SUB-ITEM 77M:
Effective June, 25, 2004, Progressive Return Fund, Inc.
("PGF") and Investors First Fund, Inc. ("MGC")
(collectively, the "Predecessor Funds") merged with
and into the Cornerstone Strategic Value Fund, Inc.
(the "Fund" or "CLM"), which was a tax-free merger.
Subsequently to the Board of Directors approving
the merger, the shareholders of the Fund approved it on
June 17, 2004. The terms of the mergers were as follows,
(i)CLM was the surviving corporation (ii)each share of
common stock of PGF and MGC was converted into an
equivalent dollar amount of full and fractional shares
of common stock of CLM based on the relative net asset
values per share of the Predecessor Funds and CLM on
the business day preceding the day on which the mergers
were consummated, (iii) each stockholder of the
Predecessor Funds participating in the their Funds'
dividend reinvestment plans received fractional shares
of CLM based on the relative net asset values per share
of the Predecessor Funds and CLM on the business day
preceding the day on which the mergers were consummated,
(iv) PGF and MGC's stockholders that did not participate
in PGF and MGC's dividend reinvestment plans did not
receive fractional shares, rather CLM's transfer agent
aggregated all fractional shares, selling the resulting
full shares on the American Stock Exchange, LLC at the
then current prices and remitted the proceeds to PGF
and MGC's stockholders in proportion to their fractional
shares.

In connection with the merger, CLM issued that number
of shares that have an aggregate net asset value equal
to the aggregate net asset values of the outstanding
shares of the Predecessor Funds. Each PGF and MGC
stockholder received shares of CLM having an aggregate
net asset value equal to the aggregate net asset values
of the stockholder's PGF or MGC shares at the close of
business on the day before the effective date of the
mergers.