PLEASE TAKE A MOMENT TO CAST
YOUR VOTE.
IMPORTANT NOTICE REGARDING CIM HIGH YIELD SECURITIES
ANNUAL MEETING OF SHAREHOLDERS
- --------------------------------------------------------------------------------
Dear Shareholder,
Recently we distributed proxy material regarding the Annual Meeting of
Shareholders for CIM HIGH YIELD SECURITIES (the "Fund"). The meeting was held on
Friday, October 7, 2005, and was adjourned with respect to Proposal 1, which
relates to the liquidation and dissolution of the Fund. The meeting is scheduled
to reconvene at 11:00 a.m. on December 1, 2005. Our records indicate that we
have not yet received a vote from you. PLEASE TAKE THE TIME NOW TO CAST YOUR
VOTE, WHICH IS IMPORTANT NO MATTER HOW MANY SHARES YOU OWN. We urge you to act
promptly in order to allow us to obtain a sufficient number of votes, and to
avoid the expense of additional solicitation.
THE BOARD OF TRUSTEES RECOMMENDS THAT YOU
VOTE FOR THE LIQUIDATION AND
DISSOLUTION OF THE FUND AS SET FORTH
IN THE PROPOSAL.
For your convenience, we have established the following easy methods to register
your vote:
[GRAPHIC OMITTED] BY INTERNET:
Visit WWW.PROXYVOTE.COM. Enter the 12-digit control number
located on your proxy card.
[GRAPHIC OMITTED] BY TOUCH-TONE PHONE:
Call our TOLL-FREE NUMBER 877-456-6399. Enter the control
number located on your proxy card and follow the recorded
instructions.
[GRAPHIC OMITTED] BY MAIL:
You may cast your vote by mail by signing, dating and
mailing the enclosed proxy card(s) in the postage-prepaid
return envelope provided.
We thank you for your time.
YOUR VOTE IS IMPORTANT. PLEASE VOTE TODAY TO AVOID
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UNNECESSARY SOLICITATION COSTS TO THE FUND.
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SCHEDULE 14A INFORMATION
Proxy Statement Pursuant to Section 14(a) of the Securities Exchange
Act of 1934
Filed by Registrant [X]
Filed by a Party other than the Registrant [ ]
Check the appropriate box:
[ ] Preliminary Proxy Statement
[ ] Definitive Proxy Statement
[X] Definitive Additional Materials
[ ] Soliciting Material Pursuant to Sec. 240.14a-11(c) or Sec. 240.14a-12
CIM High Yield Securities
-------------------------
(Name of Registrant as Specified in Its Charter)
--------------------------------------
(Name of Person(s) Filing Proxy Statement)
Payment of Filing Fee (Check the appropriate box):
[X] No fee required.
[ ] Fee computed on table below per Exchange Act Rules 14a-6(i)(4) 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:
CIM HIGH YIELD SECURITIES
400 W. Market Street, Suite 3300
Louisville, KY 40202
October 27, 2005
Dear Shareholder:
We are enclosing a supplement (the "Supplement") to the Proxy Statement dated
September 6, 2005 for the Annual Meeting of Shareholders of CIM High Yield
Securities (the "Fund").
As previously announced, the Annual Meeting of Shareholders of the Fund held on
October 7, 2005 was adjourned with respect to Proposal 1 (the proposal to
liquidate and dissolve the Fund) to permit the further solicitation of proxies.
Proposal 1 will be considered when the Annual Meeting is reconvened on December
1, 2005 at 11:00 a.m. Eastern Time at the offices of Bingham McCutchen LLP, 150
Federal Street, 25th Floor, Boston, Massachusetts.
The enclosed supplement provides information regarding an amendment to the
proposed Plan of Liquidation and Dissolution. The amendment to the Plan provides
that the stock certificates held by shareholders of the Fund will be deemed null
and void and have no value upon the mailing of the first liquidating
distribution. If the Plan is approved by the shareholders of the Fund, stock
certificates will not need to be returned in order to receive liquidating
distributions.
You may vote on Proposal 1 described in the Proxy Statement, as supplemented,
until the date and time of the adjourned meeting on December 1, 2005. You do not
need to take action if you have previously voted your shares or given your proxy
on Proposal 1 and do not wish to change your vote or revoke your proxy. If you
have already voted or given your proxy on Proposal 1 and wish to change your
vote or revoke your proxy, you should follow the procedures described on the
enclosed proxy card(s). If you have not already voted, I urge you to vote your
shares using one of the convenient options listed on the enclosed letter. The
Board of Trustees continues to unanimously recommend that shareholders of the
Fund vote FOR the proposal to liquidate and dissolve the Fund.
YOUR PARTICIPATION AT THIS MEETING IS VERY IMPORTANT. VOTING TAKES ONLY
A FEW MINUTES. YOUR PROMPT RESPONSE IS GREATLY APPRECIATED.
After you have voted on the proposal, please be sure to SIGN YOUR PROXY
CARD AND RETURN IT IN THE ENCLOSED POSTAGE-PAID ENVELOPE.
We appreciate your participation in this important Meeting. Thank you.
Sincerely,
A. George Baumann
President
CIM HIGH YIELD SECURITIES
400 W. Market Street, Suite 3300
Louisville, KY 40202
SUPPLEMENT TO PROXY STATEMENT FOR
ANNUAL MEETING OF SHAREHOLDERS
OCTOBER 7, 2005
ADJOURNED TO DECEMBER 1, 2005
PROPOSAL 1: LIQUIDATE AND DISSOLVE THE FUND
Pursuant to Section 12 of the Plan of Liquidation and Dissolution attached as
Appendix A to the Proxy Statement (the "Plan"), the Board of Trustees of CIM
High Yield Securities (the "Fund") has amended Section 5 of the Plan to provide
that upon the mailing of the first Liquidating Distribution, all stock
certificates held by shareholders of the Fund will be deemed null and void and
will have no value. Shareholders will not be required to return stock
certificates to receive liquidating distributions.
Accordingly, Section 5 of the Plan has been amended to read as follows:
5. LIQUIDATING DISTRIBUTIONS.
The Fund's assets are expected to be distributed by one or more cash
payments in complete cancellation of all of the outstanding shares of the Fund.
The first distribution of the Fund's assets (the "First Distribution") is
expected to consist of cash representing a substantial portion of the assets of
the Fund, less an estimated amount necessary to discharge any (a) unpaid
liabilities and obligations of the Fund on the Fund's books on the date of the
First Distribution, and (b) liabilities as the Fund's officers or Trustees shall
reasonably deem to exist against the assets of the Fund as of the date of the
First Distribution. Any subsequent distribution (each, a "Distribution" and,
together with the First Distribution, the "Liquidating Distributions") will
consist of cash from any assets remaining after accrual of expenses, the
proceeds of any sale of assets of the Fund under the Plan not sold prior to the
earlier Distributions and any other miscellaneous income of the Fund. The Board
will set the record date and payment date for the First Distribution and each
subsequent distribution. Cash or other assets held as provided herein for the
payment of contingent or unascertained liabilities in accordance with this Plan
in excess of the amounts ultimately required for the payment and discharge of
the Fund's liabilities and obligations shall be distributed to the Shareholders
at the time and under the conditions established with respect to such reserves
or other arrangements hereunder providing for the payment thereof.
Upon the mailing of the first Liquidating Distribution (the date of
such mailing, the "First Liquidation Date"), all stock certificates held by
shareholders of the Fund will be deemed null and void and will have no value.
Each shareholder of the Fund will automatically receive Liquidating
Distributions equal to the shareholder's proportionate interest in the net
assets of the
Fund. Shareholders will not be required to return stock certificates to receive
Liquidating Distributions. All Shareholders will receive information concerning
the sources of the Liquidating Distributions.
Upon the Final Liquidation Date, all outstanding shares of the Fund
will be deemed cancelled.
* * * * * * * *
PLEASE RETAIN THIS SUPPLEMENT WITH YOUR PROXY STATEMENT.
AMENDMENT TO THE
PLAN OF LIQUIDATION AND DISSOLUTION
CIM HIGH YIELD SECURITIES
This AMENDMENT, dated as of October __, 2005, is to the PLAN OF
LIQUIDATION AND DISSOLUTION (the "Plan") made as of August 4, 2005, by CIM High
Yield Securities (the "Fund"), a Massachusetts business trust and a closed-end
investment company under the Investment Company Act of 1940, as amended (as so
amended, the "1940 Act").
Section 5 of the Plan is hereby amended to read as follows:
5. LIQUIDATING DISTRIBUTIONS.
The Fund's assets are expected to be distributed by one or more cash
payments in complete cancellation of all of the outstanding shares of the Fund.
The first distribution of the Fund's assets (the "First Distribution") is
expected to consist of cash representing a substantial portion of the assets of
the Fund, less an estimated amount necessary to discharge any (a) unpaid
liabilities and obligations of the Fund on the Fund's books on the date of the
First Distribution, and (b) liabilities as the Fund's officers or Trustees shall
reasonably deem to exist against the assets of the Fund as of the date of the
First Distribution. Any subsequent distribution (each, a "Distribution" and,
together with the First Distribution, the "Liquidating Distributions") will
consist of cash from any assets remaining after accrual of expenses, the
proceeds of any sale of assets of the Fund under the Plan not sold prior to the
earlier Distributions and any other miscellaneous income of the Fund. The Board
will set the record date and payment date for the First Distribution and each
subsequent distribution. Cash or other assets held as provided herein for the
payment of contingent or unascertained liabilities in accordance with this Plan
in excess of the amounts ultimately required for the payment and discharge of
the Fund's liabilities and obligations shall be distributed to the Shareholders
at the time and under the conditions established with respect to such reserves
or other arrangements hereunder providing for the payment thereof.
Upon the mailing of the first Liquidating Distribution (the date of
such mailing, the "First Liquidation Date") all stock certificates held by
shareholders of the Fund will be deemed null and void and will have no value.
Each shareholder of the Fund will automatically receive Liquidating
Distributions equal to the shareholder's proportionate interest in the net
assets of the Fund. Shareholders will not be required to return stock
certificates to receive Liquidating Distributions. All Shareholders will receive
information concerning the sources of the Liquidating Distributions.
Upon the Final Liquidation Date, all outstanding shares of the Fund
will be deemed cancelled.
CIM HIGH YIELD SECURITIES
PROXY OUTBOUND CALL SCRIPT
NOVEMBER 2005
OPENING
Hello may I Speak to MR./MS. "(SHAREHOLDERS NAME)".
IF SHAREHOLDER IS UNAVAILABLE PLEASE ASK IF THERE IS A BETTER TIME TO REACH
(SHAREHOLDERS NAME)
IF YES:
Re-schedule a call back at the appropriate time and date.
DATE: XX XX XX
TIME: XX:XX
Thank you, I will try to reach (SHAREHOLDER NAME) at the stated time.
IF NO:
Re-schedule the call for an automatic call back
Thank you, I will try to reach (SHAREHOLDERS NAME) at another time.
IF THE PERSON ASKS WHO YOU ARE AND WHY YOU ARE CALLING:
This is (REP FIRST AND LAST NAME) from PFPC, Inc. calling on behalf of CIM High
Yield Securities.
The purpose of the call today is to follow-up on a recent proxy mailing.
If they ask for a return phone number please provide 877-456-6399.
IF CONTACT IS MADE WITH SHAREHOLDER:
This is (REP'S FIRST AND LAST NAME) from PFPC, Inc. calling on behalf of CIM
High Yield Securities, on a recorded line.
The purpose of the call today is to follow-up on a recent proxy mailing on your
(FUND NAME).
WE HAVE NOT RECEIVED YOUR PROXY CARDS YET; WOULD YOU BE WILLING TO RECORD YOUR
VOTE OVER THE PHONE NOW?
o "DID NOT RECEIVE PROXY" RESPONSE:
MAY WE SEND YOU ANOTHER PROXY PACKAGE FOR THIS IMPORTANT VOTE?
IF "NO": The shareholder meeting is set for December 1, 2005. We are
urging everyone to vote his or her cards as soon as possible.
IF STILL DOES NOT WANT PROXY: Thank you for your time today/this
evening.
IF "YES": Let me verify the address that the first proxy was mailed
to. (VERIFY NAME AND ADDRESS). You should receive a new proxy package
by priority mail in 3-5 days. Please fill it out and vote as soon as
possible or you may also vote by phone, fax or through the internet.
All of the instructions will be included in the proxy materials that
will be sent to you.
Thank you, for your time today/this evening.
o "RECEIVED PROXY" RESPONSE:
IF "ALREADY VOTED" RESPONSE: Great! Thank you for your time today/this evening.
IF "WILL BE VOTING" RESPONSE: Great! We are calling to encourage you to vote as
soon as possible. Would you like to cast your vote over the phone now?
IF "WILL NOT VOTE ON PHONE ": We encourage all shareholders to vote as soon as
possible to avoid the cost of additional solicitations. The meeting date is
scheduled for December 1, 2005. You may vote via mail, touch-tone, and through
the Internet. Please feel free to call us at 877-456-6399 with any questions
regarding this process. Thank you for your time today.
IF "WILL NOT VOTE ": That is fine, You are not required to take any action
today, but we are encouraging all shareholders to vote to avoid the cost of an
additional solicitation. If you change your mind, you may vote via Mail, Touch
Tone Phone, Fax and through the internet. Please feel free to call us at
877-456-6399 with any questions regarding this process. Thank you for your time
today.
IF "WOULD LIKE TO VOTE ON THE PHONE":
o IF "WOULD LIKE TO VOTE ON THE PHONE" RESPONSE:
Can I confirm you name. (CONFIRM RESPONSE) May I also verify your
address of record (CONFIRM RESPONSE).
You are eligible to vote on the proposals for the (FUND NAME).
CAN I CAST YOUR VOTE WITH THE BOARD OF TRUSTEES' RECOMMENDATION FOR
THIS FUND?
VOTE CONFIRMATION (SELECT APPROPRIATE RESPONSE):
(1) Let me confirm that you wish to vote with the Board of
Trustees recommendation in favor of the proposal for the
(FUND NAME) Fund.
(2) Let me confirm that you wish to vote AGAINST the proposal
for the (FUND NAME) Fund.
(3) Let me confirm that you wish to ABSTAIN on the proposal
for the (FUND NAME) Fund.
IF SHAREHOLDER REQUESTS TO VOTE EACH PROPOSAL DIFFERENTLY, PLEASE READ EACH
PROPOSAL AND CAST THE APPROPRIATE VOTE FOR EACH QUESTION AND FUND.
(FUND NAME)
Question 1 Proposal Description Y N A
AFTER TAKING ALL VOTES PLEASE THANK THE SHAREHOLDER FOR VOTING AND VERIFY ALL
VOTES TO ENSURE THAT THEY ARE ENTERED INTO THE SYSTEM IN THE CORRECT MANNER.
INFORM THE SHAREHOLDER THAT A WRITTEN CONFIRMATION STATEMENT WILL BE SENT TO THE
ADDRESS OF RECORD WITHIN 7- 10 BUSINESS DAYS.
Thank you very much for your time (SHAREHOLDER NAME) HAVE A GOOD DAY /EVENING.
If the account is marked as an account having additional account owners at the
same phone number please ask to speak with the second account owner and start at
the top of the outbound script.