BOSTON, March 2 /PRNewswire-FirstCall/ -- Three John Hancock closed-end
preferred funds (each a "Fund") declared their monthly distributions today as
follows:
John Hancock Ticker Current Previous %Change in Annualized
Fund Name Distribution Distribution Distribution Current
Rate Rate Rate Distribution
Rate
at Market
Price *
Preferred
Income Fund HPI $0.1240 $0.1550 -20% 13.29%
Preferred
Income Fund II HPF $0.1240 $0.1550 -20% 13.74%
Preferred
Income Fund III HPS $0.1122 $0.1320 -15% 14.89%
*Based on February 27, 2009 market closing price.
The record date for the distributions is March 12, 2009, the payable date
March 31, 2009 and the ex-date is March 10, 2009. These current distribution
amounts represent a decrease from the rates most recently declared and paid by
each Fund.
Under normal market conditions, each Fund attempts to provide consistent
distributions to shareholders from earned income generated by each Fund's
assets and consistent with its investment objective. The Funds' management
considered a number of factors before coming to the decision to decrease the
distribution rate, including the lower net investment income earned on the
Funds' lower asset levels, as well as, uncertainty in future corporate
dividend rates due to preferred stock call risk, extreme market volatility and
unprecedented economic circumstances. As a result, the Funds' management felt
that it was prudent to decrease the dividend rate at this time.
Despite the challenging market environment, all three John Hancock preferred
funds have had strong relative performance versus their Lipper peer group of
Income and Preferred Stock Funds (with 31 funds in the group). All three
Funds outperformed their Lipper peer group of Income and Preferred Stock Funds
for the 1-, 3- and 5-year periods based on total return at NAV as of January
31, 2009, and for the 1-year period all three funds ranked in the top quartile
of their peer group, as illustrated in the table below.*
Lipper Income & Preferred Stock Funds*
Total Return at NAV
John Hancock Ticker 1-Year 3-Year 5-Year
Fund Name Total % Total % Total %
Return Rank Return Rank Return Rank
Preferred
Income Fund HPI -34.71% 13 -11.35% 21 -4.64% 22
Preferred
Income Fund II HPF -34.92% 16 -11.30% 18 -4.85% 27
Preferred
Income Fund III HPS -40.93% 25 -14.47% 35 -6.65% 31
Lipper Peer
Average -48.22% -19.46% -9.23%
* Source of performance data stated: Lipper as of January 31, 2009.
Past performance is no guarantee of future results.
Each Fund's primary objective is to provide a high level of current income
consistent with preservation of capital. Each Fund's secondary objective is to
provide growth of capital to the extent consistent with its primary objective.
There can be no assurances that each Fund will achieve its investment
objective. Under normal market conditions, each Fund invests at least 80% of
its assets in preferred stocks and other preferred securities, including
convertible preferred securities.
About John Hancock Funds
The Boston-based mutual fund business unit of John Hancock Financial, John
Hancock Funds manages more than $38.8 billion in open-end funds, closed-end
funds, private accounts, retirement plans and related party assets for
individual and institutional investors at December 31, 2008.
About John Hancock Financial and Manulife Financial Corporation
John Hancock Financial is a unit of Manulife Financial Corporation (the
Company), a leading Canadian-based financial services group serving millions
of customers in 19 countries and territories worldwide. Operating as Manulife
Financial in Canada and in most of Asia, and primarily as John Hancock in the
United States, the Company offers clients a diverse range of financial
protection products and wealth management services through its extensive
network of employees, agents and distribution partners. Funds under management
by Manulife Financial and its subsidiaries were Cdn$405 billion (US$330
billion) at December 31, 2008.
Manulife Financial Corporation trades as 'MFC' on the TSX, NYSE and PSE, and
under '0945' on the SEHK. Manulife Financial can be found on the Internet at
www.manulife.com.
The John Hancock unit, through its insurance companies, comprises one of the
largest life insurers in the United States. John Hancock offers a broad range
of financial products and services, including life insurance, fixed and
variable annuities, fixed products, mutual funds, 401(k) plans, long-term care
insurance, college savings, and other forms of business insurance. Additional
information about John Hancock may be found at www.johnhancock.com.
The performance data contained within this press release represents past
performance, which does not guarantee future results. Performance, especially
for short time periods, should not be the sole factor in making your
investment decision. Statements in this press release that are not historical
facts are forward-looking statements as defined by United States securities
laws. You should exercise caution in interpreting and relying on
forward-looking statements because they are subject to uncertainties and other
factors which are, in some cases, beyond the fund's control and could cause
actual results to differ materially from those set forth in the
forward-looking statements.
SOURCE John Hancock Advisers, LLC
Kimberley Dietrich, +1-617-663-4217; or Investors: +1-800-843-0090, both of
John Hancock
