CBL & Associates Properties Reports First Quarter Results

* FFO per share increased 4.0% to $0.78 per diluted share in the first quarter
ended March 31, 2009, from the prior-year period, excluding the non-cash
impairment charge described below.
* Same Center NOI declined 1.2% for the quarter ended March 31, 2009, from the
prior-year period.
* Stabilized mall occupancy was 89.1% as of March 31, 2009.

CHATTANOOGA, Tenn.--(Business Wire)--
CBL & Associates Properties, Inc. (NYSE:CBL) announced results for the first
quarter ended March 31, 2009. A description of each non-GAAP financial measure
and the related reconciliation to the comparable GAAP measure is located at the
end of this news release. All share and per share information for the periods
presented have been adjusted to reflect the issuance of common stock and common
units, as applicable, in connection with the Company`s April 15, 2009, dividend
payment.

Funds from Operations ("FFO") allocable to common shareholders for the first
quarter ended March 31, 2009, was $51,124,000, or $0.72 per diluted share,
compared with $53,605,000, or $0.75 per diluted share for the first quarter
ended March 31, 2008. FFO allocable to common shareholders for the first quarter
ended March 31, 2009, was impacted by a non-cash impairment charge of $7,706,000
related to the Company's investment in subsidiaries of Jinsheng Group
("Jinsheng"), an established mall operating and real estate development company
located in Nanjing, China. Excluding the non-cash impairment charge, FFO would
have increased 4.0% to $0.78 per diluted share from the prior-year period.

FFO of the operating partnership for the first quarter ended March 31, 2009, was
$88,450,000, compared with $92,855,000 for the first quarter ended March 31,
2008. FFO of the operating partnership for the first quarter ended March 31,
2009, was impacted by the non-cash impairment charge of $7,706,000 related to
the Company's investment in Jinsheng referred to above.

Net income available to common shareholders for the first quarter ended March
31, 2009, was $1,712,000, or $0.02 per diluted share, compared with net income
of $6,171,000, or $0.09 per diluted share for the prior-year period. Net income
available to common shareholders for the first quarter ended March 31, 2009, was
impacted by the non-cash impairment charge of $4,373,000 (adjusted for
noncontrolling interest) related to the Company's investment in Jinsheng
referred to above.

HIGHLIGHTS

* Total revenues declined 3.5% during the first quarter ended March 31, 2009, to
$271,060,000 from $280,931,000 in the prior-year period.
* Same-center net operating income for the portfolio ("NOI"), for the first
quarter ended March 31, 2009, declined by 1.2% compared with a decline of 0.6%
for the prior-year period.
* Same-store sales for mall tenants of 10,000 square feet or less for stabilized
malls as of March 31, 2009, declined 4.4% to $326 per square foot compared with
$341 per square foot in the prior-year period.
* The debt-to-total-market capitalization ratio as of March 31, 2009, was 92.1%
based on the common stock closing price of $2.36 and a fully converted common
stock share count of 117,064,000shares as of the same date. The
debt-to-total-market capitalization ratio as of March 31, 2008, was 67.6% based
on the common stock closing price of $23.53 and a fully converted common stock
share count of 116,941,000 shares as of the same date.
* Consolidated and unconsolidated variable rate debt of $1,679,902,000
represents 23.3% of the total market capitalization for the Company and 25.3% of
the Company's share of total consolidated and unconsolidated debt.

CBL`s Chairman and Chief Executive Officer, Charles B. Lebovitz, said, "We are
continuing to meet the challenges of the current economic and retail
environments head-on. The significant progress on our cost reduction initiatives
in corporate overhead and property-level expenses as well as better operating
efficiencies had a measurable benefit in the first quarter, helping to mitigate
anticipated pressure on NOI. The dominant locations our regional malls enjoy
have helped us hold the line in a tumultuous operating environment, which should
better enable us to benefit from an economic recovery."

During the quarter, we continued to focus our financing efforts toward
eliminating our near-term debt maturities with the refinancing of Cary Towne
Center and the extension of the loan on St. Clair Square. We are making
significant progress towards finalizing the remaining 2009 maturities. While the
operating and financing environment continues to present major demands, the
entire CBL organization is focused on working through these current challenges
and positioning ourselves for long-term opportunities."

PORTFOLIO OCCUPANCY March 31,
2009 2008
Portfolio occupancy 88.6 % 91.6 %
Mall portfolio 88.9 % 91.3 %
Stabilized malls 89.1 % 91.4 %
Non-stabilized malls 80.3 % 89.2 %
Associated centers 89.0 % 94.9 %
Community centers 86.5 % 90.0 %

FINANCING

During the first quarter the Company announced the closing of a $74.1 million
eight-year, non-recourse loan secured by Cary Towne Center in Cary, NC, with a
fixed interest rate of 8.50%. This loan replaced an $82.1 million loan, which
had a fixed interest rate of 6.85% and was scheduled to mature in March 2009.
The loan was refinanced with the existing lender.

Subsequent to the quarter end, CBL entered into a one-year extension on the
$59.0 million loan secured by St. Clair Square in Fairview Heights, IL with the
existing lender at a fixed interest rate of 7.50%.

DIVIDEND

During the quarter, CBL`s Board of Directors declared a quarterly dividend for
the Company's common stock of $0.37 per share for the quarter ended March 31,
2009. As part of the Company`s continuing focus on maximizing liquidity, the
Board determined to pay this dividend in a combination of cash and shares of the
Company`s common stock.

The quarterly dividend on the Company's common stock was paid on 66,407,096
shares of common stock outstanding on the record date. The Company issued
4,754,355 shares of its common stock in connection with the dividend, which
resulted in an increase of 7.2% in the number of shares outstanding. The
Company's operating partnership issued 1,338,079 additional common units in
connection with the quarterly distribution to unitholders, which resulted in an
increase of 2.6% to the 50,610,613 units and special common units that were
outstanding. The Company has elected to treat the issuance of its common stock
and common units in its operating partnership as a stock dividend for per share
purposes. Therefore, all share and per share information related to earnings per
share and FFO for the periods presented have been increased proportionately to
reflect the additional common stock and common units issued.

OUTLOOK AND GUIDANCE

Based on today's outlook and the Company's first quarter results, the Company is
maintaining 2009 FFO guidance of $2.95 to $3.09 per share, adjusted to reflect
the additional common stock and common units issued in connection with the
Company's first quarter dividend paid on April 15, 2009. The full year guidance
assumes $6.0 million to $9.0 million of outparcel sales and same-center NOI
growth in the range of (1.5%) to (3.5%), excluding the impact of lease
termination fees from both applicable periods. The guidance excludes the impact
of any future unannounced acquisitions or dispositions. The Company expects to
update its annual guidance after each quarter's results.

Low High
Expected diluted earnings per common share $ 0.46 $ 0.60
Adjust to fully converted shares from common shares (0.19 ) (0.25 )
Expected earnings per diluted, fully converted common share 0.27 0.35
Add: depreciation and amortization 2.47 2.47
Add: noncontrolling interest in earnings of Operating Partnership 0.21 0.27

Expected FFO per diluted, fully converted common share $ 2.95 $ 3.09

INVESTOR CONFERENCE CALL AND SIMULCAST

CBL & Associates Properties, Inc. will conduct a conference call at 11:00 a.m.
ET on Thursday, April 30, 2009, to discuss the first quarter results. The number
to call for this interactive teleconference is (303) 262-2130. A seven-day
replay of the conference call will be available by dialing (303) 590-3000 and
entering the passcode 11123992#. A transcript of the Company's prepared remarks
will be furnished on a Form 8-K following the conference call.

To receive the CBL & Associates Properties, Inc. first quarter earnings release
and supplemental information, please visit our website at cblproperties.com or
contact Investor Relations at 423-490-8312.

The Company will also provide an online Web simulcast and rebroadcast of its
2009 first quarter earnings release conference call. The live broadcast of CBL's
quarterly conference call will be available online at the Company's Web site at
cblproperties.com, as well as
http://www.talkpoint.com/viewer/starthere.asp?Pres=125652 on Thursday, April 30,
2009, beginning at 11:00 a.m. ET. The online replay will follow shortly after
the call and continue through May 9, 2009.

CBL is one of the largest and most active owners and developers of malls and
shopping centers in the United States. CBL owns, holds interests in or manages
159 properties, including 88 regional malls/open-air centers. The properties are
located in 27 states and total 86.0 million square feet including 2.2 million
square feet of non-owned shopping centers managed for third parties. CBL
currently has six projects under construction totaling 2.5 million square feet
including Settlers Ridge in Pittsburgh, PA; The Pavilion at Port Orange in Port
Orange, FL; The Promenade in D`Iberville, MS; two lifestyle/associated centers,
and one expansion. Headquartered in Chattanooga, TN, CBL has regional offices in
Boston (Waltham), MA, Dallas, TX, and St. Louis, MO. Additional information can
be found at cblproperties.com.

NON-GAAP FINANCIAL MEASURES

Funds From Operations

FFO is a widely used measure of the operating performance of real estate
companies that supplements net income determined in accordance with GAAP. The
National Association of Real Estate Investment Trusts ("NAREIT") defines FFO as
net income (computed in accordance with GAAP) excluding gains or losses on sales
of operating properties, plus depreciation and amortization, and after
adjustments for unconsolidated partnerships and joint ventures and
noncontrolling interests. Adjustments for unconsolidated partnerships and joint
ventures and noncontrolling interests are calculated on the same basis. The
Company defines FFO allocable to its common shareholders as defined above by
NAREIT less dividends on preferred stock. The Company`s method of calculating
FFO allocable to its common shareholders may be different from methods used by
other REITs and, accordingly, may not be comparable to such other REITs.

The Company believes that FFO provides an additional indicator of the operating
performance of its properties without giving effect to real estate depreciation
and amortization, which assumes the value of real estate assets declines
predictably over time. Since values of well-maintained real estate assets have
historically risen with market conditions, the Company believes that FFO
enhances investors` understanding of its operating performance. The use of FFO
as an indicator of financial performance is influenced not only by the
operations of the Company`s properties and interest rates, but also by its
capital structure.

The Company presents both FFO of its operating partnership and FFO allocable to
its common shareholders, as it believes that both are useful performance
measures. The Company believes FFO of its operating partnership is a useful
performance measure since it conducts substantially all of its business through
its operating partnership and, therefore, it reflects the performance of the
properties in absolute terms regardless of the ratio of ownership interests of
the Company`s common shareholders and the noncontrolling interest in the
operating partnership. The Company believes FFO allocable to its common
shareholders is a useful performance measure because it is the performance
measure that is most directly comparable to net income available to its common
shareholders.

In the reconciliation of net income available to the Company's common
shareholders to FFO allocable to its common shareholders, the Company makes an
adjustment to add back noncontrolling interest in earnings of its operating
partnership in order to arrive at FFO of its operating partnership. The Company
then applies a percentage to FFO of its operating partnership to arrive at FFO
allocable to its common shareholders. The percentage is computed by taking the
weighted average number of common shares outstanding for the period and dividing
it by the sum of the weighted average number of common shares and the weighted
average number of operating partnership units outstanding during the period.

FFO does not represent cash flows from operations as defined by accounting
principles generally accepted in the United States, is not necessarily
indicative of cash available to fund all cash flow needs and should not be
considered as an alternative to net income for purposes of evaluating the
Company`s operating performance or to cash flow as a measure of liquidity.

Same-Center Net Operating Income

NOI is a supplemental measure of the operating performance of the Company's
shopping centers. The Company defines NOI as operating revenues (rental
revenues, tenant reimbursements and other income) less property operating
expenses (property operating, real estate taxes and maintenance and repairs).

Similar to FFO, the Company computes NOI based on its pro rata share of both
consolidated and unconsolidated properties. The Company's definition of NOI may
be different than that used by other companies and, accordingly, the Company's
NOI may not be comparable to that of other companies. A reconciliation of
same-center NOI to net income is located at the end of this earnings release.

Since NOI includes only those revenues and expenses related to the operations of
its shopping center properties, the Company believes that same-center NOI
provides a measure that reflects trends in occupancy rates, rental rates and
operating costs and the impact of those trends on the Company's results of
operations. Additionally, there are instances when tenants terminate their
leases prior to the scheduled expiration date and pay the Company one-time,
lump-sum termination fees. These one-time lease termination fees may distort
same-center NOI trends and may result in same-center NOI that is not indicative
of the ongoing operations of the Company's shopping center properties.
Therefore, the Company believes that presenting same-center NOI, excluding lease
termination fees, is useful to investors.

Pro Rata Share of Debt

The Company presents debt based on its pro rata ownership share (including the
Company's pro rata share of unconsolidated affiliates and excluding
noncontrolling interests' share of consolidated properties) because it believes
this provides investors a clearer understanding of the Company's total debt
obligations which affect the Company's liquidity. A reconciliation of the
Company's pro rata share of debt to the amount of debt on the Company's
consolidated balance sheet is located at the end of this earnings release.

Information included herein contains "forward-looking statements" within the
meaning of the federal securities laws.Such statements are inherently subject to
risks and uncertainties, many of which cannot be predicted with accuracy and
some of which might not even be anticipated.Future events and actual events,
financial and otherwise, may differ materially from the events and results
discussed in the forward-looking statements.The reader is directed to the
Company's various filings with the Securities and Exchange Commission, including
without limitation the Company's Annual Report on Form 10-K and the
"Management's Discussion and Analysis of Financial Condition and Results of
Operations" incorporated by reference therein, for a discussion of such risks
and uncertainties.

CBL & Associates Properties, Inc.
Consolidated Statements of Operations
(Unaudited; in thousands, except per share amounts)

Three Months Ended

March 31,
2009 2008
REVENUES:
Minimum rents $ 171,937 $ 174,531
Percentage rents 4,804 4,996
Other rents 4,280 5,014
Tenant reimbursements 81,484 86,423
Management, development and leasing fees 2,465 2,938
Other 6,090 7,029
Total revenues 271,060 280,931

EXPENSES:
Property operating 44,017 48,292
Depreciation and amortization 78,311 75,081
Real estate taxes 24,154 24,179
Maintenance and repairs 15,994 17,916
General and administrative 11,479 12,531
Other 5,157 6,999
Total expenses 179,112 184,998
Income from operations 91,948 95,933
Interest and other income 1,581 2,727
Interest expense (71,885 ) (80,224 )
Impairment of investment (7,706 ) -
Gain (loss) on sales of real estate assets (139 ) 3,076
Equity in earnings of unconsolidated affiliates 1,534 979
Income tax provision (603 ) (357 )
Income from continuing operations 14,730 22,134
Operating income (loss) of discontinued operations (66 ) 283
Loss on discontinued operations (60 ) -
Net income 14,604 22,417
Net income attributable to noncontrolling interests in:
Operating partnership (1,306 ) (4,742 )
Other consolidated subsidiaries (6,131 ) (6,049 )
Net income attributable to the Company 7,167 11,626
Preferred dividends (5,455 ) (5,455 )
Net income available to common shareholders $ 1,712 $ 6,171
Basic per share data attributable to common shareholders:
Income from continuing operations, net of preferred dividends $ 0.03 $ 0.08
Discontinued operations (0.01 ) 0.01
Net income available to common shareholders $ 0.02 $ 0.09
Weighted average common shares outstanding 71,161 70,994

Diluted per share data attributable to common shareholders:
Income from continuing operations, net of preferred dividends $ 0.03 $ 0.08
Discontinued operations (0.01 ) 0.01
Net income available to common shareholders $ 0.02 $ 0.09
Weighted average common and potential dilutive common shares outstanding 71,196 71,027

Amounts attributable to common shareholders:
Income from continuing operations, net of preferred dividends $ 1,784 $ 6,011
Discontinued operations (72 ) 160
Net income available to common shareholders $ 1,712 $ 6,171

The Company's calculation of FFO allocable to its shareholders is as follows:
(in thousands, except per share data)
Three Months Ended
March 31,
2009 2008

Net income available to common shareholders $ 1,712 $ 6,171
Noncontrolling interest in earnings of operating partnership 1,306 4,742
Depreciation and amortization expense of:
Consolidated properties 78,311 75,081
Unconsolidated affiliates 7,509 6,677
Discontinued operations - 775
Non-real estate assets (247 ) (243 )
Noncontrolling interests' share of depreciation and amortization (201 ) (348 )
Loss on discontinued operations 60 -
Funds from operations of the operating partnership $ 88,450 $ 92,855

Funds from operations per diluted share $ 0.72 $ 0.75
Weighted average common and potential dilutive common shares outstanding with operating 123,145 123,001
partnership units fully converted

Reconciliation of FFO of the operating partnership to FFO allocable to common
shareholders:
Funds from operations of the operating partnership $ 88,450 $ 92,855
Percentage allocable to common shareholders (1) 57.80 % 57.73 %
Funds from operations allocable to common shareholders $ 51,124 $ 53,605

(1) Represents the weighted average number of common shares outstanding for the period divided by the sum of the
weighted average number of common shares and the weighted average number of operating partnership units outstanding
during the period. See the reconciliation of shares and operating partnership units outstanding on page 9.

SUPPLEMENTAL FFO INFORMATION:
Lease termination fees $ 2,543 $ 1,460
Lease termination fees per share $ 0.02 $ 0.01

Straight-line rental income $ 1,731 $ 1,501
Straight-line rental income per share $ 0.01 $ 0.01

Gains on outparcel sales $ 425 $ 3,360
Gains on outparcel sales per share $ - $ 0.03

Amortization of acquired above- and below-market leases $ 1,548 $ 2,597
Amortization of acquired above- and below-market leases per share $ 0.01 $ 0.02

Amortization of debt premiums $ 2,035 $ 2,076
Amortization of debt premiums per share $ 0.02 $ 0.02

Income tax provision $ (603 ) $ (357 )
Income tax provision per share $ - $ -

Abandoned projects $ (76 ) $ (1,713 )
Abandoned projects per share $ - $ (0.01 )

Impairment of investment $ (7,706 ) $ -
Impairment of investment per share $ (0.06 ) $ -

Same-Center Net Operating Income
(Dollars in thousands)

Three Months Ended

March 31,
2009 2008

Net income attributable to the Company $ 7,167 $ 11,626

Adjustments:
Depreciation and amortization 78,311 75,081
Depreciation and amortization from unconsolidated affiliates 7,509 6,677
Depreciation and amortization from discontinued operations - 775
Noncontrolling interests' share of depreciation and amortization in other consolidated (201 ) (348 )
subsidiaries
Interest expense 71,885 80,224
Interest expense from unconsolidated affiliates 7,865 6,626
Noncontrolling interests' share of interest expense in other consolidated subsidiaries (273 ) (448 )
Abandoned projects expense 76 1,713
(Gain) loss on sales of real estate assets 139 (3,076 )
Gain on sales of real estate assets of unconsolidated affiliates (564 ) (284 )
Impairment of investment 7,706 -
Income tax provision 603 357
Net income attributable to noncontrolling interest in earnings of operating partnership 1,306 4,742
Loss on discontinued operations 60 -
Operating partnership's share of total NOI 181,589 183,665
General and administrative expenses 11,479 12,531
Management fees and non-property level revenues (5,932 ) (8,092 )
Operating partnership's share of property NOI 187,136 188,104
NOI of non-comparable centers (3,781 ) (2,541 )
Total same-center NOI $ 183,355 $ 185,563

Malls $ 166,875 $ 168,258
Associated centers 7,822 8,607
Community centers 3,370 3,401
Other 5,288 5,297
Total same-center NOI 183,355 185,563
Less lease termination fees (2,549 ) (1,352 )
Total same-center NOI, excluding lease termination fees $ 180,806 $ 184,211

Percentage Change:
Malls -0.8 %
Associated centers -9.1 %
Community centers -0.9 %
Other -0.2 %
Total same-center NOI -1.2 %
Total same-center NOI, excluding lease termination fees -1.8 %

Company's Share of Consolidated and Unconsolidated Debt
(Dollars in thousands)
March 31, 2009
Fixed Rate Variable Rate Total
Consolidated debt $ 4,580,821 $ 1,514,076 $ 6,094,897
Noncontrolling interests' share of consolidated debt (23,477 ) (928 ) (24,405 )
Company's share of unconsolidated affiliates' debt 408,342 166,754 575,096
Company's share of consolidated and unconsolidated debt $ 4,965,686 $ 1,679,902 $ 6,645,588
Weighted average interest rate 5.95 % 1.70 % 4.88 %

March 31, 2008
Fixed Rate Variable Rate Total
Consolidated debt $ 4,673,477 $ 1,216,143 $ 5,889,620
Noncontrolling interests' share of consolidated debt (24,073 ) (3,043 ) (27,116 )
Company's share of unconsolidated affiliates' debt 410,759 65,873 476,632
Company's share of consolidated and unconsolidated debt $ 5,060,163 $ 1,278,973 $ 6,339,136
Weighted average interest rate 5.79 % 3.75 % 5.38 %

Debt-To-Total-Market Capitalization Ratio as of March 31, 2009
(In thousands, except stock price)
Shares
Outstanding Stock Price (1) Value
Common stock and operating partnership units 117,064 $ 2.36 $ 276,271
7.75% Series C Cumulative Redeemable Preferred Stock 460 250.00 115,000
7.375% Series D Cumulative Redeemable Preferred Stock 700 250.00 175,000
Total market equity 566,271
Company's share of total debt 6,645,588
Total market capitalization $ 7,211,859
Debt-to-total-market capitalization ratio 92.1 %

(1) Stock price for common stock and operating partnership units equals the closing price of the common stock on March 31, 2009. The stock price for the preferred stock represents the liquidation preference of each
respective series of preferred stock.

Reconciliation of Shares and Operating Partnership Units Outstanding (2)
(In thousands)
Three Months Ended
March 31,
2009: Basic Diluted
Weighted average shares - EPS 71,161 71,196
Weighted average operating partnership units 51,949 51,949
Weighted average shares- FFO 123,110 123,145

2008:
Weighted average shares - EPS 70,994 71,027
Weighted average operating partnership units 51,974 51,974
Weighted average shares- FFO 122,968 123,001

Dividend Payout Ratio Three Months Ended
March 31,
2009 2008
Weighted average cash dividend per share $ 0.21763 $ 0.55047
FFO per diluted, fully converted share $ 0.72 $ 0.75
Dividend payout ratio 30.2 % 73.4 %

(2) As adjusted for the common stock and common units issued in connection with the Company's dividend payment on April 15, 2009.

Consolidated Balance Sheets
(Unaudited, in thousands except share data)

March 31, December 31,
2009 2008
ASSETS
Real
estate
assets:
Land $ 926,663 $ 902,504
Buildings 7,553,549 7,503,334
and
improvemen
ts
8,480,212 8,405,838
Less (1,371,814 ) (1,310,173 )
accumulate
d
depreciati
on
7,108,398 7,095,665
Developmen 189,679 225,815
ts in
progress
Net 7,298,077 7,321,480
investment
in real
estate
assets
Cash and 44,073 51,227
cash
equivalent
s
Cash in 2,490 2,700
escrow
Receivable
s:
Tenant, 70,314 74,402
net of
allowance
Other 11,104 12,145
Mortgage 55,867 58,961
notes
receivable
Investment 197,498 207,618
s in
unconsolid
ated
affiliates
Intangible 293,447 305,802
lease
assets and
other
assets
$ 7,972,870 $ 8,034,335

LIABILITIES, REDEEMABLE NONCONTROLLING INTERESTS AND EQUITY
Mortgage $ 6,094,897 $ 6,095,676
and other
notes
payable
Accounts 308,468 329,991
payable
and
accrued
liabilitie
s
Total 6,403,365 6,425,667
liabilitie
s
Commitment
s and
contingenc
ies
Redeemable 439,016 439,675
noncontrol
ling
interests
Shareholde
rs'
equity:
Preferred
Stock,
$.01 par
value,
15,000,000
shares
authorized
:
7.75% 5 5
Series C
Cumulative
Redeemable
Preferred
Stock,
460,000
shares
outstandin
g
7.375% 7 7
Series D
Cumulative
Redeemable
Preferred
Stock,
700,000
shares
outstandin
g
Common 664 664
Stock,
$.01 par
value,
180,000,00
0 shares
authorized
,
66,453,651
and
66,394,844
issued and
outstandin
g in 2009
and 2008,
respective
ly
Additional 1,007,345 1,003,746
paid-in
capital
Accumulate (21,971 ) (22,594 )
d other
comprehens
ive loss
Accumulate (216,171 ) (193,307 )
d deficit
Total 769,879 788,521
shareholde
rs' equity
Noncontrol 360,610 380,472
ling
interests
Total 1,130,489 1,168,993
equity
$ 7,972,870 $ 8,034,335

CBL & Associates Properties, Inc.
Investor Contact:
Katie Reinsmidt, 423-490-8301
Vice President - Corporate Communications and Investor Relations
katie_reinsmidt@cblproperties.com

Copyright Business Wire 2009