TRI-CONTINENTAL Corp — Major Shareholding Notification 2006

Jul 12, 2006

SC 13D/A 1 sc13da506290008_07032006.htm sec document SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 -------------- SCHEDULE 13D (RULE 13d-101) INFORMATION TO BE INCLUDED IN STATEMENTS FILED PURSUANT TO RULE 13d-1(a) AND AMENDMENTS THERETO FILED PURSUANT TO RULE 13d-2(a) (Amendment No. 5)(1) Tri-Continental Corporation --------------------------- (Name of Issuer) Common Stock, Par Value $0.50 Per Share --------------------------------------- (Title of Class of Securities) 895436103 --------- (CUSIP Number) STEVEN WOLOSKY, ESQ. OLSHAN GRUNDMAN FROME ROSENZWEIG & WOLOSKY LLP Park Avenue Tower 65 East 55th Street New York, New York 10022 (212) 451-2300 -------------- (Name, Address and Telephone Number of Person Authorized to Receive Notices and Communications) July 3, 2006 ------------ (Date of Event Which Requires Filing of This Statement) If the filing person has previously filed a statement on Schedule 13G to report the acquisition that is the subject of this Schedule 13D, and is filing this schedule because of Rule 13d-1(e), 13d-1(f) or 13d-1(g), check the following box / /. NOTE. Schedules filed in paper format shall include a signed original and five copies of the schedule, including all exhibits. SEE Rule 13d-7 for other parties to whom copies are to be sent. (Continued on following pages) (Page 1 of 57 Pages) -------------------------- (1) The remainder of this cover page shall be filled out for a reporting person's initial filing on this form with respect to the subject class of securities, and for any subsequent amendment containing information which would alter disclosures provided in a prior cover page. The information required on the remainder of this cover page shall not be deemed to be "filed" for the purpose of Section 18 of the Securities Exchange Act of 1934 or otherwise subject to the liabilities of that section of the Act but shall be subject to all other provisions of the Act (however, SEE the NOTES). ---------------------- ---------------------- CUSIP No. 895436103 13D Page 2 of 57 Pages ---------------------- ---------------------- ================================================================================ 1 NAME OF REPORTING PERSONS I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY) WESTERN INVESTMENT LLC -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) /X/ (b) / / -------------------------------------------------------------------------------- 3 SEC USE ONLY -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS OO -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) / / -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION DELAWARE -------------------------------------------------------------------------------- NUMBER OF 7 SOLE VOTING POWER SHARES BENEFICIALLY 6,815,715 OWNED BY ----------------------------------------------------------------- EACH 8 SHARED VOTING POWER REPORTING PERSON WITH - 0 - ----------------------------------------------------------------- 9 SOLE DISPOSITIVE POWER 6,815,715 ------------------------------------------------------------------ 10 SHARED DISPOSITIVE POWER - 0 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 6,815,715 -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES / / -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 6.4% -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON OO ================================================================================ SEE INSTRUCTIONS BEFORE FILLING OUT! ---------------------- ---------------------- CUSIP No. 895436103 13D Page 3 of 57 Pages ---------------------- ---------------------- ================================================================================ 1 NAME OF REPORTING PERSONS I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY) ARTHUR D. LIPSON -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) /X/ (b) / / -------------------------------------------------------------------------------- 3 SEC USE ONLY -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS OO, PF -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) / / -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION USA -------------------------------------------------------------------------------- NUMBER OF 7 SOLE VOTING POWER SHARES BENEFICIALLY 6,816,616 OWNED BY ----------------------------------------------------------------- EACH 8 SHARED VOTING POWER REPORTING PERSON WITH - 0 - ----------------------------------------------------------------- 9 SOLE DISPOSITIVE POWER 6,816,616 ------------------------------------------------------------------ 10 SHARED DISPOSITIVE POWER - 0 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 6,816,616 -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES / / -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 6.4% -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON IN ================================================================================ SEE INSTRUCTIONS BEFORE FILLING OUT! ---------------------- ---------------------- CUSIP No. 895436103 13D Page 4 of 57 Pages ---------------------- ---------------------- ================================================================================ 1 NAME OF REPORTING PERSONS I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY) WESTERN INVESTMENT HEDGED PARTNERS L.P. -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) /X/ (b) / / -------------------------------------------------------------------------------- 3 SEC USE ONLY -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS WC -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) / / -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION DELAWARE -------------------------------------------------------------------------------- NUMBER OF 7 SOLE VOTING POWER SHARES BENEFICIALLY 3,175,015 OWNED BY ----------------------------------------------------------------- EACH 8 SHARED VOTING POWER REPORTING PERSON WITH - 0 - ----------------------------------------------------------------- 9 SOLE DISPOSITIVE POWER 3,175,015 ------------------------------------------------------------------ 10 SHARED DISPOSITIVE POWER - 0 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 3,175,015 -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES / / -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 3.0% -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON PN ================================================================================ SEE INSTRUCTIONS BEFORE FILLING OUT! ---------------------- ---------------------- CUSIP No. 895436103 13D Page 5 of 57 Pages ---------------------- ---------------------- ================================================================================ 1 NAME OF REPORTING PERSONS I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY) WESTERN INVESTMENT TOTAL RETURN MASTER FUND LTD. -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) /X/ (b) / / -------------------------------------------------------------------------------- 3 SEC USE ONLY -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS WC -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) / / -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION CAYMAN ISLANDS -------------------------------------------------------------------------------- NUMBER OF 7 SOLE VOTING POWER SHARES BENEFICIALLY 384,400 OWNED BY ----------------------------------------------------------------- EACH 8 SHARED VOTING POWER REPORTING PERSON WITH - 0 - ----------------------------------------------------------------- 9 SOLE DISPOSITIVE POWER 384,400 ------------------------------------------------------------------ 10 SHARED DISPOSITIVE POWER - 0 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 384,400 -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES / / -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 0.4% -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON CO ================================================================================ SEE INSTRUCTIONS BEFORE FILLING OUT! ---------------------- ---------------------- CUSIP No. 895436103 13D Page 6 of 57 Pages ---------------------- ---------------------- ================================================================================ 1 NAME OF REPORTING PERSONS I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY) WESTERN INVESTMENT ACTIVISM PARTNERS LLC -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) /X/ (b) / / -------------------------------------------------------------------------------- 3 SEC USE ONLY -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS WC -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) / / -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION DELAWARE -------------------------------------------------------------------------------- NUMBER OF 7 SOLE VOTING POWER SHARES BENEFICIALLY 3,256,300 OWNED BY ----------------------------------------------------------------- EACH 8 SHARED VOTING POWER REPORTING PERSON WITH - 0 - ----------------------------------------------------------------- 9 SOLE DISPOSITIVE POWER 3,256,300 ------------------------------------------------------------------ 10 SHARED DISPOSITIVE POWER - 0 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 3,256,300 -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES / / -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 3.0% -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON OO ================================================================================ SEE INSTRUCTIONS BEFORE FILLING OUT! ---------------------- ---------------------- CUSIP No. 895436103 13D Page 7 of 57 Pages ---------------------- ---------------------- ================================================================================ 1 NAME OF REPORTING PERSONS I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY) BENCHMARK PLUS INSTITUTIONAL PARTNERS, L.L.C. -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) /X/ (b) / / -------------------------------------------------------------------------------- 3 SEC USE ONLY -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS WC -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) / / -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION DELAWARE -------------------------------------------------------------------------------- NUMBER OF 7 SOLE VOTING POWER SHARES BENEFICIALLY 1,515,850 OWNED BY ----------------------------------------------------------------- EACH 8 SHARED VOTING POWER REPORTING PERSON WITH - 0 - ----------------------------------------------------------------- 9 SOLE DISPOSITIVE POWER 1,515,850 ------------------------------------------------------------------ 10 SHARED DISPOSITIVE POWER - 0 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 1,515,850 -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES / / -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 1.4% -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON OO ================================================================================ SEE INSTRUCTIONS BEFORE FILLING OUT! ---------------------- ---------------------- CUSIP No. 895436103 13D Page 8 of 57 Pages ---------------------- ---------------------- ================================================================================ 1 NAME OF REPORTING PERSONS I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY) BENCHMARK PLUS PARTNERS, L.L.C. -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) /X/ (b) / / -------------------------------------------------------------------------------- 3 SEC USE ONLY -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS WC -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) / / -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION DELAWARE -------------------------------------------------------------------------------- NUMBER OF 7 SOLE VOTING POWER SHARES BENEFICIALLY 1,522,775 OWNED BY ----------------------------------------------------------------- EACH 8 SHARED VOTING POWER REPORTING PERSON WITH - 0 - ----------------------------------------------------------------- 9 SOLE DISPOSITIVE POWER 1,522,775 ------------------------------------------------------------------ 10 SHARED DISPOSITIVE POWER - 0 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 1,522,775 -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES / / -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 1.4% -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON OO ================================================================================ SEE INSTRUCTIONS BEFORE FILLING OUT! ---------------------- ---------------------- CUSIP No. 895436103 13D Page 9 of 57 Pages ---------------------- ---------------------- ================================================================================ 1 NAME OF REPORTING PERSONS I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY) BENCHMARK PLUS MANAGEMENT, L.L.C. -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) /X/ (b) / / -------------------------------------------------------------------------------- 3 SEC USE ONLY -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS OO -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) / / -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION DELAWARE -------------------------------------------------------------------------------- NUMBER OF 7 SOLE VOTING POWER SHARES BENEFICIALLY 1,515,850 OWNED BY ----------------------------------------------------------------- EACH 8 SHARED VOTING POWER REPORTING PERSON WITH - 0 - ----------------------------------------------------------------- 9 SOLE DISPOSITIVE POWER 1,515,850 ------------------------------------------------------------------ 10 SHARED DISPOSITIVE POWER - 0 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 1,515,850 -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES / / -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 1.4% -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON OO ================================================================================ SEE INSTRUCTIONS BEFORE FILLING OUT! ---------------------- ---------------------- CUSIP No. 895436103 13D Page 10 of 57 Pages ---------------------- ---------------------- ================================================================================ 1 NAME OF REPORTING PERSONS I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY) PARADIGM PARTNERS, N.W., INC. -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) /X/ (b) / / -------------------------------------------------------------------------------- 3 SEC USE ONLY -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS OO -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) / / -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION WASHINGTON -------------------------------------------------------------------------------- NUMBER OF 7 SOLE VOTING POWER SHARES BENEFICIALLY 1,522,775 OWNED BY ----------------------------------------------------------------- EACH 8 SHARED VOTING POWER REPORTING PERSON WITH - 0 - ----------------------------------------------------------------- 9 SOLE DISPOSITIVE POWER 1,522,775 ------------------------------------------------------------------ 10 SHARED DISPOSITIVE POWER - 0 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 1,522,775 -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES / / -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 1.4% -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON CO ================================================================================ SEE INSTRUCTIONS BEFORE FILLING OUT! ---------------------- ---------------------- CUSIP No. 895436103 13D Page 11 of 57 Pages ---------------------- ---------------------- ================================================================================ 1 NAME OF REPORTING PERSONS I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY) SCOTT FRANZBLAU -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) /X/ (b) / / -------------------------------------------------------------------------------- 3 SEC USE ONLY -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS OO -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) / / -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION USA -------------------------------------------------------------------------------- NUMBER OF 7 SOLE VOTING POWER SHARES BENEFICIALLY 1,515,850 OWNED BY ----------------------------------------------------------------- EACH 8 SHARED VOTING POWER REPORTING PERSON WITH - 0 - ----------------------------------------------------------------- 9 SOLE DISPOSITIVE POWER 1,515,850 ------------------------------------------------------------------ 10 SHARED DISPOSITIVE POWER - 0 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 1,515,850 -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES / / -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 1.4% -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON IN ================================================================================ SEE INSTRUCTIONS BEFORE FILLING OUT! ---------------------- ---------------------- CUSIP No. 895436103 13D Page 12 of 57 Pages ---------------------- ---------------------- ================================================================================ 1 NAME OF REPORTING PERSONS I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY) ROBERT FERGUSON -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) /X/ (b) / / -------------------------------------------------------------------------------- 3 SEC USE ONLY -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS OO -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) / / -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION USA -------------------------------------------------------------------------------- NUMBER OF 7 SOLE VOTING POWER SHARES BENEFICIALLY 3,038,625 OWNED BY ----------------------------------------------------------------- EACH 8 SHARED VOTING POWER REPORTING PERSON WITH - 0 - ----------------------------------------------------------------- 9 SOLE DISPOSITIVE POWER 3,038,625 ------------------------------------------------------------------ 10 SHARED DISPOSITIVE POWER - 0 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 3,038,625 -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES / / -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 2.8% -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON IN ================================================================================ SEE INSTRUCTIONS BEFORE FILLING OUT! ---------------------- ---------------------- CUSIP No. 895436103 13D Page 13 of 57 Pages ---------------------- ---------------------- ================================================================================ 1 NAME OF REPORTING PERSONS I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY) MICHAEL DUNMIRE -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) /X/ (b) / / -------------------------------------------------------------------------------- 3 SEC USE ONLY -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS OO -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) / / -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION USA -------------------------------------------------------------------------------- NUMBER OF 7 SOLE VOTING POWER SHARES BENEFICIALLY 3,038,625 OWNED BY ----------------------------------------------------------------- EACH 8 SHARED VOTING POWER REPORTING PERSON WITH - 0 - ----------------------------------------------------------------- 9 SOLE DISPOSITIVE POWER 3,038,625 ------------------------------------------------------------------ 10 SHARED DISPOSITIVE POWER - 0 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 3,038,625 -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES / / -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 2.8% -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON IN ================================================================================ SEE INSTRUCTIONS BEFORE FILLING OUT! ---------------------- ---------------------- CUSIP No. 895436103 13D Page 14 of 57 Pages ---------------------- ---------------------- ================================================================================ 1 NAME OF REPORTING PERSONS I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY) PAUL DEROSA -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) /X/ (b) / / -------------------------------------------------------------------------------- 3 SEC USE ONLY -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS OO -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) / / -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION USA -------------------------------------------------------------------------------- NUMBER OF 7 SOLE VOTING POWER SHARES BENEFICIALLY - 100 - OWNED BY ----------------------------------------------------------------- EACH 8 SHARED VOTING POWER REPORTING PERSON WITH - 0 - ----------------------------------------------------------------- 9 SOLE DISPOSITIVE POWER - 100 - ------------------------------------------------------------------ 10 SHARED DISPOSITIVE POWER - 0 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON - 100 - -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES / / -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) Less than one percent -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON IN ================================================================================ SEE INSTRUCTIONS BEFORE FILLING OUT! ---------------------- ---------------------- CUSIP No. 895436103 13D Page 15 of 57 Pages ---------------------- ---------------------- ================================================================================ 1 NAME OF REPORTING PERSONS I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY) DAVID B. FORD -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) /X/ (b) / / -------------------------------------------------------------------------------- 3 SEC USE ONLY -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS OO -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) / / -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION USA -------------------------------------------------------------------------------- NUMBER OF 7 SOLE VOTING POWER SHARES BENEFICIALLY - 100 - OWNED BY ----------------------------------------------------------------- EACH 8 SHARED VOTING POWER REPORTING PERSON WITH - 0 - ----------------------------------------------------------------- 9 SOLE DISPOSITIVE POWER - 100 - ------------------------------------------------------------------ 10 SHARED DISPOSITIVE POWER - 0 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON - 100 - -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES / / -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) Less than one percent -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON IN ================================================================================ SEE INSTRUCTIONS BEFORE FILLING OUT! ---------------------- ---------------------- CUSIP No. 895436103 13D Page 16 of 57 Pages ---------------------- ---------------------- ================================================================================ 1 NAME OF REPORTING PERSONS I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY) ELYSE NAKAJIMA -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) /X/ (b) / / -------------------------------------------------------------------------------- 3 SEC USE ONLY -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS OO -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) / / -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION USA -------------------------------------------------------------------------------- NUMBER OF 7 SOLE VOTING POWER SHARES BENEFICIALLY - 100 - OWNED BY ----------------------------------------------------------------- EACH 8 SHARED VOTING POWER REPORTING PERSON WITH - 0 - ----------------------------------------------------------------- 9 SOLE DISPOSITIVE POWER - 100 - ------------------------------------------------------------------ 10 SHARED DISPOSITIVE POWER - 0 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON - 100 - -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES / / -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) Less than one percent -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON IN ================================================================================ SEE INSTRUCTIONS BEFORE FILLING OUT! ---------------------- ---------------------- CUSIP No. 895436103 13D Page 17 of 57 Pages ---------------------- ---------------------- The following constitutes Amendment No. 5 ("Amendment No. 5") to the Schedule 13D filed by the undersigned. This Amendment No. 5 amends the Schedule 13D as specifically set forth. Item 2. IDENTITY AND BACKGROUND. Item 2 is hereby amended and restated as follows: (a) This statement is filed by Western Investment LLC, a Delaware limited liability company ("WILLC"), Arthur D. Lipson, Western Investment Hedged Partners L.P., a Delaware limited partnership ("WIHP"), Western Investment Activism Partners LLC, a Delaware limited liability company ("WIAP"), Western Investment Total Return Master Fund Ltd., a Cayman Islands corporation ("WITR"), Benchmark Plus Institutional Partners, L.L.C., a Delaware limited liability company ("BPIP"), Benchmark Plus Partners, L.L.C, a Delaware limited liability company ("BPP"), Benchmark Plus Management, L.L.C., a Delaware limited liability company ("BPM"), Paradigm Partners, N.W., Inc., a Washington corporation ("PPNW"), Scott Franzblau, Robert Ferguson, Michael Dunmire, Paul DeRosa, David B. Ford and Elyse Nakajima. Each of the foregoing is referred to as a "Reporting Person" and collectively as the "Reporting Persons." Each of the Reporting Persons is party to that certain Joint Filing Agreement as defined and described in Item 6. (b) The principal business address of WILLC, WIHP, WIAP, WITR and Mr. Lipson is 2855 East Cottonwood Parkway, Suite 110, Salt Lake City, UT 84121. The principal business address of BPIP, BPM, BPP, PPNW, Mr. Franzblau, Mr. Ferguson and Mr. Dunmire is 820 A Street, Suite 700, Tacoma, WA 98402. The principal business address of Mr. DeRosa is c/o MT Lucas, LLC, 730 Fifth Avenue, New York, NY 10019. The principal business address of Mr. Ford is c/o DBF Associates, 375 Greenwich Street, New York, NY 10013. Ms. Nakajima has no principal business address. (c) The principal business of WILLC is acting as the general partner and managing member, as the case may be, of WIHP, WIAP and WITR. The principal occupation of Mr. Lipson is acting as managing member of WILLC. The principal business of WIHP, WIAP and WITR is acquiring, holding and disposing of investments in various companies. The principal business of BPM is acting as the managing member of BPIP. The principal business of BPIP is acquiring, holding and disposing of investments in various companies. ---------------------- ---------------------- CUSIP No. 895436103 13D Page 18 of 57 Pages ---------------------- ---------------------- The principal business of PPNW is acting as the managing member of BPP. The principal business of BPP is acquiring, holding and disposing of investments in various companies. The principal occupation of Scott Franzblau is acting as a managing member of BPM. The principal occupation of Robert Ferguson is acting as a managing member of BPM and as the President and director of PPNW. The principal occupation of Michael Dunmire is acting as a managing member of BPM and as Chairman of the Board of PPNW. The principal occupation of Mr. DeRosa is serving as a principal of Mt. Lucas Management Corporation, an asset management company. The principal occupation of Mr. Ford is a private investor. The principal occupation of Ms. Nakajima is opera singer. (d) No Reporting Person has, during the last five years, been convicted in a criminal proceeding (excluding traffic violations or similar misdemeanors). (e) No Reporting Person has, during the last five years, been party to a civil proceeding of a judicial or administrative body of competent jurisdiction and as a result of such proceeding was or is subject to a judgment, decree or final order enjoining future violations of, or prohibiting or mandating activities subject to, federal or state securities laws or finding any violation with respect to such laws. (f) Mr. Lipson, Mr. Franzblau, Mr. Ferguson, Mr. Dunmire, Mr. DeRosa, Mr. Ford and Ms. Nakajima are citizens of the United States of America. Item 3. SOURCE AND AMOUNT OF FUNDS OR OTHER CONSIDERATION. Item 3 is hereby amended and restated as follows: The aggregate purchase price of the 6,815,715 Shares beneficially owned by WILLC is approximately $129,810,245, including brokerage commissions. The Shares beneficially owned by WILLC were acquired with the working capital of each of WIHP, WIAP and WITR. The aggregate purchase price of the 901 Shares owned directly by Mr. Lipson is approximately $18,785, including brokerage commissions. The Shares owned directly by Mr. Lipson were acquired with personal funds. The aggregate purchase price of the 1,515,850 Shares beneficially owned by BPM is approximately $27,458,193, including brokerage commissions. The Shares beneficially owned by BPM were acquired with the working capital of BPIP. The aggregate purchase price of the 1,522,775 Shares beneficially owned by PPNW is approximately $27,311,132, including brokerage commissions. The Shares beneficially owned by PPNW were acquired with the working capital of BPP. Ms. Nakajima received a gift of 100 Shares from Mr. Lipson on February 24, 2006. Mr. DeRosa and Mr. Ford each received a gift of 100 Shares from WIHP on July 5, 2006. ---------------------- ---------------------- CUSIP No. 895436103 13D Page 19 of 57 Pages ---------------------- ---------------------- Item 4. PURPOSE OF TRANSACTION. Item 4 is hereby amended to add the following: On July 5, 2005, WIHP and Mr. Lipson submitted a letter (the "Nomination Letter") to the Issuer's stockholder service agent nominating a slate of three nominees comprised of Arthur D. Lipson, Paul DeRosa and David B. Ford (collectively, the "Nominees") for election to the Board of Directors of the Issuer at the special meeting of the Issuer's stockholders scheduled for September 28, 2006, or any other meeting of stockholders held in lieu thereof, and any adjournments, postponements, reschedulings or continuations thereof (the "Special Meeting"). The Reporting Persons intend to make a filing with the Securities and Exchange Commission of a proxy statement to be used, among other things, to solicit votes in support of the election of the Nominees at the Special Meeting. The Reporting Persons reserve the right to take any action they deem appropriate related to this issue. No Reporting Person has any present plan or proposal which would relate to or result in any of the matters set forth in subparagraphs (a) - (j) of Item 4 of Schedule 13D except as set forth herein or such as would occur upon completion of any of the actions discussed above. Item 5. INTEREST IN SECURITIES OF THE ISSUER. Item 5 is hereby amended and restated as follows: (a) The aggregate percentage of Shares reported owned by each person named herein is based upon 107,343,211 Shares outstanding as of February 28, 2006, as reported in the Issuer's prospectus dated May 1, 2006 filed with the Securities and Exchange Commission on April 28, 2006. As of the close of business on July 11, 2006, WIHP, WIAP, WITR, BPIP and BPP beneficially owned 3,175,015, 3,256,300, 384,400, 1,515,850 and 1,522,775 Shares, respectively, constituting approximately 3.0%, 3.0%, 0.4%, 1.4% and 1.4%, respectively, of the Shares outstanding. WILLC beneficially owned 6,815,715 Shares, constituting approximately 6.4% of the Shares outstanding. Mr. Lipson beneficially owned 6,816,616 Shares, constituting approximately 6.4% of the Shares outstanding. Mr. Franzblau beneficially owned 1,515,850 Shares, constituting approximately 1.4% of the Shares outstanding. Messrs. Ferguson and Dunmire beneficially owned 3,038,625 Shares, constituting approximately 2.8% of the Shares outstanding. Each of Mr. DeRosa, Mr. Ford and Ms. Nakajima owned 100 Shares, constituting less than one percent of the Shares outstanding. As the general partner, managing member or investment manager, as the case may be, of WIHP, WIAP and WITR, WILLC may be deemed to beneficially own the 6,815,715 Shares owned in the aggregate by WIHP, WIAP and WITR. As the managing member of WILLC, Mr. Lipson may be deemed to beneficially own the 6,815,715 Shares beneficially owned by WILLC, in addition to the 901 Shares owned directly by Mr. Lipson. As the managing member of BPIP, BPM may be deemed to beneficially own the 1,515,850 Shares owned by BPIP. As the managing members of BPM, Messrs. Franzblau, Ferguson and Dunmire may be deemed to beneficially own the 1,515,850 ---------------------- ---------------------- CUSIP No. 895436103 13D Page 20 of 57 Pages ---------------------- ---------------------- Shares beneficially owned by BPM. As the managing member of BPP, PPNW may be deemed to beneficially own the 1,522,775 Shares owned by BPP. As the sole officers and directors of PPNW, Messrs. Ferguson and Dunmire may be deemed to beneficially own the 1,522,775 Shares beneficially owned by PPNW. Each of WILLC, Mr. Lipson, WIHP, WIAP and WITR disclaims beneficial ownership of the Shares beneficially owned by the other Reporting Persons. Each of Mr. DeRosa, Mr. Ford and Ms. Nakajima disclaims beneficial ownership of the Shares beneficially owned by the other Reporting Persons. Each of BPIP, BPM and Mr. Franzblau disclaim beneficial ownership of the Shares beneficially owned by the other Reporting Persons. Each of BPP and PPNW disclaim beneficial ownership of the Shares beneficially owned by the other Reporting Persons. Each of Mr. Ferguson and Mr. Dunmire disclaim beneficial ownership of the Shares beneficially owned by the other Reporting Persons, with the exception of BPIP, BPM, BPP and PPNW. (b) WILLC has sole voting and investment power over WIHP, WIAP and WITR's security holdings and Mr. Lipson, in his role as the managing member of WILLC, controls WIHP, WIAP and WITR's voting and investment decisions. Each of WILLC and Mr. Lipson is deemed to have sole voting and dispositive power over the Shares reported as beneficially owned by WIHP, WIAP and WITR by virtue of their respective positions as described in paragraph (a). Neither WILLC, Mr. Lipson, WIHP, WIAP nor WITR has voting or dispositive control over the Shares beneficially owned by BPIP, BPP, BPM, PPNW, Mr. Franzblau, Mr. Ferguson, Mr. Dunmire, Mr. DeRosa, Mr. Ford or Ms. Nakajima. Neither Mr. DeRosa, Mr. Ford nor Ms. Nakajima has voting or dispositive control over the Shares beneficially owned by the other Reporting Persons. Each of PPNW, Mr. Ferguson and Mr. Dunmire is deemed to have sole voting and dispositive power over the Shares reported as beneficially owned by BPP by virtue of their respective positions as described in paragraph (a). Each of BPM and Messrs. Franzblau, Ferguson and Dunmire is deemed to have sole voting and dispositive power over the Shares reported as beneficially owned by BPIP by virtue of their respective positions as described in paragraph (a). Neither BPP nor PPNW has voting or dispositive control over the Shares beneficially owned by the other Reporting Persons. Neither BPIP, BPM nor Mr. Franzblau has voting or dispositive control over the Shares beneficially owned by the other Reporting Persons. Neither Mr. Ferguson nor Mr. Dunmire has voting or dispositive control over the Shares beneficially owned by the other Reporting Persons, with the exception of BPIP, BPM, BPP and PPNW. (c) Schedule A attached hereto reports all transactions in the Shares by the Reporting Persons effected since the last transaction reported in Amendment No. 4 to the Schedule 13D. Except where otherwise noted, all of such transactions were effected in the open market. (d) No person other than the Reporting Persons is known to have the right to receive, or the power to direct the receipt of dividends from, or proceeds from the sale of, the Shares. ---------------------- ---------------------- CUSIP No. 895436103 13D Page 21 of 57 Pages ---------------------- ---------------------- (e) Not applicable. Item 6. CONTRACTS, ARRANGEMENTS, UNDERSTANDINGS OR RELATIONSHIPS WITH RESPECT TO SECURITIES OF THE ISSUER. On July 3, 2006, WILLC, WIHP, WIAP WITR, Arthur D. Lipson, Paul DeRosa, David B. Ford, Elyse Nakajima, BPIP, BPM, BPP, PPNW, Scott Franzblau, Robert Ferguson and Michael Dunmire (collectively, the "Group") entered into a Joint Filing and Solicitation Agreement (the "Joint Filing Agreement") in which, among other things, (a) the parties agreed to the joint filing on behalf of each of them of statements on Schedule 13D with respect to the securities of the Issuer to the extent required by applicable law, (b) the parties agreed to solicit proxies or written consents for the election of the Nominees, or any other person(s) nominated by WIHP and Mr. Lipson, to the Issuer's Board at the Annual Meeting (the "Solicitation"), (c) WILLC agreed to indemnify and hold each of Paul DeRosa and David B. Ford harmless from and against any and all claims of any nature, whenever brought, arising from such Nominee's nomination for election as a director of the Issuer, and the Solicitation, and (d) WILLC agreed to bear all expenses incurred in connection with the Group's activities, including approved expenses incurred by any of the parties in connection with the Solicitation, subject to certain limitations. WIHP, WIAP, WITR BPIP, BPM, BPP and PPNW have separately agreed to reimburse WILLC on a pro rata basis for these expenses. The Joint Filing Agreement is attached as an exhibit hereto and is incorporated herein by reference. Other than as described herein, there are no contracts, arrangements, understandings or relationships among the Reporting Persons, or between the Reporting Persons and any other person, with respect to the securities of the Issuer. Item 7. MATERIAL TO BE FILED AS EXHIBITS. 1. Nomination Letter from Western Investment Hedged Partners LP and Arthur D. Lipson to Tri-Continental Corporation, dated July 5, 2006. 2. Joint Filing and Solicitation Agreement by and among Western Investment LLC, Western Investment Hedged Partners LP, Western Investment Activism Partners LLC, Western Investment Total Return Master Fund Ltd., Arthur D. Lipson, Paul DeRosa, David B. Ford, Elyse Nakajima, Benchmark Plus Institutional Partners, L.L.C., Benchmark Plus Management, L.L.C., Benchmark Plus Partners, L.L.C., Paradigm Partners, N.W., Inc., Scott Franzblau, Robert Ferguson and Michael Dunmire, dated July 3, 2006. ---------------------- ---------------------- CUSIP No. 895436103 13D Page 22 of 57 Pages ---------------------- ---------------------- SIGNATURES After reasonable inquiry and to the best of his knowledge and belief, each of the undersigned certifies that the information set forth in this statement is true, complete and correct. Dated: July 12, 2006 WESTERN INVESTMENT LLC By: /s/ Arthur D. Lipson ----------------------------------------- Name: Arthur D. Lipson Title: Sole Member WESTERN INVESTMENT HEDGED PARTNERS L.P. By: Western Investment LLC, Its General Partner By: /s/ Arthur D. Lipson ----------------------------------------- Name: Arthur D. Lipson Title: Managing Member WESTERN INVESTMENT ACTIVISM PARTNERS LLC By: Western Investment LLC, Its Managing Member By: /s/ Arthur D. Lipson ----------------------------------------- Name: Arthur D. Lipson Title: Managing Member WESTERN INVESTMENT TOTAL RETURN MASTER FUND LTD. By: Western Investment LLC, Its Investment Manager By: /s/ Arthur D. Lipson ----------------------------------------- Name: Arthur D. Lipson Title: Managing Member BENCHMARK PLUS INSTITUTIONAL PARTNERS, L.L.C. By: Benchmark Plus Management, L.L.C., Its Managing Member ---------------------- ---------------------- CUSIP No. 895436103 13D Page 23 of 57 Pages ---------------------- ---------------------- By: /s/ Scott Franzblau ----------------------------------------- Name: Scott Franzblau Title: Managing Member By: /s/ Robert Ferguson ----------------------------------------- Name: Robert Ferguson Title: Managing Member By: /s/ Michael Dunmire ----------------------------------------- Name: Michael Dunmire Title: Managing Member BENCHMARK PLUS MANAGEMENT, L.L.C. By: /s/ Scott Franzblau ----------------------------------------- Name: Scott Franzblau Title: Managing Member By: /s/ Robert Ferguson ----------------------------------------- Name: Robert Ferguson Title: Managing Member By: /s/ Michael Dunmire ----------------------------------------- Name: Michael Dunmire Title: Managing Member BENCHMARK PLUS PARTNERS, L.L.C. By: Paradigm Partners, N.W., Inc. Its Managing Member By: /s/ Robert Ferguson ----------------------------------------- Name: Robert Ferguson Title: President By: /s/ Michael Dunmire ----------------------------------------- Name: Michael Dunmire Title: Chairman of the Board PARADIGM PARTNERS, N.W., INC. By: /s/ Robert Ferguson ----------------------------------------- Name: Robert Ferguson Title: President By: /s/ Michael Dunmire ----------------------------------------- Name: Michael Dunmire Title: Chairman of the Board ---------------------- ---------------------- CUSIP No. 895436103 13D Page 24 of 57 Pages ---------------------- ---------------------- /s/ Arthur D. Lipson --------------------------------------------- ARTHUR D. LIPSON /s/ Scott Franzblau --------------------------------------------- SCOTT FRANZBLAU /s/ Robert Ferguson --------------------------------------------- ROBERT FERGUSON /s/ Michael Dunmire --------------------------------------------- MICHAEL DUNMIRE /s/ Paul DeRosa --------------------------------------------- PAUL DEROSA /s/ David B. Ford --------------------------------------------- DAVID B. FORD /s/ Elyse Nakajima --------------------------------------------- ELYSE NAKAJIMA ---------------------- ---------------------- CUSIP No. 895436103 13D Page 25 of 57 Pages ---------------------- ---------------------- SCHEDULE A PURCHASES AND SALES IN THE COMMON STOCK OF TRI-CONTINENTAL SINCE THE LAST TRANSACTION REPORTED IN AMENDMENT NO. 4 TO THE SCHEDULE 13D Transaction Quantity Date Price ($) ----------- -------- ---- --------- WESTERN INVESTMENT HEDGED PARTNERS L.P. Buy 59,300 05/15/06 20.0425 Buy 20,100 05/16/06 20.1099 Buy 34,400 05/17/06 19.8080 Buy 42,100 05/18/06 19.7895 Buy 39,500 05/19/06 19.7235 Buy 59,100 05/22/06 19.6808 Buy 22,900 05/23/06 19.7540 Buy 30,000 05/24/06 19.5736 Sell 12,000 06/06/06 19.5978 Sell 500 06/07/06 19.5544 Sell 200 06/08/06 19.2194 Transferred as Gift 200 07/05/06 N/A WESTERN INVESTMENT TOTAL RETURN MASTER FUND LTD. Buy 1,600 06/08/06 19.3963 Buy 3,300 06/09/06 19.3296 Buy 14,400 06/12/06 19.2739 Buy 9,200 06/13/06 18.8823 Buy 6,600 06/15/06 19.1582 Buy 12,600 06/16/06 19.1948 Buy 3,100 06/19/06 19.0917 Buy 23,100 06/20/06 19.1099 Sell 400 06/21/06 19.2494 Buy 3,500 06/22/06 19.1228 Buy 14,300 06/26/06 19.0804 Buy 16,900 06/27/06 19.0449 Buy 27,600 06/28/06 19.0252 Buy 45,300 06/29/06 19.3292 Buy 45,700 06/30/06 19.4613 Buy 36,600 07/03/06 19.5610 Buy 17,200 07/05/06 19.5003 Buy 6,900 07/06/06 19.5522 Buy 50,600 07/07/06 19.5210 Buy 29,700 07/10/06 19.4460 Buy 16,600 07/11/06 19.4179 ---------------------- ---------------------- CUSIP No. 895436103 13D Page 26 of 57 Pages ---------------------- ---------------------- Transaction Quantity Date Price ($) ----------- -------- ---- --------- BENCHMARK PLUS PARTNERS, L.L.C. Buy 20,200 05/24/06 19.4931 Buy 5,100 05/25/06 19.6645 Buy 400 05/30/06 19.7900 Buy 6,700 05/31/06 19.6307 Buy 9,300 06/02/06 19.9484 BENCHMARK PLUS INSTITUTIONAL PARTNERS, L.L.C. Buy 16,400 05/26/06 19.8188 Buy 27,600 06/01/06 19.8313 Buy 9,300 06/02/06 19.9484 PAUL DEROSA Received as Gift 100 07/05/06 N/A DAVID B. FORD Received as Gift 100 07/05/06 N/A ---------------------- ---------------------- CUSIP No. 895436103 13D Page 27 of 57 Pages ---------------------- ---------------------- Exhibit 1 WESTERN INVESTMENT HEDGED PARTNERS L.P. ARTHUR D. LIPSON 2855 East Cottonwood Parkway, Suite 110 c/o Western Investment LLC Salt Lake City, Utah 84121 2855 East Cottonwood Parkway, Suite 110 Salt Lake City, Utah 84121 July 5, 2006 BY HAND AND FEDERAL EXPRESS Tri-Continental Corporation c/o Seligman Data Corp. 100 Park Avenue New York, New York 10017 Attn: Corporate Secretary Re: NOTICE OF INTENTION TO NOMINATE INDIVIDUALS FOR ELECTION AS DIRECTORS AT SPECIAL MEETING OF STOCKHOLDERS OF TRI-CONTINENTAL CORPORATION Dear Sir: This letter shall serve to satisfy the advance notice requirements of Article II, Section 10 of the Amended and Restated Bylaws (the "Bylaws") of Tri-Continental Corporation ("Tri-Continental") as to the nomination by each of Western Investment Hedged Partners L.P., a Delaware limited partnership ("Western Investment"), and Arthur D. Lipson of three (3) nominees for election to the Board of Directors of Tri-Continental (the "Tri-Continental Board") at the special meeting of stockholders of Tri-Continental scheduled for September 28, 2006, or any other meeting of stockholders held in lieu thereof, and any adjournments, postponements, reschedulings or continuations thereof (the "Special Meeting"). This letter and all Exhibits attached hereto are collectively referred to as the "Notice." Western Investment is the beneficial owner of 3,175,015 shares of common stock, $.50 par value per share (the "Common Stock"), of Tri-Continental, 1,000 shares of which are held of record by Western Investment. Arthur D. Lipson is the beneficial owner of 6,712,816 shares of Common Stock, 900 shares of which are held of record by Arthur D. Lipson. Western Investment's address, as believed to appear on Tri-Continental's books, is 2855 East Cottonwood Parkway, Suite 110, Salt Lake City, Utah 84121. Arthur D. Lipson's address, as believed to appear on Tri-Continental's books, is P.O. Box 71869, Salt Lake City, Utah 84171. Through this Notice, Western Investment and Arthur D. Lipson hereby nominate and notify you of their intent to nominate Arthur D. Lipson, Paul DeRosa and David B. Ford as nominees (the "Nominees") to be elected to the Tri-Continental Board at the Special Meeting. Western Investment and Arthur D. Lipson believe that the terms of three (3) directors currently serving on the Tri-Continental Board expire at the Special Meeting. To the extent there are in excess of three (3) vacancies on the Tri-Continental Board to be filled by election at the Special Meeting or Tri-Continental increases the size of the Tri-Continental Board above its existing size, Western Investment and Arthur D. Lipson reserve the right to nominate additional nominees to be elected to the Tri-Continental Board at the Special Meeting. Any additional nominations made pursuant to the preceding sentence are without prejudice to the position of Western Investment and Arthur D. Lipson that any attempt by Tri-Continental to ---------------------- ---------------------- CUSIP No. 895436103 13D Page 28 of 57 Pages ---------------------- ---------------------- increase the size of the Tri-Continental Board or to reconstitute or reconfigure the classes on which the current directors serve would constitute an unlawful manipulation of Tri-Continental's corporate machinery. If this Notice shall be deemed for any reason to be ineffective with respect to the nomination of the Nominees by either Western Investment or Arthur D. Lipson, this Notice shall continue to be effective with respect to the nomination of the Nominees by the other party. Additionally, if this Notice shall be deemed for any reason to be ineffective with respect to the nomination of any of the Nominees at the Special Meeting, or if any individual Nominee shall be unable to serve for any reason, this Notice shall continue to be effective with respect to the remaining Nominee(s) and as to any replacement Nominee(s) selected by Western Investment and Arthur D. Lipson. The information concerning the Nominees required by Article II, Section 10 of the Bylaws is set forth below: (i) NAME, AGE, BUSINESS ADDRESS AND RESIDENCE ADDRESS OF THE NOMINEES: NAME AND AGE BUSINESS ADDRESS RESIDENCE ADDRESS ------------ ---------------- ----------------- Arthur D. Lipson c/o Western Investment LLC 8011 S. Dazzling View Circle (Age 63) 2855 E. Cottonwood Parkway, Salt Lake City, UT 84121 Suite 110 Salt Lake City, UT 84121 Paul DeRosa c/o MT Lucas, LLC 71 Forest Road (Age 64) 730 Fifth Avenue Tenafly, NJ 70670 New York, NY 10019 David B. Ford c/o DBF Associates 1 Johnny Counts Road # 18 (Age 60) 375 Greenwich Street Jackson, WY 83001 New York, NY 10013 (ii) CLASS, SERIES AND NUMBER OF SHARES OF STOCK OF TRI-CONTINENTAL THAT ARE BENEFICIALLY OWNED BY THE NOMINEES: NAME CLASS / SERIES BENEFICIAL OWNERSHIP ---- -------------- -------------------- Arthur D. Lipson Common Stock, Mr. Lipson beneficially owns $.50 par value 6,712,816 shares of Common Stock consisting of 901 shares held directly by Mr. Lipson and 6,711,915 shares beneficially owned by Western Investment LLC ("WILLC"). Mr. Lipson may be deemed to beneficially own the 6,711,915 shares of Common Stock beneficially owned by WILLC by virtue of his ability to vote and dispose of such shares as the sole managing member of WILLC. Paul DeRosa Common Stock, Mr. DeRosa beneficially owns 100 $.50 par value shares of Common Stock. ---------------------- ---------------------- CUSIP No. 895436103 13D Page 29 of 57 Pages ---------------------- ---------------------- David B. Ford Common Stock, Mr. Ford beneficially owns 100 $.50 par value shares of Common Stock. (iii) THE DATE SUCH SHARES WERE ACQUIRED AND THE INVESTMENT INTENT OF SUCH ACQUISITION: NAME DATE ACQUIRED INVESTMENT INTENT ---- ------------- ----------------- Arthur D. Lipson The date of purchase and number Mr. Lipson purchased the of shares acquired by Mr. shares based on his Lipson and the Stockholder belief that the shares Associated Persons (as defined were undervalued at in the Bylaws) listed in current market prices and Section (vi) of this Notice are represented an attractive set forth in Exhibit A. Mr. investment opportunity. Lipson may be deemed to In addition to the beneficially own the shares foregoing, Mr. Lipson beneficially owned by WILLC but reserves the right to does not have the power to vote take any and all action or dispose, and disclaims permitted by law with beneficial ownership of, the respect to his shares beneficially owned by shareholding in BPIP (as defined below) and BPP Tri-Continental. (as defined below). Paul DeRosa The date of acquisition and Mr. DeRosa acquired the number of shares acquired by shares as a gift from Mr. DeRosa are set forth in Western Investment and Exhibit A. reserves the right to take any and all action permitted by law with respect to his shareholding in Tri-Continental. David B. Ford The date of acquisition and Mr. Ford acquired the number of shares acquired by shares as a gift from Mr. Ford are set forth in Western Investment and Exhibit A. reserves the right to take any and all action permitted by law with respect to his shareholding in Tri-Continental. (iv) WHETHER THE STOCKHOLDERS GIVING THE NOTICE BELIEVE ANY NOMINEE IS, OR IS NOT, AN "INTERESTED PERSON" OF TRI-CONTINENTAL, AS DEFINED IN THE 1940 ACT, AND INFORMATION REGARDING SUCH INDIVIDUAL THAT IS SUFFICIENT, IN THE DISCRETION OF THE BOARD OF DIRECTORS OR ANY COMMITTEE THEREOF OR ANY AUTHORIZED OFFICER OF TRI-CONTINENTAL, TO MAKE SUCH DETERMINATION: Western Investment and Arthur D. Lipson do not believe any Nominee is an "interested person" of Tri-Continental, as defined in the Investment Company Act of 1940. Western Investment and Arthur D. Lipson do not believe there is any relevant information other than the information ---------------------- ---------------------- CUSIP No. 895436103 13D Page 30 of 57 Pages ---------------------- ---------------------- already set forth herein regarding any of the Nominees that would allow the Tri-Continental Board or any committee thereof or any authorized officer to make a determination to the contrary. (v) ANY OTHER BUSINESS THAT THE STOCKHOLDER PROPOSES TO BRING BEFORE THE SPECIAL MEETING, A DESCRIPTION OF SUCH BUSINESS, THE REASONS FOR PROPOSING SUCH BUSINESS AT THE SPECIAL MEETING AND ANY MATERIAL INTEREST IN SUCH BUSINESS OF SUCH STOCKHOLDER AND ANY STOCKHOLDER ASSOCIATED PERSON (AS DEFINED IN THE BYLAWS), INDIVIDUALLY OR IN THE AGGREGATE, INCLUDING ANY ANTICIPATED BENEFIT TO THE STOCKHOLDER AND THE STOCKHOLDER ASSOCIATED PERSON THEREFROM; Except with respect to the election of the Nominees, Western Investment and Mr. Lipson do not propose to bring any other business before the Special Meeting. (vi) CLASS, SERIES AND NUMBER OF SHARES OF STOCK OF TRI-CONTINENTAL WHICH ARE OWNED BY THE STOCKHOLDERS GIVING THE NOTICE AND STOCKHOLDER ASSOCIATED PERSONS (AS DEFINED IN THE BYLAWS), AND THE NOMINEE HOLDER FOR, AND NUMBER OF, SHARES OWNED BENEFICIALLY BUT NOT OF RECORD BY SUCH STOCKHOLDERS AND BY ANY SUCH STOCKHOLDER ASSOCIATED PERSONS: The following table sets forth the name, address and beneficial ownership of securities of the Stockholders giving this Notice as well as all the members of the Group (as defined herein). Reference is made to the Schedule 13D filed and to be filed with the Securities and Exchange Commission for more information regarding the members of the Group. NAME CLASS / SERIES OWNERSHIP / NOMINEE HOLDER ---- -------------- -------------------------- Western Investment Common Stock, 1,000 shares owned of record Hedged Partners L.P. $.50 par value 3,174,015 shares owned beneficially (owned of record by Cede & Co.) Western Investment Common Stock, 3,256,300 shares owned beneficially Activism Partners LLC $.50 par value (owned of record by Cede & Co.) ("WIAP") Western Investment Common Stock, 280,600 shares owned beneficially Total Return Master $.50 par value (owned of record by Cede & Co.) Fund Ltd. ("WITR") ---------------------- ---------------------- CUSIP No. 895436103 13D Page 31 of 57 Pages ---------------------- ---------------------- Western Investment LLC Common Stock, As the general partner, managing $.50 par value member, and investment manager, as the case may be, of Western Investment, WIAP, and WITR, WILLC may be deemed to beneficially own the 6,711,915 shares owned in the aggregate by Western Investment, WIAP and WITR, as set forth in further detail in this Section (vi). Arthur D. Lipson Common Stock, 900 shares owned of record and one $.50 par value share owned beneficially (owned of record by Cede & Co.) Mr. Lipson may also be deemed to beneficially own the 6,711,915 shares of Common Stock beneficially owned by WILLC by virtue of his ability to vote and dispose of such shares as the sole managing member of WILLC. Benchmark Plus Common Stock, 1,515,850 shares owned beneficially Institutional Partners, $.50 par value (owned of record by Cede & Co.) L.L.C. ("BPIP") Benchmark Plus Common Stock, BPM may be deemed to beneficially own Management, L.L.C. $.50 par value the 1,515,850 shares of Common Stock ("BPM") beneficially owned by BPIP by virtue of its ability to vote and dispose of such shares as the managing member of BPIP. Benchmark Plus Common Stock, 1,522,775 shares owned beneficially Partners, L.L.C. $.50 par value (owned of record by Cede & Co.) ("BPP") Paradigm Partners, Common Stock, PPNW may be deemed to beneficially N.W., Inc. $.50 par value own the 1,522,775 shares of Common ("PPNW") Stock beneficially owned by BPP by virtue of its ability to vote and dispose of such shares as the managing member of BPP. Scott Franzblau Common Stock, Mr. Franzblau may be deemed to $.50 par value beneficially own the 1,515,850 shares of Common Stock beneficially owned by BPIP by virtue of his ability to vote and dispose of such shares as a managing member of BPM, which in turn is the managing member of BPIP. ---------------------- ---------------------- CUSIP No. 895436103 13D Page 32 of 57 Pages ---------------------- ---------------------- Robert Ferguson Common Stock, Mr. Ferguson may be deemed to $.50 par value beneficially own the 1,515,850 shares of Common Stock beneficially owned by BPIP by virtue of his ability to vote and dispose of such shares as a managing member of BPM, which in turn is the managing member of BPIP. Mr. Ferguson may also be deemed to beneficially own the 1,522,775 shares of Common Stock beneficially owned by BPP by virtue of his ability to vote and dispose of such shares as a principal of PPNW, which in turn is the managing member of BPP. Michael Dunmire Common Stock, Mr. Dunmire may be deemed to $.50 par value beneficially own the 1,515,850 shares of Common Stock beneficially owned by BPIP by virtue of his ability to vote and dispose of such shares as a managing member of BPM, which in turn is the managing member of BPIP. Mr. Dunmire may also be deemed to beneficially own the 1,522,775 shares of Common Stock beneficially owned by BPP by virtue of his ability to vote and dispose of such shares as a principal of PPNW, which in turn is the managing member of BPP. Elyse Nakajima Common Stock, 100 shares owned of record $.50 par value Paul DeRosa Common Stock, 100 shares owned beneficially $.50 par value (owned of record by Cede & Co.) David B. Ford Common Stock, 100 shares owned beneficially $.50 par value (owned of record by Cede & Co.) (vii) THE NAME AND ADDRESS, AS BELIEVED TO APPEAR ON TRI-CONTINENTAL'S STOCK LEDGER, AND CURRENT NAME AND ADDRESS, IF DIFFERENT, OF THE STOCKHOLDERS GIVING THE NOTICE AND STOCKHOLDER ASSOCIATED PERSONS (AS DEFINED IN THE BYLAWS) WHO CURRENTLY BENEFICIALLY OWN SHARES: ---------------------- ---------------------- CUSIP No. 895436103 13D Page 33 of 57 Pages ---------------------- ---------------------- (a) STOCKHOLDERS GIVING THE NOTICE NAME / ADDRESS ON STOCK LEDGER Western Investment Hedged Partners L.P. Same 2855 East Cottonwood Parkway, Suite 110 Salt Lake City, Utah 84121 Arthur D. Lipson Arthur D. Lipson c/o Western Investment LLC P.O. Box 71869 2855 East Cottonwood Parkway, Suite 110 Salt Lake City, Utah 84171 Salt Lake City, Utah 84121 (b) STOCKHOLDER ASSOCIATED PERSONS Western Investment Activism Partners LLC N/A 2855 East Cottonwood Parkway, Suite 110 Salt Lake City, Utah 84121 Western Investment Total Return Master Fund Ltd. N/A 2855 East Cottonwood Parkway, Suite 110 Salt Lake City, Utah 84121 Western Investment LLC N/A 2855 East Cottonwood Parkway, Suite 110 Salt Lake City, Utah 84121 Benchmark Plus Institutional Partners, L.L.C. N/A 820 A Street, Suite 700 Tacoma, Washington 98402 Benchmark Plus Management, L.L.C. N/A 820 A Street, Suite 700 Tacoma, Washington 98402 Benchmark Plus Partners, L.L.C. N/A 820 A Street, Suite 700 Tacoma, Washington 98402 Paradigm Partners, N.W., Inc. N/A 820 A Street, Suite 700 Tacoma, Washington 98402 Scott Franzblau N/A 820 A Street, Suite 700 Tacoma, Washington 98402 Robert Ferguson N/A 820 A Street, Suite 700 Tacoma, Washington 98402 ---------------------- ---------------------- CUSIP No. 895436103 13D Page 34 of 57 Pages ---------------------- ---------------------- Michael Dunmire N/A 820 A Street, Suite 700 Tacoma, Washington 98402 Elyse Nakajima Same 545 West 111th Street, Apt. 5B New York, NY 10025 Paul DeRosa N/A c/o MT Lucas, LLC 730 Fifth Avenue New York, NY 10019 David B. Ford N/A c/o DBF Associates 375 Greenwich Street New York, NY 10013 (viii) TO THE EXTENT KNOWN BY THE STOCKHOLDERS GIVING THE NOTICE, THE NAME AND ADDRESS OF ANY OTHER STOCKHOLDER SUPPORTING THE NOMINEES FOR ELECTION AS A DIRECTOR ON THE DATE OF THIS NOTICE: As of the date hereof, Western Investment and Arthur D. Lipson are not aware of any other stockholder supporting the Nominees for election at the Special Meeting other than the persons and entities named in this Notice. (ix) ALL OTHER INFORMATION RELATING TO THE NOMINEES THAT IS REQUIRED TO BE DISCLOSED IN SOLICITATIONS OF PROXIES FOR ELECTION OF DIRECTORS IN AN ELECTION CONTEST, OR IS OTHERWISE REQUIRED, IN EACH CASE PURSUANT TO REGULATION 14A UNDER THE EXCHANGE ACT AND THE RULES THEREUNDER: ARTHUR D. LIPSON has been the sole managing member of WILLC, a Delaware limited liability company that acts as the general partner, managing member, and investment manager, as the case may be, of Western Investment, WIAP and WITR, since May 1997. The principal business of Western Investment, WIAP and WITR is acquiring, holding and disposing of investments in various companies. Mr. Lipson has experience in sales & trading and research, including heading all fixed income research for Lehman Brothers and for Paine Webber, was a known leader in the industry, and created, among other things, the Lehman Brothers bond indices. Mr. Lipson received a Masters of Science from Columbia University and a Bachelor of Science from the California Institute of Technology. PAUL DEROSA has been a principal of Mt. Lucas Management Corporation, an asset management company, since November 1998. From March 1988 to July 1995, he served as Managing Director of Eastbridge Capital Inc., a bond trading company. From July 1986 to March 1988, he served as Senior Vice President of the Capital Markets Division of E.F. Hutton Inc. ---------------------- ---------------------- CUSIP No. 895436103 13D Page 35 of 57 Pages ---------------------- ---------------------- Prior to such time he served in various capacities with Citibank NA, including as a Division Head and Vice President of Citicorp Investment Bank. Mr. DeRosa is currently a director of Intervest Bancshares Corporation, a financial holding company. Mr. DeRosa received a Ph.D. in Economics from Columbia University. DAVID B. FORD was a partner and then a managing director from 1986 to 2003, and co-head of Global Asset Management from 1994 to 2003, with The Goldman Sachs Group, Inc., a global investment banking and securities firm. He has been a private investor since 2003. He currently serves on Wharton's Board of Overseers and is a member of the Board of Trustees for Florida State University. Mr. Ford received a Bachelor of Science from Florida State University and a Masters of Business Administration from the Wharton School at the University of Pennsylvania. For information regarding transactions during the past two years of securities of Tri-Continental by the persons and entities named herein, please see EXHIBIT A. As of July 5, 2006, the dollar range of shares of the Company beneficially owned by each Nominee is as follows: Aggregate Dollar Range of Equity Dollar Range of Securities in All Funds to be Equity Securities Overseen by Nominee in Seligman Name of Nominee in Tri-continental Family of Investment Companies --------------- ------------------ ------------------------------ Arthur D. Lipson Over $100,000 Over $100,000 Paul DeRosa $1 to $10,000 $1 to $10,000 David B. Ford $1 to $10,000 $1 to $10,000 If elected to the Tri-Continental Board, the Nominees would not oversee any registered investment company within the Seligman family of investment companies other than Tri-Continental. On July 3, 2006, Western Investment, WIAP, WITR, WILLC, Arthur D. Lipson, Paul DeRosa, David B. Ford, Elyse Nakajima, BPIP, BPM, BPP, PPNW, Scott Franzblau, Robert Ferguson and Michael Dunmire (collectively, the "Group") entered into a Joint Filing and Solicitation Agreement in which, among other things, (a) the parties agreed to the joint filing on behalf of each of them of statements on Schedule 13D with respect to the securities of Tri-Continental, (b) the parties agreed to vote in favor of the election of the Nominees and to solicit proxies or written consents for the election of the Nominees, or any other person(s) nominated by Arthur D. Lipson at the Special Meeting (the "Solicitation"), (c) WILLC agreed to indemnify and hold each of Paul DeRosa and David B. Ford harmless from and against any and all claims of any nature, whenever brought, arising from such Nominee's nomination for election as director of Tri-Continental, and the ---------------------- ---------------------- CUSIP No. 895436103 13D Page 36 of 57 Pages ---------------------- ---------------------- Solicitation, and (d) WILLC agreed to bear all expenses incurred in connection with the Group's activities, including approved expenses incurred by any of the parties in connection with the Solicitation, subject to certain limitations. The information contained in the Schedule 13D filed or to be filed by the members of the Group with respect to Tri-Continental is deemed incorporated by reference herein and accordingly all information contained in this Notice is deemed to be supplemented by the information in the Schedule 13D. Other than as stated above, there are no arrangements or understandings between Western Investment and Arthur D. Lipson and each Nominee or any other person or persons pursuant to which the nominations described herein are to be made, other than the consents by the Nominees to be named as a nominee in this Notice, to be named as a nominee in any proxy statement filed by Western Investment and/or Arthur D. Lipson in connection with the Special Meeting and to serve as a director of Tri-Continental, if so elected. Such consents are attached hereto as EXHIBIT B. Except as set forth in this Notice (including the Exhibits hereto), (i) during the past 10 years, no Nominee has been convicted in a criminal proceeding (excluding traffic violations or similar misdemeanors); (ii) no Nominee directly or indirectly beneficially owns any securities of Tri-Continental; (iii) no Nominee owns any securities of Tri-Continental which are owned of record but not beneficially; (iv) no Nominee has purchased or sold any securities of Tri-Continental during the past two years; (v) no part of the purchase price or market value of the securities of Tri-Continental owned by any Nominee is represented by funds borrowed or otherwise obtained for the purpose of acquiring or holding such securities; (vi) no Nominee is, or within the past year was, a party to any contract, arrangements or understandings with any person with respect to any securities of Tri-Continental, including, but not limited to, joint ventures, loan or option arrangements, puts or calls, guarantees against loss or guarantees of profit, division of losses or profits, or the giving or withholding of proxies; (vii) no associate of any Nominee owns beneficially, directly or indirectly, any securities of Tri-Continental; (viii) no Nominee owns beneficially, directly or indirectly, any securities of any parent or subsidiary of Tri-Continental; (ix) no Nominee or any of his/her associates was a party to any transaction, or series of similar transactions, since the beginning of Tri-Continental's last fiscal year, or is a party to any currently proposed transaction, or series of similar transactions, to which Tri-Continental or any of its subsidiaries was or is to be a party, in which the amount involved exceeds $60,000; and (x) no Nominee or any of his/her associates has any arrangement or understanding with any person with respect to any future employment by Tri-Continental or its affiliates, or with respect to any future transactions to which Tri-Continental or any of its affiliates will or may be a party. A representative of Western Investment and Arthur D. Lipson intends to appear in person or by proxy at the Special Meeting to nominate the persons specified in this Notice for election to the Tri-Continental Board. ---------------------- ---------------------- CUSIP No. 895436103 13D Page 37 of 57 Pages ---------------------- ---------------------- Please address any correspondence to Western Investment LLC, Attention: Arthur D. Lipson, telephone (801) 942-7803, facsimile (801) 942-1625 (with a copy to our counsel, Olshan Grundman Frome Rosenzweig & Wolosky LLP, Park Avenue Tower, 65 East 55th Street, New York, New York 10022, Attention: Steven Wolosky, Esq., telephone (212) 451-2333, facsimile (212) 451-2222). The giving of this Notice is not an admission that any procedures for notice concerning the nomination of directors to the Tri-Continental Board are legal, valid or binding, and each of Western Investment and Arthur D. Lipson reserve the right to challenge their validity. Very truly yours, WESTERN INVESTMENT HEDGED PARTNERS L.P. By: Western Investment LLC, Its General Partner By: /s/ Arthur D. Lipson -------------------------------------------- Name: Arthur D. Lipson Title: Managing Member /s/ Arthur D. Lipson ------------------------------------------------ ARTHUR D. LIPSON ---------------------- ---------------------- CUSIP No. 895436103 13D Page 38 of 57 Pages ---------------------- ---------------------- EXHIBIT A TRANSACTIONS IN THE COMMON STOCK OF TRI-CONTINENTAL TRANSACTION QUANTITY DATE PRICE ($) ----------- -------- ---- --------- WESTERN INVESTMENT HEDGED PARTNERS, L.P. Buy 8,700 10/04/04 16.9404 Buy 8,200 10/05/04 16.8862 Buy 12,300 10/06/04 16.9110 Buy 14,600 10/07/04 16.8854 Buy 3,000 10/08/04 16.7602 Buy 6,100 10/12/04 16.6721 Buy 1,500 10/13/04 16.7425 Buy 400 10/19/04 16.4910 Buy 13,000 10/20/04 16.3751 Buy 13,500 10/21/04 16.5128 Buy 18,600 10/22/04 16.5008 Buy 3,100 10/25/04 16.3207 Buy 21,900 10/26/04 16.5234 Buy 17,500 10/27/04 16.6873 Buy 12,800 10/28/04 16.8541 Buy 300 10/29/04 16.9352 Buy 27,500 11/01/04 16.9027 Buy 32,600 11/02/04 17.0161 Buy 8,300 11/02/04 16.9971 Buy 4,000 11/12/04 17.6973 Buy 5,000 11/15/04 17.7822 Buy 36,400 12/15/04 18.0468 Buy 8,400 12/27/04 18.1645 Buy 12,200 12/28/04 18.1363 Buy 16,000 12/31/04 18.2800 Buy 62,900 12/31/04 18.2800 Buy 700 01/10/05 17.9328 Buy 2,600 01/11/05 17.8423 Buy 3,000 01/13/05 17.6618 Buy 10,900 01/14/05 17.7564 Buy 17,500 01/18/05 17.7912 Buy 9,600 01/19/05 17.8072 Buy 2,000 01/21/05 17.6535 Buy 2,500 01/24/05 17.4681 Buy 200 01/27/05 17.5835 Buy 10,600 01/28/05 17.5634 Buy 7,500 01/31/05 17.6454 Buy 6,900 02/02/05 17.7666 ---------------------- ---------------------- CUSIP No. 895436103 13D Page 39 of 57 Pages ---------------------- ---------------------- Buy 24,400 04/18/05 17.2760 Buy 11,500 04/19/05 17.3535 Buy 10,700 04/20/05 17.1833 Buy 17,900 05/20/05 17.8302 Buy 13,800 05/23/05 17.9107 Buy 11,300 05/24/05 17.8940 Buy 26,500 05/25/05 17.8479 Buy 56,400 05/26/05 17.9034 Buy 5,300 05/27/05 17.9496 Buy 1,700 05/27/05 17.9585 Buy 2,000 06/03/05 18.0011 Sell 1,000 07/18/05 18.2707 Sell 1,300 07/21/05 18.4107 Buy 400 07/29/05 18.4800 Buy 2,300 10/04/05 18.2565 Buy 19,000 10/05/05 18.1118 Buy 30,400 10/06/05 17.9522 Buy 17,200 10/07/05 17.9067 Buy 1,800 10/10/05 17.8944 Buy 300 10/11/05 17.8200 Buy 2,700 10/12/05 17.6804 Buy 100 10/13/05 17.6200 Buy 27,600 10/14/05 17.6910 Buy 31,800 10/17/05 17.7842 Buy 59,800 10/18/05 17.8096 Buy 95,300 10/19/05 17.8047 Buy 5,400 10/20/05 17.9100 Buy 47,200 10/21/05 17.7650 Buy 76,500 10/24/05 17.8869 Buy 7,300 10/25/05 17.9377 Buy 8,200 10/26/05 17.9571 Buy 500 10/27/05 17.8360 Buy 11,300 10/28/05 17.8881 Buy 12,400 10/31/05 18.0410 Buy 5,900 11/02/05 18.1234 Buy 1,400 11/08/05 18.2100 Buy 6,800 11/09/05 18.2501 Buy 1,000 12/01/05 18.7680 Buy 315 12/02/05 18.7100 Buy 500 12/27/05 18.7300 Buy 15,100 12/27/05 18.7342 Buy 3,800 12/29/05 18.6602 Sell 400,000 01/06/06 19.1589 Buy 10,000 01/19/06 19.7500 ---------------------- ---------------------- CUSIP No. 895436103 13D Page 40 of 57 Pages ---------------------- ---------------------- Buy 5,000 01/20/06 19.7470 Buy 10,700 01/26/06 19.6019 Buy 8,600 01/27/06 19.7293 Buy 6,600 01/27/06 19.5998 Buy 9,600 01/30/06 19.7462 Buy 5,000 02/01/06 19.7170 Buy 19,800 02/02/06 19.6575 Buy 7,500 02/03/06 19.4568 Buy 17,200 02/06/06 19.4471 Buy 31,900 02/08/06 19.3886 Buy 9,300 02/09/06 19.5183 Buy 33,600 02/13/06 19.4685 Buy 68,100 02/14/06 19.5387 Buy 32,900 02/15/06 19.6410 Buy 30,000 03/01/06 19.9024 Buy 19,800 03/07/06 19.8846 Buy 25,200 03/08/06 19.8854 Buy 6,500 03/09/06 19.9822 Buy 64,200 03/10/06 19.9879 Buy 12,700 03/13/06 19.9850 Buy 22,500 03/14/06 20.0925 Buy 2,100 03/14/06 20.0698 Buy 16,400 03/15/06 20.1656 Buy 1,500 03/24/06 20.2985 Buy 31,200 03/30/06 20.2727 Buy 9,300 03/31/06 20.3070 Buy 19,000 04/03/06 20.3504 Buy 21,500 04/04/06 20.4136 Buy 65,500 04/05/06 20.5568 Buy 115,800 04/05/06 20.5550 Buy 1,900 04/06/06 20.5676 Sell 800 04/06/06 20.6009 Buy 3,200 04/07/06 20.5028 Buy 7,400 04/10/06 20.4461 Buy 20,400 04/11/06 20.2968 Buy 30,400 04/12/06 20.3140 Buy 16,300 04/13/06 20.2925 Buy 58,300 04/17/06 20.2629 Buy 37,200 04/18/06 20.3394 Buy 46,600 04/19/06 20.5013 Buy 38,800 04/20/06 20.5273 Buy 29,000 04/21/06 20.5664 Buy 40,500 04/24/06 20.5094 Buy 5,200 04/25/06 20.4547 ---------------------- ---------------------- CUSIP No. 895436103 13D Page 41 of 57 Pages ---------------------- ---------------------- Buy 21,300 04/26/06 20.5862 Buy 29,300 04/27/06 20.5772 Buy 22,100 04/28/06 20.5514 Buy 10,500 05/01/06 20.6084 Buy 27,300 05/02/06 20.5953 Buy 400,000 05/04/06 20.5625 Buy 30,000 05/04/06 20.5189 Buy 24,500 05/05/06 20.6690 Sell 5,300 05/05/06 20.6635 Sell 900 05/05/06 20.6594 Buy 39,800 05/08/06 20.6475 Buy 59,300 05/15/06 20.0425 Buy 20,100 05/16/06 20.1099 Buy 34,400 05/17/06 19.8080 Buy 42,100 05/18/06 19.7895 Buy 39,500 05/19/06 19.7235 Buy 59,100 05/22/06 19.6808 Buy 22,900 05/23/06 19.7540 Buy 30,000 05/24/06 19.5736 Sell 12,000 06/06/06 19.5978 Sell 500 06/07/06 19.5544 Sell 200 06/08/06 19.2194 Transferred as Gift 200 07/05/06 N/A WESTERN INVESTMENT INSTITUTIONAL PARTNERS LLC Buy 8,100 10/05/04 16.8862 Buy 12,300 10/06/04 16.9117 Buy 5,300 12/03/04 17.9389 Buy 11,900 12/07/04 17.8839 Buy 15,000 12/08/04 17.7830 Buy 14,100 12/09/04 17.8686 Buy 3,000 12/10/04 17.8785 Buy 3,000 12/10/04 17.8585 Buy 42,600 12/10/04 17.8571 Buy 21,100 12/13/04 17.9713 Buy 70,000 12/15/04 18.0466 Buy 3,200 12/22/04 18.0429 Buy 6,400 12/23/04 18.1597 Buy 42,000 12/27/04 18.1635 Buy 22,500 12/29/04 18.1905 Buy 6,000 12/30/04 18.2264 Buy 4,300 12/30/04 18.2279 Buy 400 12/31/04 18.2835 Sell 5,300 03/29/05 17.6185 ---------------------- ---------------------- CUSIP No. 895436103 13D Page 42 of 57 Pages ---------------------- ---------------------- Sell 11,900 03/29/05 17.6185 Sell 15,000 03/29/05 17.6185 Sell 14,100 03/29/05 17.6185 Sell 42,600 03/29/05 17.6185 Sell 21,100 03/29/05 17.6185 Sell 10,000 03/29/05 17.6185 Sell 1,300 07/21/05 18.4107 Sell 116,300 01/04/06 18.8591 Sell 716,200 01/04/06 18.8593 WESTERN INVESTMENT ACTIVISM PARTNERS LLC Buy 2,100 11/02/04 17.0084 Buy 8,500 11/03/04 17.1680 Buy 5,600 11/04/04 17.2500 Buy 52,400 11/04/04 17.3245 Buy 27,600 11/05/04 17.5197 Buy 30,500 11/05/04 17.5075 Buy 700 11/08/04 17.5028 Buy 9,200 11/10/04 17.5350 Buy 5,500 11/11/04 17.5808 Buy 7,500 11/12/04 17.7413 Buy 15,900 11/12/04 17.6966 Buy 19,300 11/15/04 17.7817 Buy 5,400 11/23/04 17.5320 Buy 5,500 12/03/04 17.9445 Buy 8,700 12/06/04 17.8893 Buy 27,100 12/06/04 17.8657 Buy 24,000 12/08/04 17.7823 Buy 20,900 12/13/04 17.9710 Buy 1,800 12/14/04 18.0085 Buy 9,100 12/14/04 18.0289 Buy 3,000 12/16/04 18.1185 Buy 5,400 12/16/04 18.0866 Buy 7,100 12/17/04 18.0631 Buy 9,000 12/23/04 18.1587 Buy 61,000 12/28/04 18.2007 Buy 30,200 12/29/04 18.1908 Buy 6,000 01/03/05 18.2943 Buy 6,000 01/04/05 17.8693 Buy 3,000 02/03/05 17.6802 Buy 9,200 02/04/05 17.7951 ------------------------- * Shares purchased by Western Investment Activism Partners LLC from Western Investment Institutional Partners LLC. ---------------------- ---------------------- CUSIP No. 895436103 13D Page 43 of 57 Pages ---------------------- ---------------------- Buy 3,600 02/07/05 17.9199 Buy 3,000 02/09/05 17.9302 Sell 300 02/09/05 17.9242 Buy 5,400 02/15/05 18.0863 Buy 198,000 01/03/06 18.6467 Buy 832,500 01/04/06 18.8603 Buy 52,500 01/04/06 18.8811 Buy 14,300 01/05/06 18.9374 Sell 4,200 01/05/06 18.9800 Buy 400,000 01/06/06 19.1605 Buy 1,161,000 01/06/06 19.3298 Buy 164,900 01/06/06 19.1342 Sell 1,600 01/06/06 19.1394 WESTERN INVESTMENT TOTAL RETURN MASTER FUND LTD. Buy 44,900 09/27/04 16.4402 Sell 5,700 12/31/04 18.2796 Sell 3,000 12/31/04 18.2796 Sell 1,000 12/31/04 18.2796 Sell 2,100 12/31/04 18.2796 Sell 500 12/31/04 18.2796 Sell 500 12/31/04 18.2796 Sell 600 12/31/04 18.2796 Sell 1,300 12/31/04 18.2796 Sell 500 12/31/04 18.2796 Sell 400 12/31/04 18.2796 Sell 400 12/31/04 18.2796 Sell 1,000 12/31/04 18.2800 Sell 1,700 12/31/04 18.2800 Sell 2,600 12/31/04 18.2800 Sell 500 12/31/04 18.2800 Sell 1,500 12/31/04 18.2800 Sell 1,200 12/31/04 18.2800 Sell 800 12/31/04 18.2800 Sell 2,000 12/31/04 18.2800 Sell 1,200 12/31/04 18.2800 Sell 2,800 12/31/04 18.2800 Sell 500 12/31/04 18.2800 Sell 1,700 12/31/04 18.2800 Sell 500 12/31/04 18.2800 Sell 44,900 12/31/04 18.2800 ------------------------- * Shares purchased by Western Investment Activism Partners LLC from Western Investment Institutional Partners LLC. ---------------------- ---------------------- CUSIP No. 895436103 13D Page 44 of 57 Pages ---------------------- ---------------------- Buy 1,600 06/08/06 19.3963 Buy 3,300 06/09/06 19.3296 Buy 14,400 06/12/06 19.2739 Buy 9,200 06/13/06 18.8823 Buy 6,600 06/15/06 19.1582 Buy 12,600 06/16/06 19.1948 Buy 3,100 06/19/06 19.0917 Buy 23,100 06/20/06 19.1099 Sell 400 06/21/06 19.2494 Buy 3,500 06/22/06 19.1228 Buy 14,300 06/26/06 19.0804 Buy 16,900 06/27/06 19.0449 Buy 27,600 06/28/06 19.0252 Buy 45,300 06/29/06 19.3292 Buy 45,700 06/30/06 19.4613 Buy 36,600 07/03/06 19.5610 Buy 17,200 07/05/06 19.5003 BENCHMARK PLUS PARTNERS, L.L.C. Buy 1,100 09/07/04 16.6800 Buy 1,900 09/08/04 16.6700 Buy 24,900 09/09/04 16.6491 Buy 20,300 09/13/04 16.7549 Buy 17,200 09/14/04 16.7595 Buy 5,300 09/15/04 16.6670 Buy 9,700 09/16/04 16.6727 Buy 12,700 09/20/04 16.7035 Buy 11,900 09/21/04 16.7356 Buy 300 09/22/04 16.6100 Buy 100 09/23/04 16.5100 Buy 17,100 09/24/04 16.5025 Buy 18,800 09/27/04 16.4260 Buy 17,100 09/28/04 16.4936 Buy 7,000 09/29/04 16.5233 Buy 36,800 09/30/04 16.5586 Buy 32,900 10/01/04 16.7452 Buy 1,900 10/25/04 16.3500 Buy 10,600 10/26/04 16.5300 Buy 11,000 10/27/04 16.7375 Buy 14,400 11/22/04 17.6445 Buy 9,600 11/23/04 17.6415 Buy 11,700 11/24/04 17.7291 Buy 10,300 11/26/04 17.8250 Buy 3,500 11/29/04 17.8229 ---------------------- ---------------------- CUSIP No. 895436103 13D Page 45 of 57 Pages ---------------------- ---------------------- Buy 3,400 11/30/04 17.7088 Buy 12,700 12/14/04 18.0650 Buy 9,000 02/15/05 18.1029 Buy 3,100 02/16/05 18.1014 Buy 16,625 02/17/05 18.0405 Buy 13,700 02/18/05 18.0168 Buy 29,500 02/22/05 17.8765 Buy 41,200 02/23/05 17.8677 Buy 19,600 02/24/05 17.9110 Buy 10,000 02/25/05 18.1343 Buy 13,200 02/28/05 18.0367 Buy 8,300 03/01/05 18.1270 Buy 18,700 03/02/05 18.1543 Buy 2,000 03/02/05 18.1300 Buy 800 03/03/05 18.1750 Buy 12,300 03/03/05 18.1712 Buy 15,400 03/04/05 18.3163 Buy 13,000 03/07/05 18.4154 Buy 10,900 03/08/05 18.3435 Buy 7,000 03/09/05 18.2186 Buy 4,000 03/10/05 18.1409 Buy 4,000 03/11/05 18.1417 Buy 4,900 03/14/05 18.0937 Buy 1,700 03/15/05 18.1881 Buy 2,900 03/23/05 17.5895 Buy 3,600 03/24/05 17.6830 Buy 11,300 03/28/05 17.6806 Buy 7,500 03/29/05 17.6043 Buy 11,900 03/30/05 17.6705 Buy 5,100 03/31/05 17.7907 Buy 3,900 04/01/05 17.6739 Buy 6,500 04/04/05 17.6396 Buy 4,300 04/05/05 17.8015 Buy 1,800 04/06/05 17.9002 Buy 2,500 04/07/05 17.9313 Buy 1,800 04/08/05 17.8366 Buy 3,100 04/11/05 17.7921 Buy 5,500 04/12/05 17.7106 Buy 2,500 04/13/05 17.7822 Buy 12,600 04/14/05 17.6489 Buy 5,700 04/15/05 17.4753 Buy 700 04/18/05 17.2760 Buy 26,400 04/21/05 17.3440 Buy 4,900 04/22/05 17.3303 ---------------------- ---------------------- CUSIP No. 895436103 13D Page 46 of 57 Pages ---------------------- ---------------------- Buy 31,700 04/25/05 17.4545 Buy 17,300 04/26/05 17.4420 Buy 17,800 04/27/05 17.2971 Buy 17,600 04/29/05 17.3154 Buy 3,600 05/02/05 17.4098 Buy 1,800 05/03/05 17.4200 Buy 7,200 05/04/05 17.5924 Buy 17,800 05/05/05 17.6490 Buy 5,000 05/06/05 17.6689 Buy 14,800 05/09/05 17.6438 Buy 20,500 05/10/05 17.5859 Buy 27,100 05/11/05 17.5609 Buy 33,600 05/12/05 17.5536 Buy 29,200 05/13/05 17.4242 Buy 58,400 05/16/05 17.4859 Buy 48,000 05/17/05 17.5502 Buy 10,700 05/18/05 17.7169 Buy 24,000 05/27/05 17.9496 Buy 19,700 05/31/05 17.8876 Buy 17,900 06/01/05 17.9896 Buy 1,900 06/02/05 17.9994 Buy 3,250 06/03/05 18.0011 Buy 500 06/07/05 18.0594 Buy 1,400 06/09/05 17.9495 Buy 4,700 06/10/05 17.9077 Buy 6,500 06/13/05 17.9750 Buy 5,500 06/14/05 17.9682 Buy 2,600 06/15/05 17.9993 Buy 5,200 06/16/05 18.0634 Buy 7,600 06/17/05 18.1829 Buy 6,200 06/20/05 18.1638 Buy 16,100 06/21/05 18.1730 Buy 17,000 06/22/05 18.1789 Buy 23,000 06/23/05 18.1218 Buy 5,000 06/24/05 17.9375 Buy 1,300 06/27/05 17.8266 Buy 4,100 07/05/05 17.8661 Buy 700 07/06/05 17.8917 Buy 3,000 07/07/05 17.8001 Buy 4,200 07/08/05 17.9972 Buy 4,900 07/11/05 18.1280 Buy 4,200 07/12/05 18.1842 Buy 9,800 07/13/05 18.1949 Buy 2,800 07/15/05 18.2989 ---------------------- ---------------------- CUSIP No. 895436103 13D Page 47 of 57 Pages ---------------------- ---------------------- Buy 2,600 07/20/05 18.3866 Buy 1,100 07/27/05 18.4300 Buy 5,700 07/28/05 18.5230 Buy 1,200 08/01/05 18.4268 Buy 5,000 08/02/05 18.5069 Buy 600 08/04/05 18.4879 Buy 3,200 08/09/05 18.4103 Buy 6,500 08/10/05 18.5466 Buy 800 08/11/05 18.4636 Buy 1,000 09/09/05 18.4800 Buy 3,000 09/19/05 18.2570 Buy 13,000 03/01/06 19.9024 Buy 19,500 03/03/06 20.0710 Buy 2,100 03/06/06 20.0300 Buy 46,000 03/14/06 20.0925 Buy 7,500 03/17/06 20.3200 Buy 13,200 03/20/06 20.2923 Buy 1,000 03/20/06 20.3050 Buy 5,000 03/21/06 20.2962 Buy 17,000 03/27/06 20.2796 Buy 13,900 03/28/06 20.3101 Buy 23,100 03/29/06 20.3029 Buy 2,600 03/29/06 20.3088 Buy 7,200 03/31/06 20.2826 Buy 6,500 04/03/06 20.3516 Buy 20,200 05/24/06 19.4931 Buy 5,100 05/25/06 19.6645 Buy 400 05/30/06 19.7900 Buy 6,700 05/31/06 19.6307 Buy 9,300 06/02/06 19.9484 BENCHMARK PLUS INSTITUTIONAL PARTNERS, L.L.C. Buy 17,000 03/10/05 18.1409 Buy 15,800 03/11/05 18.1417 Buy 19,400 03/14/05 18.0937 Buy 6,600 03/15/05 18.1881 Buy 200 03/16/05 17.9400 Buy 11,400 03/23/05 17.5895 Buy 14,600 03/24/05 17.6830 Buy 44,000 03/28/05 17.6806 Buy 29,800 03/29/05 17.6043 Buy 120,000 03/29/05 17.6209 Buy 47,700 03/30/05 17.6705 Buy 20,200 03/31/05 17.7907 ---------------------- ---------------------- CUSIP No. 895436103 13D Page 48 of 57 Pages ---------------------- ---------------------- Buy 15,400 04/01/05 17.6739 Buy 25,600 04/04/05 17.6396 Buy 17,200 04/05/05 17.8015 Buy 7,300 04/06/05 17.9002 Buy 10,200 04/07/05 17.9313 Buy 7,200 04/08/05 17.8366 Buy 12,500 04/11/05 17.7921 Buy 21,800 04/12/05 17.7106 Buy 9,900 04/13/05 17.7822 Buy 29,300 04/14/05 17.6489 Buy 22,700 04/15/05 17.4753 Buy 31,300 04/18/05 17.2760 Buy 8,000 04/21/05 17.3440 Buy 2,200 04/22/05 17.3303 Buy 10,600 04/25/05 17.4545 Buy 5,700 04/26/05 17.4420 Buy 6,000 04/27/05 17.2971 Buy 5,800 04/29/05 17.3154 Buy 1,200 05/02/05 17.4098 Buy 600 05/03/05 17.4200 Buy 1,800 05/04/05 17.5924 Buy 4,400 05/05/05 17.6490 Buy 1,200 05/06/05 17.6689 Buy 3,700 05/09/05 17.6438 Buy 5,100 05/10/05 17.5859 Buy 19,700 05/31/05 17.8876 Buy 17,900 06/01/05 17.9896 Buy 10,500 06/02/05 17.9994 Buy 4,250 06/03/05 18.0011 Buy 7,000 06/06/05 17.9114 Buy 3,000 06/07/05 18.0594 Buy 6,500 06/08/05 17.9800 Buy 7,700 06/09/05 17.9495 Buy 26,900 06/10/05 17.9077 Buy 36,600 06/13/05 17.9750 Buy 31,000 06/14/05 17.9682 Buy 14,600 06/15/05 17.9993 Buy 20,800 06/16/05 18.0634 Buy 31,300 06/17/05 18.1829 Buy 24,800 06/20/05 18.1638 Buy 64,500 06/21/05 18.1730 Buy 69,500 06/22/05 18.1789 Buy 84,300 06/23/05 18.1218 Buy 20,600 06/24/05 17.9375 ---------------------- ---------------------- CUSIP No. 895436103 13D Page 49 of 57 Pages ---------------------- ---------------------- Buy 5,100 06/27/05 17.8266 Buy 1,300 07/01/05 17.7731 Buy 16,600 07/05/05 17.8661 Buy 2,900 07/06/05 17.8917 Buy 11,100 07/07/05 17.8001 Buy 9,000 07/08/05 17.9972 Buy 19,500 07/11/05 18.1280 Buy 16,900 07/12/05 18.1842 Buy 39,000 07/13/05 18.1949 Buy 300 07/14/05 18.2800 Buy 11,300 07/15/05 18.2989 Buy 10,500 07/20/05 18.3866 Buy 3,300 07/27/05 18.4300 Buy 22,800 07/28/05 18.5230 Buy 4,800 08/01/05 18.4268 Buy 19,800 08/02/05 18.5069 Buy 700 08/03/05 18.4700 Buy 2,200 08/04/05 18.4879 Buy 12,800 08/09/05 18.4103 Buy 26,200 08/10/05 18.5466 Buy 3,100 08/11/05 18.4636 Buy 1,600 08/17/05 18.3700 Buy 1,400 08/18/05 18.3300 Buy 200 08/22/05 18.3900 Buy 200 09/06/05 18.2800 Buy 1,000 09/09/05 18.4800 Buy 600 09/16/05 18.3700 Buy 12,200 09/19/05 18.2570 Buy 17,500 02/16/06 19.7394 Buy 6,800 02/17/06 19.8256 Buy 9,800 02/21/06 19.8003 Buy 16,600 02/22/06 19.8837 Buy 7,900 02/23/06 19.9168 Buy 5,700 02/24/06 19.8868 Buy 27,000 02/27/06 19.9745 Buy 16,400 05/26/06 19.8188 Buy 27,600 06/01/06 19.8313 Buy 9,300 06/02/06 19.9484 ARTHUR D. LIPSON Buy 1,000 12/02/05 18.7613 Transferred as Gift 100 02/24/06 N/A ---------------------- ---------------------- CUSIP No. 895436103 13D Page 50 of 57 Pages ---------------------- ---------------------- ELYSE NAKAJIMA Received as Gift 100 02/24/06 N/A PAUL DEROSA Received as Gift 100 07/05/06 N/A DAVID B. FORD Received as Gift 100 07/05/06 N/A ---------------------- ---------------------- CUSIP No. 895436103 13D Page 51 of 57 Pages ---------------------- ---------------------- EXHIBIT B CONSENTS OF NOMINEES ARTHUR D. LIPSON c/o WESTERN INVESTMENT LLC 2855 E. COTTONWOOD PARKWAY, SUITE 110 SALT LAKE CITY, UTAH 84121 July 3, 2006 Tri-Continental Corporation c/o Seligman Data Corp. 100 Park Avenue New York, New York 10017 Attn: Corporate Secretary Dear Sir: You are hereby notified that the undersigned consents to (i) being named as a nominee in the notice provided by Western Investment Hedged Partners L.P. ("Western") and Arthur D. Lipson of their intention to nominate the undersigned as a director of Tri-Continental Corporation ("Tri-Continental") at the Special Meeting of stockholders scheduled for September 28, 2006, or any other meeting of stockholders held in lieu thereof, and any adjournments, postponements, reschedulings or continuations thereof (the "Special Meeting"), (ii) being named as a nominee in any proxy statement filed by Western and/or Mr. Lipson in connection with the solicitation of proxies or written consents for election of the undersigned at the Special Meeting, and (iii) serving as a director of Tri-Continental if elected at the Special Meeting. Very truly yours, /s/ Arthur D. Lipson ----------------------------------------- Arthur D. Lipson ---------------------- ---------------------- CUSIP No. 895436103 13D Page 52 of 57 Pages ---------------------- ---------------------- PAUL DEROSA c/o MT LUCAS, LLC 730 FIFTH AVENUE NEW YORK, NY 10019 July 3, 2006 Tri-Continental Corporation c/o Seligman Data Corp. 100 Park Avenue New York, New York 10017 Attn: Corporate Secretary Dear Sir: You are hereby notified that the undersigned consents to (i) being named as a nominee in the notice provided by Western Investment Hedged Partners L.P. ("Western") and Arthur D. Lipson of their intention to nominate the undersigned as a director of Tri-Continental Corporation ("Tri-Continental") at the Special Meeting of stockholders scheduled for September 28, 2006, or any other meeting of stockholders held in lieu thereof, and any adjournments, postponements, reschedulings or continuations thereof (the "Special Meeting"), (ii) being named as a nominee in any proxy statement filed by Western and/or Mr. Lipson in connection with the solicitation of proxies or written consents for election of the undersigned at the Special Meeting, and (iii) serving as a director of Tri-Continental if elected at the Special Meeting. Very truly yours, /s/ Paul DeRosa ----------------------------------------- Paul DeRosa ---------------------- ---------------------- CUSIP No. 895436103 13D Page 53 of 57 Pages ---------------------- ---------------------- DAVID B. FORD July 3, 2006 Tri-Continental Corporation c/o Seligman Data Corp. 100 Park Avenue New York, New York 10017 Attn: Corporate Secretary Dear Sir: You are hereby notified that the undersigned consents to (i) being named as a nominee in the notice provided by Western Investment Hedged Partners L.P. ("Western") and Arthur D. Lipson of their intention to nominate the undersigned as a director of Tri-Continental Corporation ("Tri-Continental") at the Special Meeting of stockholders scheduled for September 28, 2006, or any other meeting of stockholders held in lieu thereof, and any adjournments, postponements, reschedulings or continuations thereof (the "Special Meeting"), (ii) being named as a nominee in any proxy statement filed by Western and/or Mr. Lipson in connection with the solicitation of proxies or written consents for election of the undersigned at the Special Meeting, and (iii) serving as a director of Tri-Continental if elected at the Special Meeting. Very truly yours, /s/ David B. Ford ----------------------------------------- David B. Ford ---------------------- ---------------------- CUSIP No. 895436103 13D Page 54 of 57 Pages ---------------------- ---------------------- Exhibit 2 JOINT FILING AND SOLICITATION AGREEMENT WHEREAS, certain of the undersigned are stockholders, direct or beneficial, of Tri-Continental Corporation, a Maryland corporation ("Tri-Continental"); WHEREAS, Western Investment LLC ("Western Investment"), Western Investment Hedged Partners LP ("WIHP"), Western Investment Activism Partners LLC, Western Investment Total Return Master Fund Ltd., Arthur D. Lipson, Paul DeRosa, David B. Ford, Elyse Nakajima, Benchmark Plus Institutional Partners, L.L.C., Benchmark Plus Management, L.L.C., Benchmark Plus Partners, L.L.C., Paradigm Partners, N.W., Inc., Scott Franzblau, Robert Ferguson and Michael Dunmire wish to form a group for the purpose of seeking representation on the Board of Directors of Tri-Continental; WHEREAS, WIHP and Mr. Lipson intend to nominate Arthur D. Lipson, Paul DeRosa and David B. Ford as nominees to be elected to the Board of Directors of Tri-Continental at the special meeting of stockholders of Tri-Continental scheduled for September 28, 2006, or any other meeting of stockholders held in lieu thereof, and any adjournments, postponements, reschedulings or continuations thereof (the "Special Meeting"). NOW, IT IS AGREED, this 3rd day of July 2006 by the parties hereto: 1. In accordance with Rule 13d-1(k)(1)(iii) under the Securities Exchange Act of 1934, as amended, each of the undersigned (collectively, the "Group") agrees to the joint filing on behalf of each of them of statements on Schedule 13D with respect to the securities of Tri-Continental to the extent required under applicable securities laws. Each member of the Group shall be responsible for the accuracy and completeness of his/her/its own disclosure therein. 2. So long as this agreement is in effect, each of the undersigned shall provide written notice to Olshan Grundman Frome Rosenzweig & Wolosky LLP ("Olshan") of (i) any of their purchases or sales of securities of Tri-Continental or (ii) any securities of Tri-Continental over which they acquire or dispose of beneficial ownership. Notice shall be given no later than 24 hours after each such transaction. 3. Each of the undersigned agrees to solicit proxies or written consents for the election of Arthur D. Lipson, Paul DeRosa and David B. Ford, or any other person(s) nominated by WIHP, to the Board of Directors of Tri-Continental at the Special Meeting (the "Nominees"). 4. Western Investment agrees to bear all expenses incurred in connection with the Group's activities, including expenses incurred by any of the parties in a solicitation of proxies or written consents by the members of the Group in connection with the Special Meeting. Notwithstanding the foregoing, Western Investment shall not be required to reimburse any party for (i) out-of-pocket expenses incurred by a party in the aggregate in excess of $250 without Western Investment's prior written approval; (ii) the value of the time of any party; (iii) legal fees incurred without Western Investment's prior written approval; or (iv) the costs of any counsel, other than Olshan, employed in connection with any pending or threatened litigation without Western Investment's prior written approval. 5. Western Investment agrees to indemnify and hold each of Paul DeRosa and David B. Ford (the "Nominees") harmless from and against any and all claims of any nature, whenever brought, arising from the Nominee's nomination for election as director of Tri-Continental, and the related proxy solicitation by WIHP, Arthur Lipson and certain of their affiliates and any related transactions, irrespective of the outcome. This indemnification will include any and all (each, a "Loss") losses, liabilities, damages, demands, claims, suits, actions, judgments, or causes of action, assessments, costs and expenses, including, without limitation, interest, penalties, reasonable attorneys' fees, and any and all reasonable costs and expenses incurred in investigating, preparing or defending against any litigation, commenced or threatened, or any claim whatsoever, and any and all amounts paid in settlement of any claim or ---------------------- ---------------------- CUSIP No. 895436103 13D Page 55 of 57 Pages ---------------------- ---------------------- litigation asserted against, resulting, imposed upon, or incurred or suffered by a Nominee, directly or indirectly, as a result of or arising from such nomination and proxy solicitation and any related transactions. In the event of a claim against a Nominee pursuant to the prior paragraph or the occurrence of a Loss, each Nominee shall give Western Investment written notice of such claim or Loss. Upon receipt of such written notice, Western Investment will provide such Nominee with counsel to represent him. Such counsel shall be reasonably acceptable to the Nominee. In addition, each Nominee will be reimbursed promptly for all Losses suffered by him and as incurred and for all reasonable out-of-pocket expenses incurred by each Nominee relating to the, nomination, the proxy solicitation and any related transactions. 6. The relationship of the parties hereto shall be limited to carrying on the business of the Group in accordance with the terms of this Agreement. Such relationship shall be construed and deemed to be for the sole and limited purpose of carrying on such business as described herein. Nothing herein shall be construed to authorize any party to act as an agent for any other party, or to create a joint venture or partnership. Nothing herein shall restrict any party's right to purchase or sell securities of Tri-Continental, as he/she/it deems appropriate, in his/her/its sole discretion, provided that all such sales are made in compliance with all applicable securities laws. 7. This Agreement may be executed in counterparts, each of which shall be deemed an original and all of which, taken together, shall constitute but one and the same instrument, which may be sufficiently evidenced by one counterpart. 8. In the event of any dispute arising out of the provisions of this Agreement, the parties hereto consent and submit to the exclusive jurisdiction of the Federal and State Courts in the State of New York. 9. Any party hereto may terminate his/her/its obligations under this agreement at any time on 24 hours' written notice to all other parties, with a copy by fax to Steven Wolosky at Olshan, Fax No. (212) 451-2222. 10. Each party acknowledges that Olshan shall act as counsel for both the Group and Western Investment. ---------------------- ---------------------- CUSIP No. 895436103 13D Page 56 of 57 Pages ---------------------- ---------------------- IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed as of the day and year first above written. WESTERN INVESTMENT LLC By: /s/ Arthur D. Lipson -------------------------------- Name: Arthur D. Lipson Title: Sole Member WESTERN INVESTMENT HEDGED PARTNERS LP By: Western Investment LLC, Its General Partner By: /s/ Arthur D. Lipson -------------------------------- Name: Arthur D. Lipson Title: Managing Member WESTERN INVESTMENT ACTIVISM PARTNERS LLC By: Western Investment LLC, Its Managing Member By: /s/ Arthur D. Lipson -------------------------------- Name: Arthur D. Lipson Title: Managing Member WESTERN INVESTMENT TOTAL RETURN MASTER FUND LTD. By: Western Investment LLC, Its Investment Manager By: /s/ Arthur D. Lipson -------------------------------- Name: Arthur D. Lipson Title: Managing Member BENCHMARK PLUS INSTITUTIONAL PARTNERS, L.L.C. By: Benchmark Plus Management, L.L.C., Its Managing Member By: /s/ Scott Franzblau -------------------------------- Name: Scott Franzblau Title: Managing Member By: /s/ Robert Ferguson -------------------------------- Name: Robert Ferguson Title: Managing Member By: /s/ Michael Dunmire -------------------------------- Name: Michael Dunmire Title: Managing Member ---------------------- ---------------------- CUSIP No. 895436103 13D Page 57 of 57 Pages ---------------------- ---------------------- BENCHMARK PLUS MANAGEMENT, L.L.C. By: /s/ Scott Franzblau -------------------------------- Name: Scott Franzblau Title: Managing Member By: /s/ Robert Ferguson -------------------------------- Name: Robert Ferguson Title: Managing Member By: /s/ Michael Dunmire -------------------------------- Name: Michael Dunmire Title: Managing Member BENCHMARK PLUS PARTNERS, L.L.C. By: Paradigm Partners, N.W., Inc. Its Managing Member By: /s/ Robert Ferguson -------------------------------- Name: Robert Ferguson Title: President By: /s/ Michael Dunmire -------------------------------- Name: Michael Dunmire Title: Chairman of the Board PARADIGM PARTNERS, N.W., INC. By: /s/ Robert Ferguson -------------------------------- Name: Robert Ferguson Title: President By: /s/ Michael Dunmire -------------------------------- Name: Michael Dunmire Title: Chairman of the Board /s/ Arthur D. Lipson ------------------------------------ ARTHUR D. LIPSON /s/ Paul DeRosa ------------------------------------ PAUL DEROSA /s/ David B. Ford ------------------------------------ DAVID B. FORD /s/ Scott Franzblau ------------------------------------ SCOTT FRANZBLAU /s/ Robert Ferguson ------------------------------------ ROBERT FERGUSON /s/ Michael Dunmire ------------------------------------ MICHAEL DUNMIRE /s/ Elyse Nakajima ------------------------------------ ELYSE NAKAJIMA