Company Press Release

PIMCO Launches 'Build America' and Investment Grade Bond ETFs

BABZ and CORP Broaden Firm's Lineup of ETF Solutions

NEWPORT BEACH, CA--(September 21, 2010) - PIMCO, a leading global investment solutions provider, has launched two new exchange-traded funds (ETFs) providing investors efficient access to the firm's fixed-income expertise.

The PIMCO Build America Bond Strategy Fund (Ticker: BABZ) is an actively managed ETF offering access to taxable municipal bonds issued under the Build America Bonds (BABs) program. The fund seeks to capture attractive yield opportunities in this sector while also avoiding securities from municipalities that PIMCO believes face deteriorating credit quality. The fund is managed by John Cummings, executive vice president and head of PIMCO's municipal bond desk.

The PIMCO Investment Grade Corporate Bond Index Fund (Ticker: CORP) is an index ETF that seeks to track its benchmark index with an optimized exposure to investment grade U.S. corporate debt issues that are primarily component securities of the benchmark. PIMCO's proprietary optimization process seeks to avoid those securities that the firm believes may be hard to trade or deemed to have the highest risk of credit loss. The fund is managed by Vineer Bhansali, managing director.

"These new funds broaden investor access to two important fixed income areas -- Build America Bonds and investment-grade corporate bonds -- using the efficient, transparent ETF format," said Tammie Arnold, managing director and head of PIMCO's global ETF business. "As with all PIMCO investment products, our ETFs benefit from PIMCO's nearly four decades of investment management experience, strong analytics and risk management expertise."

The PIMCO Build America Bond Strategy Fund provides access to the Build America Bond market with the added benefits of PIMCO's active credit and portfolio management expertise and institutional pricing capabilities. Build America Bonds are taxable municipal bonds that have increased in popularity since they were first authorized under the American Recovery and Reinvestment Act of 2009. (While the BABS program is scheduled to expire at the end of 2010, PIMCO is optimistic that the program will be extended.)

The PIMCO Investment Grade Corporate Bond Index Fund provides exposure to investment-grade corporate bonds that are primarily component securities of The BofA Merrill Lynch US Corporate Indexsm, while also seeking to closely match the index duration, curve and credit characteristics. The fund seeks to optimize trade execution, reduce transaction costs and minimize tracking error by avoiding bonds that are hard to obtain or at high risk of near term default, while emphasizing bonds that may provide liquidity and market access.

About PIMCO

PIMCO, founded in 1971, is a global investment management firm serving a full range of institutional and retail investors worldwide. Our reputation as one of the world's top asset managers rests on our combination of a long-term investment approach, superior client servicing and cutting edge technology. With offices in ten countries in North America, Europe and Asia, we manage investments across a full spectrum of global financial markets. Our success is built on our goal of consistently providing attractive returns while maintaining a strong culture of risk management and long-term discipline. PIMCO is owned by Allianz Global Investors, a subsidiary of the Munich-based Allianz Group, a leading global insurance company.