DALLAS, Aug. 28, 2015 /PRNewswire/ -- The Cushing(®) Royalty & Income Fund (NYSE: SRF) announces that the Fund's Board of Trustees has approved (a) a 1-for-5 reverse share split of the Fund's common shares, (b) distributions for September 2015, as described below, and (c) a change to the name of the Fund to the Cushing(®) Energy Income Fund.

Reverse Share Splits

The Fund anticipates completing a 1-for-5 reverse share split after the close of trading on the New York Stock Exchange on September 11, 2015. Trading in the Fund's common shares on a split adjusted basis is expected to begin at the market open on September 14, 2015. The Fund's common shares will continue trading on the NYSE under its existing ticker symbol, but will be assigned a new CUSIP number.

As a result of the reverse share split, every five of the Fund's outstanding common shares would be converted into one common share. A reverse share split would decrease the Fund's common shares outstanding and potentially increase the market price per common share by a proportional amount. While the number of outstanding common shares will decline, neither the Fund's portfolio holdings nor the total value of shareholders' investments in the Fund will be affected. After the reverse share split, shareholders' accounts will reflect proportionally fewer common shares with a higher net asset value per common share.

The intent of the reverse share split is to potentially increase the Fund's market price per common share and trading volume, thereby reducing the per share transaction costs associated with buying or selling the Fund's common shares in the secondary market. Each common shareholder would hold the same percentage of the Fund's outstanding common shares immediately following a the reverse share split as such shareholder held immediately prior to the reverse share split, subject to adjustments for fractional shares resulting from the reverse share split.

No fractional shares will be issued as a result of the reverse share split, other than in the Fund's dividend reinvestment plan. Fractional shares that would result from the reverse share split will be aggregated and sold on the New York Stock Exchange by the Fund's transfer agent and the proceeds will be distributed pro rata among shareholders who would otherwise have received fractional shares in the reverse share split. Shareholders will be receiving additional information regarding the reverse share split from U.S. Bancorp Fund Services, LLC, the Fund's transfer agent.

Monthly Distributions

The Fund declared a distribution for September 2015 of $0.039 per common share. Considering the effect of the reverse share split described above, the distribution amount will be $0.195 per common share. The Fund's distribution will be payable on September 30, 2015 to shareholders of record on September 17, 2015. The ex-date for the Fund's distribution is September 15, 2015.

It is anticipated but not certain that approximately 100% of the Fund's distribution will be treated as a return of capital. The final determination of such amounts will be made and reported to shareholders in early 2016, after the end of the calendar year when each Fund determines its earnings and profits for the year. The final tax status of the distribution may differ substantially from this preliminary information.

Name Change

Effective on or about September 14, 2015, the Fund intends to change its name to The Cushing(® )Energy Income Fund. The Fund will continue to seek a high total return with an emphasis on current income. The Fund's ticker symbol will remain unchanged. The Fund will continue to seek to achieve its investment objective by investing, under normal market conditions, at least 80% of its net assets, plus any borrowings for investment purposes, in securities of energy-related U.S. royalty trusts and Canadian royalty trusts (collectively, "Royalty Trusts") and other income producing investments, consisting of exploration and production companies (together with Royalty Trusts, "Energy Trusts"), exploration and production master limited partnerships ("MLPs") and securities of other companies based in North America that are generally engaged in the same lines of business as those in which Energy Trusts and MLPs engage ("Other Energy Companies", and together with Energy Trusts and MLPs, "Energy Companies"). Energy Companies in which the Fund invests derive at least 50% of their revenues from the business of exploring, developing, producing, transporting, gathering and processing, storing, refining, distributing, mining or marketing natural gas, natural gas liquids (including propane), crude oil, refined petroleum products or coal. The Fund will not change its policy of investing at least 80% of its net assets, plus any borrowings for investment purposes, in Energy Companies without providing shareholders with at least 60 days prior written notice.

The Cushing(®) Royalty & Income Fund is a non-diversified, closed-end management investment company. The Fund's common shares are traded on the New York Stock Exchange under the symbol "SRF."

The Fund is managed by Cushing(®) Asset Management, LP. No assurance can be given that the Fund's investment objective will be achieved.

ABOUT CUSHING(®) ASSET MANAGEMENT, LP

Cushing, a subsidiary of Swank Capital, is an SEC-registered investment adviser headquartered in Dallas, Texas. Cushing serves as investment adviser to affiliated funds and managed accounts which invest primarily in securities of MLPs and other natural resource companies. As of June 30, 2015, Cushing had approximately $4.4 billion of assets under management in closed-end funds, mutual funds, privately offered funds and separately managed accounts.

IMPORTANT INFORMATION

This press release shall not constitute an offer to sell or a solicitation to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer or solicitation or sale would be unlawful prior to registration or qualification under the laws of such state or jurisdiction.

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SOURCE Cushing® Asset Management