New York Mortgage Trust Reports Third Quarter 2009 Results

Third Quarter 2009 Earnings $0.31 Per Share

NEW YORK, Nov. 3 /PRNewswire-FirstCall/ -- New York Mortgage Trust, Inc.
(Nasdaq: NYMT) ("NYMT" or the "Company") today reported results for the three
and nine months ended September 30, 2009.

Summary of Third Quarter 2009:

-- Consolidated net income of $2.9 million, or $0.31 per common share,
for
the quarter ended September 30, 2009, as compared to net income of
$1.0
million, or $0.11 per common share for the quarter ended September 30,
2008.

-- Book value as of September 30, 2009 of $6.17 per common share, an
increase of 26% from book value as of June 30, 2009.

-- Declared third quarter dividend of $0.25 per common share that was
paid
on October 26, 2009.

-- Net portfolio interest margin of 413 basis points for the quarter
ended
September 30, 2009 as compared to 361 basis points for the quarter
ended
June 30, 2009 and 136 basis points for the quarter ended September 30,
2008.

-- Completed initial phase of non-Agency residential mortgage-backed
securities ("RMBS") investment program at an average price that equals
approximately 60% of current par value; initiative commenced in the
previous quarter and focused on investments in previously rated AAA
non-Agency RMBS.

-- Leverage ratio as of September 30, 2009 was 2.5 to 1 as compared to
6.8
to 1 as of December 31, 2008. As of September 30, 2009, the Company
had
$22.4 million in cash and $74.3 million in unencumbered securities,
including $16.6 million in Agency RMBS.

Management Overview

Steven R. Mumma, Chief Executive Officer, President and Chief Financial
Officer of the Company, commented on the Company's 2009 third quarter results.
"The Company completed its most profitable quarter in its history, ending the
quarter with more liquidity and a diversified portfolio positioning the
Company for future growth opportunities. The Company's net interest margin of
413 basis points for the quarter illustrates the transition from a focused
leverage Agency strategy to a more diversified portfolio that includes
elements of credit risk with reduced leverage. The Company's book value
increased to $6.17, or 26% from book value at June 30, 2009, with valuation
increases coming from all sectors of the Company's securities portfolio."

Results from Operations

For the quarter ended September 30, 2009, the Company reported earnings per
common share of $0.31 or consolidated net income of $2.9 million, as compared
to net income of $1.0 million for the quarter ended September 30, 2008, or
$0.11 per common share. The Company's net interest income improved to $4.7
million for the quarter ended September 30, 2009 as compared to $2.2 million
for the same period in the previous year. The average net interest margin for
the Company's investment portfolio increased to 413 basis points for the
quarter ended September 30, 2009 as compared to 361 basis points for the
quarter ended June 30, 2009 and 136 basis points for the quarter ended
September 30, 2008. The continued improvement in portfolio margin is
attributable to several factors, including the sale of lower yielding
securities that was initiated in the first quarter of 2009 and the addition of
higher yielding credit sensitive securities. The Company invested an
additional $19.9 million (net) in non-Agency RMBS during the quarter ended
September 30, 2009, bringing its total investment in non-Agency RMBS since
January 1, 2009 to $24.1 million.

Book value per common share was $6.17 as of September 30, 2009, a 26% increase
from June 30, 2009 book value of $4.89 and a 47% increase from December 31,
2008 book value of $4.21.

Portfolio Results

The following table summarizes the Company's investment portfolio at September
30, 2009, classified by relevant categories:

(dollar amounts in thousands) Current Par Carrying Coupon Yield
Value Value ------ -----
----- -----
Agency RMBS $213,802 $224,889 5.14 % 4.00 %
Non-Agency RMBS 60,187 44,385 4.09 % 9.77 %
Collateralized Loan Obligations 45,950 13,320 3.68 % 22.25 %
Loans Held in Securitization
Trusts 291,423 290,940 5.05 % 5.41 %
------- -------
Total/Weighted Average $611,362 $573,534 5.07 % 5.19 %
======== ========

As of September 30, 2009, the Company had $194.7 million of repurchase
agreement borrowing funding its Agency RMBS portfolio at an average interest
rate of 0.39% and an average haircut of 6.4%. The Company does not have any
financing against its non-Agency RMBS portfolio or the collateralized loan
obligations.

As of September 30, 2009, the Company had $290.9 million of loans held in
securitization trusts which are permanently financed with $280.2 million of
collateralized debt obligations, resulting in a net equity investment of $10.7
million by the Company. The weighted average interest rate on the
collateralized debt obligations was 0.63% as of September 30, 2009. As of
September 30, 2009, the Company had approximately $16.4 million of loans held
in securitization trusts that were greater than 60 days delinquent, for which,
the Company had reserves totaling $2.3 million for potential losses on the
loans. In addition, as of September 30, 2009, the loans held in
securitization trusts included three real estate owned properties totaling
approximately $1.3 million.

Portfolio Restructuring

As previously announced, the Company has substantially restructured its
investment portfolio during 2009. The Company commenced this restructuring by
selling a total of $193.8 million of Agency CMO floaters in March 2009 and
April 2009, generating approximately $45.0 million in working capital. In
connection with its portfolio restructuring, the Company made a $9.0 million
investment in March 2009 in discounted notes issued by Cratos CLO I, Ltd., a
CLO, for which management estimates a risk adjusted return of approximately
25%. Further, during the quarter ended September 30, 2009 the Company
completed an investment initiative that involved an aggregate investment of
$24.1 million in non-Agency RMBS. The Company's investment in non-Agency RMBS
during 2009 is non-levered and was completed at an average purchase price
equal to approximately 60% of current par value. Management estimates a risk
adjusted return range of 16%-20% for this program.

Subsequent to September 30, 2009, the Company sold approximately $98.1 million
of Agency RMBS for a realized gain of $2.7 million. The sale allowed the
Company to capitalize on historically high prices for Agency RMBS while
freeing up additional capital for investments in assets that the Company
believes will deliver higher risk adjusted returns than the Agency RMBS it
sold.

Conference Call

On Wednesday, November 4, 2009, at 9:00 a.m. Eastern Time, New York Mortgage
Trust's executive management is scheduled to host a conference call and audio
webcast to discuss the Company's financial results for the third quarter ended
September 30, 2009. The conference call dial-in number is (480) 629-9770. The
replay will be available until Wednesday, November 11, 2009, and can be
accessed by dialing (303) 590-3030 and entering passcode 4175999. A live
audio webcast of the conference call can be accessed via the Internet, on a
listen-only basis, at http://www.earnings.com or at the Investor Relations
section of the Company's website at http://www.nymtrust.com. Please allow
extra time, prior to the call, to visit the site and download the necessary
software to listen to the Internet broadcast. The online archive of the
webcast will be available until January 14, 2010.

More detailed information regarding the Company's third quarter 2009 financial
and operating results can be viewed on the Company's Quarterly Report on Form
10-Q, which is expected to be filed on or about November 6, 2009.

About New York Mortgage Trust
New York Mortgage Trust, Inc. is a real estate investment trust (REIT) that
acquires and manages primarily real estate-related assets, including
mortgage-backed securities ("RMBS") issued by Fannie Mae or Freddie Mac (each
an "Agency"), high credit quality residential adjustable rate mortgage ("ARM")
loans, non-Agency RMBS, and to a lesser extent, certain alternative
real-estate related and financial assets. As a REIT, the Company is not
subject to federal income tax, provided that it distributes at least 90% of
its REIT income to stockholders.

Certain statements contained in this press release may be deemed to be
forward-looking statements that predict or describe future events or trends.
The matters described in these forward-looking statements are subject to known
and unknown risks, uncertainties and other unpredictable factors, many of
which are beyond the Company's control. The Company faces many risks that
could cause its actual performance to differ materially from the results
predicted by its forward-looking statements, including, without limitation,
changes in business conditions and the general economy, a rise in interest
rates or an unfavorable change in prepayment rates may cause a decline in the
market value of the Company's assets, borrowings to finance the purchase of
assets may not be available on favorable terms, the failure to identify
suitable alternative assets under the Company's alternative investment
strategy, failure to maintain the Company's qualification as a REIT for
federal tax purposes or its exemption from the Investment Company Act of 1940,
failure to effectively manage the risks associated with investing in mortgage
loans, including changes in loan delinquencies and increasing prepayment
rates, and a failure to effectively implement and manage the Company's hedging
strategy. The reports that the Company files with the Securities and Exchange
Commission contain a more detailed description of these and many other risks
to which the Company is subject. Because of those risks, the Company's actual
results, performance or achievements may differ materially from the results,
performance or achievements contemplated by its forward-looking statements.
The information set forth in this news release represents management's current
expectations and intentions. The Company assumes no responsibility to issue
updates to the forward-looking matters discussed in this press release.

NEW YORK MORTGAGE TRUST, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS

(amounts in thousands, except share and per share amounts)
(unaudited)

September 30, December 31,
2009 2008
------------ ------------
ASSETS
Cash and cash equivalents $22,403 $9,387
Restricted cash 3,359 7,959
Investment securities - available for sale,
at fair value (including pledged securities
of $208,327 and $456,506, respectively) 282,594 477,416
Accounts and accrued interest receivable 2,623 3,095
Mortgage loans held in securitization trusts
(net) 290,940 348,337
Derivative assets 15 22
Prepaid and other assets 1,636 1,230
Assets related to discontinued operation 4,544 5,854
----- -----
Total Assets $608,114 $853,300
======== ========
LIABILITIES AND STOCKHOLDERS' EQUITY
Liabilities:
Financing arrangements, portfolio
investments $194,745 $402,329
Collateralized debt obligations 280,223 335,646
Derivative liabilities 3,025 4,194
Accounts payable and accrued expenses 5,095 3,997
Subordinated debentures (net) 44,823 44,618
Convertible preferred debentures (net) 19,814 19,702
Liabilities related to discontinued
operation 2,240 3,566
----- -----
Total liabilities 549,965 814,052
------- -------
Commitments and Contingencies
Stockholders' Equity:
Common stock, $0.01 par value, 400,000,000
authorized, 9,419,094 and 9,320,094, shares
issued and outstanding, respectively 94 93
Additional paid-in capital 144,838 150,790
Accumulated other comprehensive
income/(loss) 8,853 (8,521)
Accumulated deficit (95,636) (103,114)
------- --------
Total stockholders' equity 58,149 39,248
------ ------
Total Liabilities and Stockholders' Equity $608,114 $853,300
======== ========

NEW YORK MORTGAGE TRUST, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(amounts in thousands, except per share amounts)
(unaudited)

For the Three Months For the Nine Months
Ended September 30, Ended September 30,
-----------------------------------------
2009 2008 2009 2008
--------- -------- --------- --------
REVENUE:
Interest income-investment
securities and loans held
in securitization trusts $7,994 $10,324 $24,200 $34,332
Interest expense-investment
securities and loans held
in securitization trusts 1,864 6,692 7,041 23,997
----- ----- ----- ------
Net interest income from
investment securities and
loans held in securitization
trusts 6,130 3,632 17,159 10,335
Interest expense -
subordinated debentures (785) (913) (2,417) (2,768)
Interest expense -
convertible preferred
debentures (662) (537) (1,807) (1,612)
---- ---- ------ ------
Net interest income 4,683 2,182 12,935 5,955
OTHER EXPENSE:
Provision for loan losses (526) (7) (1,414) (1,462)
Impairment loss on
investment securities - - (119) -
Realized gain (loss) on
securities and related
hedges 359 4 623 (19,927)
--- --- --- -------
Total other expense (167) (3) (910) (21,389)
EXPENSE:
Salaries and benefits 473 258 1,486 988
Professional fees 323 367 1,021 1,065
Management fees 508 186 935 479
Insurance 266 275 358 668
Other 306 349 1,247 1,626
--- --- ----- -----
Total expenses 1,876 1,435 5,047 4,826
INCOME (LOSS) FROM
CONTINUING OPERATIONS 2,640 744 6,978 (20,260)
Income from discontinued
operation - net of tax 236 285 500 1,294
--- --- --- -----
NET INCOME (LOSS) $2,876 $1,029 $7,478 $(18,966)
====== ====== ====== ========
Basic income (loss) per
common share $0.31 $0.11 $0.80 $(2.39)
===== ===== ===== ======
Diluted income (loss) per
common share $0.30 $0.11 $0.78 $(2.39)
===== ===== ===== ======
Dividends declared per
common share $0.25 $0.16 $0.66 $0.44
===== ===== ===== =====
Weighted average shares
outstanding-basic 9,406 9,320 9,349 7,924
===== ===== ===== =====
Weighted average shares
outstanding-diluted 11,906 9,320 11,849 7,924
====== ===== ====== =====

SOURCE New York Mortgage Trust, Inc.

AT THE COMPANY, Steven R. Mumma, CEO and Chief Financial Officer,
+1-212-792-0109, smumma@nymtrust.com; AT FINANCIAL RELATIONS BOARD, Joe
Calabrese, General, +1-212-827-3772, Scott Eckstein, Analysts,
+1-212-827-3776