New York, August 29, 2006 --


-- Only Micro-Cap Closed-End Fund

-- Average Weekly Trading Volume of Approximately 169,000 Shares

-- Fund's Adviser Has More Than 30 Years of Small- and Micro-Cap
Investment Experience

Closing Prices - July 31, 2006     NAV    $ 13.84     MKT    $ 14.42     Total Return Performance     Periods ended July 31, 2006           NAV            MKT     1 Month*                            -3.35%          -0.83%     Year to Date*                        7.84            3.64     One-Year                             9.16            8.91     Three-Year Average Annual           18.04           21.68     5-Year Average Annual               13.76           17.42     10-Average Annual                   14.38           16.99     * Not annualized     Portfolio Diagnostics     Wtd Average Market Cap:                    $386 million     Wtd. Average P/E Ratio:                    17.1x*     Wtd. Average P/B Ratio:                    1.7x     Wtd. Average Yield:                        0.8%     Net Assets Attributable to Common Stock:   $326 million     Net Leverage:                              4%     * Excludes 17% of portfolio holdings with zero or negative earnings as of       7/31/06. Net leverage is the percentage, in excess of 100%, of the total value of equity type investments, divided by net assets applicable to common stock. Portfolio Composition Top 10 Positions % of Net Assets 1. Universal Truckload Services 1.5% 2. ASA Bermuda 1.5 3. Seneca Foods Cl. B 1.3 4. Transaction Systems Architects Cl. A 1.2 5. PAREXEL International 1.2 6. Pason Systems 1.0 7. First Acceptance 1.0 8. MVC Capital 0.9 9. Weyco Group 0.9 10. Forrester Research 0.9 Top Five Industries % of Net Assets 1. Technology 23% 2. Industrial Products 15 3. Health 15 4. Industrial Services 14 5. Natural Resources 10

Recent Developments


Royce Micro-Cap Trust, Inc. (RMT) has declared a quarterly distribution of $0.32 per share on its Common Stock. The distribution, optionally payable in additional shares of Common Stock, or in cash by specific stockholder election, is to be paid on September 25, 2006 to stockholders of record at the close of business on September 6, 2006 (ex- dividend on September 1, 2006). The price of shares issued for reinvestment will be determined on September 13, 2006.

Royce Micro-Cap Trust, Inc. has declared a cash dividend of $0.375 per share on its Cumulative Preferred Stock, based on an annual rate of 6.00% of the initial liquidation preference of $25.00 per share. The dividend is to be paid on September 25, 2006 to stockholders of record at the close of business on September 6, 2006 (ex-dividend September 1, 2006).

Royce Micro-Cap Trust, Inc. is a closed-end diversified investment company whose shares of Common Stock (RMT) and 6.00% Cumulative Preferred Stock (RMTpra.) are listed and traded on the New York Stock Exchange. The Fund's investment goal is long-term capital growth, which it seeks by investing primarily in equity securities of companies that, at the time of investment, have market capitalization of $500 million or less.


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