Bresler & Reiner, Inc. (OTC: BRER) Reports Year-End 2007 Results

WASHINGTON, March 31 /PRNewswire-FirstCall/ -- Bresler & Reiner, Inc. reported
a net loss of $9,288,000 or $(1.70) per common share on revenues of
$103,920,000 for the year ended December 31, 2007. For the comparable period
in 2006, the Company reported net income of $15,708,000 or $2.87 per common
share on revenues of $100,426,000.

Sidney M. Bresler, Chief Executive Officer, stated that the net loss for the
year ended December 31, 2007 was primarily due to impairment charges related
to development projects totaling $8,140,000, before taxes, and debt
extinguishment costs totaling $5,796,000, before taxes. During the year the
Company refinanced four mortgage loans with outstanding balances totaling
$72,304,000, lowering our average interest rate and generating net total
proceeds of approximately $35,000,000, net of debt extinguishment costs and
our minority partner's share of the proceeds.

Funds from operation for the year ended December 31, 2007 were $13,350,000
compared to $16,663,000 for 2006. FFO as defined by the NAREIT is net income
(computed in accordance with GAAP), excluding gains (or losses) from sales of
depreciable property, plus depreciation and amortization, and after
adjustments for unconsolidated partnerships and joint ventures. Adjustments
for unconsolidated partnerships and joint ventures are calculated to reflect
funds from operations on the same basis. Our FFO measure differs from NAREIT's
definition in that we also exclude income tax expense related to property
sales. The exclusion of income tax expense on property sales is consistent
with the objective of presenting comparative period operating performance. FFO
should not be considered an alternative to net income as an indicator of our
operating performance, or as an alternative to cash flows from operating,
investing or financing activities as a measure of liquidity. Additionally, the
FFO measure presented by us may not be calculated in the same manner as FFO
measures of other real estate companies and therefore may not necessarily be
comparable. We believe that FFO provides relevant information about our
operations and is useful, along with net income, for an understanding of our
operating activities.

The following tables reflect the reconciliation of net income to funds from
operations (in thousands):

For the year ended
December 31,
2007 2006

Net (loss) income $ (9,288) $ 15,708
Add: Depreciation and
amortization including share
of unconsolidated real
estate joint ventures 30,284 27,302
Add: Income tax expense from
property sales, net of
minority interest 5,098 17,565
Less: Gain on sale of
properties, net of minority
interest (12,744) (43,912)
Funds from operations $ 13,350 $ 16,663

BRESLER & REINER, INC.
SUPPLEMENTAL FINANCIAL SUMMARY

Year Ended December 31,
2007 2006

Total operating revenues $ 103,920,000 $ 100,426,000
Total operating expenses $ 104,759,000 $ 94,235,000

(Loss) income before income taxes and
discontinued operations $ (21,134,000) $ 4,171,000
Benefit (provision) for income taxes 7,969,000 (558,000)
(Loss) income from continuing operations $ (13,165,000) $ 3,613,000
Income from discontinued operations,
net of taxes and minority interest 3,877,000 12,095,000
Net (loss) income $ (9,288,000) $ 15,708,000
(Loss) earnings per share of Common
stock (basic and diluted) $ (1.70) $ 2.87
Weighted average number of common
shares outstanding 5,477,212 5,477,212

About the Company:

Bresler & Reiner, Inc. owns and develops land and residential, commercial and
hospitality properties, principally in the Philadelphia, Pennsylvania;
Houston, Texas; Washington, D.C.; Wilmington, Delaware; Baltimore, Maryland;
Maryland and Delaware Eastern Shore; and Orlando and Tampa, Florida
metropolitan areas.

Supplemental Information:

SEC Filings (Forms 10-Q and 10-K) and supplemental information packages (Form
8-K's) are available at http://www.breslerandreiner.com or may be requested in
e-mail or hard copy formats.

This press release may contain forward-looking statements that are based on
current estimates, expectations, forecasts and projections about us, our
future performance, the industry in which we operate, our beliefs, and
management's assumptions. In addition, other written or oral statements that
constitute forward-looking statements may be made by or on behalf of us.
Words such as "expects," "anticipates," "targets," "goals," "projects,"
"intends," "plans," "believes," "seeks," "estimates," or "would be," and
variations of such words and similar expressions are intended to identify such
forward-looking statements. These statements are not guarantees of future
performance and involve certain risks, uncertainties and assumptions that are
difficult to predict. Therefore, actual outcomes and results may differ
materially from what is expressed or forecasted in such forward-looking
statements. These risks and uncertainties include: our ability to compete
effectively; our exposure to the credit risks of our tenants; our ability to
recruit and retain key personnel; adverse changes in the local or general
economy and market conditions; our ability to obtain necessary governmental
permits and approvals; our ability to complete development projects in a
timely manner and within budget; our ability to secure tenants for our
projects and properties; our ability to sustain occupancy levels at our
properties through keeping existing tenants and securing new ones; our ability
to secure tenants for the residential and commercial properties that we
develop; changes in the interest rate environment which will affect our
ability to obtain mortgage financing on acceptable terms; future litigation;
and changes in environmental health and safety laws.

SOURCE Bresler & Reiner, Inc.

Darryl M. Edelstein, CFO, Bresler & Reiner, Inc., +1-301-945-4300