Anthracite Capital Announces Restructuring of Unsecured Debt

NEW YORK--(Business Wire)--
Anthracite Capital, Inc. (NYSE: AHR) (the "Company" or "Anthracite") today
announced that it has restructured a significant portion of its trust preferred
securities and junior subordinated notes.

Pursuant to an exchange agreement with certain holders of $135 million in trust
preferred securities and the Company`s €50 million junior subordinated notes,
the Company issued $168.75 million and €62.5 million principal amount of new
junior subordinated notes in exchange for those securities. The exchanges closed
on May 29, 2009.

The new notes bear a fixed interest rate of 0.75% per year until the earlier of
May 29, 2013 and the date on which the Company`s senior secured credit
facilities with Bank of America, Deutsche Bank and Morgan Stanley have all been
paid in full (the "Modification Period"). The interest rate during the
Modification Period is significantly lower than the interest rates on the
securities for which the new notes were exchanged. The interest rates on those
securities were, as of the date of the exchanges, 7.50%, 7.73% and 7.77% per
year on the trust preferred securities and EURIBOR plus 2.60% per year on the
junior subordinated notes. After the Modification Period, the new notes bear
interest at the same rates as the securities for which they were exchanged. The
new notes are contractually senior to the Company`s remaining junior
subordinated notes. The new notes otherwise generally have the same terms,
including maturity dates and capital structure priority, as the securities for
which they were exchanged.

The coupons that were due on April 30, 2009 on certain of the securities being
exchanged were satisfied by payments at the new lower rate of 0.75% per year on
the increased principal amounts.

Anthracite also paid $2.0 million to cover third-party fees and costs incurred
in connection with the exchanges.

The Company estimates that these exchanges will result in cash savings of over
$10 million and €2.5 million per year during the period that the lower coupons
are in effect. The Company intends to use cash from these savings for general
corporate purposes and to reduce indebtedness under its senior secured credit
facilities.

Convertible Senior Notes Exchange

On May 27, 2009, in a privately negotiated exchange transaction with a holder of
Anthracite`s 11.75% Convertible Senior Notes due 2027, the Company issued
850,000 shares of common stock in exchange for $4 million principal amount of
the notes.

Interest Payments

Anthracite also announced that on May 29, 2009 it made certain interest payments
due April 30, 2009 under certain of its unsecured debt that had previously been
withheld, which debt was not part of the above described exchanges.

About Anthracite

Anthracite Capital, Inc. is a specialty finance company focused on investments
in high yield commercial real estate loans and related securities. Anthracite is
externally managed by BlackRock Financial Management, Inc., which is a
subsidiary of BlackRock, Inc. ("BlackRock") (NYSE:BLK), one of the largest
publicly traded investment management firms in the United States with
approximately $1.283 trillion in global assets under management at March 31,
2009.

BlackRock Realty Advisors, Inc., another subsidiary of BlackRock, provides real
estate equity and other real estate-related products and services in a variety
of strategies to meet the needs of institutional investors.

Forward-Looking Statements

This release, and other statements that Anthracite may make, may contain
forward-looking statements within the meaning of the Private Securities
Litigation Reform Act of 1995, with respect to Anthracite`s future financial or
business performance, strategies or expectations. Forward-looking statements are
typically identified by words or phrases such as "trend," "potential,"
"opportunity," "pipeline," "believe," "comfortable," "expect," "anticipate,"
"current," "intention," "estimate," "position," "assume," "outlook," "continue,"
"remain," "maintain," "sustain," "seek," "achieve," and similar expressions, or
future or conditional verbs such as "will," "would," "should," "could," "may" or
similar expressions.

Anthracite cautions that forward-looking statements are subject to numerous
assumptions, risks and uncertainties, which change over time. Forward-looking
statements speak only as of the date they are made, and Anthracite assumes no
duty to and does not undertake to update forward-looking statements. Actual
results could differ materially from those anticipated in forward-looking
statements and future results could differ materially from historical
performance.

In addition to factors previously disclosed in Anthracite`s SEC reports and
those identified elsewhere in this release, the following factors, among others,
could cause actual results to differ materially from forward-looking statements
or historical performance: (1) the introduction, withdrawal, success and timing
of business initiatives and strategies; (2) changes in political, economic or
industry conditions, the interest rate environment financial and capital markets
or otherwise, which could result in changes in the value of the Company`s assets
and liabilities, including net realized and unrealized gains or losses, and
could adversely affect the Company`s operating results; (3) the amount and
timing of any future margin calls and their impact on the Company`s financial
condition and liquidity; (4) the Company`s ability to meet its liquidity
requirements to continue to fund its business operations, including its ability
to renew its existing facilities or obtain replacement financing, to meet margin
calls and amortization payments under the facilities, to service debt and to pay
dividends on its capital stock; (5) the Company`s ability to obtain amendments
and waivers in the event that a lender terminates a facility before the maturity
date or debt obligations are accelerated due to a covenant breach or otherwise;
(6) the relative and absolute investment performance and operations of BlackRock
Financial Management, Inc. (the "Manager"), the Company`s manager; (7) the
impact of increased competition; (8) the impact of future acquisitions or
divestitures; (9) the unfavorable resolution of legal proceedings; (10) the
impact of legislative and regulatory actions and reforms and regulatory,
supervisory or enforcement actions of government agencies relating to the
Company or the Manager; (11) terrorist activities and international hostilities,
which may adversely affect the general economy, domestic and global financial
and capital markets, specific industries, and the Company; (12) the ability of
the Manager to attract and retain highly talented professionals; (13)
fluctuations in foreign currency exchange rates; (14) the impact of changes to
tax legislation and, generally, the tax position of the Company; and (15) as a
result of its liquidity position, current market conditions and the uncertainty
relating to the outcome of its ongoing negotiations with its lenders, there is
substantial doubt about the Company`s ability to continue as a going concern.

Anthracite`s Annual Report on Form 10-K for the year ended December 31, 2008 and
Anthracite`s subsequent filings with the SEC, accessible on the SEC`s website at
www.sec.gov, identify additional factors that can affect forward-looking
statements.

To learn more about Anthracite, visit our website at www.anthracitecapital.com.
The information contained on the Company`s website is not a part of this
release.

Anthracite Capital, Inc.
Investor Relations
212-810-3333
ahr-info@blackrock.com

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