This paragraph by Jeff Tjornehoj appeared in the Lipper Research Series
FundMarket Insight Report on closed-end funds dated May 31, 2008.

"If you were hoping the merger of Western
Asset Emerging Markets Floating Rate Fund
(NYSE: EFL) and Western Asset Emerging
Markets Debt Fund (NYSE: ESD) could wait for
another day…surprise! Directors of the funds
have approved a delay of the previously
announced plan to merge EFL into ESD. EFL
sports a real premium (about 20%!), while ESD
shares are currently trading at a significant
discount to NAV. Under the terms of the
proposed merger shareholders of EFL would
give up that premium in exchange for a
discount—one of those “over my dead body”
events."

Therefore I have question to pose to all the closed-end fund gurus: since EFL is up +41.91% year-to-date and since it is selling at a premium of +23.64% above net asset value, is my best course of action to sell my shares and collect my profits now or just to wait and keep collecting my 6.99% dividend?

Jagor