Fort Dearborn Income Securities, Inc. (NYSE:FDI) (the “Fund”) announced today that the Board of Directors of the Fund (the “Board”), based on a recommendation from management, has determined it is in the best interest of the Fund and its shareholders to approve the submission of an Agreement and Plan of Reorganization (the "Plan") to shareholders of the Fund under which substantially all of the assets of the Fund would be transferred to a newly created series of The UBS Funds (the “UBS Fund”) in exchange for shares of the UBS Fund (the "Merger"). The UBS Fund is expected to pursue an investment objective that is similar to that of the Fund and will be managed by UBS Asset Management (Americas) Inc., the current investment adviser of the Fund. Under the Plan, shareholders of the Fund would receive Class P shares of the UBS Fund equal in value to the net asset value of the shares they own of the Fund. The Merger is intended to be a tax-free transaction and will be submitted to shareholders for approval at a special meeting of shareholders (the “Special Meeting”).

More information about the proposed Merger will be provided to shareholders in a Proxy/Prospectus, which is expected to be mailed in March 2016. If approved by Fund shareholders at the Special Meeting, the Merger is expected to occur in May 2016, absent unforeseen circumstances. The Board has set February 29, 2016 as the record date for the determination of the shareholders entitled to vote at the Special Meeting, which will occur in April 2016.

Fort Dearborn Income Securities, Inc. is a closed-end bond fund managed by UBS Asset Management (Americas), Inc. The Fund invests principally in investment grade, long-term fixed income debt securities. The primary objective of the Fund is to provide its shareholders with: a stable stream of current income consistent with external interest rate conditions; and a total return over time that is above what they could receive by investing individually in the investment grade and long-term maturity sectors of the bond market.

Investing in the Fund entail specific risks, such as interest rate, credit and US government securities risks as well as derivatives risks. Further information regarding the Fund, including a discussion of principal objectives, investment strategies and principal risks, may be found in the fund overview located at http://www.ubs.com/closedendfundsinfo. You may also request copies of the fund overview by calling the Closed-End Funds Desk at 888-793 8637.

Certain statements made in this press release, such as the conversion to an open-end fund, are forward- looking statements. Actual future results or occurrences may differ significantly from those anticipated in any forward-looking statements due to numerous factors. These include, but are not limited to, market developments; legal and regulatory developments; and other additional risks and uncertainties. As a result, neither the investment adviser, the Fund nor any other person assumes responsibility for the accuracy and completeness of such statements in the future.

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UBS Asset ManagementClosed-End Funds Desk: 888-793 8637ubs.com

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