Anthracite Capital Expands Debt Origination Group.

NEW YORK -- Anthracite Capital, Inc. (NYSE:AHR) ("Anthracite" or the "Company) announced today that it has expanded its high yield real estate debt originations group with the hiring of Joham Tavera as a Director at BlackRock Financial Management, the Company's external manager. Mr. Tavera is located in BlackRock's San Francisco office where he focuses on originating Commercial real estate loans in the western half of the U.S. His mandate includes originating Whole Loans, B Notes, Mezzanine Debt and Preferred Equity. The eastern half of the U.S. is currently managed by Serge Kasarda, also a Director of BlackRock. Kasarda and Tavera report to Dan Sefcik, Managing Director of BlackRock, and Chief Investment Officer of Anthracite.

Anthracite also announced the recent hiring of Paul Horowitz, as a Vice President of BlackRock to support its loan closing and financing efforts. Mr. Horowitz will facilitate the increased volume of transactions, both in the U.S. and Europe, as well as the Company's expanding Collateralized Debt Obligation financing activity. He is located in BlackRock's New York office and reports to Rob Friedberg, a Director of BlackRock, and Vice President and Treasurer of Anthracite. To date, this group has closed over $3.3 billion of loans, $1.3 billion of committed financing facilities and seven real estate CDO's issuing over $1.6 billion of long-term debt, as part of BlackRock's overall High Yield Real Estate Debt business.

The BlackRock High Yield Real Estate Debt Group manages assets on behalf of Anthracite Capital, the Carbon Capital Funds and several separate accounts.

"The new additions to our team will further the growth in our loan origination platform while maintaining the Company's disciplined risk management approach," commented Chris Milner, Chief Executive Officer of Anthracite Capital and Head of Real Estate Debt at BlackRock.

BlackRock's real estate capabilities extend across the capital structure to include equity and debt products for commingled vehicles and separate accounts. As of March 31, 2006, BlackRock managed $10 billion in real estate debt and equity strategies. BlackRock's industry-leading real estate research is shared by its real estate debt and equity teams along with a proprietary network of technologies, including the industry's most advanced risk metrics and risk management tools, which are provided by BlackRock Solutions(R).

About Anthracite

Anthracite Capital, Inc. is a specialty finance company focused on investments in high yield commercial real estate loans and related securities. Anthracite is externally managed by BlackRock Financial Management, Inc., which is a subsidiary of BlackRock, Inc. ("BlackRock") (NYSE:BLK), one of the largest publicly traded investment management firms in the United States with approximately $463.1 billion in global assets under management as of March 31, 2006. BlackRock Realty Advisors, Inc., another subsidiary of BlackRock, provides real estate equity and other real estate-related products and services in a variety of strategies to meet the needs of institutional investors. BlackRock is a member of The PNC Financial Services Group, Inc. ("PNC") (NYSE:PNC), a diversified financial services organization. Through its affiliates, PNC originates commercial, multifamily and residential real estate loans, and services $163.1 billion in commercial mortgage loans for third parties through its Midland Loan Services, Inc. subsidiary as of March 31, 2006.

Forward-Looking Statements

This press release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act with respect to future financial or business performance, strategies or expectations. Forward-looking statements are typically identified by words or phrases such as "trend," "potential," "opportunity," "pipeline," "believe," "comfortable," "expect," "anticipate," "current," "intention," "estimate," "position," "assume," "outlook," "continue," "remain," "maintain," "sustain," "seek," "achieve," and similar expressions, or future or conditional verbs such as "will," "would," "should," "could," "may" or similar expressions. Anthracite cautions that forward-looking statements are subject to numerous assumptions, risks and uncertainties, which change over time. Forward-looking statements speak only as of the date they are made, and Anthracite assumes no duty to and does not undertake to update forward-looking statements. Actual results could differ materially from those anticipated in forward-looking statements and future results could differ materially from historical performance.

In addition to factors previously disclosed in Anthracite's Securities and Exchange Commission (the "SEC") reports and those identified elsewhere in this press release, the following factors, among others, could cause actual results to differ materially from forward-looking statements or historical performance: (1) the introduction, withdrawal, success and timing of business initiatives and strategies; (2) changes in political, economic or industry conditions, the interest rate environment or financial and capital markets, which could result in changes in the value of Anthracite's assets; (3) the relative and absolute investment performance and operations of Anthracite's manager; (4) the impact of increased competition; (5) the impact of capital improvement projects; (6) the impact of future acquisitions and divestitures; (7) the unfavorable resolution of legal proceedings; (8) the extent and timing of any share repurchases; (9) the impact, extent and timing of technological changes and the adequacy of intellectual property protection; (10) the impact of legislative and regulatory actions and reforms and regulatory, supervisory or enforcement actions of government agencies relating to Anthracite, BlackRock or PNC; (11) terrorist activities, which may adversely affect the general economy, real estate, financial and capital markets, specific industries, and Anthracite and BlackRock; (12) the ability of Anthracite's manager to attract and retain highly talented professionals; (13) fluctuations in foreign currency exchange rates; and (14) the impact of changes to tax legislation and, generally, the tax position of the Company.

Anthracite's Annual Report on Form 10-K for the year ended December 31, 2005 and Anthracite's subsequent reports filed with the SEC, accessible on the SEC's website at www.sec.gov, identify additional factors that can affect forward-looking statements.

To learn more about Anthracite, visit our website at www.anthracitecapital.com. The information contained on the Company's website is not a part of this press release.