Changes in control of Registrant
On July 17, 2009, Claymore Group Inc., the parent of Claymore, entered into an
Agreement and Plan of Merger between and among Claymore Group Inc., Claymore
Holdings, LLC and GuggClay Acquisition, Inc., (with the latter two entities
being wholly-owned, indirect subsidiaries of Guggenheim Partners, LLC
("Guggenheim")) whereby GuggClay Acquisition, Inc. will merge into Claymore
Group Inc. which will be the surviving entity. The transaction closed on October
14, 2009. The completed merger resulted in a change of control whereby Claymore
Group Inc. and its subsidiaries, including Claymore Advisors, LLC, became
indirect, wholly-owned subsidiaries of Guggenheim. The transaction is not
expected to affect the services provided by Claymore Advisors, LLC to the Fund.
