TRI-CONTINENTAL CORPORATION
INVESTS PRIMARILY TO PRODUCE
LONG-TERM GROWTH OF BOTH
CAPITAL AND INCOME, WHILE PROVIDING REASONABLE
CURRENT INCOME.
Tri-Continental Corporation
MANAGED BY
[LOGO]
J. & W. SELIGMAN & CO.
INCORPORATED
INVESTMENT MANAGERS AND ADVISORS
ESTABLISHED 1864
100 PARK AVENUE, NEW YORK, NY 10017
This report is intended only for the information of Stockholders or those who
have received the current prospectus covering shares of Common Stock of
Tri-Continental Corporation, which contains information about management fees
and other costs.
CETRI3c 9/98
THIRD QUARTER REPORT 1998
TRI-CONTINENTAL
CORPORATION
AN INVESTMENT YOU CAN LIVE WITH
<PAGE>
TRI-CONTINENTAL CORPORATION
To the Stockholders:
For the third quarter of 1998, Tri-Continental Corporation posted a total
return of -7.94% based on net asset value, outpacing both the -12.91% total
return of its peers, as measured by the Lipper Closed-End Growth & Income Funds
Average, and the -9.95% total return of the S&P 500. Based on market price,
Tri-Continental's total return was -8.02% for the third quarter. In spite of
significant declines in most major stock market averages in the quarter,
Tri-Continental's year-to-date total return based on net asset value was 4.98%.
At the beginning of the third quarter, most major US stock indices reached
record peaks; both the S&P 500 and the Dow Jones Industrial Average rose to
their highest levels in history on July 17, closing at 1187 and 9338,
respectively. However, as the quarter progressed, the Asian financial crisis
worsened, Japan's recession and banking problems deepened, Russia's economy
neared ruin, and Brazil encountered fiscal problems that threatened all of Latin
America. This developing global financial instability prompted domestic and
overseas investors to favor the perceived safety and liquidity of US Government
bonds over common stocks.
In August, share prices suffered large declines, causing overall negative
investment returns for the quarter, as the gains for the year were wiped out in
several volatile trading days. On August 31, the Dow Jones Industrial Average
plummeted to 7539, below its starting level for the year, and the S&P 500
suffered its largest one-day point drop ever, falling to 958. All in all, the
third quarter of 1998 handed US blue-chip stocks their worst overall quarterly
performance since the third quarter of 1990.
In the US, the Federal Reserve Board has clearly changed its posture in
three short months. The Fed has gone from a hawkish/neutral stance on inflation
into a gradual shift toward easier money and liquidity stimulation. In both
September and October, the Fed lowered the federal funds rate by one-quarter of
one percent, suggesting that overseas turmoil was becoming a more serious
threat. Further, Fed officials have hinted that more interest-rate reductions
will come if the financial turmoil continues to spread.
The equity market volatility of the third quarter serves as a reminder that
there are risks associated with investing. The equity returns received by
investors during the last several years of more than 20% annually are well above
historic norms. Investors would be well served by moderating their expectations
for ongoing investment performance.
In the face of the current domestic and international economic
uncertainties, your Manager will continue to invest Tri-Continental's assets
based on the principal of providing long-term growth of both capital and income,
while providing reasonable current income. Indeed, Tri-Continental's disciplined
objective, coupled with its closed-end structure, enabled it to maintain an even
keel throughout the equity market turmoil of the third quarter. The investment
approach proven over many years remains in place.
We welcome Rodney Collins as Co-Portfolio Manager of Tri-Continental
Corporation. Mr. Collins has been with J. & W. Seligman & Co. Incorporated since
1992, is a member of the Seligman Growth and Income team, and has 12 years of
investment experience. Thank you for your continued support of Tri-Continental
Corporation. A discussion with your Portfolio Managers and the Corporation's
portfolio of investments follow this letter.
By order of the Board of Directors,
William C. Morris
Chairman
Brian T. Zino
President
October 30, 1998
1
<PAGE>
TRI-CONTINENTAL CORPORATION
INTERVIEW WITH YOUR PORTFOLIO MANAGERS, CHARLES C. SMITH, JR. AND RODNEY COLLINS
WHAT WERE TRI-CONTINENTAL'S INVESTMENT RESULTS IN THE THIRD QUARTER?
"Tri-Continental Corporation's portfolio had a good third quarter on a relative
basis. Based on net asset value, the portfolio's total return of -7.94%
significantly outperformed both the S&P 500 and its peer group. The S&P 500 had
a total return of -9.95% for the quarter, while the Lipper Closed-End Growth &
Income Funds Average posted a total return of -12.91%. Tri-Continental
Corporation's total return based on market price was -8.02%."
WHICH ECONOMIC AND MARKET FACTORS INFLUENCED TRI-CONTINENTAL CORPORATION IN THE
THIRD QUARTER?
"Although the US economy remained strong in the third quarter, economic turmoil
began to spread throughout the world. The Asian financial crisis worsened, Japan
again failed to sort out its banking difficulties, Russia defaulted on many
debts, emerging markets collapsed, and economic crises threatened Latin America.
In the beginning of the quarter, fears of risk in nearly all types of financial
assets drove investors worldwide into the relative safety and liquidity of US
Government bonds and large-capitalization growth stocks, and major stock market
indices jumped to record levels.
"However, stock prices began falling in late July and continued their
declines through August, as investors became more concerned about world economic
turmoil and corporate earnings growth. Stock markets in Asia and Europe tumbled,
as did emerging markets in Latin America. In the final weeks of the third
quarter, even liquid, large-cap growth stocks suffered from sell-offs. Overall,
US blue chips lost 12.4% in the period, their worst quarterly performance in
eight years, outdone only by the 15% plunge in the third quarter of 1990."
WHAT WAS YOUR INVESTMENT STRATEGY?
"Our investment strategy is relatively straightforward. We seek to invest
in companies with attractive yields and reasonable valuations, compared to other
companies within respective industries. Over time, we have found that companies
with these characteristics generally offer superior returns with lower
volatility, compared to lower-yielding securities with higher price-to-earnings
ratios.
"Our goal is to identify catalysts within companies that may lead to
earnings acceleration, capital appreciation, and opportunities for dividend
growth. In other words, we do not invest in companies simply because their
stocks appear inexpensive.
"Throughout the third quarter, we focused away from stocks that we felt
were selling at multiples that did not represent realistic earnings expectations
for their underlying companies. We instead emphasized domestic companies with
proven track records of stable earnings growth, strong fundamentals, and with
diversified international exposure. Overall, we made no major changes in the
portfolio's holdings during the third quarter.
"Our investment process is one of the main reasons that Tri-Continental's
relative investment results were strong in the quarter. Looking ahead, if the
equity market reaches lower overall valuations, we will purchase stocks of
companies that traditionally have demonstrated greater earnings growth
potential. At this point, we believe that the valuations of these kinds of
stocks are still excessive. Until valuations decrease, we will generally
maintain our present investment positions."
(CONTINUED ON PAGE 4)
2
<PAGE>
TRI-CONTINENTAL CORPORATION
- --------------------------------------------------------------------------------
INVESTMENT RESULTS PER COMMON SHARE
TOTAL RETURNS*
FOR PERIODS ENDED SEPTEMBER 30, 1998
<TABLE>
<CAPTION>
Average Annual
-------------------------------------
Three Nine One Five 10
Months Months Year Years Years
-------- -------- ----- ----- -----
<S> <C> <C> <C> <C> <C>
MARKET PRICE** (8.02)% 3.23% 3.85% 15.08% 14.95%
NET ASSET VALUE** (7.94) 4.98 4.16 16.21 15.51
LIPPER CLOSED-END
GROWTH &INCOME
FUNDS AVERAGE*** (12.91) (1.67) (1.05) 14.61 14.09
S&P 500*** (9.95) 6.00 9.05 19.91 17.29
</TABLE>
<TABLE>
<CAPTION>
PRICE PER SHARE
September 30, 1998 June 30, 1998 March 31, 1998 December 31, 1997
-------------------- --------------- ---------------- -------------------
<S> <C> <C> <C> <C>
MARKET PRICE $25.50 $27.875 $29.5625 $26.6875
NET ASSET VALUE 31.15 34.02 35.80 32.06
</TABLE>
<TABLE>
<CAPTION>
DIVIDEND AND CAPITAL GAIN INFORMATION
FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1998
Capital Gain
---------------------------------------------------
Dividends Paid+ Paid Realized Unrealized
--------------- --------- ----------- -----------
<S> <C> <C> <C> <C>
$0.39 $1.835++ $2.33 $6.47+++
</TABLE>
- ------------------------------------------------------------------------------
The rates of return will vary and the principal value of an investment will
fluctuate. Shares, if sold, may be worth more or less than their original cost.
Past performance is not indicative of future investment results.
* Returns for periods of less than one year are not annualized.
** These rates of return reflect changes in market price or net asset value,
as applicable, and assume that all distributions within the period are
taken in additional shares.
*** The Lipper Closed-End Growth & Income Funds Average and the S&P 500 are
unmanaged benchmarks that assume investment of dividends. The Lipper
Closed-End Growth & Income Funds Average excludes the effect of any costs
associated with the purchase of shares, and the S&P 500 excludes the effect
of fees and sales charges. Investors cannot invest directly in an index or
an average.
+ Preferred Stockholders were paid dividends totaling $1.875 per share.
++ Represents realized capital gains from 1997, which were paid on June 23,
1998.
+++ Represents the per share amount of net unrealized appreciation of portfolio
securities as of September 30, 1998.
- --------------------------------------------------------------------------------
3
<PAGE>
TRI-CONTINENTAL CORPORATION
INTERVIEW WITH YOUR PORTFOLIO MANAGERS (continued)
WHICH INDUSTRY GROUPS INFLUENCED THE CORPORATION'S INVESTMENT RESULTS?
"With few exceptions, the portfolio had very positive results in every
industry group. Given the recent emphasis the overall broad market has placed on
corporate earnings estimates, during the third quarter the portfolio was
overweighted in defensive sectors that demonstrated relatively stable earnings.
Only the basic materials sector, which is generally more sensitive to global
economic conditions, underperformed our expectations.
"The portfolio benefited from overweight positions in telecommunications,
energy, and electric utilities. Utilities companies generally have stable
earnings growth and little foreign exposure. Telecommunications companies
demonstrated relatively stable earnings growth, and these stocks had attractive
dividend yields. Energy stocks outperformed our expectations significantly in
the third quarter, so we reduced the portfolio's exposure to take advantage of
their performance. However, we maintained a modestly overweight position in the
energy sector.
"In addition, our judicious stock selection in health care led to superior
returns in this industry. The portfolio also benefited from an underweight
position in the technology sector, which enabled us to avoid the negative impact
of uncertain corporate earnings in this industry. Very few technology stocks had
meaningful dividend yields, and earnings generally were vulnerable to lower
overseas demand."
WHAT IS YOUR OUTLOOK?
"The global economic uncertainty of the third quarter will probably
continue, but may ultimately have a positive impact on US common stock prices.
Turmoil in Russia, Asia, Latin America, and emerging markets should continue to
fuel the flight to quality to US equity investments, which are becoming even
more attractive as a safe haven, despite day-to-day fluctuations in the stock
market.
"However, we remain concerned that corporate earnings expectations for 1999
are too high, and that earnings shortfalls by well-publicized, high-profile
companies will put a damper on stock prices overall. We believe that the US
stock market could trade in a narrow range until corporate earnings catch up to
stock prices, thereby reducing price-to-earnings multiples. A decline in the
prices of larger-capitalized stocks could weaken the broad market, and the
valuations of these kinds of issues may eventually decline.
"We will also maintain our focus on identifying companies that we feel have
relatively stable and consistent earnings growth potential, and whose stock
offers high dividends and low valuations within their respective industries.
Going forward, we believe these types of investments will be recognized as the
quality instruments that they are."
4
<PAGE>
TRI-CONTINENTAL CORPORATION
LARGEST PORTFOLIO CHANGES
JULY 1 TO SEPTEMBER 30, 1998
SHARES OR PRIN. AMT.
-------------------------
HOLDINGS
ADDITIONS INCREASE 9/30/98
---------- ----------
COMMON STOCKS
AT&T Corp. 360,000shs. 735,000shs.
Baxter International Inc. 275,000 925,000
ConAgra, Inc. 705,000 2,500,000
Ford Motor Company 800,000 800,000
Fort James Corporation 550,000 1,415,000
Raytheon Company Class "B" 1,045,000 2,100,000
Schlumberger Limited 325,000 525,000
US GOVERNMENT SECURITIES
US Treasury Notes, 63/8%,
9/30/2001 $75,000,000 $75,000,000
US Treasury Notes, 53/4%,
8/15/2003 50,000,000 50,000,000
US Treasury Notes, 65/8%,
5/15/2007 75,000,000 75,000,000
Shares
------------------------
Holdings
REDUCTIONS Decrease 9/30/98
---------- ----------
COMMON STOCKS
ACE Limited 610,900 289,100
Allegheny Teledyne, Inc. 1,375,000 --
Avon Products, Inc. 450,000 --
Eaton Corporation 352,700 --
General Electric Company 430,200 1,169,800
B.F. Goodrich Company (The) 810,000 --
Harley-Davidson Inc. 1,200,000 --
J.C. Penney Company, Inc. 735,000 --
Schering-Plough Corporation 270,000 300,000
Union Camp Corporation 500,000 --
10 LARGEST HOLDINGS
SEPTEMBER 30, 1998
- ------------------------------------------------------------
Value
------------
Raytheon Company Class "B" $113,268,750
Exxon Corporation 105,281,250
General Electric Company 93,072,212
Microsoft Corporation 86,974,063
Mobil Corporation 78,215,625
International Business
Machines Corporation 77,440,000
United Technologies Corporation 71,469,063
Philip Morris Companies, Inc. 70,475,625
American Home Products Corporation 68,087,500
ConAgra, Inc. 67,343,750
- ------------------------------------------------------------
5
<PAGE>
TRI-CONTINENTAL CORPORATION
PORTFOLIO OF INVESTMENTS (unaudited)
Shares Value
------- ---------
COMMON STOCKS - 91.1%
AEROSPACE - 3.1%
General Dynamics Corporation 750,000 $ 37,640,625
United Technologies Corporation 935,000 71,469,063
-------------
$ 109,109,688
-------------
AUTOMOTIVE AND
RELATED - 3.8%
Chrysler Corporation 1,385,000 $ 66,306,875
Dana Corporation 750,000 27,984,375
Ford Motor Company 800,000 37,550,000
-------------
$ 131,841,250
-------------
BASIC MATERIALS - 0.6%
Aluminum Company of America 275,000 $ 19,525,000
-------------
CHEMICALS - 1.0%
du Pont (E.I.) de Nemours and
Company 595,000 $ 33,394,375
-------------
COMMUNICATIONS - 9.5%
AT&T Corp. 735,000 $ 42,951,562
Ameritech Corporation 955,000 45,243,125
GTE Corporation 1,065,000 58,575,000
MCI WorldCom, Inc.* 1,220,000 59,665,625
SBC Communications, Inc. 1,070,000 47,548,125
Sprint Corporation 385,000 27,720,000
US WEST Communications
Group 915,000 47,980,313
-------------
$ 329,683,750
-------------
COMPUTER AND
BUSINESS SERVICES - 7.5%
Intel Corporation 640,000 $ 54,900,000
International Business Machines
Corporation 605,000 77,440,000
Microsoft Corporation* 790,000 86,974,063
Xerox Corporation 490,000 41,527,500
-------------
$ 260,841,563
-------------
CONSUMER GOODS
AND SERVICES - 11.5%
Anheuser-Busch Companies, Inc. 1,180,000 $ 63,720,000
Coca-Cola Company (The) 770,000 44,371,250
ConAgra, Inc. 2,500,000 67,343,750
General Mills, Inc. 520,000 36,400,000
PepsiCo, Inc. 1,190,000 35,030,625
Philip Morris Companies, Inc. 1,530,000 70,475,625
Procter & Gamble Company (The) 425,000 30,148,438
Sara Lee Corporation 975,000 52,650,000
-------------
$ 400,139,688
-------------
DIVERSIFIED - 1.2%
AlliedSignal Inc. 1,180,000 $ 41,742,500
-------------
DRUGS AND
HEALTH CARE - 12.0%
Abbott Laboratories 1,080,000 $ 46,912,500
American Home Products
Corporation 1,300,000 68,087,500
Baxter International Inc. 925,000 55,037,500
Bristol-Myers Squibb Company 635,000 65,960,625
Johnson & Johnson 650,000 50,862,500
Merck & Co., Inc. 515,000 66,724,688
Pfizer Inc. 320,000 33,900,000
Schering-Plough Corporation 300,000 31,068,750
-------------
$ 418,554,063
-------------
ELECTRIC AND
GAS UTILITIES - 3.9%
Edison International 1,500,000 $ 38,531,250
Unicom Corporation 1,155,000 43,168,125
Williams Companies, Inc. (The) 1,915,000 55,056,250
-------------
$ 136,755,625
-------------
ELECTRONICS - 3.2%
Raytheon Company Class "B" 2,100,000 $ 113,268,750
-------------
ENERGY - 10.9%
British Petroleum Company (The)
plc (ADRs) (United Kingdom) 425,000 $ 37,081,250
Chevron Corporation 480,000 40,350,000
Exxon Corporation 1,500,000 105,281,250
Mobil Corporation 1,030,000 78,215,625
Royal Dutch Petroleum
Company (Netherlands) 1,030,000 49,053,750
Schlumberger Limited 525,000 26,414,062
Texaco Inc. 720,000 45,135,000
-------------
$ 381,530,937
-------------
- ------------------------
See footnotes on page 7.
6
<PAGE>
TRI-CONTINENTAL CORPORATION
September 30, 1998
Shares Value
------- ---------
FINANCE AND
INSURANCE - 13.5%
ACE Limited 289,100 $ 8,673,000
Ahmanson (H. F.) & Company 800,000 44,400,000
American General Corporation 1,000,000 63,875,000
American International Group, Inc. 832,500 64,102,500
BankAmerica Corporation 330,000 19,841,250
Bank of New York Company, Inc. 2,160,000 59,130,000
Citicorp 200,000 18,587,500
Federal National Mortgage
Association 720,000 46,260,000
Marsh & McLennan
Companies, Inc. 780,000 38,805,000
Mellon Bank Corporation 750,000 41,296,875
St. Paul Companies, Inc. 1,110,000 36,075,000
Travelers Incorporated 810,000 30,375,000
--------------
$ 471,421,125
--------------
MANUFACTURING AND
INDUSTRIAL EQUIPMENT - 3.4%
GATX Corporation 760,000 $ 25,127,500
General Electric Company 1,169,800 93,072,212
--------------
$ 118,199,712
--------------
PAPER AND
FOREST PRODUCTS - 2.2%
Fort James Corporation 1,415,000 $ 46,429,687
Mead Corporation (The) 1,080,000 31,792,500
--------------
$ 78,222,187
--------------
PUBLISHING - 0.6%
Gannet Company, Inc. 400,000 $ 21,425,000
--------------
RETAIL TRADE - 2.3%
May Department Stores Company 795,000 $ 40,942,500
Wal-Mart Stores, Inc. 705,000 38,510,625
--------------
$ 79,453,125
--------------
TRANSPORTATION - 0.9%
Norfolk Southern Corporation 1,055,000 $ 30,660,937
--------------
TOTAL COMMON STOCKS
(Cost: $2,462,725,462) $3,175,769,275
--------------
Prin. Amt.
----------
US GOVERNMENT
SECURITIES - 6.3%
US Treasury Notes, 63/8%,
9/30/2001 $75,000,000 $ 79,125,075
US Treasury Notes, 53/4%,
8/15/2003 50,000,000 53,078,150
US Treasury Notes, 65/8%,
5/15/2007 75,000,000 86,437,575
--------------
Total US GOVERNMENT
SECURITIES
(Cost: $216,904,297) $ 218,640,800
--------------
TRI-CONTINENTAL FINANCIAL
DIVISION+ - 0.4%
(Cost: $15,257,295) $ 15,957,763
--------------
SHORT-TERM HOLDINGS - 1.1%
(Cost: $37,000,000) $ 37,000,000
--------------
TOTAL INVESTMENTS - 98.9%
(Cost: $2,731,887,054) $3,447,367,838
OTHER ASSETS
LESS LIABILITIES - 1.1% 37,658,557
--------------
NET INVESTMENT ASSETS - 100.0% $3,485,026,395
==============
- -------------------
* Non-income producing security.
+ Restricted securities.
Note: Investments in US Government securities, stocks, limited partnership
interests, and short-term holdings maturing in more than 60 days are valued at
current market values or, in their absence, at fair values determined in
accordance with procedures approved by the Board of Directors. Securities traded
on an exchange are valued at last sales prices or, in their absence and in the
case of over-the-counter securities, at the mean of bid and asked prices.
Short-term holdings maturing in 60 days or less are valued at amortized cost.
7
<PAGE>
TRI-CONTINENTAL CORPORATION
STOCKHOLDER SERVICES
Tri-Continental provides a number of services to make maintaining an
investment in its Common Stock more convenient.
PURCHASES OF COMMON STOCK. Under the Automatic Dividend Investment and Cash
Purchase Plan, and other Stockholder plans, purchases of Common Stock are made
by the Corporation in the open market and from Stockholders participating in
withdrawal plans to satisfy Plan requirements. Those shares are then sold to
Stockholders using the Plan. During the nine months ended September 30, 1998,
1,358,664 shares were purchased by Stockholders through the Plan.
The Corporation may make additional purchases of its Common Stock in the
open market at such prices and in such amounts as the Board of Directors may
deem advisable. To date, no such additional purchases were made in 1998.
TRADITIONAL INDIVIDUAL RETIREMENT ACCOUNT (IRA). You may contribute up to
$2,000 per year to a Traditional IRAprovided you have earned income and are
under age 70 1/2. A working or non-working spouse may also contribute up to
$2,000 to a separate Traditional IRA. Contributions to a Traditional IRA may be
deductible or non-deductible. If you are NOT covered by an employer's retirement
plan, your contribution will always be deductible. For individuals who are
covered by a plan, contributions will be deductible if your adjusted gross
income (AGI) in 1998 is less than $30,000. For spouses who are both covered by a
plan, contributions will be fully deductible if your AGI is less than $50,000.
If one spouse does not work or is not covered by a retirement plan, that
spouse's contribution will be fully deductible provided your household AGI does
not exceed $150,000. If your contribution is not deductible, you may still take
advantage of the tax-deferred accumulation of earnings in your Traditional IRA.
ROLLOVER IRA. You may be eligible to roll over a distribution of assets
received from another IRA, a qualified employee benefit plan, or tax-deferred
annuity into a Rollover IRA with Tri-Continental. To avoid a tax penalty, the
transfer to a Rollover IRA must occur within 60 days of receipt of the
qualifying distribution. If you do not make a direct transfer of a distribution
from a qualified employee benefit plan or a tax-deferred annuity to a Rollover
IRA, the payor of the distribution must withhold 20% of the distribution.
Roth IRA. You (and a working or non-working spouse) may each make an
after-tax contribution of up to $2,000 per year to a Roth IRA provided you have
earned income and meet the eligibility requirements. Your Adjusted Gross Income
(AGI) must be less than $95,000 (individuals) or $150,000 (married couples) to
be eligible to make a full contribution to a Roth IRA. Total contributions to a
Roth IRA and a Traditional IRA cannot exceed $2,000 in any year. Earnings grow
tax-free and will be distributed to you tax-free and penalty-free provided that
you hold your account for at least five years and you take the distribution
either after age 59 1/2, for disability, upon death, or to make a first-time
home purchase (up to $10,000). Unlike a Traditional IRA, you may contribute to a
Roth IRA even if you are over age 70 1/2 (if you have earned income), and you
are not required to take minimum distributions at age 70 1/2. You may convert an
existing Traditional IRA to a Roth IRA to take advantage of tax-free
distributions. You must pay taxes on any earnings and deductible contributions
in your Traditional IRA before converting it to a Roth IRA. Talk to your
financial advisor for more details on converting your Traditional IRA.
8
<PAGE>
TRI-CONTINENTAL CORPORATION
STOCKHOLDER SERVICES (continued)
RETIREMENT PLANNING -- QUALIFIED PLANS. Unincorporated businesses and the
self-employed may take advantage of the same benefits in their retirement plans
that are available to corporations. Contribution levels can go as high as 25% of
earned income (reduced by plan contributions), to a maximum of $30,000 per
participant. For retirement plan purposes, no more than $160,000 may be taken
into account as earned income under the plan in 1998 and future years (subject
to adjustments to reflect cost of living increases). Social Security integration
and employee vesting schedules are also available as options in the
Tri-Continental prototype retirement plans. Although you already may be
participating in an employer's retirement plan, you may be eligible to establish
another plan based upon income from other sources, such as director's fees.
RETIREMENT PLAN SERVICES provides information about our prototype
retirement plans. The toll-free telephone number is (800) 445-1777 in the
Continental US and (212) 682-7600 outside the Continental US.
GIFTS FREE OF FEDERAL TAX are often made using Tri-Continental Common
Stock. You may give as much as $10,000 a year to as many individuals as desired
free of federal gift tax, and a married couple may give up to $20,000 a year.
THE AUTOMATIC CASH WITHDRAWAL PLAN enables owners of Common shares with a
market value of $5,000 or more to receive a fixed amount from their investment
at regular intervals. Investors use the plan to supplement current or retirement
income, for educational expenses, or for other purposes.
For information about your Corporation, call or write Corporate
Communications, J.&W. Seligman & Co. Incorporated, 100 ParkAvenue, New York,
NY10017. If you want information about your investment account, call or write
Stockholder Services,Seligman Data Corp., at the same address.
- --------------------------------------------------------------------------------
IMPORTANT TELEPHONE NUMBERS
STOCKHOLDER RETIREMENT PLAN 24-HOUR AUTOMATED
SERVICES SERVICES TELEPHONE ACCESS SERVICE
(800) TRI-1092 (800) 445-1777 (800) 622-4597
(8:30 a.m. to 6:00 p.m. EST)(8:30 a.m. to 6:00 p.m. EST)
- --------------------------------------------------------------------------------
9
