Investor Contact: Katie Reinsmidt, Director of Corporate Communications and Investor Relations, 423.490.8301, katie_reinsmidt@cblproperties.com

CBL & ASSOCIATES PROPERTIES REPORTS

THIRD QUARTER RESULTS

•

FFO per share increased 7.9% to $0.82 in the third quarter.

•

Total revenues increased 12.5% during the third quarter.

•

Portfolio occupancy unchanged from the prior year at 92.4% as of September 30, 2008, excluding centers acquired in 2007.

•

Board declares quarterly cash dividend of $0.37 per share for the quarter ended December 31, 2008.

CHATTANOOGA, Tenn. (November 4, 2008) – CBL & Associates Properties, Inc. (NYSE:CBL) announced results for the third quarter ended September 30, 2008. 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.

Net income available to common shareholders for the third quarter ended September 30, 2008, was $3,985,000, or $0.06 per diluted share, compared with $17,088,000, or $0.26 per diluted share for the prior-year period. Net income available to common shareholders for the nine months ended September 30, 2008, was $19,823,000, or $0.30 per diluted share, compared with $45,954,000, or $0.70 per diluted share, for the nine months ended September 30, 2007.

Net income available to common shareholders for the third quarter ended September 30, 2008, declined by $13,103,000, primarily due to higher depreciation and interest expense, a higher income tax provision, and a non-cash write-down of marketable securities, collectively comprising $22,073,000, after adjustment for minority interest. This was partially offset by fee income of $5,726,000, after adjustment for minority interest, collected from affiliates of Centro, related to the Galileo transaction in 2005.

Funds from Operations (“FFO”) allocable to common shareholders for the third quarter ended September 30, 2008, was $54,209,000, or $0.82 per diluted share, compared with $49,697,000, or $0.76 per diluted share, for the prior-year period, representing an increase of 7.9% on a per share basis. FFO allocable to common shareholders was $160,159,000, or $2.42 per diluted share, for the nine months ended September 30, 2008, compared with $149,094,000, or $2.27 per diluted share, for the nine months ended September 30, 2007.

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CBL Reports Third Quarter Results

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November 4, 2008

FFO per share for the third quarter and nine months ended September 30, 2008, included FFO from properties acquired in the fourth quarter 2007, fee income of $8,000,000 collected from affiliates of Centro, offset by a $5,778,000 write-down of marketable securities and a higher income tax provision.

FFO of the operating partnership for the third quarter ended September 30, 2008, was $95,775,000, compared with $88,209,000 for the third quarter ended September 30, 2007, representing an increase of 8.6%. FFO of the operating partnership for the nine months ended September 30, 2008, was $283,066,000, compared with $264,914,000 for the nine months ended September 30, 2007.

HIGHLIGHTS

•

Total revenues increased 12.5% during the third quarter ended September 30, 2008, to $282,480,000 from $250,999,000 in the prior-year period. Total revenues increased 11.2% in the nine months ended September 30, 2008 to $830,104,000 from $746,306,000 in the comparable period a year ago.

•

Same-center net operating income (“NOI”) for the portfolio for the quarter and nine months ended September 30, 2008, declined 1.6% and 1.0% respectively, compared with increases of 0.9% and a 0.4%, respectively, for the prior-year periods.

•

Same-store sales for mall tenants of 10,000 square feet or less for stabilized malls as of September 30, 2008, declined 3.0% to $339 per square foot compared with $350 per square foot in the prior year period.

•

The debt-to-total-market capitalization ratio as of September 30, 2008, was 71.2% based on the common stock closing price of $20.08 and a fully converted common stock share count of 116,972,000 shares as of the same date. The debt-to-total-market capitalization ratio as of September 30, 2007, was 54.3% based on the common stock closing price of $35.05 and a fully converted common stock share count of 116,348,000 shares as of the same date.

•

Consolidated and unconsolidated variable rate debt of $1,645,225,000 represents 17.9% of the total market capitalization for the Company and 25.2% of the Company's share of total consolidated and unconsolidated debt.

CBL’s Chairman and Chief Executive Officer, Charles B. Lebovitz, said, “Throughout CBL’s 30 years, we have consistently executed a strategy based on financial discipline, proactive management and leasing at our properties and excellent relationships with retailers and financial partners alike. These same disciplines apply even more today in light of the market’s emphasis on liquidity, the challenges in the real estate capital markets and worries about a consumer-led recession. We have faced these challenges before and are confident that we have the expertise and resources to successfully overcome them.

“We always treat our capital as a precious commodity, and will be pursuing every means at our disposal to ensure that we protect our shareholders’ long-term investment with us. As announced earlier today, the Board of Directors has approved a reduction in our current dividend rate. We believe this is a prudent and appropriate step given the continued volatility in the marketplace and the increased focus on access to capital. The excess free cash flow this reduction creates will serve to further bolster the strength of our balance sheet and enhance our financial flexibility.”

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CBL Reports Third Quarter Results

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November 4, 2008

PORTFOLIO OCCUPANCY

September 30,

2008

2007

Portfolio occupancy

92.2%*

92.4%

Mall portfolio

91.8%

92.8%

Stabilized malls

92.1%

93.2%

Non-stabilized malls

87.2%

85.5%

Associated centers

95.1%

92.0%

Community centers

92.1%

85.5%

*Portfolio occupancy excluding centers acquired in 2007 was 92.4% as of September 30, 2008 compared with 92.4% as of September 30, 2007.

DIVIDEND

Today CBL announced a revision to its common dividend rate. The continuing volatility in the financial markets and the challenges in the general economy have further increased the Company’s focus on further maximizing financial flexibility. As a result, the Company’s Board of Directors has declared a quarterly cash dividend for the Company's Common Stock of $0.37 per share for the quarter ending December 31, 2008. The dividend is payable on January 14, 2009, to shareholders of record as of December 30, 2008. The quarterly cash dividend equates to an annual dividend of $1.48 per share compared with the previous annual dividend of $2.18 per share. The reduction in the dividend rate should generate additional free cash flow of approximately $80.0 million on an annual basis.

DISPOSITIONS

In August 2008, CBL completed the sale of New Garden Crossing, a community center in Greensboro, NC, for $19.5 million. Year-to-date, CBL has sold seven community centers and one office building for $52.5 million.

FINANCING

During the third quarter, CBL announced $288.1 million of new financings. CBL used a portion of the proceeds from the financings to pay off the existing $84.6 million loan secured by Meridian Mall in Okemos, MI. These financings address all of CBL’s remaining maturities for 2008. CBL also announced a commitment for a new $85.0 million term loan secured by Meridian Mall in Lansing, MI. Subsequent to the quarter end, CBL entered into a revised $82.9 million commitment for the term loan secured by Meridian Mall. CBL anticipates closing an initial $40.0 million loan within the next 30 days. As additional participants are secured, the loan balance will increase up to $82.9 million.

CBL primarily utilizes non-recourse, property specific debt. Excluding maturities with available extension options, CBL has $309.6 million of non-recourse, property specific debt maturing throughout 2009 as well as an $18.8 million term loan. CBL has no other maturities in 2009.

OUTLOOK AND GUIDANCE

Based on today's outlook and the Company's third quarter results the Company is maintaining guidance for 2008 FFO at the lower end of the $3.46 to $3.56 per share range. The full year guidance assumes $0.12 to $0.16 of outparcel sales and same-center NOI growth in the range of (2.0%) to (1.0%), excluding the impact of lease

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November 4, 2008

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

$0.61

$0.70

Adjust to fully converted shares from common shares

(0.26)

(0.30)

Expected earnings per diluted, fully converted common share

0.35

0.40

Add: depreciation and amortization

2.89

Less: gain on disposal of discontinued operations

(0.03)

Add: minority interest in earnings of Operating Partnership

0.25

0.30

Expected FFO per diluted, fully converted common share

$3.46

$3.56

INVESTOR CONFERENCE CALL AND SIMULCAST

CBL & Associates Properties, Inc. will conduct a conference call at 11:00 a.m. ET on Wednesday, November 5, 2008, to discuss the third 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 11111001#. 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., third 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 2008 third 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 www.streetevents.com and www.earnings.com, on November 5, 2008, beginning at 11:00 a.m. ET. The online replay will follow shortly after the call and continue through November 12, 2008.

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 87 regional malls/open-air centers. The properties are located in 27 states and total 84.7 million square feet including 2.2 million square feet of non-owned shopping centers managed for third parties. CBL currently has ten projects under construction totaling 3.6 million square feet including Settlers Ridge in Pittsburgh, PA; The Pavilion at Port Orange in Port Orange, FL; Hammock Landing in West Melbourne, FL; The Promenade in D’Iberville, MS; two lifestyle/associated centers, and four expansions/redevelopments. 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 minority interests. Adjustments for unconsolidated partnerships and joint ventures and minority interests are calculated on the same basis. The Company defines FFO allocable to common shareholders as defined above by NAREIT less dividends on preferred stock. The Company’s method of calculating FFO allocable to common shareholders may be different from methods used by other REITs and, accordingly, may not be comparable to such other REITs.

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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 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 minority interest in the operating partnership. The Company believes FFO allocable to common shareholders is a useful performance measure because it is the performance measure that is most directly comparable to net income available to common shareholders.

In the reconciliation of net income available to common shareholders to FFO allocable to common shareholders, the Company makes an adjustment to add back minority 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 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 minority investors' 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

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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.

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CBL Reports Third Quarter Results
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November 4, 2008

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


	Three Months Ended September 30,						Nine Months Ended September 30,

	2008			2007			2008			2007

REVENUES:
Minimum rents	$	173,231		$	155,633		$	520,499		$	464,753
Percentage rents		3,226			3,506			9,823			11,840
Other rents		4,294			3,580			13,509			11,942
Tenant reimbursements		84,293			83,053			250,111			235,699
Management, development and leasing fees		11,511			1,390			16,933			6,565
Other		5,925			3,837			19,229			15,507

Total revenues		282,480			250,999			830,104			746,306


EXPENSES:
Property operating		48,101			42,014			139,916			123,843
Depreciation and amortization		81,961			58,847			228,641			175,946
Real estate taxes		23,390			24,526			70,994			65,034
Maintenance and repairs		15,215			12,532			47,702			41,826
General and administrative		9,623			8,305			33,268			29,072
Other		5,150			3,647			18,690			12,088

Total expenses		183,440			149,871			539,211			447,809

Income from operations		99,040			101,128			290,893			298,497
Interest and other income		2,225			1,990			7,134			7,618
Interest expense		(77,057	)		(72,789	)		(233,736	)		(207,730	)
Loss on extinguishment of debt		__			__			__			(227	)
Impairment of marketable securities		(5,778	)		__			(5,778	)		__
Gain on sales of real estate assets		4,773			4,337			12,122			10,565
Equity in earnings of unconsolidated affiliates		515			1,086			1,308			2,768
Income tax provision		(8,562	)		(2,609	)		(12,757	)		(4,360	)
Minority interest in earnings:
Operating partnership		(3,068	)		(13,288	)		(15,195	)		(35,886	)
Shopping center properties		(5,498	)		(2,121	)		(17,949	)		(6,418	)

Income from continuing operations		6,590			17,734			26,042			64,827
Operating income of discontinued operations		2,174			852			6,357			1,545
Gain on discontinued operations		676			3,957			3,788			3,902

Net income		9,440			22,543			36,187			70,274
Preferred dividends		(5,455	)		(5,455	)		(16,364	)		(24,320	)

Net income available to common shareholders	$	3,985		$	17,088		$	19,823		$	45,954

Basic per share data:
Income from continuing operations, net of preferred dividends	$	0.02		$	0.19		$	0.15		$	0.62
Discontinued operations		0.04			0.07			0.15			0.08

Net income available to common shareholders	$	0.06		$	0.26		$	0.30		$	0.70


Weighted average common shares outstanding		66,047			65,343			65,978			65,233

Diluted per share data:
Income from continuing operations, net of preferred dividends	$	0.02		$	0.19		$	0.15		$	0.61
Discontinued operations		0.04			0.07			0.15			0.09

Net income available to common shareholders	$	0.06		$	0.26		$	0.30		$	0.70


Weighted average common and potential dilutive common shares outstanding		66,209			65,876			66,172			65,900

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The Company's calculation of FFO allocable to Company shareholders is as follows:
(in thousands, except per share data)


		Three Months Ended September 30,						Nine Months Ended September 30,

		2008			2007			2008			2007


Net income available to common shareholders		$	3,985		$	17,088		$	19,823		$	45,954
Minority interest in earnings of operating partnership			3,068			13,288			15,195			35,886
Depreciation and amortization expense of:
Consolidated properties			81,961			58,847			228,641			175,946
Unconsolidated affiliates			7,741			3,425			21,112			10,550
Discontinued operations			__			46			2,357			980
Non-real estate assets			(268	)		(228	)		(770	)		(690	)
Minority investors' share of depreciation and amortization			(292	)		(300	)		(943	)		190
Gain on discontinued operations			(676	)		(3,957	)		(3,788	)		(3,902	)
Income tax provision on disposal of discontinued operations			256			__			1,439			__

Funds from operations of the operating partnership		$	95,775		$	88,209		$	283,066		$	264,914


Funds from operations per diluted share		$	0.82		$	0.76		$	2.42		$	2.27

Weighted average common and potential dilutive common shares outstanding with operating partnership units fully converted			116,844			116,513			116,807			116,583

Reconciliation of FFO of the operating partnership to FFO allocable to Company shareholders:
Funds from operations of the operating partnership		$	95,775		$	88,209		$	283,066		$	264,914
Percentage allocable to Company shareholders ⁽¹⁾			56.60	%		56.34	%		56.58	%		56.28	%

Funds from operations allocable to Company shareholders		$	54,209		$	49,697		$	160,159		$	149,094


⁽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 on page 9.

SUPPLEMENTAL FFO INFORMATION:

Lease termination fees		$	3,338		$	156		$	9,256		$	5,795
Lease termination fees per share		$	0.03		$	__		$	0.08		$	0.05

Straight-line rental income		$	899		$	1,349		$	4,050		$	3,733
Straight-line rental income per share		$	0.01		$	0.01		$	0.03		$	0.03

Gains on outparcel sales		$	6,695		$	3,913		$	14,243		$	11,051
Gains on outparcel sales per share		$	0.06		$	0.03		$	0.12		$	0.09

Amortization of acquired above- and below-market leases		$	1,677		$	2,588		$	6,785		$	8,280
Amortization of acquired above- and below-market leases per share		$	0.01		$	0.02		$	0.06		$	0.07

Amortization of debt premiums		$	1,982		$	1,949		$	5,918		$	5,779
Amortization of debt premiums per share		$	0.02		$	0.02		$	0.05		$	0.05

Income tax provision		$	(8,306	)	$	(2,609	)	$	(11,318	)	$	(4,360	)
Income tax provision per share		$	(0.07	)	$	(0.02	)	$	(0.10	)	$	(0.04	)

Impairment of marketable securities		$	(5,778	)	$	__		$	(5,778	)	$	__
Impairment of marketable securities per share		$	(0.05	)	$	__		$	(0.05	)	$	__

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Same-Center Net Operating Income
(Dollars in thousands)


	Three Months Ended September 30,						Nine Months Ended September 30,

	2008			2007			2008			2007


Net income	$	9,440		$	22,543		$	36,187		$	70,274

Adjustments:
Depreciation and amortization		81,961			58,847			228,641			175,946
Depreciation and amortization from unconsolidated affiliates		7,741			3,425			21,112			10,550
Depreciation and amortization from discontinued operations		__			46			2,357			980
Minority investors' share of depreciation and amortization in shopping center properties		(292	)		(300	)		(943	)		190
Interest expense		77,057			72,789			233,736			207,730
Interest expense from unconsolidated affiliates		7,038			4,178			20,872			12,576
Minority investors' share of interest expense in shopping center properties		(454	)		(472	)		(1,357	)		(365	)
Loss on extinguishment of debt		__			__			__			227
Abandoned projects expense		33			355			2,944			955
Gain on sales of real estate assets		(4,773	)		(4,337	)		(12,122	)		(10,565	)
Gain on sales of real estate assets of unconsolidated affiliates		(2,287	)		(295	)		(2,716	)		(1,218	)
Impairment of marketable securities		5,778			__			5,778			__
Minority investors' share of gain on sales of shopping center real estate assets		365			621			595			621
Income tax provision		8,562			2,609			12,757			4,360
Minority interest in earnings of operating partnership		3,068			13,288			15,195			35,886
Gain on discontinued operations		(676	)		(3,957	)		(3,788	)		(3,902	)

Operating partnership's share of total NOI		192,561			169,340			559,248			504,245
General and administrative expenses		9,623			8,305			33,268			29,072
Management fees and non-property level revenues		(16,328	)		(6,707	)		(30,869	)		(25,751	)

Operating partnership's share of property NOI		185,856			170,938			561,647			507,566
NOI of non-comparable centers		(20,179	)		(2,587	)		(64,830	)		(5,683	)

Total same-center NOI	$	165,677		$	168,351		$	496,817		$	501,883


Malls	$	152,498		$	152,867		$	456,857		$	460,437
Associated centers		8,038			8,276			23,896			24,524
Community centers		1,719			1,827			5,036			4,915
Other		3,422			5,381			11,028			12,007

Total same-center NOI		165,677			168,351			496,817			501,883
Less lease termination fees		(3,255	)		(157	)		(7,824	)		(5,795	)

Total same-center NOI, excluding lease termination fees	$	162,422		$	168,194		$	488,993		$	496,088


Percentage Change:
Malls		-0.2	%					-0.8	%
Associated centers		-2.9	%					-2.6	%
Community centers		-5.9	%					2.5	%
Other		-36.4	%					-8.2	%

Total same-center NOI		-1.6	%					-1.0	%

Total same-center NOI, excluding lease termination fees		-3.4	%					-1.4	%

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CBL Reports Third Quarter Results

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Company's Share of Consolidated and Unconsolidated Debt
(Dollars in thousands)

				September 30, 2008

				Fixed Rate			Variable Rate			Total

Consolidated debt				$	4,499,557		$	1,524,192		$	6,023,749
Minority investors' share of consolidated debt					(23,743	)		(919	)		(24,662	)
Company's share of unconsolidated affiliates' debt					408,719			121,952			530,671

Company's share of consolidated and unconsolidated debt				$	4,884,533		$	1,645,225		$	6,529,758

Weighted average interest rate					5.79	%		4.32	%		5.42	%


				September 30, 2007

				Fixed Rate			Variable Rate			Total

Consolidated debt				$	4,049,524		$	1,002,742		$	5,052,266
Minority investors' share of consolidated debt					(119,797	)		(288	)		(120,085	)
Company's share of unconsolidated affiliates' debt					219,032			42,074			261,106

Company's share of consolidated and unconsolidated debt				$	4,148,759		$	1,044,528		$	5,193,287

Weighted average interest rate					5.92	%		6.33	%		6.00	%


Debt-To-Total-Market Capitalization Ratio as of September 30, 2008
(In thousands, except stock price)

				Shares Outstanding			Stock Price (1)			Value

Common stock and operating partnership units					116,972		$	20.08		$	2,348,798
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											2,638,798
Company's share of total debt											6,529,758

Total market capitalization										$	9,168,556

Debt-to-total-market capitalization ratio											71.2	%


(1) Stock price for common stock and operating partnership units equals the closing price of the common stock on September 30, 2008. 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
(In thousands)

	Three Months Ended September 30,						Nine Months Ended September 30,

	Basic			Diluted			Basic			Diluted

2008:
Weighted average shares - EPS		66,047			66,209			65,978			66,172
Weighted average operating partnership units		50,635			50,635			50,635			50,635

Weighted average shares- FFO		116,682			116,844			116,613			116,807


2007:
Weighted average shares - EPS		65,343			65,876			65,233			65,900
Weighted average operating partnership units		50,637			50,637			50,683			50,683

Weighted average shares- FFO		115,980			116,513			115,916			116,583


Dividend Payout Ratio	Three Months Ended September 30,						Nine Months Ended September 30,

	2008			2007			2008			2007

Weighted average dividend per share	$	0.55047		$	0.51031		$	1.65141		$	1.53225
FFO per diluted, fully converted share	$	0.82		$	0.76		$	2.42		$	2.27

Dividend payout ratio		67.2	%		67.1	%		68.2	%		67.5	%

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CBL Reports Third Quarter Results

Page 11

November 4, 2008


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

	September 30, 2008			December 31, 2007


ASSETS
Real estate assets:
Land	$	881,218		$	917,578
Buildings and improvements		7,400,040			7,263,907

		8,281,258			8,181,485
Accumulated depreciation		(1,269,260	)		(1,102,767	)

		7,011,998			7,078,718
Held for Sale		120,000			__
Developments in progress		280,953			323,560

Net investment in real estate assets		7,412,951			7,402,278
Cash and cash equivalents		67,485			65,826
Cash in escrow		2,700			__
Receivables:
Tenant, net of allowance		72,766			72,570
Other		12,350			10,257
Mortgage and other notes receivable		49,326			135,137
Investments in unconsolidated affiliates		212,460			142,550
Intangible lease assets and other assets		248,876			276,429

	$	8,078,914		$	8,105,047

LIABILITIES AND SHAREHOLDERS' EQUITY
Mortgage and other notes payable	$	6,023,749		$	5,869,318
Accounts payable and accrued liabilities		366,839			394,884

Total liabilities		6,390,588			6,264,202

Commitments and contingencies
Minority interests		851,341			920,297

Shareholders' equity:
Preferred Stock, $.01 par value, 15,000,000 shares authorized:
7.75% Series C Cumulative Redeemable Preferred Stock, 460,000 shares outstanding		5			5
7.375% Series D Cumulative Redeemable Preferred Stock, 700,000 shares outstanding		7			7
Common Stock, $.01 par value, 180,000,000 shares authorized, 66,336,663 and 66,179,747 issued and outstanding in 2008 and 2007, respectively		663			662
Additional paid-in capital		1,000,849			990,048
Accumulated other comprehensive loss		(5,855	)		(20	)
Accumulated deficit		(158,684	)		(70,154	)

Total shareholders' equity		836,985			920,548

	$	8,078,914		$	8,105,047

-END-