A recent Reserve press release explains the slight delay in a final distribution of Reserve Government Fund, which was supposed to have been paid last week. Reserve's U.S. Government Fund Distribution Update provides "notice of its intention to consummate the sale of its remaining portfolio securities to the Treasury through the Exchange Stabilization Fund on January 15, 2009.... [I]t is anticipated that the Fund will commence distribution of the proceeds from this sale, along with the Fund's remaining assets, on January 16, 2009." In other news, the SEC has posted a new no-action letter related to money funds on its website at www.sec.gov/divisions/investment/im-noaction.shtml#money. The letter involves Mount Vernon Securities Lending Trust, U.S. Bancorp, and FAF Advisors,, asking for an extension of permission for an advisor to purchase securities with a market value "that is equal to or less than their amortized cost value" at amortized cost "to the extent necessary to allow the Fund to pay redemption proceeds".
