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CRIIMI MAE AND CRI LIQUIDATING REIT AGREE TO SETTLE CLASS-ACTION SUIT

 ROCKVILLE, Md., Sept. 27 /PRNewswire/ -- CRIIMI MAE Inc. (NYSE: CMM) and its subsidiary, CRI Liquidating REIT, Inc. (NYSE: CFR), today announced that an agreement in principle has been reached to settle a class-action lawsuit brought in 1990 by a class of CRIIMI MAE shareholders who were part of the 1989 merger in which both companies were created.
 Under the terms of the proposed settlement, which must be approved by the court, CRIIMI MAE will issue to class members up to 2.5 million warrants to purchase CRIIMI MAE shares.
 The warrants will have a term of 18 months and an exercise price of $13.17 per share (a price which is $1 more than the average closing price of CRIIMI MAE stock for the 14 trading days prior to today's public announcement of the settlement).
 CRIIMI MAE shares closed on Friday, Sept. 24, at $12 per share. There were 20,183,533 shares outstanding as of that date.
 In addition, the proposed settlement calls for the payment not to exceed $1.4 million for settlement administration costs and plaintiff's court-approved attorney's fees and expenses.
 Insurance is expected to provide a substantial amount of the cash portion of the proposed settlement.
 -0- 9/27/93
 /CONTACT: James T. Pastore, 301-231-0323, or Susan B. Railey, 301-468-3120, both for CRIIMI MAE/
 (CMM CFR)


CO: CRIIMI MAE, Inc.; CRI Liquidating REIT, Inc. ST: Maryland IN: FIN SU:

IH-DC -- DC018 -- 0638 09/27/93 15:22 EDT
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Publication:PR Newswire
Date:Sep 27, 1993
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