PMX, PZC and PYN Declare Monthly Common Share Income Dividends

The Boards of Trustees of PIMCO Municipal Income Fund III (NYSE: PMX), PIMCO California Municipal Income Fund III (NYSE: PZC) and PIMCO New York Municipal Income Fund III (NYSE: PYN), (collectively, the "Funds”) announced today that they have declared the following dividends on the Funds’ common shares:

The dividends will be payable on June 1, 2011 to shareholders of record on May 12, 2011, with an ex-dividend date of May 10, 2011.

At April 30, 2011, the Funds’ net assets (a) were approximately:

(a) Net assets are inclusive of Preferred Shares of $189 million, $125 million and $32 million for PMX, PZC and PYN, respectively.

The Funds are closed-end management investment companies. The investment objective of each Fund is to provide current income exempt from federal income tax. California Municipal Income Fund III also seeks to provide current income exempt from California state income taxes. New York Municipal Income Fund III also seeks to provide income exempt from New York State and city income taxes. There can be no assurance that the Funds will meet their stated objectives.

Allianz Global Investors Fund Management LLC ("AGIFM”), an indirect, wholly-owned subsidiary of Allianz Global Investors of America L.P., serves as the Funds’ investment manager and is a member of Munich-based Allianz Group. Pacific Investment Management Company LLC, an AGIFM affiliate, serves as the Funds’ sub-adviser.

The Funds’ daily New York Stock Exchange closing prices, net asset values per share, as well as other information, including updated portfolio statistics and performance are available at www.allianzinvestors.com or by calling the Funds’ shareholder servicing agent at (800) 254-5197.

Statements made in this release that look forward in time involve risks and uncertainties and are forward looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such risks and uncertainties include, without limitation, the adverse effect from a decline in the securities markets or a decline in the Funds’ performance, a general downturn in the economy, competition from other companies, changes in government policy or regulation, inability to attract or retain key employees, inability to implement its operating strategy and/or acquisition strategy, and unforeseen costs and other effects related to legal proceedings or investigations of governmental and self-regulatory organizations. The Funds’ ability to pay dividends to common shareholders is subject to the restrictions in their registration statements, by-laws and other governing documents, as well as the Investment Company Act of 1940.