American Strategic Income Portfolio Inc. - II ("BSP"), American Strategic Income Portfolio Inc. - III ("CSP") and American Select Portfolio Inc. ("SLA") announced today that they have entered into loan agreement extensions with Massachusetts Mutual Life Insurance Company ("MMLIC") under which MMLIC has made term loans of $16,250,000, $22,750,000 and $9,750,000, respectively, and has agreed to make revolving loans of up to $8,750,000, $12,250,000 and $5,250,000, respectively, to BSP, CSP and SLA. The term loans will mature on July 31, 2013 ("Maturity Date") and may be repaid prior to the Maturity Date subject to the payment of any applicable breakage fees and to prepayment fees of 2% of the outstanding loan amount through July 31, 2012, 1% between August 1, 2012 and April 30, 2013, and no prepayment penalty from May 1, 2013 through the Maturity Date. Once a fund's term loan is repaid, the principal amount of the term loan may not be re-advanced to the fund. The revolving loans may be repaid and re-advanced from time to time prior to the Maturity Date without the payment of any penalties, other than any applicable breakage fees. The term loans and revolving loans bear interest at the one-month London Interbank Offered Rate ("LIBOR") plus 2.50%, subject to a minimum interest rate of 4.25% per year. (Loans under the funds' expiring loan agreements with MMLIC bore interest at one-month LIBOR plus 2.625%, subject to a minimum interest rate of 5%). Loans made under the new loan agreement extensions are secured by mortgage loans held in the funds' investment portfolios and may be secured by other assets. The former loans made by MMLIC to American Strategic Income Portfolio Inc. ("ASP") have been fully paid off.

In addition ASP, BSP, CSP and SLA each added a new credit facility with Bank of America, N.A., London Branch ("BofA") on July 18, 2011. Under the new agreements BofA has agreed to lend up to $7,000,000, $16,000,000, $20,000,000 and $15,000,000, respectively to ASP, BSP, CSP and SLA. Each credit facility has an initial term of 180 days and will continue on a rolling basis unless terminated in writing by BofA upon 180 days notice. The funds may borrow and reborrow under the credit facilities without the payment of any penalties. Advances made under the credit facilities bear interest at one-month LIBOR plus 0.90% and are secured by the funds' holdings in REIT preferred stock.

The funds' use of borrowings to purchase investment assets involves the risk that interest costs on money borrowed will exceed the return on assets purchased with that borrowed money, which would result in a lower rate of return to shareholders.

Investment products, including shares of closed-end funds, are not obligations of, or guaranteed by, any bank, including U.S. Bank or any U.S. Bancorp affiliate, nor are they insured by the Federal Deposit Insurance Corporation, the Federal Reserve Board, or any other agency. An investment in such products involves investment risk, including possible loss of principal.

Minneapolis-based U.S. Bancorp Asset Management, Inc. serves as investment advisor to the First American Closed-end Funds. A subsidiary of U.S. Bank National Association, U.S. Bancorp Asset Management focuses on providing investment management services to institutional clients, including corporations, public entities and nonprofits. It has combined assets under management of more than $54 billion as of June 30, 2011. First American Closed-end Funds are subadvised by Nuveen Fund Advisors, Inc. and Nuveen Asset Management, LLC.

U.S. Bank National Association is a separate entity and wholly owned subsidiary of U.S. Bancorp. U.S. Bank National Association is the fifth-largest commercial bank in the United States, and provides a comprehensive line of banking, brokerage, insurance, investment, mortgage, trust and payment services products to consumers, businesses and institutions. U.S. Bancorp and its employees are dedicated to improving the communities they serve, for which the company earned the 2011 Spirit of America Award, the highest honor bestowed on a company by United Way. Visit U.S. Bancorp on the web at www.usbank.com.

U.S. Bancorp Asset Management, Inc.
Investor Services, 800-677-FUND