Crystal River Reports Third Quarter 2008 Financial Results; Declares Fourth Quarter 2008 Dividend of $0.10 Per Share

The following table shows the Company's available for sale securities, real estate loans, other investments and other assets as of September 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                    $    158.7  $ 148.2   $       -   $    -     $   8.3
Prime RMBS                    22.7      3.5           -        -           -
Subprime RMBS                 10.0      1.7           -        -           -
Real estate loans             31.4        -           -     26.4           -
Commercial real estate       229.9        -       219.4        -           -
Trust Preferred
 Securities                      -        -        51.6        -           -
Other                        136.7        -           -     15.0           -
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Total                   $    589.4  $ 153.4   $   271.0   $ 41.4     $   8.3
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(1) CDO debt has been allocated based upon the asset mix within the
    Company's CDOs.

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 September 30, 2008:


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                        Consolidated
($ in millions)       Carrying Value        CDO Assets        Non-CDO Assets
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CMBS                      $    158.7         $   121.2           $      37.5
Prime RMBS                      22.7              12.3                  10.4
Subprime RMBS                   10.0               5.8                   4.2
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Total                     $    191.4         $   139.3           $      52.1
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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 September 30, 2008:


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                        Consolidated
                         Outstanding    Consolidated
($ in millions)          Face Amount  Carrying Value      CDO I      CDO II
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CMBS                     $     523.8    $      121.2    $  23.4    $   97.8
Prime RMBS                      93.0            12.3       12.3           -
Subprime RMBS                   70.3             5.8        5.8           -
Receivables, cash and
 other assets                      -             7.5        4.6         2.9
Collateralized debt
 obligations                  (474.4)         (153.4)     (39.5)     (113.9)
Derivative and other
 liabilities, net                  -           (14.2)      (2.5)      (11.7)
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Net Equity               $     212.7    $      (20.8)   $   4.1    $  (24.9)
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