Reaves Utility Income Fund Section 19(a) Notice

Rhea-AI Summary

Reaves Utility Income Fund (NYSE American: UTG) paid a $0.20 monthly distribution per common share on March 31, 2026 to holders of record March 18, 2026. Current distribution attribution: net investment income $0.04076 (20.38%) and net long-term capital gain $0.15924 (79.62%).

Fiscal year-to-date per-share distributions total $1.00, comprised of net investment income $0.11908 (11.91%), long-term gains $0.45816 (45.81%) and return of capital $0.42276 (42.28%). NAV metrics: annualized distribution rate 5.70%, cumulative total return on NAV 10.66%, five-year average annual total return 14.95%.

Positive

• $0.20 monthly distribution paid on March 31, 2026
• Current distribution is largely long-term capital gain (79.62%)
• Fiscal year-to-date distributions total $1.00 per share

Negative

• Fiscal year-to-date Return of Capital 42.28%
• Only 11.91% of FYTD distributions from net investment income

Statement Pursuant to Section 19(a) of the Investment Company Act of 1940

DENVER, CO / ACCESS Newswire / March 31, 2026 / On March 31, 2026, the Reaves Utility Income Fund (NYSE American:UTG) (the "Fund"), a closed-end sector fund, paid a monthly distribution on its common stock of $0.20 per share to shareholders of record at the close of business on March 18, 2026.

The following table sets forth the estimated amount of the sources of distribution for purposes of Section 19 of the Investment Company Act of 1940, as amended, and the related rules adopted thereunder. In accordance with generally accepted accounting principles ("GAAP"), the Fund estimates the following percentages, of the total distribution amount per share, attributable to (i) current and prior fiscal year net investment income, (ii) net realized short-term capital gain, (iii) net realized long-term capital gain and (iv) return of capital or other capital source as a percentage of the total distribution amount. These percentages are disclosed for the current distribution as well as the fiscal year-to-date cumulative distribution amount per share for the Fund.

Current Distribution from:
		Per Share ($)				%
Net Investment Income			0.04076				20.38	%
Net Realized Short-Term Capital Gain			0.00000				0.00	%
Net Realized Long-Term Capital Gain			0.15924				79.62	%
Return of Capital or other Capital Source			0.00000				0.00	%
Total (per common share)			0.20000				100.00	%
Fiscal Year-to-Date Cumulative
Distributions from:
		Per Share ($)				%
Net Investment Income			0.11908				11.91	%
Net Realized Short-Term Capital Gain			0.00000				0.00	%
Net Realized Long-Term Capital Gain			0.45816				45.81	%
Return of Capital or other Capital Source			0.42276				42.28	%
Total (per common share)			1.00000				100.00	%

The timing and character of distributions for federal income tax purposes are determined in accordance with income tax regulations which may differ from GAAP. As such, all or a portion of this distribution may be reportable as taxable income on your 2026 federal income tax return. The final tax character of any distribution declared in 2026 will be determined in January 2027 and reported to you on IRS Form 1099-DIV.

The amounts and sources of distributions reported in this 19(a) Notice are only estimates and not for tax reporting purposes. The actual amounts and sources of the amounts for tax reporting purposes will depend upon the Fund's investment experience during the remainder of its fiscal year and may be subject to changes based on tax regulations. The Fund will send you a Form 1099-DIV for the calendar year that will tell you how to report these distributions for federal income tax purposes. The Fund estimates that it has distributed more than its income and net realized capital gains; therefore, a portion of your distribution may be a return of capital. A return of capital may occur for example, when some or all of the money that you invested in the Fund is paid back to you. A return of capital distribution does not necessarily reflect the Fund's investment performance and should not be confused with 'yield' or 'income.'

Presented below are return figures, based on the change in the Fund's Net Asset Value per share ("NAV"), compared to the annualized distribution rate for this current distribution as a percentage of the NAV on the last day of the month prior to distribution record date.

Fund Performance & Distribution Information

Fiscal Year to Date (11/01/2025 through 2/28/2026)
Annualized Distribution Rate as a Percentage of NAV^			5.70	%
Cumulative Distribution Rate on NAV^+			2.37	%
Cumulative Total Return on NAV*			10.66	%
Average Annual Total Return on NAV for the 5 Year Period Ended 2/28/2026**			14.95	%

^ Based on the Fund's NAV as of February 28, 2026.

⁺Cumulative distribution rate is based on distributions paid to date for the period November 1, 2025 through March 31, 2026.

*Cumulative fiscal year-to-date return is based on the change in NAV including distributions paid and assuming reinvestment of these distributions for the period November 1, 2025 through February 28, 2026.

**The 5 year average annual total return is based on change in NAV including distributions paid and assuming reinvestment of these distributions and is through the last business day of the month prior to the month of the current distribution record date.

While the NAV performance may be indicative of the Fund's investment performance, it does not measure the value of a shareholder's investment in the Fund. The value of a shareholder's investment in the Fund is determined by the Fund's market price, which is based on the supply and demand for the Fund's shares in the open market. Past performance does not guarantee future results. Shareholders should not draw any conclusions about the Fund's investment performance from the amount of this distribution or from the terms of the Fund's Managed Distribution Plan.

Furthermore, the Board of Trustees reviews the amount of any potential distribution and the income, capital gain or capital available. The Board of Trustees will continue to monitor the Fund's distribution level, taking into consideration the Fund's net asset value and the financial market environment. The Fund's distribution policy is subject to modification by the Board of Trustees at any time. The distribution rate should not be considered the dividend yield or total return on an investment in the Fund.

Paralel Distributors LLC, FINRA Member Firm.

Contact info:
Website: https://www.utilityincomefund.com
Email: reavesclientinquiries@paralel.com

SOURCE: Reaves Utility Income Fund

View the original press release on ACCESS Newswire

FAQ

What did UTG announce about its March 31, 2026 distribution?

The Fund paid a $0.20 per-share distribution on March 31, 2026 to shareholders of record March 18, 2026. According to the company, the payment composition was mainly long-term capital gain and some net investment income.

How was UTG's March 2026 distribution characterized for tax purposes?

The distribution is estimated mainly as long-term capital gain and some net investment income. According to the company, final tax character will be determined in January 2027 and reported on Form 1099-DIV.

What is UTG's fiscal year-to-date per-share distribution through March 31, 2026?

Fiscal year-to-date distributions equal $1.00 per share through the current period. According to the company, that $1.00 includes long-term gains, net investment income and a return of capital.

How much of UTG's FYTD distributions are return of capital?

The Fund estimates $0.42276 per share, or 42.28%, of FYTD distributions as return of capital. According to the company, this is an estimate and final tax reporting may differ.

What NAV performance metrics did UTG report for the period ending February 28, 2026?

UTG reported a 5.70% annualized distribution rate on NAV and 10.66% cumulative total return on NAV. According to the company, the five-year average annual total return on NAV was 14.95%.