SCHEDULE 14A INFORMATION

PROXY STATEMENT PURSUANT TO SECTION 14(a)
OF THE SECURITIES EXCHANGE ACT OF 1934

Filed by the Registrant / X /

Filed by a party other than the Registrant / /

Check the appropriate box:

/ / Preliminary Proxy Statement

/ / Confidential, for Use of the Commission Only (as permitted by
Rule 14a-6(e) (2))

/ X / Definitive Proxy Statement

/ / Definitive Additional Materials

/ / Soliciting Material Pursuant to Sec. 240.14a-11(c) or Sec. 240.14a-12

Putnam California Investment Grade Municipal Trust
Putnam High Yield Municipal Trust
Putnam Investment Grade Municipal Trust
Putnam Managed Municipal Income Trust
Putnam Municipal Bond Fund
Putnam Municipal Opportunities Trust
Putnam New York Investment Grade Municipal Trust

(Name of Registrant as Specified In Its Charter)

(Name of Person(s) Filing Proxy Statement,
if other than Registrant)

Payment of Filing Fee (Check the appropriate box):

/ X / No fee required

/ / Fee computed on table below per Exchange Act Rule 14a 6(i)(1) and 0-11

(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 (set forth the
amount on which the filing fee is calculated and state how it
was determined):

(4) Proposed maximum aggregate value of transaction:

(5) Total fee paid:

/ / Fee paid previously with preliminary materials.

/ / Check box if any part of the fee is offset as provided by Exchange 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 of

PUTNAM CALIFORNIA INVESTMENT GRADE MUNICIPAL TRUST
PUTNAM HIGH YIELD MUNICIPAL TRUST
PUTNAM INVESTMENT GRADE MUNICIPAL TRUST
PUTNAM MANAGED MUNICIPAL INCOME TRUST
PUTNAM MUNICIPAL BOND FUND
PUTNAM MUNICIPAL OPPORTUNITIES TRUST AND
PUTNAM NEW YORK INVESTMENT GRADE MUNICIPAL TRUST

The document you hold in your hands contains your proxy statement and
proxy card. Your proxy tells us how to vote on your behalf on important
issues relating to your fund. If you complete and sign the proxy, we'll
vote it exactly as you tell us. If you simply sign the proxy, we'll vote
it in accordance with the Trustees' recommendations on page 4.

We urge you to carefully review the proxy statement, and provide your
voting instructions by using any of the methods shown on your proxy
card. When shareholders don't return their proxies in sufficient
numbers, we have to make follow up solicitations, which can cost your
fund money.

We want to know how you would like to vote and welcome your comments.
Please take a few minutes with these materials and return your proxy to
us.

PUTNAM INVESTMENTS

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Table of contents

A Message from the Chairman 1

Notice of Shareholder Meeting 2

Trustees' Recommendations 4

PROXY CARD ENCLOSED

If you have any questions, please contact us
at 1-800-225-1581 or call your financial advisor.

[GRAPHIC OMITTED: PHOTO OF JOHN A. HILL]

A Message from the Chairman

Dear Fellow Shareholder:

I am writing to you to ask for your vote on important matters that
affect your investment in your fund. While you are, of course, welcome
to join us at your fund's meeting, most shareholders cast their vote by
either filling out and signing the enclosed proxy card or by voting via
the Internet. We are asking for your vote on the following matter:
fixing the number of Trustees at thirteen and electing your fund's
Trustees.

Although we would like very much to have each shareholder attend this
meeting, we realize that it may not be possible. Whether or not you plan
to be present, we need your vote. We urge you to record your voting
instructions via the Internet or by completing, signing, and returning
the enclosed proxy card promptly. A postage-paid envelope is enclosed
for mailing, and Internet voting instructions are listed at the top of
your proxy card.

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 do
not vote their proxies, their fund 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 I
am sure you will give this important matter. If you have questions about
the proposal, please call a Putnam customer service representative at
1-800-225-1581 or contact your financial advisor.

Sincerely yours,

/S/ John A. Hill
John A. Hill, Chairman

Notice of Annual Meeting of Shareholders

* This is the formal agenda for your fund's shareholder meeting. It
tells you what matters will be voted on and the time and place of the
meeting, in the event you attend in person.

To the Shareholders of Putnam California Investment Grade Municipal
Trust, Putnam High Yield Municipal Trust, Putnam Investment Grade
Municipal Trust, Putnam Managed Municipal Income Trust, Putnam Municipal
Bond Fund, Putnam Municipal Opportunities Trust and Putnam New York
Investment Grade Municipal Trust:

The Annual Meeting of Shareholders of your fund will be held on October
7, 2003 at 11:00 a.m., Boston time, at the principal offices of the fund
on the eighth floor of One Post Office Square, Boston, Massachusetts, to
consider the following:

1. Fixing the number of Trustees and electing Trustees.

By the Trustees

John A. Hill, Chairman
George Putnam, III, President

Jameson A. Baxter
Charles B. Curtis
Ronald J. Jackson
Paul L. Joskow
Elizabeth T. Kennan
Lawrence J. Lasser
John H. Mullin, III
Robert E. Patterson
A.J.C. Smith
W. Thomas Stephens
W. Nicholas Thorndike

We urge you to mark, sign, date, and mail the enclosed proxy in the
postage-paid envelope provided or record your voting instructions via
the Internet so that you will be represented at the meeting.

August 4, 2003

Proxy statement

This document will give you the information you need to vote on the
proposal. Much of the information 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
toll-free number, 1-800-225-1581, or call your financial advisor.

* Who is asking for your vote?

The enclosed proxy is solicited by the Trustees of Putnam California
Investment Grade Municipal Trust, Putnam High Yield Municipal Trust,
Putnam Investment Grade Municipal Trust, Putnam Managed Municipal Income
Trust, Putnam Municipal Bond Fund, Putnam Municipal Opportunities Trust
and Putnam New York Investment Grade Municipal Trust for use at the
Annual Meeting of Shareholders of each fund to be held on October 7,
2003, and, if your fund's meeting is adjourned, at any later meetings,
for the purposes stated in the Notice of Meeting (see previous page).
The Notice of Annual Meeting, the proxy and the Proxy Statement are
being mailed on or about August 8, 2003.

* How do your fund's Trustees recommend that shareholders vote on this
proposal?

The Trustees recommend that you vote

For fixing the number of Trustees at thirteen as proposed and the
election of all nominees.

* Who is eligible to vote?

Shareholders of record at the close of business on July 11, 2003 are
entitled to be present and to vote at the meeting or any adjourned meeting.

Each share is entitled to one vote. Unless otherwise noted, the holders
of your fund's preferred shares and holders of your fund's common shares
will vote together as a single class. Shares represented by your duly
executed proxy will be voted in accordance with 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 your fund's meeting, your shares will be voted at the
Trustees' discretion.

Shareholders of each fund vote separately with respect to each proposal.
The outcome of a vote affecting one fund does not affect any other fund.

The Proposal

I. Election of Trustees

* Who are the nominees for Trustees?

The Board Policy and Nominating Committee of the Trustees of your fund
makes recommendations concerning the Trustees of that fund. The Board
Policy and Nominating Committee consists solely of Trustees who are not
"interested persons" (as defined in the Investment Company Act of 1940)
of your fund or of Putnam Investment Management, LLC, your fund's
investment manager ("Putnam Management").

The Board Policy and Nominating Committee of the Trustees of each fund
recommends that the number of Trustees be fixed at thirteen and that you
vote for the election of the nominees described below. Each nominee is
currently a Trustee of your fund and of the other Putnam funds.

Pursuant to the bylaws of your fund and the Investment Company Act of
1940, holders of the preferred shares of your fund, voting as a class,
are entitled to elect two nominees for Trustees. The holders of the
preferred shares and the common shares of your fund, voting together as
a single class, are entitled to vote for the remaining 11 of the 13
nominees. Therefore, Messrs. Hill and Patterson have been nominated as
Trustees to be elected by the holders of the preferred shares, while the
other 11 Trustees have been nominated to be elected by the holders of
the preferred shares and common shares voting together as a single
class.

The nominees for Trustees and their backgrounds are shown in the table
below. The table discloses each nominee's name, date of birth, principal
occupation(s) during the past 5 years, and other information about the
nominee's professional background, including other directorships the
nominee holds. Each nominee currently serves as a Trustee. Each Trustee
oversees all of the Putnam funds and serves for an indefinite term until
his or her resignation, death or removal. The address of all of the
Trustees is One Post Office Square, Boston, Massachusetts 02109. At
December 31, 2002, there were 101 Putnam funds.

Jameson A. Baxter (9/6/43),
Trustee since 1994

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Ms. Baxter is the President of Baxter Associates, Inc., a private
investment firm that she founded in 1986.

Ms. Baxter also serves as a Director of ASHTA Chemicals, Inc., Banta
Corporation (a printing and digital imaging firm), Ryerson Tull, Inc.
(steel service corporation), Advocate Health Care and the National
Center for Nonprofit Boards. She is Chairman Emeritus of the Board of
Trustees, Mount Holyoke College, having served as Chairman for five
years and as a board member for thirteen years. Until 2002, Ms. Baxter
was a Director of Intermatic Corporation (manufacturer of energy control
products).

Charles B. Curtis (4/27/40),
Trustee since 2001

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Mr. Curtis is President and Chief Operating Officer, Nuclear Threat
Initiative (a private foundation dealing with national security issues).
Mr. Curtis also serves as Senior Advisor to the United Nations Foundation.

Mr. Curtis is a Member of the Council on Foreign Relations, and the
Trustee 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. (fossil energy research and development support).

John A. Hill (1/31/42),
Trustee since 1985 and Chairman since 2000

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Mr. Hill is Vice-Chairman and Managing Director, First Reserve
Corporation (a registered investment adviser investing in companies in
the world-wide energy industry on behalf of institutional investors).

Mr. Hill is also a Director of Devon Energy Corporation (formerly known
as Snyder Oil Corporation), TransMontaigne Oil Company, Continuum Health
Partners of New York, Sarah Lawrence College and various private
companies controlled by First Reserve Corporation. He is also a Trustee
of TH Lee, Putnam Investment Trust (closed-end investment company).

Ronald J. Jackson (12/17/43),
Trustee since 1996

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Mr. Jackson is 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 (public television and radio), as well as a Member of
the Board of Overseers of the Peabody Essex Museum.

Paul L. Joskow (6/30/47),
Trustee since 1997

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Dr. Joskow is Elizabeth and James Killian Professor of Economics and
Management and Director of the Center for Energy and Environmental
Policy Research, Massachusetts Institute of Technology.

Dr. Joskow also serves as a Director of National Grid Transco (UK based
holding company with interests in electric and gas transmission and
distribution and telecommunications infrastructure) and the Whitehead
Institute for Biomedical Research (a non-profit research institution).
He has been President of the Yale University Council since 1993. Prior
to February 2002, March 2000 and September 1998, Dr. Joskow was a
Director of State Farm Indemnity Company (an automobile insurance
company), a Director of New England Electric System (a public utility
holding company), and a consultant to National Economic Research
Associates, respectively.

Elizabeth T. Kennan (2/25/38),
Trustee since 1992

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Dr. Kennan is Chairman, Cambus-Kenneth Bloodstock (a limited liability
company involved in thoroughbred horse breeding and farming) and
President Emeritus of Mount Holyoke College.

Dr. Kennan also serves as a Trustee of Northeast Utilities and Centre
College. She is also a Director of Talbots (a distributor of women's
apparel). Prior to 2001, Dr. Kennan was a Member of the Oversight
Committee of the Folger Shakespeare Library. Prior to September 2000,
June 2000, and November 1999, Dr. Kennan was a Director of Chastain Real
Estate, Bell Atlantic and Kentucky Home Life Insurance, respectively.

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 is also a Director of Alex. Brown Realty, Inc., The Liberty
Corporation (a company engaged in the broadcasting industry), Progress
Energy, Inc. (a utility company, formerly known as Carolina Power &
Light) and Sonoco Products, Inc. (a packaging company). Mr. Mullin is a
Trustee Emeritus of Washington & Lee University where he served as
Chairman of the Investment Committee. Prior to May 2001, he was a
Director of Graphic Packaging International Corp.

Robert E. Patterson (3/15/45),
Trustee since 1984

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Mr. Patterson is Senior Partner of Cabot Properties, L.P. and Chairman
of Cabot Properties, Inc.

Mr. Patterson is also Chairman of the Joslin Diabetes Center, a Trustee
of SEA Education Association and a Director of Brandywine Trust Company.
Prior to December 2001, he served as President and Trustee of Cabot
Industrial Trust (a publicly traded real estate investment trust).

W. Thomas Stephens (9/2/42),
Trustee since 1997

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Mr. Stephens is a Corporate Director.

Mr. Stephens is a Director of Qwest Communications, Xcel Energy
Incorporated (a public utility company), TransCanada Pipelines, and
Norske Canada, Inc. (a paper manufacturer). Until 2003, Mr. Stephens was
a Director of Mail-Well (a printing and envelope company). Prior to July
2001 and October 1999, Mr. Stephens was Chairman of Mail-Well and CEO of
MacMillan-Bloedel (a forest products company).

W. Nicholas Thorndike (3/28/33),
Trustee since 1992

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Mr. Thorndike is a Director of various corporations and charitable
organizations, including Courier Corporation (a book manufacturer and
publisher), and The Providence Journal Co. (a newspaper publisher).

Mr. Thorndike is also a Trustee of Northeastern University and an
Honorary Trustee of Massachusetts General Hospital, where he previously
served as Chairman and President. Prior to September 2000, April 2000,
and December 2001, Mr. Thorndike was a Director of Bradley Real Estate,
Inc., a Trustee of Eastern Utilities Associates, and a Trustee of Cabot
Industrial Trust, respectively.

* Interested Trustees

Lawrence J. Lasser* (11/1/42),
Trustee since 1992 and Vice President since 1981

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Mr. Lasser is the President and Chief Executive Officer of Putnam
Investments and Putnam Management. He has been President and Chief
Executive Officer since 1985, having begun his career there in 1969.

Mr. Lasser is also a Director of Marsh & McLennan Companies, Inc. and
the United Way of Massachusetts Bay. He also serves as a Member of the
Board of Governors of the Investment Company Institute, as a Trustee of
the Museum of Fine Arts, Boston, and as a Trustee and Member of the
Finance and Executive Committees of Beth Israel Deaconess Medical
Center, Boston. He is a Member of the CareGroup Board of Managers
Investment Committee, the Council on Foreign Relations and the
Commercial Club of Boston.

George Putnam III* (8/10/51),
Trustee since 1984 and President since 2000

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Mr. Putnam is the President of New Generation Research, Inc. (a
publisher of financial advisory and other research services relating to
bankrupt and distressed companies), and of New Generation Advisers, Inc.
(a registered investment adviser that provides advice to private funds
specializing in investments in such companies). He founded New
Generation in 1985.

Mr. Putnam is also a Director of The Boston Family Office, L.L.C. (a
registered investment advisor), and a Trustee of St. Mark's School and
Shore Country Day School. Until 2002, Mr. Putnam was a Trustee of the
SEA Education Association.

A.J.C. Smith* (4/13/34),
Trustee since 1986

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Mr. Smith is a Director of Marsh & McLennan Companies, Inc.

Mr. Smith is also Director of Trident Corp. (a limited partnership with
over thirty institutional investors), and 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 and
a Member of the Board of Overseers of the Joan and Sanford I. Weill
Graduate School of Medical Sciences of Cornell University. Prior to May
2000 and November 1999, Mr. Smith was Chairman and CEO, respectively, of
Marsh & McLennan.
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* Nominees who are or may be deemed to be "interested persons" (as
defined in the Investment Company Act of 1940) of the fund, Putnam
Management, Putnam Retail Management, or Marsh & McLennan Companies,
Inc., the parent company of Putnam, LLC and its affiliated companies.
Messrs. Putnam, Lasser and Smith are deemed "interested persons" by
virtue of their positions as officers or shareholders of the fund or
Putnam Management, Putnam Retail Management, or Marsh & McLennan
Companies, Inc. George Putnam, III is the President of your Fund and
each of the other Putnam funds. Lawrence J. Lasser is the President and
Chief Executive Officer of Putnam Investments and Putnam Management.
Each of Mr. Lasser and Mr. Smith serves as Director of Marsh & McLennan
Companies, Inc. The balance of the nominees are not "interested
persons."

All the nominees were elected by the shareholders of each fund on October 3,
2002. The 11 nominees for election as Trustees by the holders of common and
preferred shares, voting as a single class, at the shareholder meeting of
your fund who receive the greatest number of votes from the preferred and
common shareholders will be elected as Trustees of your fund. In addition,
the 2 nominees for election as Trustees by the preferred shareholders,
voting as a single class, at the shareholder meeting of your fund who
receive the greatest number of votes from the preferred shareholders will be
elected as Trustees of your fund. The 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 fix the number of
Trustees to be elected by the holders of common and preferred shares, voting
as a single class, at less than 11 for your fund.

* What are the Trustees' responsibilities?

Your fund's Trustees are responsible for the general oversight of your
fund's affairs and for ensuring that your fund is managed in the best
interests of its shareholders. The Trustees regularly 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, custody, and shareholder servicing. At least
annually, the Trustees review and evaluate the fees and operating expenses
paid by your fund for these services and 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 auditors,
counsel and other experts as appropriate, selected by and responsible to the
Trustees.

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
chairman of each committee are appointed 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 Trustees who are not "interested persons" of the fund or
Putnam Management. Each member of the Audit and Pricing Committee is
"independent" as defined in Sections 303.01(B)(2)(a) and (3) of the listing
standards of the New York Stock Exchange and for Putnam California
Investment Grade Municipal Trust and Putnam New York Investment Grade
Trust, as defined in Section 121(A) of the listing standards of the
American Stock Exchange. 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 Dr. Joskow (Chairperson), Messrs. Patterson, Thorndike and
Stephens.

Board Policy and Nominating Committee. The Board Policy and Nominating
Committee reviews 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 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 makes recommendations to the Board as
appropriate. The Committee consists only of Trustees who are not "interested
persons" of your fund or Putnam Management. 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 fund's shareholders. The Board Policy and Nominating Committee
currently consists of Dr. Kennan (Chairperson), Ms. Baxter and Messrs. Hill,
Mullin, Patterson and Thorndike. The Board Policy and Nominating 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 the
Next Annual Meeting," and provided the shareholders' recommendations
otherwise comply with applicable securities laws, including Rule 14a-8 under
the Securities Exchange Act of 1934.

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, Mullin, Thorndike,
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, Stephens, Thorndike 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 to provide services to the funds,
(ii) the expenditure of the funds' assets for distribution purposes
pursuant to the Distribution Plans of the 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 such 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. Its
oversight of the closed-end funds includes (i) investment performance,
(ii) trading activity, (iii) determinations with respect to sunroof
provisions, (iv) disclosure practices, and (v) the use of leverage. The
Committee consists only of Trustees who are not "interested persons" of
your fund or Putnam Management. The Committee currently consists of Ms.
Baxter (Chairperson) and Messrs. Curtis, Jackson, 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
Investments to review distribution levels and the funds' distribution
policies. The Committee currently consists of Messrs. Patterson
(Chairperson), Jackson, Thorndike 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 Investments on behalf of the
shareholders of the Putnam funds. The Committee currently consists of
Messrs. Hill (Chairman), Jackson, Dr. Joskow, Putnam, Thorndike 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. Investment Oversight Committee A
currently consists of Messrs. Curtis (Chairperson), Hill, and Lasser and
Dr. Kennan. Investment Oversight Committee B currently consists of Dr.
Joskow (Chairperson), Ms. Baxter and Mr. Putnam. Investment Committee C
currently consists of Messrs. Mullin (Chairperson), Jackson and Smith.
Investment Oversight Committee D currently consists of Messrs. Patterson
(Chairperson), Stephens and Thorndike.

The Investment Company Act of 1940 requires that your fund have a minimum
proportion of trustees who are not affiliated in any way with your fund's
investment manager, principal underwriter from time to time or any
broker-dealer. 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. The Trustees of your fund believe
that independent trustees should represent at least two-thirds of the
members of the board. Your fund's independent trustees meet regularly as a
group in executive session.

* How large a stake do the Trustees have in the Putnam family of funds?

The Trustees believe each Trustee should have a significant investment
in the Putnam funds. The Trustees allocate their investments among the
Putnam funds based on their own investment needs. The table below shows
the number of shares beneficially owned by each Trustee and the value of
each Trustee's holdings in each fund and in all of the Putnam funds as
of April 30, 2003.

Putnam California Investment Grade Municipal Trust

Number Dollar Range Aggregate Dollar
of Putnam of Putnam Range of Shares
California California Held in all of the
Investment Grade Investment Grade Putnam Funds
Municipal Trust Municipal Trust Overseen by
Name of Trustee Shares Owned Shares Owned Trustee (101)
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Jameson A. Baxter 126 $1-$10,000 over $100,000
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Charles B. Curtis 110 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
John A. Hill 100 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
Ronald J. Jackson 200 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
Paul L. Joskow 100 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
Elizabeth T. Kennan 185 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
John H. Mullin, III 100 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
Robert E. Patterson 100 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
W. Thomas Stephens 100 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
W. Nicholas Thorndike 183 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
Lawrence J. Lasser 100 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
George Putnam, III 500 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
A.J.C. Smith 200 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------

Putnam High Yield Municipal Trust

Aggregate Dollar
Number Dollar Range Range of Shares
of Putnam of Putnam Held in all of the
High Yield High Yield Putnam Funds
Municipal Trust Municipal Trust Overseen by
Name of Trustee Shares Owned Shares Owned Trustee (101)
- ----------------------------------------------------------------------------------

Jameson A. Baxter 129 $1-$10,000over $100,000
- ----------------------------------------------------------------------------------
Charles B. Curtis 108 $1-$10,000over $100,000
- ----------------------------------------------------------------------------------
John A. Hill 100 $1-$10,000over $100,000
- ----------------------------------------------------------------------------------
Ronald J. Jackson 200 $1-$10,000over $100,000
- ----------------------------------------------------------------------------------
Paul L. Joskow 100 $1-$10,000over $100,000
- ----------------------------------------------------------------------------------
Elizabeth T. Kennan 183 $1-$10,000over $100,000
- ----------------------------------------------------------------------------------
John H. Mullin, III 100 $1-$10,000over $100,000
- ----------------------------------------------------------------------------------
Robert E. Patterson 300 $1-$10,000over $100,000
- ----------------------------------------------------------------------------------
W. Thomas Stephens 100 $1-$10,000over $100,000
- ----------------------------------------------------------------------------------
W. Nicholas Thorndike 225 $1-$10,000over $100,000
- ----------------------------------------------------------------------------------
Lawrence J. Lasser 100 $1-$10,000over $100,000
- ----------------------------------------------------------------------------------
George Putnam, III 300 $1-$10,000over $100,000
- ----------------------------------------------------------------------------------
A.J.C. Smith 200 $1-$10,000over $100,000
- ----------------------------------------------------------------------------------

Putnam Investment Grade Municipal Trust

Aggregate Dollar
Number Dollar Range Range of Shares
of Putnam of Putnam Held in all of the
Investment Grade Investment Grade Putnam Funds
Municipal Trust Municipal Trust Overseen by
Name of Trustee Shares Owned Shares Owned Trustee (101)
- ----------------------------------------------------------------------------------

Jameson A. Baxter 129 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
Charles B. Curtis 109 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
John A. Hill 100 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
Ronald J. Jackson 200 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
Paul L. Joskow 100 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
Elizabeth T. Kennan 187 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
John H. Mullin, III 100 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
Robert E. Patterson 300 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
W. Thomas Stephens 100 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
W. Nicholas Thorndike 230 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
Lawrence J. Lasser 100 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
George Putnam, III 300 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
A.J.C. Smith 400 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------

Putnam Managed Municipal Income Trust

Aggregate Dollar
Number Dollar Range Range of Shares
of Putnam of Putnam Held in all of the
Managed Municipal Managed Municipal Putnam Funds
Income Trust Income Trust Overseen by
Name of Trustee Shares Owned Shares Owned Trustee (101)
- ----------------------------------------------------------------------------------

Jameson A. Baxter 129 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
Charles B. Curtis 108 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
John A. Hill 100 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
Ronald J. Jackson 200 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
Paul L. Joskow 100 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
Elizabeth T. Kennan 187 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
John H. Mullin, III 100 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
Robert E. Patterson 300 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
W. Thomas Stephens 100 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
W. Nicholas Thorndike 231 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
Lawrence J. Lasser 100 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
George Putnam, III 300 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
A.J.C. Smith 200 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------

Putnam Municipal Bond Fund

Aggregate Dollar
Number Dollar Range Range of Shares
of Putnam of Putnam Held in all of the
Municipal Municipal Putnam Funds
Bond Fund Bond Fund Overseen by
Name of Trustee Shares Owned Shares Owned Trustee (101)
- ----------------------------------------------------------------------------------

Jameson A. Baxter 2,830 $10,001-$50,000 over $100,000
- ----------------------------------------------------------------------------------
Charles B. Curtis 111 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
John A. Hill 196 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
Ronald J. Jackson 393 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
Paul L. Joskow 196 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
Elizabeth T. Kennan 346 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
John H. Mullin, III 196 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
Robert E. Patterson 293 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
W. Thomas Stephens 196 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
W. Nicholas Thorndike 353 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
Lawrence J. Lasser 196 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------
George Putnam, III 984 $10,001-$50,000 over $100,000
- ----------------------------------------------------------------------------------
A.J.C. Smith 393 $1-$10,000 over $100,000
- ----------------------------------------------------------------------------------

Putnam Municipal Opportunities Trust

Aggregate Dollar
Number Dollar Range Range of Shares
of Putnam of Putnam Held in all of the
Municipal Municipal Putnam Funds
Opportunities Trust Opportunities Trust Overseen by
Name of Trustee Shares Owned Shares Owned Trustee (101)
- ---------------------------------------------------------------------------------------

Jameson A. Baxter 128 $1-$10,000 over $100,000
- ---------------------------------------------------------------------------------------
Charles B. Curtis 111 $1-$10,000 over $100,000
- ---------------------------------------------------------------------------------------
John A. Hill 100 $1-$10,000 over $100,000
- ---------------------------------------------------------------------------------------
Ronald J. Jackson 200 $1-$10,000 over $100,000
- ---------------------------------------------------------------------------------------
Paul L. Joskow 100 $1-$10,000 over $100,000
- ---------------------------------------------------------------------------------------
Elizabeth T. Kennan 196 $1-$10,000 over $100,000
- ---------------------------------------------------------------------------------------
John H. Mullin, III 100 $1-$10,000 over $100,000
- ---------------------------------------------------------------------------------------
Robert E. Patterson 100 $1-$10,000 over $100,000
- ---------------------------------------------------------------------------------------
W. Thomas Stephens 100 $1-$10,000 over $100,000
- ---------------------------------------------------------------------------------------
W. Nicholas Thorndike 194 $1-$10,000 over $100,000
- ---------------------------------------------------------------------------------------
Lawrence J. Lasser 100 $1-$10,000 over $100,000
- ---------------------------------------------------------------------------------------
George Putnam, III 500 $1-$10,000 over $100,000
- ---------------------------------------------------------------------------------------
A.J.C. Smith 200 $1-$10,000 over $100,000
- ---------------------------------------------------------------------------------------

Putnam New York Investment Grade Municipal Trust

Number Dollar Range Aggregate Dollar
of Putnam of Putnam Range of Shares
New York New York Held in all of the
Investment Grade Investment Grade Putnam Funds
Municipal Trust Municipal Trust Overseen by
Name of Trustee Shares Owned Shares Owned Trustee (101)
- ---------------------------------------------------------------------------------------

Jameson A. Baxter 125 $1-$10,000 over $100,000
- ---------------------------------------------------------------------------------------
Charles B. Curtis 109 $1-$10,000 over $100,000
- ---------------------------------------------------------------------------------------
John A. Hill 100 $1-$10,000 over $100,000
- ---------------------------------------------------------------------------------------
Ronald J. Jackson 200 $1-$10,000 over $100,000
- ---------------------------------------------------------------------------------------
Paul L. Joskow 100 $1-$10,000 over $100,000
- ---------------------------------------------------------------------------------------
Elizabeth T. Kennan 174 $1-$10,000 over $100,000
- ---------------------------------------------------------------------------------------
John H. Mullin, III 100 $1-$10,000 over $100,000
- ---------------------------------------------------------------------------------------
Robert E. Patterson 100 $1-$10,000 over $100,000
- ---------------------------------------------------------------------------------------
W. Thomas Stephens 100 $1-$10,000 over $100,000
- ---------------------------------------------------------------------------------------
W. Nicholas Thorndike 180 $1-$10,000 over $100,000
- ---------------------------------------------------------------------------------------
Lawrence J. Lasser 100 $1-$10,000 over $100,000
- ---------------------------------------------------------------------------------------
George Putnam, III 500 $1-$10,000 over $100,000
- ---------------------------------------------------------------------------------------
A.J.C. Smith 200 $1-$10,000 over $100,000
- ---------------------------------------------------------------------------------------

None of the Trustees owns any of your fund's preferred shares.

At April 30, 2003, the Trustees and officers of Putnam California
Investment Grade Municipal Trust, Putnam High Yield Municipal Trust,
Putnam Investment Grade Municipal Trust, Putnam Managed Municipal Income
Trust, Putnam Municipal Bond Fund, Putnam Municipal Opportunities Trust
and Putnam New York Investment Grade Municipal Trust as a group owned
less than 1% of the outstanding shares of each fund on that date.

* 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 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 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. Each Trustee generally
attends at least two formal committee meetings during each regular
meeting of the Trustees. During 2002, 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
fund's 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 the Executive Committee, may also meet on special occasions as
the need arises. The number of times each committee met during your
fund's last fiscal year is shown in the table below:

Putnam California Investment Grade Municipal Trust

Fiscal year ended April 30, 2003
- ---------------------------------------------------------
Audit and Pricing Committee 11
- ---------------------------------------------------------
Board Policy and Nominating Committee 9
- ---------------------------------------------------------
Brokerage and Custody Committee 4
- ---------------------------------------------------------
Communication, Service and Marketing Committee 6
- ---------------------------------------------------------
Contract Committee 11
- ---------------------------------------------------------
Distributions Committee 7
- ---------------------------------------------------------
Executive Committee 1
- ---------------------------------------------------------
Investment Oversight Committee 10
- ---------------------------------------------------------

Putnam High Yield Municipal Trust

Fiscal year ended March 31, 2003
- ---------------------------------------------------------
Audit and Pricing Committee 11
- ---------------------------------------------------------
Board Policy and Nominating Committee 9
- ---------------------------------------------------------
Brokerage and Custody Committee 4
- ---------------------------------------------------------
Communication, Service and Marketing Committee 6
- ---------------------------------------------------------
Contract Committee 11
- ---------------------------------------------------------
Distributions Committee 7
- ---------------------------------------------------------
Executive Committee 1
- ---------------------------------------------------------
Investment Oversight Committee 10
- ---------------------------------------------------------

Putnam Investment Grade Municipal Trust

Fiscal year ended November 30, 2002
- ---------------------------------------------------------
Audit and Pricing Committee* 11
- ---------------------------------------------------------
Board Policy and Nominating Committee** 6
- ---------------------------------------------------------
Brokerage and Custody Committee 4
- ---------------------------------------------------------
Communication, Service and Marketing Committee 6
- ---------------------------------------------------------
Contract Committee 12
- ---------------------------------------------------------
Distributions Committee 3
- ---------------------------------------------------------
Executive Committee 1
- ---------------------------------------------------------
Investment Oversight Committee 10
- ---------------------------------------------------------

Putnam Managed Municipal Income Trust

Fiscal year ended October 31, 2002
- ---------------------------------------------------------
Audit and Pricing Committee* 11
- ---------------------------------------------------------
Board Policy and Nominating Committee** 5
- ---------------------------------------------------------
Brokerage and Custody Committee 4
- ---------------------------------------------------------
Communication, Service and Marketing Committee 6
- ---------------------------------------------------------
Contract Committee 12
- ---------------------------------------------------------
Distributions Committee 3
- ---------------------------------------------------------
Executive Committee 1
- ---------------------------------------------------------
Investment Oversight Committee 10
- ---------------------------------------------------------

Putnam Municipal Bond Fund

Putnam Municipal Opportunities Trust

Putnam New York Investment Grade Municipal Trust

* Effective February 2002, the Pricing Committee's functions were merged
into the Audit and Pricing Committee. The number of meetings shown
represents the number of meetings held by the Audit Committee during
each fund's last fiscal year. For Putnam Investment Grade Municipal
Trust and Putnam Managed Municipal Income Trust, the Pricing Committee
met 1 time prior to the combination.

** Effective March 2002, the Proxy Committee's functions were merged into
the Board Policy and Nominating Committee. The number of meetings shown
represents the number of meetings held by the Board Policy and Nominating
Committee during each fund's last fiscal year. For Putnam Investment Grade
Municipal Trust and Putnam Managed Municipal Income Trust, the Proxy
Committee met 2 times prior to the combination.

* What are the Trustees paid for their services?

Each Trustee of your fund receives a fee for his or her services. Each
Trustee also receives fees for serving as Trustee of the other Putnam
funds. Each Trustee of the fund receives an annual fee and an additional
fee for each Trustees' meeting attended. Trustees who are not interested
persons of Putnam Management and who serve on committees of the Trustees
receive additional fees for attendance at certain committee meetings and
for special services rendered in that connection. All of the Trustees
are Trustees of all the Putnam funds and each receives fees for his or
her services.

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 fund complexes. The
Board Policy and Nominating Committee, which consists solely of Trustees
not affiliated with Putnam Management, 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 Trustee by your
fund for its most recent fiscal year and the fees paid to each Trustee
by all of the Putnam funds during calendar year 2002:

Putnam California Investment Grade Municipal Trust
Compensation Table

Estimated
Retirement annual Total
Aggregate benefits benefits from compensation
compensation accrued all Putnam from all
from the as part of funds upon Putnam
Trustees/Year fund (1) fund expenses retirement (2) funds (3)
- -------------------------------------------------------------------------------------------

Jameson A. Baxter/1994(4) $524 $143 $100,000 $216,750
- -------------------------------------------------------------------------------------------
Charles B. Curtis/2001 499 99 100,000 206,250
- -------------------------------------------------------------------------------------------
John A. Hill/1985(4)(6) 878 175 200,000 388,250
- -------------------------------------------------------------------------------------------
Ronald J. Jackson/1996(4) 500 134 100,000 207,250
- -------------------------------------------------------------------------------------------
Paul L. Joskow/1997(4) 493 130 100,000 203,750
- -------------------------------------------------------------------------------------------
Elizabeth T. Kennan/1992 495 179 100,000 204,250
- -------------------------------------------------------------------------------------------
Lawrence J. Lasser/1992(5) -- 82 92,500 --
- -------------------------------------------------------------------------------------------
John H. Mullin, III/1997(4) 508 196 100,000 210,000
- -------------------------------------------------------------------------------------------
Robert E. Patterson/1984 510 97 100,000 211,000
- -------------------------------------------------------------------------------------------
George Putnam, III/1984(6) 612 81 125,000 253,000
- -------------------------------------------------------------------------------------------
A.J.C. Smith/1986(5) -- 186 91,833 --
- -------------------------------------------------------------------------------------------
W. Thomas Stephens/1997(4) 492 182 100,000 203,250
- -------------------------------------------------------------------------------------------
W. Nicholas Thorndike/1992 495 233 100,000 204,500
- -------------------------------------------------------------------------------------------

(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 2002.

(3) As of December 31, 2002, 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 compensation deferred pursuant to a Trustee Compensation
Deferral Plan. The total amounts of deferred compensation payable by the
fund to Ms. Baxter, Mr. Hill, Mr. Jackson, Mr. Joskow, Mr. Mullin and
Mr. Stephens as of April 30, 2003 were $289, $767, $387, $294, $332,
$130, respectively, including income earned on such amounts.

(5) Marsh & McLennan Companies, Inc., compensates Mr. Lasser and Mr.
Smith for their services as Trustees. The estimated annual retirement
benefits shown in this table for Messrs. Lasser and Smith reflect
benefits earned under the funds' retirement plan prior to July 1, 2000.

(6) Includes additional compensation to Messrs. Hill and Putnam for
service as Chairman and President of the Funds, respectively.

Putnam High Yield Municipal Trust
Compensation Table

Jameson A. Baxter/1994(4) $757 $200 $100,000 $216,750
- -------------------------------------------------------------------------------------------
Charles B. Curtis/2001 721 133 100,000 206,250
- -------------------------------------------------------------------------------------------
John A. Hill/1985(4)(6) 1,266 247 200,000 388,250
- -------------------------------------------------------------------------------------------
Ronald J. Jackson/1996(4) 723 189 100,000 207,250
- -------------------------------------------------------------------------------------------
Paul L. Joskow/1997(4) 712 189 100,000 203,750
- -------------------------------------------------------------------------------------------
Elizabeth T. Kennan/1992 715 253 100,000 204,250
- -------------------------------------------------------------------------------------------
Lawrence J. Lasser/1992(5) -- 115 92,500 --
- -------------------------------------------------------------------------------------------
John H. Mullin, III/1997(4) 734 285 100,000 210,000
- -------------------------------------------------------------------------------------------
Robert E. Patterson/1984 738 136 100,000 211,000
- -------------------------------------------------------------------------------------------
George Putnam, III/1984(6) 884 114 125,000 253,000
- -------------------------------------------------------------------------------------------
A.J.C. Smith/1986(5) -- 261 91,833 --
- -------------------------------------------------------------------------------------------
W. Thomas Stephens/1997(4) 711 265 100,000 203,250
- -------------------------------------------------------------------------------------------
W. Nicholas Thorndike/1992 715 328 100,000 204,500
- -------------------------------------------------------------------------------------------

(1) Includes an annual retainer and an attendance fee for each meeting
attended.

(4) Includes compensation deferred pursuant to a Trustee Compensation
Deferral Plan. The total amounts of deferred compensation payable by the
fund to Ms. Baxter, Mr. Hill, Mr. Jackson, Mr. Joskow, Mr. Mullin and
Mr. Stephens as of March 31, 2003 were $337, $856, $428, $332, $387,
$151, respectively, including income earned on such amounts.

(6) Includes additional compensation to Messrs. Hill and Putnam for
service as Chairman and President of the Funds, respectively.

Putnam Investment Grade Municipal Trust
Compensation Table

Jameson A. Baxter/1994(4) $769 $220 $100,000 $216,750
- -------------------------------------------------------------------------------------------
Charles B. Curtis/2001 732 190 100,000 206,250
- -------------------------------------------------------------------------------------------
John A. Hill/1985(4)(6) 1,288 256 200,000 388,250
- -------------------------------------------------------------------------------------------
Ronald J. Jackson/1996(4) 734 202 100,000 207,250
- -------------------------------------------------------------------------------------------
Paul L. Joskow/1997(4) 723 151 100,000 203,750
- -------------------------------------------------------------------------------------------
Elizabeth T. Kennan/1992 726 264 100,000 204,250
- -------------------------------------------------------------------------------------------
Lawrence J. Lasser/1992(5) -- 111 92,500 --
- -------------------------------------------------------------------------------------------
John H. Mullin, III/1997(4) 745 233 100,000 210,000
- -------------------------------------------------------------------------------------------
Robert E. Patterson/1984 749 144 100,000 211,000
- -------------------------------------------------------------------------------------------
George Putnam, III/1984(6) 898 118 125,000 253,000
- -------------------------------------------------------------------------------------------
A.J.C. Smith/1986(5) -- 252 91,833 --
- -------------------------------------------------------------------------------------------
W. Thomas Stephens/1997(4) 721 211 100,000 203,250
- -------------------------------------------------------------------------------------------
W. Nicholas Thorndike/1992 727 341 100,000 204,500
- -------------------------------------------------------------------------------------------

(1) Includes an annual retainer and an attendance fee for each meeting
attended.

(4) Includes compensation deferred pursuant to a Trustee Compensation
Deferral Plan. The total amounts of deferred compensation payable by the
fund to Ms. Baxter, Mr. Hill, Mr. Jackson, Mr. Joskow, Mr. Mullin and
Mr. Stephens as of November 30, 2002 were $296, $725, $490, $283, $387,
$93, respectively, including income earned on such amounts.

(6) Includes additional compensation to Messrs. Hill and Putnam for
service as Chairman and President of the Funds, respectively.

Putnam Managed Municipal Income Trust
Compensation Table

Jameson A. Baxter/1994(4) $811 $229 $100,000 $216,750
- -------------------------------------------------------------------------------------------
Charles B. Curtis/2001 772 193 100,000 206,250
- -------------------------------------------------------------------------------------------
John A. Hill/1985(4)(6) 1,359 269 200,000 388,250
- -------------------------------------------------------------------------------------------
Ronald J. Jackson/1996(4) 775 212 100,000 207,250
- -------------------------------------------------------------------------------------------
Paul L. Joskow/1997(4) 763 164 100,000 203,750
- -------------------------------------------------------------------------------------------
Elizabeth T. Kennan/1992 766 277 100,000 204,250
- -------------------------------------------------------------------------------------------
Lawrence J. Lasser/1992(5) -- 117 92,500 --
- -------------------------------------------------------------------------------------------
John H. Mullin, III/1997(4) 787 253 100,000 210,000
- -------------------------------------------------------------------------------------------
Robert E. Patterson/1984 790 151 100,000 211,000
- -------------------------------------------------------------------------------------------
George Putnam, III/1984(6) 948 124 125,000 253,000
- -------------------------------------------------------------------------------------------
A.J.C. Smith/1986(5) -- 265 91,833 --
- -------------------------------------------------------------------------------------------
W. Thomas Stephens/1997(4) 761 230 100,000 203,250
- -------------------------------------------------------------------------------------------
W. Nicholas Thorndike/1992 767 358 100,000 204,500
- -------------------------------------------------------------------------------------------

(1) Includes an annual retainer and an attendance fee for each meeting
attended.

(4) Includes compensation deferred pursuant to a Trustee Compensation
Deferral Plan. The total amounts of deferred compensation payable by the
fund to Ms. Baxter, Mr. Hill, Mr. Jackson, Mr. Joskow, Mr. Mullin and
Mr. Stephens as of October 31, 2002 were $2,365, $5,786, $3,912, $2,256,
$3,088, $745, respectively, including income earned on such amounts.

(6) Includes additional compensation to Messrs. Hill and Putnam for
service as Chairman and President of the Funds, respectively.

Putnam Municipal Bond Fund
Compensation Table

Jameson A. Baxter/1994(4) $766 $207 $100,000 $216,750
- -------------------------------------------------------------------------------------------
Charles B. Curtis/2001 730 144 100,000 206,250
- -------------------------------------------------------------------------------------------
John A. Hill/1985(4)(6) 1,259 254 200,000 388,250
- -------------------------------------------------------------------------------------------
Ronald J. Jackson/1996(4) 732 195 100,000 207,250
- -------------------------------------------------------------------------------------------
Paul L. Joskow/1997(4) 721 188 100,000 203,750
- -------------------------------------------------------------------------------------------
Elizabeth T. Kennan/1992 724 260 100,000 204,250
- -------------------------------------------------------------------------------------------
Lawrence J. Lasser/1992(5) -- 119 92,500 --
- -------------------------------------------------------------------------------------------
John H. Mullin, III/1997(4) 743 285 100,000 210,000
- -------------------------------------------------------------------------------------------
Robert E. Patterson/1984 747 140 100,000 211,000
- -------------------------------------------------------------------------------------------
George Putnam, III/1984(6) 895 117 125,000 253,000
- -------------------------------------------------------------------------------------------
A.J.C. Smith/1986(5) -- 269 91,833 --
- -------------------------------------------------------------------------------------------
W. Thomas Stephens/1997(4) 719 264 100,000 203,250
- -------------------------------------------------------------------------------------------
W. Nicholas Thorndike/1992 724 338 100,000 204,500
- -------------------------------------------------------------------------------------------

(1) Includes an annual retainer and an attendance fee for each meeting
attended.

(4) Includes compensation deferred pursuant to a Trustee Compensation
Deferral Plan. The total amounts of deferred compensation payable by the
fund to Ms. Baxter, Mr. Hill, Mr. Jackson, Mr. Joskow, Mr. Mullin and
Mr. Stephens as of April 30, 2003 were $424, $1,124, $568, $432, $486,
$190, respectively, including income earned on such amounts.

(6) Includes additional compensation to Messrs. Hill and Putnam for
service as Chairman and President of the Funds, respectively.

Putnam Municipal Opportunities Trust
Compensation Table

Jameson A. Baxter/1994(4) $766 $207 $100,000 $216,750
- -------------------------------------------------------------------------------------------
Charles B. Curtis/2001 729 144 100,000 206,250
- -------------------------------------------------------------------------------------------
John A. Hill/1985(4)(6) 1,282 254 200,000 388,250
- -------------------------------------------------------------------------------------------
Ronald J. Jackson/1996(4) 732 195 100,000 207,250
- -------------------------------------------------------------------------------------------
Paul L. Joskow/1997(4) 721 188 100,000 203,750
- -------------------------------------------------------------------------------------------
Elizabeth T. Kennan/1992 723 260 100,000 204,250
- -------------------------------------------------------------------------------------------
Lawrence J. Lasser/1992(5) -- 119 92,500 --
- -------------------------------------------------------------------------------------------
John H. Mullin, III/1997(4) 743 285 100,000 210,000
- -------------------------------------------------------------------------------------------
Robert E. Patterson/1984 746 140 100,000 211,000
- -------------------------------------------------------------------------------------------
George Putnam, III/1984(6) 895 117 125,000 253,000
- -------------------------------------------------------------------------------------------
A.J.C. Smith/1986(5) -- 269 91,833 --
- -------------------------------------------------------------------------------------------
W. Thomas Stephens/1997(4) 719 264 100,000 203,250
- -------------------------------------------------------------------------------------------
W. Nicholas Thorndike/1992 724 338 100,000 204,500
- -------------------------------------------------------------------------------------------

(1) Includes an annual retainer and an attendance fee for each meeting
attended.

(4) Includes compensation deferred pursuant to a Trustee Compensation
Deferral Plan. The total amounts of deferred compensation payable by the
fund to Ms. Baxter, Mr. Hill, Mr. Jackson, Mr. Joskow, Mr. Mullin and
Mr. Stephens as of April 30, 2003 were $423, $1,121, $566, $431, $485,
$190, respectively, including income earned on such amounts.

(6) Includes additional compensation to Messrs. Hill and Putnam for
service as Chairman and President of the Funds, respectively.

Putnam New York Investment Grade Municipal Trust
Compensation Table

Jameson A. Baxter/1994(4) $516 $140 $100,000 $216,750
- -------------------------------------------------------------------------------------------
Charles B. Curtis/2001 492 97 100,000 206,250
- -------------------------------------------------------------------------------------------
John A. Hill/1985(4)(6) 865 172 200,000 388,250
- -------------------------------------------------------------------------------------------
Ronald J. Jackson/1996(4) 493 132 100,000 207,250
- -------------------------------------------------------------------------------------------
Paul L. Joskow/1997(4) 486 128 100,000 203,750
- -------------------------------------------------------------------------------------------
Elizabeth T. Kennan/1992 488 176 100,000 204,250
- -------------------------------------------------------------------------------------------
Lawrence J. Lasser/1992(5) -- 80 92,500 --
- -------------------------------------------------------------------------------------------
John H. Mullin, III/1997(4) 501 193 100,000 210,000
- -------------------------------------------------------------------------------------------
Robert E. Patterson/1984 503 95 100,000 211,000
- -------------------------------------------------------------------------------------------
George Putnam, III/1984(6) 603 79 125,000 253,000
- -------------------------------------------------------------------------------------------
A.J.C. Smith/1986(5) -- 181 91,833 --
- -------------------------------------------------------------------------------------------
W. Thomas Stephens/1997(4) 485 179 100,000 203,250
- -------------------------------------------------------------------------------------------
W. Nicholas Thorndike/1992 488 228 100,000 204,500
- -------------------------------------------------------------------------------------------

(1) Includes an annual retainer and an attendance fee for each meeting
attended.

(4) Includes compensation deferred pursuant to a Trustee Compensation
Deferral Plan. The total amounts of deferred compensation payable by the
fund to Ms. Baxter, Mr. Hill, Mr. Jackson, Mr. Joskow, Mr. Mullin and
Mr. Stephens as of April 30, 2003 were $286, $757, $382, $291, $327,
$128, respectively, including income earned on such amounts.

(6) Includes additional compensation to Messrs. Hill and Putnam for
service as Chairman 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 (a committee comprised of Trustees that are not
"interested persons" of the fund, as defined in the Investment Company
Act of 1940) 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.

Further information about voting and the meeting

Quorum and Methods of Tabulation. The shareholders of each fund vote
separately with respect to any proposal other than the election of
Trustees, in which case shareholders of each series of a trust vote
together as a single class. In the case of each fund, a majority 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), except that where the preferred shares or
common shares shall vote as a separate class, then a majority of the
aggregate number of shares of that class shall be necessary to
constitute a quorum for the transaction of business by that class. 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
negative vote on a proposal.

Special Rule for Proportional Voting. For funds listed on the New York
Stock Exchange, in accordance with the rules of the exchange, brokerage
firms may vote for or against a proposal, on behalf of their clients who
beneficially own the remarketed or auction rate preferred shares and
from whom they have not received voting instructions, in the same
proportion as votes for and against such proposal have been received
from holders of preferred shares if (i) the holders of a minimum of 30%
of the outstanding preferred shares have been voted by the holders of
preferred shares, (ii) holders of less than 10% of the outstanding
preferred shares have voted against such proposal and (iii) the holders
of the common shares have approved such proposal.

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, 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 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,
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 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.

Holders of common shares of the fund 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. The giving
of such a proxy will not affect your right to vote in person should you
decide to attend the Meeting. To vote via the Internet you will need the
"control" number that appears on your proxy card. To use the Internet,
please access the Internet address listed on your proxy card. The
Internet 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. Your fund has retained at its own expense D.F. King & Co.,
Inc., 48 Wall Street, New York, New York 10005, to aid in the
solicitation of instructions for registered and nominee accounts, for a
fee not to exceed $2,600 plus reasonable out-of-pocket expenses for
mailing and phone costs. 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 the Next Annual Meeting.
The Board Policy and Nominating Committee will consider nominees
recommended by shareholders of each fund to serve as Trustees, provided
that shareholders submit their recommendations by the date set forth
below. If a shareholder who wishes to present a proposal fails to notify
the fund by this date, 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.
Shareholders who wish to propose one or more nominees for election as
Trustees, or to make a proposal fixing the number of Trustees, at the
October 2004 annual meeting must provide written notice to the fund
(including all required information) so that such notice is received in
good order by the fund no earlier than July 11, 2004 and no later than
August 10, 2004. It is currently anticipated that each fund's next
annual meeting of shareholders will be held in October 2004. Shareholder
proposals to be included in the proxy statement for that meeting must be
received by your fund before April 6, 2004. Shareholders who wish to
make a proposal at the October 2004 annual meeting-- other than one that
will be included in the fund's proxy materials-- should notify the fund
no later than June 24, 2004.

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 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 is also a
subsidiary of Putnam Investments. The address of Putnam Investments Trust,
Putnam Investments, Putnam Investment Management, LLC, and Putnam Fiduciary
Trust Company is One Post Office Square, Boston, Massachusetts 02109. The
address of the executive offices of Marsh & McLennan Companies, Inc. is 1166
Avenue of the Americas, New York, New York 10036.

Limitation of Trustee Liability. The Agreement and 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
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.

Independent Auditors. For Putnam California Investment Grade Municipal
Trust, Putnam Municipal Bond Fund, Putnam Municipal Opportunities Trust
and Putnam New York Investment Grade Municipal Trust only:

PricewaterhouseCoopers LLP, 160 Federal Street, Boston, Massachusetts
02110, independent accountants, has been selected by the Trustees as the
independent auditors of your fund for the current fiscal year. The Audit
and Pricing Committee of the Board of Trustees unanimously approved the
selection of PricewaterhouseCoopers LLP and the Trustees unanimously
approved such selection in November 1992, November 1992, May 1993 and
November 1992, respectively. Among the country's preeminent accounting
firms, this firm also serves as the auditor for various 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 its fees. A representative of the
independent auditors is expected to be present at the meeting to make
statements and to respond to appropriate questions.

For Putnam High Yield Municipal Trust, Putnam Investment Grade Municipal
Trust and Putnam Managed Municipal Income Trust only:

KPMG LLP, 99 High Street, Boston, Massachusetts 02110, independent
accountants, has been selected by the Trustees as the independent
auditors of your fund for the current fiscal year. The Audit and Pricing
Committee of the Board of Trustees unanimously approved the selection of
KPMG LLP, and the Trustees unanimously approved such selection in July
2000, July 1999 and July 2000, respectively. Among the country's
preeminent accounting firms, this firm also serves as the auditor for
various 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 its fees. A
representative of the independent auditors is expected to be present at
the meeting to make statements and to respond to appropriate questions.

The following table sets forth the aggregate fees billed for
professional services rendered by your fund's principal accountant for
the fund's most recent fiscal year:

Audit Fees Financial Information All
for All Systems Design and Other
Audit Fees Putnam Funds Implementation Fees Fees
- ----------------------------------------------------------------------------------------

California Investment
Grade Municipal Trust $31,100 $3,192,000 $0 $26,200
- ----------------------------------------------------------------------------------------
High Yield
Municipal Trust $40,900 $957,500 $0 $6,800
- ----------------------------------------------------------------------------------------
Investment Grade
Municipal Trust $40,200 $1,041,700 $0 $6,800
- ----------------------------------------------------------------------------------------
Managed Municipal
Income Trust $41,100 $1,032,100 $0 $6,800
- ----------------------------------------------------------------------------------------
Municipal Bond Fund $31,000 $3,192,000 $0 $21,600
- ----------------------------------------------------------------------------------------
Municipal
Opportunities Trust $27,300 $3,192,000 $0 $10,900
- ----------------------------------------------------------------------------------------
New York Investment
Grade Municipal Trust $30,800 $3,192,000 $0 $26,100
- ----------------------------------------------------------------------------------------

The fees disclosed in the table above under the caption "Audit Fees" are the
aggregate fees billed for professional services rendered for the audit of
your fund's annual financial statements for the most recent fiscal year. The
fees disclosed under the caption "Audit Fees for All Putnam Funds" are the
aggregate fees billed for professional services rendered for the audits of
all Putnam funds for which your fund's independent accountants served as
auditors for each such fund's most recent fiscal year ending on or before
your fund's most recent fiscal year end. The fees disclosed under the
captions "Financial Information Systems Design and Implementation Fees" and
"All Other Fees" include fees billed for services, if any, rendered for your
fund's most recent fiscal year to your fund, to Putnam Management, the
fund's investment manager, and to any entity controlling, controlled by or
under common control with Putnam Management that provides services to the
fund. The amounts disclosed in "All Other Fees" are entirely related to
providing tax compliance assistance and rating agency review for the
respective fund and other assurance services.

The Audit and Pricing Committee of the Board of Trustees is responsible
for making recommendations to the Trustees as to the selection of your
fund's auditors. (Additional information about the Audit and Pricing
Committee is included under "Election of Trustees.") The Audit and
Pricing Committee has established a policy, in addition to other
practices and requirements relating to the selection of the fund's
auditors, that all non-audit services proposed to be performed by your
fund's principal accountants for the fund, Putnam Management and certain
related parties be considered and approved by the Audit and Pricing
Committee or by an authorized representative of the committee in advance
of the provision of such services. This pre-clearance policy calls for
the consideration, among other things, of whether the provision of the
proposed services would be compatible with maintaining the independence
of your fund's principal accountants. The provision of services covered
in the table above under "Financial Information Systems Design and
Implementation Fees" and "All Other Fees" was approved in accordance
with such pre-clearance policy.

The Audit and Pricing Committee of your fund has submitted the following
report:

The Audit and Pricing Committee has reviewed and discussed with
management of your fund the audited financial statements for the last
fiscal year. The Audit and Pricing Committee has discussed with your
fund's independent auditors the matters required to be discussed by
Statements on Auditing Standard No. 61 (SAS 61). SAS 61 requires
independent auditors to communicate to the Audit and Pricing Committee
matters including, if applicable: (1) methods used to account for
significant unusual transactions; (2) the effect of significant
accounting policies in controversial or emerging areas for which there
is a lack of authoritative guidance or consensus; (3) the process used
by management in formulating particularly sensitive accounting estimates
and the basis for the auditor's conclusions regarding the reasonableness
of those estimates and (4) disagreements with management over the
application of accounting principles and certain other matters. The
Audit and Pricing Committee has received the written disclosures and the
letter from your fund's independent accountants required by the SEC's
Independence Standards (among other things, requiring auditors to make
written disclosures to and discuss with the Audit and Pricing Committee
various matters relating to the auditor's independence), and has
discussed with such accountants the independence of such accountants.
Based on the foregoing review and discussions, the Audit and Pricing
Committee recommended to the Trustees that the audited financial
statements for the last fiscal year be included in your fund's annual
report to shareholders for the last fiscal year.

Paul L. Joskow (Chairperson)
Robert E. Patterson
W. Nicholas Thorndike
W. Thomas Stephens

Officers and Other Information. All of the officers of your fund, with the
exception of George Putnam, III, 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 Investments Trust and indirectly of Putnam
LLC, Messrs. Putnam, Lasser and Smith (nominees for Trustees of your fund),
as well as the officers of your fund, will benefit from the management fees,
underwriting commissions, custodian fees, and investor servicing fees paid
or allowed by the fund. In addition to George Putnam III, the other officers
of each fund are as follows:

Year first
Name (birthdate) elected Business experience
Office with the fund to office during past 5 years
- -------------------------------------------------------------------------------------

Charles E. Porter (7/26/38) 1989 Managing Director,
Executive Vice President, Putnam Investments
Treasurer and Principal and Putnam Management
Financial Officer
- -------------------------------------------------------------------------------------
Patricia C. Flaherty (12/1/46) 1993 Senior Vice President,
Senior Vice President Putnam Investments
and Putnam Management
- -------------------------------------------------------------------------------------
Karnig H. Durgarian (1/13/56) 2002 Senior Managing Director,
Vice President and Principal Putnam Investments
Executive Officer
- -------------------------------------------------------------------------------------
Steven D. Krichmar (6/27/58) 2002 Managing Director,
Vice President and Principal Putnam Investments.
Financial Officer Prior to July 2001, Partner,
PricewaterhouseCoopers,
LLP
- -------------------------------------------------------------------------------------
Michael T. Healy (1/24/58) 2000 Managing Director,
Assistant Treasurer and Putnam Investments
Principal Accounting Officer
- -------------------------------------------------------------------------------------
Beth S. Mazor (4/6/58) 2002 Senior Vice President,
Vice President Putnam Investments
- -------------------------------------------------------------------------------------
Gordon H. Silver (7/3/47) 1990 Senior Managing Director,
Vice President Putnam Investments,
Putnam Management and
Putnam Retail Management
- -------------------------------------------------------------------------------------
Mark C. Trenchard (6/5/62) 2002 Senior Vice President,
Vice President and BSA Putnam Investments
Compliance Officer
- -------------------------------------------------------------------------------------
William H. Woolverton (1/17/51) 2003 Managing Director,
Vice President and Chief Legal Officer Putnam Investments,
Putnam Management
and Putnam Retail
Management
- -------------------------------------------------------------------------------------
Judith Cohen (6/7/45) 1993 Clerk and Assistant
Clerk and Assistant Treasurer Treasurer, The Putnam
Funds
- -------------------------------------------------------------------------------------

Shares Outstanding of your Fund
as of April 30, 2003

Putnam California Investment Grade Municipal Trust
Common shares: 4,607,092 shares
Preferred shares: 320 shares
Putnam High Yield Municipal Trust
Common shares: 22,267,310 shares
Preferred shares: 900 shares
Putnam Investment Grade Municipal Trust
Common shares: 21,319,262 shares
Preferred shares: 1,400 shares
Putnam Managed Municipal Income Trust
Common shares: 47,206,342 shares
Preferred shares: A: 550 shares
B: 550 shares
C: 650 shares
Putnam Municipal Bond Fund
Common shares: 17,242,049 shares
Preferred shares: A: 2,920 shares
B: 2,400 shares
Putnam Municipal Opportunities Trust
Common shares: 16,157,092 shares
Preferred shares: A: 800 shares
B: 1,620 shares
C: 1,620 shares
Putnam New York Investment Grade Municipal Trust
Common shares: 2,847,092 shares
Preferred shares: 200 shares
- ----------------------------------------------------------------------------
5% beneficial ownership:
Putnam California Investment Grade Municipal Trust NONE
Putnam High Yield Municipal Trust NONE
Putnam Investment Grade Municipal Trust NONE
Putnam Managed Municipal Income Trust NONE
Putnam Municipal Bond Fund NONE
Putnam Municipal Opportunities Trust NONE
Putnam New York Investment Grade Municipal Trust NONE
- ----------------------------------------------------------------------------

This page intentionally left blank.

PUTNAM INVESTMENTS

The Putnam Funds
One Post Office Square
Boston, Massachusetts 02109
Toll-free 1-800-225-1581 204776 7/03

PLEASE FOLD AT PERFORATION BEFORE DETACHING

To vote by mail, please record your voting instructions on this card,
sign it below, and return it promptly in the envelope provided.

Proxy for a meeting of shareholders to be held on October 7, 2003, for
Putnam California Investment Grade Municipal Trust (Preferred Shares).

This proxy is solicited on behalf of the Trustees of the fund.

The undersigned shareholder hereby appoints John A. Hill, W. Nicholas
Thorndike, and Robert E. Patterson, and each of them separately,
Proxies, with power of substitution, and hereby authorizes them to
represent such shareholder and to vote, as designated below, at the
meeting of shareholders of Putnam California Investment Grade Municipal
Trust on October 7, 2003, at 11:00 a.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.

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 owner 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

PLEASE FOLD AT PERFORATION BEFORE DETACHING

If you complete and sign the proxy, we'll vote it exactly as you tell
us. The Proxies are authorized to vote in their discretion upon any
matters as may properly come before the meeting or any adjournments of
the meeting. If you simply sign the proxy, or fail to provide your
voting instructions, the Proxies will vote your shares in the same
manner as the Trustees recommend.

THE TRUSTEES RECOMMEND A VOTE FOR FIXING THE NUMBER OF TRUSTEES AT
THIRTEEN AND ELECTING ALL NOMINEES:

Please vote by filling in the appropriate boxes below.

1. Proposal to fix the number of Trustees at thirteen and elect all
nominees.

The nominees for Trustees are: J.A. Baxter, C.B. Curtis, J.A. Hill,
R.J. Jackson, P.L. Joskow, E.T. Kennan, L.J. Lasser, J.H. Mullin, III,
R.E. Patterson, G. Putnam, III, A.J.C. Smith, W.T. Stephens, and W.N.
Thorndike.

FOR WITHHOLD
fixing the number of authority to vote for
Trustees as proposed all nominees
and electing
all the nominees
(except as marked
to the contrary below)

[ ] [ ]

To withhold authority to vote for one or more of the nominees, write the
name(s) of the nominee(s) below:

- ----------------------------------------------------

Note: If you have questions on the proposal, please call
1-800-225-1581.

PLEASE FOLD AT PERFORATION BEFORE DETACHING

To vote by mail, please record your voting instructions on this card,
sign it below, and return it promptly in the envelope provided.

Proxy for a meeting of shareholders to be held on October 7, 2003, for
Putnam High Yield Municipal Trust (Preferred Shares).

This proxy is solicited on behalf of the Trustees of the fund.

The undersigned shareholder hereby appoints John A. Hill, W. Nicholas
Thorndike, and Robert E. Patterson, and each of them separately,
Proxies, with power of substitution, and hereby authorizes them to
represent such shareholder and to vote, as designated below, at the
meeting of shareholders of Putnam High Yield Municipal Trust on October
7, 2003, at 11:00 a.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.

PLEASE BE SURE TO SIGN AND DATE THIS PROXY.

- -----------------------------------------------------
Shareholder sign here Date

- -----------------------------------------------------
Co-owner sign here Date

PLEASE FOLD AT PERFORATION BEFORE DETACHING

THE TRUSTEES RECOMMEND A VOTE FOR FIXING THE NUMBER OF TRUSTEES AT
THIRTEEN AND ELECTING ALL NOMINEES:

Please vote by filling in the appropriate boxes below.

1. Proposal to fix the number of Trustees at thirteen and elect all
nominees.

FOR WITHHOLD
fixing the number of authority to vote for
Trustees as proposed all nominees
and electing
all the nominees
(except as marked
to the contrary below)

[ ] [ ]

To withhold authority to vote for one or more of the
nominees, write the name(s) of the nominee(s) below:

- ----------------------------------------------------

Note: If you have questions on the proposal, please call
1-800-225-1581.

PLEASE FOLD AT PERFORATION BEFORE DETACHING

To vote by mail, please record your voting instructions on this card,
sign it below, and return it promptly in the envelope provided.

Proxy for a meeting of shareholders to be held on October 7, 2003, for
Putnam Investment Grade Municipal Trust (Preferred Shares).

This proxy is solicited on behalf of the Trustees of the fund.

The undersigned shareholder hereby appoints John A. Hill, W. Nicholas
Thorndike, and Robert E. Patterson, and each of them separately,
Proxies, with power of substitution, and hereby authorizes them to
represent such shareholder and to vote, as designated below, at the
meeting of shareholders of Putnam Investment Grade Municipal Trust on
October 7, 2003, at 11:00 a.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.

PLEASE BE SURE TO SIGN AND DATE THIS PROXY.

- -----------------------------------------------------
Shareholder sign here Date

- -----------------------------------------------------
Co-owner sign here Date

PLEASE FOLD AT PERFORATION BEFORE DETACHING

THE TRUSTEES RECOMMEND A VOTE FOR FIXING THE NUMBER OF TRUSTEES AT
THIRTEEN AND ELECTING ALL NOMINEES:

Please vote by filling in the appropriate boxes below.

1. Proposal to fix the number of Trustees at thirteen and elect all
nominees.

FOR WITHHOLD
fixing the number of authority to vote for
Trustees as proposed all nominees
and electing
all the nominees
(except as marked
to the contrary below)

[ ] [ ]

To withhold authority to vote for one or more of the
nominees, write the name(s) of the nominee(s) below:

- ----------------------------------------------------

Note: If you have questions on the proposal, please call
1-800-225-1581.

PLEASE FOLD AT PERFORATION BEFORE DETACHING

To vote by mail, please record your voting instructions on this card,
sign it below, and return it promptly in the envelope provided.

Proxy for a meeting of shareholders to be held on October 7, 2003, for
Putnam Municipal Bond Fund (Preferred Shares).

This proxy is solicited on behalf of the Trustees of the fund.

The undersigned shareholder hereby appoints John A. Hill, W. Nicholas
Thorndike, and Robert E. Patterson, and each of them separately,
Proxies, with power of substitution, and hereby authorizes them to
represent such shareholder and to vote, as designated below, at the
meeting of shareholders of Putnam Municipal Bond Fund on October 7,
2003, at 11:00 a.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.

PLEASE BE SURE TO SIGN AND DATE THIS PROXY.

- -----------------------------------------------------
Shareholder sign here Date

- -----------------------------------------------------
Co-owner sign here Date

PLEASE FOLD AT PERFORATION BEFORE DETACHING

THE TRUSTEES RECOMMEND A VOTE FOR FIXING THE NUMBER OF TRUSTEES AT
THIRTEEN AND ELECTING ALL NOMINEES:

Please vote by filling in the appropriate boxes below.

1. Proposal to fix the number of Trustees at thirteen and elect all
nominees.

FOR WITHHOLD
fixing the number of authority to vote for
Trustees as proposed all nominees
and electing
all the nominees
(except as marked
to the contrary below)

[ ] [ ]

To withhold authority to vote for one or more of the
nominees, write the name(s) of the nominee(s) below:

- ----------------------------------------------------

Note: If you have questions on the proposal, please call
1-800-225-1581.

PLEASE FOLD AT PERFORATION BEFORE DETACHING

To vote by mail, please record your voting instructions on this card,
sign it below, and return it promptly in the envelope provided.

Proxy for a meeting of shareholders to be held on October 7, 2003, for
Putnam Managed Municipal Income Trust (Preferred Shares).

This proxy is solicited on behalf of the Trustees of the fund.

The undersigned shareholder hereby appoints John A. Hill, W. Nicholas
Thorndike, and Robert E. Patterson, and each of them separately,
Proxies, with power of substitution, and hereby authorizes them to
represent such shareholder and to vote, as designated below, at the
meeting of shareholders of Putnam Managed Municipal Income Trust on
October 7, 2003, at 11:00 a.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.

PLEASE BE SURE TO SIGN AND DATE THIS PROXY.

- -----------------------------------------------------
Shareholder sign here Date

- -----------------------------------------------------
Co-owner sign here Date

DEAR SHAREHOLDER:

Please help us to eliminate the expense of follow-up mailings by
recording your voting instructions via the Internet or by signing and
returning this proxy card. A postage-paid envelope is enclosed for your
convenience.

THANK YOU!

PLEASE FOLD AT PERFORATION BEFORE DETACHING

THE TRUSTEES RECOMMEND A VOTE FOR FIXING THE NUMBER OF TRUSTEES AT
THIRTEEN AND ELECTING ALL NOMINEES:

Please vote by filling in the appropriate boxes below.

1. Proposal to fix the number of Trustees at thirteen and elect all
nominees.

FOR WITHHOLD
fixing the number of authority to vote for
Trustees as proposed all nominees
and electing
all the nominees
(except as marked
to the contrary below)

[ ] [ ]

To withhold authority to vote for one or more of the
nominees, write the name(s) of the nominee(s) below:

- ----------------------------------------------------

Note: If you have questions on the proposal, please call
1-800-225-1581.

PLEASE FOLD AT PERFORATION BEFORE DETACHING

To vote by mail, please record your voting instructions on this card,
sign it below, and return it promptly in the envelope provided.

Proxy for a meeting of shareholders to be held on October 7, 2003, for
Putnam Municipal Opportunities Trust (Preferred Shares).

This proxy is solicited on behalf of the Trustees of the fund.

The undersigned shareholder hereby appoints John A. Hill, W. Nicholas
Thorndike, and Robert E. Patterson, and each of them separately,
Proxies, with power of substitution, and hereby authorizes them to
represent such shareholder and to vote, as designated below, at the
meeting of shareholders of Putnam Municipal Opportunities Trust on
October 7, 2003, at 11:00 a.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.

PLEASE BE SURE TO SIGN AND DATE THIS PROXY.

- -----------------------------------------------------
Shareholder sign here Date

- -----------------------------------------------------
Co-owner sign here Date

PLEASE FOLD AT PERFORATION BEFORE DETACHING

THE TRUSTEES RECOMMEND A VOTE FOR FIXING THE NUMBER OF TRUSTEES AT
THIRTEEN AND ELECTING ALL NOMINEES:

Please vote by filling in the appropriate boxes below.

1. Proposal to fix the number of Trustees at thirteen and elect all
nominees.

FOR WITHHOLD
fixing the number of authority to vote for
Trustees as proposed all nominees
and electing
all the nominees
(except as marked
to the contrary below)

[ ] [ ]

To withhold authority to vote for one or more of the
nominees, write the name(s) of the nominee(s) below:

- ----------------------------------------------------

Note: If you have questions on the proposal, please call
1-800-225-1581.

PLEASE FOLD AT PERFORATION BEFORE DETACHING

To vote by mail, please record your voting instructions on this card,
sign it below, and return it promptly in the envelope provided.

Proxy for a meeting of shareholders to be held on October 7, 2003, for
Putnam New York Investment Grade Municipal Trust (Preferred Shares).

This proxy is solicited on behalf of the Trustees of the fund.

The undersigned shareholder hereby appoints John A. Hill, W. Nicholas
Thorndike, and Robert E. Patterson, and each of them separately,
Proxies, with power of substitution, and hereby authorizes them to
represent such shareholder and to vote, as designated below, at the
meeting of shareholders of Putnam New York Investment Grade Municipal
Trust on October 7, 2003, at 11:00 a.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.

PLEASE BE SURE TO SIGN AND DATE THIS PROXY.

- -----------------------------------------------------
Shareholder sign here Date

- -----------------------------------------------------
Co-owner sign here Date

PLEASE FOLD AT PERFORATION BEFORE DETACHING

THE TRUSTEES RECOMMEND A VOTE FOR FIXING THE NUMBER OF TRUSTEES AT
THIRTEEN AND ELECTING ALL NOMINEES:

Please vote by filling in the appropriate boxes below.

1. Proposal to fix the number of Trustees at thirteen and elect all
nominees.

FOR WITHHOLD
fixing the number of authority to vote for
Trustees as proposed all nominees
and electing
all the nominees
(except as marked
to the contrary below)

[ ] [ ]

To withhold authority to vote for one or more of the
nominees, write the name(s) of the nominee(s) below:

- ----------------------------------------------------

Note: If you have questions on the proposal, please call
1-800-225-1581.