INVESTOR ALERT: KGS Announces Its Filing of Securities Fraud Class Action Lawsuit Against Municipal Mortgage & Equity, LLC -- MMAB.PK

NEW ORLEANS, LA--(Marketwire - February 11, 2008) - Kahn Gauthier Swick, LLC ("KGS") has filed a class action lawsuit against Municipal Mortgage & Equity, LLC ("MMA" or the "Company") (PINKSHEETS: MMAB) (formerly NYSE: MMA) in the United States District Court for the District of Maryland, on behalf of shareholders who purchased the common stock of the Company between May 3, 2004 and January 29, 2008, inclusive (the "Class Period"). No class has yet been certified in this action.

UNLESS A CLASS IS CERTIFIED, YOU ARE NOT PERSONALLY REPRESENTED BY COUNSEL UNLESS YOU RETAIN AN ATTORNEY.

If you would like to discuss your legal rights, you may e-mail or call KGS Managing Partner Lewis Kahn, without obligation or cost to you, toll free 1-866-467-1400, ext. 100, via cell phone after hours at 504-301-7900, or by email at lewis.kahn@kgscounsel.com.

MMA and certain of the Company's officers and directors are charged with making a series of materially false and misleading statements related to the Company's business and operations in violation of the Securities Exchange Act of 1934 (the "Exchange Act").

MMA provides debt and equity financing to developers of multifamily and commercial properties in the United States. The complaint alleges that the Company, and certain of its officers and/or directors, failed to disclose and misrepresented material adverse facts known to defendants, or recklessly disregarded by them, pertaining to MMA's business prospects, financial condition and financial performance. Specifically, the complaint alleges that during the Class Period the Company and the other defendants misled investors concerning the adequacy of the Company's internal controls and the value and performance of its tax-exempt bond portfolio. The Complaint alleges that defendants failed to disclose and misrepresented the true financial condition and operations of the Company.

On January 28, 2008, MMA announced a reduction in its dividend and a delay in the filing of its restated financials. The following day, MMA disclosed that the foregoing restatement would have a significant effect on the Company's ongoing business -- causing shares of MMA to close at $9.19 per share, down almost 50% from the prior day's close.

If you wish to serve as lead plaintiff in this class action lawsuit, you must move the Court no later than March 31, 2008. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. If you would like to discuss your legal rights, you may e-mail or call KGS Managing Partner Lewis Kahn, without obligation or cost to you, toll free 1-866-467-1400, ext. 100, after hours via cell phone 504-301-7900, or by email at lewis.kahn@kgscounsel.com. To learn more about KGS, you may visit www.kgscounsel.com. KGS focuses its practice on securities litigation, and has been appointed lead counsel in numerous federal securities cases.

SPECIAL NOTICE: While federal law does not prohibit other lawyers from "announcing" the filing of this class action through the issuance of other press releases, KGS is one of the law firms that researched, investigated, drafted and filed the securities fraud case against MMA. If you are an MMA shareholder who decides to contact one of these lawyers, KGS reminds you to interview any such lawyer to assure that he or she understands the facts surrounding the substantive claims alleged in the complaint KGS has filed with the Court. Factors bearing on a law firm's ability to successfully prosecute this action and obtain a recovery for you include its lawyers' knowledge of applicable federal securities laws, the resources it will dedicate to prosecution of the case (including the number of lawyers the firm has available to prosecute this action) and the quality of the firm's work.

Contact Information: Contact: Lewis Kahn Kahn Gauthier Swick, LLC 1-866-467-1400, ext. 100 Lewis.kahn@kgscounsel.com