NEW YORK, June 25, 2014 /PRNewswire/ -- The Boards of Directors of Neuberger Berman California Intermediate Municipal Fund Inc. (NYSE MKT: NBW), Neuberger Berman Intermediate Municipal Fund Inc. (NYSE MKT: NBH) and Neuberger Berman New York Intermediate Municipal Fund Inc. (NYSE MKT: NBO) (collectively, the "Funds") have approved the Funds' plan to refinance all of their leverage through the issuance of Variable Rate Municipal Term Preferred Shares ("VMTPs"), the proceeds of which will be used to redeem 100% of the Funds' outstanding Auction Market Preferred Shares ("AMPS").

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The AMPS will be redeemed at the full liquidation preference of $25,000 per share, plus accumulated distributions owed. The Funds have filed with the Securities and Exchange Commission, notices of their intention to redeem all outstanding AMPS. Subject to the satisfaction of certain requirements, including the successful issuance and sale of the VMTPs, the Funds expect to redeem their AMPS in accordance with the schedule below:



    Fund Series   CUSIP     Redemption Date
    ---- ------   -----     ---------------

    NBW  Series A 64123C200 July 1, 2014
    ---  -------- --------- ------------

    NBW  Series B 64123C309 July 1, 2014
    ---  -------- --------- ------------

    NBH  Series A 64124P200 July 2, 2014
    ---  -------- --------- ------------

    NBH  Series B 64124P309 July 2, 2014
    ---  -------- --------- ------------

    NBO  Series A 64124K201 July 7, 2014
    ---  -------- --------- ------------

    NBO  Series B 64124K300 July 3, 2014
    ---  -------- --------- ------------

The Funds expect to issue VMTPs via private placements. VMTPs are preferred shares with a mandatory-term redemption date in five (5) years that pay distributions that are set to a fixed spread against the Securities Industry and Financial Markets Association (SIFMA) Municipal Swap Index. VMTPs are senior in priority to the Funds' outstanding common stock as to payments of distributions. The Funds anticipate that its total overall leverage from preferred stock will remain substantially the same after the VMTP Share issuance and redemption of its AMPS.

The Funds have not registered any VMTPs under the Securities Act of 1933, as amended (the "Securities Act"), or any state securities laws. Unless so registered, no VMTPs may be offered or sold in the United States except pursuant to an exemption from the registration requirements of the Securities Act and applicable state securities laws. This press release is neither an offer to sell nor a solicitation of an offer to buy any of these securities.

About Neuberger Berman

Neuberger Berman is a 75-year-old private, independent, employee-controlled investment manager. The firm manages equities, fixed income, private equity and hedge fund portfolios for institutions and advisors worldwide. With offices in 16 countries, Neuberger Berman's team is approximately 2,000 professionals and the company was named by Pensions & Investments as a 2013 Best Place to Work in Money Management. Tenured, stable and long-term in focus, the firm fosters an investment culture of fundamental research and independent thinking. It manages $247 billion in client assets as of March 31, 2014. For more information, please visit our website at www.nb.com

Certain statements in this press release, such as those related to the issuance of VMTPs or the redemption of AMPS, the methodology for and timing of such issuance or redemption, and the use of leverage, constitute forward-looking statements, which involve known and unknown risks, uncertainties and other factors that may cause the actual results, levels of activity, performance or achievements of the Funds, or industry results, to be materially different from any future results, levels of activity, performance or achievements expressed or implied by such forward-looking statements. Among other risks and uncertainties are the ability of the Funds to issue VMTPs, redeem AMPS, the ability to successfully use leverage and the possibility that costs associated with the leverage are higher than expected. As a result, no assurance can be given as to future results, levels of activity, performance or achievements, and neither the Funds nor any other person assumes responsibility for the accuracy and completeness of such statements in the future.

Contact:
Neuberger Berman Management LLC
Investor Information
(877) 461-1899

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SOURCE Neuberger Berman