Transamerica Premier Funds Announces Reductions of Operating Expenses of Retail Mutual Funds

Business Wire, Jan 6, 2005

LOS ANGELES -- Transamerica Premier Funds has announced reductions of the operating expense limitations to three of its retail mutual funds, effective January 1, 2005.

Under the new expense limitation arrangements, the level of operating expenses at which each of the Transamerica Premier Equity Fund, Transamerica Premier Core Equity Fund and Transamerica Premier Balanced Fund operates is reduced by 0.35% of each of these funds' average daily net assets, resulting in new expense caps of 1.15%, 0.85% and 1.10% of average daily net assets on an annual basis, respectively.(a) As a result, investors in the funds will immediately benefit from a lower level of operating expenses. The new expense caps have been implemented in both the investor and A class shares of each fund. These new expense caps may result in significant reductions of the investment advisory fees payable by the funds to Transamerica Investment Management, LLC ("TIM"), investment adviser to the Transamerica Premier Funds.

John C. Riazzi, TIM's Chief Executive Officer, said the firm was proactively striving to keep costs down for shareholders of the Transamerica Premier Funds.

"Costs do matter and we pride ourselves on offering shareholder value as a whole. We've been able to deliver competitive performance on our funds over the long term and are now implementing an even more competitive fee structure," said Riazzi. "Without having the scale of some larger fund complexes, these changes help us to level the playing field. The reduced expense caps will immediately benefit fund shareholders. We want to demonstrate TIM's entrepreneurial commitment to the long-term financial success of the funds and their shareholders."

The Transamerica Premier Funds are currently available through direct retail, no-load wrap programs and defined contribution plans.

About Transamerica Investment Management, LLC

Transamerica Investment Management, LLC ("TIM"), a member of the AEGON Group, is a leading asset management firm with a 35-year history of strong results for both retail and institutional clients. Its predecessor firm, Transamerica Investment Services, Inc., started in 1967 and TIM was formed in 2000. As of 9/30/04, TIM managed more than $20 billion in equity and fixed-income assets in mutual funds, funds of funds, retirement plans, separately managed accounts, institutional accounts, pension funds and variable insurance accounts. For more information, please visit www.timllc.com.

(a) Prior to January 1, 2005, the expense cap for the Transamerica Premier Equity Fund, the Transamerica Premier Core Equity Fund, and the Transamerica Premier Balanced Fund were 1.50%, 1.20%, and 1.45%, respectively.

Past performance does not guarantee future results. For a prospectus and more complete information including risks, expenses and most recent month end performance, please call Shareholder Services at 1-800-89-ASK-US (1-800-892-7587). Investors should carefully consider their investment objectives, risks, charges and expenses of the funds before investing. See the prospectus for this and other important information about the funds. Read the prospectus carefully before investing.