Orchid Island Capital 8K Other Events | ORC 10 Feb 15

EXHIBIT 99.1

ORCHID ISLAND CAPITAL ANNOUNCES

FEBRUARY 2015 MONTHLY DIVIDEND AND

JANUARY 30, 2015 RMBS PORTFOLIO CHARACTERISTICS

·	February 2015 Monthly Dividend of $0.18 Per Share

·	RMBS Portfolio Characteristics as of January 30, 2015

Vero Beach, Fla., February 10, 2015 - Orchid Island Capital, Inc. (the “Company”) (NYSE:ORC) announced that today the Board of Directors declared a monthly cash dividend for the month of February 2015. The dividend of $0.18 per share will be paid February 27, 2015, to holders of record on February 25, 2015, with an ex-dividend date of February 23, 2015.

The Company intends to make regular monthly cash distributions to its stockholders. In order to qualify as a real estate investment trust (“REIT”) the Company must distribute annually to its stockholders an amount at least equal to 90% of its REIT taxable income, determined without regard to the deduction for dividends paid and excluding any net capital gain. The Company will be subject to income tax on taxable income that is not distributed and to an excise tax to the extent that certain percentages of its taxable income is not distributed by specified dates. The Company has not established a minimum distribution payment level and is not assured of its ability to make distributions to stockholders in the future.

As of February 10, 2015, the Company had 16,727,811 shares outstanding. At December 31, 2014, the Company had 16,702,604 shares outstanding.

RMBS Portfolio Characteristics

Details of the RMBS portfolio as of January 30, 2015 are presented below. These figures are preliminary and subject to change. The information contained herein is an intra-quarter update created by the Company based upon information that the Company believes is accurate:

·	RMBS Valuation Characteristics

·	RMBS Assets by Agency

·	Investment Company Act of 1940 (Whole Pool) Test Results

·	Repurchase Agreement Exposure by Counterparty

·	RMBS Risk Measures

About Orchid Island Capital, Inc.

Orchid Island Capital, Inc. is a specialty finance company that invests in Agency RMBS that are either traditional pass-through Agency RMBS or structured Agency RMBS. Orchid Island Capital, Inc. has elected to be taxed as a real estate investment trust for federal income tax purposes.

Forward Looking Statements

This press release contains forward looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and other federal securities laws. These forward looking statements are based upon Orchid Island Capital, Inc.’s present expectations, but these statements are not guaranteed to occur. Investors should not place undue reliance upon forward looking statements. For further discussion of the factors that could affect outcomes, please refer to the “Risk Factors” section of the Company’s Form 10-K for the year ended December 31, 2013.

RMBS Valuation Characteristics
($ in thousands)
							Percentage			Weighted			Realized
	Current		Fair		Current		of			Average			Jan 2015 CPR
Asset Category	Face		Value		Price		Portfolio			Coupon			(Reported in Feb)
As of January 30, 2015
Adjustable Rate RMBS	$	3,524	$	3,776		107.15		0.24	%		3.55	%		0.00	%
10-1 Hybrid Rate RMBS		68,634		70,604		102.87		4.53	%		2.54	%		11.15	%
Hybrid Adjustable Rate RMBS		68,634		70,604		102.87		4.53	%		2.54	%		11.15	%
15 Year Fixed Rate RMBS		77,770		83,529		107.41		5.35	%		3.40	%		5.27	%
20 Year Fixed Rate RMBS		284,556		307,037		107.90		19.67	%		4.00	%		11.60	%
30 Year Fixed Rate RMBS		941,516		1,032,552		109.67		66.17	%		4.56	%		4.07	%
Total Fixed Rate RMBS		1,303,842		1,423,118		109.15		91.19	%		4.37	%		5.81	%
Total Pass-through RMBS		1,376,000		1,497,498		108.83		95.96	%		4.28	%		6.07	%
Interest-Only Securities		415,187		48,664		11.72		3.12	%		3.78	%		12.54	%
Inverse Interest-Only Securities		101,063		14,445		14.29		0.92	%		6.20	%		12.55	%
Structured RMBS		516,250		63,109		12.22		4.04	%		4.34	%		12.54	%
Total Mortgage Assets	$	1,892,250	$	1,560,607				100.00	%		4.28	%		7.67	%

RMBS Assets by Agency						Investment Company Act of 1940 (Whole Pool) Test
($ in thousands)						($ in thousands)
			Percentage						Percentage
	Fair		of				Fair		of
Asset Category	Value		Portfolio			Asset Category	Value		Portfolio
As of January 30, 2015						As of January 30, 2015
Fannie Mae	$	1,256,874		80.5	%	Whole Pool Assets	$	1,226,028		78.6	%
Freddie Mac		295,695		19.0	%	Non Whole Pool Assets		334,579		21.4	%
Ginnie Mae		8,038		0.5	%	Total Mortgage Assets	$	1,560,607		100.0	%
Total Mortgage Assets	$	1,560,607		100.0	%

Repurchase Agreement Exposure By Counterparty
($ in thousands)
						Weighted
			% of			Average
	Total		Total			Maturity		Longest
As of January 30, 2015	Borrowings		Debt			in Days		Maturity
J.P. Morgan Securities LLC	$	200,255		13.9	%		15	3/10/2015
Citigroup Global Markets Inc		185,800		12.9	%		15	4/27/2015
CRT Capital Group, LLC		141,627		9.8	%		34	3/12/2015
Goldman, Sachs & Co		125,159		8.7	%		30	3/11/2015
Mitsubishi UFJ Securities (USA), Inc		120,959		8.4	%		18	3/9/2015
ICBC Financial Services LLC		113,198		7.9	%		18	3/23/2015
KGS-Alpha Capital Markets, L.P		108,594		7.5	%		15	4/6/2015
Cantor Fitzgerald & Co		76,524		5.3	%		13	2/18/2015
ED&F Man Capital Markets Inc		74,705		5.2	%		36	3/23/2015
Morgan Stanley & Co		60,344		4.2	%		18	2/17/2015
Mizuho Securities USA, Inc		55,206		3.8	%		10	2/26/2015
Daiwa Securities America Inc.		50,135		3.5	%		10	2/11/2015
Guggenheim Securities, LLC		49,601		3.4	%		21	2/23/2015
South Street Securities, LLC		37,805		2.6	%		18	2/25/2015
Nomura Securities International, Inc.		16,716		1.2	%		19	2/23/2015
Suntrust Robinson Humphrey, Inc		4,503		0.3	%		14	2/13/2015
Barclays Capital, Inc		-		-			-	-
Other		20,676		1.4	%		20	2/19/2015
Total Borrowings	$	1,441,807		100.0	%		20	4/27/2015

RMBS Risk Measures
($ in thousands)
Mortgage Assets
			Weighted
			Average		Weighted			Weighted			Modeled			Modeled
			Months		Average			Average			Interest			Interest
			To Next		Lifetime			Periodic			Rate			Rate
	Fair		Coupon Reset		Cap			Cap Per Year			Sensitivity			Sensitivity
Asset Category	Value		(if applicable)		(if applicable)			(if applicable)			(-50 BPS)(1)			(+50 BPS)(1)
As of January 30, 2015
Adjustable Rate RMBS	$	3,776		3		10.05	%		2.00	%	$	15		$	(19	)
Hybrid Adjustable Rate RMBS		70,604		97		7.53	%		2.00	%		1,055			(1,427	)
Total Fixed Rate RMBS		1,423,118		n/a		n/a			n/a			15,485			(22,416	)
Total Pass-through RMBS		1,497,498		n/a		n/a			n/a			16,555			(23,862	)
Interest-Only Securities		48,664		n/a		n/a			n/a			(9,585	)		9,567
Inverse Interest-Only Securities		14,445		1		6.37	%		n/a			(1,136	)		571
Structured RMBS		63,109		n/a		n/a			n/a			(10,721	)		10,138
Total Mortgage Assets	$	1,560,607		n/a		n/a			n/a		$	5,834		$	(13,724	)
Funding Hedges
											Modeled			Modeled
											Interest			Interest
					Average			Hedge			Rate			Rate
					Notional			Period			Sensitivity			Sensitivity
					Balance			End Date			(-50 BPS)(1)			(+50 BPS)(1)
Eurodollar Futures Contracts - Short Positions					$	780,000		Dec-2018			$	(13,256	)	$	14,625
Payer Swaption						375,000		Sep-2025				(210	)		853
Grand Total											$	(7,632	)	$	1,754

(1)	Modeled results from Citigroup Global Markets, Inc. Yield Book. Interest rate shocks assume instantaneous parallel shifts and horizon prices are calculated assuming constant LIBOR OAS. These results are for illustrative purposes only and actual results may differ materially.

Contact:

Orchid Island Capital, Inc.

Robert E. Cauley

3305 Flamingo Drive, Vero Beach, Florida 32963

Telephone: (772) 231-1400

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