SOURCE: Bancroft Fund Ltd.

August 14, 2007 18:16 ET

Bancroft Fund Ltd. Announces Dividend, Earnings and Financial Update

MORRISTOWN, NJ--(Marketwire - August 14, 2007) - Bancroft Fund Ltd. (AMEX: BCV) today reported financial highlights and certain portfolio information for the nine months ended July 31, 2007.

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

$0.21 per share          Payable Date            Record Date
from ordinary income     September 27, 2007      September 13, 2007

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Earnings Report            Three Months Ended       Nine Months Ended
                                July 31                  July 31
                             2007        2006        2007       2006
                        ------------ ------------ ------------ ------------
Net Income                $1,309,000   $1,125,000   $3,647,000   $3,419,000
   Per Share                   $0.23        $0.20        $0.64        $0.61
Shares Outstanding         5,733,016    5,625,134    5,733,016    5,625,134
Total Net Assets        $133,301,000 $122,180,000 $133,301,000 $122,180,000

Net Asset Value Per
 Share                        $23.25       $21.72       $23.25       $21.72

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Fund Statistics as                        Top Ten Holdings by underlying
 of July 31, 2007                          common stock as of July 31, 2007

                                                            % of Net Assets
Market price                  $20.95      LSI Corp.                    2.7
Net asset value (NAV)         $23.25      U.S. Bancorp                 2.6
Premium/(Discount)             (9.89)%    LSB Industries, Inc.         2.3
Total Net Assets        $133,301,000      Prudential Financial, Inc.   2.3
12-Month income                           The Walt Disney Company      2.2
 distribution                 $0.865      Bristow Group Inc.           2.1
Yield on market value           4.13%     Chesapeake Energy Corp.      2.1
Ratio of expenses               1.06% *   Freeport-McMoRan Copper
Ratio of net income             3.71% *   & Gold Inc.                  2.1
Portfolio turnover             65.21%     Nabors Industries Ltd.       2.1
Shares outstanding         5,733,016      New York Community
* Annualized                               Bancorp, Inc.               2.0

Major Industry Exposure                   Portfolio Ratings from Moody's
 as of July 31, 2007                       as of July 31, 2007

                                         (From S&P when Moody's is
                     % of Net Assets      unavailable)
Energy                          10.3
Insurance                        8.8                        % of Portfolio
Pharmaceuticals                  8.4      Aa                      13
Banking/Savings and Loan         7.7      A                       19
Semiconductors                   6.9      Baa                     15
Computer Hardware                5.1      Ba                       9
Health Care                      4.8      B                       17
Minerals and Mining              4.5      NR                      27
Multi-Industry                   4.4
Telecommunications               3.9

Asset Allocation as of July 31, 2007

                     % of Net Assets
Convertible Bonds and Notes     62.3
Corporate Bonds and Notes        1.1
Convertible Preferred Stocks    10.8
Mandatory Convertible
 Securities                     20.2
Short-term Securities            5.0
Other Assets                     0.6

Data is unaudited and as of July 31, 2007. This selected information should be read in conjunction with the financial statements and notes included in the Company's Semi-Annual Report to Shareholders for the six months ended April 30, 2007.

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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