Criimi Mae Reports Profitable '04

Criimi Mae, a real estate investment trust based in Rockville, Md., has reported net income of $16.7 million ($1.06 per share) for 2004, compared with a net loss of $4.1 million ($0.27 per share) for 2003.For the fourth quarter, the commercial mortgage REIT reported net income of $5.4 million ($0.34 per share), a 108% increase from $2.6 million ($0.17 per share) in the fourth quarter of 2003. The REIT attributed the increase in fourth-quarter net income primarily to a $1.8 million gain on the "extinguishment of debt" and a $1.2 million decrease in other expenses. "As a result of our June 2004 refinancing, the percentage of our debt that is recourse to the company is the lowest ever," said Mark Jarrell, president and chief operating officer of Criimi Mae. "The principal balance of loans in special servicing has declined for the fourth quarter in a row." The REIT recently hired Citigroup to help it explore its strategic alternatives, including a sale of the company. Criimi Mae can be found online at http://www.criimimaeinc.com.