Corporate Governance

A message from our Chairman:

A bedrock principle of our company is transparency, from our asset selection to our financial statements: We own only the highest quality and most liquid securities. We do not buy exotic or esoteric mortgage securities. Our assets are marked to market every day. Our cost structure has no performance fees and is the lowest in the business. In our conference calls, public releases and commentaries on our website, we say what we think. I believe that this emphasis on transparency in all we do is a primary reason for our superior performance and our success in accessing the capital markets.

I like to think that our transparency is also how we have earned the trust of our investors. As Annaly's senior manager, I am the caretaker of that trust, responsible for all of the company's activities. To that end, please review the attached charters and guidelines. They govern our company, our Board, our Board committees and our employees to help keep Annaly accountable to its shareholders.

Sincerely,

Michael A.J. Farrell

Chairman, Chief Executive Officer and President

Code of Business Conduct and Ethics

Corporate Governance Guidelines

Audit Committee Charter

Compensation Committee Charter

Nominating/Corporate Governance Committee Charter

Board Composition