PITTSBURGH, March 31, 2015 /PRNewswire/ -- Federated Enhanced Treasury Income Fund (NYSE: FTT) today paid a distribution per share of $0.029. The fund employs a managed distribution plan to support a level distribution to shareholders that may be comprised of income, capital gains and/or return of capital. Effective March 1, 2015, under the plan, the fund makes monthly cash distributions approximating 2.5% of the fund's net asset value (NAV) on an annualized basis based on the fund's NAV from the previous month-end. The fund may make distributions in excess of those required under the plan in order to meet its obligations under the Internal Revenue Code. This press release is issued as required by the fund's plan.

The distribution paid today is based on the fund's NAV of $14.17 on the last business day of February 2015. 

Shareholders should not draw any conclusions about the fund's investment performance from the amount of this distribution or from the terms of the fund's plan. The fund's estimated sources of the distribution paid in February and for its current fiscal year are detailed below.


Current

Distribution

Percentage

of Current Distribution

Cumulative
Distributions

for the Fiscal

Year-to-Date1

Percentage of the
Cumulative
Distributions for the
Fiscal Year-to-Date1

Net Investment Income

$        0.0056

19%

$        0.0160

11%

Net Realized Short-Term Capital Gains

$        0.0000

0%

$        0.0000

0%

Net Realized Long-Term Capital Gains

$        0.0234

81%

$        0.1360

89%

Return of Capital or Other Capital Source

$        0.0000

0%

$        0.0000

0%

Total (per common share)

$        0.0290

100%

$        0.1520

100%

1 The fund's current fiscal year began on Dec. 1, 2014.

The amounts and sources of distributions reported are only estimates and are not provided for tax reporting purposes. The actual amounts and sources of the amounts for tax reporting purposes will depend upon the fund's investment experience during the remainder of its fiscal year and may be subject to changes based on tax regulations. The fund will send shareholders a Form 1099 DIV for the calendar year that will tell shareholders how to report these distributions for federal income tax purposes.

The table below includes information relating to the fund's performance based on its NAV for certain periods.

Average annual total return at NAV for the five year period ended on Feb. 28, 20151

(0.76)%

Annualized current distribution rate as a percentage of NAV as of Feb. 28, 2015

2.46%

Cumulative total return at NAV for the fiscal year through Feb. 28, 20152

0.09%

Cumulative fiscal year-to-date distribution rate as a percentage of NAV as of Feb. 28, 2015

1.07%

1 Represents the simple arithmetic average of the annual NAV total returns of the fund for the last five years, including distributions paid and assuming reinvestment of those distributions.

2 Represents the percentage change in the fund's NAV for the period from the beginning of its fiscal year to Jan. 31, 2015 including distributions paid and assuming reinvestment of those distributions.

Federated Investors, Inc. (NYSE: FII) is one of the largest investment managers in the United States, managing $362.9 billion in assets as of Dec. 31, 2014. With 131 funds, as well as a variety of separately managed account options, Federated provides comprehensive investment management worldwide to more than 7,700 institutions and intermediaries including corporations, government entities, insurance companies, foundations and endowments, banks and broker/dealers. For more information, visit FederatedInvestors.com

Certain statements in this press release, such as those related to the level of dividends or distributions constitute or may constitute forward-looking statements, which involve known and unknown risks, uncertainties and other factors that may cause the current dividends and distributions to be materially different from any future results, levels of activity, performance or achievements expressed or implied by such forward-looking statements. Other risks and uncertainties include the market conditions, prevailing interest rates, and investment performance, which could vary significantly. Other risks and uncertainties also include the risk factors discussed in the fund's registration statement, including the prospectus, as filed with the Securities and Exchange Commission. As a result, no assurance can be given as to future results, performance or achievements, and neither the fund nor any other person assumes responsibility for the accuracy and completeness of such statements in the future.

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SOURCE Federated Investors, Inc.

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