SOURCE: PIMCO

January 15, 2008 13:35 ET

PCM Dividend Announcement, Monthly Performance, and Statistics

NEWPORT BEACH, CA--(Marketwire - January 15, 2008) - PCM Fund, Inc. (NYSE: PCM), a closed-end investment company investing primarily in commercial mortgage-backed securities, today declared a monthly dividend of 7.0 cents per share of ordinary income payable on February 14, 2008 with an ex-dividend date of January 29, 2008 to shareholders of record at the close of business on January 31, 2008.

The dividend will be paid in cash. Shareholders who participate in the Fund's Dividend Reinvestment Plan will have their distributions reinvested in an equivalent amount of shares of the Fund. Shareholders whose dividend distributions are subject to withholding of U.S. taxes by the Fund will receive cash or shares, as the case may be, net of the amounts withheld.

            Investment Performance, Price and Dividend Information
     
The Fund's valuation and investment performance information are as follows:

                Performance for the periods ended 12/31/07

                          3      6       1      3         5         10
                         Mos    Mos     Year  Years(1)  Years(1)  Years(1)
PCM Based on Net
 Asset Value (%)         0.56   2.26    2.83   5.56      6.55      7.43

PCM Based on NYSE
 Share Price (%)         -5.69  -2.98  -23.17  -0.48     1.25      6.09

Lehman Brothers
 Aggregate Index (%)     3.00   5.93    6.97   4.56      4.42      5.97

(1) Annualized

The Fund's total return investment performance is net of all fees and expenses and assumes the reinvestment of dividends.

Past performance is no guarantee of future results. Investment return, dividend rate and share price will fluctuate so that shares, when sold, may be worth more or less than their original cost.

                     Price Information

Pricing Date        NYSE Share Price     Net Asset Value
------------        ----------------     ---------------
12/31/2007               $10.25               $11.28
11/30/2007               $ 9.95               $11.07
12/31/2006               $14.40               $11.85

   Date           Premium/(Discount) to Net Asset Value
----------        -------------------------------------
12/31/2007                    -9.13%
11/30/2007                   -10.12%
12/31/2006                    21.52%

                      Yield Information
                      -----------------
Annualized dividend yield at 12/31/07 based on NYSE share price: 8.20%
Annualized dividend yield at 12/31/07 based on Net Asset Value:  7.45%

                    Portfolio Statistics

The Fund's investment portfolio had the following characteristics
as of December 31, 2007:

Net Assets:            $128.1 million

Average Duration:      5.3 years

Average Maturity:      10.3 years

Quality Ratings: *     -4% AAA, 10% AA, 22% A, 43% BAA, 12% BA, 12% B,
                       5% less than B

Average Quality: *     BAA-

Sector Weightings: %   3.6% Multi-Family (apartment buildings), 0.3%
                       Healthcare (hospitals and nursing care facilities),
                       5.5% Hospitality (hotels and motels), 59.9%
                       Multi-Class (a mix of all commercial property types,
                       including office buildings and industrial
                       properties), 18.4% Real Estate ABS, 0.0% Commercial
                       Paper, 7.1% Corporate, 5.2% Other

Leverage               0.0% (The Fund’s use of leverage is subject to
                       change at any time)

* The Fund reports Quality Breakdown based upon the value of total securities held, plus the unrealized gain or loss on swaps held. The unrealized gain or loss on swaps reflects the contribution of swaps to the default risk profile of the Fund. Average Quality will be based upon the value of total securities held, plus swaps and futures contracts at notional value, plus the unrealized gain or loss on swaps and futures contracts held. The notional value of swaps and futures contracts has been added to more fully reflect the impact of these instruments on the potential volatility of the Fund.

For further information, please contact Mick Willemsen, PIMCO PCM Fund, Inc., at (949) 720-4734.

Past performance is no guarantee of future results. Investment return, dividend rate and share price will fluctuate so that shares, when sold, may be worth more or less than their original cost.

Contact Information