Nuveen Investments, a leading global provider of investment services to institutions and high-net-worth investors, today announced that the Nuveen Quality Income Municipal Fund, Inc. (NYSE: NQU) has completed a $388.4 million private offering of Variable Rate Demand Preferred (VRDP) shares placed with qualified institutional buyers, as defined pursuant to Rule 144A under the Securities Act of 1933. The proceeds from this offering will be used to redeem at par all of the fund’s outstanding auction-rate preferred shares (ARPS), which total $386.875 million. This refinancing is expected to lower the relative costs of leverage for the fund over time while also providing liquidity at par for the holders the fund’s ARPS. VRDP shares include a liquidity feature that allows holders of VRDP to have their shares purchased by a liquidity provider in the event that sell orders have not been matched with purchase orders and successfully settled in a remarketing. The liquidity feature for this fund’s VRDP is being provided by JPMorgan Chase Bank, N.A. The VRDP shares comply with the requirements of IRS Notice 2008-55, as extended by IRS Notice 2010-03, and qualify as equity for income tax purposes. This affords VRDP share dividends the same tax treatment as the income on the fund’s underlying investments, notwithstanding VRDP terms that require the fund to redeem VRDP shares still owned by the liquidity provider if there are six months of continuous, unsuccessful remarketing. VRDP dividends will be set weekly at a rate established by J.P. Morgan Chase Securities LLC as remarketing agent, subject to a maximum rate which will increase over time in the event of an extended period of unsuccessful remarketing. This notice is being provided pursuant to Regulation FD (Fair Disclosure) to ensure that the fund’s common and preferred shareholders have been informed of the fund’s issuance of VRDP and its intention to redeem its outstanding ARPS, which may not occur as scheduled.