GLADSTONE CAPITAL CORP — Director's Dealing 2006

Aug 16, 2006

SEC Form 4 — Statement of Changes in Beneficial Ownership

Issuer: GLADSTONE CAPITAL CORP (GLAD)
CIK: 0001143513
Period of Report: 2006-08-15

Reporting Person: DULLUM DAVID A R (Director)

Non-Derivative Transactions

Date	Security	Code	Shares	Price	A/D	Holdings After	Ownership
2006-08-15	Common Stock	M	1163	$16.40	Acquired	3163	Direct
2006-08-15	Common Stock	S	1163	$22.00	Disposed	2000	Direct
2006-08-15	Common Stock	M	2837	$15.75	Acquired	4837	Direct
2006-08-15	Common Stock	S	2837	$22.00	Disposed	2000	Direct
2006-08-15	Common Stock	M	3267	$15.75	Acquired	5267	Direct
2006-08-15	Common Stock	S	3267	$22.15	Disposed	2000	Direct

Derivative Transactions

Date	Security	Exercise Price	Code	Shares	A/D	Expiration	Underlying	Ownership
2006-08-15	Stock Option	$16.40	M	1163	Disposed	2013-01-28	Common Stock (1163)	Direct
2006-08-15	Stock Option	$15.75	M	6104	Disposed	2013-02-23	Common Stock (6104)	Direct

Footnotes

F1: The option vested in four equal installments of 5,000 shares each on 1/29/2003, 3/26/2003, 8/23/2003 and 3/26/2004.

F2: The option vested in two equal installments of 5,000 shares each on 2/24/04 and 2/24/05