Fund Description: Western Asset Municipal High Income Fund, formerly the Municipal High Income Fund, Inc. is a diversified, closed-end management investment company. <p> INVESTMENT OBJECTIVE: The Fund's investment objective is to seek high current income exempt from Federal income taxes. <p> FUND STRATEGY: The fund invests primarily in intermediate and long-term municipal debt securities issued by state and local governments including U.S. territories and possessions, political subdivisions, agencies and public authorities (municipal obligations). The fund may invest up to 100% of its assets in securities rated below investment grade or considered by the manager to be of comparable quality. Investment grade debt securities are defined as those rated in one of the four highest rating categories by a nationally recognized statistical rating organization. Investing in below investment grade securities involves a substantial risk of loss. These securities are considered speculative because they have a higher risk of default, tend to be less liquid, and may be more difficult to value than investment grade securities. <p> FUND MANAGEMENT: Franklin Templeton Fund Adviser, LLC, is the Fund's investment manager, and provides administrative and management services to the Fund. Western Asset Management Company, an affiliate of the adviser, is the Fund's subadviser and is responsible for the day-to-day portfolio management of the Fund.