NEUBERGER BERMAN ENERGY INFRASTRUCTURE AND INCOME FUND ANNOUNCES MONTHLY DISTRIBUTION

Rhea-AI Summary

Neuberger Berman Energy Infrastructure and Income Fund (NYSE American: NML) has declared a monthly distribution of $0.0584 per share of common stock. The distribution will be payable on January 31, 2025, with a record date and ex-date of January 15, 2025.

The Fund aims to make regular monthly cash distributions based on projected net returns and other factors. Distributions typically come from distributable cash flow, including MLP distributions, stock dividends, debt instrument interest, and other investments, minus operating expenses and leverage costs. A portion of distributions may constitute a non-taxable return of capital, which reduces stockholders' basis in Fund shares.

Positive

• Regular monthly distribution maintained at $0.0584 per share
• Multiple income sources including MLPs, stocks, and debt instruments

Negative

• Fund subject to federal income tax, reducing available distribution amounts
• Distributions may include return of capital, potentially affecting tax basis

NEW YORK, Dec. 31, 2024 /PRNewswire/ -- Neuberger Berman Energy Infrastructure and Income Fund Inc. (NYSE American: NML) (the "Fund") has announced a distribution declaration of $0.0584 per share of common stock. The distribution announced today is payable on January 31, 2025, has a record date of January 15, 2025, and has an ex-date of January 15, 2025.

The Fund currently intends to make regular monthly cash distributions to holders of its common stock at a fixed rate per share, to be determined based on the projected net rate of return of the Fund's investments as well as other factors, subject to ongoing review and adjustment from time to time.  The Fund currently intends to pay its regular monthly distributions out of its distributable cash flow, which generally consists of (1) cash and paid-in-kind distributions from master limited partnerships ("MLPs") or their affiliates, dividends from common stocks, interest from debt instruments and income from other investments held by the Fund less (2) current or accrued operating expenses, including leverage costs, if any, and taxes on its taxable income.  

The Fund expects that a portion of its distributions to stockholders will constitute a non-taxable return of capital. A "return of capital" is a distribution by the Fund which represents a return of a common stockholder's original investment and should not be confused with a dividend.  To the extent the Fund pays a return of capital, a common stockholder's basis in Fund shares will be reduced, which will increase a capital gain or reduce a capital loss upon sale of those shares.  There is no assurance that the Fund will always be able to pay a distribution of any particular amount, or that a distribution will consist solely of the Fund's current and accumulated earnings and profits. 

In compliance with Section 19 of the Investment Company Act of 1940, as amended, a notice would be provided for any distribution that does not consist solely of net investment income. The notice would be for informational purposes and not for tax reporting purposes, and would disclose, among other things, estimated portions of the distribution, if any, consisting of net investment income, capital gains and return of capital. The final determination of the source and tax characteristics of all distributions paid in 2025 will be made after the end of the year.

The Fund is subject to federal income tax on its taxable income, unlike most investment companies. Any taxes paid by the Fund will reduce the amount available to pay distributions to stockholders, and therefore investors in the Fund will likely receive lower distributions than if they invested directly in MLPs.

About Neuberger Berman

Neuberger Berman is an employee-owned, private, independent investment manager founded in 1939 with over 2,800 employees in 26 countries. The firm manages $509 billion of equities, fixed income, private equity, real estate and hedge fund portfolios for global institutions, advisors and individuals. Neuberger Berman's investment philosophy is founded on active management, fundamental research and engaged ownership. The PRI identified the firm as part of the Leader's Group, a designation awarded to fewer than 1% of investment firms for excellence in environmental, social and governance practices. Neuberger Berman has been named by Pensions & Investments as the #1 or #2 Best Place to Work in Money Management for each of the last ten years (firms with more than 1,000 employees). Visit www.nb.com for more information. Data as of September 30, 2024.

Statements made in this release that look forward in time involve risks and uncertainties. Such risks and uncertainties include, without limitation, the adverse effect from a decline in the securities markets or a decline in the Fund's performance, a general downturn in the economy, competition from other closed end investment companies, changes in government policy or regulation, inability of the Fund's investment adviser to attract or retain key employees, inability of the Fund to implement its investment strategy, inability of the Fund to manage rapid expansion and unforeseen costs and other effects related to legal proceedings or investigations of governmental and self-regulatory organizations.

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

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SOURCE Neuberger Berman

FAQ

What is the January 2025 distribution amount for NML stock?

NML announced a distribution of $0.0584 per share of common stock for January 2025.

When is the record date for NML's January 2025 distribution?

The record date for NML's January 2025 distribution is January 15, 2025.

What are the main sources of NML's distributions?

NML's distributions come from MLP distributions, common stock dividends, debt instrument interest, and other investment income, minus operating expenses and leverage costs.

How does NML's tax structure affect shareholder distributions?

NML is subject to federal income tax, which reduces the amount available for shareholder distributions compared to direct MLP investments.

What tax implications should NML investors consider?

A portion of NML's distributions may constitute non-taxable return of capital, which reduces investors' cost basis in shares and affects capital gains/losses upon sale.