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Forest City closes new $465 million revolving credit facility

        Forest City closes new $465 million revolving credit facility

Three-year facility features more favorable pricing, greater flexibility

PR Newswire

CLEVELAND, Feb. 25, 2013

CLEVELAND, Feb. 25, 2013 /PRNewswire/ --Forest City Enterprises, Inc., (NYSE:
FCEA and FCEB) today announced that it has closed a new, $465 million credit
facility with a 14-member bank group. The three-year facility, with an
additional one-year extension option, allows for additional banks to join the
group, up to a maximum line of $500 million.

(Logo: http://photos.prnewswire.com/prnh/20080515/FRSTCTYLOGO )

"This new credit facility is another step in positioning Forest City to take
advantage of opportunities in our core markets and products," said David J.
LaRue, Forest City president and chief executive officer. "The more favorable
pricing and covenants also give us additional flexibility in managing our
business. We're gratified by the confidence and support shown by all of our
member banks, and I want to thank our internal finance team, led by CFO Bob
O'Brien, in achieving this great outcome."

Thirteen banks that were members of the company's prior bank group, along with
one new bank, are part of the new facility. In addition, four member banks
increased their commitments, compared with the prior facility. The facility
also includes a provision allowing repurchase of up to $100 million of the
company's Class A common stock over the term of the facility, in line with the
share repurchase program announced by the company in December, 2012.

The new facility replaces the company's prior revolving credit facility, which
was scheduled to mature in March, 2014. Key Bank, N.A. will serve as
Administrative Agent, PNC Bank, N.A. will serve as Syndication Agent, and Bank
of America, N.A. will serve as Documentation Agent for the group.

About Forest City
Forest City Enterprises, Inc. is an NYSE-listed national real estate company
with $10.7 billion in total assets. The company is principally engaged in the
ownership, development, management and acquisition of commercial and
residential real estate and land throughout the United States. For more
information, visit www.forestcity.net. 

Safe Harbor Language

Statements made in this news release that state the company's or management's
intentions, hopes, beliefs, expectations or predictions of the future are
forward-looking statements. The company's actual results could differ
materially from those expressed or implied in such forward-looking statements
due to various risks, uncertainties and other factors. Risks and factors that
could cause actual results to differ materially from those in the
forward-looking statements include, but are not limited to, the impact of
current lending and capital market conditions on its liquidity, ability to
finance or refinance projects and repay its debt, the impact of the current
economic environment on its ownership, development and management of its real
estate portfolio, general real estate investment and development risks,
vacancies in its properties, the strategic decision to reposition or divest
portions of the company's land business, further downturns in the housing
market, competition, illiquidity of real estate investments, bankruptcy or
defaults of tenants, anchor store consolidations or closings, international
activities, the impact of terrorist acts, risks associated with an investment
in a professional sports team, its substantial debt leverage and the ability
to obtain and service debt, the impact of restrictions imposed by its credit
facility and senior debt, exposure to hedging agreements, the level and
volatility of interest rates, the continued availability of tax-exempt
government financing, the impact of credit rating downgrades, effects of
uninsured or underinsured losses, effects of a downgrade or failure of its
insurance carriers, environmental liabilities, conflicts of interest, risks
associated with the sale of tax credits, risks associated with developing and
managing properties in partnership with others, the ability to maintain
effective internal controls, compliance with governmental regulations,
increased legislative and regulatory scrutiny of the financial services
industry, volatility in the market price of its publicly traded securities,
inflation risks, litigation risks, cybersecurity risks and cyber incidents, as
well as other risks listed from time to time in the company's SEC filings,
including but not limited to, the company's annual and quarterly reports.

SOURCE Forest City Enterprises, Inc.

Website: http://www.forestcity.net
Contact: AT THE COMPANY: Robert O'Brien, Executive Vice President - Chief
Financial Officer, +1-216-621-6060; or Jeff Linton, Senior Vice President -
Corporate Communication, +1-216-621-6060