AMREP Reports Fourth Quarter and Twelve Month Results.

NEW YORK--(BUSINESS WIRE)--July 17, 1998--AMREP Corporation (NYSE:AXR) today reported fourth quarter net income of $1,020,000, or $0.14 per share, compared to $6,350,000, or $0.86 per share, in the same period in 1997. Last year's fourth quarter results included a tax benefit of $6,250,000, or $0.85 per share, resulting from a reduction in the amount of deferred taxes recorded in prior years. Fourth quarter revenues increased 3 percent from $41,990,000 last year to $43,184,000 this year.

For all of fiscal 1998, the Company reported revenues of $171,368,000 and net income of $8,206,000, or $1.11 per share. In fiscal 1997, the Company had revenues of $146,389,000 and net income of $7,282,000, or $0.99 per share. Without the fourth quarter tax benefit previously mentioned, net income in fiscal 1997 would have been $0.14 per share.

Commenting on these results, Board Chairman Edward B. Cloues, II said, "AMREP had a solid fourth quarter and an excellent year. On a pre-tax basis, the Company had income of $13,677,000 in fiscal 1998 compared to $1,720,000 in fiscal 1997, representing an increase of nearly 700%. This increase was due primarily to strong commercial and industrial land sales in Rio Rancho, New Mexico, the disposition of non-core real estate assets and good performances by the Company's magazine distribution and subscription fulfillment service businesses." Mr. Cloues also noted that the Company had implemented a cost reduction and restructuring program at its Rio Rancho operation during fiscal 1998 and is committed to a program to increase the profitability of home building in Rio Rancho and elsewhere.

AMREP Corporation is a leading builder of affordable housing and developer of real estate, primarily in New Mexico, Colorado, northern California, Nevada and Oregon. Through its Kable News Company subsidiary, it also distributes magazines to wholesalers and provides subscription fulfillment and related services to publishers and others. As previously announced, AMREP has filed a request for a ruling from the Internal Revenue Service (IRS) to spin-off its real estate operations to its shareholders on a tax-free basis. A favorable response from the IRS is by no means certain, and there are a number of other conditions to the implementation of the spin-off.

                          AMREP Corporation
                           and Subsidiaries
                         Financial Highlights

                              (Unaudited)

                                        Three Months Ended April 30,
                                                1998           1997

Revenues                               $  43,184,000  $  41,990,000

Net Income                             $   1,020,000  $   6,350,000(a)

Earnings Per Share
 - Basic and Diluted                   $        0.14  $        0.86(a)

Weighted Average Number of
 Common Shares Outstanding                  7,369,000       7,369,000


                                       Twelve Months Ended April 30,
                                                1998           1997

Revenues                               $ 171,368.000  $ 146,389,000

Net Income                             $   8,206,000  $   7,282,000(a)

Earnings Per Share
 - Basic and Diluted                   $        1.11  $        0.99(a)

Weighted Average Number of
 Common Shares Outstanding                 7,369,000      7,369,000

(a) Includes a tax benefit in the amount of $6,250,000 (the

equivalent of $0.85 per share) to reflect the settlement of 1984

through 1989 tax examinations.

This release is available on the KCSA Worldwide website at www.kcsa.com.

CONTACT: AMREP Corporation

Mohan Vachani

212/705-4700

or

KCSA Worldwide

Joseph A. Mansi

P: 212/896-1205

F: 212/697-0910

[e-mail]