SOURCE: Bancroft Convertible Fund, Inc.

May 17, 2005 14:36 ET

Bancroft Convertible Fund, Inc. Announces Dividend, Earnings and Financial Update

MORRISTOWN, NJ -- (MARKET WIRE) -- May 17, 2005 -- Bancroft Convertible Fund, Inc. (AMEX: BCV) today reported financial highlights and certain portfolio information for the six months ended April 30, 2005.

The Fund declared its one hundred thirty-eighth quarterly dividend today:

17 cents ($0.17) per share      Payable Date     Record Date
from ordinary income            June 29, 2005    June 15, 2005

Earnings Report                 Three Months Ended    Six Months Ended
                                     April 30            April 30
                            2005          2004         2005         2004
Net Income               $680,000      $767,000    $1,743,000    $1,847,000
  Per Share                 $0.12         $0.14         $0.31         $0.33
Shares Outstanding      5,588,453     5,557,138     5,588,453     5,557,138
Total Net Assets     $111,316,000  $115,553,000  $111,316,000  $115,553,000

Net Asset Value
 Per Share                 $19.92        $20.79        $19.92        $20.79


Fund Statistics                      Top Ten Holdings by underlying common
 as of April 30, 2005                 stock as of April 30, 2005
                                                                   % of Net
                                                                     Assets
Market price                 $16.95   Chesapeake Energy Corp.          2.9
Net asset value (NAV)        $19.92   The Walt Disney Company          2.8
Premium/(Discount)           (14.91)% GlobalSantaFe Corp.              2.7
Total Net Assets       $111,316,000   Nuveen Investments, Inc.         2.7
12-Month income                       Weatherford International Ltd.   2.3
 distribution                 $0.70   Devon Energy Corp.               2.1
Yield on market value          4.13%  International Rectifier Corp.    2.0
Ratio of expenses,                    The St. Paul Travelers
 annualized                    1.21%   Companies, Inc.                 2.0
Ratio of net income,                  The Chubb Corp.                  1.8
 annualized                    3.02%  Valero Energy Corp.              1.8
Portfolio turnover            37.55%
Shares outstanding        5,588,453


Major Industry Exposure                  Portfolio Ratings from Moody's
 as of April 30, 2005                     as of April 30, 2005
                             % of Net    (From S&P when Moody's is
                              Assets      unavailable)
Energy                         17.6
Financial and Insurance        12.0                          % of Portfolio
Pharmaceuticals                11.4                   Aa             5
Banking/Savings and Loan        9.3                   A             10
Technology                      6.3                   Baa           30
Health Care                     6.2                   Ba            12
Telecommunications              5.7                   B             21
Entertainment                   4.5                 < B              1
Retail                          4.5                   NR            21
Consumer Goods                  3.1


Asset Allocation as of
 April 30, 2005

                             % of Net
                              Assets

Convertible Bonds & Notes       53.0
Convertible Preferred Stocks    21.0
Mandatory Convertibles          19.0
Short-term Securities            6.4
Other Assets                     0.6
Data is unaudited and as of April 30, 2005. This selected information should be read in conjunction with the financial statements and notes included in the Company's Annual Report to Stockholders for the twelve months ended October 31, 2004.

Detailed portfolio information is available on our website (http://www.bancroftfund.com). Visit us there or contact us by email at info@bancroftfund.com or call us at (973) 631-1177.

Bancroft is a diversified closed-end management investment company. Bancroft's investment objective is to seek a high level of total return on its assets through a combination of current income and capital appreciation. It seeks to achieve this objective by investing primarily in convertible securities.

AMEX - BCV
Cusip 059695106

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