Third Avenue Management Obtains Exemptive Relief for Focused Credit Fund

Restructures Plan of Liquidation to Continue to Protect Shareholders

NEW YORK--(BUSINESS WIRE)-- Third Avenue Management LLC (“Third Avenue” or the “Adviser”), an investment adviser to private and institutional clients, today announced that the Adviser and the Third Avenue Focused Credit Fund (“FCF”) have obtained exemptive relief from the Securities and Exchange Commission (“SEC”) to continue to protect shareholders of FCF following modification of the Plan of Liquidation for FCF.

Pursuant to those modifications, the Liquidating Trust has transferred FCF’s assets and liabilities back to FCF, which now has an exemptive order suspending redemptions. Concurrently, the Board of Trustees of Third Avenue Trust (the “Board”) canceled the distribution of interests in the Liquidating Trust. As a result of those actions, the securities portfolio as of December 10, 2015 is held by FCF, which is operating under the modified Plan of Liquidation. Shareholders will be able to see updated daily NAVs of the positions on their FCF shares in their statements, along with the total value of their investment.

As a result of the exemptive order, redemptions are suspended for all shareholders, and as with the previous Liquidating Trust structure, the Adviser will be able to conduct an orderly liquidation without having to resort to forced selling of securities at reduced or disadvantaged prices.

Pursuant to the SEC order, FCF and the Adviser will: report periodically on progress of the liquidation to shareholders and the SEC, invest proceeds of sales in U.S. government securities and short term high quality debt, make quarterly distributions of excess cash, maintain its web site and a toll-free number for shareholder communications and conduct a final audit upon completion of the liquidation. The Adviser will post a copy of the SEC order on its website.

Third Avenue’s General Counsel, Jim Hall said, “When the Board initially adopted the liquidation plan, we utilized a legal structure that we believed would protect all of our shareholders in the required time frame. We had conversations with the SEC staff both before and after the public announcement of the liquidation plan for FCF, which subsequently resulted in the recommendation to the Board to return FCF to its original Fund structure. The new structure relied heavily on the SEC’s ability to provide exemptive relief to FCF on an expedited basis. We believe that this result benefits shareholders by providing greater reporting transparency – and we believe that amounts returnable to FCF shareholders will not be affected by the new structure.”

All shareholders will receive an initial cash distribution on December 16, 2015. Third Avenue will continue to manage the portfolio to obtain the best overall outcome for shareholders of FCF – namely, an orderly liquidation at prices most advantageous to shareholders. Third Avenue will not charge a fee while the portfolio is liquidated.

About Third Avenue Management

Third Avenue Management LLC is a New York-based investment advisory firm that offers its services to private and institutional clients. Third Avenue adheres to a disciplined bottom-up value investment strategy in order to identify investment opportunities in undervalued securities of companies with high quality assets, understandable businesses and strong management teams that have the potential to create value over the long term. Third Avenue Management offers value-oriented strategies through mutual funds, UCITS fund, separate accounts and alternative products.

View source version on businesswire.com: http://www.businesswire.com/news/home/20151216006382/en/

Sard Verbinnen & Co.
Dan Gagnier, 212-687-8080

Source: Third Avenue Management LLC

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