CB Richard Ellis Services, Inc. Announces Cash Tender Offer and Solicitation of Consents With Respect to Its 8 7/8% Senior Subordinated Notes Due 2006.

Business Editors

LOS ANGELES--(BUSINESS WIRE)--May 25, 2001

CB Richard Ellis Services, Inc. (NYSE:CBG) announced today that it is commencing a tender offer and consent solicitation relating to all of its $175,000,000 aggregate principal amount of outstanding 8 7/8% Senior Subordinated Notes Due 2006 (the "Notes"). In connection with the tender offer, the Company is also soliciting consents to certain amendments (the "Proposed Amendments") to the indenture under which the Notes were issued (the "Indenture").

As described in more detail in the Offer to Purchase and Consent Solicitation Statement dated May 25, 2001, the total consideration for each $1,000 principal amount of Notes tendered and accepted for payment pursuant to the tender offer on or prior to 5:00 p.m., New York City time, on Friday, June 8, 2001, unless extended, will be an amount equal to the present value of (a) the earliest redemption price of the Notes ($1,044.38 per $1,000 principal amount) payable on the earliest redemption date (June 1, 2002), plus (b) all remaining payments of interest from the payment date to the earliest redemption date determined on the basis of a yield to (but not including) the earliest redemption date equal to the sum of (i) the yield on the applicable reference security (6.625% U.S. Treasury Note due May 31, 2002), as calculated by the Dealer Manager in accordance with standard market practice, based on the bid price for such reference security as of 2:00 p.m., New York City time, on the tenth business day immediately preceding the Expiration Date (as defined below), plus (ii) 75 basis points (such price being rounded to the nearest cent per $1,000 principal amount of Notes). In addition, holders of Notes accepted pursuant to the tender offer will receive accrued interest payable on the Notes to (but not including) the payment date. This amount includes a consent payment equal to $30.00 per $1,000 principal amount of the Notes purchased that will be paid only for tendered Notes for which consents have been validly delivered and not revoked on or prior to 5:00 P.M., New York City time, on Friday, June 8, 2001, unless extended (the "Consent Date"). The tender offer will expire at 12:00 noon, New York City time, on Monday, June 25, 2001, unless extended (the "Expiration Date").

Holders of Notes must tender their Notes and deliver their Consents on or prior to 5:00 p.m., New York City time, on the Consent Date, in order to receive the total consideration, which includes the tender offer consideration and the consent payment. Holders of Notes who tender their Notes after the Consent Date and on or prior to 12:00 noon, New York City time, on the Expiration Date, will only receive the tender offer consideration. Notes tendered on or prior to 5:00 p.m., New York City time, on the Consent Date may be withdrawn at any time on or prior to 5:00 p.m., New York City time, on the Consent Date, but not thereafter. Notes tendered after the Consent Date but on or prior to 12:00 noon, New York City time, on the Expiration Date may not be withdrawn.

The Offer and the Consent Solicitation are being made in connection with certain proposed transactions to be effected pursuant to which BLUM CB Corp. ("BLUM"), a wholly-owned subsidiary of CBRE Holding, Inc., will acquire the Company by means of a merger. The purpose of the tender offer is to acquire all of the Notes. The purpose of the consent solicitation is to eliminate substantially all of the restrictive covenants and certain related provisions contained in the Indenture governing the Notes. BLUM's obligation to consummate the merger is conditioned, among other things, upon the satisfactory completion of the consent solicitation and the amendment of the Indenture. The Company intends to extend the Offer, if necessary, so that the Expiration Date occurs on or shortly before the consummation of the merger, which is currently expected to occur on or about July 20, 2001.

The tender offer is conditioned upon, among other things, consummation of the merger, the satisfaction of a supplemental indenture condition and certain other conditions, each as described in more detail in the Offer to Purchase and Consent Solicitation Statement.

For additional information, please contact any of: Credit Suisse First Boston Corporation at [phone] (call collect) or [phone] (toll-free), the Dealer Manager, for the tender offer and consent solicitation, or MacKenzie Partners, Inc., the Information Agent, at [phone] (call collect) or [phone] (toll-free).