Franklin Templeton Limited Duration Income Trust Reports Asset Allocation

• Press Release
• Source: Franklin Templeton
• On 5:32 pm EDT, Friday October 2, 2009

SAN MATEO, CA--(Marketwire - 10/02/09) - Franklin Templeton Limited Duration Income Trust (AMEX:FTF - News), a closed-end investment company managed by Franklin Advisers, Inc., today reported its portfolio composition, certain portfolio characteristics and NYSE Amex closing price as of August 31, 2009.

Franklin Advisers, Inc., is a wholly owned subsidiary of Franklin Resources, Inc. (NYSE:BEN - News), a global investment management organization operating as Franklin Templeton Investments. Franklin Templeton Investments provides global and domestic investment management solutions managed by its Franklin, Templeton, Mutual Series, Fiduciary Trust, Darby and Bissett investment teams. The San Mateo, CA-based company has more than 60 years of investment experience and over $495 billion in assets under management as of August 31, 2009. For more information, please call 1-800/DIAL BEN� or visit franklintempleton.com.

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FRANKLIN TEMPLETON LIMITED DURATION INCOME TRUST ASSET ALLOCATION
at August 31, 2009
===========================================================================
                                        MARKET
                                        VALUE                  PERCENTAGE
SECTOR ALLOCATION                     (Millions)               OF FUND (1)
-----------------------------        -----------               -----------
High Yield Corporate Bonds &
 Preferred                                 169.4                      34.5%
Floating Rate Loans                        164.4                      33.5%
Mortgage-Backed Securities                  91.6                      18.7%
Other Asset-Backed Securities (2)           27.5                       5.6%
Government Agency                            0.0                       0.0%
International Government Bonds
 (US$ and non-US$)                          10.5                       2.1%
Investment Grade Corporate
 Bonds & Preferred                          27.1                       5.5%
Cash & Other Net Assets                      0.0                       0.0%
                                     -----------               -----------
Total Assets (3)                     $     490.4                     100.0%
===========================================================================
                                        MARKET
                                        VALUE                  PERCENTAGE
TOP 10 INDUSTRIES (4)                 (Millions)               OF FUND (1)
-----------------------------        -----------               -----------
Healthcare Services                         43.2                       8.8%
Energy                                      26.0                       5.3%
Utilities                                   25.0                       5.1%
Financial Services                          23.5                       4.8%
Pay TV                                      23.0                       4.7%
Industrials                                 22.9                       4.7%
Chemicals                                   22.1                       4.5%
Info/Technology                             20.7                       4.2%
Media                                       20.0                       4.1%
Gaming/Leisure                              17.6                       3.6%
                                     -----------               -----------
Total (3)                            $     244.0                      49.8%
===========================================================================
                                        MARKET
                                        VALUE                  PERCENTAGE
10 LARGEST HOLDINGS BY ISSUER         (Millions)               OF FUND (1)
-----------------------------        -----------               -----------
Freddie Mac                                 44.3                       9.0%
Fannie Mae                                  38.8                       7.9%
Govt National Mtg Assn.                      8.7                       1.8%
HCA Inc.                                     6.7                       1.4%
Intelsat Corp.                               6.5                       1.3%
Aramark Corp.                                6.4                       1.3%
Sungard Data Systems                         6.4                       1.3%
LB-UBS Commercial Mortgage                   6.0                       1.2%
RBS Global & Rexnord Corp.                   5.4                       1.1%
Davita                                       5.4                       1.1%
                                     -----------               -----------
Total (3)                            $     134.7                      27.5%
===========================================================================
Number of positions                                        336
NAV per share                                    $       12.40
Market price per share                           $       11.28
Number of shares outstanding                        26,773,772
Total net assets                                 $ 331,957,541

Weighted average duration
 (including leverage) (5)      3 years
Weighted average credit
 quality (6)                      Baa3
Fund leverage percentage (7)       32%

(1) Percentage of total investments of the Fund. Total investments of the
    Fund include long-term and short-term investments and other net assets.
    Does not include last day portfolio and shareholder trades.
(2) May include collateralized loan obligations ("CLOs").
(3) Total figures may not represent exact sum of items as a result of
    rounding.
(4) Top 10 industries for corporate bonds and floating rate loans.
(5) Duration calculated using internal methodologies. Rounded to the
    nearest year.
(6) For securities with multiple ratings, highest rating is used.
(7) Preferred shares issued by the Fund and mortgage dollar rolls used for
    leverage divided by total assets of the Fund.

 
Contact:
Franklin Templeton Investments
Shareholders/Financial Advisors: (800) 342-5236
Media: (650) 312-2245