GFY Western Asset Variable Rate Strategic Fund Inc

Western Asset Variable Rate Strategic Fund Inc. (NYSE: GFY) today announced monthly distributions of $0.0580 per common share for June, July and August 2011. The Fund had previously paid a monthly distribution of $0.0560 per share.

The distribution schedule appears below:

Month     Ex Date     Record Date     Payable Date     Amount     Type June 6/15/2011 6/17/2011 6/24/2011 $0.0580 Income July 7/20/2011 7/22/2011 7/29/2011 $0.0580 Income August 8/17/2011 8/19/2011 8/26/2011 $0.0580 Income

The Fund has increased its distributions to a level that better approximates the current level of net investment income generated by its investment portfolio.

This press release is not for tax reporting purposes but is being provided to announce the amount of the Fund's distribution that has been declared by the Board of Directors. In early 2012, after definitive information is available, the Fund will send shareholders a Form 1099-DIV, if applicable, specifying how the distributions paid by the Fund during the prior calendar year should be characterized for purposes of reporting the distributions on a shareholder’s tax return (e.g., ordinary income, long-term capital gain or return of capital).

Western Asset Variable Rate Strategic Fund Inc., a non-diversified, closed-end management investment company, is managed by Legg Mason Partners Fund Advisor, LLC, a wholly-owned subsidiary of Legg Mason, Inc., and is sub-advised by Western Asset Management Company, an affiliate of the investment manager.

Contact the Fund at 1-888-777-0102 for additional information, or consult the Fund’s web site at www.leggmason.com/cef.

Data and commentary provided in this press release are for informational purposes only. Legg Mason and its affiliates do not engage in selling shares of the Fund.