GREENWICH, CT--(Marketwire - May 31, 2012) - Oxford Lane Capital Corp. (NASDAQ: [ OXLC ]) ("Company") announced today that its Board of Directors approved an amended and restated dividend reinvestment plan ("Amended Dividend Reinvestment Plan"), effective as of May 31, 2012. Pursuant to the Amended Dividend Reinvestment Plan, the number of shares to be issued to a stockholder thereunder in connection with any distribution will now be determined by dividing the total dollar amount of the distribution payable to such stockholder by an amount equal to ninety five (95%) percent of the market price per share of the Company's common stock at the close of regular trading on the Nasdaq Global Select Market on the valuation date fixed by the Company's Board of Directors for such distribution. Other than this discount on the dividend reinvestment, no other changes were made in the Amended Dividend Reinvestment Plan.

About Oxford Lane Capital Corp.

Oxford Lane Capital Corp. is a publicly-traded registered closed-end management investment company. It seeks to achieve its investment objective of maximizing total return by investing primarily in senior secured loans made to companies whose debt is unrated or is rated below investment grade, with an emphasis on current income. Those investments may take a variety of forms, including the direct purchases of such loans (either in the primary or secondary markets) or through investments in entities that in turn own a pool of such loans.

Forward-Looking Statements
This press release contains forward-looking statements subject to the inherent uncertainties in predicting future results and conditions, including statements with regard to the anticipated use of the net proceeds of the Company's securities offering. Any statements that are not statements of historical fact (including statements containing the words "believes," "plans," "anticipates," "expects," "estimates" and similar expressions) should also be considered to be forward-looking statements. Certain factors could cause actual results and conditions to differ materially from those projected in these forward-looking statements. These factors are identified from time to time in our filings with the Securities and Exchange Commission. We undertake no obligation to update such statements to reflect subsequent events.