The Phoenix Companies, Inc. Update on Status of TARP Application

The Phoenix Companies, Inc. (NYSE:PNX) today announced an update to the status of its application to the U.S. Treasury Department’s Troubled Assets Relief Program ("TARP”).

In conjunction with its application, Phoenix had previously been approved as a savings and loan holding company and had entered into an agreement to acquire American Sterling Bank, a federal stock form savings bank headquartered in Sugar Creek, Missouri, from American Sterling Corporation, a California corporation and the sole stockholder of American Sterling Bank. Phoenix’s acquisition of American Sterling Bank had been conditioned upon, among other things, receipt of proceeds under TARP in an amount and on terms acceptable to Phoenix.

Phoenix was informed that on April 17, 2009, the Federal Deposit Insurance Corporation ("FDIC”) was appointed as a receiver of American Sterling Bank and that Metcalf Bank of Lee's Summit, Missouri, would assume the bank's deposits and buy its assets from the FDIC in connection with the receivership. The appointment of the FDIC as receiver effectively terminates the acquisition agreement between Phoenix and American Sterling Corporation. Due to the appointment of the FDIC as receiver, American Sterling Corporation would not be able to satisfy certain of its closing conditions under the acquisition agreement.

In light of these developments, Phoenix intends to withdraw its application to participate in TARP. Phoenix had pursued TARP for potential additional financial flexibility in this difficult market environment but remains well capitalized.

ABOUT PHOENIX

With a history dating to 1851, The Phoenix Companies, Inc. (NYSE:PNX) helps its customers find straightforward solutions to often highly complex personal financial and business planning needs through life insurance and annuities. Phoenix’s products are available through a wide variety of third-party financial professionals and intermediaries, supported by the company’s wholesalers and financial planning specialists. In 2008, Phoenix had annual revenues of $2.0 billion and total assets of $25.8 billion. For more information, visit www.phoenixwm.com.

FORWARD-LOOKING STATEMENTS

This press release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 which, by their nature, are subject to risks and uncertainties. We intend for these forward-looking statements to be covered by the safe harbor provisions of the federal securities laws relating to forward-looking statements. These include statements relating to trends in, or representing management's beliefs about, our future transactions, strategies, operations and financial results, as well as other statements including words such as "anticipate," "believe," "plan," "estimate," "expect," "intend," "may," "should" and other similar expressions. Forward-looking statements are made based upon our current expectations and beliefs concerning trends and future developments and their potential effects on the company. They are not guarantees of future performance. Actual results may differ materially from those suggested by forward-looking statements as a result of risks and uncertainties, which include, among others, the risks and uncertainties described herein or in any of our filings with the SEC. We undertake no obligation to update or revise publicly any forward-looking statement, whether as a result of new information, future events or otherwise.