On April 29, 2014, Paul G. Joubert notified Ares Commercial Real Estate Corporation that he would not stand for re-election as a director of the company when his current term expires at the company's 2014 annual meeting of stockholders, given his appointment to the board of directors of Ares Management, L.P. Mr. Joubert has served on the company's board of directors since its initial public offering in 2012. In connection therewith, Mr. Joubert determined it was prudent to step down from the audit committee of the board (the Audit Committee) immediately but will serve the remainder of his term as a director until the annual meeting in order to assure a smooth transition.