Post Properties Releases Earnings

Post Properties Releases Earnings ATLANTA, GA - Post Properties, Inc. (NYSE: PPS) announced today a net loss attributable to common shareholders of $50.7 million for the second quarter of 2009, compared to $27.0 million for the second quarter of 2008. On a diluted per share basis, the net loss attributable to common shareholders was $1.14 for the second quarter of 2009, compared to $0.61 for the second quarter of 2008.

The net loss attributable to common shareholders was $50.3 million for the six months ended June 30, 2009, compared to $26.2 million for the six months ended June 30, 2008. On a diluted per share basis, the net loss attributable to common shareholders was $1.13 for the six months ended June 30, 2009, compared to $0.59 for the six months ended June 30, 2008.

The Company's net loss attributable to common shareholders for the three months ended June 30, 2009 included non-cash impairment charges of approximately $76.3 million relating to the Company's investment in a condominium project and adjacent land. These charges were partially offset by a net gain of approximately $24.7 on the sale of an apartment community in April 2009.

The Company's net loss attributable to common shareholders for the six months ended June 30, 2009 included the above-mentioned items as well as gains of approximately $2.3 million relating to the early extinguishment of indebtedness, the mark-to-market of an interest rate swap, and changes in previous hurricane loss estimates.

The Company's net loss attributable to common shareholders for the three months ended June 30, 2008 included non-cash impairment charges of approximately $28.9 million and severance charges of $0.4 million. The net loss attributable to common shareholders for the six months ended June 30, 2008 included the above-mentioned items as well as an approximately $2.3 million gain on the sale of an apartment community. Additionally, the net loss attributable to common shareholders for the three and six months ended June 30, 2008 included a charge of approximately $2.1 million and $8.2 million, respectively, related to the Company's formal process to pursue a possible business combination or other sale transaction, which ended in the second quarter of 2008.

The Company uses the National Association of Real Estate Investment Trusts ("NAREIT") definition of Funds from Operations ("FFO") as an operating measure of the Company's financial performance. A reconciliation of FFO to GAAP net income is included in the financial data (Table 1) accompanying this press release.

FFO for the second quarter of 2009 was a deficit of $59.0 million, or $1.32 per diluted share, compared to a deficit of $12.6 million, or $0.28 per diluted share, for the second quarter of 2008. The Company's reported FFO for the second quarter of 2009 included the impairment charges discussed above of approximately $76.3 million, or $1.71 per diluted share. The Company's reported FFO for the second quarter of 2008 included the charges discussed above in the aggregate of approximately $31.4 million, or $0.71 per diluted share.

FFO for the six months ended June 30, 2009 was a deficit of $42.0 million, or $0.94 per diluted share, compared to FFO of $1.3 million, or $0.03 per diluted share, for the first six months of 2008. The Company's reported FFO for the six months ended June 30, 2009 included the impairment charges and income items discussed above in the aggregate of approximately $74.0 million, or $1.66 per diluted share. The Company's reported FFO for the six months ended June 30, 2008 included the charges discussed above in the aggregate of approximately $37.5 million, or $0.84 per diluted share.

Post Properties, founded more than 38 years ago, is one of the largest developers and operators of upscale multifamily communities in the United States. The Company's mission is delivering superior satisfaction and value to its residents, associates, and investors, with a vision of being the first choice in quality multifamily living. Operating as a real estate investment trust ("REIT"), the Company focuses on developing and managing Post® branded resort-style garden and high density urban apartments. In addition, the Company develops high-quality condominiums and converts existing apartments to for-sale multifamily communities. Post Properties is headquartered in Atlanta, Georgia, and has operations in nine markets across the country.

Post Properties owns 19,864 apartment units in 55 communities, including 1,747 apartment units in five communities held in unconsolidated entities and 1,429 apartment units in four communities currently under construction and/or in lease-up. The Company is also developing and selling 362 for-sale condominium homes in three communities (including 129 units in one community held in an unconsolidated entity) and is converting apartment units in two communities initially consisting of 349 units into for-sale condominium homes through a taxable REIT subsidiary.
Source: Post Properties, Inc.

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