Neuberger Berman Income Opportunity Fund Inc. Declares Special Distribution

Business Wire, Dec 16, 2005

NEW YORK -- The Board of Directors of Neuberger Berman Income Opportunity Fund Inc. (the "Fund"), which trades on the American Stock Exchange under ticker symbol NOX, has declared a special distribution of $0.0404 per share payable on January 18, 2006 to shareholders of record on December 27, 2005. The special distribution helps the Fund meet its 2005 distribution requirements for federal tax purposes.

The distribution declared today, as well as future distributions, may consist of net investment income, capital gain and return of capital.

In compliance with Section 19 of the 1940 Act, as amended, a notice would accompany any distribution that did not consist solely of net investment income. This notice would be for information purposes and would disclose, among other things, portions of the distributions, if any, consisting of net investment income, capital gain and return of capital, estimated on the basis of information about the sources of the distribution known by the Fund at the time. The Fund invests in real estate investment trusts ("REITs"). After calendar year end, REITs often characterize dividends previously identified as income as a return of capital and/or capital gain, which could result in the Fund having to characterize dividends it paid to shareholders as return of capital and/or capital gain.

Neuberger Berman Management Inc., the Fund's investment manager, is a subsidiary of Neuberger Berman Inc., an investment advisory company serving individuals, families, and taxable and non-taxable institutions with a broad range of investment products, services and strategies. A Lehman Brothers company, Neuberger Berman engages in wealth management services including private asset management, tax and financial planning, and personal and institutional trust services; mutual funds, institutional management and alternative investments; and professional securities services. For further information about Neuberger Berman please visit www.nb.com.

Lehman Brothers (ticker symbol: LEH), an innovator in global finance, serves the financial needs of corporations, governments and municipalities, institutional clients and high net worth individuals worldwide. Founded in 1850, Lehman Brothers maintains leadership positions in equity and fixed income sales, trading and research, investment banking, private investment management, asset management and private equity. The Firm is headquartered in New York, with regional headquarters in London and Tokyo and operates in a network of offices around the world. For further information about Lehman Brothers' services, products and recruitment opportunities, visit our Web site at www.lehman.com.

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 Company's products' performance, a general downturn in the economy, competition from other companies, changes in government policy or regulation, inability of the Company to attract or retain key employees, inability of the Company to implement its operating strategy and acquisition strategy, inability of the Company to manage rapid expansion and unforeseen costs and other effects related to legal proceedings or investigations of governmental and self-regulatory organizations.