Forest City Announces Redemption of 7.375% Senior Notes Due 2034

       Forest City Announces Redemption of 7.375% Senior Notes Due 2034

PR Newswire

CLEVELAND, Sept. 11, 2013

CLEVELAND, Sept. 11, 2013 /PRNewswire/ --Forest City Enterprises, Inc.,
(NYSE: FCEA and FCEB) today announced that it has provided notice of its
intention to redeem all of its outstanding 7.375% Senior Notes due 2034 (NYSE:
FCY) (the "Notes").

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

There is currently $225.0 million aggregate principal amount of the Notes
outstanding. Funding for the redemption comes primarily from liquidity
generated by the company's previously announced joint ventures with QIC for a
portfolio of eight of Forest City's regional malls, of which seven of the
joint ventures closed on September 10, 2013. The eighth joint venture is
expected to close in the near future. 

"This redemption is another example of our continuing focus on strengthening
our balance sheet and building a strong, sustaining capital structure," said
David J. LaRue, Forest City president and chief executive officer. "With the
redemption of these Notes, all of our remaining corporate debt securities are
convertible, giving us significant flexibility as we continue to improve our
debt metrics, while also investing in our mature portfolio and in entitled
development opportunities in our core markets."

The Company has provided notice to the indenture trustee, The Bank of New York
Mellon Trust Company, N.A., of its intention to redeem, on October 14, 2013
(the "Notes Redemption Date"), all of the outstanding Notes, pursuant to the
terms of the Notes. The redemption price will be 100 percent of the principal
amount of the Notes redeemed, plus any accrued and unpaid interest up to, but
not including, the Notes Redemption Date. 

The Bank of New York Mellon Trust Company, N.A. will serve as the paying agent
in connection with the redemption. Notes may be surrendered for redemption to
The Bank of New York Mellon, 111 Sanders Creek Parkway, East Syracuse, NY
13057.

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, 216-621-6060, or Jeff Linton, Senior Vice President -
Corporate Communication, 216-621-6060, ON THE WEB: www.forestcity.net