SCHEDULE 14A INFORMATION
Proxy Statement Pursuant to Section 14(a)
of the Securities Exchange Act of 1934
(Amendment No.)
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[ ] Soliciting Material Pursuant to Section.240-14a-12
FRANKLIN UNIVERSAL TRUST
(Name of Registrant as Specified in its Charter)
FRANKLIN UNIVERSAL TRUST
(Name of Person(s) Filing Proxy Statement)
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[GRAPHIC OMITTED][GRAPHIC OMITTED] One Franklin Parkway
FRANKLIN TEMPLETON San Mateo, CA 94403-1906
INVESTMENTS
tel 650/312-2000
franklintempleton.com
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FROM: Franklin Templeton Investments
Media: (650) 525-7458
Shareholders/Financial Advisors: (800) 336-5159
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FOR IMMEDIATE RELEASE
LEADING INDEPENDENT PROXY ADVISORS RECOMMEND THAT FRANKLIN UNIVERSAL TRUST
SHAREHOLDERS REJECT BULLDOG NOMINEES AND SHAREHOLDER PROPOSAL
San Mateo, CA, March 5, 2008 - Franklin Universal Trust (the "Fund")
[NYSE:FT] today announced that Institutional Shareholder Services Inc. ("ISS")
and Glass Lewis and Company ("Glass Lewis"), two leading independent proxy
advisory firms, have each recommended that the Fund's shareholders support
the Fund's incumbent trustees and vote FOR the re-election of the Fund's
current trustees, and AGAINST the nominees of dissident shareholder Bulldog
Investors. ISS, a subsidiary of RiskMetrics Group, and Glass Lewis are each
also recommending that shareholders vote AGAINST the shareholder proposal to
merge the Fund into an open-end fund.
In its independent analysis, ISS stated, with respect to Bulldog's effort to
unseat the current trustees, "We do not believe that the dissident's have
proven that change is preferable to the status quo, that the dissident slate
will add value to board deliberations or that the dissidents will be able to
create greater shareholder value. Despite the Fund's current market price
discount to NAV, ISS believes that the Fund's performance, coupled with its
unique position in the marketplace, justifies retaining the Fund's closed-end
structure as in the best interests of shareholders."
Glass Lewis stated in its report, "We do not believe the Fund's historical
NAV discount or share price performance are reason for significant concern
nor do we believe that Bulldog has presented a reasonable case in favor of
the removal of the current directors." Glass Lewis added, "We also note that
the Fund's shares have out performed a comparable group of closed-end funds
when comparing its share price return and NAV returns on a long-term basis."
Both proxy advisory firms also recommend against the shareholder proposal to
merge the Fund into an open-end fund. ISS said, "Given the costs and
consequences of reorganizing the fund into an open-end fund, the board should
only recommend this action in the face of compelling circumstances, such as
if there were serious concerns about the continuing viability of the Fund as
a suitable longer-term investment for shareholders. ISS does not believe that
these circumstances are present in the case of the Fund."
The Fund's Board of Trustees has unanimously recommended that Fund
shareholders reject Bulldog's nominees, its related and conditional tender
offer, and the shareholder proposal because the Board strongly believes that
open-ending is not in the best interests of the Fund's long-term
shareholders. In connection with the annual meeting and the Bulldog
conditional and partial tender offer, the Fund has filed a proxy statement
and additional soliciting materials, as well as a Solicitation/Recommendation
Statement on Schedule 14D-9, with the Securities and Exchange Commission (the
"SEC"). Investors and security holders are strongly advised to read these
materials because they contain important information about the annual meeting
and the Bulldog tender offer. Free copies of these materials are available
at WWW.FRANKLINTEMPLETON.COM and on the SEC's website at WWW.SEC.GOV.
The Fund urges its shareholders to reject Bulldog's nominees and support the
Fund's incumbent trustees by completing, signing and dating the WHITE proxy
card they have received, and NOT to sign any GREEN proxy card they may
receive from Bulldog. Shareholders who have previously signed a GREEN proxy
card are urged to revoke that proxy by signing, dating and mailing the Fund's
WHITE proxy card. Shareholders who have questions concerning the current
proxy solicitation or who need assistance in revoking any proxy they may have
previously granted should contact The Altman Group, Inc. toll free at:
1-(800) 336-5159.
Franklin Universal Trust is a closed-end investment company managed by
Franklin Advisers, Inc. Franklin Advisers, Inc. is a wholly owned subsidiary
of Franklin Resources, Inc. [NYSE:BEN], a global investment management
organization operating as Franklin Templeton Investments.
* * * * *
The foregoing is not an offer to sell, nor a solicitation of an offer to buy,
shares of any fund.
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