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60 Heritage Drive, Pleasantville, NY 10570
(914) 747-5262 // Fax (914) 747-5258

September 10, 2002

Dear Fellow Brantley Capital Shareholders:

Robert Pinkas continues to accuse me of attempting to
"greenmail" Brantley.  To support that allegation, he has quoted
out of context from a March 27, 2002 memo I sent to him.
Therefore, to set the record straight, I am enclosing a copy of
that memo.  As you can see, I was responding to an unsolicited
offer from Mr. Pinkas himself to buy out Richard Barone and me
after I had informed him that I intended to propose an orderly
liquidation of Brantley.  As I recall, Mr. Pinkas angrily said:
"What will it take to buy you and Richard out?  Thirteen dollars
a share?"

Mr. Pinkas continues to allege that I, not he, was the one who
first brought up the idea of a buyout.  One of us is lying.  I
have challenged Mr. Pinkas to arrange for both of us to take a
polygraph examination at the annual meeting to settle the
question.  I suggest all shareholders call him and urge him to
accept my challenge.  If he refuses, you can draw your own
conclusion about who is telling the truth and who is lying.

Very truly yours,


Phillip Goldstein





ENCLOSURE:

To:		Robert J. Pinkas

From:	Phillip Goldstein

Date: 	March 27, 2002

Subject:	Brantley Capital

I have considered your proposal to buy Richard Barone's and my
shares of Brantley Capital for $13 per share.  After discussing
it with Richard, we have agreed that $13 is not acceptable in
light of Brantley's $18 NAV and a potential impending uplift to
NAV.  We acknowledge that some illiquidity discount may be
justified but a smaller one than your offer implies.  However,
if you are willing to negotiate, there is a good chance we can
reach an agreement.  It would be unfortunate to draw a line in
the sand since $13 is not out of the ballpark.

Richard told me that he spoke with you yesterday and you
indicated that you might make a public tender offer for all
shares of BBDC at $13 per share.  Because I think that is not a
fair price, if you do initiate a tender offer at $13 per share,
I would seriously consider topping your offer myself.

Rather than have to deal with a bidding war, I sincerely feel
the cleanest way to resolve our differences is for an entity
that you control (not Brantley Capital) to buy Richard's and my
shares.  I know of no legal impediment to such a privately
negotiated arms length transaction.  (A few years ago, in the
midst of a proxy contest, the investment advisor of The First
Australia Fund purchased two blocks of stock from large
shareholders in privately negotiated transactions.  The details
of the transactions are available in EDGAR filings or I will be
happy to relate them to you or your lawyer.)  Of course, as part
of any deal I would agree to resign from the board of directors.
We can also discuss any other conditions to the sale.  Since
Richard and I control a total of approximately 700,000 shares, I
would expect it to be much easier after the sale for you to
obtain stockholder approval for any plan you have to increase
Brantley's assets.

Remember that that Richard and I have a deadline with respect to
SEC filings.  Therefore, if we are to reach a settlement, it has
to be done pretty quickly, hopefully this week but in no event
later than 10:30 a.m. on Monday, April 1st.  If we cannot reach a
mutually acceptable agreement by then, we will have to disclose
that we are calling for an orderly liquidation of Brantley
Capital.  If investors perceive that Brantley is "in play," the
market price of Brantley's shares could respond favorably to
that disclosure.

Please think about your options and get back to me.