First Trust / Highland Capital Floating Rate Income Fund II - Special
Distribution

TSX Symbol FHM.UN

TORONTO, Dec. 9 /CNW/ -  First Trust / Highland Capital Floating Rate Income Fund II ("the Fund") announces a special cash distribution of $4.00 per unit representing a return of capital. The special distribution will be payable December 29, 2010 to unitholders of record at the close of business on December 20, 2010.

As announced in October of this year, the independent members of the board of directors of the manager of the Fund determined that it is in the best interest of unitholders of the Fund for it to be terminated. The Fund will distribute to unitholders of record upon the termination of the Fund their proportionate share of the net assets of the Fund.

This special distribution represents the initial payment to unitholders. It is anticipated the balance of the Fund's net assets will be distributed to unitholders by January 31, 2011.

For further information:

First Defined Portfolio Management Co.

416-865-8065
877-622-5552