ETY Eaton Vance Tax Managed Diversified Equity Income Fund

Eaton Vance Tax-Managed Diversified Equity Income Fund (NYSE: ETY), a diversified closed-end investment company, today announced the earnings of the Fund for the three months ended July 31, 2008 and for the nine months ended July 31, 2008. The Fund�s fiscal year ends on October 31, 2008. For the three months ended July 31, 2008, the Fund had net investment income of $8,483,430 ($0.056 per common share). For the nine months ended July 31, 2008, the Fund had net investment income of $35,228,165 ($0.235 per common share). In comparison, for the three months ended July 31, 2007, the Fund had net investment income of $60,687,240 ($0.405 per common share). For the period from the start of business, November 30, 2006, to July 31, 2007, the Fund had net investment income of $166,524,025 ($1.130 per common share). Net realized and unrealized losses for the three months ended July 31, 2008 were $139,246,701 ($0.928 per common share) and net realized and unrealized losses for the nine months ended July 31, 2008 were $262,357,091 ($1.752 per common share). In comparison, net realized and unrealized losses for the three months ended July 31, 2007 were $149,843,311 ($1.000 per common share). Net realized and unrealized gains for the period from the start of business, November 30, 2006, to July 31, 2007 were $4,084,626 ($0.017 per common share). On July 31, 2008, net assets of the Fund were $2,498,856,966. The net asset value per common share on July 31, 2008 was $16.69 based on 149,711,079 common shares outstanding. In comparison, on July 31, 2007, net assets of the Fund were $2,891,441,674. The net asset value per common share on July 31, 2007 was $19.31 based on 149,711,079 common shares outstanding. The Fund is managed by Eaton Vance Management, a subsidiary of Eaton Vance Corp, which is listed on the New York Stock Exchange under the symbol EV. Eaton Vance and its affiliates had $155.8 billion in assets under management on July 31, 2008. Eaton Vance Management will make available periodic summary information regarding portfolio investments. Those interested should call Eaton Vance Marketing at (800) 262-1122. EATON VANCE TAX-MANAGED DIVERSIFIED EQUITY INCOME FUND SUMMARY OF RESULTS OF OPERATIONS (in thousands, except per share amounts) � � � � � � � � Three Months Ended Nine Months Ended July 31, July 31, 2008 2007 2008 2007(1) Gross investment income $15,292 $68,716 $56,164 $186,925 Operating expenses ($6,809) ($8,029) ($20,936) ($20,401) Net investment income $8,483 $60,687 $35,228 $166,524 Net realized and unrealized gains (losses) on investments ($139,247) ($149,483) ($262,357) $4,085 Net increase (decrease) in net assets from operations ($130,764) ($88,796) ($227,129) $170,609 � Earnings per Share Outstanding Gross investment income $0.102 $0.459 $0.375 $1.269 Operating expenses ($0.046) ($0.054) ($0.140) ($0.139) Net investment income $0.056 $0.405 $0.235 $1.130 Net realized and unrealized gains (losses) on investments ($0.928) ($1.000) ($1.752) $0.017 Net increase (decrease) in net assets from operations ($0.872) ($0.595) ($1.517) $1.147 � � Net Asset Value at July 31 (Common Shares ) Net assets (000) $2,498,857 $2,891,442 Shares outstanding (000) 149,711 149,711 Net asset value per share outstanding $16.69 $19.31 � Market Value Summary (Common Shares ) Market price on NYSE at July 31 $14.85 $18.70 High market price (period ended July 31) $17.17 $20.66 Low market price (period ended July 31) $13.68 $18.53 � � � (1) For the period from the start of business, November 30, 2006, to July 31, 2007.