DEFA14A

                       SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                            SCHEDULE 14A INFORMATION
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                              Exchange Act of 1934

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                               DYNEX CAPITAL, INC.
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                (Name of Registrant as Specified in Its Charter)

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    (Name of Person(s) Filing Proxy Statement, if other than the Registrant)

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EX-99

                                  PRESS RELEASE


FOR IMMEDIATE RELEASE                               CONTACT:  Investor Relations
April 15, 2004                                                      804-217-5897

                               DYNEX CAPITAL, INC.
                       TO HOLD CONFERENCE CALL TO DISCUSS
                          RECAPITALIZATION TRANSACTION


     Dynex  Capital,  Inc.  (NYSE:  DX) announced  today that it has scheduled a
conference call for its shareholders to explain and answer  questions  regarding
the Company's recently commenced  recapitalization  transaction.  The conference
call will be held on Monday,  April 19,  2004 at 12:00 noon  Eastern,  9:00 a.m.
Pacific. Shareholders can listen in on the call by dialing (888) 939-6306.

         Dynex Capital has filed proxy  statements  and Schedule TO with the SEC
with respect to the recapitalization plan. Solicitation of proxies is being made
pursuant to  definitive  proxy  statements  that are filed with the SEC and have
been mailed to  shareholders,  and the proxies  relate to meetings to be held at
2:00 PM Eastern on Thursday,  April 29, 2004.  In  addition,  Dynex  Capital has
commenced an offer to exchange senior notes for preferred stock, and accordingly
has filed with the SEC an amended Schedule TO and related exhibits, including an
offering circular,  letters of transmittal and other related documents that have
been mailed to holders of the Series A, Series B and Series C Preferred Stock.

         DYNEX  CAPITAL  URGES  SHAREHOLDERS  TO REVIEW THE  OFFERING  CIRCULAR,
SCHEDULE TO, PROXY  STATEMENTS  AND OTHER RELATED  DOCUMENTS  FILED WITH THE SEC
BECAUSE  THEY  CONTAIN  IMPORTANT  INFORMATION  RELATED TO THE  RECAPITALIZATION
TRANSACTION,  INCLUDING THE EXCHANGE  OFFER AND THE SERIES D  CONVERSION.  THESE
DOCUMENTS ARE AVAILABLE  WITHOUT CHARGE ON THE SEC'S WEBSITE AT  WWW.SEC.GOV.  A
FREE COPY OF THESE  DOCUMENTS  MAY ALSO BE  OBTAINED  FROM DYNEX  CAPITAL OR ITS
INFORMATION AGENT. SHAREHOLDERS SHOULD READ THE OFFERING CIRCULAR,  SCHEDULE TO,
PROXY STATEMENT AND RELATED INFORMATION  CAREFULLY BEFORE MAKING ANY DECISION ON
HOW TO VOTE AT THE  SPECIAL  MEETINGS OR WHETHER TO TENDER  THEIR  SHARES IN THE
EXCHANGE OFFER.

     Dynex  Capital,  Inc. is a  financial  services  company  that elects to be
treated  as a real  estate  investment  trust  (REIT)  for  federal  income  tax
purposes.  Additional  information  about Dynex  Capital,  Inc. is  available at
www.dynexcapital.com.

Note: This document contains "forward-looking  statements" within the meaning of
the Private  Securities  Litigation Act of 1995. The words "believe,"  "expect,"
"forecast," "anticipate," "estimate," "project," "plan," and similar expressions
identify  forward-looking  statements  that are inherently  subject to risks and
uncertainties,  some of which cannot be predicted or  quantified.  The Company's
actual results and timing of certain events could differ  materially  from those
projected in or  contemplated by the  forward-looking  statements as a result of
unforeseen external factors.  These factors may include, but are not limited to,
changes in general  economic and market  conditions,  disruptions in the capital
markets,  fluctuations  in  interest  rates,  the  completion  of  the  proposed
recapitalization plan, defaults by borrowers, defaults by third-party servicers,
the  accuracy of  subjective  estimates  used in  determining  the fair value of
certain financial assets of the Company, the impact of recently issued financial
accounting standards,  increases in costs and other general competitive factors.
For additional information, see the Company's Form 10-Ks and Form 10-Qs as filed
with the Securities and Exchange Commission.

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