PIMCO Launches New Unconstrained Bond Fund

NEWPORT BEACH, CA--(Marketwire - July 9, 2008) - PIMCO, a leading investment management firm, announced today that it has launched the PIMCO Unconstrained Bond Fund (UBF), which puts the firm's proven investment process to work for clients in a fund that is not tethered to benchmark-specific guidelines. The UBF is managed by PIMCO Managing Director and Portfolio Manager Chris Dialynas.

"The underlying strategy of the UBF provides greater scope to adjust duration exposure, allocate across sectors, express our active views and tap into our global fixed income toolkit beyond what is possible with benchmark-oriented funds. Our approach to the UBF will be governed by PIMCO's investment philosophy and disciplined secular process, and we believe the UBF will benefit from the depth of the firm's expertise as well as our rigorous focus on risk management," said Mr. Dialynas.

Key features of the UBF include:

--  Offer traditional characteristics of a core bond fund such as limited
    downside risk, low correlation with equities, liquidity and diversification
--  Potential to outperform traditional active fixed-income management
    approaches where the manager may be expected to limit tracking error
    relative to a benchmark
--  May invest in derivative instruments such as options, futures
    contracts or swap agreements
--  May invest in mortgage and asset-backed securities
--  May invest in securities denominated in foreign currencies
--  Up to 50% of assets of the UBF can be invested in securities and
    instruments economically tied to emerging market countries
--  Up to 40% of assets of the UBF can be invested in high yield corporate
    bonds
    

The launch of the unconstrained bond fund is another natural extension of PIMCO's proven track record in active fixed income management. Like all PIMCO products, the fund is guided by PIMCO's unique secular investment process, which focuses on long-term economic, social and political trends that may have lasting impacts on investment returns. Moreover, over shorter cyclical time frames, the unconstrained nature of the fund allows PIMCO to take on more risk when PIMCO identifies tactical opportunities, and it allows for reduction and diversification of risk at times when the outlook may be challenging for traditional fixed income benchmarks.

The ticker symbol for the PIMCO Unconstrained Bond Fund is PFIUX.

About PIMCO

PIMCO, founded in 1971, is a global asset management firm serving a full range of institutional and retail investors worldwide. Our reputation as one of the world's top asset managers rests on our combination of a long-term investment approach, superior client servicing and cutting edge technology. With offices in nine countries in North America, Europe and Asia, we manage investments across a full spectrum of global financial markets. Our success is built on our goal of consistently providing attractive returns while maintaining a strong culture of risk management and long-term discipline. PIMCO is owned by Allianz Global Investors, a subsidiary of the Munich-based Allianz Group, a leading global insurance company.

Except for the historical information and discussions contained herein, statements contained in this news release constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements may involve a number of risks, uncertainties and other factors that could cause actual results to differ materially, including the performance of financial markets, the investment performance of PIMCO's sponsored investment products and separately managed accounts, general economic conditions, future acquisitions, competitive conditions and government regulations, including changes in tax laws. Readers should carefully consider such factors. Further, such forward-looking statements speak only on the date at which such statements are made. PIMCO undertakes no obligation to update any forward-looking statements to reflect events or circumstances after the date of such statements.

Contact Information: Contact: Steven Vames PIMCO Marketing Communications Email: Phone: +1 212.739.3598