The Reaves Utility Income Fund Announces Regular Monthly Dividend of $0.15125 Per Share

DENVER--()--The Reaves Utility Income Fund (NYSE MKT: UTG) announced today the next three monthly dividends at a rate of $0.15125 per common share per month, unchanged from the per share rate paid for the previous quarter. As of April 6, 2015, the Fund’s market price was $30.81 per share and its net asset value was $32.29 per share.

Ronald J. Sorenson, the Fund's portfolio manager and Chief Investment Officer of Reaves Asset Management, the Fund's investment adviser, was not surprised by the pullback in utilities’ share prices during the quarter, “Frankly given all of the commentary around the anticipated Fed Funds rate increase later in the year, we were surprised that the retreat was as mild as it was.” Mr. Sorenson noted that share price decline had no impact on the Fund's ability to meet its distribution commitment and added, “. . .fundamentally, the portfolio is positioned to take advantage of long-term opportunities attendant with continued development of the national infrastructure to reliably meet the demand for electric power, water, natural gas, and broadband to fuel economic growth.”

The Fund has formally implemented the 19b-1 exemption received from the Securities and Exchange Commission in 2009. A portion of each distribution may be treated as paid from sources other than net income, including but not limited to short-term capital gain, long-term capital gain and return of capital. The final determination of the source of these distributions, including the percentage of qualified dividend income, will be made after the Fund’s year end.

Not less than eighty percent of the Fund’s assets will continue to be invested in the securities of domestic and foreign companies involved to a significant extent in providing products, services or equipment for (i) the generation or distribution of electricity, gas or water, (ii) telecommunications activities or (iii) infrastructure operations, such as airports, toll roads and municipal services (“Utilities” or the “Utility Industry”). As a policy, the Fund continues to strive to provide a high level of after-tax income and total return consisting primarily of tax-advantaged distributions and capital appreciation.

The following dates apply to the upcoming dividends that have been declared:

Ex-Distribution Date: April 15, 2015
Record Date: April 17, 2015
Payable Date: April 30, 2015

Ex-Distribution Date: May 14, 2015
Record Date: May 18, 2015
Payable Date: May 29, 2015

Ex-Distribution Date: June 16, 2015
Record Date: June 18, 2015
Payable Date: June 30, 2015

The Reaves Utility Income Fund

The investment objective of the Fund is to provide a high level of income and total return consisting primarily of tax-advantaged distributions and capital appreciation. There were approximately $1.2 billion of total assets under management and 29.0 million common shares outstanding as of April 6, 2015.

An investor should consider investment objectives, risks, charges and expenses carefully before investing. To obtain a prospectus, annual report or semi-annual report which contains this and other information visit www.utilityincomefund.com or call 1-800-644-5571. Read them carefully before investing.

The Reaves Utility Income Fund is a closed-end fund and closed-end funds do not continuously issue shares for sale as open-end mutual funds do. Since the initial public offering, the Fund now trades in the secondary market. Investors wishing to buy or sell shares need to place orders through an intermediary or broker. The share price of a closed-end fund is based on the market’s value.

Contacts

Reaves Utility Income Fund
Tom Carter, 303-623-2577
tom.carter@alpsinc.com

Contacts

Reaves Utility Income Fund
Tom Carter, 303-623-2577
tom.carter@alpsinc.com