]> Press Release - Closed-End Funds - FT Announces Partial Prepayments of Senior Fixed Rate Notes

Franklin Universal Trust Announces Partial Prepayments of Senior Fixed Rate Notes

From: Franklin Advisers, Inc.
Contact: Franklin Templeton Fund Information
Telephone:(800) 342-5236

San Mateo, CA, October 30, 2008 -- Franklin Universal Trust [NYSE:FT], a closed-end investment company managed by Franklin Advisers, Inc., announced today that the Trust prepaid $15 million of its 5.87% senior fixed rate notes due August 28, 2013 (the “Notes”) in two parts.  The Trust prepaid $10 million of the Notes on October 27, 2008 and an additional $5 million of the Notes on October 30, 2008.    As a result of these partial prepayments of the Notes, the Trust incurred a prepayment make-whole premium equal to 5% of the amount of the prepayments.  After the partial prepayment of the Notes, the Trust had $42 million of Notes outstanding and net assets of approximately $118.7million as of October 30, 2008.  

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, Fiduciary Trust, Darby and Bissett investment teams.  The San Mateo, CA-based company has more than 60 years of investment experience and over $507billion in assets under management as of September 30, 2008.  For more information, please call 1-800/DIAL BEN® or visit franklintempleton.com.