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<TYPE>EX-99
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<FILENAME>legal77e061.txt
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Regulatory matters and litigation

Putnam Management has entered into agreements
with the Securities and Exchange Commission
and the Massachusetts Securities Division
settling charges connected with excessive short
term trading by Putnam employees and, in the
case of the charges brought by the Massachusetts
Securities Division, by participants in some
Putnam administered 401(k) plans. Pursuant to
these settlement agreements, Putnam Management
will pay a total of $193.5 million in penalties
and restitution, with $153.5 million being paid
to shareholders and the funds. The amount will
be allocated to shareholders and funds pursuant
to a plan developed by an independent consultant,
and will be paid following approval
of the plan by the SEC and the Massachusetts
Securities Division.

The Securities and Exchange Commissions and
Massachusetts Securities Divisions allegations
and related matters also serve as the general basis
for numerous lawsuits, including purported class
action lawsuits filed against Putnam Management
and certain related parties, including certain
Putnam funds. Putnam Management will bear any
costs incurred by Putnam funds in connection
with these lawsuits. Putnam Management believes
that the likelihood that the pending private
lawsuits and purported class action lawsuits will
have a material adverse financial impact on the
fund is remote, and the pending actions are not
likely to materially affect its ability to provide
investment management services to its clients,
including the Putnam funds.

On March 23, 2005, Putnam Management entered
into a settlement with the Securities and
Exchange Commission resolving its inquiry into
Putnam Managements alleged failure to fully and
Effectively disclose a former brokerage allocation
practice to the Board of Trustees and shareholders
of the Putnam funds. This practice, which Putnam
Management ceased as of January 1, 2004, involved
allocating a portion of the brokerage on mutual
fund portfolio transactions to certain broker
dealers who sold shares of Putnam mutual funds.
Under the settlement order, Putnam Management has
paid a civil penalty of $40 million and
disgorgement of $1 to the Securities and Exchange
Commission for distribution to certain Putnam
funds pursuant to a plan approved by the Securities
and Exchange Commission. As part of the
settlement, Putnam Management neither admitted nor
denied any wrongdoing. Although Putnam High Income
Securities Fund will not receive any portion of
Those amounts, Putnam Management has elected to
Make a voluntary additional payment of $5,080 to
The fund in connection with the settlement
order. This amount, which is reflected in Other
income on the Statement of operations, was
calculated on the same basis, and will be paid at
the same time, as amounts allocated to other
Putnam funds pursuant to the distribution plan.

Putnam Management and Putnam Retail
Management are named as defendants in a civil
suit in which the plaintiffs allege that the
management and distribution fees paid by certain
Putnam funds were excessive and seek recovery under
the Investment Company Act of 1940. Putnam
Management and Putnam Retail Management
have contested the plaintiffs claims and the
matter is currently pending in the U.S. District
Court for the District of Massachusetts. Based
on currently available information, Putnam
Management believes that this action is without
merit and that it is unlikely to have a material
effect on Putnam Managements and Putnam
Retail Managements ability to provide services to
their clients, including the fund.



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