Grubb-Ellis Reports Third-Quarter Net Loss of $44M

SANTA ANA, CA, Nov. 6 /PRNewswire-FirstCall/ -- Grubb & Ellis Company (NYSE:GBE), a leading real estate services and investment firm, today reported revenue of $159.2 million for the third quarter of 2008.

Revenue for the nine-month period ended September 30, 2008 was $486.8 million.


The company reported a net loss of $44.0 million, or $0.69 per share, for the third quarter. The net loss for the first nine months of 2008 was $55.0 million, or $0.87 per share.


Earnings before interest, taxes, depreciation and amortization (EBITDA) for the third quarter of 2008 was negative $56.3 million, compared with EBITDA for the combined companies of $17.3 million in the same period a year ago. For the first nine months of 2008, the company reported negative EBITDA of $48.3 million.


"Given the difficult market conditions our underlying operations continued to perform well and we have clearly benefited from the impacts of cost reductions and operational changes implemented post merger," said interim Chief Executive Officer Gary Hunt.(top right photo)


"We continue to identify synergies and eliminate redundancies in an effort to maximize cost efficiencies. At the same time, we are taking advantage of the current environment to recruit high-quality professionals who understand that our expanded platform will create additional revenue opportunities."


Hunt added, "We are also capitalizing on the increasing trend of corporate owners and users to outsource their real estate services needs. We secured several important new business wins during the period, many of which would not have been possible without the restructuring resulting from the merger."

For a complete copy of the company's news release showing third-quarter numbers, please contact Janice McDill of Grubb & Ellis Company, +1-312-698-6707, janice.mcdill@grubb-ellis.com
Web site: http://www.grubb-ellis.com/