DWS Strategic Municipal Income Trust (KSM) Declares a Monthly Distribution.

NEW YORK -- DWS Strategic Municipal Income Trust (NYSE symbol: KSM) declared a monthly dividend of $0.055 per common share, payable on November 30, 2006 to shareholders of record on November 20, 2006. The Ex-date is November 16, 2006. The previous monthly dividend was $0.055 per share. The Fund's initial offering was April 21, 1988.

The current distribution rate represents a 5.35% annualized dividend yield based on the closing market price of $12.34 on November 8, 2006 and a 5.31% annualized dividend yield on a closing NAV of $12.44 on the same date.

The two dividend reductions for the fund over the current fiscal year primarily reflect increased borrowing cost related to the fund's preferred shares. The current level of accumulated undistributed income for the fund as of October 31, 2006 was approximately $325,045 and as of its prior fiscal year end of November 30, 2005 was $980,732. The disclosed undistributed net investment income from October 31, 2006 is unaudited. Future earnings of the fund can not be guaranteed and the fund's dividend policy is subject to change. For more information on KSM please contact a representative at [phone] or visit us on the web at www.cef.dws-scudder.com for updated information on the Fund.

Past performance is no guarantee of future results.

Annualized dividend yield is the latest monthly dividend shown as an annualized percentage of net asset value/market price at month end. Annualized dividend yield simply measures the level of dividends and is not a complete measure of performance. Market price, annualized dividend yield, net asset value are historical and will fluctuate and do not guarantee future results.

DWS Strategic Municipal Income Trust seeks a high level of current income exempt from federal income tax by investing in a diversified portfolio of investment-grade tax-exempt securities. The fund will invest at least 50 percent of its assets in investment-grade municipal securities or unrated municipal securities of comparable quality, and may invest up to 50 percent of its assets in high-yield municipal securities that are below investment grade.

The fund invests in individual bonds whose yields and market values fluctuate, so that your investment may be worth more or less than its original cost. Additionally, although the fund seeks income that is federally tax-free, a portion of the fund's distributions may be subject to federal, state, local and alternative minimum tax. Bond investments are subject to interest-rate risk such that when interest rates rise, the prices of the bonds, and thus the value of the bond fund, can decline and the investor can lose principal value

Investments in closed-end funds involve risk. Closed-end funds, unlike open-end funds, are not continuously offered. There is a one-time public offering, and once issued, shares of closed-end funds are sold in the open market through a stock exchange. Shares of closed-end funds frequently trade at a discount to net asset value. The price of the Fund's shares is determined by a number of factors, several of which are beyond the control of the Fund. Therefore, the Fund cannot predict whether its shares will trade at, below or above net asset value.

This announcement is not an offer to purchase or the solicitation of an offer to sell shares of the Fund or a prospectus, circular or representation intended for use in the purchase or sale of Fund shares.

Not FDIC Insured. Not Guaranteed. May Lose Value.

DWS Scudder is part of Deutsche Asset Management, which is the marketing name in the US for the asset management activities of Deutsche Bank AG, Deutsche Bank Trust Company Americas, Deutsche Asset Management Inc., Deutsche Investment Management Americas Inc. and DWS Trust Company. Copyright [c] 2006 DWS Scudder Distributors, Inc.

(MARS 27477 11/06)