SOURCE: Bancroft Convertible Fund, Inc.

February 13, 2006 19:46 ET

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

MORRISTOWN, NJ -- (MARKET WIRE) -- February 13, 2006 --Bancroft Convertible Fund, Inc. (AMEX: BCV) today reported financial highlights and certain portfolio information for the three months ended January 31, 2006.

The Fund declared its one hundred forty-first quarterly dividend today:


$0.18 per share                 Payable Date                   Record Date
from ordinary income          March 30, 2006                March 16, 2006



Earnings Report                         Three Months Ended
                                           December 31

                                       2006            2005
                                   ------------    ------------

Net Income                           $1,482,000      $1,063,000
  Per Share                               $0.26           $0.19
Shares Outstanding                    5,625,134       5,588,453
Total Net Assets                   $124,115,000    $116,098,000

Net Asset Value Per Share                $22.06          $20.77


Fund Statistics as of                    Top Ten Holdings by
  January 31, 2006                        underlying common
                                      stock as of January 31, 2006
                                                           % of Net Assets
Market price                $18.62    The Walt Disney Company       3.3
Net asset value (NAV)       $22.06    Teva Pharmaceutical
Premium/(Discount)          (15.59)%  Industries Ltd.               2.7
Total Net Assets      $124,115,000    Nuveen Investments, Inc.      2.5
12-Month income                       The St. Paul Travelers
 distribution              $0.7530    Companies, Inc.               2.5
Yield on market price         4.04%   Freeport-McMoRan Copper
Ratio of expenses             1.15%*   and Gold, Inc.               2.2
Ratio of net income           4.96%*  International Rectifier Corp. 2.2
Portfolio Turnover           19.67%   Washington Mutual, Inc.       2.2
Shares outstanding       5,625,134    Celanese Corp.                2.1
* Annualized                          The TJX Companies, Inc.       2.1
                                      Chesapeake Energy Corp.       2.0



Major Industry Exposure as of           Portfolio Ratings from Moody's
    January 31, 2006                        as of January 31, 2006

                  % of Net Assets   (From S&P when Moody's is unavailable)
Financial and Insurance      17.1
Technology                   11.2                          % of Portfolio
Energy                        9.9      Aa                         13
Pharmaceuticals               9.7      A                           7
Banking/Savings and Loan      8.5      Baa                        23
Aerospace and Defense         5.9      Ba                         11
Entertainment                 4.5      B                          25
Health Care                   4.3      NR                         21
Telecommunications            4.1
Retail                        3.8

Asset Allocation as of
   January 31, 2006

                                    % of Net Assets
Convertible Bonds & Notes                51.7
Convertible Preferred Stock              23.9
Mandatory Convertibles                   17.7
Common Stock                              1.0
Short-term Securities                     5.4
Other Assets                              0.3

Data is unaudited and as of January 31, 2006. 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, 2005.

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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