CORRECTING and REPLACING Capstead Mortgage Corporation Declares Dividends on Its Preferred Stocks

  CORRECTING and REPLACING Capstead Mortgage Corporation Declares Dividends on
  Its Preferred Stocks

CORRECTION...by Capstead Mortgage Corporation

Business Wire

DALLAS -- March 8, 2013

The record date of the March dividend should read March 18, 2013 (sted March
14, 2013).

The corrected release reads:

   CAPSTEAD MORTGAGE CORPORATION DECLARES DIVIDENDS ON ITS PREFERRED STOCKS

The Board of Directors of Capstead Mortgage Corporation (NYSE: CMO) announced
today that it will pay the regular quarterly dividend of $0.40 per share on
the $1.60 Cumulative Preferred Stock, Series A (NYSE: CMOPRA). The dividend is
payable on March 28, to stockholders of record as of March 18, 2013.

The Board of Directors also declared the regular monthly dividends of $0.105
per share for March, April and May on the $1.26 Cumulative Convertible
Preferred Stock, Series B (NYSE: CMOPRB). The March dividend is payable on
March 28, to stockholders of record as of March 18, 2013. The April dividend
is payable on April 30, to stockholders of record as of April 19, 2013. The
May dividend is payable on May 31, to stockholders of record as of May 16,
2013.

Effective December 31, 2012 each Series B Preferred share is convertible into
0.6407 shares of common stock. Effective January 1, 2013 each Series A
Preferred share is convertible into 1.6584 shares of common stock. Holders of
the Series A and B preferred shares may convert into shares of the Company's
common stock at any time; however, currently it is not economically
advantageous for the Series B stockholders to do so. Any conversion requested
after one or more preferred record dates within the quarter and on or before
the record date for the quarterly common stock dividend will require payment
to the Company of all preferred share dividends declared and paid for the
corresponding quarter.

Capstead Mortgage Corporation, formed in 1985 and based in Dallas, Texas, is a
self-managed real estate investment trust for federal income tax purposes.
Capstead earns income from investing in a leveraged portfolio of residential
mortgage pass-through securities consisting of adjustable-rate mortgage
(“ARM”) securities issued and guaranteed by government-sponsored enterprises,
either Fannie Mae or Freddie Mac, or by an agency of the federal government,
Ginnie Mae.

Contact:

Capstead Mortgage Corporation
Investor Relations:
Lindsey Crabbe, 214-874-2339