BOSTON, MA -- (Marketwire) -- 09/13/12 -- Below is the August 2012 Monthly Update for the Liberty All-Star® Equity Fund. (NYSE: USA)

Liberty All-Star Equity Fund                                  Monthly Update
Ticker: USA                                                        August 12




Monthly Performance
Performance                                  NAV    Market Price   Discount
----------------------------------------------------------------------------
Beginning of month value                    $5.13       $4.61        10.1%
Distributions (Ex-Date August 1)            $0.08       $0.08
End of month value                          $5.24       $4.73        9.7%
Performance for month                       3.70%       4.34%
Performance year-to-date                    9.90%      17.93%
Past performance cannot predict future results


Net Assets at Month-End ($millions)
Total                                      $956.9
Equities                                   $948.4
Percent Invested                            99.1%


Top 20 Holdings at Month-End
   (31.2% of equity portfolio)
   (Rank from previous month)
 1 Apple, Inc. (1)                                     4.2%
 2 JPMorgan Chase & Co. (2)                            2.3%
 3 QUALCOMM, Inc. (3)                                  2.2%
 4 Google, Inc., Class A (4)                           2.0%
 5 Wells Fargo & Co. (5)                               1.5%
 6 ACE Ltd. (6)                                        1.5%
 7 Schlumberger Ltd. (7)                               1.5%
 8 The Allstate Corp. (8)                              1.5%
 9 SunTrust Banks, Inc. (9)                            1.4%
10 Citigroup, Inc. (10)                                1.4%
11 TE Connectivity Ltd. (13)                           1.3%
12 State Street Corp. (11)                             1.3%
13 Cisco Systems, Inc. (19)                            1.2%
14 Chesapeake Energy Corp. (14)                        1.2%
15 Teva Pharmaceutical Industries Ltd. (34)            1.2%
16 Visa, Inc., Class A (16)                            1.1%
17 American Tower Corp., Class A (15)                  1.1%
18 Devon Energy Corp. (22)                             1.1%
19 Microsoft Corp. (20)                                1.1%
20 MetLife, Inc. (25)                                  1.1%
   Holdings are subject to change.


Sector Breakdown (% of equity portfolio)*
Information Technology                                24.4%
Financials                                            21.1%
Energy                                                14.0%
Consumer Discretionary                                12.0%
Health Care                                            9.6%
Industrials                                            8.1%
Consumer Staples                                       5.2%
Materials                                              2.8%
Telecommunication Services                             1.7%
Utilities                                              1.1%
Total Market Value                                   100.0%
*Based on Standard & Poor's and MSCI Barra Global Industry
 Classification Standard (GICS).


New Holdings                            Holdings Liquidated - None
  KeyCorp
  Monster Beverage Corp.
  Starbucks Corp.
  WPX Energy, Inc.