[LOGO] THE GABELLI
UTILITY TRUST
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Initial Report
September 30, 1999
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[LOGO] THE GABELLI
UTILITY TRUST
Our cover icon represents the underpinnings of Gabelli. The Teton
mountains in Wyoming represent what we believe in in America -- that
creativity, ingenuity, hard work and a global uniqueness provide
enduring values. They also stand out in an increasingly complex,
interconnected and interdependent economic world.
Investment Objective:
The Gabelli Utility Trust is a closed-end, non-diversified management investment
company whose primary objective is long-term growth of capital and income. The
Fund will invest in companies that provide products, services or equipment for
the generation or distribution of electricity, gas and water. Additionally, the
Fund will invest in companies in telecommunications services or infrastructure
operations.
This report is printed on recycled paper.
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[LOGO] THE GABELLI
UTILITY TRUST
To Our Shareholders,
In this, our initial report to shareholders, we would like to thank you
for the confidence you have expressed in our investing abilities. The Gabelli
Utility Trust (the "Utility Trust") commenced operations on July 9, 1999, as a
spin-off from the Gabelli Equity Trust, with an initial net asset value of
$7.50. The Equity Trust common stock shareholders received one share of the
Utility Trust for every ten Equity Trust common shares owned. The Utility Trust
began trading on the New York Stock Exchange on a when-issued basis at $7.50 per
share on June 29, 1999 under the symbol GUT. It started trading on the NYSE on a
regular way basis on July 12, 1999, with a closing price on that day of $9.8125.
Investment Performance
From the Fund's inception on July 9, 1999 through September 30, 1999, The
Gabelli Utility Trust's net asset value total return was 0.13%. For the quarter,
the S&P Utility Index declined by 4.78% and the Lipper Utility Fund Average was
down 3.40%. The S&P Utility Index is an unmanaged indicator of electric and gas
utility stock performance and the Lipper Average reflects the average
performance of open-end mutual funds classified in this particular category.
The Utility Trust's common shares ended the third quarter at $8.375 per
share on the New York Stock Exchange, up 11.67% for the quarter.
Second Offering
During the quarter, the Utility Trust issued 301,819 shares in a second
offering. As a result, the Trust increased its net assets by an additional
$2,262,711.
Our Approach
Our first spin-off from The Gabelli Equity Trust was in 1994 when we
created The Gabelli Global Multimedia Trust. Our belief that telecommunications
and entertainment stocks would benefit through globalization proved correct and
that fund has provided excellent returns for investors.
Our targets today include a bucket full of B's: banks, brokers,
broadcasters, Bell operating companies and BTU (utilities) companies. We believe
a portfolio of utility stocks composed of water, gas and electric companies will
be another area of opportunity and profit for our shareholders. We therefore
look forward to the changes that utilities face, giving us the opportunity to
invest in an established industry with a catalyst deregulation - that will lead
to higher valuations. This is a field we are comfortable playing on with our
investment methodology, and we believe our shareholders in The Gabelli Utility
Trust will be rewarded.
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Monthly Distributions
The Gabelli Utility Trust set an initial $.05 per share monthly
distribution policy for October, November and December 1999. The Board of
Trustees will set the monthly distribution policy for the year 2000.
What We Do
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The success of momentum investing in recent years and investors' desire
for instant gratification have combined to make value investing appear dull. At
the risk of being dull, we will describe the boring value approach that has seen
us through both good and bad for over 22 years at Gabelli Asset Management
Company. The accompanying graphic illustrates the interplay among the four
components of our valuation approach.
Our focus is on free cash flow: earnings before interest, taxes,
depreciation and amortization (EBITDA), minus the capital expenditures necessary
to grow the business. We believe free cash flow is the best barometer of a
business value. Rising free cash flow often foreshadows net earnings
improvement. We also look at earnings per share trends. Unlike Wall Street's
ubiquitous earnings momentum players, we do not try to forecast earnings with
accounting precision and then trade stocks based on quarterly expectations and
realities. We simply try to position ourselves in front of long term earnings
uptrends. In addition, we analyze on and off balance sheet assets and
liabilities such as plant and equipment, inventories, receivables, and legal,
environmental and health care issues. We want to know everything and anything
that will add to, or detract from, our private market value (PMV) estimates.
Finally, we look for a catalyst: something happening in the company's industry
or indigenous to the company itself that will surface value. In the case of the
independent telephone stocks, the catalyst is a regulatory change. In the
agricultural equipment business, it is the increasing worldwide demand for
American food and feed crops. In other instances, it may be a change in
management, sale or spin-off of a division or the development of a profitable
new business.
Once we identify stocks that qualify as fundamental and conceptual
bargains, we then become patient investors. This has been a proven long term
method for preserving and enhancing wealth in the U.S. equity markets. At the
margin, our new investments are focused on businesses that are well-managed and
will benefit from sustainable long term economic dynamics. These include macro
trends, such as the globalization of the market in filmed entertainment and
telecommunications, and micro trends, such as an increased focus on
productivity-enhancing goods and services.
COMMENTARY
Deregulation Means Competition
The utility industry is changing. Deregulation is creating a new set of
dynamics, reshaping the utility landscape. Utility companies will now face new
challenges to increase their regional clout, bolster profitability, and provide
superior service at economical rates.
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New efficiencies will be needed to meet the demands of a changing
marketplace. Both the industry and the consumer will be beneficiaries as utility
companies try to achieve the critical mass they will need to compete. For
investors, this process presents opportunity. Our objective will be to find
those companies that will benefit from this process.
Utility Evolution
Back in the 1950s, utilities were growth monopolies and could pass on
their costs to their customers. This was a good deal for the utility companies.
Earnings grew, dividends rose and customers enjoyed lower rates.
Things began to change in the 1960s, as a growing awareness of
environmental problems took hold in the U.S. Pollution control required capital
investment, making utilities and their customers responsible for the costs.
Rising oil prices during the 1970s, coupled with the Three Mile Island nuclear
plant disaster, meant that "the good old days" of cheap power and few worries
were over. The world had changed and utilities would need to change along with
it.
Change would not be easy however, as the industry was mired in regulation.
The system itself needed to be revamped. The solution that evolved in the 1990s
was to free industrial, commercial and residential end-users by allowing them to
select their power supplier in a competitive marketplace. Instead of regulation,
competition would create needed innovation. Just as consumers could choose their
own long-distance telephone provider, they could now choose an electric company.
Competition was to be created over time, forcing companies to run more
efficiently and cut costs.
Size Matters
The utility industry is capital intensive, requiring a large customer base
to spread fixed costs. Opening the industry up to new players forces
efficiencies and economies of scale to take place. As a result, we will next see
a few regional utilities grow to national utilities...and from there to
international utilities. The expansion of geographic reach will necessitate
strategic alliances, mergers and acquisitions.
This is happening already. Since June 1, there have been about 20
utilities transactions in the U.S. alone. This consolidation gives rise to
larger entities that will now compete on a wider scale.
Recently, two electric utilities announced they would merge - Peco Energy
of Philadelphia and Unicom, based in Chicago. A New York Times article published
October 24, 1999 quoted Unicom's chairman Mr. John Rowe as "...trying to create
a new kind of utility, one that will emerge out of an era of sweeping
deregulation and restructuring to sell and distribute power across the country."
The article quoted Mr. Rowe, saying "We're designed to go national...Everyone's
for sale, and the question is: How do you get enough scale to be a survivor in
the energy and distribution business?"
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Let's Talk Stocks
The following are stock specifics on selected holdings of our Fund.
Favorable earnings prospects do not necessarily translate into higher stock
prices, but they do express a positive trend which we believe will develop over
time.
Cilcorp Inc. (CER - $64.8125 - NYSE), an Illinois utility company, agreed to be
acquired by AES Corp. (AES - $59.00 - NYSE) for $1.3 billion in cash and assumed
debt, as the largest U.S. power-plant developer expands into the growing Midwest
electricity market. The offer is valued at $65 per share. The acquisition is
expected to be completed by mid-November. Illinois's electric deregulation law,
which took effect last August, will make it easier for AES to improve Cilcorp's
returns. AES was attracted to CER because it is the lowest cost electricity
producer in Illinois and has been more willing to embrace competition than many
other utilities. Central Illinois Light, Cilcorp's main subsidiary, sells power
and natural gas to about 250,000 electric utility customers in the central part
of the state.
CommNet Cellular Inc. (CELS - $31.3125 - Nasdaq), a cellular carrier controlled
by the Blackstone Group, serves rural markets in Colorado, Montana, North &
South Dakota, Utah and Wyoming. In July 1999, Vodafone AirTouch announced its
intent to acquire CommNet for $1.4 billion in cash.
Eastern Utilities Associates (EUA - $29.875 - NYSE) will be merging with New
England Electric System (NES - $51.875 - NYSE). Together, the companies will
provide electric transmission and distribution for about 1.6 million customers
in 228 communities throughout Massachusetts, Rhode Island and New England. This
deal illustrates the trends of regional consolidation and international
interests. New England Electric System is a wholly owned subsidiary of National
Grid Group plc (NGG - 420.25 pence - London) based in Coventry, England.
National Grid Group plc is the largest privately owned electric transmission
company in the world.
E'town Corp. (ETW - $49.625 - NYSE) is the seventh largest investor-owned water
utility in the U.S. (based on gallons of water pumped annually). The parent
company, Elizabethtown Water Corp., serves 54 municipalities in 8 central New
Jersey counties. An E'town subsidiary, Applied Water Management Inc., designs,
owns, builds and operates water and wastewater treatment facilities. This
division, as well as cost cutting measures within E'town itself, should provide
growth opportunities for E'town. The company is selling at a multiple of book
value that is below recently announced water deals.
Florida Progress Corp. (FPC - $46.25 - NYSE) is a diversified electric utility
holding company that was recently acquired by Carolina Power & Light Co. (CPL -
$35.375 - NYSE). Florida Progress's main holding is Florida Power Corp., the
state's second largest electric utility. Florida's growing population and
economy should continue to increase the demands for power from residential and
commercial users. Combined with Carolina Power & Light it creates the nation's
ninth largest energy utility, creating synergies to effectively compete in the
rapidly growing Southeast region.
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SCANA Corp. (SCG - $24.1875 - NYSE) is currently languishing in the investment
doghouse. Earlier in 1999 SCANA, the parent of South Carolina Electric & Gas,
agreed to buy Public Service of North Carolina at a big premium, at the same
time sharply reducing its own dividend rate. SCANA also entered the deregulated
natural gas supply market in Georgia, and is incurring heavy startup losses that
have caused the company to disappoint relative to investor expectations.
Investor concerns about the company's strategy and performance have been largely
ignored by the company's management, which is understandably held in low regard
by utility investors. Utility investors are ignoring the company's highly
successful telecommunications investments; we value them at roughly $10 per
SCANA share pretax. The largest component of the telecom portfolio is nearly 10
million shares of Powertel, a southeastern wireless personal communications
services (PCS) carrier providing mobile telephone services. Powertel has three
peer companies, VoiceStream, Aerial and Omnipoint. Voicestream is in the process
of buying Aerial and Omnipoint, and may buy Powertel to complete its nationwide
footprint. This could provide the catalyst to change investors negative
perception of SCANA.
Southwest Gas Corp. (SWX - $26.9375 - NYSE) is a natural gas provider, buying,
transporting and distributing gas in Arizona, Nevada and California. Population
growth in these areas has been dynamic and has contributed to the company's
ability to consistently add new customers. Projected demographics continue to be
favorable, especially in Phoenix and Las Vegas. Southwest's potential hasn't
gone unnoticed by its peers, including Oneok Inc., (OKE - $30.3125 - NYSE) an
Oklahoma and Kansas gas distributor that has recently made a $30 per share cash
bid for Southwest Gas.
Unisource Energy Corp. (UNS - $12.00 - NYSE) is a small and struggling electric
utility serving Tucson. Following a series of disastrous miscues by prior
management in the 1980s, the company was left with a terribly weak balance sheet
and the highest rates of any non-nuclear utility in the U.S. New management
worked hard to repair the damage, and their efforts are beginning to bear fruit.
Earnings should improve dramatically next year, as should the balance sheet, and
we expect the company to reinstate its long-omitted dividend fairly soon.
United Water Resources Inc. (UWR - $32.625 - NYSE) was recently acquired for $35
per share cash by Suez Lyonnaise des Eaux (LY - 152.0 euros - Paris Bourse), a
Paris-based, worldwide leader in water and wastewater service. This
international deal illustrates the consolidation and globalization of an
essential utility. United Water was the second largest investor-owned water
company in the United States. United Water, which began its operations in New
Jersey, has since expanded into 12 states and now serves over 7.5 million
people. The company performs a wide range of water related services. With this
acquisition, Suez Lyonnaise des Eaux establishes a strong presence in the
important and growing U.S. market and sets a precedent in evolving into a
powerful, international utility company.
Wicor Inc. (WIC - $29.065 - NYSE), headquartered in Milwaukee, is a diversified
holding company whose subsidiaries provide natural gas distribution and
manufacture pumps and fluid processing equipment, including filtration
equipment. Wicor is the parent of Wisconsin Gas Company, which is the state's
largest gas utility serving about 530,000 customers. In June, Wicor agreed to be
acquired by Wisconsin Energy Corporation (WEC - $23.438 - NYSE) for
approximately $1.275 billion plus the assumption of $230 million of Wicor debt.
The combined companies will serve over one million electric customers in
Wisconsin and Michigan's Upper Peninsula and serve more than 920,000 gas
customers.
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Daily NAVs Distributed by Nasdaq
Since our inception, we have made the net asset value available on nightly
recordings through 1-800-GABELLI. Nasdaq is also disseminating the daily per
share net asset values (NAV's) for the Gabelli Utility Trust, which is traded on
the New York Stock Exchange. The NAV ticker symbol via Nasdaq is "XGUTX".
The NAVs are available through any stock quote lookup service and on
broker Nasdaq level one terminals. The dissemination of daily NAVs allows
investors and brokers to better track the long-term performance of the Fund's
underlying portfolio. We support Nasdaq's efforts in making closed-end funds'
NAVs available on a daily basis.
Internet
You can now visit us on the Internet. Our home page at
http://www.gabelli.com contains information about Gabelli Asset Management Inc.,
the Gabelli Mutual Funds, IRAs, 401(k)s, quarterly reports, closing prices and
other current news. You can send us e-mail at [email protected].
In Conclusion
We have created The Gabelli Utility Trust believing that consolidation in
the utility industry will continue into the next millennium. We seek to take
advantage of this trend by building positions in a portfolio of utility stocks
that represent attractive candidates for acquisition. We are confident that
utility companies will continue to be sought out and provide an attractive
investment opportunity for our shareholders.
Sincerely,
/s/ Mario J. Gabelli
Mario J. Gabelli
President and Chief Investment Officer
October 25, 1999
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Top Ten Holdings
September 30, 1999
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Cilcorp Inc. Eastern Utilities Associates
United Water Resources Inc. Southwest Gas Corp.
CommNet Cellular Inc. Wicor Inc.
CenturyTel Inc. Yankee Energy Systems Inc.
Aquarion Co. Eastern Enterprises
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NOTE: The views expressed in this report reflect those of the portfolio managers
only through the end of the period stated in this report. The managers' views
are subject to change at any time based on market and other conditions. *6
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THE GABELLI UTILITY TRUST
PORTFOLIO OF INVESTMENTS
September 30, 1999 (Unaudited)
Market
Shares Value
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COMMON STOCKS -- 60.4%
Agriculture -- 0.0%
2,000 Cadiz Inc.+ ............................ $ 19,125
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Energy and Utilities: Electric -- 20.4%
30,000 Bangor Hydro-Electric Co. .............. 495,000
75,000 Cilcorp Inc. ........................... 4,860,938
5,000 Cleco Corp. ............................ 162,188
15,000 CMP Group Inc. ......................... 395,625
24,000 Conectiv, Inc. ......................... 471,000
55,000 DPL Inc. ............................... 969,375
94,000 Eastern Utilities Associates ........... 2,808,250
51,500 El Paso Electric Co. ................... 463,500
40,000 Florida Progress Corp. ................. 1,850,000
10,000 FPL Group Inc. ......................... 503,750
12,000 Illinova Corp. ......................... 336,750
25,000 IPALCO Enterprises Inc. ................ 485,937
13,600 Maine Public Service Co. ............... 244,800
10,000 Niagara Mohawk Holdings Inc.+ .......... 154,375
25,000 SCANA Corp. ............................ 604,688
11,000 TECO Energy Inc. ....................... 232,375
5,000 TNP Enterprises Inc. ................... 194,686
20,000 Unisource Energy Corp.+ ................ 236,250
20,000 United Illuminating Co. ................ 967,500
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16,436,987
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Energy and Utilities: Natural Gas -- 18.8%
40,000 AGL Resources Inc. ..................... 650,000
18,500 Berkshire Energy Resources ............. 474,063
16,500 Columbia Energy Group .................. 913,688
7,500 CTG Resources Inc. ..................... 265,313
18,000 Delta Natural Gas Co. Inc. ............. 263,250
40,985 Eastern Enterprises .................... 1,903,241
35,000 EnergyNorth Inc. ....................... 1,452,500
10,000 Fall River Gas Co. ..................... 209,375
1,500 National Fuel Gas Co. .................. 70,781
10,000 Nicor Inc. ............................. 371,875
16,000 Peoples Energy Corp. ................... 563,000
10,000 Piedmont Natural Gas Co. Inc. .......... 303,125
20,000 Providence Energy Corp. ................ 555,000
25,000 SEMCO Energy Inc. ...................... 348,438
99,900 Southwest Gas Corp. .................... 2,691,054
75,000 WICOR Inc. ............................. 2,179,688
45,000 Yankee Energy System Inc. .............. 1,920,938
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15,135,329
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Energy and Utilities: Integrated -- 1.9%
4,000 Central Hudson Gas & Electric Corp. .... 157,500
30,000 Citizens Utilities Co., Cl. B .......... 339,375
6,000 Florida Public Utilities Co. ........... 110,250
5,000 LG&E Energy Corp. ...................... 106,250
4,000 MCN Energy Group Inc. .................. $ 68,750
1,477 NSTAR .................................. 57,217
20,000 RGS Energy Group Inc. .................. 490,000
2,000 SIGCORP Inc. ........................... 51,000
5,000 WPS Resources Corp. .................... 140,313
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1,520,655
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Energy and Utilities: Water -- 11.5%
80,000 Aquarion Co. ........................... 2,870,000
11,000 Artesian Resources Corp., Cl. A ........ 275,000
11,500 Azurix Corp.+ .......................... 197,656
12,000 California Water Service Group ......... 328,500
8,500 Connecticut Water Service Inc. ......... 250,750
3,500 Dominguez Services Corp. ............... 98,219
25,000 E'town Corp. ........................... 1,240,625
8,000 Middlesex Water Co. .................... 241,000
4,000 Pennichuck Corp. ....................... 97,000
4,200 SJW Corp. .............................. 379,575
2,000 Southwest Water Co. .................... 40,750
100,000 United Water Resources Inc. ............ 3,262,500
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9,281,575
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Telecommunications -- 0.2%
2,000 AT&T Canada Corp., Cl. B+ .............. 125,625
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Wireless Communications -- 7.6%
75,000 CenturyTel Inc. ........................ 3,046,875
99,000 CommNet Cellular Inc.+ ................. 3,099,937
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6,146,812
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TOTAL COMMON STOCKS .................... 48,666,108
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PREFERRED STOCKS -- 0.1%
Energy and Utilities: Integrated -- 0.1%
1,500 Citizens Utilities Co.,
Conv. Pfd., (EPPICS) 5.00% ........... 74,625
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Principal
Amount
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U.S. GOVERNMENT OBLIGATIONS-- 39.1%
$ 31,784,000 U.S. Treasury Bills,
4.56%, 12/02/99++................... 31,531,953
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TOTAL INVESTMENTS -- 99.6%
(Cost $80,759,240)................... 80,272,686
OTHER ASSETS AND
LIABILITIES (NET)-- 0.4%............ 330,414
-----------
NET ASSETS -- 100.0%
(10,727,015 shares outstanding) $80,603,100
============
NET ASSET VALUE........................ $7.51
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+ Non-income producing security.
++ Represents annualized yield at date of purchase.
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AUTOMATIC DIVIDEND REINVESTMENT
AND VOLUNTARY CASH PURCHASE PLAN
Enrollment in the Plan
It is the policy of The Gabelli Utility Trust ("Utility Trust") to
automatically reinvest dividends. As a "registered" shareholder you
automatically become a participant in the Utility Trust's Automatic Dividend
Reinvestment Plan (the "Plan"). The Plan authorizes the Utility Trust to issue
shares to participants upon an income dividend or a capital gains distribution
regardless of whether the shares are trading at a discount or a premium to net
asset value. All distributions to shareholders whose shares are registered in
their own names will be automatically reinvested pursuant to the Plan in
additional shares of the Utility Trust. Plan participants may send their stock
certificates to State Street Bank and Trust Company ("State Street") to be held
in their dividend reinvestment account. Registered shareholders wishing to
receive their distribution in cash must submit this request in writing to:
The Gabelli Utility Trust
c/o State Street Bank and Trust Company
P.O. Box 8200
Boston, MA 02266-8200
Shareholders requesting this cash election must include the shareholder's
name and address as they appear on the share certificate. Shareholders with
additional questions regarding the Plan may contact State Street at 1 (800)
336-6983.
Shareholders wishing to liquidate reinvested shares held at State Street
Bank must do so in writing or by telephone. Please submit your request to the
above mentioned address or telephone number. Include in your request your name,
address and account number. The cost to liquidate shares is $2.50 per
transaction as well as the brokerage commission incurred. Brokerage charges are
expected to be less than the usual brokerage charge for such transactions.
If your shares are held in the name of a broker, bank or nominee, you
should contact such institution. If such institution is not participating in the
Plan, your account will be credited with a cash dividend. In order to
participate in the Plan through such institution, it may be necessary for you to
have your shares taken out of "street name" and re-registered in your own name.
Once registered in your own name your dividends will be automatically
reinvested. Certain brokers participate in the Plan. Shareholders holding shares
in "street name" at participating institutions will have dividends automatically
reinvested. Shareholders wishing a cash dividend at such institution must
contact their broker to make this change.
The number of shares of Common Stock distributed to participants in the
Plan in lieu of cash dividends is determined in the following manner. Under the
Plan, whenever the market price of the Utility Trust's Common Stock is equal to
or exceeds net asset value at the time shares are valued for purposes of
determining the number of shares equivalent to the cash dividends or capital
gains distribution, participants are issued shares of Common Stock valued at the
greater of (i) the net asset value as most recently determined or (ii) 95% of
the then current market price of the Utility Trust's Common Stock. The valuation
date is the dividend or distribution payment date or, if that date is not a New
York Stock Exchange trading day, the next trading day. If the net asset value of
the Common Stock at the time of valuation exceeds the market price of the Common
Stock, participants will receive shares from the Utility Trust valued at market
price. If the Utility Trust should declare a dividend or capital gains
distribution payable only in cash, State Street will buy Common Stock in the
open market, or on the New York Stock Exchange or elsewhere, for the
participants' accounts, except that State Street will endeavor to terminate
purchases in the open market and cause the Utility Trust to issue shares at net
asset value if, following the commencement of such purchases, the market value
of the Common Stock exceeds the then current net asset value.
The automatic reinvestment of dividends and capital gains distributions
will not relieve participants of any income tax which may be payable on such
distributions. A participant in the Plan will be treated for Federal income tax
purposes as having received, on a dividend payment date, a dividend or
distribution in an amount equal to the cash the participant could have received
instead of shares.
The Utility Trust reserves the right to amend or terminate the Plan as
applied to any voluntary cash payments made and any dividend or distribution
paid subsequent to written notice of the change sent to the members of the Plan
at least 90 days before the record date for such dividend or distribution. The
Plan also may be amended or terminated by State Street on at least 90 days'
written notice to participants in the Plan.
Voluntary Cash Purchase Plan
The Voluntary Cash Purchase Plan is yet another vehicle for our
shareholders to increase their investment in the Utility Trust. In order to
participate in the Voluntary Cash Purchase Plan, shareholders must have their
shares registered in their own name.
Participants in the Voluntary Cash Purchase Plan have the option of making
additional cash payments to State Street for investments in the Utility Trust's
shares at the then current market price. Shareholders may send an amount from
$250 to $10,000. State Street will use these funds to purchase shares in the
open market on or about the 1st and 15th of each month. State Street will charge
each shareholder who participates $0.75, plus a pro rata share of the brokerage
commissions. Brokerage charges for such purchases are expected to be less than
the usual brokerage charge for such transactions. It is suggested that any
voluntary cash payments be sent to State Street Bank and Trust Company, P.O. Box
8200, Boston, MA 02266-8200 such that State Street receives such payments
approximately 10 days before the 1st or 15th of the month. Funds not received at
least five days before the investment date shall be held for investment on the
following investment date. A payment may be withdrawn without charge if notice
is received by State Street at least 48 hours before such payment is to be
invested.
For more information regarding the Dividend Reinvestment Plan and
Voluntary Cash Purchase Plan, brochures are available by calling (914) 921-5070
or by writing directly to the Utility Trust.
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DIRECTORS AND OFFICERS
THE GABELLI Utility TRUST
One Corporate Center, Rye, NY 10580-1434
Directors
Mario J. Gabelli, CFA
Chairman and Chief Investment Officer
Gabelli Asset Management Inc.
Dr. Thomas E. Bratter
President, John Dewey Academy
Felix J. Christiana
Former Senior Vice President
Dollar Dry Dock Savings Bank
Anthony J. Colavita
Attorney-at-Law
Anthony J. Colavita, P.C.
James P. Conn
Former Managing Director and Chief Investment Officer,
Financial Security Assurance Holdings Ltd.
Vincent D. Enright
Former Senior Vice President and
Chief Financial Officer
KeySpan Energy Corp.
Frank J. Fahrenkopf, Jr.
President and Chief Executive Officer,
American Gaming Association
John D. Gabelli
Senior Vice President
Gabelli & Company, Inc.
Karl Otto Pohl
Former President
Deutsche Bundesbank
Anthony R. Pustorino
Certified Public Accountant
Professor, Pace University
Salvatore J. Zizza
Chairman,
The Bethlehem Corp.
Officers
Mario J. Gabelli, CFA
President & Chief Investment Officer
Bruce N. Alpert
Vice President & Treasurer
James E. McKee
Secretary
David I. Schachter
Vice President & Ombudsman
Investment Advisor
Gabelli Funds, LLC
One Corporate Center
Rye, New York 10580-1434
Custodian
Boston Safe Deposit and Trust Company
Counsel
Skadden, Arps, Slate, Mengher & Flom
Transfer Agent and Registrar
State Street Bank and Trust Company
Stock Exchange Listing
Common
------
NYSE-Symbol: GUT
Shares Outstanding: 10,727,015
The Net Asset Value appears in the Publicly Traded Funds column, under the
heading "Specialized Equity Funds," in Sunday's The New York Times and in
Monday's The Wall Street Journal. It is also listed in Barron's Mutual
Funds/Closed End Funds section under the heading "Specialized Equity Funds."
The Net Asset Value may be obtained each day by calling (914) 921-5071.
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For general information about the Gabelli Funds, call 1-800-GABELLI
(1-800-422-3554), fax us at 914-921-5118, visit Gabelli Funds' Internet homepage
at: http://www.gabelli.com or e-mail us at: [email protected]
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Notice is hereby given in accordance with Section 23(c) of the Investment
Company Act of 1940, as amended, that the Utility Trust may, from time to time,
purchase shares of its common stock in the open market when the Utility Trust
shares are trading at a discount of 10% or more from the net asset value of the
shares.
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THE GABELLI UTILITY TRUST
One Corporate Center
Rye, NY 10580-1434
(914) 921-5070
http://www.gabelli.com
Initial Report
September 30, 1999
GBFUF 09/99
