Capitol Acquisition Corp. Announces Purchase Plan By Pine River Affiliate

WASHINGTON, June 29 /PRNewswire-FirstCall/ -- Capitol Acquisition Corp.
("Capitol") (NYSE Amex: CLA; CLA.U; CLA.WS) announced today that Thomas
Siering, a Partner of Pine River Capital Management L.P. ("Pine River") and
the President and a Director of Two Harbors Investment Corp. ("Two Harbors"),
has entered into a written plan to purchase up to an aggregate of 100,000
shares of common stock of Capitol pursuant to Rules 10b5-1 and 10b-18 of the
Securities Exchange Act of 1934. As previously announced, Capitol and Two
Harbors, a company wholly-owned by Pine River, have entered into a merger
agreement pursuant to which Capitol will become a wholly-owned subsidiary of
Two Harbors following approval of the merger by Capitol's stockholders.

Capitol Acquisition Corp.

Capitol Acquisition Corp. is a Washington D.C. specified purpose acquisition
company formed for the purpose of acquiring through a merger, capital stock
exchange, asset acquisition, stock purchase, reorganization or similar
business combination with one or more operating businesses or assets. Its
efforts in identifying a prospective target business are not limited to a
particular industry. Founded by Mark D. Ein, Capitol has an experienced team
of Directors and Advisors with complementary backgrounds and a history of
success as investors, entrepreneurs, executives and advisors. Capitol priced
its initial public offering ("IPO") of 26,249,000 units on November 8, 2007,
including the underwriters' over-allotment option, generating $258.9 million
in net proceeds. As of March 31, 2009, Capitol held approximately $259.1
million in a trust account maintained by an independent trustee, which will be
released upon the consummation of the business combination. Additional
information is available at www.capitolacquisition.com.

Two Harbors Investment Corp.

Two Harbors is a newly-formed Maryland corporation focused on investing in,
financing and managing residential mortgage-backed securities. Two Harbors was
formed solely to complete the business combination with Capitol and has no
material assets or liabilities. Two Harbors will be externally managed and
advised by PRCM Advisers, a wholly-owned subsidiary of Pine River.

Pine River Capital Management L.P.

Pine River is a leading independent global alternative asset management firm,
registered as an investment adviser under the Investment Advisers Act of 1940.
Founded in 2002, with offices in Hong Kong, London, New York, and San
Francisco, and headquartered in Minnetonka, Minnesota, Pine River manages
approximately $800 million in assets across five hedge fund strategies. The
firm's six partners have worked together an average of 14 years and have an
average of 18 years investment experience. The firm maintains registrations
with the SEC and NFA in the United States, the FSA in the United Kingdom, the
SFC in Hong Kong, the SEBI in India, and the TSEC in Taiwan.

Safe Harbor

This press release includes "forward-looking statements" within the meaning of
the safe harbor provisions of the United States Private Securities Litigation
Reform Act of 1995. Actual results may differ from expectations, estimates
and projections and, consequently, you should not rely on these forward
looking statements as predictions of future events. Words such as "expect,"
"estimate," "project," "budget," "forecast," "anticipate," "intend," "plan,"
"may," "will," "could," "should," "believes," "predicts," "potential,"
"continue," and similar expressions are intended to identify such
forward-looking statements. These forward-looking statements involve
significant risks and uncertainties that could cause the actual results to
differ materially from the expected results. Factors that may cause such
differences include the possibility that shares in Capitol may not be
available at the prices or in the amounts described in the 10b5-1 plan
described above.

Additional information concerning these and other risk factors is contained in
Capitol's most recent filings with the Securities and Exchange Commission
("SEC"). All subsequent written and oral forward-looking statements
concerning Capitol and Two Harbors, the merger, the related transactions or
other matters and attributable to Capitol and Two Harbors or any person acting
on their behalf are expressly qualified in their entirety by the cautionary
statements above. Capitol and Two Harbors caution readers not to place undue
reliance upon any forward-looking statements, which speak only as of the date
made. Capitol and Two Harbors do not undertake or accept any obligation or
undertaking to release publicly any updates or revisions to any
forward-looking statement to reflect any change in their expectations or any
change in events, conditions or circumstances on which any such statement is
based.

Additional Information

Capitol intends to file a proxy statement, and Two Harbors intends to file a
registration statement, with the SEC, in each case, that will contain a
preliminary proxy statement/prospectus in connection with the proposed
transaction and to mail a definitive proxy statement/prospectus and other
relevant documents to Capitol stockholders and warrant holders. Stockholders
and warrant holders of Capitol and other interested persons are advised to
read, when available, the preliminary proxy statement/prospectus, and
amendments thereto, and definitive proxy statement and prospectus in
connection with solicitation of proxies for the special meetings of Capitol's
stockholders and Capitol's warrant holders to be held to approve the
transaction because these proxy statements/prospectuses will contain important
information about Capitol, Two Harbors and the proposed transactions. Such
Persons can also read Capitol's final prospectus from its initial public
offering dated November 8, 2007, its annual report on form 10-K for the fiscal
year ended December 31, 2008, which was filed with the SEC on March 16, 2009
("Annual Report") and other reports as filed with the SEC, for a description
of the security holdings of Capitol's officers and directors and their
affiliates and their other respective interests in the successful consummation
of the proposed transaction. The definitive proxy statement/prospectus will be
mailed to stockholders and warrant holders as of a record date to be
established for voting on the merger. Stockholders and warrant holders will
also be able to obtain a copy of the preliminary and definitive proxy
statements/prospectuses, without charge, once available, at the SEC's Internet
site at http://www.sec.gov or by directing a request to: Capitol Acquisition
Corp., 509 7th Street, NW, Washington, DC 20004, telephone (202) 654-7060.

Participation in Solicitation

Capitol, Two Harbors, PRCM and their respective directors, executive officers,
affiliates and other persons may be deemed to be participants in the
solicitation of proxies for the special meetings of Capitol's stockholders and
Capitol's warrant holders to approve the proposed transaction. A list of the
names of those directors and officers and descriptions of their interests in
Capitol is contained in Capitol's Annual Report. Capitol's stockholders may
also obtain additional information about the interests of its directors and
officers in the transactions by reading the preliminary proxy
statement/prospectus and other relevant materials to be filed by Capitol and
Two Harbors with the SEC when they become available. Information regarding
Two Harbors' directors and executive officers and other potential participants
will be contained in Capitol's preliminary proxy statement/prospectus and
other relevant materials to be filed by Capitol and Two Harbors with the SEC
when they become available.

Disclaimer

This press release is not a proxy statement or solicitation of a proxy,
consent or authorization with respect to any securities or in respect of the
proposed transaction and shall not constitute an offer to sell or a
solicitation of an offer to buy the securities of Capitol or Two Harbors, nor
shall there be any sale of any such securities in any state or jurisdiction in
which such offer, solicitation, or sale would be unlawful prior to
registration or qualification under the securities laws of such state or
jurisdiction.

SOURCE Capitol Acquisition Corp.

Andrew Garcia, Vice President, Business Development, Two Harbors Investment
Corp., +1-612-238-3307; or Mark Ein, Chief Executive Officer, Capitol
Acquisition Corp., +1-202-654-7001