Exhibit 99.1

Annaly Capital Management, Inc. Reports 3rd Quarter 2013 Results

• GAAP net income of $192.5 million, $0.18 earnings per common share
• Core earnings of $282.3 million, $0.28 earnings per common share
• Strong capital position with capital ratio of 13.9%, net capital ratio of 14.8% and leverage of 5.4:1
• Commercial investment portfolio up 28%, now representing 11% of stockholders’ equity
• Book value of $12.70

NEW YORK--(BUSINESS WIRE)--November 6, 2013--Annaly Capital Management, Inc. (NYSE:NLY) today announced financial results for the quarter ended September 30, 2013.

Financial Performance

GAAP net income for the quarter ended September 30, 2013 was $192.5 million or $0.18 per average common share as compared to GAAP net income of $1.6 billion or $1.71 per average common share for the quarter ended June 30, 2013, and GAAP net income of $224.8 million or $0.22 per average common share for the quarter ended September 30, 2012. The decline from the prior period was largely attributable to lower unrealized gains on interest rate swaps. Core earnings for the quarter ended September 30, 2013 was $282.3 million or $0.28 per average common share as compared to $294.2 million or $0.29 per average common share for the quarter ended June 30, 2013, and $306.3 million or $0.30 per average common share for the quarter ended September 30, 2012. "Core earnings" represents a non-GAAP measure and is defined as net income (loss) excluding gains or losses on disposals of investments and termination of interest rate swaps, unrealized gains or losses on interest rate swaps and Agency interest-only mortgage-backed securities, net loss on extinguishment of the 4% Convertible Senior Notes due 2015, net gains and losses on trading assets, impairment losses and loss on previously held equity interest in CreXus Investment Corp.

For the quarter ended September 30, 2013, the annualized yield on average interest-earning assets was 2.82% and the annualized cost of funds on average interest-bearing liabilities, including the net interest payments on interest rate swaps, was 1.81%, which resulted in an average interest rate spread of 1.01%. This was a 3 basis point increase from the 0.98% average interest rate spread for the quarter ended June 30, 2013, and a 1 basis point decrease from the 1.02% average interest rate spread for the quarter ended September 30, 2012. Our annualized yield on average interest-earning assets increased for the quarter ended September 30, 2013 when compared to the quarter ended June 30, 2013 due to lower amortization expense on our Investment Securities, primarily driven by lower prepayment speeds experienced during the current quarter. Our annualized cost of funds on average interest-bearing liabilities increased for the quarter ended September 30, 2013 when compared to the quarter ended June 30, 2013 in large part due to lower repurchase agreements balances coupled with higher interest rate swap notional amounts during the current quarter and, to a lesser extent, due to higher interest rate swap expenses.

Wellington J. Denahan, Chairman and Chief Executive Officer of Annaly, commented on the Company’s results. “Given the ongoing monetary policy impacts on the mortgage market and the uncertainty surrounding the future path of policy, we remain measured in our investment strategy. Our diversification into commercial assets is building momentum, with commercial investments up approximately 30% and now representing 11% of our capital. Our conservative stance with low leverage permits us to be opportunistic with capital deployment.”

Asset Portfolio

Investment Securities, which is comprised of Agency mortgage-backed securities, Agency debentures and corporate debt, were $83.1 billion at September 30, 2013, compared to $95.9 billion for the prior quarter. As of September 30, 2013, substantially all of the Company’s Investment Securities were Fannie Mae, Freddie Mac and Ginnie Mae mortgage-backed securities and debentures. Fixed-rate Agency mortgage-backed securities and debentures comprised 91% of the Company’s Investment Securities portfolio at September 30, 2013. Adjustable-rate Agency mortgage-backed securities and debentures comprised 9% of the Company’s Investment Securities portfolio. During the quarter ended September 30, 2013, the Company disposed of $13.0 billion of Investment Securities, resulting in a realized gain of $43.6 million. During the quarter ended June 30, 2013, the Company disposed of $14.8 billion of Investment Securities, resulting in a realized gain of $148.0 million. During the quarter ended September 30, 2012, the Company disposed of $7.3 billion of Investment Securities, resulting in a realized gain of $142.2 million.

The Constant Prepayment Rate for the quarters ended September 30, 2013, June 30, 2013, and September 30, 2012, was 13%, 16% and 20%, respectively. The net amortization of premiums and accretion of discounts on Agency mortgage-backed securities and debentures for the quarters ended September 30, 2013, June 30, 2013, and September 30, 2012, was $201.9 million, $320.2 million, and $455.8 million, respectively. The total net premium and discount balance on Agency mortgage-backed securities and debentures at September 30, 2013, June 30, 2013, and September 30, 2012, was $4.7 billion, $5.3 billion, and $5.4 billion, respectively.

The Company’s commercial investment portfolio consists of commercial real estate investments and corporate debt. At September 30, 2013, the Company’s commercial investment portfolio represented 11% of stockholders’ equity compared to 8% at June 30, 2013. Commercial real estate debt and preferred equity totaled $1.2 billion and investments in commercial real estate totaled $60.4 million at September 30, 2013. Total commercial real estate investments increased from $1.0 billion at June 30, 2013 to $1.3 billion at September 30, 2013.

Capital and Funding

At September 30, 2013 total stockholders’ equity was $12.9 billion. Leverage at September 30, 2013, June 30, 2013, and September 30, 2012, was 5.4:1, 6.2:1 and 6.0:1, respectively. Leverage includes non-recourse loan participations and mortgages payable. At September 30, 2013, June 30, 2013, and September 30, 2012, the Company’s capital ratio, which represents the ratio of stockholders’ equity to total assets, was 13.9%, 12.9%, and 12.1%, respectively. At September 30, 2013, June 30, 2013, and September 30, 2012, the Company’s net capital ratio was 14.8%, 13.3%, and 12.4%, respectively. The Company’s net capital ratio takes into account the net balances of its U.S Treasury securities and U.S Treasury securities sold, not yet purchased, reverse repurchase agreements and repurchase agreements, and securities borrowed and securities loaned. On a GAAP basis, the Company produced an annualized return on average equity for the quarters ended September 30, 2013, June 30, 2013, and September 30, 2012 of 5.87%, 45.87%, and 5.39%, respectively. On a Core earnings basis, the Company provided an annualized return on average equity for the quarters ended September 30, 2013, June 30, 2013, and September 30, 2012, of 8.62%, 8.24%, and 8.07%, respectively.

At September 30, 2013, June 30, 2013, and September 30, 2012 the Company had outstanding $69.2 billion, $81.4 billion, and $101.0 billion of repurchase agreements, respectively, with weighted average borrowing rates of 2.02%, 1.72%, and 1.52%, respectively, after giving effect to the Company’s interest rate swaps, and weighted average remaining maturities of 200 days, 191 days, and 213 days, respectively.

At September 30, 2013, June 30, 2013, and September 30, 2012, the Company had a common stock book value per share of $12.70, $13.03 and $16.60, respectively.

The following table presents the maturities of repurchase agreements at September 30, 2013:

Hedge Portfolio

At September 30, 2013, the Company had entered into interest rate swaps with a notional amount of $52.2 billion and interest rate swaptions with a notional amount of $6.8 billion, or 74% of the Company’s Agency mortgage-backed securities and debentures compared to 56% of the Company’s Agency mortgage-backed securities and debentures at June 30, 2013. Changes in the unrealized gains or losses on the interest rate swaps are reflected in the Company’s consolidated statements of comprehensive income (loss). The purpose of the interest rate swaps is to mitigate the risk of rising interest rates that affect the Company’s cost of funds. Since the Company pays a fixed rate and receives a floating rate on the notional amount of the swaps, the intended effect of the swaps is to lock in a cost of financing. As of September 30, 2013, the swap portfolio had a weighted average pay rate of 2.06%, a weighted average receive rate of 0.21% and weighted average maturity of 5.17 years.

At September 30, 2013, the Company had entered into interest rate swaptions with a notional amount of $6.8 billion. Changes in the unrealized gains or losses on the interest rate swaptions are reflected in the Company’s consolidated statements of comprehensive income (loss). The interest rate swaptions provide the Company with the option to enter into an interest rate swap agreement for a specified notional amount, duration, and pay and receive rates. As of September 30, 2013, the swaption portfolio had a weighted average pay rate of 3.02% and weighted average maturity of 3.42 months.

The following table summarizes certain characteristics of the Company’s interest rate swaps at September 30, 2013:

The following table summarizes certain characteristics of the Company’s interest rate swaptions at September 30, 2013:

Key Metrics

The following table presents key metrics of the Company’s portfolio, liabilities and hedging positions, and performance as of and for the quarters ended September 30, 2013, June 30, 2013, and September 30, 2012:

The following table presents a reconciliation between GAAP net income and Core earnings for the quarters ended September 30, 2013, June 30, 2013, and September 30, 2012:

Dividend Declarations

Common dividends declared for the quarters ended September 30, 2013, June 30, 2013, and September 30, 2012 were $0.35, $0.40, and $0.50 per common share, respectively. The Company distributes dividends based on its current estimate of taxable earnings per common share, not GAAP net income. Taxable earnings and GAAP net income will typically differ due to items such as non-taxable unrealized and realized gains and losses, differences in premium amortization and discount accretion, and non-deductible general and administrative expenses. The annualized dividend yield on the Company’s common stock for the quarter ended September 30, 2013, based on the September 30, 2013 closing price of $11.58, was 12.09%, as compared to 12.73% for the quarter ended June 30, 2013, and 11.88% for the quarter ended September 30, 2012.

Other Information

Annaly’s principal business objective is to generate net income for distribution to its shareholders from its investments. Annaly is a Maryland corporation that has elected to be taxed as a real estate investment trust (“REIT”). Annaly is managed and advised by Annaly Management Company LLC.

The Company prepares a supplement to provide additional quarterly information for the benefit of its shareholders. The supplement can be found at the Company’s website in the Investor Relations section under “Quarterly Supplemental Information”.

Conference Call

The Company will hold the 2013 third quarter earnings conference call on November 7, 2013 at 10:00 a.m. EST. The number to call is 888-317-6003 for domestic calls and 412-317-6061 for international calls. The conference passcode is 1606800. The replay number is 877-344-7529 for domestic calls and 412-317-0088 for international calls and the conference passcode is 10035689. The replay is available for 48 hours after the earnings call. There will be a web cast of the call on www.annaly.com. If you would like to be added to the e-mail distribution list, please visit www.annaly.com, click on Investor Relations, then select Email Alerts and complete the email notification form.

This news release and our public documents to which we refer contain or incorporate by reference certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. 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,” “continue,” or similar terms or variations on those terms or the negative of those terms. Actual results could differ materially from those set forth in forward-looking statements due to a variety of factors, including, but not limited to, changes in interest rates, changes in the yield curve, changes in prepayment rates, the availability of mortgage-backed securities and other securities for purchase, the availability of financing and, if available, the terms of any financing, changes in the market value of our assets, changes in business conditions and the general economy, our ability to consummate any contemplated investment opportunities, our ability to integrate and grow the commercial mortgage business, changes in government regulations affecting our business, our ability to maintain our qualification as a REIT for federal income tax purposes, our ability to maintain our exemption from registration under the Investment Company Act of 1940, as amended, risks associated with the broker-dealer business of our subsidiary, and risks associated with the investment advisory business of our subsidiary, including the removal by clients of assets it manages, its regulatory requirements and competition in the investment advisory business. For a discussion of the risks and uncertainties which could cause actual results to differ from those contained in the forward-looking statements, see “Risk Factors” in our most recent Annual Report on Form 10-K and any subsequent Quarterly Reports on Form 10-Q. We do not undertake, and specifically disclaim any obligation, to publicly release the result of any revisions which may be made to any forward-looking statements to reflect the occurrence of anticipated or unanticipated events or circumstances after the date of such statements.

CONTACT:
Annaly Capital Management, Inc.
Investor Relations, 1-888-8Annaly
www.annaly.com