Schroder Income Growth Fund plc (SCF) Ordinary 10p

To provide real growth of income, being growth of income in excess of the rate of inflation, and capital growth as a consequence of the rising income. The investment policy of the Company is to invest primarily in UK equities but up to 20% of the portfolio may be invested in equities listed on recognised stock exchanges outside the UK and up to 10% of the portfolio may be invested in bonds. In addition, up to 20% of total income may be generated by short-dated call options written on holdings in the portfolio.

The management fee is a flat 0.45% of the value of the Companys assets.

The Directors of the Company intend to continue to pay four interim dividends at the end of January, April, July and October in each year. Although it is intended to distribute substantially all of the net income of Company after expenses and taxation, the Company may retain up to a maximum of 15% of the gross income of the Company in each year as a revenue reserve to provide consistency in dividend policy.

Sue Noffke

Sue Noffke is Head of UK Equities and a UK Equity Fund Manager at Schroders. She is a founding member of the Prime UK Equity team established in 2006. She is fund manager of the Schroder Income Growth Fund plc co-manager of the Schroder Prime UK Equity Fund, the Schroder UK Alpha Income Fund and Cazenove Charity Equity Income Fund. Sue has managed UK equity portfolios for institutional clients since 1993. She joined Schroders in 1989 and was initially an analyst at Schroders responsible for insurance, tobacco and retail sectors in the UK market. Qualifications: Honorary Doctorate Degree from Aston University; BSc in Business Administration and Biochemistry from Aston University.

Ewen Cameron-WattChairman, Victoria Muir, June Aitken, Fraser McIntyre