Bluegreen Closes Initial Purchase Under New Revolving Timeshare Receivables Purchase Facility; Company Comments on Impact of Recent World Events.

Business Editors

BOCA RATON, Fla.--(BUSINESS WIRE)--Oct. 1, 2001

Bluegreen Corporation (NYSE: BXG), a leading U.S. developer and marketer of drive-to timeshare resorts, golf communities and residential land, today announced that on September 6, 2001 it completed the first transaction under its recently announced 364-day, $75 million revolving timeshare receivables purchase facility with Credit Suisse First Boston.

Pursuant to the owner's trust structure utilized for this facility, Bluegreen sold approximately $17 million of timeshare receivables to a special purpose subsidiary of Bluegreen. This special purpose subsidiary, in turn, sold these receivables to the owner's trust for approximately $14.4 million, without recourse to Bluegreen or the subsidiary. Bluegreen will continue to service the receivables that were sold.

George F. Donovan, President and Chief Executive Officer of Bluegreen, commented, "First let me say that during these trying times, the thoughts and prayers of all of us at Bluegreen are with the families, friends and co-workers of those affected by the tragic events of September 11. We extend our deepest gratitude to the thousands of rescue personnel who, on a daily basis, continue to perform acts of true heroism."

Mr. Donovan also stated that Bluegreen has established a fund to assist the families of the victims of the World Trade Center disaster. Bluegreen Corporation is matching, dollar for dollar, the contributions made by its employees to this fund. All proceeds will be donated to the American Red Cross.

He continued, "We have received inquiries from shareholders and institutional investors concerning the aftermath of the tragic events of September 11 on the Company's timeshare operations and prospects. While we cannot fully gauge the impact that the consequences of this horrific act and related events will have on our economy, our business and our industry, we remind people that Bluegreen's timeshare properties (excluding Aruba) are located in a variety of popular drive-to destinations. We do not, therefore, expect any material adverse effect on our operations by any short-term reduction in air travel. Moreover, the flexibility of our Vacation Club allows our 70,000 owners to make reservations at any one of our 32 owned and managed resorts. This convenience allows our owners to enjoy a family vacation while, if they choose, remaining closer to home."

Bluegreen is one of the leading companies engaged in the acquisition, development, marketing and sale of drive-to timeshare resorts, golf communities and residential land. The Company's timeshare resorts are located in a variety of popular vacation destinations including Orlando, Florida; the Smoky Mountains of Tennessee; Myrtle Beach, South Carolina; Charleston, South Carolina; Branson, Missouri; Wisconsin Dells, Wisconsin; Gordonsville, Virginia; Ridgedale, Missouri; and Aruba, while its land operations are predominantly located in the Southeastern and Southwestern United States.

This press release contains forward-looking statements and the Company desires to take advantage of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995 in connection with these statements. Statements made by George Donovan and any other statements contained herein that are not statements of historical fact may be deemed forward-looking statements. The words "believe," "expect," "intend," "anticipate," "project," "may," "should," "estimate," "plan" and similar expressions identify forward-looking statements, which speak only as of the date the statement was made. The Company does not undertake and specifically disclaims any obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise. Forward-looking statements are based on current expectations and assumptions and are inherently subject to risks and uncertainties, some of which cannot be predicted or quantified and many of which are beyond the Company's control. Future events, industry trends and actual results could differ materially from those set forth in, contemplated by, or underlying such forward-looking statements. The risks and uncertainties to which forward-looking statements are subject include, but are not limited to, consumer demand may be less than anticipated, regulatory changes, changes in national or regional economic conditions and consumer confidence and spending that can affect the real estate market, risks associated with a large investment in real estate, the risk that the impact of the events of September11 will be more adverse on the Company and its sales, operations, financing and liquidity than that currently anticipated, shortages of available inventory, the risk that future sales contemplated under the timeshare purchase facility referred to above will not close and other risks detailed from time to time in the Company's filings with the Securities and Exchange Commission, including its most recent annual report on Form 10-K. Given these risks and uncertainties, investors are cautioned not to place undue reliance on such forward-looking statements and no assurances can be given that such statements will be achieved.