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CRIIMI MAE'S TAX BASIS INCOME FROM ORDINARY OPERATIONS INCREASES APPROXIMATELY 19 PERCENT

 ROCKVILLE, Md., May 17 /PRNewswire/ -- CRI Insured Mortgage Association, Inc. (CRIIMI MAE) (NYSE: CMM), the largest multifamily mortgage REIT, today said its first quarter tax basis income from ordinary operations was approximately $4.1 million (21 cents per share), a 19.21 percent increase compared to approximately $3.4 million (17 cents per share) for last year's first quarter.
 Chairman William B. Dockser said: "One of our key objectives is increasing income from ordinary operations. So we are pleased this important component of tax basis income was higher in the first quarter."
 Despite the improved results from ordinary operations, tax basis income, which includes both regular operations and capital gains, declined in quarter-to-quarter comparisons because last year's first quarter included capital gains of approximately 30 cents per share from a subsidiary's disposition of one large mortgage.
 Tax basis income for this year's first quarter was approximately $5.6 million (28 cents per share) down from approximately $9.4 million (47 cents per share) for the same period last year when gains of approximately 30 cents per share came from a subsidiary's disposition of one mortgage.
 Dockser said: "Last year, capital gains were front-loaded in the first quarter. This year, we expect gains will be spread more evenly throughout the year. We also expect continued improvement in income from ordinary operations. As a result, we expect tax basis income for all of 1993 to exceed 1992's results."
 Dockser said CRIIMI MAE could earn gains of approximately 19 cents per share this year after a subsidiary disposes of mortgages it had classified as "held for disposition" at March 31, 1993.
 Dockser also said he expects continued growth in results from ordinary operations as CRIIMI MAE uses funds from a $350 million financing facility arranged in April to invest in insured and guaranteed multifamily mortgages.
 The federal tax code requires CRIIMI MAE to pay shareholders at least 95 percent of tax basis income as dividends to preserve CRIIMI MAE's status as a corporate REIT.
 CRIIMI MAE reports both tax basis income and net income in its financial statements, but only tax basis income has a direct bearing on the level of dividends paid to shareholders.
 For financial reporting purposes, CRIIMI MAE reported net income for this year's first quarter of approximately $4.4 million (22 cents per share), versus approximately $6.8 million (34 cents per share) for the same period last year.
 As with tax basis income, net income for the first quarter was less than last year's first quarter because last year's results included first quarter gains from the disposition of one large mortgage.
 During 1993's first quarter, CRIIMI MAE invested in federally insured and guaranteed mortgages totaling approximately $14.4 million. The company also funded federally insured construction loans totaling $.8 million.
 As of March 31, 1993, CRIIMI MAE was invested in 135 mortgage investments -- 64 were directly owned by CRIIMI MAE and 71 were held through a subsidiary. All of these investments are either insured or guaranteed by federal agencies. Assets totaled approximately $606.8 million at quarter-end.
 CRIIMI MAE's adviser is an affiliate of CRI, Inc., the real estate investment management firm based in the Washington area.
 CRI INSURED MORTGAGE ASSOCIATION, INC.
 (CRIIMI MAE)
 For the three months ended
 March 31,
 1993 1992
 (unaudited)
 Tax basis income:
 Ordinary income:
 Interest and other operating
 revenues $11,380,492 $10,387,169
 Interest expense (6,070,335) (5,775,204)
 Other expenses (1,247,366) (1,203,790)
 Total ordinary income 4,062,791 3,408,175
 Net capital gains 1,508,666 6,004,198(A)
 Total tax basis income $ 5,571,457 $ 9,412,373
 Tax basis income per share:
 Ordinary income $ 0.21 $ 0.17
 Net capital gains 0.07 0.30(A)
 Total tax basis income per share $ 0.28 $ 0.47
 Dividends paid per share $ 0.28 $ 0.27
 (A) Includes the capital gain of $6,004,198 (30 cents per share) recognized upon receipt of approximately 90 percent of the assignment proceeds from one large mortgage.
 Financial statement net income:
 Gross income, including net gains
 on mortgage dispositions $14,415,470 $17,913,301(B)
 Interest expense (5,998,267) (5,736,764)
 Other expenses (1,558,973) (1,527,614)
 Minority interests in net income
 of consolidated subsidiary(C) (2,426,842) (3,851,785)
 Net financial statement income $ 4,431,388 $ 6,797,138
 Net financial statement income
 per weighted average share
 outstanding $ 0.22 $ 0.34
 As of March 31,
 1993 1992
 (unaudited)
 Total assets $606,779,201 $547,646,065
 (B) Includes capital gains recognized upon receipt of assignment proceeds from one large mortgage.
 (C) Represents the ownership interests of the minority shareholders in the net income of a subsidiary -- CRI Liquidating REIT, Inc. -- which is approximately 67 percent owned by CRIIMI MAE.
 -0- 5/17/93
 /CONTACT: James T. Pastore, 301-231-0231, or Susan B. Railey, 301-468-0120, both for CRIIMI MAE/


CO: CRI Insured Mortgage Association, Inc. ST: Maryland IN: FIN SU: ERN

KD-IH -- DC005 -- 9058 05/17/93 09:50 EDT
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Date:May 17, 1993
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