Eagle to reorganize its large cap fund into growth and income fund

By Toni Weeks

San Diego, Oct. 17 - Eagle Series Trust's board of trustees said that on Aug. 16 it approved a reorganization of the company's Eagle Large Cap Core Fund into the Eagle Growth and Income Fund, according to an a497 filing with the Securities and Exchange Commission.

Adviser Eagle Asset Management, Inc., which manages both funds, recommended the reorganization to the board because of the fund's limited viability and narrow prospects for future growth. The board feels the reorganization will benefit large cap shareholders as a result of lower fees and expenses, strong performance record and stable asset base of growth and income, the filing noted.

The reorganization plan, which will result in the liquidation and cancelation of the Large Cap Core Fund, will go into effect at the close of business on Jan. 20 and does not require shareholder approval.

The plan provides for the assets and liabilities of the large cap fund to be exchanged for Eagle Growth and Income Fund shares. Shareholders will receive the number of full and fractional shares of each class of the acquiring fund equal in value to the number of shares of each class that they held in the large cap fund.

As a result of the reorganization, the Large Cap Core Fund will not accept purchases or exchanges into the fund as of Dec. 16.

Questions may be directed to Eagle (800 421-4184).

Eagle Series Trust is based in St. Petersburg, Fla.

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