ARDC Ares Dynamic Credit Allocation Fund Inc

Ares Dynamic Credit Allocation Fund, Inc. (the “Fund”) (NYSE:ARDC) announced the declaration of monthly distributions for the next three months of $0.117 per common share, payable as noted below.

                    Ex-Dates:     January 20, 2015     February 17, 2015     March 17, 2015 Record Dates: January 22, 2015 February 19, 2015 March 19, 2015 Payable Dates: January 30, 2015 February 27, 2015 March 31, 2015 Per Share Amount:     $0.117     $0.117     $0.117  

Based on the Fund’s initial public offering price of $20.00 per share and current share price of $16.12 (as of its close on January 8, 2015), the distributions represent an annualized distribution rate of 7.02% and 8.71%, respectively (calculated by annualizing the distribution amount and dividing it by the IPO share price or current price, as the case may be). Information regarding the distribution rate is included for informational purposes only and is not necessarily indicative of future results, the achievement of which cannot be assured. The distribution rate should not be considered the yield or total return on an investment in the Fund.

As required by Section 19(a) of the Investment Company Act of 1940, a notice will be distributed to the Fund’s stockholders in the event that a portion of a monthly distribution is derived from sources other than undistributed net investment income, such as from short-term capital gain, long-term capital gain, or return of capital. Such notices will also be posted on the Fund’s website at www.arespublicfunds.com.

The amounts and sources of distributions reported are only estimates and are not provided for tax reporting purposes. The actual amounts and sources of the amounts for tax reporting purposes will depend upon the Fund’s investment performance during the remainder of its fiscal year and may be subject to change based on tax regulations. The final determination of the source of these distributions will be made after the Fund’s fiscal year end. If necessary, the Fund will pay an adjusting distribution in December that includes any additional income and net realized capital gains in excess of the monthly distributions for that year to satisfy the minimum distribution requirements of the Internal Revenue Code. In January or February of each year, investors will be sent a Form 1099-DIV for the previous calendar year that will define how to report these distributions for federal income tax purposes.

About Ares Dynamic Credit Allocation Fund

Ares Dynamic Credit Allocation Fund is a non-diversified, closed-end management company that is externally managed by Ares Capital Management II LLC, a subsidiary of Ares Management, L.P. (NYSE:ARES), a leading global alternative asset manager with approximately $80 billion in assets under management as of September 30, 20141. Ares Dynamic Credit Allocation Fund seeks to provide an attractive level of total return primarily through current income and, secondarily, through capital appreciation. The Fund invests in a broad, dynamically-managed portfolio of credit investments. There can be no assurance that the Fund will achieve its investment objective. The Fund’s net asset value may be accessed through its NASDAQ ticker symbol, XADCX. Additional information is available at www.arespublicfunds.com.

Forward-Looking Statements

Statements included herein may constitute “forward-looking statements” within the meaning of the U.S. securities laws, and may relate to future events or our future performance or financial condition. These statements are not guarantees of future performance, condition or results and involve a number of risks and uncertainties. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including those described from time to time in our filings with the Securities and Exchange Commission and others beyond the Fund’s control. Ares Dynamic Credit Allocation Fund undertakes no duty to update any forward-looking statements made herein.

This document is not an offer to sell securities and is not soliciting an offer to buy securities in any jurisdiction where the offer or sale is not permitted. An investor should consider the Fund’s investment objective, risks, charges and expenses carefully before investing.

Ares Dynamic Credit Allocation Fund is a closed-end fund, which does not engage in a continuous offering of its shares. Since its initial public offering, the Fund has traded on the New York Stock Exchange under the symbol ARDC. Investors wishing to purchase or sell shares may do so by placing orders through a broker dealer or other intermediary.

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1 Ares Management, L.P. is the parent to several registered investment advisers, including Ares Management LLC (collectively, “Ares”). AUM refers to the assets of the funds, alternative asset companies and other entities and accounts that are managed or co-managed by Ares, including funds managed by Ivy Hill Asset Management, L.P., a wholly owned portfolio company of Ares Capital Corporation, and a registered investment adviser. Amounts include drawn and undrawn commitments, including certain amounts that are subject to regulatory leverage restrictions and/or borrowing base restrictions. AUM amounts are as of September 30, 2014 and differences may arise due to rounding.

Mendel CommunicationsBill Mendel, 212-397-1030bill@mendelcommunications.comorDestra Capital Investments877-855-3434ARDC@destracapital.comwww.arespublicfunds.com