Press Release

BETHESDA, Md., July 14 /PRNewswire-FirstCall/ -- American Capital Agency Corp. (Nasdaq: AGNC) ("AGNC" or the "Company") announced today that one of its stockholders, American Capital Ltd. (Nasdaq: ACAS) ("American Capital"), agreed to sell 2,500,000 shares of AGNC common stock to Deutsche Bank Securities. AGNC will not receive any of the proceeds from the sale.

American Capital acquired the shares in a private placement simultaneously with the closing of AGNC's initial public offering on May 20, 2008. Following the closing of the secondary offering, American Capital will hold 2,500,100 shares of AGNC common stock.

The shares are being sold pursuant to AGNC's existing shelf registration statement filed with the Securities and Exchange Commission.

This press release is neither an offer to sell nor a solicitation of an offer to buy shares of common stock. Copies of the prospectus supplement relating to this offering, when available, may be obtained by contacting Deutsche Bank Securities Inc., Deutsche Bank Securities, Prospectus Department, Harborside Financial Center, 100 Plaza One, Jersey City, New Jersey 07311-3988, telephone: 1-800-503-4611.

ABOUT AGNC

AGNC is a REIT formed in 2008 to invest exclusively in agency pass-through securities and collateralized mortgage obligations for which the principal and interest payments are guaranteed by a U.S. Government agency or a U.S. Government-sponsored entity. The Company is externally managed and advised by an affiliate of American Capital, Ltd.

ABOUT AMERICAN CAPITAL

American Capital is a publicly traded private equity firm and global asset manager. American Capital, both directly and through its asset management business, originates, underwrites and manages investments in middle market private equity, leveraged finance, real estate and structured products. Founded in 1986, American Capital has $11 billion in capital resources under management(1) and ten offices in the U.S., Europe and Asia.

(1) As of March 31, 2009.

FORWARD-LOOKING STATEMENTS

This press release contains forward-looking statements. Forward-looking statements are based on estimates, projections, beliefs and assumptions of management of the Company at the time of such statements and are not guarantees of future performance. Forward-looking statements involve risks and uncertainties in predicting future results and conditions. Actual results could differ materially from those projected in these forward-looking statements due to a variety of factors, including, without limitation, changes in interest rates, changes in the yield curve, changes in prepayment rates, the availability and terms of financing, changes in the market value of our assets, general economic conditions, market conditions, conditions in the market for agency securities, and legislative and regulatory changes that could adversely affect the business of the Company. Certain factors that could cause actual results to differ materially from those contained in the forward-looking statements, are included in the Company's periodic reports filed with the Securities and Exchange Commission ("SEC"). Copies are available on the SEC's website, www.sec.gov. The Company disclaims any obligation to update or revise any forward-looking statements based on the occurrence of future events, the receipt or new information, or otherwise.

SOURCE: American Capital Agency Corp.

CONTACT:
American Capital Agency Corp.
Investors
+1-301-968-9300