Bimini Mortgage Management Announces Second Private Placement of $50 Million of Trust Preferred Securities

Bimini Mortgage Management, Inc. (NYSE:BMM) today
announced that it has agreed to issue and sell in a private placement
$50.0 million of trust preferred securities through a newly formed
trust subsidiary, Bimini Capital Trust II, organized under Delaware
law. The trust preferred securities, which were priced at five year
swap rates +350 basis points, will require quarterly distributions and
will bear a fixed interest rate of 7.8575% through December, 2010 and
thereafter the interest rate will float at the prevailing three-month
LIBOR rate plus 3.50%. The securities are redeemable, in whole or in
part, without penalty, at the option of Bimini any time on or after
December, 2010. The securities will mature on December 15, 2035.
Bimini intends to use the net proceeds of this private placement to
help finance its recently announced merger with Opteum Financial
Services, LLC.
   Commenting on the issuance, Bimini Chairman, President and Chief
Executive Officer, Jeffrey J. Zimmer, stated, "The Board of Directors
of Bimini Mortgage Management, Inc. is very pleased to be able to
issue 30-year unsecured debt that will allow us to lend money to
Opteum following the merger on terms which are much better than
Opteum's current debt."
   Bimini Mortgage Management, Inc., a real estate investment trust,
invests primarily in residential mortgage-related securities issued by
the Federal National Mortgage Association (Fannie Mae), the Federal
Home Loan Mortgage Corporation (Freddie Mac) and the Government
National Mortgage Association (Ginnie Mae). It earns returns on the
spread between the yield on its assets and its costs, including the
interest expense on the funds it borrows.
   This news release contains forward-looking statements made
pursuant to the "safe harbor" provisions of the Private Securities
Litigation Reform Act of 1995. The reader is cautioned that such
forward-looking statements are based on information available at the
time and on management's good faith belief with respect to future
events, and are subject to risks and uncertainties that could cause
actual performance or results to differ materially from those
expressed in the statements. Important factors that could cause such
differences are described in the Company's periodic filings with the
Securities and Exchange Commission, including the Company's
Registration Statement on Form S-11. The Company assumes no obligation
to update forward-looking information to reflect subsequent results,
changes in assumptions or changes in other factors affecting
forward-looking information.