FOR IMMEDIATE RELEASE:
November 9, 2006

Contact
Bowen Diehl, Principal (214) 273-6630
Douglas Kelley, Vice President (214) 273-6630
Brian Maney, Director, Corporate Communications (301) 951-6122

AMERICAN CAPITAL INVESTS IN SUPPORT OF THE ACQUISITION OF CREDITCARDS.COM

Bethesda, MD - November 9, 2006 - American Capital Strategies Ltd. (Nasdaq:ACAS) announced today it has invested in support of the acquisition of CreditCards.com.  CreditCards.com is an Internet lead generation and marketing organization that operates a top-ranked website where consumers can search for, compare and apply for credit cards.  American Capital’s one stop debt financing solution takes the form of a senior term A unirate loan and convertible preferred equity and supports Austin Ventures’ buyout of CreditCards.com.  American Capital is also providing a revolving credit facility.  Austin Ventures, new CreditCards.com CEO Elisabeth DeMarse and existing shareholders are investing in the equity.

“We are delighted to be providing a one stop debt financing solution to support Austin Ventures’ buyout of CreditCards.com,” said American Capital Regional Managing Director Darin Winn.  “Our investment represents another new sponsor relationship for American Capital and supports an industry leading company and a management team with an outstanding history in operating successful companies.  Austin Ventures brings industry expertise and a track record of recruiting strong management teams to lead its growth equity buyouts and execute its growth strategies.  We are delighted to be working with them for the first time.”

American Capital and its funds under management have invested $6.1 billion in the last twelve months, $5.3 billion year to date and $784 million quarter to date.  Not including its funds under management, American Capital has invested $4.7 billion in the last twelve months, $4 billion year to date and $498 million quarter to date.  For more information about American Capital’s portfolio, click here.

“CreditCards.com is the number one independent online supplier of new account leads to the major credit card issuers,” said American Capital Principal Bowen Diehl.  “As major financial institutions increasingly use the Internet as a cost effective medium to acquire new customers, the Company provides its large credit card issuer customers with high website traffic, strong conversion rates, a focus on customer service and a flawless compliance record.”

“CreditCards.com has grown rapidly due to its simple and relevant domain name and consistent ability to generate natural and paid search traffic,” said American Capital Vice President Douglas Kelley.  “The Company’s new management team, led by former Bankrate CEO Elisabeth DeMarse, has planned a number of initiatives to further strengthen CreditCards.com’s leading industry position.”  

Founded in 2003, CreditCards.com is an Internet lead generation and marketing organization that operates the premier website where consumers can search for, compare and apply for credit cards.  After comparing offers at CreditCards.com, visitors wishing to submit applications are redirected to card issuers’ websites.  CreditCards.com serves most of the major credit card issuers in the U.S., including Citibank, Chase, Discover, American Express and HSBC/Orchard.  The Company is headquartered in Austin, TX.

“It is a pleasure to be working with our new partner American Capital,” said Austin Ventures Partner, Phil Siegel.  “They demonstrated the ability to quickly gain an extensive understanding of the Company’s business, provide flexible, cost effective capital, and conduct thorough diligence in a compressed timeframe.  The relationship with American Capital will allow us to leverage our capital base and support CreditCards.com and its excellent management team.”

ABOUT AMERICAN CAPITAL

American Capital is a publicly traded buyout and mezzanine fund with $11.5 billion in capital resources under management. American Capital invests in and sponsors management and employee buyouts, invests in private equity buyouts, provides capital directly to early stage and mature private and small public companies and through its asset management business is a manager of debt and equity investments in private companies. American Capital provides senior debt, mezzanine debt and equity to fund growth, acquisitions, recapitalizations and securitizations. American Capital invests from $5 million to to $500 million per company.

As of October 31, 2006, American Capital shareholders have enjoyed a total return of 556% since the Company's IPO - an annualized return of 23%, assuming reinvestment of dividends. American Capital has paid a total of $1.3 billion in dividends and paid or declared $22.44 dividends per share since its August 1997 IPO at $15 per share.

Companies interested in learning more about American Capital's flexible financing should contact Mark Opel, Senior Vice President, Business Development, at (800) 248-9340, or visit www.AmericanCapital.com.

Performance data quoted above represents past performance of American Capital. Past performance does not guarantee future results and the investment return and principal value of an investment in American Capital will likely fluctuate. Consequently, an investor's shares, when sold, may be worth more or less than their original cost. Additionally, American Capital's current performance may be lower or higher than the performance data quoted above.

This press release contains forward-looking statements. The statements regarding expected results of American Capital Strategies are subject to various factors and uncertainties, including the uncertainties associated with the timing of transaction closings, changes in interest rates, availability of transactions, changes in regional, national or international economic conditions, or changes in the conditions of the industries in which American Capital has made investments.

This announcement is neither an offer to sell nor a solicitation to buy securities.
This announcement appears as a matter of record only.