N@N

NEW YORK--([ BUSINESS WIRE ])--Fitch Ratings has affirmed the 'AAA' ratings assigned to the senior unsecured note and the 'AA' ratings assigned to the mandatory redeemable preferred stock (MRPS) issued by Kayne Anderson Energy Total Return Fund, Inc. (NYSE: KYE), a closed-end, non-diversified investment management company advised by KA Fund Advisors, LLC.

A complete list of the rated senior securities follows at the end of this press release.

KEY RATING DRIVERS

The rating affirmations reflect:

--Sufficient asset coverage relative to Fitch's published criteria;

--The structural protections afforded by mandatory de-leveraging provisions in the event of asset coverage declines;

--The legal and regulatory parameters that govern the fund's operations;

--The capabilities of KA Fund Advisors, LLC as investment advisor. As of Jan. 31, 2012, the fund's total assets were approximately $1,425.4 million.

LEVERAGE

As of Jan. 31, 2012, the fund's leverage was approximately $421 million, not including accrued interest, or 30% of the total assets. The leverage comprised $301 million of senior unsecured notes and $120 million of MRPS.

ASSET COVERAGE

At the time of the rating affirmations of the senior unsecured notes, the fund's asset coverage ratios, as calculated in accordance with the Investment Company Act of 1940 (1940 Act), was in excess of 300%, which is the minimum asset coverage required by the 1940 Act with respect to debt. Also, at the time of affirmation, the fund's asset coverage ratios, as calculated in accordance with the Fitch overcollateralization (OC) test per the 'AAA' rating guidelines outlined in Fitch's 'Rating Closed-End Fund Debt and Preferred Stock' criteria was in excess of 100%, which is the minimum asset coverage deemed consistent with Fitch's 'AAA' criteria.

In addition, the fund's asset coverage ratio for MRPS, as calculated in accordance with the Investment Company Act of 1940, was in excess of 200%, which is the minimum asset coverage level required by the 1940 Act with respect to preferred stock. The fund's asset coverage ratio, as calculated in accordance with the Fitch OC test per the 'AA' rating guidelines outlined in Fitch's applicable criteria was in excess of 100%, which is the minimum asset coverage deemed consistent with Fitch's 'AA' criteria.

THE FUND

Kayne Anderson Energy Total Return Fund, Inc, Inc. is a non-diversified, closed-end fund, which commenced its operations on June 28, 2005. The fund's investment objective is to obtain a high level of total return with an emphasis on current income. The fund seeks to achieve that investment objective by investing principally in equity and debt securities of companies in the energy industry, such as energy related master limited partnerships, U.S. and Canadian income trusts, marine transportation companies, and coal companies.

THE ADVISOR

KA Fund Advisors, LLC is the fund's investment adviser, responsible for implementing and administering the fund's investment strategy. It is a subsidiary of Kayne Anderson Capital Advisors, L.P. (Kayne Anderson), a Securities and Exchange Commission-registered investment adviser. As of Dec. 31, 2011 Kayne Anderson and its affiliates managed approximately $14.2 billion. Kayne Anderson has invested in MLPs and other midstream energy companies since 1998.

RATINGS SENSITIVITY

The ratings may be sensitive to material changes in the credit quality or market risk profile of the fund. A material adverse deviation from Fitch guidelines for any key rating driver could cause the ratings to be lowered by Fitch.

RATING ACTIONS

Fitch has affirmed the following ratings:

--$28,000,000 5.90% series B senior unsecured notes due on Aug. 13, 2012 at 'AAA';

--$128,000,000 6.06% series C senior unsecured notes due on Aug. 13, 2013 at 'AAA';

--$58,000,000 4.15% series D senior unsecured notes due on March 5, 2015 at 'AAA';

--$27,000,000 3-month LIBOR + 155 bps series E senior unsecured notes due on March 5, 2015 at 'AAA';

--$30,000,000 three-month LIBOR + 145 bps series F senior unsecured notes due on May 10, 2016 at 'AAA';

--$20,000,000 3.71% series G senior unsecured notes due on May 10, 2016 at 'AAA';

--$10,000,000 4.38% series H senior unsecured notes due on May 10, 2018 at 'AAA';

--$90,000,000 5.48% series A MRPS due on March 5, 2017 at 'AA';

--$30,000,000 5.13% series B MRPS due on May 10, 2018 at 'AA'.

The following rating is 'Paid In Full':

--$9,000,000 series A senior unsecured notes.

For additional information about Fitch closed-end fund ratings guidelines, please review the criteria referenced below, which can be found on Fitch's web site.

Additional information is available at '[ www.fitchratings.com ]'. The ratings above were solicited by, or on behalf of, the issuer, and therefore, Fitch has been compensated for the provision of the ratings.

The sources of information used to assess these ratings were the public domain and KA Fund Advisors, LLC.

Applicable Criteria and Related Research:

-'Rating Closed-End Fund Debt and Preferred Stock' (Aug. 16, 2011);

--'2012 Outlook: Closed-End Fund Leverage' (Dec. 19, 2011);

--'Closed-End Funds: Derivatives Under Review' (Nov. 16, 2011);

--'Primer: CEF Variable-Rate Demand Preferred Shares' (Oct. 27, 2011).

Applicable Criteria and Related Research:

Rating Closed-End Fund Debt and Preferred Stock

[ http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=648840 ]

2012 Outlook: Closed-End Fund Leverage

[ http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=660709 ]

Closed-End Funds: Derivatives Under Review (Increased Use and Limited Transparency Are Key Considerations)

[ http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=656591 ]

Primer: CEF Variable-Rate Demand Preferred Shares (Closed-End Fund VRDPs Target Short-Term, Money Market Investors)

[ http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=654295 ]

ALL FITCH CREDIT RATINGS ARE SUBJECT TO CERTAIN LIMITATIONS AND DISCLAIMERS. PLEASE READ THESE LIMITATIONS AND DISCLAIMERS BY FOLLOWING THIS LINK: [ HTTP://FITCHRATINGS.COM/UNDERSTANDINGCREDITRATINGS ]. IN ADDITION, RATING DEFINITIONS AND THE TERMS OF USE OF SUCH RATINGS ARE AVAILABLE ON THE AGENCY'S PUBLIC WEBSITE '[ WWW.FITCHRATINGS.COM ]'. PUBLISHED RATINGS, CRITERIA AND METHODOLOGIES ARE AVAILABLE FROM THIS SITE AT ALL TIMES. FITCH'S CODE OF CONDUCT, CONFIDENTIALITY, CONFLICTS OF INTEREST, AFFILIATE FIREWALL, COMPLIANCE AND OTHER RELEVANT POLICIES AND PROCEDURES ARE ALSO AVAILABLE FROM THE 'CODE OF CONDUCT' SECTION OF THIS SITE.