-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, Rpa8aj2fkRorsfQUFKza8D4sKhgjn7F4nTyfj+JRcetSqM5e7ShfuCmBdKz0gDza mfgDZsUTcf2bNxBnNQiMsw== 0000899140-01-500243.txt : 20010827 0000899140-01-500243.hdr.sgml : 20010827 ACCESSION NUMBER: 0000899140-01-500243 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20010731 ITEM INFORMATION: Other events ITEM INFORMATION: Financial statements and exhibits FILED AS OF DATE: 20010824 FILER: COMPANY DATA: COMPANY CONFORMED NAME: ITALY FUND INC CENTRAL INDEX KEY: 0000785855 STANDARD INDUSTRIAL CLASSIFICATION: [] IRS NUMBER: 133346515 STATE OF INCORPORATION: MA FISCAL YEAR END: 0131 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 811-04517 FILM NUMBER: 1722498 BUSINESS ADDRESS: STREET 1: TWO WORLD TRADE CENTER CITY: NEW YORK STATE: NY ZIP: 10048 BUSINESS PHONE: 6175731332 8-K 1 italy940717.txt CURRENT REPORT ON FORM 8K SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 8-K CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Date of Report (Date of earliest event reported): July 31, 2001 THE ITALY FUND INC. ------------------- (Exact name of registrant as specified in its charter) Maryland 811-04517 133346515 ------------------ --------- ------------ (State or other jurisdiction (Commission File (IRS Employer of incorporation) Number) Identification No.) 7 World Trade Center, New York, New York 10048 - --------------------------------------------------------- ----------- (Address of principal executive offices) Zip Code Registrant's telephone number, including area code: (212) 783-0693 N/A - -------------------------------------------------------------------------------- (Former name or former address, if changed since last report.) Item 5. Other Events On August 22, 2001, The Italy Fund Inc. (the "Fund") announced the portfolio allocations for the Fund as of July 31, 2001 following its recently concluded tender offer. The Fund said that the process of raising cash to fulfill its obligations under the tender offer allowed the Fund to reallocate its portfolio holdings towards smaller and mid-capitalization companies which it believes offer greater potential for growth than do larger capitalization issues. In addition, the Fund said that the greater focus on smaller and mid-capitalization companies is part of the effort of the Board of Directors (the "Board") and management of the Fund to enhance shareholder value. The Fund also announced that the Board approved the reinstatement of the Fund's active share repurchase program. The Board said it will continue to monitor the Fund's market price discount to net asset value and consider whether any further actions are necessary or appropriate. A copy of the press release issued by the Fund on August 23, 2001 is attached hereto as Exhibit 99.1 and is incorporated herein by reference. Item 7. Financial Statements and Exhibits (c) Exhibits 99.1 Press Release of The Italy Fund, dated August 23, 2001 -2- SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. THE ITALY FUND INC. By: /s/ Heath B. McLendon ------------------------------ Name: Heath B. McLendon Title: Chairman of the Board of Directors Dated: August 23, 2001 -3- EX-99.1 4 italy940717a.txt EX-99.1 PRESS RELEASE The Italy Fund Inc. Announces Post Tender Portfolio Allocations For Immediate Release NEW YORK - PR Newswire - August 23, 2001 - The Italy Fund Inc., which is listed on the New York Stock Exchange under the symbol "ITA," announced today the portfolio allocations for the Fund as of July 31, 2001 following its recently concluded tender offer. "We have used the recent tender offer as an opportunity to reallocate the Fund's portfolio holdings towards smaller and mid-capitalization companies which we believe offer greater potential for growth than do larger capitalization issues," said Heath B. McLendon, Chairman of The Italy Fund. "We are optimistic about the long-term potential of the Italian equity market and believe that both the Italian market and the Euro are currently undervalued by investors." "These smaller and mid-capitalization companies are generally not as readily available to investors outside of Italy," said Rein van der Does, Portfolio Manager of The Italy Fund. "Such types of companies have contributed in the past to the Fund's strong absolute long-term performance and relative performance versus the Italian indices. Our strategy is to look for solid companies with strong growth prospects rather than trying to define specific economic or market trends. Our belief is that good companies should thrive over the long-term regardless of the latest financial trends." At a meeting yesterday of The Italy Fund, the Board of Directors approved the reinstatement of the Fund's active share repurchase program and reaffirmed their commitment to work for the benefit of the Fund and its shareholders. The greater focus on smaller and mid-capitalization companies is part of the efforts of the Board of Directors and Management of the Fund to enhance shareholder value. Other efforts of the Board and Management to enhance shareholder value include the share repurchase program originally approved by the Board in 1998, and tender offers conducted in 2000 and 2001. The Board of Directors will continue to monitor the Fund's market price discount to net asset value and consider whether any further actions are appropriate. The Italy Fund Inc. (NYSE: ITA) Investment Objective: The Fund seeks long-term capital appreciation through investment of at least 65% of assets in a portfolio of Italian securities. Portfolio Composition* Industry Allocations - -------------------- ITA MSCI Index --- ---------- Automotive 1.6% 3.1% Banking 12.5 24.5 Construction 4.5 0.1 Consumer Products 17.0 1.6 Energy/Gas 4.7 14.1 Insurance 7.3 14.4 Media/Printing 4.8 3.8 Pharmaceuticals 8.7 0.3 Telecommunications 24.1 25.1 Textiles/Clothing 3.9 0.7 Utilities 2.5 8.0 Miscellaneous 4.2 4.3 Cash 4.2 0.0 Top 10 Holdings - --------------- Telecom Italia Mobile SpA Wireless Telecom 12.74% Telecom Italia Di Risp Telecommunications 11.38 Recordati SpA Pharmaceuticals 8.66 Autogrill SpA Consumer: Restaurant 8.06 Bipop-Carire SpA Banking 7.74 Parmalat Finanziara Food 5.12 Banca Fideuram SpA Banking 4.71 Saipem Energy Services 4.70 Bayeriche Vita SpA Insurance 4.51 Buzzi Unicem Construction 4.46 *Portfolio holdings and weightings are subject to change at any time. Portfolio Statistics - -------------------- Total Net Assets $44,188,166 million Market Price $8.00 NAV $8.72 Shares Outstanding: 5,067,450 Inception Date: February 28, 1986 2001 Distribution: $1.21 per share 2000 Distribution: $7.98 per share 1999 Distribution: $3.18 per share The Italy Fund Inc., a non-diversified investment management company, is managed by Smith Barney Fund Management LLC, a wholly owned subsidiary of Salomon Smith Barney Holdings Inc. Contact: Brenda Grandell Director, Closed-End Funds Citigroup Asset Management 212-783-3471 -----END PRIVACY-ENHANCED MESSAGE-----