First Trust/FIDAC Mortgage Income Fund Declares Monthly Distribution for May of $0.085 Per Share

Mon Apr 21, 5:44 PM

LISLE, Ill.--(BUSINESS WIRE)--First Trust/FIDAC Mortgage Income Fund (the "Fund") (NYSE: FMY) today declared the Fund’s regularly scheduled monthly distribution, payable on May 15, 2008 to shareholders of record as of May 5, 2008. The ex-dividend date is expected to be May 1, 2008. The monthly distribution information for the Fund appears below.

First Trust/FIDAC Mortgage Income Fund (FMY):

Distribution per share: $ .085
Distribution Rate based on the April 18, 2008 NAV of $19.04: 5.36 %
Distribution Rate based on the April 18, 2008 closing market price of $17.22: 5.92 %

The majority, and possibly all, of this distribution will be paid out of net investment income earned by the Fund. A portion of this distribution may come from net short-term realized capital gains or return of capital. The final determination of the source and tax status of all distributions paid in 2008 will be made after the end of 2008.

The Fund is a closed-end management investment company that seeks to provide a high level of current income. As a secondary objective, the Fund seeks to preserve capital. The Fund pursues these investment objectives by investing primarily in mortgage-backed securities representing part ownership in a pool of either residential or commercial mortgage loans that, in the opinion of the Fund’s sub-advisor, offer an attractive combination of credit quality, yield and maturity.

First Trust Advisors L.P., the Fund’s investment advisor, along with its affiliate First Trust Portfolios L.P., are privately-held companies which provide a variety of investment services, including asset management, financial advisory services, and municipal and corporate investment banking, with collective assets under management or supervision of over $32 billion as of March 31, 2008 through closed-end funds, unit investment trusts, mutual funds, separate managed accounts and exchange-traded funds.

Fixed Income Discount Advisory Company (“FIDAC”) is the Fund’s investment sub-advisor. FIDAC is a wholly owned subsidiary of Annaly Capital Management, Inc. (“Annaly”), a New York Stock Exchange-listed real estate investment trust. At December 31, 2007, FIDAC and its parent Annaly had approximately $69 billion of gross assets under management.

Past performance is no assurance of future results. Investment return and market value of an investment in the Fund will fluctuate. Shares, when sold, may be worth more or less than their original cost.

Principal Risk Factors: Investment in this Fund involves investment and market risk, management risk, credit risk, prepayment risk, reinvestment risk, interest rate risk, floating rate CMOs and inverse floating rate CMOs risk, bond market risk, economic sector risk, inflation risk, U.S. government securities risk, government agency risk, asset-backed securities risk, market discount risk, leverage risk, interest rate transactions risk, derivatives risk, market disruption risk, portfolio turnover risk, tax risk relating to investments in certain REMICs, and illiquid/restricted securities risk. Please see the Fund’s prospectus for additional information on the risks of investing in the Fund.

The Fund’s daily closing New York Stock Exchange price and net asset value per share as well as other information can be found at www.ftportfolios.com or by calling 1-800-988-5891.

First Trust/FIDAC Mortgage Income Fund
Press Inquiries Jane Doyle 630-241-8775
Analyst Inquiries Jeff Margolin 630-915-6784
Broker Inquiries Jeff Margolin 630-915-6784