In late 2003 and 2004, Putnam Management settled charges brought
by the SEC and the Massachusetts Securities
Division in connection with excessive short-term trading in
Putnam funds. In July 2011, the fund recorded a
receivable of $744,995 related to restitution amounts in
connection with a distribution plan approved by the SEC.
This amount is reported in the Increase in capital from
settlement payments line on the Statement of changes in
net assets. These allegations and related matters have served as
the general basis for certain lawsuits, including
purported class action lawsuits against Putnam Management and, in
a limited number of cases, some Putnam
funds. In May 2011, the fund received a payment of $12,516
related to settlement of those lawsuits. This amount
is reported in the Increase in capital from settlement payments
line on the Statement of changes in net assets.
Putnam Management has agreed to bear any costs incurred by the
Putnam funds as a result of these matters.