(NYSE:KED) Kayne Anderson Energy Development Company (the “Company” or “KED”) announced today that it renewed its secured revolving credit facility (the “Credit Facility”) and increased the total commitment amount from $95 million to $120 million by adding three new lenders to the syndicate. The new Credit Facility has a three-year commitment, maturing on January 28, 2017, and outstanding loan balances accrue interest daily at a rate equal to LIBOR plus 1.60% (previously LIBOR plus 2.00%), based on the current borrowings and the current borrowing base. If borrowings exceed the borrowing base attributable to “quoted” securities (generally defined as equity investments in public MLPs and investments in bank debt and high yield bonds which are traded), the interest rate will increase to LIBOR plus 3.00%. The Company pays a commitment fee of 0.30% (previously 0.50%) on any unused amounts of the Credit Facility. The maximum amount that the Company can borrow under the Credit Facility is limited to the lesser of its commitment amount of $120 million and its borrowing base. The Company’s borrowing base, subject to certain limitations, is generally calculated by multiplying the fair value of each of the Company’s investments by an advance rate. The total contribution to the Company’s borrowing base from private MLPs is limited to no more than 25% of the total borrowing base, and there is a $12 million limit on the borrowing base contribution from any single issuer. As of January 28, 2014, the Company had $84 million in borrowings outstanding under the Credit Facility. As of this same date, the Company’s borrowings represented 40.9% of its borrowing base of $205.5 million (41.0% of its borrowing base of $204.9 million attributable to quoted securities). A copy of the amended credit agreement is available on the Company’s website at www.kaynefunds.com/ked/other-material-documents. The Company is a non-diversified, closed-end investment company registered under the Investment Company Act of 1940. The Company's investment objective is to generate both current income and capital appreciation primarily through equity and debt investments. The Company will seek to achieve this objective by investing at least 80% of its net assets together with the proceeds of any borrowings (its "total assets") in securities of companies that derive the majority of their revenue from activities in the energy industry, including: (a) Midstream Energy Companies, which are businesses that operate assets used to gather, transport, process, treat, terminal and store natural gas, natural gas liquids, propane, crude oil or refined petroleum products; (b) Upstream Energy Companies, which are businesses engaged in the exploration, extraction and production of natural resources, including natural gas, natural gas liquids and crude oil, from onshore and offshore geological reservoirs; and (c) Other Energy Companies, which are businesses engaged in owning, leasing, managing, producing, processing and sale of coal and coal reserves; the marine transportation of crude oil, refined petroleum products, liquefied natural gas, as well as other energy-related natural resources using tank vessels and bulk carriers; and refining, marketing and distributing refined energy products, such as motor gasoline and propane to retail customers and industrial end-users. CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS: This press release contains "forward-looking statements" as defined under the U.S. federal securities laws. Generally, the words "believe," "expect," "intend," "estimate," "anticipate," "project," "will" and similar expressions identify forward-looking statements, which generally are not historical in nature. Forward-looking statements are subject to certain risks and uncertainties that could cause actual results to materially differ from the Company's historical experience and its present expectations or projections indicated in any forward-looking statement. These risks include, but are not limited to, changes in economic and political conditions; regulatory and legal changes; energy industry risk; commodity pricing risk; leverage risk; valuation risk; non-diversification risk; interest rate risk; tax risk; and other risks discussed in the Company's filings with the SEC. You should not place undue reliance on forward-looking statements, which speak only as of the date they are made. The Company undertakes no obligation to publicly update or revise any forward-looking statements made herein. There is no assurance that the Company's investment objectives will be attained.