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Franklin Templeton Limited Duration Income Trust Reports Asset Allocation

From: Franklin Advisers, Inc.
Contact: Matt Walsh
Telephone:(650) 312-2245

San Mateo, CA, July 29, 2005 -- Franklin Templeton Limited Duration Income Trust [AMEX:FTF], a closed-end investment company managed by Franklin Advisers, Inc., today reported its portfolio composition, certain portfolio characteristics and AMEX closing price as of June 30, 2005. 

Franklin Advisers, Inc., is a wholly owned subsidiary of Franklin Resources, Inc. [NYSE:BEN], a global investment management organization operating as Franklin Templeton Investments.  Franklin Templeton Investments provides global and domestic investment management solutions managed by its Franklin, Templeton, Mutual Series and Fiduciary Trust investment teams.  The San Mateo, CA-based company has more than 50 years of investment experience and over $425 billion in assets under management as of June 30, 2005.  For more information, please call 1-800/DIAL BEN® or visit franklintempleton.com.

FRANKLIN TEMPLETON LIMITED DURATION INCOME TRUST ASSET ALLOCATION @ 6/30/05

SECTOR ALLOCATION MARKET VALUE (Millions) PERCENTAGE OF FUND1
High Yield Corporate Bonds $216.9 37.8%
Floating Rate Loans $176.9 30.8%
Mortgage-Backed Securities $111.9 19.5%
Other Asset Backed Securities $39.6 6.9%
International Government Bonds (US$ and non-US$) $16.5 2.9%
Investment Grade Corporate Bonds $4.3 0.8%
Cash & Other Net Assets $8.4 1.5%
========================= ============ ============
Total Assets6 $574.5 100.0%
TOP 10 INDUSTRIES2 MARKET VALUE (Millions) PERCENTAGE OF FUND1
Media $42.2 7.3%
Telecom $37.2 6.5%
Pay TV $31.2 5.4%
Utilities $28.5 5.0%
Healthcare $25.6 4.5%
Industrial $22.7 3.9%
Gaming/Leisure $19.8 3.4%
Wireless $18.7 3.3%
Broadcasting $18.1 3.2%
Energy $15.3 2.7%
========================= ============ ============
Total 6 $259.4 45.2%
10 LARGEST HOLDINGS BY ISSUER MARKET VALUE (Millions) PERCENTAGE OF FUND1
Freddie Mac $47.9 8.3%
Fannie Mae $33.5 5.8%
Government National Mortgage Association $30.4 5.3%
Nalco Company $7.7 1.3%
Dex Media $7.7 1.3%
TRW Automotive $7.5 1.3%
Allied Waste Industries $7.2 1.2%
Morgan Stanley ABS Capital $6.6 1.2%
CSC Holdings Inc/Rainbow Media $6.6 1.1%
Intelsat Bermuda Ltd $6.5 1.1%
========================= ============ ============
Total 6 $161.6 28.1%
============================== ==============================
Number of positions 248
NAV per share $14.38
Market price per share $13.61
Number of shares outstanding 26,739,511
Total net assets $384,505,641
Weighted average duration (including leverage)3 3 years
Weighted average credit quality4 Baa3
Fund leverage percentage5 33%
(1) Percentage of total investments of the Fund. Total investments of the Fund include long-term and short-term investments and other net assets, excluding preferred stock issued.
(2) Top 10 industries for corporate bonds and floating rate loans.
(3) Duration calculated using internal methodologies.
(4) For securities with multiple ratings, highest rating is used.
(5) Preferred shares issued by the Fund divided by total gross assets of the Fund.
(6) Total figures may not add up correctly due to rounding.