Vanguard's Von Metzsch to Retire By Year-End

May 31, 2002 — Vanguard Group said that Ernst Von Metzsch, portfolio manager of the Vanguard Wellington Fund (VWELX), the Vanguard Energy Fund (VGELX) and the Balanced Portfolio of the Vanguard Variable Annuity, will retire by the end of 2002.

The 62-year old Von Metzsch is a senior vice president and partner with Boston-based Wellington Management Co., the investment adviser for all three funds.

Von Metzsch has managed the Vanguard Wellington Fund since 1995, the Energy Fund since 1984 and the Balanced Portfolio since 1995.

Vanguard noted that Edward Bousa, 43, will succeed Von Metzsch as portfolio manager of the Vanguard Wellington Fund and as manager of the $768-million Balanced Portfolio in the Vanguard Variable Annuity. Bousa is a vice president at Wellington Management and reportedly worked closely with Von Metzsch on the stock portion of the funds since 2000. Prior to joining Wellington Management, he was employed by Fidelity Management Trust Co. and by Putnam Investments. For the latter organization he served as a portfolio manager for the Putnam Equity Income Fund (PEYAX) from 1992 to 1998. He also served as a portfolio manager for the Putnam Balanced Retirement Fund (PMITX) in 1992-95 and for the George Putnam Fund of Boston (PGEOX) in 1993-94.