NEW YORK, March 3, 2008 (PRIME NEWSWIRE) -- 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:



 PIMCO Municipal Income Fund III          $0.07     per common share
 PIMCO California Municipal
  Income Fund III                         $0.06     per common share
 PIMCO New York Municipal
  Income Fund III                         $0.0525   per common share

The dividends will be payable on April 1, 2008 to shareholders of record on March 13, 2008, with an ex-dividend date of March 11, 2008.

At February 29, 2008, the Funds' net assets (a) were approximately:



                                                        (in millions)
 PIMCO Municipal Income Fund III                           $661.7
 PIMCO California Municipal Income Fund III                $448.8
 PIMCO New York Municipal Income Fund III                  $115.3


 (a) Net assets are inclusive of Preferred Shares of $270 million,  
 $185 million and $47 million for Municipal Income III, California  
 Municipal Income III and New York Municipal Income III, 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.

Allianz Global Investors Fund Management LLC, 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 (NYSE:AZ). Pacific Investment Management Company LLC, an Allianz Global Investors Fund Management 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) 331-1710.

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.

Christoph Hofmann
(800) 285-4086