Crystal River Reports Second Quarter 2008 Financial Results

Market Wire, August, 2008

Financing Details

The following table shows the Company's available for sale securities, real estate loans, and other investments as of June 30, 2008, and the different lines used to finance such assets, categorized by (i) CDO debt, (ii) other term debt, such as mortgage loans on commercial real estate and trust preferred securities, (iii) the Company's secured revolving credit facility, and (iv) reverse repurchase agreements:

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                      Assets                         Debt
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                    Carrying        CDO   Other Term     Funding Repurchase
($ in millions)        Value    Debt (1)        Debt    Facility Agreements
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CMBS              $    241.7  $   188.3   $        -    $      - $     21.7
Prime RMBS              37.8       10.6            -           -        0.4
Subprime RMBS           16.3        5.8            -           -          -
Preferred Stock(2)       0.0          -            -           -          -
Real estate loans       71.9          -         24.1        21.4          -
Commercial real
 estate                231.5          -        219.4        17.0          -
Real Estate
 Finance Fund              -          -            -           -          -
Trust Preferred
 Securities                -          -         51.6           -          -
Other                    1.6          -            -           -          -
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Total             $    600.8  $   204.7   $    295.1    $   38.4 $     22.1
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(1) CDO debt has been allocated based upon the asset mix within the
    Company's CDOs.
(2) Exact balance of $24,250.

CDO and Non-CDO Assets

The table below summarizes the breakdown of our available for sale securities between assets held by non-recourse securitization subsidiaries financed by CDO debt and assets held directly at June 30, 2008:

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                        Consolidated
($ in millions)       Carrying Value   CDO Assets   Non-CDO Assets
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CMBS                  $        241.7   $    185.4   $         56.3
Prime RMBS                      37.8         19.6             18.2
Subprime RMBS                   16.3         10.5              5.8
ABS                                -            -                -
Preferred Stock(1)               0.0            -              0.0
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Total                 $        295.8   $    215.5   $         80.3
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(1) Exact balance of $24,250.

Our securitized assets are held by two non-recourse securitization subsidiaries financed by CDO debt. The table below details the assets and liabilities of these securitizations at June 30, 2008: