Anworth Announces Increase to Series B Preferred Stock Conversion Rate

SANTA MONICA, Calif.–(BUSINESS WIRE)–Anworth Mortgage Asset Corporation (NYSE: ANH) announced that in
accordance with the terms of Anworth’s 6.25% Series B Cumulative
Convertible Preferred Stock, or Series B Preferred Stock, the conversion
rate of the Series B Preferred Stock will increase from 4.3942 shares of
Anworth’s common stock to 4.4909 shares of its common stock effective
January 1, 2016.

As previously announced on December 17, 2015, Anworth’s board of
directors declared a quarterly common stock dividend of $0.15 per share,
which is payable on January 29, 2016 to holders of record of common
stock as of the close of business on December 31, 2015. When Anworth
pays a cash dividend during any quarterly fiscal period to its common
stockholders in an amount that results in an annualized common stock
dividend yield greater than 6.25% (the dividend yield on the Series B
Preferred Stock), the conversion rate on the Series B Preferred Stock is
adjusted based on a formula specified in the Articles Supplementary
Establishing and Fixing the Rights and Preferences of the Series B
Preferred Stock (and also available on the “Series B Pfd. Stock
Conversion” page of Anworth’s web site at
As a result of this dividend, the conversion rate will increase from
4.3942 shares of Anworth’s common stock to 4.4909 shares of its common
stock effective January 1, 2016.

About Anworth Mortgage Asset Corporation

We are an externally-managed mortgage real estate investment trust. We
invest primarily in mortgage-backed securities that are either rated
“investment grade” or are guaranteed by federally sponsored enterprises,
such as Fannie Mae or Freddie Mac. We seek to generate income for
distribution to our shareholders primarily based on the difference
between the yield on our mortgage assets and the cost of our borrowings.
We are managed by Anworth Management, LLC, or the Manager, pursuant a
management agreement. The Manager is subject to the supervision and
direction of our Board of Directors and is responsible for (i) the
selection, purchase and sale of our investment portfolio; (ii) our
financing and hedging activities; and (iii) providing us with management
services and other services and activities relating to our assets and
operations as may be appropriate. Our common stock is traded on the New
York Stock Exchange under the symbol “ANH.” Anworth Mortgage Asset
Corporation is a component of the Russell 2000® Index.

Safe Harbor Statement under the Private Securities Litigation Reform
Act of 1995

This news release may contain forward-looking statements within the
meaning of the “safe harbor” provisions of the Private Securities
Litigation Reform Act of 1995. Forward-looking statements are based upon
our current expectations and speak only as of the date hereof.
Forward-looking statements, which are based on various assumptions (some
of which are beyond our control) may be identified by reference to a
future period or periods or by the use of forward-looking terminology,
such as “may,” “will,” “believe,” “expect,” “anticipate,” “assume,”
“estimate,” “intend,” “continue,” or other similar terms or variations
on those terms or the negative of those terms. Our actual results may
differ materially and adversely from those expressed in any
forward-looking statements as a result of various factors and
uncertainties, including but not limited to, changes in interest rates;
changes in the market value of our mortgage-backed securities; changes
in the yield curve; the availability of mortgage-backed securities for
purchase; increases in the prepayment rates on the mortgage loans
securing our mortgage-backed securities; our ability to use borrowings
to finance our assets and, if available, the terms of any financing;
risks associated with investing in mortgage-related assets; changes in
business conditions and the general economy, including the consequences
of actions by the U.S. government and other foreign governments to
address the global financial crisis; implementation of or changes in
government regulations affecting our business; our ability to maintain
our qualification as a real estate investment trust for federal income
tax purposes; our ability to maintain an exemption from the Investment
Company Act of 1940, as amended; risks associated with our home rental
business; and the Manager’s ability to manage our growth. Our Annual
Report on Form 10-K and other SEC filings discuss the most significant
risk factors that may affect our business, results of operations and
financial condition. We undertake no obligation to revise or update
publicly any forward-looking statements for any reason.


Anworth Mortgage Asset Corporation
John T. Hillman
1299 Ocean
Avenue, Second Floor
Santa Monica, CA 90401
(310) 255-4438 or
(310) 255-4493