The Denali Fund Inc. Declares Dividend

The Denali Fund Inc. (NYSE: DNY) (the “Fund”) announced that earlier today its board of directors declared a dividend for the Fund in connection with the reorganization of the Fund, First Opportunity Fund, Inc. and Boulder Total Return Fund, Inc. into Boulder Growth & Income Fund, Inc. (“BIF”), with BIF continuing as the surviving fund (the “Reorganization”).

The Fund declared a dividend of $0.695 per common share payable in cash on March 19, 2015 to holders of record on March 16, 2015. In accordance with generally accepted accounting principles (“GAAP”), the dividend will consist of $0.121 per share of ordinary income, $0.022 per share of short-term capital gain and $0.552 per share of long-term capital gain. The timing and character of distributions for federal income tax purposes are determined in accordance with income tax regulations which may differ from GAAP. As such, all or a portion of this distribution may be reportable as taxable income on stockholders’ 2015 federal income tax return. The final tax character of any distribution declared in 2015 will be determined in January 2016 and reported on IRS Form 1099-DIV.

With respect to the Fund, the distribution announced today represents substantially all of its net investment income and net capital gain earned through the effective date of the Reorganization. In order to maintain its status as a regulated investment company and to avoid the imposition of a corporate level income tax, the Fund is required to distribute all of its respective net investment income and net capital gain prior to consummation of the Reorganization.

It is currently expected that the Reorganization will close on or about March 20, 2015, subject to all regulatory requirements and customary closing conditions being satisfied.

For more information on the Fund, please visit us on the web at www.boulderfunds.net.