<DOCUMENT>
<TYPE>EX-99
<SEQUENCE>2
<FILENAME>mrgr77m061.txt
<TEXT>
Acquisition of Putnam High Income
Opportunities Trust


On January 21, 2005, the fund issued 8,694,024
shares in exchange for 3,712,567 shares of Putnam
High Income Opportunities Trust to acquire that
funds net assets in a tax-free exchange approved
by the shareholders. The net assets of the fund
and Putnam High Income Opportunities
Trust on January 21, 2005, valuation date,
were $119,743,477 and $75,299,313, respectively.
On January 21, 2005, Putnam High Income
Opportunities Trust had distributions in excess of
net investment income of $439,279, accumulated
net realized loss of $21,080,625 and unrealized
appreciation of $4,326,390.  Information presented
in the statement of operations and changes in net
assets reflect only the operations of Putnam High
Income Bond Fund

The aggregate net assets of the fund immediately
following the acquisition were $195,042,790.

</TEXT>
</DOCUMENT>
