY
10036-2774
(14.43%)
Raymond James Putnam Investments** Meijer Inc. Savings
Financial, Inc.** (19.01%) Plus Plan III**
(11.55%) (13.44%)
Putnam Investments** United States Filter
(5.58%) Corporation
Retirement Savings
Plan**
(10.67%)
IBEW Local 3**
(9.98%)
Knoll Retirement
Savings Plan**
(9.16%)
The Bank One
Corporation**
(6.75%)
IMC Global Inc.
Profit Sharing and
Savings Plan**
(6.52%)
Textron Savings Plan**
(6.38%)
- --------------------------------------------------------------------------------------
Putnam Europe The George Putnam Putnam Global
CLASS Equity Fund Fund of Boston Equity Fund
- --------------------------------------------------------------------------------------
A Edward D. Jones & Co. Edward D. Jones & Co. Edward D. Jones & Co.
201 Progress Pkwy 201 Progress Pkwy 201 Progress Pkwy
Maryland Heights, MO Maryland Heights, MO Maryland Heights, MO
63043-3003 63043-3003 63043-3003
(6.20%) (17.10%) (8.00%)
Charles Schwab & Co. Inc. VALIC
101 Montgomery St. 2929 Allen Parkway,
San Francisco, CA 94104 #L7-01
(9.90%) Houston, TX 77019
(18.70%)
- --------------------------------------------------------------------------------------
B Citigroup Global Edward D. Jones & Co.
Markets Inc. 201 Progress Pkwy
333 W 34th St. FL 3 Maryland Heights, MO
New York, NY 63043-3003
10001-2402 (11.20%)
(5.40%)
- --------------------------------------------------------------------------------------
C Citigroup Global Edward D. Jones & Co. Merrill, Lynch, Pierce,
Markets Inc. 201 Progress Pkwy Fenner & Smith Inc.
333 W 34th St. FL 3 Maryland Heights, MO 4800 Deer Lake Dr E
New York, NY 63043-3003 Jacksonville, FL 32246
10001-2402 (5.90%) (5.30%)
(7.90%)
Merrill, Lynch, Pierce, Merrill, Lynch, Pierce,
Fenner & Smith Inc. Fenner & Smith Inc.
4800 Deer Lake Dr. E. 4800 Deer Lake Dr. E.
Jacksonville, FL 32246 Jacksonville, FL 32246
(11.20%) (5.70%)
- --------------------------------------------------------------------------------------
M SMBC Friend Carwash & Co. Edward D. Jones & Co.
Securities Co., Ltd. 200 Newport Ave. 201 Progress Pkwy
Foreign Securities Dept Quincy, MA Maryland Heights, MO
7-12 Kabuto-Cho 02171-2102 63043-3003
Nihonbashi Chuo-Ku (62.30%) (8.40%)
Tokyo 103 Japan
(66.40%)
Edward D. Jones & Co
201 Progress Pkwy
Maryland Heights, MO
63043-3003
(5.80%)
- --------------------------------------------------------------------------------------
Putnam Europe The George Putnam Putnam Global
CLASS Equity Fund Fund of Boston Equity Fund
- --------------------------------------------------------------------------------------
R Putnam Investments MCB Trust Services Putnam Investments
LLC* Cust. FBO LLC* (6.80%)
(100.00%) 700 17th St. STE 300
Denver, CO
80202-3531
(57.40%)
Bisys Retirement Wexford Securities
Services LLC.FBO*
700 17th Street, Ste 100 (27.60%)
Denver, CO
80202-3507
(36.90%)
Vito Spinosa
Cheryl Spinosa TTEES
Barclay Contracting Co
U/A DTD 08/12/2000
PO Box 1871
Allentown, PA
18105-1871
(24.70%)
MCB Trust Services
Cust. FBO
700 17th St. STE 300
Denver, CO
80202-3531
(14.00%)
- --------------------------------------------------------------------------------------
Y Nordstrom Air Savings Putnam Investments
Investment Plan** Profit Sharing Plan**
(11.39%) (30.64%)
Borg-Warner Marsh & McLennan
Automotive Inc. Deferred
Retirement Savings Compensation Plans
Plan** 1166 Avenue of
(9.07%) the Americas
New York, NY
10036-2774
(19.02%)
The Thomson Holdings Raymond James
Inc. Savings Plan** Financial, Inc.
(8.93%) Star Plan Trust**
(18.75%)
The ServiceMaster Putnam Investments,
Company** Inc.**
(7.27%) (11.34%)
Abbott Laboratories
Stock Retirement
Programs**
(5.99%)
- --------------------------------------------------------------------------------------
Putnam The Putnam Fund
Global Natural for Growth Putnam Growth
CLASS Resources Fund and Income Opportunities Fund
- --------------------------------------------------------------------------------------
A Edward D. Jones & Co. Edward D. Jones & Co. Edward D. Jones & Co.
201 Progress Pkwy 201 Progress Pkwy 201 Progress Pkwy
Maryland Heights, MO Maryland Heights, MO Maryland Heights, MO
63043-3003 63043-3003 63043-3003
(5.20%) (12.20%) (12.30%)
- --------------------------------------------------------------------------------------
B Edward D. Jones & Co.
201 Progress Pkwy
Maryland Heights, MO
63043-3003
(7.00%)
- --------------------------------------------------------------------------------------
C Citigroup Global Edward D. Jones & Co. Merrill, Lynch, Pierce,
Markets Inc. 201 Progress Pkwy Fenner & Smith Inc.
333 W 34th St. FL 3 Maryland Heights, MO 4800 Deer Lake Dr. E
New York, NY 63043-3003 Jacksonville, FL 32246
10001-2402 (6.10%) (7.60%)
(11.70%)
Merrill, Lynch, Pierce, Merrill, Lynch, Pierce, Citigroup Global
Fenner & Smith Inc. Fenner & Smith Inc. Markets Inc.
4800 Deer Lake Dr. E 4800 Deer Lake Dr. E 333 W 34th St. FL 3
Jacksonville, FL 32246 Jacksonville, FL 32246 New York, NY 10001-2402
(7.10%) (5.50%) (6.00%)
- --------------------------------------------------------------------------------------
M Edward D. Jones & Co. Edward D. Jones & Co.
201 Progress Pkwy 201 Progress Pkwy
Maryland Heights, MO Maryland Heights, MO
63043-3003 63043-3003
(14.00%) (7.60%)
Frontier Trust Co
PO Box 10699
Fargo, ND
58106-0699
(5.60%)
- --------------------------------------------------------------------------------------
Putnam The Putnam Fund
Global Natural for Growth Putnam Growth
CLASS Resources Fund and Income Opportunities Fund
- --------------------------------------------------------------------------------------
R Wachovia Bank Bryce Edwards & Putnam Investments
Flair-Royalton 401(k) James Kubinski TTEES LLC*
1525 West Wt Greater Milwaukee (26.10%)
Harris Blvd Open Inc.
Charlotte, NC Attn Sherry Maierle
28288-1151 8989 N Port
(98.20%) Washington Rd
Milwaukee, WI
53217-1671
(23.70%)
Vito Spinosa MCB Trust Services
Cheryl Spinosa TTEES Cust. FBO
Barclay Contracting Co 700 17th St. STE 300
U/A DTD 08/12/2000 Denver, CO
PO Box 1871 80202-3531
Allentown, PA (73.80%)
18105-1871
(21.20%)
Stanley S. Stephens
Matthew S. Stephens
TTEES of the Stephens
Funeral Home 401(k)
Profit Sharing Plan & Trust
1335 W Linden St #37
Allentown, PA
18102-4334
(20.80%)
Leo H. DeLong, Jr. &
Wanda J Delong TTEES
Bucks Dev & Contr Corp
401(k) P/S/P & Trust
PO Box 287
Emmaus, PA
18049-0287
(10.20%)
- --------------------------------------------------------------------------------------
Putnam The Putnam Fund
Global Natural for Growth Putnam Growth
CLASS Resources Fund and Income Opportunities Fund
- --------------------------------------------------------------------------------------
Y The Thomson Holdings Arch Coal, Inc.
Inc. Savings Plan** Employee Thrift Plan**
(9.38%) (41.52%)
Electrical Contractors Putnam Investments
Association and Local Profit Sharing Plan**
Union 134, IBEW (19.21%)
Joint Pension Trust
of Chicago**
(9.18%)
Abbott Laboratories Southern Wine &
Stock Retirement Spirits of America
Programs** 401(k) Retirement
(6.73%) Plan**
(15.24%)
The Health Net, Inc.
401(k) Savings Plan**
(9.97%)
Hannaford Savings and
Investment Plan**
(5.67%)
- --------------------------------------------------------------------------------------
Putnam Putnam
Putnam Health International Capital International
CLASS Sciences Trust Opportunities Fund Equity Fund
- --------------------------------------------------------------------------------------
A Edward D. Jones & Co. Edward D. Jones & Co.
201 Progress Pkwy 201 Progress Pkwy
Maryland Heights, MO Maryland Heights, MO
63043-3003 63043-3003
(12.70%) (6.00%)
Merrill, Lynch, Pierce, Charles Schwab &
Fenner & Smith Inc. Co. Inc
4800 Deer Lake Dr. E 101 Montgomery St.
Jacksonville, FL 32246 San Francisco, CA 94104
(7.50%) (10.40%)
- --------------------------------------------------------------------------------------
B Citigroup Global Citigroup Global Citigroup Global
Markets Inc. Markets Inc. Markets Inc.
333 W 34th St. FL 3 333 W 34th St. FL 3 333 W 34th St. FL 3
New York, NY New York, NY New York, NY
10001-2402 10001-2402 10001-2402
(6.40%) (5.10%) (6.40%)
Merrill, Lynch, Pierce, Merrill, Lynch, Pierce, Merrill, Lynch, Pierce,
Fenner & Smith Inc. Fenner & Smith Inc. Fenner & Smith Inc.
4800 Deer Lake Dr. E 4800 Deer Lake Dr. E 4800 Deer Lake Dr. E
Jacksonville, FL 32246 Jacksonville, FL 32246 Jacksonville, FL 32246
(9.30%) (6.00%) (7.90%)
- --------------------------------------------------------------------------------------
C Citigroup Global Citigroup Global Merrill, Lynch, Pierce,
Markets Inc. Markets Inc. Fenner & Smith Inc.
333 W 34th St. FL 3 333 W 34th St. FL 3 4800 Deer Lake Dr. E
New York, NY New York, NY Jacksonville, FL 32246
10001-2402 10001-2402 (17.60%)
(10.10%) (10.80%)
Merrill, Lynch, Pierce, Merrill, Lynch, Pierce, Citigroup Global
Fenner & Smith Inc. Fenner & Smith Inc. Markets Inc.
4800 Deer Lake Dr. E 4800 Deer Lake Dr. E 333 W 34th St. FL 3
Jacksonville, FL 32246 Jacksonville, FL 32246 New York, NY
(14.00%) (14.00%) 10001-2402
(9.20%)
- --------------------------------------------------------------------------------------
M Edward D. Jones & Co.
201 Progress Pkwy
Maryland Heights, MO
63043-3003
(6.30%)
Citigroup Global
Markets Inc.
333 W 34th St. FL 3
New York, NY
10001-2402
(6.60%)
- --------------------------------------------------------------------------------------
Putnam Putnam
Putnam Health International Capital International
CLASS Sciences Trust Opportunities Fund Equity Fund
- --------------------------------------------------------------------------------------
R MCB Trust Services Putnam Investments Federated Investors
700 17th St. STE 300 LLC* Trust Company for
Denver, CO (46.10%) Dupree Plumbing Co.
80202-3531 401(k) Plan
(63.60%) 309 Vine Street #653D
Cincinnati, OH
45202-3524
(60.80%)
Wexford Securities MCB Trust Services Reliance Trust
LLC. FBO* 700 17th St. STE 300 Company
(18.10%) Denver, CO PO Box 48529
80202-3531 Atlanta, GA
(41.90%) 30362-1529
(14.20%)
Bryce Edwards & MCB Trust Services Bisys Retirement
James Kubinski TTEES Cust. FBO Services
Greater Milwaukee 700 17th St. STE 300 700 17th Street,
Open Inc. Denver, CO Ste 100
Attn Sherry Maierle 80202-3531 Denver, CO
8989 N Port (9.80%) 80202-3507
Washington Rd (11.00%)
Milwaukee, WI
53217-1671
(12.90%)
Merrill, Lynch, Pierce,
Fenner & Smith Inc.
4800 Deer Lake Dr. E
Jacksonville, FL 32246
(5.30%)
- --------------------------------------------------------------------------------------
Putnam Putnam
Putnam Health International Capital International
CLASS Sciences Trust Opportunities Fund Equity Fund
- --------------------------------------------------------------------------------------
Y Putnam Investments Putnam Investments The Bank One
Profit Sharing Plan** Profit Sharing Plan** Corporation**
(35.07%) (16.14%) (14.15%)
United States Filter United States Filter Abbott Laboratories
Corporation Retirement Corporation Retirement Stock Retirement
Savings Plan** Savings Plan** Programs**
(19.49%) (14.85%) (5.34%)
The BGEA/TNG Ohio Tuition Trust Ohio Tuition Trust
Local 245 Boston Globe Authority/College Authority/College
Employee Savings Plan** Advantage Program*** Advantage Program***
(14.51%) (13.50%) (5.20%)
Coca-Cola Enterprises Coca-Cola Enterprises
Matched Employee Matched Employee
Savings and Savings and
Investment Plan** Investment Plan**
(5.99%) (10.77%)
Fidelity Investments
FIIOC Agent/Certain
Employee Benefit Plans**
(8.31%)
Putnam Investments**
(6.22%)
- --------------------------------------------------------------------------------------
Putnam International Putnam
Growth and International New Putnam
CLASS Income Fund Opportunities Fund Investors Fund
- --------------------------------------------------------------------------------------
A Edward D. Jones & Co. Edward D. Jones & Co. Edward D. Jones & Co.
201 Progress Pkwy 201 Progress Pkwy 201 Progress Pkwy
Maryland Heights, MO Maryland Heights, MO Maryland Heights, MO
63043-3003 63043-3003 63043-3003
(34.10%) (12.00%) (10.40%)
- --------------------------------------------------------------------------------------
B Edward D. Jones & Co. Merrill, Lynch, Pierce,
201 Progress Pkwy Fenner & Smith Inc.
Maryland Heights, MO 4800 Deer Lake Dr. E
63043-3003 Jacksonville, FL 32246
(10.40%) (6.70%)
- --------------------------------------------------------------------------------------
C Edward D. Jones & Co. Merrill, Lynch, Pierce, Edward D. Jones & Co.
201 Progress Pkwy Fenner & Smith Inc. 201 Progress Pkwy
Maryland Heights, MO 4800 Deer Lake Dr. E Maryland Heights, MO
63043-3003 Jacksonville, FL 32246 63043-3003
(5.20%) (11.50%) (6.80%)
Citigroup Global Citigroup Global Citigroup Global
Markets Inc. Markets Inc. Markets Inc.
333 W 34th St. FL 3 333 W 34th St. FL 3 333 W 34th St. FL 3
New York, NY New York, NY New York, NY
10001-2402 10001-2402 10001-2402
(9.60%) (7.50%) (5.40%)
Merrill, Lynch, Pierce,
Fenner & Smith Inc.
4800 Deer Lake Dr. E
Jacksonville, FL 32246
(14.60%)
- --------------------------------------------------------------------------------------
M Edward D. Jones & Co. Merrill, Lynch, Pierce, Transamerica
201 Progress Pkwy Fenner & Smith Inc. Life Insurance
Maryland Heights, MO 4800 Deer Lake Dr. E Company
63043-3003 Jacksonville, FL 32246 1150 S. Olive St.
(17.50%) (6.10%) Los Angeles, CA
90015-2211
(5.60%)
Edward D. Jones & Co.
201 Progress Pkwy
Maryland Heights, MO
63043-3003
(8.70%)
- --------------------------------------------------------------------------------------
Putnam International Putnam
Growth and International New Putnam
CLASS Income Fund Opportunities Fund Investors Fund
- --------------------------------------------------------------------------------------
R Putnam Investments Putnam Investments Putnam Investments
LLC* LLC* LLC*
(99.90%) (51.80%) (16.30%)
Wexford Securities MCB Trust Services
LLC. FBO* Cust. FBO
(47.90%) 700 17th St. STE 300
Denver, CO
80202-3531
(81.80%)
- --------------------------------------------------------------------------------------
Y United States Filter TRW Employee Stock
Corporation Retirement Ownership and
Savings Plan** Savings Plan**
(38.57%) (12.34%)
Putnam Investments IBEW Local 3**
Profit Sharing Plan** (7.78%)
(25.56%)
Coca-Cola Enterprises Ohio Tuition Trust
Matched Employee Authority/College
Savings and Advantage Program***
Investment Plan** (9.70%)
(11.39%)
Putnam Investments**
(10.90%)
- --------------------------------------------------------------------------------------
Putnam Mid Cap Putnam New Putnam New
CLASS Value Fund Opportunities Fund Value Fund
- --------------------------------------------------------------------------------------
A Edward D. Jones & Co. Edward D. Jones & Co. Edward D. Jones & Co.
201 Progress Pkwy 201 Progress Pkwy 201 Progress Pkwy
Maryland Heights, MO Maryland Heights, MO Maryland Heights, MO
63043-3003 63043-3003 63043-3003
(9.80%) (7.20%) (23.50%)
VALIC
2929 Allen Parkway,
#L7-01
Houston, TX 77019
(12.50%)
- --------------------------------------------------------------------------------------
B Citigroup Global Edward D. Jones & Co.
Markets Inc. 201 Progress Pkwy
333 W 34th St. FL 3 Maryland Heights, MO
New York, NY 63043-3003
10001-2402 (7.60%)
(5.20%)
- --------------------------------------------------------------------------------------
C Merrill, Lynch, Pierce, Merrill, Lynch, Pierce,
Fenner & Smith Inc. Fenner & Smith Inc.
4800 Deer Lake Dr. E 4800 Deer Lake Dr. E
Jacksonville, FL 32246 Jacksonville, FL 32246
(7.10%) (8.80%)
Citigroup Global
Markets Inc.
333 W 34th St. FL 3
New York, NY
10001-2402
(5.90%)
- --------------------------------------------------------------------------------------
M Edward D. Jones & Co. Edward D. Jones & Co.
201 Progress Pkwy 201 Progress Pkwy
Maryland Heights, MO Maryland Heights, MO
63043-3003 63043-3003
(5.50%) (15.50%)
National City Bank
PO Box 94984
Cleveland, OH
44101-4984
(11.20%)
- --------------------------------------------------------------------------------------
Putnam Mid Cap Putnam New Putnam New
CLASS Value Fund Opportunities Fund Value Fund
- --------------------------------------------------------------------------------------
R MCB Trust Services Putnam Investments Putnam Investments
Cust. FBO LLC* LLC*
700 17th St. STE 300 (5.30%) (49.70%)
Denver, CO
80202-3531
(86.50%)
MCB Trust Services MCB Trust Services
700 17th St. STE 300 700 17th St. STE 300
Denver, CO Denver, CO
80202-3531 80202-3531
(37.20%) (50.20%)
Stanley S. Stephens
Matthew S. Stephens
TTEES of the Stephens
Funeral Home 401(k)
Profit Sharing Plan & Trust
1335 W Linden St #37
Allentown, PA
18102-4334
(19.50%)
Leo H Delong Jr &
Wanda J Delong TTEES
Bucks Dev & Contr Corp
401(k) P/S/P & Trust
PO Box 287
Emmaus, PA
18049-0287
(12.10%)
- --------------------------------------------------------------------------------------
Putnam Mid Cap Putnam New Putnam New
CLASS Value Fund Opportunities Fund Value Fund
- --------------------------------------------------------------------------------------
Y Putnam Investments IBEW Local 3** Ohio Tuition Trust
Profit Sharing Plan** (20.05%) Authority/College
(28.97%) Advantage Program***
(58.80%)
Marsh & McLennan Illinois Toolworks Inc. Illinois Toolworks Inc.
Supplemental Savings and Savings and
Retirement Plan Investment Plan** Investment Plan**
1166 Avenue of (12.60%) (17.96%)
the Americas
New York, NY
10036-2774
(25.90%)
Coca-Cola Enterprises WorldCom 401(k) Putnam Investments
Matched Employee Salary Savings Plan** Profit Sharing Plan**
Savings and Investment (11.70%) (12.03%)
Plan**
(17.25%)
Putnam Investments** United Technology Putnam Investments**
(13.40%) Carriers** (5.52%)
(9.58%)
Marsh & McLennan
Deferred
Compensation Plans
1166 Avenue of
the Americas
New York, NY
10036-2774
(6.46%)
- --------------------------------------------------------------------------------------
Putnam
OTC & Emerging Putnam Research Putnam Small Cap
CLASS Growth Fund Fund Growth Fund
- --------------------------------------------------------------------------------------
A VALIC Edward D. Jones & Co.
2929 Allen Parkway, 201 Progress Pkwy
#L7-01 Maryland Heights, MO
Houston, TX 77019 63043-3003
(22.00%) (12.10%)
Mac & Co.
PO Box
Pittsburgh, PA
15230-0320
(6.50%)
- --------------------------------------------------------------------------------------
B Edward D. Jones & Co.
201 Progress Pkwy
Maryland Heights, MO
63043-3003
(6.50%)
- --------------------------------------------------------------------------------------
C Citigroup Global Citigroup Global Citigroup Global
Markets Inc. Markets Inc. Markets Inc.
333 W 34th St. FL 3 333 W 34th St. FL 3 333 W 34th St. FL 3
New York, NY New York, NY New York, NY
10001-2402 10001-2402 10001-2402
(6.40%) (5.20%) (5.40%)
Merrill, Lynch, Pierce, Merrill, Lynch, Pierce,
Fenner & Smith Inc. Fenner & Smith Inc.
4800 Deer Lake Dr. E 4800 Deer Lake Dr. E
Jacksonville, FL 32246 Jacksonville, FL 32246
(7.20%) (5.10%)
- --------------------------------------------------------------------------------------
M State Street Bank & Trust Edward D. Jones & Co. Capital Bank &
P.O. Box 2136 201 Progress Pkwy Trust Co.
Boston, MA Maryland Heights, MO Cadwell's Window
(46.20%) 63043-3003 Dcor Preferred
(12.10%) 401(k) Plan
C/o Plan Premier
Fascorp
8515 Orchard Rd.
#2T2
Greenwood Vlg, CO
80111-5002
(6.40%)
Carwash & Co.
200 Newport Ave.
Quincy, MA 02171-2102
(43.10%)
- --------------------------------------------------------------------------------------
Putnam
OTC & Emerging Putnam Research Putnam Small Cap
CLASS Growth Fund Fund Growth Fund
- --------------------------------------------------------------------------------------
R Putnam Investments LLC* Transamerica Life MCB Trust Services
(13.10%) Insurance Company Cust. FBO
1150 S. Olive St. 700 17th St. STE 300
Los Angeles, CA Denver, CO
90015-2211 80202-3531
(99.50%) (58.00%)
Wexford Securities MCB Trust Services
LLC. FBO* 700 17th St. STE 300
(55.70%) Denver, CO
80202-3531
(32.40%)
National Quality Review Putnam Investments
7 Steven Drive LLC*
South Hadley, MA (5.50%)
01075-1317
(6.80%)
- --------------------------------------------------------------------------------------
Y Coca-Cola Enterprises Marsh & McLennan Putnam Investments
Matched Employee Supplemental Profit Sharing Plan**
Savings and Investment Retirement Plan (55.59%)
Plan** 1166 Avenue of
(29.47%) the Americas
New York, NY
10036-2774
(47.27%)
Putnam Investments Vertis 401(k) Plan** Putnam Investments**
Profit Sharing Plan** (19.49%) (36.00%)
(12.49%)
New York State Electric Svedala Industries, Inc.
and Gas Corporation Tax Salaried Savings Plan**
Deferred Savings Plan** (8.64%)
(10.72%)
New York State Electric Putnam Investments
and Gas Corporation Tax Profit Sharing Plan**
Deferred Savings Plan** (7.24%)
(7.21%)
United States Filter
Corporation Retirement
Savings Plan**
(6.50%)
- --------------------------------------------------------------------------------------
Putnam Utilities
Putnam Small Cap Putnam Tax Smart Growth and
CLASS Value Fund Equity Fund Income Fund
- --------------------------------------------------------------------------------------
A Edward D. Jones & Co. Edward D. Jones & Co. Edward D. Jones & Co.
201 Progress Pkwy 201 Progress Pkwy 201 Progress Pkwy
Maryland Heights, MO Maryland Heights, MO Maryland Heights, MO
63043-3003 63043-3003 63043-3003
(6.90%) (10.00%) (15.10%)
- --------------------------------------------------------------------------------------
B Merrill, Lynch, Pierce, Merrill, Lynch, Pierce,
Fenner & Smith Inc. Fenner & Smith Inc.
4800 Deer Lake Dr. E 4800 Deer Lake Dr. E
Jacksonville, FL 32246 Jacksonville, FL 32246
(5.80%) (9.70%)
- --------------------------------------------------------------------------------------
C Merrill, Lynch, Pierce, Merrill, Lynch, Pierce,
Fenner & Smith Inc. Fenner & Smith Inc.
4800 Deer Lake Dr. E 4800 Deer Lake Dr. E
Jacksonville, FL 32246 Jacksonville, FL 32246
(11.60%) (9.50%)
- --------------------------------------------------------------------------------------
M Edward D. Jones & Co. Pershing, LLC Edward D. Jones & Co.
201 Progress Pkwy P.O. Box 2052 201 Progress Pkwy
Maryland Heights, MO Jersey City, NJ Maryland Heights, MO
63043-3003 07303-2052 63043-3003
(5.40%) (5.30%) (16.40%)
Saxon & Co. Joseph B. Love
P.O. Box 7780 5505 Flakesmill Rd.
Philadelphia, PA Ellenwood, GA
19182-0001 30294-2747
(11.40%) (5.10%)
- --------------------------------------------------------------------------------------
R Putnam Investments*
(100.00%)
- --------------------------------------------------------------------------------------
Y The Bank One
Corporation**
(40.06%)
Borg-Warner
Automotive Inc.
Retirement Savings Plan**
(16.82%)
Putnam Investments
Profit Sharing Plan**
(16.27%)
United States Filter
Corporation Retirement
Savings Plan**
(13.14%)
- --------------------------------------------------------------------------------------
CLASS Putnam Vista Fund Putnam Voyager Fund
- --------------------------------------------------------------------------------------
A Edward D. Jones & Co. Edward D. Jones & Co.
201 Progress Pkwy 201 Progress Pkwy
Maryland Heights, MO Maryland Heights, MO
63043-3003 63043-3003
(6.40%) (10.30%)
- --------------------------------------------------------------------------------------
B Edward D. Jones & Co.
201 Progress Pkwy
Maryland Heights, MO
63043-3003
(6.40%)
- --------------------------------------------------------------------------------------
C Edward D. Jones & Co.
201 Progress Pkwy
Maryland Heights, MO
63043-3003
(5.20%)
Citigroup Global
Markets Inc.
333 W 34th St. FL 3
New York, NY
10001-2402
(5.20%)
Merrill, Lynch, Pierce,
Fenner & Smith Inc.
4800 Deer Lake Dr. E
Jacksonville, FL 32246
(6.80%)
- --------------------------------------------------------------------------------------
M Transamerica Life Edward D. Jones & Co.
Insurance Company 201 Progress Pkwy
1150 S. Olive St. Maryland Heights, MO
Los Angeles, CA 63043-3003
90015-2211 (9.50%))
(5.20%)
National City Bank
PO Box 94984
Cleveland, OH
44101-4984
(5.40%)
- --------------------------------------------------------------------------------------
R MCB Trust Services Transamerica Life
Cust. FBO Insurance Company
700 17th St. STE 300 1150 S. Olive St.
Denver, CO Los Angeles, CA
80202-3531 90015-2211
(47.20%) (64.30%)
MCB Trust Services AUSA Life Insurance
700 17th St. STE 300 Company
Denver, CO P. O. Box 30368
80202-3531 Los Angeles, CA
(18.40%) 90030-0368
(5.70%)
CLASS Putnam Vista Fund Putnam Voyager Fund
- --------------------------------------------------------------------------------------
R (cont.) Bryce Edwards &
James Kubinski TTEES
Greater Milwaukee
Open Inc.
Attn Sherry Maierle
8989 N Port
Washington Rd.
Milwaukee, WI
53217-1671
(12.60%)
Putnam Investments*
(9.10%)
Wexford Securities
LLC, FBO*
(8.10%)
- --------------------------------------------------------------------------------------
Y Hanford Operations and The Thomson Holdings Inc.
Engineering Investment Savings Plan**
Plan** (10.33%)
(7.93%)
Emerson Electric Co. Abbott Laboratories Stock
Employee Savings Retirement Programs**
Investment Plan** (7.33%)
(18.19%)
United States Filter The Bank One Corporation**
Corporation Retirement (6.36%)
Savings Plan**
(13.22%)
Southern Wine & Spirits WorldCom 401(k) Salary
of America 401(k) Savings Plan**
Retirement Plan** (5.18%)
(13.04%)
First Hawaiian Future
Plan**
(6.35%)
- --------------------------------------------------------------------------------------
* The address for the name listed is: c/o Putnam Investments, One Post
Office Square, Boston, MA 02109.
** The address for the name listed is: c/o Putnam Fiduciary Trust
Company, as trustee or agent, Investors Way, Norwood, MA 02062-9105.
*** The address for the name listed is: c/o Putnam Fiduciary Trust
Company, as service provider, Investors Way, Norwood, MA 02062-9105.
EXHIBIT A
THE PUTNAM FUNDS
Board Policy and Nominating Committee Charter
This Committee reviews matters pertaining to the operations of the
Board of Trustees and its Committees and the conduct of legal affairs
for the Funds. The Committee evaluates and recommends all candidates for
election as Trustees and recommends the appointment of members and
chairs of each board committee. The Committee also reviews policy
matters affecting the operation of the Board and its independent staff
and make recommendations to the Board as appropriate. The Committee also
oversees the voting of proxies associated with portfolio investments of
The Putnam Funds with the goal of ensuring that these proxies are voted
in the best interest of the Funds' shareholders. The Committee is
comprised exclusively of Independent Trustees.
EXHIBIT B
Current Fundamental Investment
Restrictions with Respect to Borrowing
Putnam Asset Allocation: Balanced Portfolio
Putnam Asset Allocation: Conservative Portfolio
Putnam Asset Allocation: Growth Portfolio
Putnam Capital Appreciation Fund
Putnam Classic Equity Fund
Putnam Discovery Growth Fund
Putnam Equity Income Fund
Putnam Europe Equity Fund
The George Putnam Fund of Boston
The Putnam Fund for Growth and Income
Putnam Growth Opportunities Fund
Putnam Health Sciences Trust
Putnam International Capital Opportunities Fund
Putnam International Equity Fund
Putnam International Growth and Income Fund
Putnam International New Opportunities Fund
Putnam New Opportunities Fund
Putnam New Value Fund
Putnam OTC & Emerging Growth Fund
Putnam Research Fund
Putnam Utilities Growth and Income Fund
"The fund may not. . . [b]orrow money in excess of 10% of the value
(taken at the lower of cost or current value) of [the fund's] total
assets (not including the amount borrowed) at the time the borrowing is
made, and then only from banks as a temporary measure to facilitate the
meeting of redemption requests (not for leverage) which might otherwise
require the untimely disposition of portfolio investments or for
extraordinary or emergency purposes. Such borrowings will be repaid
before any additional investments are purchased.
Putnam Voyager Fund
"The fund may not. . . [b]orrow more than 50% of the value of its total
assets (excluding borrowings and stock index futures contracts and call
options on stock index futures contracts and stock indices) less
liabilities other than borrowings and stock index futures contracts and
call options on stock index futures and stock indices.
Putnam Investors Fund
"The fund may not. . . [b]orrow money in excess of 5% of its net assets
(taken at current value) and then only as a temporary measure for
extraordinary or emergency reasons and not for investment purposes. (The
fund may borrow only from banks and immediately after any such
borrowings there must be an asset coverage (total assets of the fund
including the amount borrowed less liabilities other than borrowings) of
at least 300% of the amount of all borrowings. In the event that, due to
market decline or other reasons, such asset coverage should at any time
fall below 300%, the fund is required within three days not including
Sundays and holidays to reduce the amount of its borrowings to the
extent necessary to cause the asset coverage of such borrowings to be at
least 300%. If this should happen, the fund may have to sell securities
at a time when it would be disadvantageous to do so.)
Putnam Global Equity Fund
"The fund may not... [b]orrow money in excess of 10% of its gross assets
(taken at current value) and then only as a temporary measure for
extraordinary or emergency reasons and not for investment [purposes].
(The fund may borrow only from banks and immediately after any such
borrowings there must be an asset coverage (total assets of the fund
including the amount borrowed less liabilities other than such
borrowings) of at least 300% of the amount of all borrowings. In the
event that, due to market decline or other reasons, such asset coverage
should at any time fall below 300%, the fund is required within three
days not including Sundays and holidays to reduce the amount of its
borrowings to the extent necessary to cause the asset coverage of such
borrowings to be at least 300%. If this should happen, the fund may have
to sell securities at a time when it would be disadvantageous to do so.)
Putnam Vista Fund
"The fund may not... [b]orrow money in excess of 10% of its net assets
(taken at current value) and then only as a temporary measure for
extraordinary or emergency reasons and not for investment purposes. (The
fund may borrow only from banks and immediately after any such
borrowings there must be an asset coverage (total assets of the fund
including the amount borrowed less liabilities other than such
borrowings) of at least 300% of the amount of all borrowings. In the
event that, due to market decline or other reasons, such asset coverage
should at any time fall below 300%, the fund is required within three
days not including Sundays and holidays to reduce the amount of its
borrowings to the extent necessary to cause the asset coverage of such
borrowings to be at least 300%. If this should happen, the fund may have
to sell securities at a time when it would be disadvantageous to do so.)
Putnam Global Natural Resources Fund
"The fund may not. . . [b]orrow money, except for temporary or emergency
purposes and then in an amount not in excess of 5% of the market value
of its total assets (not including the amount borrowed)."
Putnam Convertible Income-Growth Trust
"The fund may not. . . [b]orrow money in excess of 5% of its net assets
(taken at the lower of cost or current value) and then only from banks
as a temporary measure for extraordinary or emergency reasons and not
for investment purposes."
EXHIBIT C
Current Fundamental Investment Restrictions with Respect to
Diversification of Investments
Putnam Asset Allocation: Balanced Portfolio
Putnam Asset Allocation: Conservative Portfolio
Putnam Asset Allocation: Growth Portfolio
Putnam Capital Appreciation Fund
Putnam Convertible Income-Growth Trust
Putnam Equity Income Fund
Putnam Europe Equity Fund
The George Putnam Fund of Boston
Putnam Global Equity Fund
Putnam Global Natural Resources Fund
The Putnam Fund for Growth and Income
Putnam International Equity Fund
Putnam International Growth and Income Fund
Putnam Investors Fund
Putnam OTC & Emerging Growth Fund
Putnam Utilities Growth and Income Fund
Putnam Vista Fund
Putnam Voyager Fund
"The fund may not. . . [w]ith respect to 75% of its total assets, invest
in securities of any issuer if, immediately after such investment, more
than 5% of the total assets of the fund (taken at current value) would
be invested in the securities of such issuer; provided that this
limitation does not apply to obligations issued or guaranteed as to
interest or principal by the U.S. government or its agencies or
instrumentalities."
Putnam Capital Opportunities Fund
Putnam Classic Equity Fund
Putnam Growth Opportunities Fund
Putnam International Capital Opportunities Fund
Putnam International New Opportunities Fund
Putnam Mid Cap Value Fund
Putnam New Value Fund
Putnam Research Fund
Putnam Small Cap Growth Fund
Putnam Small Cap Value Fund
Putnam Tax Smart Equity Fund
"The fund may not. . . [w]ith respect to 75% of its total assets, invest
in securities of any issuer if, immediately after such investment, more
than 5% of the total assets of the fund (taken at current value) would
be invested in the securities of such issuer; provided that this
limitation does not apply to obligations issued or guaranteed as to
interest or principal by the U.S. government or its political
subdivisions."
Putnam Discovery Growth Fund
Putnam New Opportunities Fund
"The fund may not. . . [w]ith respect to 75% of its total assets, invest
in the securities of any issuer if, immediately after such investment,
more than 5% of the total assets of the fund (taken at current value)
would be invested in the securities of such issuer; provided that this
limitation does not apply to obligations issued or guaranteed as to
interest and principal by the U.S. government or its agencies or
instrumentalities."
Putnam Health Sciences Trust
"The fund may not. . . [w]ith respect to 50% of its total assets, invest
in securities of any issuer if, immediately after such investment, more
than 5% of the total assets of the fund (taken at current value) would
be invested in the securities of such issuer; provided that this
limitation does not apply to obligations issued or guaranteed as to
interest and principal by the U.S. government or its agencies or
instrumentalities."
EXHIBIT D
Current Provisions of Agreements and Declarations of Trust of the Funds
with Respect to Redemption of Shares
Putnam Convertible Income-Growth Trust
Putnam Equity Income Fund
Putnam Global Equity Fund
Putnam Global Natural Resources Fund
Putnam Health Sciences Trust
Putnam International Equity Fund
Putnam Investors Fund
Putnam OTC & Emerging Growth Fund
Putnam Vista Fund
Putnam Voyager Fund
Article VI
Distributions, Redemptions and Repurchases
* * *
Redemption and Repurchases
Section 2. The Trust shall purchase such Shares as are offered by any
Shareholder for redemption, upon the presentation of any certificate for
the Shares to be purchased, a proper instrument of transfer and a
request directed to the Trust or a person designated by the Trust that
the Trust purchase such Shares, or in accordance with such other
procedures for redemption as the Trustees may from time to time
authorize; and the Trust will pay therefor the net asset value thereof,
as next determined in accordance with the Bylaws. Payment for said
Shares shall be made by the Trust to the Shareholder within seven days
after the date on which the request is made. The obligation set forth in
this Section 2 is subject to the provision that in the event that any
time the New York Stock Exchange is closed for other than customary
weekends or holidays, or, if permitted by the rules of the [Securities
and Exchange Commission], during periods when trading on the Exchange is
restricted or during any emergency which makes it impractical for the
Trust to dispose of its investments or to determine fairly the value of
its net assets, or during any other period permitted by order of the
[Securities and Exchange Commission] for the protection of investors,
such obligation may be suspended or postponed by the Trustees. The Trust
may also purchase or repurchase Shares at a price not exceeding the net
asset value of such Shares in effect when the purchase or repurchase or
any contract to purchase or repurchase is made.
Putnam Asset Allocation: Balanced Portfolio
Putnam Asset Allocation: Conservative Portfolio
Putnam Asset Allocation: Growth Portfolio
Putnam Capital Opportunities Fund
Putnam Classic Equity Fund
Putnam Discovery Growth Fund
Putnam Europe Equity Fund
Putnam Growth Opportunities Fund
Putnam International Capital Opportunities Fund
Putnam International Growth and Income Fund
Putnam International New Opportunities Fund
Putnam Mid Cap Value Fund
Putnam New Opportunities Fund
Putnam New Value Fund
Putnam Research Fund
Putnam Small Cap Growth Fund
Putnam Small Cap Value Fund
Putnam Utilities Growth and Income Fund
Article VI
Distributions, Redemptions and Repurchases
* * *
Redemption and Repurchases
Section 2. The Trust shall purchase such Shares as are offered by any
Shareholder for redemption, upon the presentation of any certificate for
the Shares to be purchased, a proper instrument of transfer and a
request directed to the Trust or a person designated by the Trust that
the Trust purchase such Shares, or in accordance with such other
procedures for redemption as the Trustees may from time to time
authorize; and the Trust will pay therefor the net asset value thereof,
as next determined in accordance with the Bylaws, less any redemption
charge fixed by the Trustees. Payment for said Shares shall be made by
the Trust to the Shareholder within seven days after the date on which
the request is made. The obligation set forth in this Section 2 is
subject to the provision that in the event that any time the New York
Stock Exchange is closed for other than customary weekends or holidays,
or, if permitted by the rules of the [Securities and Exchange
Commission], during periods when trading on the Exchange is restricted
or during any emergency which makes it impractical for the Trust to
dispose of its investments or to determine fairly the value of its net
assets, or during any other period permitted by order of the [Securities
and Exchange Commission] for the protection of investors, such
obligation may be suspended or postponed by the Trustees. The Trust may
also purchase or repurchase Shares at a price not exceeding the net
asset value of such Shares in effect when the purchase or repurchase or
any contract to purchase or repurchase is made.
The George Putnam Fund of Boston
Article IV
Rights and Privileges of Beneficiaries
* * *
Right to Sell Shares to Trust
Section 4. The Trust shall purchase such shares as are offered by any
beneficiary for redemption, upon the presentation of the certificate or
certificates therefore, if any, to the Trust or to the Transfer Agent,
duly endorsed or accompanied by a proper instrument of transfer,
together with a request that the Trust purchase the shares represented
thereby; and the Trust will pay therefor in cash the liquidating value
of the shares so presented determined as of such time as the Trustees
may from time to time specify, subject to any applicable rule of the
Securities and Exchange Commission adopted under the Investment Company
Act of 1940.
For the protection of the remaining beneficiaries the Trustees reserve
the right to demand not more than seven (7) full business days' written
notice of the request to purchase such shares at such liquidating value,
which period may be extended by the Trustees for such time as the New
York Stock Exchange may at any time be closed for business or open upon
a restricted basis, all under such reasonable rules and regulations as
may be determined by the Trustees from time to time.
The Putnam Fund for Growth and Income
Article IV
Rights and Privileges of Beneficiaries
* * *
Right to Sell Shares to Trust
Section 4. The Trust shall purchase such shares as are offered by any
beneficiary for redemption, upon the presentation of the certificate or
certificates therefore, if any, to the Trust or to the Transfer Agent,
duly endorsed or accompanied by a proper instrument of transfer,
together with a request that the Trust purchase the shares represented
thereby; and the Trust will pay therefor in cash the net asset value of
the shares so presented determined as of such time as the Trustees may
from time to time specify, subject to any applicable rule of the
Securities and Exchange Commission adopted under the Investment Company
Act of 1940.
For the protection of the remaining beneficiaries the Trustees reserve
the right to demand not more than seven (7) days' written notice of the
request to purchase such shares at such net asset value, which period
may be extended by the Trustees for such times as the New York Stock
Exchange may at any time be closed for business other than customary
week-end and holiday closings or open upon a restricted basis, all under
such reasonable rules and regulations as may be determined by the
Trustees from time to time.
EXHIBIT E
Litigation
1. The plaintiff named below alleges that the defendants engaged in, or
allowed others to engage in, activities that took advantage of the way
mutual fund shares are priced in exchange for investments that benefited
the managers and advisers of the funds, but which harmed investors and
the funds themselves. The plaintiff's complaint sets forth violations of
36 of the 1940 Act, 206 of the Investment Advisers Act of 1940, as
amended (the "Advisers Act"), 10(b) and 20(a) of the 1934 Act,
breach of fiduciary duty, and civil conspiracy. The plaintiff seeks
declaratory relief, damages, pre and post judgment interest and
attorney's fees and costs.
Case Name Defendants Court Date Instituted
- ------------------------------------------------------------------------------------------
Gladys Baker Putnam Management 1 United States April 5, 2004
(derivatively on Omid Kamshad District Court
behalf of the Putnam Justin Scott for the District
Fund for Growth & Putnam Trustees 2 of Delaware
Income, Putnam Putnam Funds 3
Europe Equity Fund, (nominal)
and the Putnam Funds)
v. Putnam Investment
Management LLC, et al.
- ------------------------------------------------------------------------------------------
2. The plaintiffs named below allege that the defendants engaged in,
permitted and/or failed to prevent market timing and short-term trading
in the Putnam Funds. Plaintiffs generally claim violations of 36 of
the 1940 Act, 206 of the Advisers Act, 10(b) of the 1934 Act and
Rule 10b-5, 20(a) of the 1934 Act, breach of fiduciary duty, aiding
and abetting breach of fiduciary duty and civil conspiracy. The
plaintiffs generally seek injunctive relief including removal of the
current Trustees and fund managers, disgorgement of profits, monetary
damages, punitive damages and attorney's fees and costs.
Case Name Defendants Court Date Instituted
- --------------------------------------------------------------------------------------------------
Joanne S. Baseman Putnam Management United States Dec. 16, 2003
(derivatively on behalf Omid Kamshad District Court
of Putnam International Justin Scott for the District
Equity Fund and the William Woolverton of Maryland
Putnam Funds) Putnam Trustees
v. Putnam Investment Putnam Funds
Management, Inc., et al. (nominal)
- --------------------------------------------------------------------------------------------------
John K. Clement Putnam Management United States Nov. 26, 2003
(derivatively on behalf Omid Kamshad District Court
of several individual Justin Scott for the District
funds and the William Woolverton of Maryland
Putnam Funds) Putnam Trustees
v. Putnam Investment Putnam Funds
Management Inc., et al. (nominal)
- --------------------------------------------------------------------------------------------------
Simon J. Denenberg Putnam Management United States Jan. 30, 2004
(derivatively on behalf Omid Kamshad District Court
of the Putnam U.S. Justin Scott for the District
Government Income William Woolverton of Maryland
Trust and the Putnam Putnam Trustees
Funds) v. Putnam Putnam Funds
Investment Management, (nominal)
Inc., et al.
- --------------------------------------------------------------------------------------------------
Diane Hutto and Putnam Management United States Nov. 12, 2003
Dina Rozenbaum Putnam Trustees District Court
(derivative on behalf Justin M. Scott for the District
of several individual Omid Kamshad of Maryland
funds and the Putnam Certain officers of the
Funds) v. Putnam, LLC, Putnam Funds and
et. al. Putnam Management
John Does 1-100
Putnam Funds
(nominal)
- --------------------------------------------------------------------------------------------------
Seth B. Marks (derivative Putnam Management United States Dec. 3, 2003
on behalf of several Putnam Trustees District Court
individual funds and the Justin M. Scott for the District
Putnam Funds) Omid Kamshad of Maryland
v. Putnam, LLC, et. al. Certain officers of the
Putnam Funds and
Putnam Management
John Does 1-100
Putnam Funds
(nominal)
- --------------------------------------------------------------------------------------------------
Cynthia Puleo (derivative Putnam Management United States Dec. 16, 2003
on behalf of several Putnam Trustees District Court
individual funds and the Justin M. Scott for the District
Putnam Funds) Omid Kamshad of Maryland
v. Putnam, LLC, et al. Certain officers of the
Putnam Funds and
Putnam Management
John Does 1-100
Putnam Funds
(nominal)
- --------------------------------------------------------------------------------------------------
Edward L. Segel Putnam Management United States Jan. 23, 2004
(derivative on behalf Putnam Trustees District Court
of individual fund Omid Kamshad for the District
and the Putnam Funds) Justin Scott of Maryland
v. Putnam, LLC, et al. William Woolverton
Putnam Funds
(nominal)
- --------------------------------------------------------------------------------------------------
Zachary Alan Starr Putnam Management United States Nov. 6, 2003
(derivative on behalf Putnam Trustees District Court
of Putnam International Omid Kamshad for the District
Equity Fund and the Justin M. Scott of Maryland
Putnam Funds) Putnam Funds
v. Putnam Investment (nominal)
Management, et al.
- --------------------------------------------------------------------------------------------------
3. The plaintiffs named below allege that the defendants failed to
properly disclose that select customers were allowed to engage in late
trading or time their mutual fund trades. The plaintiffs generally claim
of breach of fiduciary duty, abuse of control, gross mismanagement,
waste of corporate assets and unjust enrichment. The plaintiffs seek
damages, equitable and/or injunctive relief, restitution and attorney's
fees and costs.
Case Name Defendants Court Date Instituted
- --------------------------------------------------------------------------------------------------
Leon Brazin Putnam Trustees Superior Court March 15, 2004
(derivatively on behalf Putnam Management of Suffolk County,
of Putnam Vista Fund) Putnam Vista Fund MA; Stipulation
v. John A. Hill, et al. (nominal) agreeing to
Certain officers of the removal and
Putnam Funds and transfer to
Putnam Management United States
District Court for
the District of
Maryland executed
on April 23, 2004
- --------------------------------------------------------------------------------------------------
Peter Kavaler Putnam Trustees Superior Court March 15, 2004
(derivatively on behalf Putnam Management of Suffolk County,
of Putnam Income Putnam Income Fund MA; Stipulation
Fund) v. John A. Hill, (nominal) agreeing to
et al. Certain officers of the removal and
Putnam Funds and transfer to
Putnam Management United States
District Court for
the District of
Maryland executed
on April 23, 2004
- --------------------------------------------------------------------------------------------------
Todd Klein (derivatively Putnam Trustees United States Jan. 27, 2004
on behalf of Putnam Putnam Management District Court
Global Equity Fund) Putnam Global Equity for the District
v. John A. Hill, et al. Fund (nominal) of Maryland
Certain officers of the
Putnam Funds and
Putnam Management
- --------------------------------------------------------------------------------------------------
Steven Wiegand Putnam Trustees United States Jan. 27, 2004
(derivatively on behalf Putnam Management District Court
of Putnam Classic Putnam Classic Equity for the District
Equity Fund) Fund (nominal) of Maryland
v. John A. Hill et al. Certain officers of the
Putnam Funds and
Putnam Management
- --------------------------------------------------------------------------------------------------
4. The plaintiff named below alleges that defendants failed to prevent
the disclosure of confidential information concerning the identity of
securities, the practice of late trading by selected investors,
time-trading by selected investors and insider trading by directors,
officers and/or employees of the defendants. The plaintiff claims breach
of fiduciary duty.
Case Name Defendants Court Date Instituted
- ------------------------------------------------------------------------------------------
Stern (derivative on Putnam Funds Supreme Court Dec. 17, 2003
behalf of Marsh Putnam Management of the State of
& McLennan) Jeffrey Greenberg New York
v. Greenberg, Mathis Cabaillavetta
et. al, Marsh Directors 4
Lawrence Lasser
- ------------------------------------------------------------------------------------------
1 "Putnam Management" includes Putnam Investments Trust, Putnam
Investment Management, LLC, Putnam, LLC, and/or Marsh & McLennan
Companies, Inc.
2 The 13 Putnam Trustees include current Trustees Jameson Adkins Baxter,
Charles B. Curtis, John A. Hill, Ronald J. Jackson, Paul L. Joskow,
Elizabeth T. Kennan, John H. Mullin, III, Robert E. Patterson, George
Putnam, III, A.J.C. Smith and W. Thomas Stephens and former Trustees W.
Nicholas Thorndike and Lawrence J. Lasser.
3 "Putnam Funds" includes any and/or all registered investment companies
managed by Putnam Management.
4 The Directors of Marsh & McLennan Companies, Inc. are Charles Davis,
Lewis Bernard, Peter Coster, Robert Ebruru, Oscar Fanjul, Ray Groves,
Stephen Hardis, Gwendolyn King, Lord Lang of Monkton, David Olsen,
Morton Shapiro, Adele Simmons and A.J.C. Smith.
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PUTNAM INVESTMENTS
The Putnam Funds
One Post Office Square
Boston, Massachusetts 02109
Toll-free 1-800-225-1581 216581 8/04
PUTNAM INVESTMENTS
The proxy ballot
To vote by mail
Read the proxy statement.
Check the appropriate boxes on the reverse side.
Sign and date the proxy ballot.
Return the proxy ballot in the envelope provided.
To vote by telephone
Read the proxy statement and have the proxy ballot at hand.
Call 1-888-221-0697.
Follow the automated telephone directions.
There is no need for you to return your proxy ballot.
To vote on the Web
Read the proxy statement and have the proxy ballot at hand.
Go to https://www.proxyweb.com Putnam
Follow the instructions on the site.
There is no need for you to return your proxy ballot.
By signing below, you as a Putnam fund shareholder appoint Trustees John
A. Hill and Robert E. Patterson, and each of them separately, with power
of substitution to each, to be your proxies. You are empowering them to
vote your Putnam fund shares on your behalf at a meeting of the
shareholders of the Putnam funds. The meeting will take place on
November 11, 2004 at 11:00 a.m. in Boston, and may be adjourned to later
times or dates. Your vote is being solicited on behalf of the Trustees
Trustees. When you complete and sign the proxy ballot, the Trustees will
vote exactly as you have indicated on the other side of this card. If
you simply sign the proxy ballot, or don don't t vote on a specific
proposal, your shares will be automatically voted as the Trustees
recommend. The Trustees are also authorized to vote at their discretion
on any other matter that arises at the meeting or any adjournment of the
meeting.
Please be sure to sign and date here
Signature(s) Date
Sign your name exactly as it appears on this card. If you own shares
jointly, each owner should sign. When signing as executor, administrator,
attorney, trustee, guardian, or as custodian for a minor, please give your
full title as such. If you are signing for a corporation, please sign the
full corporate name and indicate the signer's office. If you are a partner,
sign in the partnership name.
Equity 1 - dh
Please place an X in the appropriate box(es) using black or blue ink or
number 2 pencil. Please do not use a fine point pen.
Proposals
1 Proposal to elect all nominees for Trustees.
The Trustees recommend voting FOR all proposals
FOR electing
all the
nominees
WITHHOLD
authority
to vote for
all nominees
To withhold authority to v vote for specific nominee(s), but to vote for
all other nominees, write the number(s) of the excluded nominee(s) on
the line to the left.
01 J.A. Baxter
02 C.B. Curtis
03 M.R. Drucker
04 C.E. Haldeman, Jr.
05 J.A. Hill
06 R.J. Jackson
07 P.L. Joskow
08 E.T. Kennan
09 J.H. Mullin, III
10 R.E. Patterson
11 G. Putnam, III
12 A.J.C. Smith
13 W.T. Stephens
14 R.B. Worley
Proposals to approve an amendment to certain funds' fundamental investment
restrictions with respect to
FOR AGAINST ABSTAIN
2A borrowing.
2B making loans.
2C diversification of investments.
2D issuance of senior securities.
..............................................................................
2E Proposal to approve an amendment to Putnam Equity Income Fund's investment
objective.
..............................................................................
3 Proposal to approve an amendment to your fund's agreement and
declaration of trust.
FOR AGAINST ABSTAIN
Refer to pages 6 and 7 in the proxy statement to determine which
proposals apply to your fund. If you have questions on the proposals,
please call 1-877-832-6360.
Please sign and date the other side of this card.
Equity 1 - dh
PUTNAM INVESTMENTS
[GRAPHIC OMITTED: ezVote Logo]
Consolidated Proxy Ballot
The top half of this form is your EzVote Consolidated Proxy. It reflects
all of your accounts registered to the same Social Security or Tax I.D.
number at this address. By voting and signing the Consolidated Proxy
Ballot, you are voting all of these accounts in the same manner as
indicated on the reverse side of the form.
PROXY FOR THE MEETING OF SHAREHOLDERS
TO BE HELD NOVEMBER 11, 2004
By signing below, you as a Putnam fund shareholder appoint Trustees John
A. Hill and Robert E. Patterson, and each of them separately, with power
of substitution to each, to be your proxies. You are empowering them to
vote your Putnam fund shares on your behalf at a meeting of the
shareholders of the Putnam funds. The meeting will take place on
November 11, 2004 at 11:00 a.m. in Boston, and may be adjourned to later
times or dates. Your vote is being solicited on behalf of the Trustees.
When you complete and sign the proxy ballot, the Trustees will vote
exactly as you have indicated on the other side of this card. If you
simply sign the proxy ballot, or don't vote on a specific proposal, your
shares will be automatically voted as the Trustees recommend. The
Trustees are also authorized to vote at their discretion on any other
matter that arises at the meeting or any adjournment of the meeting.
PLEASE BE SURE TO SIGN AND DATE HERE.
- -----------------------------------------------------------
Shareholder/Co-owner sign(s) here Date
Sign your name exactly as it appears on this card. If you own shares
jointly, each owner should sign. When signing as executor,
administrator, attorney, trustee, guardian, or as custodian for a minor,
please give your full title as such. If you are signing for a
corporation, please sign the full corporate name and indicate the
signer's office. If you are a partner, sign in the partnership name.
Equity 1 EZ - dh
DETACH CONSOLIDATED PROXY BALLOT AT PERFORATION BELOW
Your vote is important. For your convenience, you can vote your proxy in
any of these three ways:
1
TELEPHONE
Call us toll-free at
1-888-221-0697
* Follow the automated telephone direction.
* There is no need for you to return your
proxy ballot.
2
INTERNET
Go to
https://www.proxyweb.com/Putnam
* Follow the instructions on the site.
* There is no need for you to return your
proxy ballot
3
MAIL
Mail in the proxy card.
* Please sign and date your proxy ballot.
* Detach the ballot from this proxy form.
* Return the ballot in the postage-paid
envelope provided.
INDIVIDUAL PROXY BALLOTS
On the reverse side of this form (and on accompanying pages, if necessary)
you will find individual proxy ballots, one for each of your accounts. If
you would wish to vote each of these accounts separately, sign in the
signature box below, mark each individual ballot to indicate your vote,
detach the form at the perforation above and return the individual proxy
ballots portion only.
NOTE: If you elect to vote each account separately, do not return the
Consolidated Proxy Ballot above.
SIGN BELOW ONLY IF YOU ARE VOTING EACH ACCOUNT SEPARATELY.
- ------------------------------------------------------------
Shareholder/Co-owner sign(s) here Date
Sign your name exactly as it appears on this card. If you own shares
jointly, each owner should sign. When signing as executor,
administrator, attorney, trustee, guardian, or as custodian for a minor,
please give your full title as such. If you are signing for a
corporation, please sign the full corporate name and indicate the
signer's office. If you are a partner, sign in the partnership name.
Equity 1 IND - dh
[GRAPHIC OMITTED: ezVote Logo]
Consolidated Proxy Ballot
Please place an X in the appropriate box(es) using black or blue ink or
number 2 pencil. Please do not use a fine point pen.
The Trustees recommend voting FOR all proposals
Proposals
1 Proposal to elect all nominees for Trustees.
01 J.A. Baxter
02 C.B. Curtis
03 M.R. Drucker
04 C.E. Haldeman, Jr.
05 J.A. Hill
06 R.J. Jackson
07 P.L. Joskow
08 E.T. Kennan
09 J.H. Mullin, III
10 R.E. Patterson
11 G. Putnam, III
12 A.J.C. Smith
13 W.T. Stephens
14 R.B. Worley
FOR
electing
all the
nominees
0
WITHHOLD
authority
to vote for
all nominees
0
- ---------------------------------------------------------------------
To withhold authority to vote for specific nominee(s), but to vote for all
other nominees, write the number(s) of the excluded nominee(s) on the line
to the left.
Proposals to approve an amendment to certain funds' fundamental
investment restrictions with respect to
diversification of
investments.
3.B. Amend the / / / / / /
fund's fundamental
investment restriction
with respect to
investments in the
securities of a single
issuer.
3.C. Amend the / / / / / /
fund's fundamental
investment restriction
with respect to making
loans through purchases
of debt obligations,
repurchase agreements
and securities loans.
3.D. Eliminate the / / / / / /
fund's fundamental
investment restriction
with respect to
investments in securities
of issuers in which
management of the Trust or
Putnam Investment Management,
Inc. owns securities.
3.E. Eliminate the / / / / / /
fund's fundamental
investment restriction
with respect to margin
transactions.
3.F. Eliminate the / / / / / /
fund's fundamental
investment restriction
with respect to short
sales.
3.G. Amend the / / / / / /
fund's fundamental
investment restriction
with respect to invest-
ments in commodities
or commodity contracts.
3.H. Eliminate the / / / / / /
fund's fundamental
investment restriction
which limits the fund's
ability to pledge assets.
3.I. Eliminate the / / / / / /
fund's fundamental
investment restriction
with respect to investments
in restricted securities.
3.J. Eliminate the / / / / / /
fund's fundamental
investment restriction
with respect to investments
in certain
oil, gas and mineral
interests.
3.K. Eliminate the / / / / / /
fund's fundamental
investment restriction
with respect to invest-
ing to gain control of a
company's management.
PUTNAMINVESTMENTS
This is your PROXY CARD.
Please vote this proxy, sign it below, and return it promptly in
the envelope provided. Your vote is important.
HAS YOUR ADDRESS CHANGED?
Please use this form to notify us of any change in address or
telephone number or to provide us with your comments. Detach
this form from the proxy ballot and return it with your signed
proxy in the enclosed envelope.
Street
- -----------------------------------------------------------------
City State Zip
- -----------------------------------------------------------------
Telephone
- -----------------------------------------------------------------
DO YOU HAVE ANY COMMENTS?
- -----------------------------------------------------------------
- -----------------------------------------------------------------
- -----------------------------------------------------------------
DEAR SHAREHOLDER:
Your vote is important. Please help us to eliminate the expense
of follow-up mailings by signing and returning this proxy as soon
as possible. A postage-paid envelope is enclosed for your
convenience.
THANK YOU!
- -----------------------------------------------------------------
Please fold at perforation before detaching
Proxy for a meeting of shareholders, July 31, 1996, for Putnam
Asset Allocation Funds: Balanced Portfolio.
This proxy is solicited on behalf of the Trustees of the fund.
The undersigned shareholder hereby appoints George Putnam, Hans
H. Estin, and Robert E. Patterson, and each of them separately,
proxies, with power of substitution, and hereby authorizes them
to represent and to vote, as designated below, at the meeting of
shareholders of Putnam Asset Allocation Funds: Balanced Portfolio
on September 5, 1996, at 2:00 p.m., Boston time, and at any
adjournments thereof, all of the shares of the fund that the
undersigned shareholder would be entitled to vote if personally
present.
If you complete and sign the proxy, we'll vote it exactly as you
tell us. If you simply sign the proxy, it will be voted FOR
electing Trustees as set forth in Proposal 1 and FOR Proposals 2
and 3.A.-K. In their discretion, the Proxies will also be
authorized to vote upon such other matters that may come before
the meeting.
Note: If you have questions on any of the proposals, please call
1-800-225-1581.
PLEASE BE SURE TO SIGN AND DATE THIS PROXY.
Please sign your name exactly as it appears on this card. If you
are a joint owner, each of you should sign. When signing as
executor, administrator, attorney, trustee, or guardian, or as
custodian for a minor, please give your full title as such. If
you are signing for a corporation, please sign the full corporate
name and indicate the signer's office. If you are a partner,
sign in the partnership name.
- -----------------------------------------------------------------
Shareholder sign here Date
- -----------------------------------------------------------------
Co-owner sign here Date
THE TRUSTEES RECOMMEND A VOTE FOR ELECTING ALL OF THE NOMINEES
FOR TRUSTEES AND FOR THE PROPOSALS LISTED BELOW:
Please mark your choices / X / in blue or black ink.
1. Proposal to elect Trustees
The nominees for Trustees are: J.A. Baxter, H.H. Estin, J.A.
Hill, R.J. Jackson, E.T. Kennan, L.J. Lasser, R.E.
Patterson, D.S. Perkins, W.F. Pounds, G. Putnam, G. Putnam,
III, E. Shapiro, A.J.C. Smith, W.N. Thorndike.
/ / FOR electing all the nominees
(except as marked to the contrary below.)
/ / WITHHOLD authority to vote for all nominees
To withhold authority to vote for one or more of the nominees,
write those nominees' names below:
- -------------------------------------------------------------
PROPOSAL TO:
FOR AGAINST
ABSTAIN
2. Ratify the selection / / / / / /
of Price Waterhouse
LLP as auditors.
3.A. Amend the / / / / / /
fund's fundamental
investment restriction
with respect to
diversification of
investments.
3.B. Amend the / / / / / /
fund's fundamental
investment restriction
with respect to
investments in the
securities of a single
issuer.
3.C. Amend the / / / / / /
fund's fundamental
investment restriction
with respect to making
loans through purchases
of debt obligations,
repurchase agreements
and securities loans.
3.D. Eliminate the / / / / / /
fund's fundamental
investment restriction
with respect to
investments in securities
of issuers in which
management of the Trust or
Putnam Investment Management,
Inc. owns securities.
3.E. Eliminate the / / / / / /
fund's fundamental
investment restriction
with respect to margin
transactions.
3.F. Eliminate the / / / / / /
fund's fundamental
investment restriction
with respect to short
sales.
3.G. Amend the / / / / / /
fund's fundamental
investment restriction
with respect to invest-
ments in commodities
or commodity contracts.
3.H. Eliminate the / / / / / /
fund's fundamental
investment restriction
which limits the fund's
ability to pledge assets.
3.I. Eliminate the / / / / / /
fund's fundamental
investment restriction
with respect to investments
in restricted securities.
3.J. Eliminate the / / / / / /
fund's fundamental
investment restriction
with respect to investments
in certain
oil, gas and mineral
interests.
3.K. Eliminate the / / / / / /
fund's fundamental
investment restriction
with respect to invest-
ing to gain control of a
company's management.
PUTNAMINVESTMENTS
This is your PROXY CARD.
Please vote this proxy, sign it below, and return it promptly in
the envelope provided. Your vote is important.
HAS YOUR ADDRESS CHANGED?
Please use this form to notify us of any change in address or
telephone number or to provide us with your comments. Detach
this form from the proxy ballot and return it with your signed
proxy in the enclosed envelope.
Street
- -----------------------------------------------------------------
City State Zip
- -----------------------------------------------------------------
Telephone
- -----------------------------------------------------------------
DO YOU HAVE ANY COMMENTS?
- -----------------------------------------------------------------
- -----------------------------------------------------------------
- -----------------------------------------------------------------
DEAR SHAREHOLDER:
Your vote is important. Please help us to eliminate the expense
of follow-up mailings by signing and returning this proxy as soon
as possible. A postage-paid envelope is enclosed for your
convenience.
THANK YOU!
- -----------------------------------------------------------------
Please fold at perforation before detaching
Proxy for a meeting of shareholders, July 31, 1996, for Putnam
Asset Allocation Funds: Conservative Portfolio.
This proxy is solicited on behalf of the Trustees of the fund.
The undersigned shareholder hereby appoints George Putnam, Hans
H. Estin, and Robert E. Patterson, and each of them separately,
proxies, with power of substitution, and hereby authorizes them
to represent and to vote, as designated below, at the meeting of
shareholders of Putnam Asset Allocation Funds: Conservative
Portfolio on September 5, 1996, at 2:00 p.m., Boston time, and at
any adjournments thereof, all of the shares of the fund that the
undersigned shareholder would be entitled to vote if personally
present.
If you complete and sign the proxy, we'll vote it exactly as you
tell us. If you simply sign the proxy, it will be voted FOR
electing Trustees as set forth in Proposal 1 and FOR Proposals 2
and 3.A.-K. In their discretion, the Proxies will also be
authorized to vote upon such other matters that may come before
the meeting.
Note: If you have questions on any of the proposals, please call
1-800-225-1581.
PLEASE BE SURE TO SIGN AND DATE THIS PROXY.
Please sign your name exactly as it appears on this card. If you
are a joint owner, each of you should sign. When signing as
executor, administrator, attorney, trustee, or guardian, or as
custodian for a minor, please give your full title as such. If
you are signing for a corporation, please sign the full corporate
name and indicate the signer's office. If you are a partner,
sign in the partnership name.
- -----------------------------------------------------------------
Shareholder sign here Date
- -----------------------------------------------------------------
Co-owner sign here Date
THE TRUSTEES RECOMMEND A VOTE FOR ELECTING ALL OF THE NOMINEES
FOR TRUSTEES AND FOR THE PROPOSALS LISTED BELOW:
Please mark your choices / X / in blue or black ink.
1. Proposal to elect Trustees
The nominees for Trustees are: J.A. Baxter, H.H. Estin, J.A.
Hill, R.J. Jackson, E.T. Kennan, L.J. Lasser, R.E.
Patterson, D.S. Perkins, W.F. Pounds, G. Putnam, G. Putnam,
III, E. Shapiro, A.J.C. Smith, W.N. Thorndike.
/ / FOR electing all the nominees
(except as marked to the contrary below.)
/ / WITHHOLD authority to vote for all nominees
To withhold authority to vote for one or more of the nominees,
write those nominees' names below:
- -------------------------------------------------------------
PROPOSAL TO:
FOR AGAINST ABSTAIN
2. Ratify the selection / / / / / /
of Price Waterhouse
LLP as auditors.
3.A. Amend the / / / / / /
fund's fundamental
investment restriction
with respect to
diversification of
investments.
3.B. Amend the / / / / / /
fund's fundamental
investment restriction
with respect to
investments in the
securities of a single
issuer.
3.C. Amend the / / / / / /
fund's fundamental
investment restriction
with respect to making
loans through purchases
of debt obligations,
repurchase agreements
and securities loans.
3.D. Eliminate the / / / / / /
fund's fundamental
investment restriction
with respect to
investments in securities
of issuers in which
management of the Trust or
Putnam Investment Management,
Inc. owns securities.
3.E. Eliminate the / / / / / /
fund's fundamental
investment restriction
with respect to margin
transactions.
3.F. Eliminate the / / / / / /
fund's fundamental
investment restriction
with respect to short
sales.
3.G. Amend the / / / / / /
fund's fundamental
investment restriction
with respect to invest-
ments in commodities
or commodity contracts.
3.H. Eliminate the / / / / / /
fund's fundamental
investment restriction
which limits the fund's
ability to pledge assets.
3.I. Eliminate the / / / / / /
fund's fundamental
investment restriction
with respect to investments
in restricted securities.
3.J. Eliminate the / / / / / /
fund's fundamental
investment restriction
with respect to investments
in certain
oil, gas and mineral
interests.
3.K. Eliminate the / / / / / /
fund's fundamental
investment restriction
with respect to invest-
ing to gain control of a
company's management.
FOR AGAINST ABSTAIN
2A borrowing. 0 0 0
2B making loans. 0 0 0
2C diversification of investments. 0 0 0
2D issuance of senior securities. 0 0 0
2E Putnam Equity Income Fund investment objective. 0 0 0
3 Proposal to approve an amendment to certain funds'
agreements and declarations of trust. 0 0 0
Refer to pages 6 and 7 in the proxy statement to determine which
proposals apply to your fund. If you have questions on the proposals,
please call 1-877-832-6360.
Please sign and date the other side of this card.
Equity 1 EZ - dh
DETACH CONSOLIDATED PROXY BALLOT AT PERFORATION BELOW
INDIVIDUAL PROXY BALLOTS
NOTE: IF YOU HAVE USED THE CONSOLIDATED PROXY BALLOT ABOVE, DO NOT VOTE
THE INDIVIDUAL PROXY BALLOTS BELOW.
000 0000000000 000 0
999 999 999 999 99
PUTNAM ASSET ALLOCATION: BALANCED PORTFOLIO
FOR WITHHOLD
ALL ALL
1 Election of Trustees. (refer to nominees at top of page) 0 0
except#------------------------------
FOR AGAINST ABSTAIN
2 Investment restriction 0 0 0
A borrowing. 0 0 0
B making loans. 0 0 0
C diversification of investments. 0 0 0
D issuance of senior securities. 0 0 0
E Putnam Equity Income Fund investment objective. 0 0 0
000 0000000000 000 0
999 999 999 999 99
PUTNAM ASSET ALLOCATION: CONSERVATIVE PORTFOLIO
FOR WITHHOLD
ALL ALL
1 Election of Trustees. (refer to nominees at top of page) 0 0
except#------------------------------
FOR AGAINST ABSTAIN
2 Investment restriction 0 0 0
A borrowing. 0 0 0
B making loans. 0 0 0
C diversification of investments. 0 0 0
D issuance of senior securities. 0 0 0
E Putnam Equity Income Fund investment objective. 0 0 0
000 0000000000 000 0
999 999 999 999 99
PUTNAM ASSET ALLOCATION: GROWTH PORTFOLIO
FOR WITHHOLD
ALL ALL
1 Election of Trustees. (refer to nominees at top of page) 0 0
except#------------------------------
FOR AGAINST ABSTAIN
2 Investment restriction 0 0 0
A borrowing. 0 0 0
B making loans. 0 0 0
C diversification of investments. 0 0 0
D issuance of senior securities. 0 0 0
E Putnam Equity Income Fund investment objective. 0 0 0
000 0000000000 000 0
999 999 999 999 99
PUTNAM CAPTIAL APPRECIATION FUND
FOR WITHHOLD
ALL ALL
1 Election of Trustees. (refer to nominees at top of page) 0 0
except#------------------------------
FOR AGAINST ABSTAIN
2 Investment restriction 0 0 0
A borrowing. 0 0 0
B making loans. 0 0 0
C diversification of investments. 0 0 0
D issuance of senior securities. 0 0 0
E Putnam Equity Income Fund investment objective. 0 0 0
000 0000000000 000 0
999 999 999 999 99
PUTNAM CAPITAL OPPORTUNITIES FUND
FOR WITHHOLD
ALL ALL
1 Election of Trustees. (refer to nominees at top of page) 0 0
except#------------------------------
FOR AGAINST ABSTAIN
2 Investment restriction 0 0 0
A borrowing. 0 0 0
B making loans. 0 0 0
C diversification of investments. 0 0 0
D issuance of senior securities. 0 0 0
E Putnam Equity Income Fund investment objective. 0 0 0
000 0000000000 000 0
999 999 999 999 99
PUTNAM CLASSIC EQUITY FUND
FOR WITHHOLD
ALL ALL
1 Election of Trustees. (refer to nominees at top of page) 0 0
except#------------------------------
FOR AGAINST ABSTAIN
2 Investment restriction 0 0 0
A borrowing. 0 0 0
B making loans. 0 0 0
C diversification of investments. 0 0 0
D issuance of senior securities. 0 0 0
E Putnam Equity Income Fund investment objective. 0 0 0
000 0000000000 000 0
999 999 999 999 99
PUTNAM CONVERTIBLE INCOME-GROWTH TRUST
FOR WITHHOLD
ALL ALL
1 Election of Trustees. (refer to nominees at top of page) 0 0
except#------------------------------
FOR AGAINST ABSTAIN
2 Investment restriction 0 0 0
A borrowing. 0 0 0
B making loans. 0 0 0
C diversification of investments. 0 0 0
D issuance of senior securities. 0 0 0
E Putnam Equity Income Fund investment objective. 0 0 0
000 0000000000 000 0
999 999 999 999 99
PUTNAM DISCOVERY GROWTH FUND
FOR WITHHOLD
ALL ALL
1 Election of Trustees. (refer to nominees at top of page) 0 0
except#------------------------------
FOR AGAINST ABSTAIN
2 Investment restriction 0 0 0
A borrowing. 0 0 0
B making loans. 0 0 0
C diversification of investments. 0 0 0
D issuance of senior securities. 0 0 0
E Putnam Equity Income Fund investment objective. 0 0 0
000 0000000000 000 0
999 999 999 999 99
PUTNAM EQUITY INCOME FUND
FOR WITHHOLD
ALL ALL
1 Election of Trustees. (refer to nominees at top of page) 0 0
except#------------------------------
FOR AGAINST ABSTAIN
2 Investment restriction 0 0 0
A borrowing. 0 0 0
B making loans. 0 0 0
C diversification of investments. 0 0 0
D issuance of senior securities. 0 0 0
E Putnam Equity Income Fund investment objective. 0 0 0
000 0000000000 000 0
999 999 999 999 99
PUTNAM EUROPE EQUITY FUND
FOR WITHHOLD
ALL ALL
1 Election of Trustees. (refer to nominees at top of page) 0 0
except#------------------------------
FOR AGAINST ABSTAIN
2 Investment restriction 0 0 0
A borrowing. 0 0 0
B making loans. 0 0 0
C diversification of investments. 0 0 0
D issuance of senior securities. 0 0 0
E Putnam Equity Income Fund investment objective. 0 0 0
000 0000000000 000 0
999 999 999 999 99
PUTNAM GLOBAL EQUITY FUND
FOR WITHHOLD
ALL ALL
1 Election of Trustees. (refer to nominees at top of page) 0 0
except#------------------------------
FOR AGAINST ABSTAIN
2 Investment restriction 0 0 0
A borrowing. 0 0 0
B making loans. 0 0 0
C diversification of investments. 0 0 0
D issuance of senior securities. 0 0 0
E Putnam Equity Income Fund investment objective. 0 0 0
000 0000000000 000 0
999 999 999 999 99
PUTNAM GLOBAL NATURAL RESOURCES FUND
FOR WITHHOLD
ALL ALL
1 Election of Trustees. (refer to nominees at top of page) 0 0
except#------------------------------
FOR AGAINST ABSTAIN
2 Investment restriction 0 0 0
A borrowing. 0 0 0
B making loans. 0 0 0
C diversification of investments. 0 0 0
D issuance of senior securities. 0 0 0
E Putnam Equity Income Fund investment objective. 0 0 0
000 0000000000 000 0
999 999 999 999 99
PUTNAM GROWTH OPPORTUNITIES FUND
FOR WITHHOLD
ALL ALL
1 Election of Trustees. (refer to nominees at top of page) 0 0
except#------------------------------
FOR AGAINST ABSTAIN
2 Investment restriction 0 0 0
A borrowing. 0 0 0
B making loans. 0 0 0
C diversification of investments. 0 0 0
D issuance of senior securities. 0 0 0
E Putnam Equity Income Fund investment objective. 0 0 0
000 0000000000 000 0
999 999 999 999 99
PUTNAM HEALTH SCIENCES TRUST
FOR WITHHOLD
ALL ALL
1 Election of Trustees. (refer to nominees at top of page) 0 0
except#------------------------------
FOR AGAINST ABSTAIN
2 Investment restriction 0 0 0
A borrowing. 0 0 0
B making loans. 0 0 0
C diversification of investments. 0 0 0
D issuance of senior securities. 0 0 0
E Putnam Equity Income Fund investment objective. 0 0 0
000 0000000000 000 0
999 999 999 999 99
PUTNAM INTERNATIONAL CAPITAL OPPORTUNITIES FUND
FOR WITHHOLD
ALL ALL
1 Election of Trustees. (refer to nominees at top of page) 0 0
except#------------------------------
FOR AGAINST ABSTAIN
2 Investment restriction 0 0 0
A borrowing. 0 0 0
B making loans. 0 0 0
C diversification of investments. 0 0 0
D issuance of senior securities. 0 0 0
E Putnam Equity Income Fund investment objective. 0 0 0
000 0000000000 000 0
999 999 999 999 99
PUTNAM INTERNATIONAL EQUITY FUND
FOR WITHHOLD
ALL ALL
1 Election of Trustees. (refer to nominees at top of page) 0 0
except#------------------------------
FOR AGAINST ABSTAIN
2 Investment restriction 0 0 0
A borrowing. 0 0 0
B making loans. 0 0 0
C diversification of investments. 0 0 0
D issuance of senior securities. 0 0 0
E Putnam Equity Income Fund investment objective. 0 0 0
000 0000000000 000 0
999 999 999 999 99
PUTNAM INTERNATIONAL GROWTH & INCOME FUND
FOR WITHHOLD
ALL ALL
1 Election of Trustees. (refer to nominees at top of page) 0 0
except#------------------------------
FOR AGAINST ABSTAIN
2 Investment restriction 0 0 0
A borrowing. 0 0 0
B making loans. 0 0 0
C diversification of investments. 0 0 0
D issuance of senior securities. 0 0 0
E Putnam Equity Income Fund investment objective. 0 0 0
000 0000000000 000 0
999 999 999 999 99
PUTNAM INTERNATIONAL NEW OPPORTUNITIES FUND
FOR WITHHOLD
ALL ALL
1 Election of Trustees. (refer to nominees at top of page) 0 0
except#------------------------------
FOR AGAINST ABSTAIN
2 Investment restriction 0 0 0
A borrowing. 0 0 0
B making loans. 0 0 0
C diversification of investments. 0 0 0
D issuance of senior securities. 0 0 0
E Putnam Equity Income Fund investment objective. 0 0 0
000 0000000000 000 0
999 999 999 999 99
PUTNAM INVESTORS FUND
FOR WITHHOLD
ALL ALL
1 Election of Trustees. (refer to nominees at top of page) 0 0
except#------------------------------
FOR AGAINST ABSTAIN
2 Investment restriction 0 0 0
A borrowing. 0 0 0
B making loans. 0 0 0
C diversification of investments. 0 0 0
D issuance of senior securities. 0 0 0
E Putnam Equity Income Fund investment objective. 0 0 0
000 0000000000 000 0
999 999 999 999 99
PUTNAM MID CAP VALUE FUND
FOR WITHHOLD
ALL ALL
1 Election of Trustees. (refer to nominees at top of page) 0 0
except#------------------------------
FOR AGAINST ABSTAIN
2 Investment restriction 0 0 0
A borrowing. 0 0 0
B making loans. 0 0 0
C diversification of investments. 0 0 0
D issuance of senior securities. 0 0 0
E Putnam Equity Income Fund investment objective. 0 0 0
000 0000000000 000 0
999 999 999 999 99
PUTNAM NEW OPPORTUNITIES FUND
FOR WITHHOLD
ALL ALL
1 Election of Trustees. (refer to nominees at top of page) 0 0
except#------------------------------
FOR AGAINST ABSTAIN
2 Investment restriction 0 0 0
A borrowing. 0 0 0
B making loans. 0 0 0
C diversification of investments. 0 0 0
D issuance of senior securities. 0 0 0
E Putnam Equity Income Fund investment objective. 0 0 0
000 0000000000 000 0
999 999 999 999 99
PUTNAM NEW VALUE FUND
FOR WITHHOLD
ALL ALL
1 Election of Trustees. (refer to nominees at top of page) 0 0
except#------------------------------
FOR AGAINST ABSTAIN
2 Investment restriction 0 0 0
A borrowing. 0 0 0
B making loans. 0 0 0
C diversification of investments. 0 0 0
D issuance of senior securities. 0 0 0
E Putnam Equity Income Fund investment objective. 0 0 0
000 0000000000 000 0
999 999 999 999 99
PUTNAM OTC & EMERGING GROWTH FUND
FOR WITHHOLD
ALL ALL
1 Election of Trustees. (refer to nominees at top of page) 0 0
except#------------------------------
FOR AGAINST ABSTAIN
2 Investment restriction 0 0 0
A borrowing. 0 0 0
B making loans. 0 0 0
C diversification of investments. 0 0 0
D issuance of senior securities. 0 0 0
E Putnam Equity Income Fund investment objective. 0 0 0
000 0000000000 000 0
999 999 999 999 99
PUTNAM RESEARCH FUND
FOR WITHHOLD
ALL ALL
1 Election of Trustees. (refer to nominees at top of page) 0 0
except#------------------------------
FOR AGAINST ABSTAIN
2 Investment restriction 0 0 0
A borrowing. 0 0 0
B making loans. 0 0 0
C diversification of investments. 0 0 0
D issuance of senior securities. 0 0 0
E Putnam Equity Income Fund investment objective. 0 0 0
000 0000000000 000 0
999 999 999 999 99
PUTNAM SMALL CAP GROWTH FUND
FOR WITHHOLD
ALL ALL
1 Election of Trustees. (refer to nominees at top of page) 0 0
except#------------------------------
FOR AGAINST ABSTAIN
2 Investment restriction 0 0 0
A borrowing. 0 0 0
B making loans. 0 0 0
C diversification of investments. 0 0 0
D issuance of senior securities. 0 0 0
E Putnam Equity Income Fund investment objective. 0 0 0
000 0000000000 000 0
999 999 999 999 99
PUTNAM SMALL CAP VALUE FUND
FOR WITHHOLD
ALL ALL
1 Election of Trustees. (refer to nominees at top of page) 0 0
except#------------------------------
FOR AGAINST ABSTAIN
2 Investment restriction 0 0 0
A borrowing. 0 0 0
B making loans. 0 0 0
C diversification of investments. 0 0 0
D issuance of senior securities. 0 0 0
E Putnam Equity Income Fund investment objective. 0 0 0
000 0000000000 000 0
999 999 999 999 99
PUTNAM TAX SMART EQUITY FUND
FOR WITHHOLD
ALL ALL
1 Election of Trustees. (refer to nominees at top of page) 0 0
except#------------------------------
FOR AGAINST ABSTAIN
2 Investment restriction 0 0 0
A borrowing. 0 0 0
B making loans. 0 0 0
C diversification of investments. 0 0 0
D issuance of senior securities. 0 0 0
E Putnam Equity Income Fund investment objective. 0 0 0
000 0000000000 000 0
999 999 999 999 99
PUTNAM UTILITIES GROWTH AND INCOME FUND
FOR WITHHOLD
ALL ALL
1 Election of Trustees. (refer to nominees at top of page) 0 0
except#------------------------------
FOR AGAINST ABSTAIN
2 Investment restriction 0 0 0
A borrowing. 0 0 0
B making loans. 0 0 0
C diversification of investments. 0 0 0
D issuance of senior securities. 0 0 0
E Putnam Equity Income Fund investment objective. 0 0 0
000 0000000000 000 0
999 999 999 999 99
PUTNAM VISTA FUND
FOR WITHHOLD
ALL ALL
1 Election of Trustees. (refer to nominees at top of page) 0 0
except#------------------------------
FOR AGAINST ABSTAIN
2 Investment restriction 0 0 0
A borrowing. 0 0 0
B making loans. 0 0 0
C diversification of investments. 0 0 0
D issuance of senior securities. 0 0 0
E Putnam Equity Income Fund investment objective. 0 0 0
000 0000000000 000 0
999 999 999 999 99
PUTNAM VOYAGER FUND
FOR WITHHOLD
ALL ALL
1 Election of Trustees. (refer to nominees at top of page) 0 0
except#------------------------------
FOR AGAINST ABSTAIN
2 Investment restriction 0 0 0
A borrowing. 0 0 0
B making loans. 0 0 0
C diversification of investments. 0 0 0
D issuance of senior securities. 0 0 0
E Putnam Equity Income Fund investment objective. 0 0 0
000 0000000000 000 0
999 999 999 999 99
THE GEORGE PUTNAM FUND OF BOSTON
FOR WITHHOLD
ALL ALL
1 Election of Trustees. (refer to nominees at top of page) 0 0
except#------------------------------
FOR AGAINST ABSTAIN
2 Investment restriction 0 0 0
A borrowing. 0 0 0
B making loans. 0 0 0
C diversification of investments. 0 0 0
D issuance of senior securities. 0 0 0
E Putnam Equity Income Fund investment objective. 0 0 0
000 0000000000 000 0
999 999 999 999 99
THE PUTNAM FUND FOR GROWTH AND INCOME
FOR WITHHOLD
ALL ALL
1 Election of Trustees. (refer to nominees at top of page) 0 0
except#------------------------------
FOR AGAINST ABSTAIN
2 Investment restriction 0 0 0
A borrowing. 0 0 0
B making loans. 0 0 0
C diversification of investments. 0 0 0
D issuance of senior securities. 0 0 0
E Putnam Equity Income Fund investment objective. 0 0 0
Internet Voting Instruction Card
[Name of Fund]
THE TRUSTEES RECOMMEND VOTING FOR ALL PROPOSALS.
Proposal 1 Proposal to elect all nominees for Trustees.
_ FOR all nominees _ WITHHOLD AUTHORITY to vote for all nominees
_ FOR all nominees (Except as indicated)
(01) _ J.A. Baxter (08) _ E.T. Kennan
(02) _ C.B. Curtis (09) _ J.H. Mullin, III
(03) _ M.R. Drucker (10) _ R.E. Patterson
(04) _ C.E. Haldeman, Jr. (11) _ G. Putnam, III
(05) _ J.A. Hill (12) _ A.J.C. Smith
(06) _ R.J. Jackson (13) _ W.T. Stephens
(07) _ P.L. Joskow (14) _ R.B. Worley
- ------------------------------------------------------------------
Proposal 2 Proposals to approve an amendment to certain funds'
fundamental investment restrictions with respect to
- ------------------------------------------------------------------
Proposal 2A borrowing. _ FOR _ AGAINST _ ABSTAIN
- ------------------------------------------------------------------
Proposal 2B making loans. _ FOR _ AGAINST _ ABSTAIN
- ------------------------------------------------------------------
Proposal 2C diversification
of investments. _ FOR _ AGAINST _ ABSTAIN
- ------------------------------------------------------------------
Proposal 2D issuance of senior
securities. _ FOR _ AGAINST _ ABSTAIN
- ------------------------------------------------------------------
Proposal 2E options, puts, calls,
straddles and spread. _ FOR _ AGAINST _ ABSTAIN
- ------------------------------------------------------------------
Proposal 2F commodities. _ FOR _ AGAINST _ ABSTAIN
- ------------------------------------------------------------------
Proposal 2G Proposal to amend a fund's
investment objective _ FOR _ AGAINST _ ABSTAIN
- ------------------------------------------------------------------
Proposal 3 Proposal to approve an
amendment to your fund's
agreement and declaration
of trust. _ FOR _ AGAINST _ ABSTAIN
- ------------------------------------------------------------------
By submitting your voting instructions on this site, you as a Putnam
fund shareholder appoint Trustees John A. Hill and Robert E. Patterson,
and each of them separately, with power of substitution to each, to be
your proxies. You are empowering them to vote your Putnam fund shares on
your behalf at a meeting of the shareholders of the Putnam funds. The
meeting will take place on November 11, 2004 at 11:00 a.m. in Boston,
and may be adjourned to later times or dates. Your vote is being
solicited on behalf of the Trustees. If you submit your voting
instruction on this site, the Trustees will vote exactly as you have
indicated. If you submit your voting instruction on this site but don't
vote on a specific proposal, your shares will be automatically voted as
the Trustees recommend. The Trustees are also authorized to vote at
their discretion on any other matter that arises at the meeting or any
adjournment of the meeting.
- ------------------------------------------------------------------
To receive an optional email confirmation, enter your email address
here:
Please review your selections carefully before voting.
If you vote more than once on the same Proxy, only your last (most
recent) vote will be considered valid.
Press this button to <> your voting instructions.
Please review your selections carefully before submitting your voting
instructions.
If you have questions about any of the proposals, please call
1-877-832-6360.
If you submit your voting instructions more than once for the same
proposal, only your most recently received voting instructions will be
considered valid. For this purpose, the voting instructions with the
most recent date will be considered the most recently received. The
proxy tabulator, in its sole discretion, will resolve any discrepancies
in voting instructions.
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